The entire non-alcoholic beverage industry is making a shift towards functionality, if the findings of a recent report from global investment analyst Canaccord Adams spell true.
As part of its newsletter on equity research - Healthy Living Monthly - the firm highlighted an increased consumer focus on health and wellness as a key driver of new trends in the beverages. The group predicts that while traditional soft drinks still account for most of the market, growth and innovation will stem from more alternative segments. There will as such be opportunities for functional beverage and ingredients manufacturers alike as these categories grow. But it depends on how they align their resources and efforts. "The beverage industry has become a leading delivery vehicle for functional nutritional ingredients, is a major beneficiary of the convenience movement in the US, and is desperate, in our opinion, for any new ideas to offset the stagnant market for carbonated soft drinks," write the report's authors.
Canaccord Adams valued the US non-alcoholic beverage market at $100bn in 2005. Carbonated soft drinks (CSDs) take up the majority of this market, with a reported $64.7bn in sales. However, the analyst says growth in the non-alcoholic segment is coming from categories other than soft drinks as consumers move towards healthier options or, at least, options that are perceived as healthier. The firm conjectures this interest in healthier beverages is in part due to the fact US consumers are increasingly overweight. An estimated 66 percent of adults in the US are either overweight or obese, based on results from the 2003-2004 National Health and Nutrition Examination Survey (NHANES). The rate of obesity more than doubled from the previous NHANES survey - increasing from 15.0 percent (1976-1980) to 32.9 percent (2003-2004).
In terms of recommending how manufacturers large and small ought to innovate in this market, the report repeatedly highlights the example of the rise of energy drink. "The history of the energy drink category in the United States illustrates both the opportunities and the risks that exist as change occurs within the beverage industry," write the analysts. While Canaccord Adams has identified emerging trends in the beverage market as being fortification, functionality, and a shift towards premium, "green" and organic products, it indicates that knowing when to buy and when to sell is key to succeeding in this market. For instance, instead of water, beverage manufacturers should now look out for 'enhanced' water. "Don't buy commodity bottled water today, despite its enormous profitability," states the report. "It is late in the trend, and the early adopters are telling us that."
Waters fortified with healthy ingredients hold the biggest potential and are being cashed in on by the beverage giants. Coca-Cola this year forked out $4.1bn to acquire vitamin water company Energy Brands for the manufacture and marketing of new nutritionally enhanced vitamin water lines. These fortified categories are the way of the future, according to Canaccord Adams, and are not limited to water. "We recommend buying energy and all types of "functional" categories - buy tea, meal replacements, zero-calorie beverages and emerging calorie-free sweeteners, while selling carbonated sodas, high-calorie daily beverages and yes, even milk."
The analyst states that though dairy was once the bastion for beverage fortification, it has given way to alternative drink sources that come with perhaps less calories or fat. While the beverage giants may be good at purveying continuous pipelines of tried and true brands, Canaccord Adams implies in its report they would be best to stick with this and leave it smaller companies to innovate. The larger players can then step in and engulf successful brands through acquisitions only they can dream to afford. "Legacy industry leaders such as Coca-Cola and PepsiCo are not innovators, and they actively utilize consolidation to add premium brands to their product offering." According to Canaccord, only two percent of all new launches in the US food industry ever reach $50mn in sales - meaning it makes more sense for the larger established companies to let smaller ones incur the risks until a brand is established.
By Clarisse Douaud, 27 Sept 2007, Food Navigator USA
Sunday, September 30, 2007
Nutraceuticals could bridge gap in healthy snacks
More than 20 percent of American consumers indicate they are now seeking healthier snacking options, according to Datamonitor - spelling opportunity for healthy ingredient manufacturers.
Consumer priorities are slowly shifting towards better-for-you foods and this could create further potential for the nutraceutical industry to collaborate with snack food makers as they look to enhance the healthy profile of their products. However, according to a new survey from Datamonitor, there are two obstacles to this pursuit of healthy snacking: taste factors and the credibility of the healthy potential of traditional snacks.
