Industry News

Small-scale farmers are experiencing complications as they adapt to the country's expanding diet for locally grown foods and the exacting demands of high-volume distributors of their produce. Companies such as Sysco, Whole Foods, and Wal-Mart want guaranteed volumes, set prices for an entire season, and the ability to trace produce back to its source, reported The Seattle Times. Full Story (Free Registration Required)

Restaurants are becoming an integral part of shopping centers, as they now account for a larger share of total leasing and often act as anchor tenants. When West Plano Village opens in Texas in 2010, restaurants will account for nearly half of all retail space. About 25% of Shops at Legacy's total retail space will be devoted to restaurants once its latest phase is finished this fall in Plano, TX. The trend marks a change from 20 years ago, when restaurants made up 10% to 15% of leasing, according to Herb Weitzman, chief executive of Cencor Realty Services, reported The Dallas Morning News. Full Story (Free Registration Required)

Prices for school lunches are increasing by about 25 cents a meal this fall due to increasing food costs. For example, Newark, NJ is raising the full price of its daily lunches to $1.50 from $1.25, as its overall food budget grows to an estimated $5.2 million from $5 million last year. In Paterson, NJ, the full price is also increasing by 25 cents, to $2.25 in high schools and $2 in elementary schools, to help cover a 23% increase in bread prices alone in the last year, reported The New York Times on the Web. Full Story (Free Registration Required)

Starbucks will introduce more nutrition-friendly breakfast food with fewer calories, more protein, fiber and fruit beginning Sept. 3 at most of the 11,570 locations in the U.S. and Canada. Six new items include hot oatmeal, an energy bar, and a whole-grain apple bran muffin with fruit pieces. The company plans to revamp its lunch and dinner menus in 2009, reported USA Today. Full Story

Foods with added stimulants are targeting the energy drink market as producers are developing new ways to energize consumers seeking alternatives to sugary beverages, according to a global consumer trends analyst. Replacing energy drinks, the new foods provide stimulation while avoiding sugary additives and bitter tastes, with some products containing the same amount of caffeine in one serving as three-and-a-half cups of coffee, reported Food Navigator USA. Full Story

J. Christopher's Restaurant will begin franchising by targeting the Atlanta suburbs and markets throughout the Southeast for expansion. The company currently has 20 locations including 17 Atlanta restaurants and one each in Nashville, TN, Savannah, GA and Tampa, FL. Full Story

Dr Pepper Snapple Group, Inc. (DPS) reached an agreement to acquire a minority interest in Big Red, Inc. DPS is the largest distributor of Big Red products in the country, accounting for approximately 80% of the brand's overall case volume. Full Story

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Revionics Inc. launched the Revionics Advanced Pricing System, a price optimization offering, for the food distribution industry. The Revionics offering will integrate with existing installed customer service and enterprise systems used by distributors, reported CSP Daily News. Full Story

Blackstreet Capital Partners sold Houston Harvest, Inc. and Gift Products, Inc. to Signature Brands, LLC. Full Story

Sealed Air introduced a new microwavable tray package for steaming produce, which can be used to market healthy, convenient meals. The U.S. packaging firm stated that the addition to its Simple Steps line is intended for fresh-cut vegetables and uses a self-venting technology to steam-cook fresh produce in the microwave in "a matter of minutes," according to Food Production Daily. Full Story

Wausau Paper is shutting down one of the two paper machines at its Specialty Products mill in Jay, ME by the end of this year in response to dramatically increased input costs and difficult market conditions. With a capacity of 40,000 tons annually, the machine serves the release liner market and a variety of smaller niche markets focusing on tape backing grades, high performance release liners and food service and food packaging market, reported Market Watch. Full Story

Urban Farming, a nonprofit that turns vacant lots into gardens, now has 600 gardens across the country in cities such as New York, St. Louis, Chicago, Atlanta, Minneapolis and New Orleans, reported the San Diego Union Tribune. The group started with three gardens in Detroit in 2005. Full Story

Bigg's Pharmacy launched Prescription Plus, a rewards program which offers special discounts on future grocery purchases to new and frequent pharmacy customers, reported The Cincinnati Enquirer. Full Story (Free Registration Required)

Jack in the Box launched Pita Snacks, a new product platform of snack-sized, wrap-style sandwiches, in several of its markets, primarily in the west. Full Story

International News

A wholly-owned subsidiary of Kirin Holdings Company Limited, National Foods Limited, was named the successful bidder to acquire all shares in Dairy Farmers, Australia's second-largest fresh dairy company for $583 million. Full Story

Concerns were raised about the long-term future of Australia's small family-run independent supermarket operators and smaller retailers such as butchers, bakeries and greengrocers and their ability to compete with the major supermarket chains, according to a Competition and Consumer Commission report. Matters taken into consideration by the inquiry included: the current structure of the grocery industry; the nature of competition at the all levels of the grocery industry; the competitive position of small and independent retailers; pricing practices; factors influencing the pricing of inputs along the supply chain; any impediments to efficient pricing of inputs; and the effectiveness of the Horticulture Code of Conduct. Full Story, Full Report

