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September 04, 2008
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Industry News

SUPERVALU is launching a new line of "restaurant quality" foods nationwide at all of its stores. The Culinary Circle brand will initially feature more than 150 items in the deli, bakery, frozen, and center store aisles. Offerings range from on-the-go meals, hors d'oeuvres, and gourmet spreads to high-end desserts and artisan breads. Full Story

Kellogg Company acquired the assets of IndyBake Products LLC and Brownie Products Co., a privately held contract manufacturing business that produces cracker, cookie and frozen dough products. IndyBake Products and Brownie Products' two manufacturing facilities will be integrated into Kellogg's U.S. Snacks manufacturing network. Full Story

The use of functional ingredients and innovative packaging of candy will elevate market sales, according to a report from Global Industry Analysts. Perception of candy products as a low-cost comfort food and the increasing use of exotic flavors and organic fillings solidify confectionery's transformation into a staple snack worldwide, particularly in the emerging and increasingly Westernized markets of Asia and Eastern Europe. Full Story

PACK EXPO International 2008

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Wal-Mart unveiled its Walmart Smart Network, which will deploy response measurement and message optimization technologies to shoppers by store, by screen, by day, and by time-of-day. Full Story

Doherty Enterprises Inc. signed a deal with El Pollo Loco to open 30 restaurants in Northern and Central New Jersey and Long Island, NY, reported The Record. Full Story

Latest sales & earnings for food related companies (Updated Daily)

Dominick's is planning to lease space to non-competing retailers such as exercise gyms or fashion clothing companies in 15 of its larger Chicago-area stores to try to boost sales, according to real estate sources, reported The Chicago Sun-Times. Full Story

Cupcakes are proving popular in Las Vegas. Henderson, NV-based The Cupcakery sells more than 2,000 per day. Another store operates in Summerlin, NV and last month the Cupcakery opened its third location outside Dallas. The cupcakes retail for $3.75 apiece and $30 for a dozen, reported The Las Vegas Sun. Full Story

Food shortages and resulting high prices will be a greater problem for US consumers in the next decade than energy.


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Stevia does not degrade in beverages on exposure to light, according to a new study from Coca-Cola that will be published online in the Journal of Agricultural and Food Chemistry, reported Food Navigator USA. Full Story

Energy claims are increasingly moving beyond drinks and energy bars. Products featuring energy claims now include Morning Spark oatmeal, Sumseeds sunflower seeds, and Phoenix Fury potato chips, reported The Philadelphia Inquirer. Full Story (Free Registration Required)

Sonic added string cheese to its kids menu, reported QSR Magazine. Full Story

Heaven Hill Distilleries will produce Tabasco brand Spicy Tequila. The new tequila debuts this month in five markets, reported Brandweek. Full Story

Hat Trick Beverages Inc.'s products are now available in Hi Health Stores and Fry's. Full Story

Nestle introduced Glowelle, a beauty drink dietary supplement that claims to protects and hydrates the inner and outer layers of the skin. The product is formulated with a proprietary blend of high antioxidant vitamins, phtyo-nutrients, and botanical and fruit extracts. Full Story

The Delhaize Group published its first Corporate Responsibility Report. The report highlights the company's achievements and strategic priorities in the areas of product, people and the planet. Full Story

International News

A growing number of foreign-based restaurant companies are looking towards the U.S. as domestic chains secure their future strength through aggressive overseas expansion. The pace of foreign chains' expansion into the U.S. is increasing, as Japan, Belgium, Great Britain, Mexico and more are exploring business opportunities in the U.S., reported Restaurants & Institutions. Full Story

Wal-Mart Stores Inc. will open its Asian headquarters in Hong Kong. The office will oversee the company's operations in mainland China, India, and Japan, according to Wal-Mart Asia president Vicente Trius, reported CNNMoney. Full Story

Pernod Ricard and Maxxium entered into an agreement for the early termination of distribution by Maxxium of the Vin & Sprit brands, and in particular Absolut vodka. This transaction allows Pernod Ricard to take over the distribution of Absolut in most markets outside the U.S., and will take effect Oct. 1. Full Story

Urgent action is required by the UK government to help prevent drastic declines in bee numbers, according to honey supplier Rowse. Commercial and amateur bee keeping associations are calling for £8m in financial assistance from the government to research bee health and protect honey supplies and the pollination of fruits and vegetables, reported Food Navigator USA. Full Story

Haddock, anchovies, and five types of tuna are not eco-conscious, a charity claims. Along with monkfish, plaice and certain varieties of Dover sole, the species are included on the Marine Conservation Society's updated Fish to Avoid list. The charity publishes lists of fish to eat and avoid based on monitoring of stocks and fishing practices, and claims that poor labeling is causing confusion for the public, reported BBC News. Full Story

Health News

Exposure to bisphenol A may harm fetuses and children, and needs further study before it is deemed safe, according to a National Toxicology Program report. The study, the final version of a report issued in draft form in April, underscores differences within the government about the chemical's safety, reported Bloomberg.com. Full Story, Full Report

Chewing gum is associated with higher alertness, reduced anxiety and stress, and improvement in overall performance on multi-tasking activities, according to a new study from Melbourne's Swinburne University in conjunction with Wrigley. Full Story

