The latest news, trends, analysis, interviews and podcasts from the global food and beverage industry
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- CavinKare of India moves into drinks
The CavinKare group of India, manufacturer of personal care and food products, has acquired 100% of beverage maker Maa Fruits for INR300 million ($7.5 million), including INR24 million ($600,000) in debt. Based in Dharmapuri in the eastern state of Tamil Nadu, Maa produces a range of fruit drinks packed in 200ml and 1 litre PET bottles and 200ml Tetra Pak cartons. The Maa line is distributed chiefly in rural areas across southern India, where it's said to rank fourth in the market with a share of about 5%. The company’s new owner plans to invest some INR300 million ($7.5 million) in expanding Maa’s production facilities, as well as adding new drinks and extending distribution of the brand to northern India. “Apart from expanding the portfolio and capacity, we want to take the brand to other geographies in phases over the following months,” CK Ranganathan, Chairman and Managing Director of CavinKare, told a press conference in Chennai. “We propose to spend at least 17% of Maa’s turnover on advertising and marketing during the first few years.” Ranganathan said Maa has a skilled workforce and a strong raw material procurement system. CavinKare will leverage the strength of its own sales and distribution system to grow the fruit drinks brand. Maa sales are expected to reach about INR400 million ($10 million) this year, contributing around 7% to CavinKare’s group turnover. Ramesh Vishwanathan, Executive Director of CavinKare, said the total market for juice and juice drinks in India was reckoned to have reached no more than 25% of its full potential. The fruit drinks market in southern India is currently growing about 50% annually.
- ADAS conducts research into GHG emissions
Environmental consultancy ADAS is conducting research for Defra into the calculation of Greenhouse Gas (GHG) emissions from the food supply chain in order to inform the consultation process towards the development of a Publicly Available Specification (PAS). Every food product has an impact on the environment via its 'carbon footprint'. This is determined by calculating the GHG outputs at each stage of the food supply chain - from farm production and its inputs through the manufacturing process to the final product. Defra and the Carbon Trust are co-sponsoring the BSI to develop a robust, consistent approach for measuring GHGs (a Publicly Available Specification or PAS) which organisations can use to calculate and target where GHG emission reductions can be made for the products that they manufacture, buy or sell. ADAS has been appointed to lead a two-phase project that will test and apply the approach. Campden and Chorleywood Food Research Association, Cranfield University, the EuGeos environmental consultancy and the Institute of Grassland and Environmental Research are also involved. Firstly, ADAS will test the draft BSI methodology for GHG calculation on a range of commodity foods such as beef, lamb and bread wheat within forms of farming (intensive, extensive and organic). At this stage further proposals for developing the methodology will also be accepted. In the second phase of work, ADAS will apply the revised measurement system to new products, including chicken, strawberries and also revisit testing on the original commodities to provide increased accuracy. This will provide a range of GHG 'footprints' at the pre-farm gate stage. In parallel CCFRA will be testing the PAS on products through the post-farm gate (manufacturing) stage with a focus on highly processed foods with short shelf life and on foods requiring high temperature processing or refrigeration, in order to capture the complexities of processing and to factor in waste and high energy processes such as baking and freezing. The total GHG of the final processed products will then be calculated by combining the pre- and post-farm gate figures. Cranfield University and EuGeos will compare these results against the detailed Life Cycle Analysis studies they have previously completed to assess their robustness and hence to comment on the methods in the PAS. The agreed methodology will be very valuable to the food industry as it can be used to assess not only the green credentials of different food supply chains and different products, but also offer comparison of organic systems with conventional intensive and extensive systems, and for some products comparing UK systems with those in other countries. In particular, it will indicate those parts of the food chain that are GHG 'hotspots', to enable GHG reduction strategies to be developed. ADAS Senior Consultant Jeremy Wiltshire said: "We are very excited about this project - once a PAS is established, it may be applied across a wide range of product categories. It will also provide a tool to predict the environmental impacts of future food production methods, helping the move towards a low-carbon economy." He explained: "The process of gathering GHG data is fairly complex - we devise a Process Diagram for each product, charting all GHG outputs. It's essential that every component is accounted for, from the fuels burned by the tractor, to gases emitted in soil processes and during storage of commodities." Phase One of the project will be completed in March this year and Phase Two will be completed by December. This project is part of a suite of three currently running that are designed to test and inform the PAS as it develops, covering the stages from food production, manufacturing and retailing through to how the consumer stores, prepares and consumes food at home. The research will identify possible limitations of the BSI-PAS method and how these might be overcome.
