Food Business – Page 32

Imposing Soda Tax: A Solution for The Ballooning Diabetes and Heart Disease Problems

in Beverages & Drinks, Food Business, Health & Nutrition, Kid's Health

Global diabetes and heart disease rates have ballooned over the last 25 years. Among the countries that have the highest rate of diabetes and heart diseases, Mexico tops the list according to Dr. Kirsten Bibbins-Domingo. She is a UCSF professor medicine and director of UCSF Center for Vulnerable Populations. Another problem in the country is obesity. With the global obesity rate growing at 11% and 15%, respectively, for both men and women, Mexico harbors a lot of obese individuals in the world. It is strikingly alarming to take note that around 75% of adults in Mexico are obese.

To solve the problem, the Mexican government proposed a solution to address this chronic health issue by imposing a 10% excise tax on sugary drinks in 2014. This tax rate is designed to curb the consumption of sugary beverages. Thus, decreasing the number of people who have diabetes and cardiovascular diseases. Moreover, this strategy allows the government to save about $1 billion in direct health care cost due to these conditions.

Is the Sugary Drink Tax Effective?

In a study published in PLOS Medicine, simulation models of cardiovascular diseases and diabetes in Mexico was done. The simulation model was developed on the well-established model used in the United States in 1980.

Researchers from the Instituto Nacional Salud de Publica (INSP) in Cuernavaca in Mexico and from the UC San Francisco estimated that the sugary drink tax in the country will likely prevent 20,000 cases of heart attack, 190,000 cases of diabetes, and 19,000 deaths among adults from the age of 35 to 90 within the next ten years.

The sugary drink tax is not the only tool to turn around this health epidemic in Mexico, but it will also mean a lot of savings for the people and the government according to senior researcher, Simon Barquera. For instance, it will reduce healthcare spending such as clinic visits and hospitalization by as much as $983 billion. The health benefits will strongly be felt among young adults who are avid consumers of sugary drinks.

Backed by The World Health Organization

The World Health Organization (WHO) issued a report that indicated that imposing sugary drinks could decrease Type 2 diabetes, tooth decay, and obesity. Increasing the retail price to 20% can trigger a reduction in consumption because people will have second thoughts about buying expensive drinks.

Obesity is a rising problem in many rich and developing countries. The problem started more than a decade ago, and it has affected mostly people from the middle-income and lower-income bracket.

The sugary drink tax imposed in Mexico in 2014, according to WHO spokesman Paul Garwood, was favorable wherein the agency observed a substantial drop in the consumption of not only sugar but also caffeine.

Inspired by www.ucsf.edu/

Misleading Labeling Claims Can Land Food Companies in a Lawsuit

in Beverages & Drinks, Consumer Packaged Goods, Food Business

In today’s modern society, most consumers are driven to purchase healthy foods. Customers take the time to read and compare food labels to decide which products are right for them. Food producers use labels as a marketing ploy. Food manufacturers love to claim different kinds of health benefits to boost their products’ sales. Unfortunately, many of these claims are misleading.

The Problem with Misleading Food Labels

Food and beverage brands come up with the latest buzzwords that are designed to boost product sales. Consumers expect the labels to be truthful so that they can make healthier choices. Moreover, they assume that the government is keeping a strict eye on the food manufacturers.

While there is some truth to this, what’s good to know though is the system is currently working to make companies accountable for their misleading food labeling. On August 12, 2016, the company Nature’s Way falsely labeled its coconut oil as healthy; thus, a California federal judge found that the firm’s advertising and labeling are misleading.

The company branded their products as a healthy alternative to shortening, margarine, butter and other cooking oils despite the fact that it is not much better than those products. Moreover, the company’s advertising and product labeling violated several state food regulations in Canada.

Food Labeling Laws

Food manufacturers are expected to evaluate their foods and make their nutrition labels. They are allowed to make a margin of error of plus or minus 10%. The Food and Drug Administration imposes that all food producers are straightforward when it comes to labeling their food products. For instance, products that are labeled as “natural” may contain surprisingly unnatural ingredients. Moreover, food manufacturers should also include the exact serving size and calories on the label as part of FDA regulations.

