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March 5, 2009
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Food Institute News

The spectrum of green shoppers is broad, and represents a diverse array of consumer demographics, psychographics, values and beliefs, according to Information Resources Inc.'s (IRI) CPG Marketing in a Green World. The ability to identify key green consumer segments and deliver against diverse and rapidly changing sustainability-related attitudes and behaviors will define the winners of shopper loyalty in an increasingly green CPG world. IRI's report provides insight into current and emerging sustainability trends that will enable manufacturers and retailers to drive top line growth in the rapidly-evolving green segment of the consumer packaged goods market. For the report, click here. (FI Membership Required)

Industry News

Some 31% of Hispanic men and 32% of Hispanic women claim their kids have a "significant impact on the brands they buy" compared to 18% of non-Hispanic men and 25% of non-Hispanic women, according to The Hispanic (Latino) Market in the U.S.: A Generational View, 7th Edition study by Packaged Facts. Hispanic buying power totaled more than $980 billion in 2008. Gen-Y Latinos (ages 18-29) and Gen-X Latinos (ages 30-44) control more than 60% of all Hispanic buying power. Full Story

Dr Pepper Snapple Group Inc. will build a bottling plant and distribution center in Victorville, CA. The location will produce beverages including 7UP, A&W root beer, Sunkist orange soda and Hawaiian Punch. The plant, scheduled to open in spring 2010, is expected to produce as many as 40 million case of drinks per year, reported The Sacramento Bee. Full Story (Free Registration Required)

Atlanta Bread Company's rebranding program has led to a fallout by some franchisees, according to The Atlanta Journal-Constitution. Last year, Atlanta Bread Company had 25 store closings, losing about 20% of its outlets. The chain also opened three new stores and expects six or seven of the closed stores to re-open at new locations. Full Story (Free Registration Required)

Diageo PLC plans to cut about 4% of jobs at its North American workforce next month. To further reduce costs, the company will integrate its beer business, Diageo-Guinness USA, and its wine business, Diageo Chateau & Estate Wines, reported The Associated Press. Full Story

Ice cream company Graeter's will build a new $11 million factory and warehouse in Cincinnati. New outlets in Colorado and elsewhere in Ohio and Kentucky fueled the growth for the company's varieties of hand-potted ice cream. The company recently began selling 12 varieties of flavors in Greater Denver at King Soopers grocery stores, reported The Cincinnati Enquirer. Full Story

How Can You Comply With Complex Food Safety Regulations?

The Food Institute's HACCP & U.S. Food Safety Guide - 2nd Edition provides clear explanations of the recent regulations and requirements issued by FDA and USDA regarding the handling and sanitation of food products. Authored by Olsson, Frank & Weeda, P.C., this guide includes information on applying HACCP plans in the plant, mandatory HACCP systems in general and specific HACCP requirements for seafood, meat & poultry. For details, click here.

International News

Venezuelan president Hugo Chavez seized a unit of Cargill, claiming the company avoids producing basic rice that is subject to government price controls, reported Reuters. Full Story

China's fresh potato production in 2008/09 is forecast at 65 million metric tons, relatively unchanged from the previous year, noted FAS. Processed potato products are forecast to increase by 10% due to the rapid expansion of western style and fast food outlets. Imported Frozen french fries in 2007/08 is estimated at 57,200 metric tons while frozen french fry production is estimated to account for over half of China's total domestic consumption in 2007/08. FAS Report

Health News

Women who drink two or more cans of sugary soda a day are nearly twice as likely to show early signs of kidney disease, according to research from Loyola University published in the journal PLoS ONE, reported Chicago Sun-Times. Full Story, Study Abstract

Washington News

California's Senate Majority Leader introduced legislation to prevent recalled items from getting past check-outs. If passed, the legislation would require grocery stores that use programmable check-outs scanners to program them to notify the employee and customer when a recalled product is scanned. Full Story

FDA is soliciting comments on a voluntary consumer study, Gluten-Free Labeling of Food Products Experimental Study. FDA is planning to conduct an experimental study about gluten-free labeling of food products, according to a notice slated to run in the Mar. 6 Federal Register. Full Notice

Market News

Retail buyers should expect smaller volumes and a later start for this year's Vidalia sweet onion deal. The deal could start up to two weeks later than normal after subfreezing temperatures struck Georgia in late January and again in early and late February, reported The Packer Online. Full Story (Subscription Required)

A group of buyers offered to purchase a Pilgrim's Pride plant in El Dorado, AR that is slated to close in May, according to Arkansas Gov. Mike Beebe. However, a spokesman for Pilgrim's Pride dismissed the group's offer, stating "to date we have not received any meaningful offers on the El Dorado plant," reported Houston Chronicle. Full Story

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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