A controversial energy drink will be out on UK shelves amidst criticism from politicians over the launch. The product, named after an illegal drug, contains 350% more caffeine than rival brand Red Bull. Manufacturer Redux Beverages emphasized that the product's formulation remains in line with EU guidelines for high-caffeine beverages, reported Beverage Daily. Full Story

Although Mexican farmers typically save seeds for the following years' planting seasons, they are importing high-quality planting seeds at an increasing rate. The U.S. is still one of the main seed suppliers to Mexico, and is projected to supply almost 27% of total seed imports, according to a USDA report. Full Story

Global consumption of instant noodles is increasing, and some industry insiders estimate it will more than double to 200 billion units by 2018, reported The Japan Times. Full Story

Pioneer Hi-Bred opened two seed research centers in Europe to bring higher yielding corn and sunflower hybrids to farmers. The Dupont-owned company invested more than $5 million at the centers and transferred 25 existing researchers and 10 newly-hired researchers to the sites. The openings follow an increase of 10% in research spending for 2008 by Pioneer. Full Story

Belgium-based Beneo-Orafti will increase the price of its inulin and oligofructose offerings for the second time in less than 12 months. The chicory specialist claimed that higher energy costs were the primary reason for the 25% jump across its range that comes on top of a 6%-8% price rise which took effect on Oct. 1, 2007. The new pricing regime is effective Nov. 1, reported Nutra Ingredients Europe. Full Story

The death toll from a listeriosis outbreak in Canada linked to products from Maple Leaf Foods climbed to 12, reported The Vancouver Sun. Full Story

Health News

Blueberries, strawberries, spinach, oranges, mustard greens, and broccoli are among the super foods with the highest nutrient density, according to a measurement system developed by Yale University's Prevention Research Center. The system ranks foods on a numeric scale and those six received 100, the highest score possible, reported California Farm Bureau.

Genetics might cause some people, especially kids, to be super-sensitive to bitter foods, according to The Society for Neuroscience. The research is helping scientists understand how the brain interprets taste signals and may lead to methods that can enhance or block flavors of foods, beverages, and medications. Full Story

Washington News

Health officials in the U.S. and Canada are debating setting standards for warning labels amid increasing concern that consumers are so confused they are starting to ignore the warnings. FDA will hold a public hearing on Sept. 16, a first step toward developing what it calls "a long-term strategy" to clear the confusion, reported CBSNEWS.com. Full Story

The U.S. challenged China to justify the legality of its tax, subsidy, and export rules for farm products such as pork and wheat, according to a letter posted on the World Trade Organization's website. The U.S. questions take aim at an article of China's business law which "wholly exempts agricultural producers from the payment of enterprise income taxes with regard to the 'rearing of livestock,' including pork." The U.S. argues that the loophole also exempts processors of pork from the tax, and asked the Chinese government how much revenue its pork producers and processors are generating each year, reported The Associated Press. Full Story

Market News

Chiquita Brands International is looking to become more of a consumer-products company like Procter & Gamble, according to chairman and CEO Fernando Aguirre. The company is expanding into portable snacks and drinks while further growing the previous acquisition of prepackaged salad company Fresh Express. In addition, the company is a supplier of Burger King's new Fresh Apple Fries and supplies apple slices available as sides at 15,000 U.S. Subway stores. The company is the primary supplier of bananas for Starbucks' new Vivanno smoothies. Other initiatives include Just Fruit In A Bottle, a separate Chiquita-branded fruit smoothie now available in six European countries, reported The Cincinnati Enquirer. Full Story (Free Registration Required)

The remnants of Hurricane Fay took the heaviest toll on Georgia's $128 million pecan crop, especially in southern counties along the Florida line, according to preliminary assessments. The storm also toppled corn stalks throughout southern Georgia, reported The Associated Press. Full Story

A severe hailstorm in south central Colorado wiped out part of the barley crop that MillerCoors and Anheuser-Busch use to brew beer. Although a spokesman claimed the storm would not affect its beer production or prices, it did cause an estimated $42.4 million in crop damage, reported Rocky Mountain News. Full Story

Orange juice rose to its highest price in a week on concerns that Tropical Storm Gustav might become a hurricane, threatening citrus groves in Florida, according to The Bradenton Herald. Full Story (Free Registration Required)

The switch to abandon slow-growing agave plants to cash in on corn, beans and other food crops selling for record prices worldwide could limit the supply of tequila and drive up the drink's cost. The move is part of an international trend as growers cut back on their trademark crops in hopes of making big money on corn and grain, reported USA Today. Full Story

New Zealand production of kiwifruit is expected to break another record in 2008, increasing approximately 4% to 382,000 tons, reported USDA. Full Story

USDA decreased the assessment rate established for the California Date Administrative Committee for the 2008-09 and subsequent crop years from $0.75 to $0.60 per hundredweight of dates handled. Full Notice

USDA decreased the assessment rate established for the Prune Marketing Committee for the 2008-09 and subsequent crop years from $0.60 to $0.30 per ton of salable dried prunes. Full Notice