- Feel Good Drinks in tree planting partnership
*Feel Good Drinks has teamed up with independent charity, Trees for Cities, for a national year-long tree planting partnership. This initiative will see Feel Good Drinks and the charity holding ‘Feel Good Carnival Planting Days’ throughout the year. * “We think planting trees is a good thing to do, but we wanted our team and local communities to be able to get involved too, which is why Trees for Cities is a perfect partner for us,” said Dave Wallwork, Managing Director and co-founder of the soft drinks company. “These planting days will be loads of fun for all our team and our drinkers, as we don our wellies and get planting!” Trees for Cities is an independent charity that works to transform urban wasteland into green spaces by getting the local community involved in the tree planting, and educating them on how to sustain the transformed green areas. As well as tree planting, each carnival planting day will include face painting, live music, football games and loads of arts and crafts, including bird box making! As well as planting 1,000 trees, Feel Good Drinks will be supporting the partnership with sampling, digital and PR activity. “The Feel Good Drinks Company has spreading feelgoodness and making people smile at its heart,” added Mr Wallwork. “Outside space provides communities with a place to relax and feel good, and we’re thrilled to have the chance to be able to do our bit to regenerate wasteland into places that locals can truly enjoy.” The first of the five ‘Feel Good Carnival Planting Days’ kicks off on Saturday 1 March at Braithwaite Park in East London. <1>. <1>: http://maps.google.com/maps?f=q&hl=en&geocode=&q=Braithwaite+Park&sll=37.0625,-95.677068&sspn=56.637293,70.136719&ie=UTF8&z=17&iwloc=addr
- Campina is Dutch consumer's favourite again
*Campina was the bestselling brand in Dutch supermarkets for the sixth year in a row, according to market research agency IRI in a list compiled for the Foodmagazine trade journal. * The strong increase in the consumption of healthy dairy made by Campina has led to growth in turnover for supermarkets, generated specifically through the sale of the Campina brand. First place in the retail top 100 was assigned to the following products, which the dairy organisation markets under the Campina brand in the Netherlands: Campina milk, yogurt, custard, cream and coffee creamer, Campina Optimel (yogurt drinks, yogurts, quark and custard with zero fat, no added sugar), Campina Vifit (for balanced intestinal flora) and Campina Botergoud (butter). An important factor in the consolidation of the company's position is due to higher sales of extra-healthy dairy products. Campina Optimel in particular made spectacular strides. The flip side is a lower brand turnover in the shrinking milk and custard segment. Growth of the breakfast dairy product Goede Morgen, and the chilled coffee drink Café Fresco, have further underscored the position of the brand. Turnover from supermarket sales of Campina brands rose to more than €380 million in 2007.
- Tesco local sourcing to be worth £1bn by 2011
*UK supermarket chain Tesco is making considerable moves to increase local sourcing across the country with plans under way to implement the programme in more of its 2,000 stores across the globe. * It foresees local sourcing being as important to the company as organic (now worth £400 million in the UK) and being worth £1 billion in retail sales by 2011. In the past year, for instance, the south-west region has sourced 200 new products from 40 new suppliers. Local buyers have been employed in each region to make strong links with smaller suppliers, such as Little Town Dairy and Nichol’s Farm in Kent, to bring new ranges into the stores which will be known and supported by local shoppers. Each region has specialist produce: Essex-based Fairfields Farm making specialist crisps using its own potatoes and Sweet Thai chillis from the The Chilli Company. Hill Farm Oil Heaveningham is making cold pressed rapeseed oil with omega-3. Gloucestershire supplier Bottle Green Drinks has extended its well-known Elderflower to launch its Blossom Hill range of Elderflower, Morello cherry and lemon barley to local stores. The idea is to make local sourcing mainstream, not just gourmet, with the phrase 'Everyday local sourcing' the basis of the new campaign. The most obvious areas are eggs, juice, meat, cheese, milk and vegetables, with black-and-white photographs and details of various farmers appearing on-pack. The company was spurred on after a trial in Padstow, Cornwall, when it noticed that consumers had a different mindset when looking at prices for products from local suppliers. It then set up a local office to deal with local issues and help small suppliers meet the necessary health and safety criteria. In some cases, it supplies just one store. According to Head of Local Sourcing Emily Shamma, Thailand already has local sourced produce, as do Tesco Stores in the Czech Republic and Ireland (where it's particularly strong). On the basis that this move has been consumer led – meeting demand from consumers across the globe – we're unlikely to see a trend reversal.
