**As consumers lead busier lives and are ‘on the move’ more and more, the dairy industry has developed new products that tap into this change of lifestyle. A key part of that change has come from packaging companies. Sun Branding Solutions Packaging Development Consultant Gillian Wight sets the scene. **The 21st century consumer is more demanding than ever before. As society has evolved so too have preferences, and products must now tick a larger number of boxes to meet expectations. In the dairy industry the challenge for manufacturers is to create on the go products that satisfy the need for health, convenience and the environment in one fell swoop. Health and well-being have been at the top of the consumer agenda for a number of years. Phrases such as ‘you are what you eat’ are being taken seriously and the public is turning its back on foods that are considered to be unhealthy. This is great news for the dairy sector and has resulted in an upsurge of products promising to improve health and wellbeing. Convenience is another key factor in the consumer purchase decision. Nowadays, purchases must support lifestyles and these new active trends have given rise to on the go consumption and an emergence of packaging shapes and styles that are easier for consumers to handle. Dairy products that meet the need for on the go convenience, such as Actimel, have been around for some time. One-a-day shot formats took the dairy industry by storm a number of years ago and have been popular ever since. However, subsequent product and packaging innovations have been few and far between and this is an area that offers a wealth of opportunity for dairy manufacturers. In the children’s market, however, there has been interesting progress. Both Yoplait and Nestlé have jumped on this convenience bandwagon with their Frubes and Squashums respectively. Frubes - fromage frais in a tube - are ideal convenience products for children. The unique, fun packaging format grabs children’s attention and keeps them entertained. On the more practical side, they are easy to handle, are mess free and by the nature of their consumption, remove the need to use a spoon as they can be ‘sucked’. But it isn't just consumer convenience that counts. Ease and profitability for the retailer are also important. Shelf space is just one area where dairy manufacturers can increase their product’s appeal. Historically, products used to be circular but more recently, the trend is for square shaped containers that make the best use of space, enable increased product availability and ultimately facilitate an upturn in sales. In recent years, consumers are placing more importance on goods that help rather than harm the world. By using responsible packaging, companies can really enhance their products’ environmental claims and a wealth of untapped opportunity exists in this area for dairy manufacturers to explore. * Expert opinions* Experts from leading packaging companies share their views about this particular sector, beginning with recent trends and developments. Tetra Pak Category Management Director Susan Frame says we are seeing the emergence of a new ‘golden triangle’ in consumer demands, built around health, pleasure and convenience and these global trends in consumer preferences are shaping product development. “According to research in 30 countries, health and fitness is a top consumer value in almost all countries. Product development will increasingly leverage this opportunity. New health positioned concepts will accelerate demands on packaging attributes such as appearance, protection of fragile ingredients and the need for new features such as portion control.” The growth of on the go eating and drinking was highlighted in a 2006 report that found that 27% of respondents sip a drink while walking or driving, and the figure is far higher in individual countries; in the US, 58% of people do this. Mobile eating and drinking puts demands on availability, visibility and appeal, since buying on impulse is more and more frequent. “Extreme convenience will be the name of the game,” claims Frame. “Key consumer trends such as the demand for healthy added value products, the rise in concern over childhood obesity, the move towards smaller and single households and the erosion of traditional mealtimes due to busy lifestyles has lead to the demand for on the go dairy beverages in smaller portion pack sizes from 25cl to 50cl,” says Elopak Group Senior Manager Marketing Communications Werner Basler. “We see the emerging and development of new moments of consumption,” he remarks. “Consumers are consuming while travelling, at work and during social and sporting activities, giving rise to new distribution networks for portion sized products including vending machines, forecourts and leisure outlets.” Changing habits At SIG Combibloc, Product Manager