FDA Issues Public Warning

With the increasing trend of using misleading labels, the FDA strictly defines the term “natural” in food products, and it restricts many food manufacturers to abuse such claim. Those who do not comply with the agency often suffer repercussions.

For instance, the agency issued a public warning letter in 2014 to Premier Organics about its product named Arisana Coconut Butter Whole Coconut Flesh is not healthy because it contains high amounts of saturated fat per serving.

Another company that has found itself in hot water with the FDA was General Mills. The company experienced a lawsuit when it allegedly claimed that the product Cheerios Protein is a protein-rich version of the regular Cheerios when, in fact, it does not contain significant amounts of added protein.

The false advertising of many companies has led to the proposal of the Food Labeling Modernization Act to streamline food labeling and create a standard labeling requirement for all food products. With this proposal, food manufacturers will be more careful in using buzzwords like “natural” and “healthy.”

Source: legalnewsline.com

Tyson Meat Company Invests in Plant Protein with Beyond Meat

in Consumer Packaged Goods, Food Business, Health & Nutrition

People are now shying away from eating so much meat. Some nutrition experts believe that eating too much meat can cause serious, long-term health problems. New companies developing plant-based meat alternatives are racing to create the next big product in “meat.”

As one of the largest meat processors in the country, Tyson Foods shocked consumers when they decided to embrace plant proteins. They invested in the vegan “meat” company, Beyond Meat. Beyond Meat is the company that brought the market, the Beyond Burger, which is a plant-based burger that looks and tastes like the real thing. Senior vice president in charge of strategy and new ventures, Monica McGurk, noted that the quality of the plant-based burger is amazing and Tyson Foods wants to diversify their food business.

Why Plant-Based Proteins?

There is a growing movement of vegetarianism and veganism in the United States. As more American consumers are eating more plant-based foods, many traditional meat manufacturers are thinking of new ways to grow share of the new plant-based market.

According to the Plant Based Foods Association, businesses in the country such as Califia Farms, Heidi Ho, and Beyond Meat have grown to at least $4.9 billion in sales last June. The investment that Tyson Foods poured into Beyond Meat came as a shock because a meat company suddenly decided to invest in a plant-based business. Tyson must have seen the lucrative business of plant-based proteins.

Why did Tyson Diversify its Portfolio?

In 2014, Pinnacle Foods which produces canned meat products bought Gardein which creates a line of plant-based products. This creates a positive view that the meat industry is recognizing the movement of veganism. Although it may not cause the complete shift in meat to plant-based proteins, it is still a good sign for vegans and vegetarians all over the world.

However, this particular type of investment will also raise eyebrows, particularly among ardent vegetarians and vegans. Ethan Brown, founder, and CEO of Beyond Meat, said that many vegans see the ethical problem of a meat company investing in a plant-based business. But he is hopeful that this action can make plant-based meats become part of the mainstream decision of many consumers. Such investment is a great way for customers to enjoy plant-based protein in their daily diet.

Do Consumers Want More Plant-Based Meat Alternatives?

So, will such kind of investment be welcomed by many users? In a research conducted by Midan Marketing and Meatingplace, 70% of meat-eating respondents said that they could use meat substitutes in place for real meats at least once a week. The remaining number of correspondents are already using meat substitutes frequently.

The reasons why there are a huge following and acceptance of plant-based proteins in the United States is mainly for health. However, other people do it for the ethical reasons. Whatever the reasons may be, Tyson Foods investment in Beyond Meat proved that there is an emerging market for this particular niche.

Inspired by: www.nytimes.com

Packaged Facts Reports Stable Growth in the Natural Food Industry

in Beverages & Drinks, Consumer Packaged Goods, Food Business, Supplements & Nutraceuticals

Modern consumers are no longer driven only by the price and taste of food. With most consumers seeking healthy foods, their shopping behaviors have also changed. Today, American consumers consider safety, experience, social impact, transparency, as well as health and wellness when it comes to purchasing food. This is the reason why organic and natural foods are a growing niche in the food industry.

