IFDA's Daily Update

July 08, 2008

Do you support drilling in the nation's coastal areas that are currently closed to exploration if the drilling is conducted under strict environmental controls?

Yes - 50%
No - 50%

Comments from Survey Respondents:

"We need to be more self supportive as a nation, instead of relying on other countries as we do."
"Drilling is drilling... no matter how you go about it, it still hurts the environment."

Distributor News

As of July 7, U.S. average diesel fuel prices were $4.72 per gallon, up 8.2 cents per gallon from a week ago, and up $1.88 from one year ago. Full Story

Operator News

Subway Development Corp. of Washington will open the first Subway Cafe, a hybrid between sandwich shop and coffee bar, next month in Alexandria, VA. The stores will feature brick or wood-paneled walls, comfortable armchairs, gelato, baked goods and panini. Subway Development Corp. of Washington is planning five Subway Cafes in its territory over the next couple of years, according to The Washington Post. Full Story (Free Registration Required)

Lifeway Foods, Inc. is franchising its Starfruit "kefir boutique" cafe. The retail concept debuted Apr. 15 in Chicago and will serve as the prototype for the company's national franchise program. The shop offers several flavors of frozen kefir with over 20 toppings as well as customized kefir parfaits, and smoothie-style kefir drinks. Full Story

The Associated Press profiles Beijing's expanding and profitable dining scene. There are more than 40,000 restaurants in the Chinese city, 90% of which are privately run, according to He Zhifu, secretary-general of the Beijing Association for Food and Beverage Industries. The restaurants make more than $4 billion annually and revenues are increasing. Last month, Zagat launched its Beijing edition. Full Story

Retail News

Independent grocery store and supermarket operators registered a solid 1.52% net profit before taxes, according to the 2008 Independent Operators Survey released by The National Grocers Association and Financial Management Solutions. Total store gross margins improved by 76 basis points over last year. Meanwhile, energy policy and energy tax concerns placed a strong second behind healthcare reform in the list of political concerns for retailers. Full Story

Some 2,800 grocery stores in the U.S. could offer paperless coupons by the end of the year, according to Unicous Marketing. BI-LO, Big Y, Food City, and Kings are among the 1,000 stores currently using the company's EZ-PIC paperless coupons. Full Story

Marks & Spencer Group Plc will close the three Taiwan stores it runs with President Chain Store Corp., less than 18 months after it entered the market, reported Bloomberg.com. Full Story

India cleared 28 foreign direct investment proposals totaling $308 million, including those of Marks & Spencer, reported Reuters. Full Story

Industry News

Nearly 10% of the U.S. population are multi-channel shoppers who regularly participate in more than one method of shopping, including online, in-store, catalog, and phone order, according to Experian Consumer Research. Multi-channel shoppers are more likely than other shoppers to make educated and informed buying decisions, look for sale items, and research specific products before purchasing them. Full Story, Full Report (Free Registration Required)

Unilever is introducing Promise SuperShots for blood pressure - fruit blend functional shots that provide a good source of potassium and are low in sodium, citing a review article in the Journal of Clinical Hypertension, which concludes that an increase in potassium coupled with a decrease in sodium may be the most important dietary choice, after weight loss, to reduce the risk of cardiovascular disease. Each three-ounce Promise SuperShots contains 350-mg of potassium. Full Story

Unilever Ice Cream introduced a new line up of frozen treats from Breyers, Klondike and Popsicle. Full Story

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

USA Today examines how Americans are changing their meal planning as food prices continue to climb, with ideas ranging from curtailing restaurant meals to planting gardens, using coupons, shopping smarter and cooking more economical meals. Full Story

Singapore's Olam International will buy a 24.9% stake in New Zealand's Dairy Trust for NZ$101.1 million. Olam wants to raise its stake to 30% if it gets the approval from authorities. Under the deal, Olam will buy the stake in Dairy Trust and in turn sell its 19.9% stake in Open Country Cheese Co. to Dairy Trust, reported Reuters. Full Story

