April 14, 2011

IFDA News

The Senate is expected to vote later today on legislation to defund enactment of the new healthcare law. IFDA will key vote this legislation and has sent a letter to Senators urging their support for the bill as well as signing on to a Start Over! coalition letter. The vote comes as a part of the deal that was reached last week to fund the government for the rest of the year. As a part of that agreement, the Senate will hold a stand alone vote on this issue. 60 votes will be necessary for passage. For more information, contact the IFDA government relations department.

A bill introduced in the Senate last week takes aim at employers who mistakenly classify employees as independent contractors. S. 770, the Payroll Fraud Prevention Act introduced by Senators Sherrod Brown (D-OH), Tom Harkin (D-IA), and Richard Blumenthal (D-CT), would impose new reporting requirements on employers, increase penalties for classification violations, and establish new protections for workers who believe they have been misclassified. To read more about the legislation including the key proposed requirements, click here. For more information, contact the IFDA government relations department.

Distributor News

U.S. Foodservice-San Francisco activated the largest solar panel system in Alameda County and one of the largest in Northern California. The system is designed to provide about 40 percent of the company's power needs during daylight hours, reported the San Jose Mercury News. Full Story

Operator News

Coffee customers of McDonald's Corp. claimed that they were more loyal to the chain than those who frequent Starbucks Corp. and Dunkin' Donuts, according to a study by market research firm CustomersDNA LLC. The study of 15,000 fast-food customers revealed that Starbucks and Dunkin' Donuts customers had more tendency to "roam," with 53% of respondents who identified those chains as their primary source of coffee stating they also visit competing outlets over the course of a month, compared with 29% of McDonald's customers, reported The Wall Street Journal. Full Story (WSJ Subscription Required)

Retail News

Leonard Green & Partners is reportedly expected to make an opening-round offer for BJ's Wholesale Club, according to The New York Post. Full Story

Industry News

Women are 14% more likely than men to select environmentally-friendly packaging over non-"green," more-convenient alternatives, according to World IP Today: Convenience vs. Conscience - Food Packaging in the 21st Century, a study commissioned by the IP Solutions business of Thomson Reuters. Men surveyed were more apt to select products packaged to provide greater convenience. Full Story

View Today! The Food Institute looks at vegetable processing in the Apr. 14 edition of the Lempert Report, hosted by Phil Lempert. Also, will the rise in coffee prices inhibit the category's growth? Click here to view.

Latest sales & earnings for food related companies (Updated Daily - FI Membership Required)

Campbell Soup Co.'s Goldfish and Mott's juices are among the companies using Rockfish Interactive's Coupon Factory, a do-it-yourself coupon creation and analytics engine. The tool allows marketers to create their own digital, print-at-home coupons or fully digital versions that can be scanned from a smartphone at checkout or loaded directly into a shopper loyalty account, reported Advertising Age. Full Story (Free Registration Required)

Groupe Danone SA is increasing prices in France by around 2%, according to Danone's CFO. The company forecasts a 6% to 9% rise this year in the cost of raw materials such as milk and plastic packaging, reported The Wall Street Journal. Full Story (WSJ Subscription Required)

The leaders of Brazil, Russia, India, China and South Africa, members of BRICS group, called for stronger regulation of commodity derivatives to lessen excessive volatility in food and energy prices, reported Reuters. Full Story

Egypt's cabinet approved an extra $1.7 billion over the next three months to help slow rising food prices, reported Reuters. Full Story

Washington News

Legislation passed the Illinois House that would ban trans fats in food served in restaurants, movie theaters, cafes and bakeries or sold in school vending machines, starting in 2013. School cafeterias would be affected in 2016. If the Senate approves the bill and Gov. Pat Quinn signs it, Illinois will be the second state to enact such a ban, reported Chicago Tribune. Full Story (Free Registration Required)

FDA submitted a proposed collection of information to the Office of Management and Budget, Survey on Consumers' Emotional and Cognitive Reactions to Food Recalls. The study will be conducted under a cooperative agreement between the Joint Institute for Food Safety and Applied Nutrition and the Center for Risk Communication Research at the University of Maryland, and will assess consumers' emotional and cognitive recollection of certain food recalls and gauge how the recollections affect current perceptions about food recalls and the inclination to adhere to future recommended food recall behaviors. Full Notice

A bill before the Iowa legislature would make it a crime to produce, distribute or possess photos and video taken without permission at an agricultural facility. It would also criminalize lying on an application to work at an agriculture facility "with an intent to commit an act not authorized by the owner." Similar legislation is being considered in Florida and Minnesota, reported The New York Times on the Web. Full Story (Free Registration Required)

Market News

Greatly improved abundance of Sacramento River fall Chinook will fuel the first substantial ocean salmon fisheries off California and Oregon since 2007, according to the Pacific Fishery Management Council. The abundance forecast of Sacramento River fall Chinook in 2011 is 730,000, above the number needed for optimum spawning this fall (122,000 to 180,000). The Klamath River fall Chinook forecast for 2011 is near normal. The Oregon Coast natural coho forecast in 2011 is about 250,000, above the 15-year average. Full Story

Olam Tomato Processors is consolidating its storage into one 298,000-sq. ft. warehouse in Woodland, CA. The location has direct access to a train, making it easier for the company to transport goods between the company's Williams cannery and back, reported Daily Democrat. Full Story

Prices rose for East Coast shellfish after the nuclear disaster in Japan. At the Bedford Fish Auction in Massachusetts, the market value for scallops on Apr. 8 was $11.60 per pound for large scallops, which rose $2 in two weeks since the tsunami hit Japan in March, reported Asbury Park Press. Full Story

Shippers expect strong demand for California spinach in the weeks leading up to Easter. Through Apr. 9, U.S. spinach shipments were up significantly over last season. About 105 million-lbs. was shipped, up from 74 million-lbs. last year at the same time, reported The Packer Online. Full Story

Stink bugs caused $37 million in damage to apple growers in Pennsylvania, Virginia, Maryland and West Virginia in 2010, according to the U.S. Apple Association, reported The Packer Online. Full Story

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