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  • Fonterra acquires Chile's Soprole

    Fonterra Co-operative Group has reached agreement to buy an additional 42.6% shareholding in Chilean dairy company Soprole from Fundacion Isabel Aninat. Fonterra will buy the shareholding, adding to its existing 56.85% stake, from minority shareholder Fundacion Isabel Aninat, a charitable foundation run under Canonical Law. The US$201.9 million purchase has received final approval from the Vatican. Fonterra’s Chief Executive Officer Andrew Ferrier said: “Soprole has been a strong performer for Fonterra over the years. By increasing our ownership, we will be able to build on this and look at ways we can grow the business even further. “We’re very pleased with the way Soprole is performing. More than 40% of the company’s sales have been from products introduced in the last three years. We want to continue that innovation drive and create new opportunities in the rapidly expanding South American dairy markets.” In February Soprole announced its profit for 2007 rose 160% to a record 23.8 billion Chilean pesos, or NZ$66.3 million. Soprole has, on average, returned around NZ$25 million a year to Fonterra shareholders over the past few years. The purchase gives Fonterra 99.4% of Soprole, the second most recognised corporate brand in Chile after Coca Cola. Chile is a high growth market for the production and consumption of dairy products. Soprole is the country’s leading consumer dairy product business with a share of more than one-third of the domestic consumer dairy market. “Soprole is an example of Fonterra’s strategies of leveraging its cow-to-consumer expertise to build profitable businesses, and also securing new sources of fresh milk around the world,” Ferrier said.

  • Water cooler bottles deemed safe from BPA

    *The recent decision by Canada to ban the importation, sale and advertising of polycarbonate baby bottles has caused consumers to grow increasingly concerned with using plastic in general. * The prime suspect is a chemical called Bisphenol A (BPA), which is a key building block of polycarbonate plastic. The reason why it is causing all the controversy is because it mimics the hormone estrogen. As a consequence BPA has been linked to breast cancer, genital abnormality, changes to sexual orientation and hyperactivity among others. BPA is not easy to get rid of as it is used to make a multitude of everyday products including baby and water bottles, sports equipment, medical devices, CDs, and household electronics. It is also present in epoxy resins used inside some beverage and food cans. There have been many studies trying to determine whether or not BPA is safe and most of those have concluded that the chemical is not a health risks to adults. However, scientists prefer to err on the side of caution when it comes to newborns and infants. Research have shown that although adults are exposed to safe levels of BPA, it is possible that the effect of the chemical on babies can have complex and far-reaching consequences for their development. * Testing the waters* Some 5 gallon bottles used in water coolers that carry the #7 recycling classification are made from polycarbonate contain Bisphenol A. This plastic has been tested extensively by numerous government and scientific organizations around the world including the US CDC, US FDA, European Union and the Japanese Ministry of the Environment. All are unanimous in support of the safety of polycarbonate. In a US Food and Drug Administration study (1997), water from several 5 gallon (19 litre) polycarbonate bottles which carried the #7 classification from a bottled water supplier were analysed with a detection limit of 0.05 parts per billion. In water that had been stored in the bottles for up to 39 weeks, BPA was found only at very low levels ranging from 0.1 to 4.7 parts per billion. To understand what this means in terms of acceptable levels for human consumption, the estimated dietary intake of BPA from polycarbonate is less than 0.0000125 milligrams per kilogram body weight per day. This level is more than 4000 times lower than the maximum acceptable or 'reference' dose for BPA of 0.05 milligrams per kilogram body weight per day established by the US Environmental Protection Agency. The European Food Safety Authority (EFSA) also increased 'Tolerable Daily Intake' of BPA to the same dose in 2007. Stated another way, an average adult consumer would have to ingest more than 600 kilograms (about 1,300 pounds) of food and beverages in contact with polycarbonate every day for an entire lifetime to exceed the safety level. Nevertheless, Wal-Mart Canada has acted in advance of the <1> taking affect in mid July and pulled products containing the plastic. Other retailers such as Toys-R-Us and water bottle producer Nalgene are also listening to public concerns and acting accordingly. <1>: http://www.hc-sc.gc.ca/ahc-asc/minist/speeches-discours/2008_04_18_e.html

  • A healthy diet isn’t all about 'super foods'