The UK will slow its adoption of biofuels amid fears food prices will rise and the environment may be harmed, claims Britain's transport secretary, Ruth Kelly, reported BBC News. Full Story

Supercenter Sales Hit $208.3 Billion In 2006

Supercenter sales reached $208.3 billion in 2006, up 15.5% from 2005 and up 34.3% from 2004, according to the latest edition of the Supercenter Industry Overview, part of the Supermerchants series published by alternative format expert James M. Degen & Co. The number of supercenters in the U.S. Increased 12.5% to 2,837 in 2006. This report covers company specific market size and growth, top companies, physical characteristics, consumer demographics, competitive response and an outlook for future developments. Click here to order.

Health News

The CDC launched the "Healthiest Nation Campaign," with a main goal of keeping Americans healthy by integrating health into social policies across all sectors and at all levels of government, according to Julie Gerberding, director of the CDC, reported USA Today. Full Story

Childhood obesity is set to increase worldwide, with incidence rates growing the fastest in Asia Pacific countries, while Europe and the U.S. will retain the highest overall ratios, according to forecasts by Datamonitor. Over 35% of European kids aged five to 13 will be overweight or obese by 2012, and in the U.S. this figure is forecasted to surpass 40%, noted Datamonitor, reported Food Business Review. Full Story

More than 25% of adults in China are now considered overweight or obese, according to new research. The findings, in the journal Health Affairs, blame declining physical activity and a more Western diet. The report warns that obesity rates will double by 2028 if the Chinese government fails to take action, reported BBC News. Full Story, Study Abstract

Washington News

Federal officials are claiming that Nebraska Beef Ltd. responded slowly to indications that its products might be tainted with E. coli, though it has now voluntarily recalled more than five million pounds of meat. Nebraska Beef spokesman Bill Lamson claimed that the company did not believe a recall would be needed when it received the first test results in June, reported BusinessWeek Online . Full Story

The Kroger Co. associates in Nashville and Knoxville, TN, and Huntsville, AL ratified a new labor agreement with the company. The agreement covers more than 8,500 Kroger associates who are members of United Food & Commercial Workers Union Local 1995 and work in more than 90 stores in the area. Full Story

Since April, 971 persons infected with Salmonella Saintpaul have been identified in 40 states, the District of Columbia, and Canada. The latest known illness occurred on June 26. Full Story

Market News

With shell egg prices up as much as 40% over the past year, Cal-Maine Foods, which sells some 685 million dozen eggs per year across 29 states, is on pace to increase full-year earnings per share 290%, reported Barron's. The company is also benefiting from growing interest in specialty organic and lower-cholesterol eggs, which is growing 15% to 20% per year. Full Story

Corn and soybean prices on the Chicago Board of Trade fell the maximum allowed limit on July 7 on expectations that warm, dry weather in the Midwest will help crops recover from last month's floods and ease supply concerns, reported USA Today. Full Story

Kansas farmers are eager to get their wheat crops harvested as prices hover above $8 per bushel. As of July 7, 79% of the winter wheat crop was harvested, compared with only 36% just a week ago, according to the Kansas Agricultural Statistics Service, reported The Associated Press. Full Story

USDA's annual Noncitrus Fruits and Nuts report will be released at 3:00 p.m. July 8. View Report

Border Cold Storage recently opened a new facility in Pharr, TX. The building includes many "green" or sustainable features, such as motion-sensor lighting and a carbon dioxide/ammonia cascade refrigeration system. It also utilizes radio frequency scanning and tracking, reported The Packer Online. Full Story (Subscription Required)

Four berry producers formed Naturipe Foods LLC, a value-added berry-marketing company. The partnership between MBG Marketing, Hortifrut S.A., Munger Bros. Farms, and Pan-American Berry Growers LLC will constitute one of the larger grower-owned producers and marketers of value-added berries in North America, reported The Produce News. Full Story

In August, consumers will start seeing California-grown fresh pomegranates in grocery stores. The main pomegranate variety, the Wonderful, is now in full bloom and will be ready for harvest in early October, reported California Farm Bureau.