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Industry
News
Several retailers are investing money
into standing out from the crowd,
hoping to grab market share. Wal-Mart is touting its
commitment to low prices and promoting special deals
to help consumers stretch their dollars. Aldi Group
is also promoting its no-frills, deep-discount format
in a series of television advertisements that stress
its low prices on private-label products, reported The
Wall Street Journal. Full
Story (WSJ Subscription Required)
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Meanwhile, as part of a national
expansion Aldi Inc. aims to open 100 stores in 2008.
The company recently opened its 30th Northeast
Ohio unit and is planning to open stores in Chardon,
North Ridgeville, Lyndhurst and North Olmsted in 2009,
and in Strongsville and Euclid in 2010, reported The
Plain Dealer. Full
Story

Procter & Gamble Co. will raise its
prices by as much as 16% in September or October
due to high fuel and raw material costs, according to
a company spokesman. P&G already increased prices by
6% or more earlier this year, reported The Cincinnati
Enquirer. Full
Story (Free Registration Required)
Latest
sales & earnings for food related companies
(Updated Daily)
The Grocery Manufacturers Association
appointed a search committee that is in the process
of finding the right person to lead the organization.
Current GMA President and CEO, Cal Dooley, was named
President and CEO of the American Chemistry Council
(ACC), and will assume his new duties at ACC on Sept.
8. Full
Release
Biofuels
reportedly forced global food prices up by 75%,
according to a leaked World Bank report. However, the
U.S. government claims biofuels are responsible for
only 3% of the increase, reported The Toronto Star.
Full
Story (Free Registration Required)
Select restaurants in McDonald's
Southwest region will get McCafé coffee shops
prior to the national rollout, which is expected
in the first half of 2009, a spokeswoman for the chain's
Southwest region said. The first McCafé in New
Mexico could be phased in before the end of the year,
reported New Mexico Business Weekly. Full
Story (Free Registration Required)
PURE Taqueria, LLC signed a multiunit
development agreement with Dos Compadres, LLC for
the metro Atlanta area market. Dos Compadres secured
the rights to open five PURE Taqueria restaurants within
the next five years. Full
Story
Stockholders of Max & Erma's
Restaurants Inc. approved the sale of the company
to G&R Acquisition for about $10 million, reported The
Earth Times. Full
Story
Despite
a 4% decline in the number of milkshakes restaurants
served in 2008, marketers are still appealing to
consumers' sense of nostalgia and comfort with the recent
increase of hand-spun shakes. Opposed to regular
fast-food milk shakes, each time someone orders these
beverages at Chick-fil-A or Wendy's, for example, an
employee mixes at least part of it by spinning ingredients
with a blender, reported The Charlotte Observer.
Full
Story (Free Registration Required)
Edy's/Dreyer's launched two new Slow
Churned Yogurt Blends: Peach and Berry Granola.
Full
Story
Turkey Hill Dairy is adding additional
calcium and vitamin D to some of its products in
its Light Recipe Ice Cream, Frozen Yogurt, and Frozen
Yogurt Smoothies. Full
Story
Denny's is launching its new take
out breakfast program B-FST 2GO, and offering full
breakfast take out in customized Denny's Dome packaging.
Full
Story
Cargill is starting to roll out Truvia,
its natural, no-calorie sweetener, and expects the
product to be on grocery shelves across the U.S. sometime
this fall, reported Reuters. Coca-Cola Co. co-developed
the product with Cargill and has exclusive rights to
use Truvia in beverages. Full
Story
Hearst
Magazines and MSN partnered to develop and launch a
food-related website - Delish.com, also available
at delish.msn.com. The new website will feature thousands
of recipes, food related articles, photo galleries,
video and interactive tools. Full
Story
Gatorade
will install a large rooftop solar array to power
its distribution facility in Tolleson, AZ. The company
will install a 500-kilowatt system at the facility,
which will supply 40% of its annual energy needs, reported
AZCentral.com. Full
Story (Free Registration Required)
International News
Wal-Mart Stores Inc. may increase
the number of Canadian supercenters it opens
this year, which will put more pressure on grocers in
Canada to reduce food prices, stated BMO Capital Markets
analyst David Hartley. Wal-Mart may expand with 40 or
50 Canadian stores, with half being new supercenters
and a third from conversions of other sites to the larger
format by the end of January, according to Mr. Hartley,
who cited unidentified people in the "real estate
world," reported Bloomberg.com. Full
Story
South Korea will require most restaurants
to specify its beef's country of origin beginning
this week. The new directive will affect 640,000 restaurants
in the country, and noncompliance may result in a $4,800
fine, reported UPI.com. Full
Story
Quebec
decided to lift a ban on selling yellow margarine.
The province had little choice but to change the regulations
after an interprovincial trade panel ruled the practice
discriminatory three years ago, according to Toronto
Star. Full
Story
The
Quebec drugstore chain Jean Coutu Group Inc. is putting
on hold plans to expand into Ontario. "At this time,
it's preferable for Jean Coutu and its shareholders
that we invest in our core market and make sure we keep
our leadership" in Quebec, said Francois Coutu, the
drugstore chain's President and CFO. That does not mean
Jean Coutu will not continue to be on the lookout for
any interesting acquisition opportunities in Ontario,
he added. He made the comments after Jean Coutu reported
another significant loss on its investment in Rite Aid
Corp., according to The Globe and Mail. Full
Story (Free Registration Required)
Waitrose plans to launch its first
grocery convenience store early next year to take
on Marks & Spencer, Sainsbury's and Tesco. The convenience
stores are likely to be sized between 3,000-sq. ft.
and 4,000-sq. ft., reported The Independent.