    *'Food protects advice' is not for everyone say food intolerance experts from YorkTest Laboratories. The company believes that a balanced diet rather than the singling out of specific 'super healthy' foods is the right approach for achieving health. * UK based YorkTest Laboratories which specialises in food intolerance home testing kits have commented on the trends towards superfoods targeting various of our health, such as the recent tomato craze reported on worldwide. Foods such as tomato and chocolate can be top ingredients in the fight against sunburn, wrinkles and diabetes but as a diet plan it could trigger the symptoms of food intolerance which results in bloating, headache, fatigue or bad skin. On the company's website, YorkTest.com, testing experts admit that over eating tomato, chocolate or any food, rather than do any good, could in fact do harm. We all accept the vitamin laden qualities of certain foods but to eat nothing else or overdoing the consumption is in itself a recipe for ill health. YorkTest Laboratories Spokesperson Les Rowley said: "Every week there will be people discovering they have food intolerance to either chocolate or tomato. The message sent out by the press that by eating more will prevent wrinkles is not the whole story. There will be ill health brought on by eating these foods, and others, so if you are take a food intolerance test and find out exactly what foods could be making you ill." The symptoms of food intolerance affect about 20 million people in the UK, and contribute to more than one million working days lost each year.

  • Dr Pepper teams up with Indiana Jones

    The Dr Pepper Snapple Group (DPSG), formerly known as Cadbury Schweppes Americas Beverages (CSAB), is launching some heavyweight promotion for its core brands in preparation for its début as an independent entity trading on the New York Stock Exchange from Wednesday, 7 May. The new company is linking its flagship carbonate, Dr Pepper, with “Indiana Jones and the Kingdom of the Crystal Skull” – the long-awaited fourth instalment of the Harrison Ford adventure film franchise, expected to become one of the biggest hits in US cinemas this summer. An innovative promotion, the “Dr Pepper Passport to Explore with Indiana Jones and the Kingdom of the Crystal Skull,” will offer consumers a variety of ways to share the excitement of the film. The promotion will even send 23 lucky winners on their own Indy-style adventures around the world. “Dr Pepper is Indiana Jones’ biggest fan, so we are thrilled to add even more excitement around an event that is 19 years in the making,” said Andrew Springate, Vice-President of Marketing for Dr Pepper. “With the 23 flavours of Dr Pepper, there is always more to explore, and we’re bringing fans more ways to explore and experience Indiana Jones this summer.” The promotion revolves around an on-pack code game, and is being supported by an integrated marketing campaign including national print, television and online advertising. Scratch-off codes Game codes can be found under the caps or inside the wraps of specially marked 20oz (591ml) and 2 litre bottles, as well as 12x and 24x multipacks of Dr Pepper and Diet Dr Pepper. Other scratch-off game codes will feature in print ads, and more codes will be given away online. Fans can visit www.drpepper.com or text in game codes to learn if they are instant winners. Dr Pepper promises that one in six codes will win prizes such as T-shirts, hats, free movie tickets, free Dr Pepper product, and much more. The top prizes – adventure holidays in Egypt, India, Jordan or Peru – will be won by consumers who find one of 23 iPod Nanos hidden inside specially marked cans randomly placed in 12x multipacks. The Nanos will be pre-loaded with “Raiders March,” the Indiana Jones theme song, as well as an exclusive behind-the-scenes shot from the movie set. Television and online advertising began on 1 May, while print ads will appear from Friday, 9 May. The Dr Pepper/Indiana Jones promotion runs to the end of July. Cadbury Schweppes shareholders gave final approval in April for the plan to demerge CSAB from the UK group’s core confectionery business. The confectionery business, minus soft drinks, began trading as Cadbury plc on the London Stock Exchange on Friday, 2 May.