- San Bernardo revamp
Nestlé Waters Italia owned San Bernardo has revamped the labelling and packaging for its eponymous mineral water brand, with the aim of giving the range a fresher and more distinctive appearance. The revamp was undertaken in conjunction with renowned Designer Giorgetto Giugiaro. San Bernardo Managing Director Stefano Agostini, commented: “The restyling confirms San Bernardo’s positioning as a cool product. There are plans to upgrade the entire range in the near future.” The new formats have been available through horeca channels since January 2008.
- Snapple serves up new selection
*In the US, Cadbury Schweppes Americas Beverages has launched a line of Snapple Antioxidant Waters and LYTeWater. * Antioxidant Water features seven flavours inspired by superfruits, with the antioxidants, vitamins and electrolytes in each flavour offering one of four benefits - Protect, Defy, Awaken and Restore. The Protect line offers tropical mango or orange star fruit flavours; Defy includes raspberry acerola or grape pomegranate flavours; Awaken contains strawberry açaí or dragonfruit; and Restore consists of agave melon. The varieties are packaged in 20oz bottles.
- Valser Viva range grows new flavour
*Coca-Cola Switzerland has added a variant to its Valser Viva wellness water range. * Valser Viva Blueberry & Honey is a flavoured water with 8% juice and natural honey extract, which targets young adults that seek a natural balance with today’s hectic lifestyle. The drink is also low in calories and free from preservatives. Honey is a natural source of energy, while carbohydrates and blueberries are high in vitamins C and B5 as well as minerals.
- Inhalable shot of oxygen in sports water bottle
*Putting an innovative twist on ways to serve oxygenated water, Minneapolis based Beverage Creations has introduced bio2Tonic - a sports water using a proprietary pack that connects two enclosed chambers filled with either liquid or oxygen. * The company is promoting the product as the only bottled water in the US offering “an inhalable shot of oxygen at its core.” The 24cm tall bio2Tonic pack contains two separate detachable compartments. First, the consumer can sip from the Aqua Fuel unit, a 50cl flask filled with vitamin enhanced water. On the reverse side of the pack is an Oxygen Fuel flask which contains 2.9 litres of 90% compressed oxygen enriched air, enough air for 25 two second inhalations. The oxygen is released when consumers place their nose into an oxygen delivery system and press a release button.
- Cravendale launches 'Don't Ditch the Milk'
Cravendale milk has announced a re-education programme to halt the anti-dairy trend in the UK. Its 'Don't Ditch the Milk' campaign aims to inform consumers about the detrimental effects of cutting milk from their diet. Cravendale's head nutritionist, Sue Malcolm, said: "Milk is wrongly thought to be a fatty, unhealthy option and this notion is perpetuated by many faddy diet trends. The reality is that it's a vital part of a balanced diet, and by cutting out milk, not only could you negatively impact on your desired weight loss, but you could also risk health implications from osteoporosis to a possible increased risk of heart disease in men." Sue Baic, dietician and spokesperson of the British Dietetic Association, said: "As dieticians, we recognise that a varied diet is vital for good health. To achieve this, we need to choose a range of foods selecting some from each food group, one of which is dairy foods. "This group includes milk, cheese, yogurt and fromage frais. In the UK, these foods are important sources of protein, calcium (for strong bones) and essential B vitamins such as riboflavin (B2) and B12. As a guideline, aim for a pint of milk a day, or a mix of dairy foods such as a carton of yoghurt or a small (matchbox size) piece of cheese, each of which is equivalent to about 1/3 of a of pint milk. Try to choose reduced or lower fat versions, such as semi-skimmed milk, where you can." Cravendale's 'Don't Ditch the Milk' campaign aims to keep consumers informed about the benefits of milk and help people keep their regular intake of milk up with clever, healthy recipes, dieting advice and tips, training, post exercise information and more.