for the combibloc and combifit ranges Luc Viardot also comments on the global change in eating habits: “The number of people eating the traditional three meals a day is constantly dwindling. Eating habits are more and more dictated by the individual’s daily routine. For many people ‘snacking’ has become a way of life. Meals are becoming more liquid - soups are making a comeback, and even a breakfast meal is now a breakfast drink rather than toast or a bun. “As consumers become more mobile, the food industry is keeping pace. New product concepts are bringing fresh impetus to the international food industry catering for consumers’ expectations that food and drinks should be available at any time and able to be conveniently consumed anywhere. Appropriate packaging plays a significant role in this,” says Viardot. A glance at the shelves in any supermarket shows what international market research studies also confirm: more and more foods in single serve packages are hitting the market. “We reckon that by 2010 worldwide more than 30% of all aseptic carton packs will be small size packages up to 33cl. Compare this with the situation in 2002, when single serve carton packs made up a scant 20% of the total,” predicts Viardot. “We are seeing an increasing number of consumers willing to experiment and to discover new product benefits, which is also driving innovation in the industry,” says Frame from Tetra Pak. “This is translating into rising demand by consumers for a variety of package shapes and sizes and increasing functionality. But it must be balanced with the demand by our customers for increasingly cost effective, flexible solutions with higher performance. This means we will see further changes in aseptic packaging technology and the products we develop.” So what is the industry looking for in the on the go sector? Susan Frame: “The industry is looking for the highest performance levels from hygienic and aseptic technologies to ensure the most demanding standards of food safety and quality are achieved. “This is even more challenging in flexible or high speed applications and here low acid dairy applications are at the leading edge of technology performance compared to high acid categories such as juices, nectars and still drinks. “Pressure to improve performance levels come from all sides of the value chain - from consumers, from competition in the dairy industry, from retailers and from legislators,” she points out. Meanwhile Viardot warns: “In saturated markets standard products will just not make the grade. Competitive pressure in the dairy industry is growing and with it the need to develop fresh, innovative ideas that allow food manufacturers to differentiate their products from those of the competition, while at the same time using more cost effective methods of production. These ‘multi sport disciplines’ are the main drivers for decision making in the beverage industry, and they demand a real all rounder - with regard to products, processing technology and packaging.” Any food manufacturer who wants to do more than just get by on the international market needs solutions that meet the demands of consumers and retailers, while simultaneously increasing profit margins. “Food manufacturers find themselves in a difficult position, because in order to be successful they are expected to lower costs and at the same time offer products with added value. Product developments that do not add up to profits are no innovation at all,” claims SIG’s Viardot. Ticking all the boxes Meanwhile, Basler from Elopak observes: “Consumers demand specific functional, emotional and environmental benefits from portion packs - easier to hold, drink from, open and re-close with no leaks and easy to dispose of and recycle. Our customers are looking for a portion packaging solution that ticks all these convenience boxes but which brings product differentiation and on-shelf visibility.” “Many customers across all beverage sectors have seen great success with the Diamond Pure-Pak Curve and the Mini Diamond carton. The Curve has been seen by many consumers as providing an easy grip for grab and go. For older consumers and kids these benefits have proved very important, but also the unique shape of the cartons has provided the marketing tool for the right product or brand image.” As childhood obesity has doubled worldwide in the last 20 years, this ‘epidemic’ has fuelled campaigns and crusades over healthy eating for kids. School milk has been a central focus with many countries seeing many changes including the banning of sugar based drinks in favour of milk, juice and water. For Elopak customer Reids in Canada, the Mini Diamond Curve cartons in both 25cl and 50cl sizes was the perfect portion pack to capture the right image for their school beverages as ‘cool’ products designed to fit with kids’ busy on the go