In the survey, Datamonitor found consumers are not willing to sacrifice taste in their quest for healthy snacks - backing up findings from previous surveys. Datamonitor revealed that 80 percent of men and women in the US and Europe agreed companies need to enhance the flavor and tastiness of healthy products. The key for manufacturers is to find the balance between health and taste that will keep consumers coming back for more and make them feel good about their choice. "Although healthy products remain a small percentage of overall indulgent snack releases, the indication is that a growing number of consumers wish to snack indulgently, but in a "guilt-free" manner", said the report author, Datamonitor consumer market analyst Richard Parker.
The market analyst surveyed 1,000 consumers in the US. Of the respondents, 24.4 percent indicated that over the past 12 months they had been "much more" likely to look for food and drink that is both convenient and healthy. While 36.7 percent said they had become "slightly more" likely to over that same period. Snack food manufacturers have been aiming to reduce ingredients such as trans fats and salts, but there is perhaps further room for the makers of fortifying ingredients to bridge the health gap for consumers. According to Datamonitor, "health" has become a growing product claim among typically unhealthy snack categories such as confectionery and savory snacks. These are now moving beyond focusing just on reduced fat or sugar, and on to functional benefits such as added vitamins or antioxidants.
The market analyst notes that consumer trust in healthy snacks still needs to be taken into account by manufacturers when making claims surrounding the healthy potential of a product. Snack foods and beverages with health benefits seem counter-intuitive to many consumers and skepticism towards corporate messages makes it an uphill battle for traditional snack producers, says Datamonitor. Added to this is the fact that health considerations are still not found to be the primary influence in a consumer's choice when purchasing impulse snack foods. As such, they ignore the unhealthy characteristics of such snacks and choose them instead for their taste and to indulge themselves.
Over a third of the survey participants in both continents said they had looked for small indulgences to offer them escapism from daily pressures with greater regularity. A recent report from Packaged Facts found that 33 percent of consumers say they do not have time to prepare healthy meals and as such are looking for on-the-go options. Meanwhile, Mintel reported that salty snacks are facing serious threats in the US. The market analyst valued this market at $9.8bn in 2007, a four percent decline in constant terms since 2002. The main factors at play were said to be competition from healthier alternatives outside the category.
The market, which Mintel calculates through sales in food, drug and mass merchandiser outlets (excluding Wal-Mart), has seen a general decline in consumption of pretzels, corn and tortilla chip snacks, cheese snacks and popcorn. Sales for these products went down by six percent since 2003, while potato chip consumption remained stagnant.
By Clarisse Douaud, 24 Sept 2007, Food Navigator USA
Consumer priorities are slowly shifting towards better-for-you foods and this could create further potential for the nutraceutical industry to collaborate with snack food makers as they look to enhance the healthy profile of their products. However, according to a new survey from Datamonitor, there are two obstacles to this pursuit of healthy snacking: taste factors and the credibility of the healthy potential of traditional snacks.
In the survey, Datamonitor found consumers are not willing to sacrifice taste in their quest for healthy snacks - backing up findings from previous surveys. Datamonitor revealed that 80 percent of men and women in the US and Europe agreed companies need to enhance the flavor and tastiness of healthy products. The key for manufacturers is to find the balance between health and taste that will keep consumers coming back for more and make them feel good about their choice. "Although healthy products remain a small percentage of overall indulgent snack releases, the indication is that a growing number of consumers wish to snack indulgently, but in a "guilt-free" manner", said the report author, Datamonitor consumer market analyst Richard Parker.
The market analyst surveyed 1,000 consumers in the US. Of the respondents, 24.4 percent indicated that over the past 12 months they had been "much more" likely to look for food and drink that is both convenient and healthy. While 36.7 percent said they had become "slightly more" likely to over that same period. Snack food manufacturers have been aiming to reduce ingredients such as trans fats and salts, but there is perhaps further room for the makers of fortifying ingredients to bridge the health gap for consumers. According to Datamonitor, "health" has become a growing product claim among typically unhealthy snack categories such as confectionery and savory snacks. These are now moving beyond focusing just on reduced fat or sugar, and on to functional benefits such as added vitamins or antioxidants.
