Tuesday 20 January 2015

HEALTH ALERT: Wendy’s Drops Soda from Kids’ Meals; Is BK Next?

Trending Foods examines the latest news, market trends, surveys and stats that are helping shape the food industry. 

Wendy’s Drops Soda from Kids’ Meals; Is BK Next?
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n the continuing battle of soda wars, Wendy’s is the latest fast-food company to surrender to pressure from parents and health advocacy groups urging it burger chain to remove sugar-sweetened beverages from its children’s menus in an effort to combat childhood obesity.

The move was hailed by MomsRising.org, the Interfaith Center on Corporate Responsibility, and the Center for Science in the Public Interest (CSPI), all of which have been urging the chain to improve the nutritional quality of its kids' meals by removing soda from the kids menu.

According to the advocacy groups, soda is not an appropriate beverage choice for children, given that sugary drinks contribute to diabetes, heart disease, obesity, tooth decay, and other health problems in children and adults. They cited research in The Lancet that found drinking just one additional sugary drink every day increases a child's odds of becoming obese by 60 percent.

Fast-food restaurants have been under fire for years to remove sugary drinks from their kids’ menus and to reduce marketing tactics to children.

In 2011, McDonald's revamped its Happy Meals with its “Commitments to Offer Improved Nutrition Choices" initiative, a long-term plan to help customers—especially families and children—make nutrition-minded choices when dining out. In 2013, the fast-food giant announced it will market only water, milk and juice as the beverage in Happy Meals on menu boards and in-store and external advertising; utilize Happy Meal and other packaging innovations and designs to generate excitement for fruit, vegetable, low/reduced-fat dairy, or water options for kids; dedicate Happy Meal box or bag panels to communicate a fun nutrition or children’s well-being  message; and ensure 100 percent of all advertising directed to children to include a fun nutrition or children’s well-being message.

Last week’s move by Wendy’s to reduce sugar-sweetened beverages to kids now leaves Burger King as the only Big 3 burger chain still with soda in meals specifically intended for children. Will BK follow suit and remove sugary drinks from its kids’ menus? Other large chains including Subway, Chipotle, Arby’s and Panera already don’t include soda as the default option in their kids’ meals.

CSPI Senior Nutrition Policy Counsel Jessica Almy said: “Restaurants should not be setting parents up for a fight by bundling soda with meal options designed for kids. Wendy's is taking a responsible step forward that will improve children's health and make it easier for parents to make healthy choices for their children. We hope Burger King, Applebee's, IHOP, and other chains follow suit."

But if you think the soda war is only being found at the restaurant level, think again.

In June 2104, a proposed bill in California that would have required sugar-sweetened beverages to carry warning labels similar to those on alcohol and tobacco fizzled out when it failed to clear the Assembly Committee on Health.
Remember the infamous restriction on super-sized sodas in New York City that was implemented in 2012 as part of former Mayor Michael Bloomberg’s anti-obesity campaign? Nearly two years later in June 2014, New York’s highest court permanently killed the “Portion Cap Rule." (Click here to view the Slide Show “History of Mayor Bloomberg's Soda Ban."

The majority’s ruling will most certainly not end the contemporary debate on how the United States should tackle an obesity epidemic compromising the health of millions of Americans and whether Congress, states and local governments should impose restrictions on fatty and sugary foods and beverages. In fact, California recently proposed a state law that would have required a warning label on sugar-sweetened beverages. But the bill recentlydied after it failed to clear the California Committee on Health.

The conversation over the role of government in promoting nutrition could soon shift to Capitol Hill where Rep. Rosa DeLauro (D-Conn.) intends to introduce a bill to tax sugar-laden beverages.

Saturday 17 January 2015

HEALTH ALERT: Consumers’ Perception of Fibers

Formulating Foods explores the latest health and nutrition news and research—as well as the latest ingredient and food application innovations—to determine what consumers want (and need) from the food and beverage products they consume, and how industry can make it happen.

Consumers’ Perception of Fibers
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As consumers continue their search for the next hot healthy ingredient, fiber continues to top the charts. Food Product Design continues to dive into the topic of fiber [check out our Fiber Content Library], as it proves time and time again to be a staple in what consumers consider a healthy diet.