lifestyles. At the other end of the age range, the over 55s or seniors market continues to grow as a key beverage market. Here the portion pack is seen to have an important role to play. “As seniors have very specific health requirements and as more seniors find their appetite wanes with age, the industry can assist by providing products with recommended portions on one serving. As European pioneers in this market, Austria’s Alpenmilch Salzburg found the 33cl Mini Diamond Curve the ideal solution for its Tut Gut ‘Does Good’ product range designed to meet the needs of the ‘fifty plus’ generation.” The creamy drink made from buttermilk and yogurt, contains Lecithin which helps to improve memory and concentration - key health concerns of older people. “To make it easy for consumers to obtain a daily dose of this nutrient - together with the health benefits of milk - the customer looked for a portion pack that provided a simple, easy to use pack, that provided on shelf differentiation and is recyclable in Austria.” “Consumer surveys confirm the trend towards greater public awareness of health and diet issues,” says Viardot, “and this is opening the way for foods with added value to have a stronger market appeal. Food manufacturers see this as an opportunity and a response to the question of what products they can use to create an added value product to justify charging a higher price and increase their profit margins. This means that investments in added value products must also be economically profitable.” * Other considerations* Products with unusual textures, such as velvety smoothies, provide an opportunity to combine new drinking and taste experiences with healthy ingredients such as fruit. In China, for instance, UHT milk containing pieces of real fruit in aseptic carton packs are proving a hit with consumers. Here too, Mengniu is setting the trend working together with SIG Combibloc to develop the new product concept. SIG Combibloc Market Segment Manager Liquid Dairy Diana Bechtold says: “We are convinced that this new product concept will bring fresh impetus to the international UHT dairy market.” And in fact UHT milk containing rice and wheat grains has now also been launched in single serve carton packs in China. Frame says: “In many markets cost is a major consideration. In emerging markets in particular, we’ve seen a trend towards smaller volume packages such as the 12.5cl and 20cl sizes that the Tetra Wedge Aseptic can offer. This meets consumer demand for key price points and at the same time, accommodates shops with limited shelf space. “In addition, some segments of the market, particularly younger consumers, like to express their personality through what they drink. For this group of consumers, funky, modern, and trendy packaging is a must. The attractive, eye catching forms of the Tetra Wedge Aseptic and Tetra Prisma Aseptic are perfect for this group. Tetra Top packaging solutions are also interesting because producers can combine different bottom formats, volumes, tops, carton materials, print qualities and cap colours to create a unique package that appeals to a certain market segment.” “As well as design and functionality, environmental concerns are playing a more significant role than ever in the packaging strategy,” observes Frame. “With both dairy producers’ customers and the end consumer becoming more aware of green issues, producers need to more carefully consider the environmental profile of their products. The less plastic, the better!” SIG confirms that environmental issues also impact on the go, as they do in all other dairy sectors and points to a recent study by the Nielsen Company (Global Food Packaging Survey) that confirms that half of all consumers already choose environmentally friendly packaging over convenience and want food manufacturers and retailers to react to that demand. Deliberately offering and consciously choosing ecologically friendly packaging solutions is a start. Future outlook Looking to the future, Tetra Pak recently announced the Tetra Top packaging solution for high acid ambient distribution (HAAD). Available in a variety of shapes and sizes from 20cl, this packaging solution presents another strong option for on the go packaging. Tetra Pak plans to develop this range for dairy drinks too because the original Tetra Top range is doing particularly well for white milk, yogurt drinks and other liquid dairy products. “The key factor in deciding on the development of new technologies and innovation is their cost effectiveness, performance and market impact,” says Frame. “Developing products that will help our customers be competitive and provide consumers with safe, new, functional packages that meet their changing needs is what drives innovation at Tetra Pak.”