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Daily Update
Sept. 2, 2008
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Industry News

Restaurant industry performance remained sluggish in July, as the National Restaurant Association's comprehensive index of restaurant activity stood below 100 for the ninth consecutive month. The Association's Restaurant Performance Index stood at 98.3 in July, unchanged from its June level. Full Story

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Although products from cloned animals cannot be sold directly to consumers, products from their offspring are entering the U.S. food supply, albeit in very small quantities, reported The Wall Street Journal. FDA stated that such products are safe to eat; however, the agency reportedly received some 150,000 letters opposing doing so without some label requirements. Full Story (WSJ Subscription Required)

CKE Restaurants, Inc. sold 29 Hardee's restaurants as part of its ongoing strategic refranchising program that was originally announced in April 2007. To date, CKE sold 224 restaurants to franchisees and secured commitments for 105 new franchise restaurants under development agreements for those markets. CKE most recently completed the sale of 23 restaurants in Indiana and Ohio to Midwest First Star Inc., which also committed to build a minimum of seven new Hardee's restaurant locations over the next seven years in these markets. Full Story

Many school foodservice operators are exceeding local and federal nutrition requirements. For example, the New York City Department of Education, which serves more than 860,000 meals each day, reformulates products constantly to boost their nutritional value, reported Restaurants & Institutions. Full Story

With food prices rising and packages shrinking, parents are changing their food-buying habits to keep costs down. For example, some children will receive baggies full of snacks like home-packed chips and crackers instead of prepackaged ones, reported CBSNEWS.com. Full Story

International News

The proposed EU regulation on food labeling is too complicated, makes unrealistic demands on font size, and will be burdensome for SMEs, according to a Brussels hearing on food information regulation. The different sides of the industry generally agreed that the proposal makes food labeling more complicated rather than simpler, reported Food Navigator Europe. Full Story

Britian imports poultry, lamb, and beef at the same rate as it exports the products. Part of the explanation lies in different national tastes, as British consumers prefer the white meat of chickens to the darker legs and wings, so the latter are exported to parts of Europe, while white meat is imported from as far away as Thailand, reported Financial Times. Full Story

Health News

Food price increases are being acutely felt by people trying to fight serious illnesses, as healthier foods, like whole-wheat bread and fresh fruits, are already more expensive than white bread and processed foods, reported The Wall Street Journal. Full Story (WSJ Subscription Required)

Washington News

The government can prohibit meat packers from testing their animals for mad cow disease, according to a ruling from a federal appeals court, reported The Wichita Eagle. Creekstone Farms Premium Beef sued USDA for the right to do the testing. The U.S. Court of Appeals for the District of Columbia Circuit overturned a lower court ruling that would have cleared the way for the testing. Full Story (Free Registration Required)

Trans-Ocean Products, Inc. initiated a voluntary recall of its 4-oz. Cracked Pepper Style Smoked Salmon as it has the potential to be contaminated with Listeria monocytogenes. Full Story

Market News

Del Monte Fresh Produce NA Inc. acquired two Guatemalan melon growing operations. The two operations provide Del Monte with a combined five million boxes of cantaloupes and honeydews during the upcoming offshore melon season, which normally starts in late November and runs through May, reported Progressive Grocer. Full Story

California's contracted processing tomato production is forecast at 11.6 million tons, down 1% from the May forecast and 3% below the 2007 season. This year's processing tomato crop is about a week behind schedule, and frosty weather in mid-April caused spot damage in tomato plants in some growing areas. Dry conditions and high winds during the spring delayed fruit setting. Full Report

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