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The Food Institute, One Broadway, Elmwood Park, NJ 07407 • 201.791.5570 January 14, 2009


Sales at the nation's grocery stores increased 5.3% during 2007, with December sales advancing a measly 0.7% over the same month of 2007. Meanwhile, eating and drinking places registered sales rising just 3.7% for the year; sales were off 1.7% during December. Full analysis of this information will be available in the Jan. 15 update. Full Report

"Plus" claims on food and beverage products, such as added vitamins or calcium, fell 20% during 2008, appearing on just one in 20 new product launches worldwide. Meanwhile, "Minus" claims, such as low-fat, reduced sugar, low-calorie, etc., also begun to fall off in popularity on new products, according to Mintel Global New Products Database. Full Story

Some 20 restaurant firms outlined their plans for 2009 at the Cowen & Co. consumer investment conference. Most plans include cutting costs, reducing development plans, retooling menus and altering marketing messages. Many restaurant operators stated they are looking at labor scheduling that highlights sales per shift or even per hour so that efficiencies are gained, reported Nation's Restaurant News. Full Story (Free Registration Required)

Denny's Chief Executive Nelson Marchioli sat down with The Miami Herald to discuss his efforts to reinvent the restaurant chain. Mr. Marchioli's plans include reducing the company's debt, launching new products, revamping the menu, introducing specialty menus and a new restaurant image, improving food quality and increasing take-out business. Full Story (Free Registration Required)

Ritz Food Service will close Jan. 14. The food distributor serviced restaurants, schools and healthcare centers across Northern California. The company was impacted by high gas prices earlier this year and by restaurant chains trying to cut costs, according to credit manager Scott Vanhoy. In addition, lenders would not extend financing to the company. Ritz Food Service was in talks to be acquired by another company but the deal fell through, reported PressDemocrat.com. Full Story

Food processors are achieving lower sodium levels through extensive research, reformulation, new salt reduction technology and new product development, according to Sodium and Salt: A Guide for Consumers, Policymakers and the Media, a report released by the Grocery Manufacturers Association. There are increasingly more sodium or salt-modified products available to consumers. Full Story

SuperValu launched "nutrition iQ," a nutrition information program to assist consumers in making better-informed food choices. The program will roll out at all of its banners over the next six months. Full Story

Meanwhile, SuperValu Inc. began its planned stores closures throughout the country. The closures include five Cub Foods stores, seven Albertsons stores, four Lucky stores, four Shaws Star stores and two Farm Fresh stores. Full Story

Restaurant Roundup: Uno Chicago Grill will offer its new gluten-free pizza across the U.S. Full Story ... Figaro's Pizza added New York Style Pizza to its menu, reported QSR Magazine. Full Story ... Dunkin' Donuts will offer a "Stars & Stripes" donut, a frosted donut decorated with red, white and blue star-shaped sprinkles, from Jan. 17 through Jan. 20. Full Story ... Del Taco introduced three $3 meals, the Del's Deal, Classic Combo Deal and Value Deal. Full Story

TGF Management Corp. and Austin Ventures completed the acquisition of Sterling Foods Ltd. Full Story

Food industry equipment supplier Ryan Equipment and Supply will close Jan. 16, reported The Herald & Review. The company distributed products to states on the East Coast. Full Story

Schwan Food Co. is cutting more jobs in order "to stay competitive in the frozen food industry during changing economic times," reported The Minneapolis Star Tribune. Full Story

Smashburger entered into a franchise agreement with SB Alamo Development, LLC to open 45 stores in Texas and New Mexico. Full Story

ONLINE HACCP TRAINING: The Food Institute is now offering online training courses through a strategic alliance with FoodSafety.com. This innovative web-based training service provides companies and their employees with "anytime, anywhere" access to quality, cost-effective training materials. Whether you operate a large manufacturing facility or small retail establishment, your employees simply need internet access to train in areas critical to your business, including HACCP, OSHA, and Employment Law. Click here for details.

Chicken of the Sea
With nearly a century of service, Chicken of the Sea is one of the oldest seafood companies in the U.S. While the company has changed over the years, their products, marketed under the Chicken of the Sea trademark and the Mermaid logo since 1952, have always been trusted for great taste and high quality

To learn more about this 18-year Food Institute member visit: www.chickenofthesea.com.

Interested in seeing your company featured here? Email us for more details.

Worldwide consumption of wine will rise 6% between 2008 and 2012, according to a study by the International Wine and Spirits Record consultancy. Still wine usage will increase 5.5% and sparkling wine consumption will grow by 12%. Production will increase 7.45% to 3.17 billion cases in the 2008 to 2012 period after a decline of 6.93% between 2003 and 2007. This is partly due to an increase in production in emerging countries, such as China, reported Reuters. Full Story

The increased demand for health food in Mexico is being driven by rising incomes and the expansion of the middle and upper classes, according to FAS. This market is expected to continue to grow at an average annual rate of 10%. FAS Report

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.