- Salt reduction
The creation of a new UK trade group, the BCCC, focused on cutting salt and saturated fat in the bakery and snacks sector, puts further pressure on manufacturers. With regulatory bodies, consumers and the media focused on salt reduction in particular, what's being done to help manufacturers achieve targets? What are the formulation issues to overcome? And how can manufacturers deliver healthier food that still tastes great and encourages consumer purchase? *Hanneke Veldhuis, DSM Food Specialities, comments. * "Initiatives like the BCCC group highlight the importance attached to continuing to reduce salt and sodium levels, which the Food and Drink Federation (FDF) recently identified as the major challenge facing the industry. The Consensus Action on Salt and Health (CASH) estimates that 80% of our salt comes from processed foods. Bread is recognised by CASH as the food category which contributes most to daily salt intake. "While research shows that the average daily salt consumption in the UK has fallen from 9.5g to 9g since 2001, it still far exceeds the 5g per day recommended by the World Health Organisation. So it's no surprise that further reductions are sought by regulatory bodies. Ingredient suppliers must work with manufacturers to understand the challenges they face and develop new technologies to reduce salt levels in line with health concerns. "Critical to the success of this initiative is that these reductions must be achieved without affecting the eating enjoyment consumers expect. There must be a balance between taste and nutrition. Many traditional salt replacement products seem to negatively affect food flavours and haven't been widely accepted by the consuming public. These solutions may also involve complex and costly formulation modifications." Salt solutions "One successful strategy is adding flavours, seeds or spices in baked goods to compensate for loss of salty taste. Tesco, for example, sells bread flavoured with Guinness, and Allied Bakeries produces wholegrain and cranberry. While innovative new styles and flavours of bread are growing in popularity, they're not always to everyone’s taste and fail to deliver an easy to use solution for bread manufacturers looking to reduce salt levels. "Aware of these issues, we developed Maxarite, a range of natural ingredients using yeast-based technology. Launched at last year’s FiE, the Maxarite range has been specifically developed for bakery and dairy applications. It can reduce sodium content in bread and cereals, along with various dairy applications, by up to 50%. "Our sensory tests show that it delivers an improved taste perception, together with lower sodium, to meet consumer expectations for healthier, enjoyable food. Importantly, these ingredients can be integrated into existing food manufacturing processes with minimal disruption. "Health concerns surrounding reductions in salt will remain firmly on the health agenda. Ingredients suppliers need to respond with innovative solutions that meet the demands of all parties. Our Maxarite range, for example, also offers solutions for great-tasting, low fat dairy concepts which we are currently discussing with customers. "The solutions are available – it is a question of ingredient suppliers and manufacturers working together to deliver the healthier products consumers, the retail industry and regulatory bodies are looking for.” * About DSM Food Specialties* DSM Food Specialties is a leading producer of value-added ingredient solutions for the international food and beverage industries, with 1,400 employees active in 26 locations worldwide.
- Sara Lee set to launch Cheesecake Bites
*In an effort to help busy consumers have their cake and eat it too, Sara Lee is launching bite-sized versions of the Sara Lee cheesecake with premium, full-sized taste. * Sara Lee Cheesecake Bites will be available in original, chocolate and strawberry varieties. With restaurants adding smaller, richer, more decadent dessert options to their menus, Sara Lee Bites is bringing the trend to homes, with more satisfying sweet snacks. Ready-to-eat sweets reached $16.6 billion in sales from September 2006 to September 2007. "Because full flavour doesn't have to equal full-size, Sara Lee Bites can satisfy a craving whenever it strikes," said Chuck Hemmingway, marketing director, Sara Lee Sweet Goods. "Sara Lee Bites will give families a contemporary grab-and-go version of the desserts that have made Sara Lee synonymous with sweets." The average suggested retail price is $3.69.