The market analyst notes that consumer trust in healthy snacks still needs to be taken into account by manufacturers when making claims surrounding the healthy potential of a product. Snack foods and beverages with health benefits seem counter-intuitive to many consumers and skepticism towards corporate messages makes it an uphill battle for traditional snack producers, says Datamonitor. Added to this is the fact that health considerations are still not found to be the primary influence in a consumer's choice when purchasing impulse snack foods. As such, they ignore the unhealthy characteristics of such snacks and choose them instead for their taste and to indulge themselves.
Over a third of the survey participants in both continents said they had looked for small indulgences to offer them escapism from daily pressures with greater regularity. A recent report from Packaged Facts found that 33 percent of consumers say they do not have time to prepare healthy meals and as such are looking for on-the-go options. Meanwhile, Mintel reported that salty snacks are facing serious threats in the US. The market analyst valued this market at $9.8bn in 2007, a four percent decline in constant terms since 2002. The main factors at play were said to be competition from healthier alternatives outside the category.
The market, which Mintel calculates through sales in food, drug and mass merchandiser outlets (excluding Wal-Mart), has seen a general decline in consumption of pretzels, corn and tortilla chip snacks, cheese snacks and popcorn. Sales for these products went down by six percent since 2003, while potato chip consumption remained stagnant.
By Clarisse Douaud, 24 Sept 2007, Food Navigator USA
Consumers thirsty for functional dairy drinks
The functional dairy drink market has hit €3,400m with consumption reaching 999 million litres - but the days of the probiotic yoghurt shot may be numbered, according to a report.
Analysts at Zenith International have said drinks consumption across West Europe, United States and Japan rose by 12 per cent from a 2005 point of 892 million litres. And by the end of this year consumption could hit the 1,111 million litre mark, the report added. Analyst Jenny Foulds said: "The early influence of Japan's Yakult, the daily dose probiotic yoghurt shot, is undoubtedly one of the main reasons why the functional dairy drinks market has been able to develop so successfully."
The rise in sales reflects increasing consumer demand for functional foods, which are seen to be healthy, improve lifestyle and are easily ingested. Indeed, companies are looking for more innovative ways of getting on the functional yoghurt drink bandwagon, and just yesterday Russia's Wimm-Bill-Dann said it will launch a probiotic drink and drinking yoghurt aimed at boosting skin health. In 2004 Yakult passed its 10-year anniversary on the European market, and its presence and success, spurred others to launch other functional products.
By 2011 sales of functional dairy drinks across the markets of West Europe, United States and Japan are projected to reach 1,600 million litres and €6,250m in value by 2011, Zenith said. Zenith's 2007 Functional Dairy Drinks report said Western Europe is by far the largest of the three markets, seeing strong double figure growth in 2006. Europeans account for just over 56 per cent of the market. The US is experiencing year on year growth of around 50 per cent, albeit from a low base. America accounts for just 1.8 per cent of the market. Japan's volume share is "slowly being eroded", the report added. Traditional probiotic yogurt shots are declining in some markets, Zenith said.
Zenith analysts said consumer confusion over health claims and an overwhelming variety is also hampering growth, but these difficulties are being overcome by dairy-based opportunities in other functional beverage categories, such as sports drinks, energy drinks and cosmeceuticals. Foulds added: "As health conscious consumers seek more individual solutions and choices, the uppermost challenge for those entering the functional dairy drinks category is how to respond to this ever changing agenda. Product positioning will become increasingly important, as will appealing to principles such as convenience, provenance and health"
"Further investment in new functional ingredients and flavours, supported by a growing body of evidence in favour of dairy's wide ranging benefits, will ensure continued potential for future growth," she added. More recently companies have been looking to incorporate probiotics outside of the traditional yoghurt pot. Chr Hansen launched a probiotic strain in Ciambello cheese in Italy, which will contain the bacteria BB-12.
Dairy foods, including fermented milks and yoghurts, are among the best accepted food carriers for probiotic cultures, which are frequently limited to refrigerated foods as they are sensitive to heat, humidity and other harsh conditions.
By Alex McNally, 28 Sept 2007, Food Production Daily Europe
Analysts at Zenith International have said drinks consumption across West Europe, United States and Japan rose by 12 per cent from a 2005 point of 892 million litres. And by the end of this year consumption could hit the 1,111 million litre mark, the report added. Analyst Jenny Foulds said: "The early influence of Japan's Yakult, the daily dose probiotic yoghurt shot, is undoubtedly one of the main reasons why the functional dairy drinks market has been able to develop so successfully."