According to new research from BENEO, a manufacturer of functional ingredients, consumers have a high level of awareness of fiber as an important ingredient for a healthy and balanced diet. The new research, produced by Health Focus International, quantified insights that directly link to today’s consumer focus on eating healthier foods made with natural and non-genetically modified organism (GMO) ingredients. An overwhelming 93 percent of the 1,000 consumers interviewed said fiber is good for their overall health. Consumers are also aware that fibers contribute to a healthy gut and weight management, with 91 percent responding that fiber is beneficial for their intestinal health and 68 percent saying fiber helps them feel fuller longer. Moreover, 63 percent maintain that fiber helps them eat less during the day.

From breakfast cereals and bars to fiber-rich snacks and baked goods, food with fiber are a draw for consumers. More than 60 percent of the respondents said breakfast cereals, cereal bars, bread and yogurt are most suitable to provide digestive health benefits. In terms of claims, 67 percent found “high in natural fiber" as a very appealing fiber claim for food and beverage products. The survey results show a clear preference for natural products—47 percent of respondents are actively seeking natural fibers and 45 percent consider non-GMO products as “better."
What’s interesting, however, is consumers are differentiating among fibers. In terms of product designation, 62 percent of respondents prefer chicory root fiber as the most natural soluble fiber. In contrast, only 42 percent and 3 percent of consumers, respectively, perceive soluble corn fiber and polydextrose as natural fibers. Interestingly, the research results mirror actual ingredient production methods. Unlike other fibers—for example soluble corn fiber and polydextrose that are artificially or chemically made—chicory root fiber is naturally sourced and produced by a gentle hot water-extraction method. Additionally, chicory root scores best, with 57 percent of the respondents not linking chicory root fiber to GMO. (Chicory root fiber is non-GMO and a natural source of dietary fiber. It can also be found in artichokes and onions.)

As Judie Bizzozero pointed out in her blog, 10 Food, Nutrition & Health Trends for 2015, sugar is a top 10 trend in food, nutrition and health for 2015. According to the “10 Key Trends in Food, Nutrition, and Health 2015" report from New Nutrition Business, sugar replaces fat and salt as the new dietary demon. The spotlight on sugar content has created a challenge for food companies that are wrestling with how to meet expectations of lower sugar and boost business.

BENEO’s research seconds this; its results show consumers are particularly concerned about the sugar content in food and drinks, with 63 percent of respondents indicating they try to avoid or limit sugar; only artificial sweeteners are avoided even more. This goes hand-in-hand with the fact that consumers look for the calorie, fat and sugar content of a product before purchasing it (69 percent, 65 percent and 62 percent, respectively).

“These results clearly show that consumers are actively looking for natural functionality in their daily diets," said Joseph O’Neill, president and general manager of BENEO, Inc.

Thursday 15 January 2015

Global Food Prices Down 3.7% in 2014

Trending Foods examines the latest news, market trends, surveys and stats that are helping shape the food industry. 

Global Food Prices Down 3.7% in 2014

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Statistics released this month by the United Nation’s Food and Agriculture Organization (FAO) reveals global food prices fell in December after three months of stability. The decline was largely driven by continued large supplies and record stocks combined with a stronger U.S. dollar and falling oil prices contributed to the decline.

The FAO Food Price Index, measuring the monthly change in international prices of a basket of food commodities, 188.6 points in December 2014, down 3.2 points (1.7 percent) from November.

Looking at prices for the full year 2014, the index averaged 202 points, down 3.7 percent from 2013, with the sharpest year-on-year falls registered by cereals (12.5 percent), followed by dairy products (7.7 percent), oils (6.2 percent) and sugar (3.8 percent). Only the FAO meat price index saw an increase, advancing by 8.1 percent compared to 2013.

The Cereal Price Index averaged 183.9 points in December, up 0.4 percent from November as wheat prices rose on the back of worries that Russia may restrict exports. However, the increase was capped by the stronger U.S. dollar. Moreover, rice prices fell markedly amid abundant export supplies.

The Vegetable Oil Price Index average declined by 2.4 percent to a five-year low of 161 points in December, due mainly to depressed demand for palm oil as a biodiesel feedstock, itself linked to falling global oil prices.
The Dairy Price Index declined by 2.3 percent to 174 points, its lowest level since late 2009, as slowing imports by China and Russia left abundant export supplies for international markets. Price declines were greatest for milk powders, butter and cheese.