** **

*It's estimated that, each day, people use and discard more than one billion plastic bottles worldwide. Plastic’s popularity with consumers raises questions about environmental impact. As the inventor of the plastic bottle in the 1960s, Sidel is keenly aware of its responsibility to good corporate citizenship, particularly since PET plastic bottles are made from nonrenewable resources. * “As the leader in equipment for packaging beverages in plastic bottles, we have the opportunity, power and responsibility to bring change to this industry,” said Sidel President Mart Tiismann. Consequently, Sidel is offering its customers concrete and innovative solutions for a greener plastic bottle. Online since 1 April 2008, <<1>">www.no-bottle.com]<1> features information about initiatives at Sidel that address these issues. In fact, Sidel has been contributing to source reduction for some time. One example is NoBottle, a new ultralight, high-end PET bottle that symbolizes the full range of Sidel’s expertise in bottle lightweighting and eco-design. This new benchmark in lightweight plastic bottles, 25-40% lighter than the previous generation, has succeeded in overcoming a number of technological challenges to pave the way for new possibilities in the plastic packaging world. The site also keeps a real-time count of how much PET is being saved by NoBottle technology. As of late April 2008, savings already total 28,000 tons. Other avenues being investigated to conserve natural resources include research into bioplastic applications and an acceleration of bottle production using recycled PET. These initiatives point to Sidel’s determination to continuously move forward. Environmental protection is the new frontier in innovation, and to achieve its goal, Sidel is increasing its 2008 Research and Development budget by 20%. Available in five languages, the <<1>">www.no-bottle.com]<1> site targets a broad audience from packaging professionals to the media and general public. One section explains the bottle’s life cycle, from manufacturing to end of life. In addition to the functional appeal that makes plastic so popular with consumers, PET bottles are 100% recyclable and can have a second life as another bottle, in textiles or any number of applications. Through the website, Sidel is helping raise awareness about the importance of sorting and recycling so that consumers view bottles as objects of value instead of waste. <1>: http://www.no-bottle.com

The Austrian specialist for water packaging from Kremsmünster has made life easier in the 5-gallon industry. The new lift label from Capsnap Europe can be removed easily without leaving any adhesive residue. Intensive development work has succeeded in producing an innovative label that optimally meets the needs of 5-gallon packaging. Bottles without labels and glue remnants are much easier to recycle. That is why higher prices are paid for pure polycarbonates by the recycling companies. This means that lift labels bring real support to the 5-gallon industry and its needs. Not only is it easy to change labels when introducing new designs, but introducing temporary labelling for advertising and promotion purposes is also supported. The new lift label is UV-resistant, scratch-proof and stands up to caustic solutions. These properties make lift labels ideally suited for use on returnable 5-gallon bottles. What's more, they're designed to provide the same life as the bottles themselves. Successful development work The technology used for the lift labels has already been applied with success in similar applications. Capsnap Europe has tested and researched it for this special area of returnable bottle use for the 5-gallon industry. Countless washing, quality and other stringent tests have been applied to the lift labels, ensuring that they meet all the wish-list needs of the 5-gallon industry to the full. Individual alignment Capsnap is offering individual labels for 5-gallon bottles to make sure all customer wants and needs are catered to as comprehensively as possible. All the customer needs to supply is the design. Capsnap takes on production and delivery to schedule in the bottle producing plant, plus attaching the labels to the bottles. This is a step that not only allows total cost controlling, but also brings absolute delivery reliability. Numerous customers have already welcomed this service innovation. Among the latest customers is Nestlé the global foods producer, for its location in Poland. * Corporate data* Capsnap was set up in 1999 as a joint venture between the American packaging group Portola Packaging and the Austrian plastics leader Greiner Packaging. Greiner Packaging has held all the stock in Capsnap Europe since 1 January 2008 and is now the sole proprietor. Capsnap currently employs a staff of around 30. Corporate headquarters is in Kremsmünster, Austria. The corporate group is the European market leader for 5-gallon packaging.