The rise in sales reflects increasing consumer demand for functional foods, which are seen to be healthy, improve lifestyle and are easily ingested. Indeed, companies are looking for more innovative ways of getting on the functional yoghurt drink bandwagon, and just yesterday Russia's Wimm-Bill-Dann said it will launch a probiotic drink and drinking yoghurt aimed at boosting skin health. In 2004 Yakult passed its 10-year anniversary on the European market, and its presence and success, spurred others to launch other functional products.
By 2011 sales of functional dairy drinks across the markets of West Europe, United States and Japan are projected to reach 1,600 million litres and €6,250m in value by 2011, Zenith said. Zenith's 2007 Functional Dairy Drinks report said Western Europe is by far the largest of the three markets, seeing strong double figure growth in 2006. Europeans account for just over 56 per cent of the market. The US is experiencing year on year growth of around 50 per cent, albeit from a low base. America accounts for just 1.8 per cent of the market. Japan's volume share is "slowly being eroded", the report added. Traditional probiotic yogurt shots are declining in some markets, Zenith said.
Zenith analysts said consumer confusion over health claims and an overwhelming variety is also hampering growth, but these difficulties are being overcome by dairy-based opportunities in other functional beverage categories, such as sports drinks, energy drinks and cosmeceuticals. Foulds added: "As health conscious consumers seek more individual solutions and choices, the uppermost challenge for those entering the functional dairy drinks category is how to respond to this ever changing agenda. Product positioning will become increasingly important, as will appealing to principles such as convenience, provenance and health"
"Further investment in new functional ingredients and flavours, supported by a growing body of evidence in favour of dairy's wide ranging benefits, will ensure continued potential for future growth," she added. More recently companies have been looking to incorporate probiotics outside of the traditional yoghurt pot. Chr Hansen launched a probiotic strain in Ciambello cheese in Italy, which will contain the bacteria BB-12.
Dairy foods, including fermented milks and yoghurts, are among the best accepted food carriers for probiotic cultures, which are frequently limited to refrigerated foods as they are sensitive to heat, humidity and other harsh conditions.
By Alex McNally, 28 Sept 2007, Food Production Daily Europe
Wednesday, September 26, 2007
Healthy, Indulgent Snacks on the Rise
When it comes to snacks, consumers really do want it all, according to a new report from London-based Datamonitor: health, convenience and indulgence. This triumvirate will drive demand for healthy products in the future, says the market analysis firm. But the challenge for manufacturers is to build up trust between themselves and the consumer regarding the products’ healthfulness.
According to the report, more than 20% of European and U.S. consumers surveyed indicated they were looking for healthy snack options much more than before. Its author, Richard Parker, points out that, although healthy products make up a small proportion of indulgent snack releases, an increasing number of people want guilt-free indulgence.
Despite snacks’ frequently unhealthy reputation for excess calories and nutritionally suspect ingredients, snacking remains an important part of daily eating and drinking behavior as consumers search for products that match their hectic life styles. However, they often see healthy foods as less convenient, requiring more time-intensive preparation, and also lacking indulgent qualities that aren’t an acceptable trade-off for health considerations. The report says that products that combine health, convenience and indulgence can help them consume a healthy diet, practice a time-pressed lifestyle, and still experience qualities that make snacking pleasurable.
Datamonitor’s 2006 survey found that 60% of European and U.S. consumers had sought convenient and healthy food and drinks more often in the last year. And over a third had more-often looked for indulgences that offered an escape from daily pressures. In addition, 80% of both men and women agreed that companies need to enhance the flavor and tastiness of healthy products.