  • Unilever chooses sustainable palm oil

    Unilever has announced its intention to have all of its palm oil certified sustainable by 2015. It will start by using certified palm oil as it becomes available in the second half of 2008 and will look to have all the palm oil it uses in Europe fully traceable by 2012. In setting this ambitious goal Unilever recognises that it will have to continue to work in partnership with governments, suppliers, NGOs and other users of palm oil. Announcing the initiative at the Prince of Wales' May Day Climate Change Summit in London, Unilever CEO Patrick Cescau said: "Palm oil is an important raw material for us and the whole consumer goods industry. We use a substantial amount of palm oil and we want to be an agent for positive change, as we have been in fish, tea and other areas. "We started work on sustainable palm oil ten years ago by developing and sharing our own guidelines and good practices with growers and suppliers, leading to the setting up of the Roundtable on Sustainable Palm Oil in 2004. Through the RSPO, we have continued to work hard to build an industry consensus on criteria for sustainable palm cultivation. "Now we need to take the next step. Suppliers need to move to meet the criteria, by getting certified both the palm oil from their own plantations and the palm oil they buy from elsewhere. We also intend to support the call for an immediate moratorium on any further deforestation for palm oil in Indonesia. We are committed to doing this because we believe it is the right thing to do for the people who use our products, for the environment and communities in and around which palm oil is grown and for our business and our brands." Unilever will continue to play a leadership role on the Roundtable on Sustainable Palm Oil (RSPO) and drive it as a vehicle for change, ensuring that it applies effective sanctions on suppliers who persist in unlawful deforestation practices. WWF WWF International Director Rod Taylor added: "WWF applauds Unilever's pledge of support for efforts to halt deforestation in Indonesia and to create a palm oil supply drawn entirely from certified sustainable sources. WWF wishes Unilever every success in turning its commitment into reality, and hopes that Unilever's actions will inspire others to follow". Unilever will also regularly report its progress against these commitments and continue to liaise with all stakeholders. Speaking on behalf of Unilever Sustainable Development Group, Jonathon Porritt said: "We are delighted to see these new commitments on palm oil from Unilever. We've been advising the company on these issues over the last two years and have been particularly impressed at the way in which Unilever alerted the world to the consequences of today's unsustainable rush into biofuels. "These are ambitious targets, and Unilever's readiness to take a leadership role in establishing secure, certified supply chains for palm oil is particularly significant. Some of the basics have been developed through the RSPO but things now need to move much faster if further damage to the world's rainforests and other ecosystems is to be avoided."

  • Cointreau creates gold flecked ‘caviar’ cocktail

    The London launch (28 April at the sky-high Altitude studio) followed previews to cocktail experts in New York and Paris. In London, bar experts joined Richard Lambert, Cointreau's global brand ambassador, to transform the familiar Cointreau liqueur from a liquid into a solid, in the form of iridescent pearls of Cointreau 'caviar'. Using a simple laboratory-style technique, the magic is enhanced when you see that each tiny sphere of Cointreau 'caviar' features edible flakes of 24-carat gold inside. Unlike some other complex molecular initiatives, Cointreau's process is based on very simple techniques using natural ingredients. Cointreau developed its caviar with renowned mixologist Fernando Castellon. Together, they applied molecular gastronomy techniques to turn Cointreau from a liquid into a solid. Cointreau 'caviar' is the result of 12 months experimentation. Richard Lambert of Cointreau commented: "This is the first time that bartenders have been provided with the instruction and tools necessary to replicate the process in a bustling bar environment. Preparation is simple, compared to other new-wave cocktails we have seen. Cointreau caviar will delight and intrigue cocktail fans with its delicious new sensation." Cointreau 'caviar' can be added to a range of Cointreau cocktails or bring a delicate flourish of flavour to champagne.

  • Jones’ Q1 growth eats up profits

    Sales by Jones Soda Co of Seattle grew strongly in the first quarter of 2008, as the offbeat US drinks maker continued its development from niche brand into a mainstream producer with national distribution. However, Jones posted a further loss for the quarter, as the company’s margin shrank and the costs of expansion ate up its increased revenue. “We are disappointed in our bottom line results,” admitted CEO Stephen Jones. “That said, we believe the investments we are making in our business are helping drive increased demand for our products, as evidenced by the growth in case sales of finished goods shipped by us and National Beverage in the first quarter, compared to the same period a year ago.” Jones’ case sales of finished goods in the DSD (direct store delivery) and DTR (direct to retail) channels rose 31% in the quarter, while case sales in the CSD (carbonated soft drink) channels almost trebled. Gross revenue increased 11.8% to $10.4 million, but net revenue was just 2.2% up at $9.4 million. The company’s gross margin meanwhile fell to 20.4%, compared with 38.3% in the first quarter of 2007. The decline was partly due to a provision of roughly $514,000 for discontinued inventory related primarily to speciality packs and packaging costs. Excluding this cost, Jones’ gross margin was 25.91%. Increased spending Operating expenses rose 44% to $5.9 million, including increased costs for promotion, advertising, salaries, and legal and audit fees. Jones closed the quarter with a net loss of $3.85 million or $0.15 per share, compared to earnings of just over of $58,000 in the first quarter of 2007. “We have recently increased our spending in key areas such as new market promotions, brand advertising and sales team infrastructure, in order to provide our organisation with the necessary resources to achieve our long term objectives,” Stephen Jones continued. “While these additional investments will negatively impact our near-term financial results, we believe they will result in a stronger, more effective company for the future. “As we approach the key summer selling season, we believe that we are in a better position to drive higher sales volumes and capture key market share for our brand and portfolio of products.”