According to the report titled Natural and Organic Foods and Beverages in the US (5^th edition), most consumers value the transparency and eco-conscious models of how their foods are made. Opting for natural and organic foods fulfill the needs of the customers.

Research Director of Packaged Facts, David Sprinkle, noted that this new behavior of consumers resulted in the rise of the organic and natural foods market. Packaged Facts estimated that the industry would earn $69 billion by the end of this year. This is 11% higher than the sales from last year.

The Industry Shift to Organic And Natural Foods

The growth of the organic and natural products has outpaced the sales of conventional food items. It is forecasted that the growth will be up to 70% from 2016 to 2021. This is the reason why big food manufacturers are shifting towards the natural and organic food niche. They hope to achieve this by overhauling their products or creating a new portfolio in the hopes of attracting consumers who lean towards natural and organic foods.

But what most big companies do not realize is that integrating organic and natural foods to their established brand can be quite challenging. While the market for organic food products is rising, it still has big shoes to fill. Conventional companies might find it difficult to look for clean ingredients because the suppliers are not quite there yet.

Big Food Companies Making Changes

Although there are some challenges present, investing in the natural and organic food niche is worth it. In fact, many big companies have seen stark improvements in sales after jumping into the natural and organic bandwagon.

For instance, Campbell Soup Co. announced to remove all artificial flavors and colors in its products by the end of 2018. Other companies that have plans to remove its artificial colors and flavors include Mondelez, General Mills, Mars Inc., Kraft Heinz, and Hershey Co. On the other hand, companies like WhiteWave Foods have pledged to use only organic ingredients in their products.

The food manufacturing industry has come a long way from using artificial flavors and colors in the past to using only natural ingredients. As consumer behavior continues to lean towards clean ingredients and healthy foods, the other main food manufacturing companies will follow suit–an action that will not only benefit food manufacturers but consumers as well.

Inspired by prnewswire.com

The Clean Label Project: Helping You Understand Your Food Beyond Its Ingredients

in Food Business, Health & Nutrition

Food manufacturing has come a long way. From the simple backyard garden, our grandparents tended before the industrial revolution to the establishment of the first grocery stores during the pre-war times. It is no wonder that the food that we are eating now is very different from what our grandparents ate in their time. Today, food is not as authentic and filled with harmful substances like antibiotics, BPA, and arsenic.

The Clean Label Project was established to understand better all of the ingredients found in the food we are eating. Led by Doug Porter, this non-profit organization aims to test different food items for the presence of harmful substances in the hopes of providing cleaner food supply to consumers.

What Is the Clean Label Project?

Founded two years ago, the Clean Label Project is a non-profit group that is concerned about the purity and safety of today’s food. It is led by people from all walks of life, but most of them have a background in the food industry. The group aims to answer questions related to the origin of our foods and increase the transparency of food issues such as GMO labeling, revamping the nutrition facts, and implementing the Food Safety Modernization Act.

The group has analyzed baby food since it was founded and looked at the ingredients as well as the composition of the products. They also examined the normal levels of substances found in food so that they can develop an algorithm that will help food manufacturers know the appropriate amount of elements that they can use. It is their mission to create a society where people are not worried about what’s inside their food.

How Do Toxic Substances Get into Our Food?

With the high demand of consumers for clean food, food manufacturers should improve their products by providing traceability for their customers. Another mystery that The Clean Label Project wants to solve is how the harmful substances find their way into the food that we eat.

There are many ways food can be contaminated by harmful substances. The industrialization of agriculture may contaminate crops and produce with pesticides and fertilizers. On the other hand, other ways that foods may have contaminated may come during the processing, packing, and transportation of the food.

Pinpointing where these harmful substances come from can help food manufacturers take steps in improving their processes to solve the problem down the line completely.