The report found that manufacturers of healthy snack products are increasingly focusing not just on reduced fat or sugar, but on functional benefits, such as added vitamins or antioxidants. In Europe, 2.9% of 2006 snack introductions featured “health” as a product claim, while the U.S. level was up to 6.5%. However, the author warns that snack foods and beverages with health benefits “still seem counter-intuitive to many consumers, and skepticism towards corporate messages makes it an uphill battle for traditional snack producers.” Datamonitor also found that health considerations are still not a primary influence on choice of more traditional, impulse snack food or beverage options. While consumers are clearly aware of products’ unhealthy attributes, they focus on other traits such as taste and indulgence. “Snacking is a strongly sensory-based and emotive experience, and is often a response to stress or a momentary form of escapism,” says Parker. “If that is to be fulfilling in a healthy way, then the indulgent characteristics must still be satisfied.”
By Lynn A. Kuntz, posted on 21 Sept 2007, Food Product Design
According to the report, more than 20% of European and U.S. consumers surveyed indicated they were looking for healthy snack options much more than before. Its author, Richard Parker, points out that, although healthy products make up a small proportion of indulgent snack releases, an increasing number of people want guilt-free indulgence.
Despite snacks’ frequently unhealthy reputation for excess calories and nutritionally suspect ingredients, snacking remains an important part of daily eating and drinking behavior as consumers search for products that match their hectic life styles. However, they often see healthy foods as less convenient, requiring more time-intensive preparation, and also lacking indulgent qualities that aren’t an acceptable trade-off for health considerations. The report says that products that combine health, convenience and indulgence can help them consume a healthy diet, practice a time-pressed lifestyle, and still experience qualities that make snacking pleasurable.
Datamonitor’s 2006 survey found that 60% of European and U.S. consumers had sought convenient and healthy food and drinks more often in the last year. And over a third had more-often looked for indulgences that offered an escape from daily pressures. In addition, 80% of both men and women agreed that companies need to enhance the flavor and tastiness of healthy products.
The report found that manufacturers of healthy snack products are increasingly focusing not just on reduced fat or sugar, but on functional benefits, such as added vitamins or antioxidants. In Europe, 2.9% of 2006 snack introductions featured “health” as a product claim, while the U.S. level was up to 6.5%. However, the author warns that snack foods and beverages with health benefits “still seem counter-intuitive to many consumers, and skepticism towards corporate messages makes it an uphill battle for traditional snack producers.” Datamonitor also found that health considerations are still not a primary influence on choice of more traditional, impulse snack food or beverage options. While consumers are clearly aware of products’ unhealthy attributes, they focus on other traits such as taste and indulgence. “Snacking is a strongly sensory-based and emotive experience, and is often a response to stress or a momentary form of escapism,” says Parker. “If that is to be fulfilling in a healthy way, then the indulgent characteristics must still be satisfied.”
By Lynn A. Kuntz, posted on 21 Sept 2007, Food Product Design
Friday, September 21, 2007
Scientists pinpoint Inulin's calcium absorption site
The ability of prebiotics inulin and oligofructose to enhance absorption of calcium in the intestine is focussed in the colon, suggests a new study with young adults that backs up animal studies.
The research, published in the October issue of The Journal of Nutrition, improves our understanding of the ingredient, and may aid the development of other products, suggested the researchers, led by Steven Abrams. "This study provided confirmation that the animal studies, which had identified a benefit of [inulin-type fructan] ITF for calcium absorption, accurately identified the principal mechanisms as well," wrote the authors, from Baylor College of Medicine (Houston), the USDA/Agricultural Research Service Clinical Nutrition Research Center, and Texas Children's Hospital.
"Furthermore, understanding the site of action may be helpful in considering the effects of ITF and related products on the absorption of other minerals or on the design of other ITF products," they added. The research appears to confirm the potential of the ingredient to support bone health and prevent osteoporosis, estimated to affect about 75m people in Europe, the USA and Japan. Currently, two approaches are being pursued to prevent osteoporosis: First, optimise bone mass acquisition during adolescence, and secondly, minimise bone loss after the menopause.
The majority of work with inulin and oligofructose to date in both animals and humans has focussed on the first approach, with animal studies in particular showing repeatedly over the last decade that inulin/ oligofructose supplementation to a diet results in more absorption of calcium. "The mechanism of action in increasing absorption is unknown but may be related to increased colonic calcium absorption," stated the authors.