From farm to consumer, US dairy industry leaders have joined together to launch a comprehensive sustainability initiative that will encourage industry innovations, improve environmental performance and position the industry for future marketplace demands. Three national dairy organisations – Dairy Management Inc, National Milk Producers Federation and the International Dairy Foods Association – said the new initiative will bring together producers, processors, manufacturers, distributors, retailers and others in the dairy supply chain to address sustainability. “The dairy industry recognises the growing number of people who care about the health and environmental impact of the products they buy,” said DMI Chief Executive Officer Tom Gallagher. DMI manages the national dairy producer checkoff programme. “We must do all we can to ensure that consumers know that the dairy industry is committed to improving their lives, both nutritionally and environmentally.” The initiative will identify key supply chain innovations that, as part of a comprehensive sustainability effort, can help position dairy as a preferred product among the rapidly increasing number of socially conscious consumers. Among the focus areas of the effort will be identifying opportunities to reduce energy consumption and costs in milk production and processing, as well as boost on farm income opportunities in emerging green energy markets. “We want to be sure that our industry is well-positioned to take advantage of future opportunities – both in terms of credits for reductions in greenhouse gas emissions, as well as developing new products and markets for milk,” said NMPF Chief Executive Officer Jerry Kozak. “Importantly, this initiative will help identify opportunities for dairy farmers to generate additional revenue from emerging energy markets through methane capture and other innovations. We also recognise that sustainability needs to be defined in a comprehensive way that acknowledges the socioeconomic benefits that dairy farms can provide,” Kozak said. “This is a key dairy industry value chain partnership that will allow us to cut energy costs, meet consumer needs and further develop our relationships with dairy buyers,” said IDFA Chief Executive Officer Connie Tipton. “By working together, dairy producers and processors can further demonstrate our industry’s commitment to healthy people and a healthy planet.” The DMI coordinated sustainability initiative is initially focused on the twin goals of reducing greenhouse gas emissions and growing the dairy business by meeting unmet consumer demand. Through this effort, DMI, NMPF and IDFA will identify best practices and opportunities for innovation in production, processing and marketing of milk and milk products. Currently, about 30% of US consumers buy products based on health and sustainability attributes, according to the Natural Marketing Institute. This rapidly growing consumer segment today accounts for some $227 billion in purchasing power. Recent surveys indicate that 85% of consumer product companies have sustainability policies in place (GMA/Deloitte). “We are at the dawn of a new era in the food retailing industry,” Gallagher said. “This groundbreaking, checkoff supported effort will help us tap the ingenuity of our industry and guarantee that we can continue to produce a highly nutritious and sustainable product for American consumers.” According to Gallagher, the sustainability initiative is designed to “increase dairy sales through innovation opportunities that will promote health and wellness, and preserve natural resources. Our focus will be on identifying sustainable practices that can help the dairy industry meet unmet consumer demand by driving innovation and efficiency in a way that sustains the industry economically, environmentally, and socially.” As part of the initiative, the three dairy organisations have begun efforts to analyse the carbon footprint of milk, from production on the farm, through processing and retail distribution, to consumption. This analysis will help identify potential innovation opportunities and possible best practices that can reduce energy use and increase sales in the dairy supply chain. After calculating milk’s carbon footprint, this life cycle analysis will be subject to a peer review process to develop a manuscript for publication in a scientific journal. This process will help ensure that the life cycle analysis accurately and adequately addresses milk’s true carbon footprint in a manner that is credible and transparent. According to Gallagher, this will help produce realistic, real world opportunities for dairy to increase its sustainable practices. “The dairy industry’s commitment to sustainability is a win win win,” according to Gallagher. “By working together, we can identify opportunities to cut energy costs, produce ‘green’ energy and develop a deeper connection with consumers and retailers.”

**The American protein company Designer Whey will be working with General Nutritional Centers (GNC) to increase domestic distribution of whey-based protein products. **According to the company, Designer Whey products are currently sold in more than 2500 GNC corporate, military and franchise operated stores around the globe. The company is also launching two new products: Designer Protein Blitz and a hunger curbing Designer Whey Lite & Lean. The 20o: Designer Protein Blitz drink line includes 30g of ‘the fastest protein on the planet’ and 7.8g of muscle-changing BCAAs per bottle and comes in three flavors: ‘WTF…Orange Mango’, ‘Can you take this…Punch’ and ‘Grip it good…Grape’. The Lite & Lean whey protein products feature trademarked Protein2GO Pak and 2oz canister formats as well as the Ready-to-Drink bottles with just 35 calories, 5g fiber, 0g fat and 5g of Designer Whey protein, they target those looking for tools to achieve weight loss.

