AGM Statement

Camellia PLC
07 June 2007


                                  Camellia Plc
                          Chairman's Statement at AGM
                                  7 June 2007


I would now like to take this opportunity to bring shareholders up to date with
developments in the current year.

2006 started with droughts in the majority of the countries in which we grow tea
and prices rose in sympathy. 2007 has seen the complete reverse of this
situation with good weather conditions and abundant crops but falling prices.
The falling prices are made worse by the continuing decline in the value of the
dollar particularly as against the Kenya Shilling. We are still experiencing
delays in exporting our tea from Malawi due to logistical problems. This results
in increased warehousing costs and delayed cash flow.

The weakness of the dollar also has a detrimental impact on our other export
operations, particularly macadamia and wine from South Africa, arable crops from
Brazil and citrus and grapes from Chile. I cannot over-emphasise the negative
effect of this dollar weakness on our sales income in the countries of origin
and there is little that management can do to reduce costs in local currencies,
although they will of course take advantage of any such opportunities.

Our engineering companies remain busy but attracting new qualified operatives,
particularly in Aberdeen, is still a problem. I regret that local planning
considerations continue to delay the proposed development of our galvanising
operation in Great Yarmouth.

There has been a significant management re-organisation within Associated Cold
Stores and Transport which will lead to further cost reductions and an increase
in operating efficiency. The market however remains very competitive and new
contracts are difficult to acquire at profitable rates.

Duncan Lawrie has been busy absorbing the acquisition of Hill Martin who have
now re-located into the Duncan Lawrie offices at Hobart Place. We remain
cautiously optimistic about the prospects of the now enlarged banking group.

The profits for 2007 received an early boost from the sale of our shareholding
in Getaz-Romang resulting in a gain over book value of approximately £4.8
million. I am however unable to give any indication as to the results for the
first half of the year.

Further enquiries please contact Camellia Plc
Malcolm Perkins
01622 746655







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