Washington News

Albertsons, PCC Natural Markets, SUPERVALU, and Harris Teeter reportedly pledged to keep cloned meat and dairy products off of their shelves in response to a request from environmental group Friends of the Earth. In addition to voluntary action from grocers and producers, the groups are calling on FDA to take regulatory action to prevent cloned animals from entering the food supply. Full Story

Meanwhile, 20 food companies, including Smithfield Foods Inc. and Kraft Foods Inc., will not use milk or meat from cloned livestock. The companies responded to a survey conducted by the Center for Food Safety, reported The Wall Street Journal. Full Story (WSJ Subscription Required)

Cigarette sales at Boston college campuses and drug stores would be banned under new tobacco control rules expected to win initial approval from health regulators Sept. 4. The rules would also make illegal smoking on the patios of restaurants and bars with outside service. The restrictions could go into effect early next year, reported The Boston Globe. Full Story (Free Registration Required)

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.

U.S. poultry producers challenged Russia's importation ban on chicken, with a Tyson Foods' spokesperson claiming that the company has not used feed additives containing arsenic since 2004. American officials have argued poultry produced in the U.S. is safe, and that the ban was placed in retaliation for U.S. criticism of Russia's use of military force against Georgia, reported the Birmingham Business Journal. Full Story (Free Registration Required)

Two Ohio-based beer distributors are suing MillerCoors LLC for canceling their partnerships. Beverage Distributors Inc. and AFP Distributors Inc. filed suit in federal district court requesting injunctions to bar MillerCoors from proceeding with plans to end shipments to the distributors. The terminations are part of a wider mission by MillerCoors to consolidate the network of about 560 distributors that sell Miller or Coors products, reported The Wall Street Journal. Full Story (WSJ Subscription Required)

Shells Seafood Restaurants, Inc. filed a voluntary petition for reorganization under Chapter 11 of the U.S. Bankruptcy Code. Shells owns 18 restaurants with a partial interest in two additional restaurants, but closed operations at eight locations. Four other "Shells" locations managed and operated by the company, as well as the partially owned and managed "Rock Beach Grill" restaurant, are not included in this petition. Full Story

Market News

The forecast for the U.S. apple crop is 218.2 million bushels, according to the U.S. Apple Association. Canned apple products are expected to use 28 million bushels of raw product in 2008, 11% more than 2007. The volume of raw product to be utilized for juice processing from the 2008 crop is forecast at 30.2 million bushels, which represents 40% of the total processing volume. Meanwhile, frozen apple utilization is forecast at five million bushels, 18% more than last year, while dried apple utilization is forecast at 4.8 million bushels.

China will ramp up soybean production and guide development of the soybean processing industry to reduce reliance on imports, according to the National Development and Reform Commission. Last year, China imported 30.82 million metric tons of soybeans, accounting for 40.9% of the world's total soybean trade and pushing up the country's dependence on imports to 78.7%, reported China Daily. Full Story

SYSCO Food Services will stop marketing fish labeled as grouper to its clients without first taking steps to ensure it actually is grouper, according to an agreement the company reached with Florida's Attorney General's Office. The food distributor supplied 14 restaurants in the Tampa Bay area in September and October 2006 with fish labeled as grouper that turned out to be other species, like hake and emperor, officials said. SYSCO voluntarily complied with state requirements and made no admission that it had violated the law, reported Bradenton Herald. Full Story

Exceptionally sweet dried plums will soon make their way to grocery store shelves, according to UC Cooperative Extension farm advisor Carolyn DeBuse. The new dried plums are a patented variety developed by UC scientists, and will help to extend the length of crop harvest. Full Story

An expert taste panel is being organized by USDA for the identification, acquisition, characterization and preservation of important cacao genetic resources. The Cacao Germplasm Evaluation and Characterization Project will study an assortment of cocoa plants for their disease resistance, productivity, and unique chocolate flavors, as well as reintroduce unique heirloom varieties of cacao to the market that may otherwise have been lost. Full Story

Several Asian citrus psyllid were found in San Diego County, and may threaten California's entire citrus industry. "This has the potential to be the death sentence for citrus trees in California," stated Ted Batkin, president of the California Citrus Research Board. The aphidlike insect feeds on the leaves of citrus trees and other citruslike plants and can be a carrier of the fatal citrus tree disease Huanglongbing, or citrus-greening disease, reported The Fresno Bee. Full Story (Free Registration Required)

Chile introduced measures to improve the sanitary conditions of its salmon industry and reduce the levels of antibiotics used to treat the fish in the wake of a deadly fish virus that killed millions of the nation's farmed salmon, reported The New York Times on the Web. Full Story (Free Registration Required)

USDA provided regulations to administer the Specialty Crop Block Grant Program to enhance the competitiveness of specialty crops. Full Notice

NMFS prohibited directed fishing for species that comprise the shallow-water species fishery by vessels using trawl gear in the Gulf of Alaska. Full Notice

NMFS reopened directed fishing for pollock in Statistical Area 630 of the Gulf of Alaska. Full Notice


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