The 2009 Product of the Year awards are now open for entry. If you think you’ve got an innovative product, why not put it forward for the UK’s biggest independent vote to see if the nation agrees? The deadline to enter is 30 June 2008. Any product or product line launched within the past 18 months can be entered into the 2009 awards. For more information on how to position yourself alongside the likes of Procter & Gamble, Unilever, Premier Foods, Beiersdorf and PepsiCo, visit www.productoftheyear.co.uk

Oogie's Snacks, a Denver-based producer of all-natural gourmet popcorn, has announced that its products will now be sold at 225 Hy-Vee stores throughout the Midwest. First established in 1930, Hy-Vee currently ranks among the top 30 supermarket chains in the nation, with sales of more than $5.6 billion. Hy-Vee stores are located across the Midwest in Iowa, Missouri, Minnesota, South Dakota, Nebraska, Kansas and Illinois. Oogie's Gourmet Popcorn will be available at the entire network of stores in a full range of flavours including Spicy Chipotlé & Lime, White Cheddar, Sun-Dried Tomato & Parmesan, Smoked Gouda, Romano & Pesto, Caprese, and Asiago & Cracked Pepper. "We determined that Oogie's was a quality product that would fill a niche in the snack category," said Todd Tetmeyer Specialty Foods Buyer at Lomar Distributing, the exclusive distributor for Hy-Vee stores. "It's unique, different and certainly fulfils Hy-Vee's commitment to providing great quality food products." "I think our authentic ingredients and gourmet flavours will really help complement Hy-Vee's natural snack offerings," said Eric Thier, Oogie's President and CEO. "Although we're already in all 50 states, the added distribution with Hy-Vee will help with market penetration and introduce Oogie's to a whole new audience." Darrin Foster, Oogie's Chief Operating Officer and Iowa native added, "I grew up shopping at Hy-Vee, so seeing Oogie's on the shelves there will really mean a lot to me."

This follows the release of year-end figures that show it defying current beer trends. Relaunched in the UK in 2005, Peroni is the fastest-growing top 10 premium lager, with sales up by over 39% versus last year. In a premium lager market struggling to retain value, Peroni is building growth while remaining premium-priced versus the market average in all formats. "The premium lager market is currently polarised," said SABMiller Europe MD Alan Clark. "A number of large, household names are suffering in terms of both volume and value, while Peroni enjoys significant gains. We firmly believe that this is attributable to the robust distribution and pricing strategy we have implemented and the engaging marketing activities of our UK team. "While other brands are being heavily discounted, we are consciously taking a very different approach. Peroni offers UK consumers a truly aspirational, premium beer which is helping to restore value to the UK market." Italian style In the UK, Peroni has focused marketing activities around the brand’s Italian credentials, partnering with chef Giorgio Locatelli to create and promote iconic Italian dishes, working with Italian Vogue to produce a photographic retrospective of '50 years of Italian Style, and later this year working with iconic Italian design brand Alessi to produce bespoke pieces. The sales strategy has been similarly focused, with distributors Miller Brands UK following a disciplined distribution model to ensure that the brand is stocked and marketed in outlets that can ensure throughput and quality. Peroni Nastro Azzurro is brewed by SABMiller’s Italian subsidiary, SpA Birra Peroni, and marketed and distributed in the UK by Miller Brands.

