July 11, 2007
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Industry News

U.S. consumers overwhelmingly support stricter food labeling laws, with 92% of Americans wanting to know which country produced the food they are buying, according to a poll conducted by Consumer Reports, reported Reuters. Full Story

Meanwhile, marketing expert Phil Lempert recently visited a supermarket to research the question: "If you want to buy foods produced only in the USA, what are your options when you head to the supermarket?" With news about contaminated products coming from China and elsewhere, and the spread of a consumer movement to buy locally produced foods, people are paying more attention to the source of their food, reported USA Today. Full Story

Noodles & Company completed a recapitalization of its business as part of its plan to grow the chain by 500 restaurants over the next five to seven years. Full Story

Alcan Inc. confirmed it signed confidentiality and standstill agreements with third parties as it seeks alternatives to a hostile $28.6 billion takeover bid from rival Alcoa Inc., reported Reuters. Full Story

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Fast-casual restaurants continue to hold strong consumer appeal and demonstrate solid average unit volumes, according to Technomic's Top 100 Fast Casual Chain Restaurant Report. Full Story

Over the past several years, brands were "deforested due to aggressive trade promotion activities and short-term growth objectives" that were detrimental to brand health, according to Information Resources, Inc.'s Long-Term Drivers Consortium Study, reported Marketing Daily's MediaPost. Full Story

Independent grocery retailers reported a 1.94% net profit before taxes and overall store margins of 25.5%, according to the 2007 Independent Grocers Survey from FMS Solutions and the National Grocers Association. Full Story

Bell Buckle Holdings, Inc. purchased Bainbridge Festive Foods, which is a specialty food producer based in Tunica, MI. Full Story

Consumers growing demand for products that are both certified kosher and organic is looked at by Behind The Union Symbol magazine. Full Story

General Mills is helping to develop a Food Science division within YourEncore, a company that helps organizations accelerate innovation by leveraging the expertise of retired scientists and engineers. Full Story

Food Lion is supporting North Carolina farmers and food companies with its "Got To Be NC Products" campaign. The campaign, which will take place at all 494 Food Lion stores in North Carolina, will help build consumer awareness of North Carolina products, reported BlueRidgeNow.com. Full Story

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

Sysco Corporation's subsidiary for personal care amenities and other hotel operating supplies, Guest Supply, LLC, acquired Austin Tatum, a Hong Kong-based personal care amenity company. The acquisition is an important step for Sysco's expansion into the international market, according to the company's chairman and CEO Richard J. Schnieders. Full Story

The Steak n Shake Company expanded its menu with the addition of a line of Lighter Choices in all its restaurants across 20 states. New offerings include made-to-order entree salads, available beginning July 16, following the recent introduction of grilled chicken sandwiches and Fruit 'n Frozen Yogurt Milk Shakes. Full Story

Denver-area McDonald's restaurants began offering options bearing Colorado's "Smart Meal" seal, indicating the food has a calorie count of 700 or fewer and meets other guidelines established by the Colorado Department of Public Health and Environment, reported Rocky Mountain News. Full Story

Jelly Belly Candy Company's Jelly Belly jelly beans will be certified Kosher by the Orthodix Union. Jelly Belly recently acquired the licensed brands Sunkist Fruit Gems, Sunkist Fruit Slices and other Sunkist branded confections that were already certified Kosher by the Orthodox Union prior to the acquisition. Full Story

Legislating restrictions on food choice is the only way to start stemming the tide of obesity in the U.S.


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U.S. popcorn prices rose more than 40% since 2006 due to increased demand for feed corn to fuel the ethanol boom. Americans consume four billion gallons of popcorn annually, totaling 13.5 gallons per person, according to the Popcorn Board, reported Reuters. Full Story

CiCi's Pizza's menu items will measure zero trans fat by the end of 2007 in all 615 of its restaurants. Full Story

Dorothy Lane Market signed a contract with Pay By Touch, a company that will install technology allowing upgraded members of the supermarket to receive personalized offers from a kiosk as they enter the store using a biometric finger scan, or by swiping their Club DLM Card. Full Story

International News

Danone already acquired 26.4% of Numico, according to regulatory filings on July 11, reported Reuters. Before July 10, when the holding was recorded with the Dutch financial market authority, Danone held less than 5% of Numico. Any previous stakes above 5% would have to have been registered with the AFM, but there were no such records. Danone most likely bought Numico shares on the open market, given the high volumes recorded on July 10, a trader in the Netherlands said. Full Story

China's food and drug agency will enact stricter rules for small-scale food producers who were accused of unsanitary production conditions, using tainted or substandard ingredients, and failed to register with authorities, reported The Times Herald Record. Full Story

Premier Foods P.L.C. plans to sell RHM P.L.C., which makes frozen food. The producer also finished adding Campbell Soup Co.'s UK and Irish units to its business, reported Bloomberg.com. Full Story

CHS opened a grain marketing office in Switzerland, which may provide the company an opportunity for growth, competitive advantages, and increased market access in Europe, reported CNN Money. Full Story

Health News

Beverages containing high-fructose corn syrup actually affect people's appetites no differently than drinks made with regular table sugar, according to a small study by researchers at the University of Washington. The findings appear to undermine a recently popular theory that high-fructose corn syrup contributes to weight gain by making people feel less full than other sweeteners do, according to the study's authors, reported The Seattle Times. Full Story

Claims for the cancer-preventing potential of tomatoes and lycopene should be limited, according to Dr. Claudine Kavanaugh and colleagues of the FDA's Center for Food Safety and Applied Nutrition. There is no credible evidence that intake of lycopene cuts the risk of any type of cancer, reported Reuters. Full Story