The Meat Price Index also declined in December, down 1.9 percent from the previous month, as a stronger U.S. dollar curbed price quotations for beef and mutton from Oceania and pork from Europe. However, at 204 points, this index is near its monthly all-time highs, and on a full-year basis rose 8.1 percent in 2014 from 2013, the only commodity group to post higher average prices over the year.

The Sugar Price Index dropped 4.8 percent to 219 points in December, largely because of ample supplies in major producing countries such as Brazil. Falling crude oil prices, which reduce demand for sugar crops to be converted into ethanol, also weighed on international sugar quotations in December.

Saturday 11 October 2014

HEALTH & WELLNESS GLOBAL SALES UPDATE

Trending Foods examines the latest news, market trends, surveys and stats that are helping shape the food industry. 

Global Health & Wellness Sales Hit $774 Billion
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Rising awareness among consumers toward health benefits of foods and beverages for potential disease prevention and overall wellness are key factors driving growth in the global health-and-wellness market. According to data from Euromonitor International, the sector will witness sales of approximately $774 billion in 2014.

“Healthy food and beverages are once again outperforming their non-health and wellness counterparts," said Ewa Hudson, global head of health and wellness research at Euromonitor International. “Healthy soft drinks will account for half of global soft drink retail sales in 2014 and over the next five years, healthy packaged food will account for one-third of total packaged food retail sales."

In terms of sales, milk formula is the world’s fastest-growing health-and-wellness category, reaching $4.3 billion in 2014. Gluten-free bakery products are the third-fastest growing health-and-wellness category with sales up by 16 percent in 2014. Naturally healthy ready-to-drink tea is projected to grow by $14.5 billion, which is nearly $2 billion more than energy drinks between 2014-2019.

Emerging markets also are driving growth in health and wellness are, adding 87 percent of absolute growth between 2009-2014. Despite this, developed markets still account for 60 percent of total global health-and-wellness retail sales.

“These markets should not be overlooked and instead should be considered an innovation hotspot promoting a more personalized approach to nutrition, with a focus on areas such as brain and vision health or food intolerance," Hudson said.

So as the global market for heath-and-wellness products matures, product designers searching for successful introductions have to carefully position their products to make sure they meet consumer expectations for efficacy and match the flavor of their conventional counterparts. Food Product Design’s free “Functional Foods and Beverages"Digital Issue delves into the market growth for the functional foods and beverage category, formulating functional beverages, protein's role in functionality, as well as demographic cohorts that should be considered when developing functional foods and beverages.

Sunday 5 October 2014

Formulating Foods explores the latest health and nutrition news and research—as well as the latest ingredient and food application innovations—to determine what consumers want (and need) from the food and beverage products they consume, and how industry can make it happen. 

Resveratrol in Wine, Grapes Hampers Acne
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Got grapes? UCLA researchers have demonstrated how resveratrol, an antioxidant derived from grapes and found in wine, works to inhibit growth of the bacteria that causes acne.

Millions suffer from acne, and it has a significant psychosocial effect on patients, but limited progress has been made in developing new strategies for treating it. According to researchers, antibiotic resistance and side effects limit the efficacy of the current treatments, which include benzoyl peroxide, retinoids, antibiotics and Accutane (isotretinonin).
The new research shows combining resveratrol with a common acne medication, benzoyl peroxide, may enhance the drug’s ability to kill the bacteria and could translate into new treatments. Benzoyl peroxide is an oxidant that works by creating free radicals that kill the acne bacteria.

Resveratrol has received a lot of positive attention from the medical community in recent years. The antioxidant is the substance that has prompted some doctors to recommend that adults drink red wine for its heart-health properties. It stops the formation of free radicals, which cause cell and tissue damage.

These benefits resonate well with consumers, who are increasingly seeking products that emphasis wellness and provide benefits beyond basic nutrition. In the Digital Issue, Focus on Wellness, Food Product Design takes a close look at how product designers can incorporate healthful ingredients—including vitamins, minerals, fiber and omega-3s—into food and beverages.

The present study, in early lab findings, demonstrated that resveratrol and benzoyl peroxide attack the acne bacteria, called Propionibacterium acnes, in different ways.