Following the launch of the first Centre for Excellence (for Structured Emulsions) at Vlaardingen in the Netherlands last month, 14 May saw more than 200 global visitors attend a grand opening for the Centre of Excellence for Drinks at Colworth Science Park in Bedfordshire, UK. Further Centres of Excellence are to be opened shortly in Italy, Germany and Poland, each with its own area of expertise. Giving the opening ceremony speech, Director Phil Evans said: "Our main mission at Unilever is 'Adding vitality to life'. We're all concerned with how we look and feel and want to live a healthier life and give our children a good start, too. "There's an unmistakable link between nutrition and health taking place in consumers' minds right now, and we want to make this both convenient and affordable. Our expertise in plant materials – ie releasing the natural goodness from plants into drinks means that consumers can access nutritional foods in a very convenient format whether at home or on the go. There's no better way of dosing yourself with a health benefit than through drinks. "If you discount water, then 40% of fluid consumed globally is tea-based beverages, and Lipton is by far the largest tea brand in the world – by a factor of three. Among our brands, we can also list Adez, Knorr Vie, SlimFast Hungershots, Flora/Becel and Brooke Bondl." Advances in technology Mr Evans continued: "In Europe, there were 40 centres of Research and Development – there will now be six in total to build critical mass and enhance capabilities through direct interaction. Here in the UK Centre of Excellence, we employ 90 people of 15 nationalities. It's advances in technology which drives forward our plans. "Our expertise is taking tea from the bush to the brand, and we reach back a long way and have moved forward into packaging expertise with many ready to drink teas in PET. We aim to bring the best science and technology into the supply chain. And while upholding the importance of safety and microbiology through our understanding of nutrition and ingredients, we're able to differentiate from our competitors. We spend time understanding our consumers as 'consumers taste with their eyes', and so product colour and packaging, leaf size and appearance are all important. "Our most recent move indicates our ambition to be environmentally and socially responsible, our strong links with Rainforest Alliance are a major first step. All our leaf teas on a global basis will come from sustainable sources – meaning the way we make, package and dispose of it are all under scrutiny. "People are also important to us – we're not just grafting old onto new but developing a new culture. We use our knowledge and know-how from our other centres and have made this move to ensure that we work globally and think globally and take calculated risks. "We work with passion to deliver real consumer benefits. Mere lip service is no good. The great innovations are those that are also a business success and we can deliver these by linking consumer insight with technical insight.” Centred on vitality Vice President of Beverages, Didier Dallemagne, followed by saying: "We are all now used to terms such as catechins, theanine and flavonoids being applied to tea. Tea has a 5,000-year-old history and Lipton has a great future. We're energised by the knowledge we have and frustrated by the choices on offer, as we cannot do all that we want to at once. "It's very impressive to see this centre through the eyes of those who come here, such as our colleagues in the Pepsi Lipton International JV. All our brands are centred on vitality, from shot drinks containing functional ingredients, and teas, fruits and vegetables with their inherent benefits. Our research and development is centred on and embedded in the brands, and we have developed ‘Benefit Ladders' for Lipton. "Four clear innovation platforms include magnifying inherent goodness, packaging development, making our products accessible to the mass market, and social and environmental responsibility. "Our business results have been very good, with growth of 14% gross last year, of which 7% was for leaf tea alone." Emmo Meijer, head of global research and development, finished by saying: "Today is not about Colworth but about communicating our capabilities on a worldwide basis and supporting all our businesses around the world." Soy juice The soy juice drink Adez is doing exceptionally well in South America, where people understand soy’s benefits better than anywhere else around the globe. Flavours, including red berries and mango passion fruit, are being added to with golden kiwi and guanabana. Lipton’s expertise has prevented the separation problems of early soy drinks, which had a chalky, grainy texture and improved the smooth and creamy mouthfeel of this functional drink. Full of calcium and vitamins C and D, it's also popular in Holland, with further growth expected across Europe. Apparently, Lipton has reduced the sugar used in its RTD tea by 30% in the last five years. Iced tea is today more authentic and more natural. Concentrate kits of 5,000 litres are sent to 100 Pepsi bottlers around the globe. In 2007, one billion litres (that’s 3 billion cans) were sold, which is enough for 382 Olympic-sized swimming pools!

**Solbar Industries Ltd in Israel has launched Solpro 957, a low sodium 90% isolated soy protein at VitaFoods, Geneva, Switzerland. **In spite of the fact that salt is an important part of our diet international health organizations have made a call to lower salt content of products to the lowest levels possible. Solbar is joining the efforts of responsible food manufacturers when it comes to soy proteins. VP Marketing and Development Gary Brenner reported: “Solpro 957 has already been approved in the United States and Europe for two key market segments, bakery and ready-to-drink beverages. An important part of improving the nutritional profile of food products is reducing sodium content by 15 to 20% in many cases.” Solbar has maintained that it can reduce typical sodium levels in its soy isolate to 300 mg/100g (3,000 ppm). Typical sodium levels in soy isolates are estimated at 11,000-13,000 ppm. Key factors for successful sodium reduction include guaranteeing that the protein has no metallic flavor, low viscosity and working well in meat and food formulations. According to Brenner, market targets include processed meats, convenience foods, instant soups, bars, cereals and beverages. On 2-3 June, Solbar will co-sponsor the 5th International Soy & Health Conference to be held in Ghent (Belgium), which will introduce updated research on the health benefits of soy isoflavones in reducing symptoms of Type 2 Diabetes.