Two to four-year-olds who regularly drank sugar-sweetened beverages such as soft drinks and fruit drinks between meals were twice as likely to be overweight at age 4 1/2, compared to kids who didn't drink these beverages, according to a study by the University of Ottawa, reported The Lakeland Ledger. Full Story

Washington News

As of July 3, 2007, FDA received 322,744 registrations under the requirements of the Bioterrorism Act - of which 188,946 are foreign facilities and 133,798 are domestic facilities. FDA estimated that the total number of food facilities that must register is approximately 420,000, of which approximately half are domestic facilities. Full Story A convenient reference source and guide to the Bioterrorism Act, as well as federal regulations and policies implementing the Bioterrorism Act is available from The Food Institute. Authored by Olsson, Frank & Weeda, P.C., this guide can assist U.S. and foreign food industry users in understanding not only the strict legal requirements, but also FDA's findings, conclusions, and views as set forth in rulemaking preambles and other documents. For more information or to order the book, click here.

The San Diego City Council failed to override the mayor's veto of a ban on some big-box stores in the city, reported BusinessWeek Online. Full Story

A discrimination lawsuit filed by a Muslim Dunkin' Donuts franchisee can proceed, according to a U.S. appeals court ruling. The company would not renew the owner's contract because he refused to sell pork products found in the chain's breakfast sandwiches with bacon, ham or sausage, reported MSNBC. Full Story

Market News

Virginia banned all live poultry sales for the rest of July following the discovery of suspected avian flu antibodies in a flock of 54,000 turkeys on a Shenandoah County farm. The antibodies discovered in the turkey flock match those in a mild strain of avian influenza, but a USDA laboratory is conducting tests to determine the exact cause, reported AZCentral.com. Full Story (Free Registration Required)

Over the past 15 months, Chiquita Brands International Inc. encountered many difficulties, but it seems determined to change course by transforming from a commodity-based company into a value-added one, reported OregonLive.com. Chiquita is counting on innovative technology, financial prudence and commonsense products such as mini bananas for children to achieve its goal. Full Story

Sweet corn is the latest addition to the Disney Garden-branded produce line, which is handled by Imagination Farms LLC, reported ThePacker.com. Full Story (Free Registration Required)

Export demand for milk and dairy products continues to drive the on-farm price of milk higher. On average, California dairy farmers will earn an additional 4 cents a gallon starting Aug. 1. On-farm milk prices will stand at an average of $2.03 a gallon. However, even though farm milk prices have risen for eight straight months, dairy farmers continue to repay bank loans from last year, when they lost money, reported California Farm Bureau Federation.

The light brown apple moth recently was detected in Solano and Los Angeles counties of California, adding to the nine previously infested counties, reported California Department of Food and Agriculture. Full Story

Cloning animals will not be useful on a large scale but the technology offers farmers an important tool to increase food production and protect animals from disease, according to scientists, reported Reuters. Full Story

Kosher Certification 101
A 60-Minute Webinar from The Food Institute & The Orthodox Union
Wednesday, Aug. 1, 2007 at 2pm (EST)

Join The Food Institute and The Orthodox Union for an informative webinar that will explain what Kosher is, how Kosher certification works, and the benefits of Kosher certified products. This one-hour webinar will clearly define Kosher, spell out the difference between Kosher and non-Kosher food products, identify the ingredients or products that are rarely or never Kosher and make clear why so many foods require Kosher supervision. It will also explain the difference between the OU and other Kosher certifications. Click here for details.

Ohio area crops are beginning to show signs of stress, according to agricultural experts. Lack of rain and intense dry heat may cause severe losses as corn stalks launch into the pollination stage, a period when the crop must get a lot of water for the development of ears, reported The Toledo Blade. Full Story

Missouri's wine grape crop is expected to be around 60% or less than originally predicted, according to Jim Anderson, director of the Missouri Wine and Grape Board. This comes after Missouri wine grape growers were hit by the severe April freeze and state officials estimated an 80% crop loss, reported STLtoday.com. Full Story

Missouri's April spring freeze cost farms more than $400 million, according to state climatologist Pat Guinan. The biggest loss was an estimated $300 million to hay and pasture for cattle, followed by $74 million in damage to the winter wheat crop, reported STLtoday.com. Full Story

EPA revoked and modified tolerances of herbicides on food, animal feeds, and raw agricultural commodities. Full Notice

EPA established tolerances for residues of cymoxanil in or on grapes, hops, and cranberries. Full Notice

Membership Warehouse Club Sales Reach $116.6 Billion in 2006

The membership warehouse club industry reached $116.6 billion in sales in 2006 - an 8.5% increase over 2005 - and is headed toward sales of over $170 billion by 2011, according to the latest edition of the Membership Warehouse Clubs Industry Overview, part of the Supermerchants series published by alternative format expert James M. Degen & Co. This report covers company specific market size and growth, membership, physical characteristics, consumer demographics, buying practices, competitive response and an outlook for future developments. Click here to order.

EPA established tolerances for combined residues of indoxacarb and its R-enantiomer in or on food, animal feeds, and raw agricultural commodities. Full Notice

International Trade Administration listed final dumping margins for the new shipper reviews of the antidumping order on honey from China. Full Notice

NMFS issued a final rule for the Central Gulf of Alaska rockfish fisheries, which revised monitoring and enforcement provisions related to catcher/processor vessels harvesting under the opt-out fishery and made changes to regulations governing the rockfish fisheries. Full Notice

NMFS prohibited directed fishing for Pacific ocean perch in the Eastern Aleutian District of the Bering Sea and Aleutian Islands management area. Full Notice

NMFS closed the Nantucket Lightship Scallop Access Area to general category scallop vessels for the remainder of the 2007 scallop fishing year. Full Notice


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