Abrams and co-workers recruited 13 young adults (average age 23.8, average BMI 21.9 kg per sq. m) and assigned them to eight weeks of supplementation with eight grams of a inulin-type fructans (Beneo Synergy 1, Orafti). The subjects underwent a calcium isotope study (42Ca orally, and 46Ca intravenously) before and after starting the prebiotic supplementation. Eight of the subjects (average calcium intake of 900 mg/d) were reported to have responded to prebiotic supplementation, with increased calcium absorption of at least three per cent, from 22.7 to 31.0 per cent.
Seventy percent of the absorption increase was found to have occurred in the colon, said the researchers. This is equivalent to a 49 mg per day being absorbed in the colon."Given the multiple methods by which ITF acts, it is not surprising that some human subjects have a much greater response than others. Our results demonstrate that in those individuals who respond to ITF, its effects primarily occur in the colon," they stated.They added, however, that while increased solubility of calcium in the colon appears to be the predominant mechanism for IFT, whole gut mechanisms must not be ignored.
"In this regard, it is important to remember that in humans, calcium absorption primarily occurs in the upper portion of the small intestine compared with the large intestine in rats," stated Abrams and co-workers. The study is in-line with studies with human adolescents, where short-term supplementation with the synergistically active mixture of oligofructose and long-chain inulin (SYN1) is reported to have a higher calcium absorption (38 per cent), than the placebo group (32 per cent).
These increases in calcium absorption were subsequently repeated by long-term supplementation studies of up to a year in length. Indeed, one study reported that girls and boys aged between 9 and 12 supplemented with SYN1 had an additional net accretion of calcium of 30 milligrams per day, compared to the controls who received a placebo (American Journal of Clinical Nutrition, 2005, Vol. 82, pp. 471-476).
Belgium's Orafti has been influential in building the science behind inulin and oligofructose, backing research into potential benefits for a variety of health conditions ranging from bones to colorectal cancer, from immunity to satiety and weight management. The company co-funded the current study, along with the USDA Agricultural Research Service and the National Institutes of Health.
Source: Journal of Nutrition
Volume 137, Pages 2208-2212
"An Inulin-Type Fructan Enhances Calcium Absorption Primarily via an Effect on Colonic Absorption in Humans"
Authors: S.A. Abrams, K.M. Hawthorne, O. Aliu, P.D. Hicks, Z. Chen, I.J. Griffin
The research, published in the October issue of The Journal of Nutrition, improves our understanding of the ingredient, and may aid the development of other products, suggested the researchers, led by Steven Abrams. "This study provided confirmation that the animal studies, which had identified a benefit of [inulin-type fructan] ITF for calcium absorption, accurately identified the principal mechanisms as well," wrote the authors, from Baylor College of Medicine (Houston), the USDA/Agricultural Research Service Clinical Nutrition Research Center, and Texas Children's Hospital.
"Furthermore, understanding the site of action may be helpful in considering the effects of ITF and related products on the absorption of other minerals or on the design of other ITF products," they added. The research appears to confirm the potential of the ingredient to support bone health and prevent osteoporosis, estimated to affect about 75m people in Europe, the USA and Japan. Currently, two approaches are being pursued to prevent osteoporosis: First, optimise bone mass acquisition during adolescence, and secondly, minimise bone loss after the menopause.
The majority of work with inulin and oligofructose to date in both animals and humans has focussed on the first approach, with animal studies in particular showing repeatedly over the last decade that inulin/ oligofructose supplementation to a diet results in more absorption of calcium. "The mechanism of action in increasing absorption is unknown but may be related to increased colonic calcium absorption," stated the authors.
Abrams and co-workers recruited 13 young adults (average age 23.8, average BMI 21.9 kg per sq. m) and assigned them to eight weeks of supplementation with eight grams of a inulin-type fructans (Beneo Synergy 1, Orafti). The subjects underwent a calcium isotope study (42Ca orally, and 46Ca intravenously) before and after starting the prebiotic supplementation. Eight of the subjects (average calcium intake of 900 mg/d) were reported to have responded to prebiotic supplementation, with increased calcium absorption of at least three per cent, from 22.7 to 31.0 per cent.