The joint venture will further strengthen the relationship between Arla Foods amba farmers and AFMP farmers (MPL members), and will give UK farmers more insight into their processor’s business. Under the joint venture, a new company will be established, which will hold a 7% share in Arla Foods UK plc. Arla Foods amba and MPL will each take a 50-50 stake, with money invested by MPL helping fund further investment in Arla UK’s processing business. Commenting on the joint venture, Arla Foods UK plc’s CEO, Peter Lauritzen, said: “Arla Foods amba is a farmer cooperative and is committed to strengthening its relationship with UK farmers. The joint venture underlines Arla Foods amba’s commitment to come together with UK farmers so they have an opportunity to input into Arla UK’s strategy and share in the success of the UK business.” Common interests The joint venture company board will have equal representation from both MPL and Arla Foods amba. The purpose of the board meetings will be to discuss the performance and strategy of the UK business and discuss matters of common interest between UK, Danish and Swedish producers. Under the joint venture agreement, the level of investment in MPL for AFMP farmers (MPL members) will be one penny per litre. Due to MPL’s previous investment in Arla Foods UK plc, the majority of farmers have already paid in full for their original share allocation. Any overpayment will be returned to members. New members joining the Partnership will pay a 0.2ppl levy, through MPL, over a five-year period, to bring their total investment to one penny per litre. Jonathan Ovens, chairman of MPL and AFMP, has welcomed the move. “The joint venture has given us the opportunity to join a family of farmer shareholders and to get closer to, and gain a greater understanding of, Arla’s UK business. We are buying into a good, strong business and are excited about the company’s long-term strategic direction. Ove Møberg, chairman of Arla Foods amba, is also delighted: “This initiative unites almost 11,000 Danish, Swedish and British dairy farmers in a joint venture and allows UK farmers to be part owners of Arla Foods UK plc. “We've had a good, positive dialogue with MPL over the last 10 months and welcome the opportunity to work more closely with them in the future.”

Sales by Germany’s Eckes-Granini Group – a major producer of juice and fruit drinks across Europe – rose 12.6% to €921 million in 2007, the company revealed today (14 May). Turnover of Eckes-Granini’s core business, excluding the company’s distribution partnership with Szentkirályi mineral water in Hungary, rose 12% to €899 million. The overall growth was driven by increased sales in Germany (+8%) and France (+18%). The group’s value share across its seven key markets increased to 14.1% in 2007, from 13.7% in 2006. Earnings before interest and tax (EBIT) were 3.7% up at €38.3 million, despite higher raw material costs and continued investment in market development. “Thanks to the excellent performance of our strategic brands, we succeeded in raising both turnover and volume sales while achieving respectable earnings,” commented Eckes-Granini Chairman Thomas Hinderer. Three key brands Volumes in the core business lagged behind revenue, growing 6% to just over 1 billion litres. Volume gains were led by the international brand granini (+6%), coupled with Joker in France (+12%) and Marli in Finland (+20%). Including 118 million litres of bottled water sold through the partnership with Szentkirályi, total volume was 8% up at 1.15 billion litres. Eckes-Granini now employs a total workforce of roughly 1,500, and has sales and production subsidiaries in 15 countries: Germany, Austria, France, Spain, Switzerland, Denmark, Sweden, Norway, Finland, Latvia, Lithuania, Estonia, Hungary, Romania and Russia. The group expects turnover to grow more strongly in 2008, despite a slight decline in volumes and continued high costs for raw materials. Expansion will be achieved through a combination of organic growth, acquisitions and strategic partnerships. “We have the required liquid resources, and are financially well equipped to meet the challenges of the future,” said Hinderer.