Industry News

The National Restaurant Association's Restaurant Performance Index stood at 96.7 in November, down 0.4% from October and its 13th consecutive month below 100. Meanwhile, 49% of operators expect economic conditions to worsen in six months, up from 40% who reported similarly last month. However, 40% of restaurant operators plan to make a capital expenditure for equipment, expansion or remodeling in the next six months, up slightly from 37% who reported similarly last month. Full Story

Weis Markets lowered prices on thousands of its staple items effective Jan. 2 and implemented a 90-day price freeze on the items. The price freeze items include private label and brand name products in center store, frozen, dairy, produce, meat, deli and bakery. Full Story

The Subway restaurant chain was named the number one franchise opportunity for 2009 by Entrepreneur magazine in its Annual "Franchise 500" rankings. The brand was also named the number one global franchise opportunity. Full Story

U.S. sales of gluten-free food are rising 15-25% a year, according to research firms Mintel International and Information Resources Inc. Manufacturers expect sales to remain strong because celiac sufferers do not outgrow the disease and diagnoses increased from about 120,000 cases through fall 2008 compared with about 40,000 in 2003. In 2008, more than 800 new gluten-free foods entered the market, more than six times as many that entered five years ago, reported The Associated Press. Full Story

Less than 40% of adults report purchasing products from major organic categories in the last six months, according to a study by TABS Group. Organic fresh fruit had the highest purchase incidence at 27%, with organic fresh vegetables registering a 26% purchase rate. Organic dairy products and eggs and milk were cited for purchase by 18% and 17% of U.S. adults, respectively. Frozen organic products including vegetables, fruit and ice cream were purchased by about 5-6%. Full Story

International News

Asda will offer discounts on 1,000 essential items in its 350 stores across the UK, ranging from fresh and frozen goods to bakery items and toiletries. The offers include £1 deals on a range of 100 frozen goods, three-for-£10 deals on leading wines, three-for-£10 offers on selected joints of chicken or meat and 200 everyday health and beauty lines, according to The Press Association. Full Story

The retail sector in Guatemala is dominated by three supermarket chains that mainly target middle and high income consumers; however, there are still ample opportunities in the retail sector since only 40% of food sales are made through supermarkets. Mexico and Chile are the main competitors to the U.S. for the Guatemalan imported food market, according to FAS. FAS Report

Health News

Dried veggies, veggie chips, granola bars and bran muffins are among the five healthy snacks that are not especially healthful, according to Newsweek. Full Story

Washington News

Mexico lifted the suspension on meat imports from 25 of the 30 U.S. processing plants it banned imports from last week, according to USDA's website. The 25 U.S. plants had given Mexican authorities information on measures taken to correct the alleged problems, according to Mexico's Agriculture Department and could resume exporting meat to Mexico as long as they "comply with routine sanitary and health requirements," reported The Associated Press. Full Story, USDA List

Stew Leonard's Inc. is suing Dairy Farmers of America Inc., accusing the dairy marketing association of buying large amounts of cheese to distort the market and manipulate the price of raw milk and processed dairy products, reported The Associated Press. Full Story

Market News

With global demand for dairy products on the decline and prices declining, U.S. dairy farmer stocks of milk are increasing, noted The New York Times on the Web. Prices for raw milk are expected to drop to about $14 per hundredweight compared to $20 just a few months ago. Indeed, USDA is now projecting dairy prices in 2009 will decline from a year earlier. (Click here for the latest Price Outlook.) Meanwhile, farmers are hesitant to reduce supplies by culling their herds since the rebuilding process can take years to accomplish. Full Story (Free Registration Required)

California farmers expect to harvest the smallest avocado crop since 1990 due to unexpected hot weather in June. The harvest will come in late spring and early summer, when imports from Mexico and Chile are at their lowest. Prices should not skyrocket, but will go up into the higher range of what consumers expect, stated Wayne Brydon, field service manager for the California Avocado Commission, reported The Chicago Tribune. Full Story (Free Registration Required)

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