Full
Story
The European Commission launched
a plan to provide free fruit and vegetables to schools
across Europe in a drive to curb child obesity. The
commission aims to spend $141 million annually, a sum
to be matched by participating governments, reported
BBC News. Full
Story
Health News
Green
tea may protect heart arteries
by keeping them flexible and relaxed, and therefore
better able to withstand changes in blood pressure,
according to a study. Those who drank green tea showed
greater dilation of their heart arteries on an ultrasound
30 minutes later than those drinking either diluted
caffeine or hot water, reported Time. Full
Story
Expectant mothers that
consume probiotics may help their infants fight off
respiratory infections, according to new research
published in the medical journal Pediatrics,
reported Reuters. Full
Story, Study
Abstract
Washington News
USDA agriculture secretary Ed Schafer
expressed confidence in the nation's food safety system,
but stated the meat processing industry will always
face challenges because the bacteria that animals carry
evolves, reported The Associated Press. Full
Story
The New York Times on the Web
calls for the U.S. to institute an effective system
to track food from the farm to the table "before
even more people fall ill from tainted foods" in
an editorial. Full
Story (Free Registration Required)
Anheuser-Busch sued InBev, claiming
it devised an "illegal plan" to mislead Anheuser-Busch
shareholders with its $46 billion takeover bid. Anheuser-Busch
is asking the court to stop InBev from trying to sway
shareholders to take the deal, reported USA Today.
Full
Story
The California Restaurant Association
filed suit against the City and County of San Francisco
and the San Francisco Department of Public Health
to overturn its "menu labeling" ordinance. Filed in
federal court on July 3, the suit claims that the San
Francisco ordinance is preempted by current law. Full
Story
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ECONOMIC
DOWNTURN PRESENTS OPPORTUNITIES & CHALLENGES
FOR RETAILERS
The
future of food retailing for the next three
to five years will be dramatically affected
by two major trends: food inflation and
the emergence of small format stores, according
to the annual Future of Food Retailing
webinar presented by The Food Institute
and Willard Bishop, which examined the state
of the food and consumables retail industry
in 2007 and beyond. Food price inflation
will exceed current "conventional wisdom,"
and be a factor for three or more years,
predicted Willard Bishop during the webinar.
In fact, predictions about the rate of inflation
have generally been underestimated. However,
this food price inflation can benefit food
retailers with winning shopper value equations
and solid plans to take advantage. If
you missed The Future of Food
Retailing webinar and would like to
purchase a recording, click
here.
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The number of food insecure people
in the 70 lower income countries rose by 133 million
in 2007, according to USDA's Food Security Assessment
report. The food security situation of these countries
is projected to deteriorate over the next decade, and
the distribution gap is projected to rise from 44 million
tons in 2007 to more than 57 million tons in 2017. USDA
Report
The California Department of Social
Services (CDSS) released $1.1 million in unspent
freeze funds to provide relief to 49 Emergency Food
Assistance Program food banks that service all California
counties. CDSS estimates that food banks will be
able to purchase as much as 1.35 million pounds of food
with the additional $1 million. Full
Story
FDA will soon make available a draft
guidance for industry entitled "Voluntary Third-Party
Certification Programs for Foods and Feeds." This
draft guidance describes the general attributes FDA
believes a voluntary third-party certification program
should have in order to help ensure its certification
is a reliable reflection that the foods and feeds from
certified establishments are safe and meet applicable
FDA requirements. The agency will publish a Federal
Register Notice on July 10 that will include a working
link to the document. Full
Notice
In an upcoming Federal Register Notice,
FDA will seek third-party certification bodies that
certify foreign processors of aquacultured shrimp for
compliance with FDA's Seafood Hazard Analysis and Critical
Control Point regulations to volunteer to participate
in a pilot program. The goal of the pilot program is
to gather technical and operational information that
will assist FDA in determining its infrastructure needs,
as well as the process for evaluating thirdparty certification
programs, in order to assist FDA in moving towards broader
recognition of voluntary third-party certification programs,
including third party certification programs for aquacultured
shrimp, at a later time. Full
Notice
Market News
More than 4,800 dairy cows at risk
of carrying tuberculosis are being slaughtered
in central California, where nearly 16,000 cattle in
the country's largest milk-producing region were quarantined,
according to federal officials. Officials have not released
the identities and locations of the three dairies where
cows tested positive for the disease. However, the discovery
has already prompted changes in interstate shipping
regulations, reported The Associated Press. Full
Story
A marketing and distribution company
of locally grown products in Manatee, Sarasota and Charlotte
counties, Suncoast Food Alliance, delivers produce
from West Central Florida farmers to the area's restaurants.
Suncoast is working with farmers to expand their crops
to meet the needs of the restaurants, finding a demand
for more produce like heirloom radishes, leafy green
vegetables, lettuce, green beans, Russian fingerling
potatoes and French creamer potatoes, according to Bradenton
Herald. Full
Story

Mexican guava growers plan to export
their tropical fruit to the U.S. by year's end.
Guava exports could earn $80 million in the first year
and eventually reach $400 million annually, noted Mexican
authorities, reported The Associated Press. Full
Story
Agricultural officials are assessing
potential damage to California's Santa Barbara County
fruit trees near the fire lines. The county agricultural
commissioner claims the fire singed avocado and citrus
groves near the bottom of the steep hills that are burning,
reported California Farm Bureau.
USDA released Conservation
Reserve Program acreage for livestock grazing in
counties recently designated as Presidential Disaster
Areas because of flooding. The release permits grazing
only in counties designated as primary and contiguous
disaster areas and only because of flooding. Full
Notice
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