Transforming The Concept of Clean Labeling

Clean labeling is not just about knowing the types of ingredients used in making a particular food product. It also knows where your food comes from and how it is made with the Clean Label Project, the non-profit organization aims to transform how people look at the concept of clean labeling.

Using clean labeling does not only reflect the quality of food that manufacturers make, but it also reflects their sincerity in helping consumers attain good health through the foods that they eat.

Inspired by fooddive.com

Premium Packaging: The New Trend in Private Label

in Beverages & Drinks, Consumer Packaged Goods, Food Business, Supplements & Nutraceuticals

The food manufacturing industry is highly competitive right now, and private label brands are keeping big brands on their toes. Aside from using clean ingredients, another industry trend is premium packaging.

Packaging is considered by most the brand and forms the first impression of products at the shelf in stores and online. Private label is adopting premium packaging to increase the perceived quality of their products and increase brand loyalty.

What Is Premium Packaging?

Big retailers are relying on cutting-edge packaging to enhance their brands. Premium packaging is all about improving the presentation of the product to make it distinguishable from competitors. It reinforces the identity of the brand, thereby making the products more appealing to the consumers. But it is important to take note that premium packaging is not only about using heavy-duty and expensive materials, but it also considers convenience and sustainability.

The Elements of Premium Packaging

Creating premium packaging can be a challenging task. Companies need to consider many things in the design of the packaging to sell their product, identity, and brand. Certain things should be taken into consideration when creating premium packaging, and these include the following:

technical design innovation
the durability of packaging
convenience
consumer health and wellness
eco-friendly materials

For instance, thinking about the use of eco-friendly materials is necessary for creating premium packaging since so many people are now conscious of the green movement. Today, many manufacturers look into the sustainability of their packaging as they aim to produce less waste.

Convenience is also another factor especially if the product is designed for a particular target market. For instance, products that are created for the elderly should be convenient enough so that they can open the packaging without the help of others.

The Benefits of Premium Packaging in Private Label

The idea of presenting a product or brand as “luxurious” depends on the type of packaging used. People opt for luxury products to maintain a certain social standard. But more than social standards, luxury packaging can also improve the consumer experience. Private label companies are interested in premium packaging for this primary reason. They are already beating competitors on price, but they want to compete on experience now.

For instance, when the first microwavable meals became popular, demand increased because of the attractiveness of quick meals. Today, microwavable meals are no longer attractive and are commonplace. The use of ceramic pots to contain microwavable meals are used to create a better eating experience.

It is inevitable for companies to change their product packaging. It is one of the marketing strategies that companies should do to ensure success. With the constant evolution of product packaging, it will continue to push private label manufacturers to innovate and stand out from the crowd.

Inspired by http://digital.foodmanufacturing.com

Consumers Looking for More Plant-Based Proteins

in Beverages & Drinks, Consumer Packaged Goods, Food Business, Health & Nutrition, Supplements & Nutraceuticals

Where do you get your protein? The usual answer would be from meat and other animal products. Proteins are also found in plant sources, and they are gaining a lot of traction. In fact, 63% of Americans want to eat healthy by better understanding the ingredients found in their food. The preference of most consumers for natural and simple foods has led them to explore other food alternatives such as plant-based proteins.

Plant-Based Pulses: The New Meat

Although the sales of lean proteins in the United States have increased by 4.8% or $19.6 billion, many consumers are also buying pulses or grain legumes. Pulses are edible seeds made up of aggregates of peas, lentils, chickpeas, and other dried beans.

In a survey conducted by Nielsen, about 61% of the respondents opted for foods that have both high protein and fiber content where pulses are clearly spot on. And with the many health benefits attributed to eating pulses, it is no wonder why the United Nations declared this year (2016) as the International Year of Pulses.

Pulses are not only perfect for vegans and vegetarians. In fact, even carnivores can also take advantage of the many health benefits of pulses. But aside from nutritional and health benefits, people are now shifting to pulses because of its taste and eating convenience.

Why Are People Eating Pulses?