“We initially thought that since actions of the two compounds are opposing, the combination should cancel the other out, but they didn’t," said Emma Taylor, Ph.D., and the study’s first author and assistant clinical professor of medicine in the division of dermatology at the David Geffen School of Medicine at UCLA. “This study demonstrates that combining an oxidant and an antioxidant may enhance each other and help sustain bacteria-fighting activity over a longer period of time."

The team grew colonies of the bacteria that causes acne and then added various concentrations of resveratrol and benzoyl peroxide both alone and together. The researchers monitored the cultures for bacterial growth or killing for 10 days.

They found that benzoyl peroxide was able to initially kill the bacteria at all concentration levels, but the effect was short lived and didn’t last beyond the first 24 hours.

On the other hand, resveratrol didn’t have a strong killing capability, but it inhibited bacterial growth for a longer period of time. Surprisingly, the two compounds together proved the most effective in reducing bacteria counts.
“It was like combining the best of both worlds and offering a two-pronged attack on the bacteria," said senior author Jenny Kim, Ph.D., professor of clinical medicine in the division of dermatology at the Geffen School.

Scientists have understood for years how benzoyl peroxide works to treat acne, but less has been known about what makes resveratrol effective—even though it has been the subject of previous studies. Using a high-powered microscope, the UCLA researchers observed that bacteria cells lost some of the structure and definition of their outer membranes, which indicated that resveratrol may work by altering and possibly weakening the structure of the bacteria.

The researchers also cultured human skin cells and blood cells with the two compounds to test their toxicity. They found that benzoyl peroxide was much more toxic than resveratrol, which could help explain what causes skin to become red and irritated when it’s used as a topical treatment in high dose or concentration.

Taylor noted that combining the two compounds allowed for prolonged antibacterial effects on the acne bacteria while minimizing its toxicity to other skin cells. The finding could lead to a more effective and less irritating topical acne therapy.

“We hope that our findings lead to a new class of acne therapies that center on antioxidants such as resveratrol," Taylor said.
Trending Foods examines the latest news, market trends, surveys and stats that are helping shape the food industry. 

Bottled Water, Tea Driving Global Beverage Growth
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Drink up, there’s good news for the beverage industry. New data from Zenith International reveals bottled water and tea are driving growth in the global beverage market, contributing a whopping 55 percent to the market growth over the past five years.

According to Zenith’s globaldrinks.com online database, tea is by far the largest of the 24 drinks categories in the 72 country database and saw consumption growth of 62 billion liters between 2008 and 2013. Bottled water, the second-largest market by volume, increased sales by an even higher 83 billion liters over the five years. Milk gained the third-biggest volume growth of 20 billion liters, followed by coffee on 16 billion liters.

Five other categories all achieved growth of between 10 billion and 12 billion liters—still drinks with a low fruit content, carbonated soft drinks, beer, fruit drinks with a fruit content between 5 percent and 25 percent and iced tea. Spirits were the last of the top 10 volume growth categories, which is a very strong performance, given their far higher value.

“When you look in more detail at how the category rankings have altered in the last five years, two changes jump out," said Zenith Chairman Richard Hall. “The first is that carbonates have slipped behind milk, which has now risen to third place. The second is that coffee has overtaken beer. The other observation to highlight is a huge increase in the variety of choice available to consumers today, with many more flavors and blends as well as packs and sweeteners, outlets and delivery options."

This latest data supports previous market data supporting growth in the water category. In November 2013, data from the NPD Group found water represents nearly half of all beverages consumed by adults, making it their top beverage pick. Kids, however, drink significantly less, replaced by milk, soft drinks and fruit beverages.

According to the “Bottled Water in the U.S." report from Packaged Facts, as consumers continue to reject carbonated soft drinks and embrace bottled water, many beverage industry analysts and marketers are convinced that the category will soon become the dominant non-alcoholic beverage. Healthy living and the obesity epidemic have been driving factors in making bottled water the zero-calorie/ultra-low calorie beverage of choice for millions of consumers.
Marketers are launching new bottled water products with bold colors, exotic flavoring and fashion-forward packaging. They are also bringing to market a wider range of water enhancers, a category that didn’t exist until 2011 when Kraft Foods launched its MiO brand of water enhancers.

Friday 3 October 2014

Trending Foods examines the latest news, market trends, surveys and stats that are helping shape the food industry. 