  • M13 introduces functional juice line

    *Vancouver based M13 launched a range of functional juice beverages on April 2: M13 Assistance, M13 Wellbeing, M13 Calm/Detox are available throughout the Western United States and Canada. * "The philosophy behind Functional Juice is simple," said M13 Chief Executive Officer Dominic Stann. "Healthy all natural beverages in unique, attractive packaging that works to meet every day demands." "The formulas combines health principes from traditional Chinese medicine and modern nutritional science." Said M13 formulist Dr Sunny Lee, a master Chinese herbalist and expert on human nutrition. The company's original natural health beverages are enjoyed by customers in Columbia, Washington, Oregon and California. Founded in 2004 by a group of entrepreneurs, M13 is revolutionising the natural health producers industry from its offices in Vancouver, San Francisco and Los Angeles.

  • Rexam on course despite ‘soft’ US

    Rexam of the UK, the world’s second biggest consumer packaging group and biggest beverage can maker, reported a “slow start” to 2008 in North America – but more encouraging results in Europe. In an interim management statement issued ahead of Rexam’s annual meeting on 1 May, the company said: “Group results for the first quarter in constant currency were in line with our expectations, and our outlook for 2008 remains unchanged. “Our beverage can business is performing well overall. In Europe, we have seen good pricing and particularly strong volume growth. In the Americas, volumes remain buoyant in South America, whilst in the US demand for soft drinks cans has started the year slowly, with volumes down for both Rexam and the market. “After a strong fourth quarter in 2007, our speciality can volumes have started quietly, but it is still very early in the season. Good pricing, contractual inflation escalators as well as a continued focus on efficiencies have offset higher input costs.” Rostar acquisition Rexam’s plastic packaging business overall performed “as expected,” but demand for closures and home and personal care packaging continued to be soft in North America. During the quarter, Rexam continued the successful integration of OI Plastics, and also completed the $297 million acquisition of Russian beverage can maker Rostar. Commenting on the results, CEO Leslie Van de Walle said: “Rexam has made a good start to the year, and we are particularly pleased with our beverage can growth in Europe.” During the annual meeting Peter Ellwood, 64, was formally elected as new Chairman of Rexam. He succeeds Rolf Börjesson, 65, who stepped down after leading the global packaging giant for eight years as CEO and a further four years as Chairman. Ellwood, who joined Rexam’s Board in February as a non-executive director and Chairman Designate, was formerly Chairman of ICI, and before that Group Chief Executive of Lloyds TSB.

  • Brammer raises £37,000 at Awards Evening

    The 2008 Brammer Awards Evening was hosted by ex-BBC and ITN political news editor turned TV presenter John Sergeant. Attended by over 200 industry-leading guests at the Heritage Motor Museum, the Awards were presented to Brammer’s customers and suppliers in recognition of their innovative solutions. Presenting six Awards in total over the course of the evening, the UK distributor of industrial MRO products and services recognised the contribution that each nominee and winner is making to help make British industry a long-term sustainable success. Tarmac Trupak and SKF stepped up to the stage to take the first Award of the evening for a Production Efficiency improvement project delivered with Brammer. During 2007, Brammer worked with its bearing suppliers to develop a product sample case that highlighted technology innovation in the bearing sector. Both Timken and Gates Power Transmission were presented with the Product Innovation Awards. Timken for the StatusCheck system (a wireless condition monitoring system), while Gates won the second Award for the ‘Predator’ brand of belts. * Quality, cost, delivery, service and innovation* Rocol received an Award for Supplier Relationship Management for delivering consistent business management excellence and working in harmony to improve performance across the five core elements of Brammer’s supplier management system: quality, cost, delivery, service and innovation. Judges also recognised Rocol’s achievement of attaining the highest supplier rating Brammer has seen for the past five straight months. Brammer works with customers to reduce total acquisition costs, improve production output and efficiency and reduce working capital. Unilever received an Award for its willingness and ability to embrace these principles to improve competitiveness. Amongst more than 80 cost saving activities in the last year, the company has identified that many MRO spare parts are of low order value – with the cost of raising the purchase order often amounting to more than the part itself. Working closely with Brammer, Unilever consolidated invoices on a monthly basis to significantly reduce the administration element of the purchase cost – saving time and money. Alcoa stepped up to receive an Award for Supply Chain Effectiveness for delivering an effective supply chain management solution for its smelting plant in Iceland, in partnership with Brammer. The event raised an outstanding £37,000 through donations and an auction for Brammer’s corporate charity the <1>, which makes dreams come true for children and young people aged three to 17 fighting life-threatening illnesses <1>: http://www.make-a-wish.org.uk