Health is becoming a priority for many American consumers these days. One of the most popular superfoods for health-conscious individuals is pulses.

There are different categories of consumers that consume pulses, and they vary in their income levels, dietary preferences, and life stages. However, the recent study conducted by Nielsen Homescan Consumer Moments indicated that most people who consume lentils are women who make up 70% of the respondents.

It is also important to take note that the manner of consumption of pulses indicated that consumers eat them at home. In the study, 86% of the respondents consume legumes at home, and more are preparing them not as side dishes but as the main entrée. This means that many consumers today are taking control of their personal health by making time to cook their meals.

The Future of Pulses

Although there has been a rapid increase in popularity, the overall sales of some legumes have dropped significantly this year. For instance, while lentils and chickpeas are still dominating the sales chart with 11.1% and 64% growth respectively, other lentils like red, black, and white beans are on a steady decline.

The market for pulses in the United States is still very young. While the market is still experiencing slow growth for some of the seeds, well-known seeds like lentils and chickpeas are dominating the market. As more and more people appreciate the benefits of eating lentils, this food trend will continue to persist for years to come. It’s up to manufacturers to develop new plant-based alternatives that are tasty and excite consumers.

Inspired by nielsen.com

8 Natural Food Trends Disrupting the Market

in Beverages & Drinks, Consumer Packaged Goods, Food Business

Natural food products are no longer a unique niche with a few followers. With the natural food movement growing across the industry, this niche has turned into a necessity for brands.

The New Hope Network conducted research that showed that people are consuming a lot of natural food products. Food manufacturers are prioritizing such opportunities to create products that meet the demands of many health-conscious consumers. Below are the natural food trends disrupting the market today.

Trend #1: Prebiotics

Our gut is our second brain. It is important to feed your gut bacteria with the right kinds of foods. Prebiotics are very popular right now, and many consumers buy them for health reasons. Modern prebiotic food manufacturers include Rainbow Light and Jica Chips. Products and supplements containing prebiotics have a high market prediction rate of 93% which means that the future of prebiotics will be huge.

Trend #2: Natural Food Products with a Mission

Products that are developed out of a mission is a popular food trend today. These products are not only geared towards health but also to the environment. For instance, the Marley Coffee EKOCups are recyclable pods that can help solve the problem of solid waste pollution caused by non-biodegradable coffee cups. Food companies that also support charities and communities are also appreciated by consumers.

Trend #3: Paleo Foods

The Paleolithic diet has caught on with a lot of people seeking a healthier lifestyle. This particular diet involves eating minimally processed foods that include no dairy, no refined sugar, and no grains.

Trend #4: Locally Sourced Foods

Gone are the days when people go crazy over imported food products. Today, many consumers want traceability through locally sourced foods. Many customers also want to source their foods locally because they want to support the local economy and the surrounding community.

Trend #5: Brain Food

Brain food is another trend that has become popular in the last few years. People want to protect their memory and brain function. Products that contain brain foods like hemp and green tea extract are becoming more popular. Moreover, foods that also contain omega-3 fatty acids vs. omega-6 are gaining traction for brain function benefits.

Trend #6: Hidden Veggies

With many children avoiding their vegetables, hidden vegetables in food products are a welcome addition to the natural food trends disrupting the market. Many food manufacturers are developing products to hide vegetables since 33% of consumers in the United States indicated that they would rather eat vegetables they cannot see in their foods. Examples of sneaky veggies include the Made Good Granola Mini Snack Poppers and Good Health Salty Snack products with natural vitamins from vegetables.

Trend #7: Grass-Fed Meat

Many consumers are also looking for grass-fed meats and free-range poultry products. Today, most meats are obtained from grain-fed livestock. Feeding grains to livestock does affect not only the quality of meats but also the nutritional value. With the popularity of naturally grown livestock, this trend has a prediction score of 99%.

Trend #8: Eco-Friendly Packaging

Many consumers want products that come in eco-friendly packaging. To answer the need of many consumers, food manufacturers are developing compostable packaging to reduce the waste produced from their products.