Global Snack Food Sales Hit $374 Billion in 2014
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The competitive landscape in the snacking industry is fierce with annual global snack food sales increasing 2 percent to $374 billion in 2014, according to the just-released “Nielsen Global Survey of Snacking" report.

“Demand is driven primarily by taste and health considerations and consumers are not willing to compromise on either. The right balance is ultimately decided by the consumer at the point of purchase. Understanding the ‘why before the buy’ provides the foresight necessary to deliver the right product to the right consumer at the right time," said Susan Dunn, executive vice president, Global Professional Services, Nielsen.

According to the report, while Europe and North America make up the majority of global snack sales—$167 billion and $124 billion, respectively—annual snack sales are growing faster in the largely developing regions, including Asia-Pacific ($46 billion), Latin America ($30 billion) and Middle East/Africa ($7 billion).

For the report, more than 30,000 online consumers in 60 countries were polled to identify which snacks are most popular around the world and which health, taste and texture attributes are most important in the selection criteria. Here’s what they found.

Confectionery comprises the biggest sales contribution to the overall snacks category in Europe ($46.5 billion) and the Middle East/Africa ($1.9B). Salty snacks contribute more than one-fifth of snack sales in North America ($27.7B), refrigerated snacks comprise almost one-third of snacks in Asia-Pacific ($13.7 billion), and cookies and snack cakes make up more than one-fourth of total snacks in Latin America ($8.6B).

But what are the fastest-growing snack categories? Sales of savory snacks increased 21 percent in the last year in Latin America. Meat snacks grew 25 percent in the Middle East/Africa and 15 percent in North America. Refrigerated snacks rose 6.4 percent in Asia-Pacific, while dips and spreads increased 6.8 percent in Europe.

“Non-sugary snacks closely aligned with meal-replacement foods are showing strong growth, which signals a shift in a consumer mindset to one focused on health," Dunn said. “While conventional cookies, cakes and confections categories still hold the majority of snack sales, more innovation in the healthy snacking and portable food space is necessary to adjust to this changing dynamic."

With that brings a massive untapped opportunity to gain market share in the nutritious, portable and easy-to-eat meal alternative market that snack manufacturers could fill. Seventy-six percent of global respondents eat snacks often or sometimes to satisfy their hunger between meals or to satisfy a craving, and 45 percent consume snacks as a meal alternative—52 percent for breakfast, 43 percent for lunch and 40 percent for dinner.

When it comes to overall favorite snacks, fresh fruit and chocolate reign supreme. According to the report, global respondents say that fresh fruit (18 percent) is the one snack they would choose above all others from a list of 47 different snacking options, followed by chocolate (15 percent). Over a span of 30 days, however, global respondents say they ate a wide variety of snacks, including chocolate (64 percent), fresh fruit (62 percent), vegetables (52 percent), cookies (51 percent), bread/sandwich (50 percent) and yogurt (50 percent). Forty-six percent consumed cheese, potato chips/tortilla chips/crisps (44 percent) and nuts/seeds (41 percent). One-third chewed gum (33 percent) and ate ice cream/gelato (33 percent), while about one-fourth consumed popcorn (29 percent), crackers (28 percent) and cereal (27 percent). Softer offerings like dumplings (26 percent) and instant noodles (26 percent) were also popular with a quarter of global respondents.

Taste preferences for snack options are noticeably different around the world. Exceeding the global averages, large percentages of respondents snack on vegetables in Asia-Pacific (57 percent), cheese in Europe (58 percent), ice cream/gelato in Latin America (63 percent) and potato chips/tortilla chips in North America (63 percent).

“In the dichotomy of snacking, consumers want healthy, but yet indulgent options are still going strong," Dunn said. “A better understanding of consumer demand and the need states that drive demographic profile preferences will help manufacturers crack the code on the right portfolio balance between indulgence and healthy. It will also increase the odds of success in this ultra-competitive landscape."

In May, thousands of new confectionery and snack foods debuted this week during the 2014 Sweets & Snacks Expo in Chicago that featured the hottest new products and innovations from 650 companies. Broader food industry trends, including ancient grains, power foods, herbs and spices, and a resurgence of classic flavors like peanut butter and coconut abound in the candy and snack industries this year. Click here to find out more about the 2014 Sweets & Snack Trends from the National Confectioner’s Association.