The European Parliament voted to restrict the use of 22 pesticides on crops as part of an effort to halve the use of toxic products in farming by 2013, reported CNN. Full Story

The European Food Standards Authority (FSA) issued a draft positive opinion for a black bean extract blocking the absorption of carbohydrates. FSA stated that given that black bean products are available widely on the market, and the same process is used for popular oriental sauces, no adverse effects are expect from consuming the extract, reported Food Navigator Europe. Full Story

Good Life China Corporation entered into discussions with the Shenzhen Bread Co. to build regional bakeries servicing a growing franchise chain network around the Pearl River Delta, including the principal cities of Dongguan, Huizhou, Zhuhai and Guangzhou in Guangdong Province. Full Story

Starbucks Corp. launched a new brand of coffee grown by farmers in China, "South of the Clouds," which it plans to offer in stores worldwide, according to Martin Coles, president of Starbucks Coffee Co. International, reported The Associated Press. Full Story

High intakes of vitamin C may protect against blood pressure increases in young women, according to a study published in the Nutrition Journal, reported Beverage Daily. Full Story, Study Abstract

Natural pigments found in plants may help protect against bone loss in older men and women, according to a study. Researchers funded by the ARS reported the findings in a paper published online by The American Journal of Clinical Nutrition. ARS Release

Responding in part to a citizen petition submitted by the National Yogurt Association, FDA is proposing to revoke its regulations on the standards of identity for lowfat yogurt and nonfat yogurt and amend the standard of identity for yogurt in numerous respects, according to a Federal Register notice slated for publication Jan. 15. Full Notice

Companies that do not comply with Whole Foods Market Inc.'s supoenaes to release information could be fined or found in contempt of court should a judge rule in Whole Foods' favor, reported OregonLive.com. The company filed additional motions Jan. 13 to compel about two dozen companies, including New Seasons Market, to release proprietary information including sales information and marketing plans. Full Story (Free Registration Required)

USDA put in place many of the key components of the 2008 Farm Bill and prepared next items for action by the incoming Administration on Jan 20. The 2008 Farm Bill is approximately 50% larger than its predecessor, the 2002 Farm Bill, with 15 titles and more than 600 provisions. In total, 170 regulatory actions and over 100 reports and studies were identified that the Department is required to complete to fully implement. USDA Release

A New York judge dismissed a lawsuit brought by Amazon.com, Inc. that challenged New York's right to collect sales tax from out-of-state internet retailers. New York State Supreme Court Justice Eileen Bransten wrote in an order that "there is no basis upon which Amazon can prevail," reported Reuters. Full Story

Peanut Corporation of America initiated a voluntary recall of its Parnell's Pride brand peanut butter because it may be contaminated with Salmonella. Full Story

The Mexican market for processed fruits and vegetable has been very dynamic over the past decade, growing at an average annual rate of around 8%, according to FAS. Currently the market is estimated at $3 billion and represents a good opportunity for U.S. processors. FAS Report

China's aquatic production in 2009 is forecast at 49.5 million metric tons, up 2% from the estimated 48.6 million metric tons in 2008, according to FAS. Production growth is mainly driven by strong domestic consumption due to greater disposable income and export-oriented aquatic processing. Total aquatic trade value in 2009 is forecast to increase moderately from the estimated $13.1 billion with export value at $9.7 billion in 2008. FAS Report

Chilean grape growers and shippers claim they are being impacted by production costs due in part to the high-maintenance characteristic of the thompson variety. On Jan. 9, 18-lbs. containers of large thompson seedless grapes from Chile were priced at $20, with mediums priced at $16-18, according to USDA, reported The Packer Online. Full Story (Subscription Required)

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.

The World Cocoa Foundation introduced sustainability principles and goals to assist the world's cocoa farmers, guide industry efforts and prioritize the Foundation's development projects in West Africa, Southeast Asia and the Americas. Principles including focusing on improved and more equitable economic returns for farmers. Full Story

California farmers in the Modesto Irrigation District would pay increased rates for their water under a proposal reviewed by the agency's board. In 2008, growers paid $23.50 per acre for the basic allotment of three acre-feet of water (enough to cover an acre three feet deep). Under the new proposal, MID would charge $25.50 per acre for the basic allotment, which could be reduced to 2½ acre-feet for 2009 to reflect the drought, reported The Modesto Bee. Full Story (Free Registration Required)

USDA recommends adoption of a proposal to adjust Class I prices in certain counties of the Mideast Federal milk marketing order. Class I prices are recommended to be unchanged in 193 counties within the marketing area and to be increased by up to $0.20 per hundredweight in 110 counties in the southern portion of the marketing area. Full Notice

USDA wants to establish the quantity of spearmint oil produced in the Far West, by class that handlers may purchase from, or handle for, producers during the 2009-2010 marketing year, which begins on June 1. Full Notice

International Trade Administration extended the time limit for the final results of the changed Circumstances Review of certain frozen fish fillets from Vietnam. Full Notice

USDA purchased canned pears, peaches and mixed fruit. View Details

 

 




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