Ann: Half Year Report to Shareholders, page-79

This comment made me think you don't really understand Capilano's business model.

Just to be sure,

Do you understand that Capilano's business is buying Barrels of honey from 600 Australian suppliers and some international ones, and then packing it into handy packs to be sold to consumers via Retailers? they are not a "producer" as such (except for some recent investments)

So when you are looking at Capilano's inventory, it is mainly Barrels and ICBs of bulk honey that is waiting to be packed.

If they wanted to reduce inventory they could just continue running the packing operations "Business as usual" and just draw down on this supply of bulk honey,

Next time you are in Coles or woolies, check the packing date on the packs, you will see they are never old stock, they are packed and sent to Coles and Woolies pretty rapidly, but its good to have a good store of honey ready to be packed to keep this process going.