  • Future of Westbury Dairies secured

    *The Board of Westbury Dairies Limited has announced that agreement has been reached with its three joint venture shareholders (Dairy Farmers of Britain, First Milk and Milk Link) on the future of the company. * Dairy Farmers of Britain will exit from the Westbury Dairies joint venture as soon as practicable and its representatives will step down from the Board. First Milk and Milk Link will continue as shareholders of Westbury Dairies Limited and have agreed to underwrite the continuing fixed costs of the site. This new agreement gives the two farmer-owned dairy co-operatives full control over the Westbury powder and butter production facility. Both strongly believe that, in the light of the ongoing volatility in dairy ingredient prices and UK milk production, Westbury Dairies will not only provide them with the security of having full access to the UK's foremost milk balancing facility but also that there is potential to develop the business. Dairy Farmers of Britain have agreed a long term supply arrangement, which allows it to have limited access to balancing capacity at Westbury, thereby contributing to the ongoing costs of operating the site. Commenting on the agreement the Board of Westbury Dairies said, "The new agreement secures the future of Westbury Dairies and its workforce. We believe that not only is this a good deal for all three parties but also is an important one for the UK dairy industry as a whole."

  • Yakult launches loveyourgut.com website

    *Yakult, the original probiotic drink, has created a new identity for its annual Gut Week campaign, ahead of its 10th anniversary with a new website: <1> * The original campaign was launched in 1999 in association with Core, the Digestive Disorders Foundation, and has since linked with other digestive experts such as The Gut Trust and St Mark’s Hospital, Harrow. It has reached over 310 million people in the previous nine years but Yakult believes the new identity, Love Your Gut, will help it reach even more. “With one in three people in the UK regularly suffering from a digestive problem, millions are seeking gut advice on a daily basis,” said Yakult Managing Director Hiroyasu Matsubara. The new identity, with a dedicated website and information packs, will provide the help and advice people need, whenever they need it.” Gut Week Gut Week will take place this year from 14-20 July but the new website for the campaign has already launched. The site offers accessible, practical help and advice on digestive health, helping people to overcome that first hurdle and start addressing their own gut health. In addition it provides tips on how to improve and maintain gut health through diet, exercise and lifestyle changes with advice from a range of experts. “Many people only see the gut as functional and not something to consider as needing particular attention,” said Core Chief Executive Warren Alexander. “However, we want to help people understand that it’s something to cherish and look after as with other organs. The gut can’t be replaced, so look after it well.” A recent survey conducted by Yakult revealed that people were more likely to monitor weight gain, eyesight and dental health, than bowel and digestive problems. Worryingly, 46.3% of people would feel uncomfortable talking to their doctor about intimate issues such as digestive problems. Amid the rise of conditions linked to the digestive system, it is vital that people appreciate the importance of digestive health, and the vital role that diet and lifestyle choices can play in maintaining a healthy digestive system. Bowel cancer is currently the second biggest cancer killer in the UK with 35,000 people being diagnosed with the disease each year, emphasizing the need for people to understand their digestive systems and do all they can to prevent gut-related illnesses from occurring. Probiotics such as Yakult allow consumers to take a positive step in maintaining overall digestive health. Combined with a healthy diet, Yakult helps to maintain a beneficial balance of intestinal bacteria thereby contributing to a healthy digestive system. <1>: http://loveyourgut.com

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