Seventy percent of the absorption increase was found to have occurred in the colon, said the researchers. This is equivalent to a 49 mg per day being absorbed in the colon."Given the multiple methods by which ITF acts, it is not surprising that some human subjects have a much greater response than others. Our results demonstrate that in those individuals who respond to ITF, its effects primarily occur in the colon," they stated.They added, however, that while increased solubility of calcium in the colon appears to be the predominant mechanism for IFT, whole gut mechanisms must not be ignored.
"In this regard, it is important to remember that in humans, calcium absorption primarily occurs in the upper portion of the small intestine compared with the large intestine in rats," stated Abrams and co-workers. The study is in-line with studies with human adolescents, where short-term supplementation with the synergistically active mixture of oligofructose and long-chain inulin (SYN1) is reported to have a higher calcium absorption (38 per cent), than the placebo group (32 per cent).
These increases in calcium absorption were subsequently repeated by long-term supplementation studies of up to a year in length. Indeed, one study reported that girls and boys aged between 9 and 12 supplemented with SYN1 had an additional net accretion of calcium of 30 milligrams per day, compared to the controls who received a placebo (American Journal of Clinical Nutrition, 2005, Vol. 82, pp. 471-476).
Belgium's Orafti has been influential in building the science behind inulin and oligofructose, backing research into potential benefits for a variety of health conditions ranging from bones to colorectal cancer, from immunity to satiety and weight management. The company co-funded the current study, along with the USDA Agricultural Research Service and the National Institutes of Health.
Source: Journal of Nutrition
Volume 137, Pages 2208-2212
"An Inulin-Type Fructan Enhances Calcium Absorption Primarily via an Effect on Colonic Absorption in Humans"
Authors: S.A. Abrams, K.M. Hawthorne, O. Aliu, P.D. Hicks, Z. Chen, I.J. Griffin
Thursday, September 20, 2007
Women want to know more about nutrition for menopause
A survey sponsored by Archer Daniels Midland (ADM) has found that women want their doctors to inform them about non-medicinal options for relieving menopausal symptoms.
The agribusiness giant has been propping up marketing for its Novasoy branded soy isoflavones by means of an education campaign geared at consumers and the healthcare sector on the potential benefits of the ingredient for a common symptom of menopause - hot flashes.
Consumer interest in supplement or non-medicinal support for menopause is likely related to research and negative publicity on hormone replacement therapy (HRT). As such, there is more room for the manufacturers of food compounds with such applications to fill the gap.
"This research shows that women's expectations are changing," said Liza Pepple, product manager at ADM Natural Health & Nutrition. "Women are looking for their healthcare professionals to be as educated about natural alternatives for treating menopausal symptoms as they are about other options."
Once the standard therapy for menopausal symptoms in the US, HRT became the center of controversy in July 2002 when a National Institutes of Health study showed that taking hormone replacement therapy could increase the risk of heart attack, stroke or breast cancer.
In July 2005 the International Agency for Research on Cancer, a United Nations agency, changed the classification of hormonal menopause therapy from "possibly carcinogenic to humans" to "carcinogenic to humans".
The span of the population dealing with menopause and its potentially burdensome symptoms is significant, thereby representing a sizeable consumer segment. The onset of natural menopause occurs between the ages of 40 and 58, with a median of 47.5 years, says the American Menopause Society. As part of the ADM-sponsored survey, "Women & menopause: a look at supplement use," 1,258 women between the ages of 40 and 55 were polled.
A third of these women indicated they do try natural supplements for the relief of menopausal symptoms, and a quarter said natural supplements are their "treatment of choice." Also, according to ADM, nearly all the respondents who are using dietary supplements for hot flashes say these are their "favorite method of treatment". However, it was not clear what proportion of these products contains soy isoflavones.
The survey indicates women turn to health professionals more than any other source for guidance about menopause. Forty-eight percent of the respondents said they talk to their obstetrician or gynecologist as their menopause treatment advisor, while 38 percent look to their family physician or general physician, and another 19 percent consult a nurse practitioner, nurse or pharmacist.
Isoflavones are phytoestrogens, active substances derived from plants that have a weak estrogen-like action. They have proved to be a popular alternative to hormone replacement therapy for those wishing to control menopause symptoms without resorting to drugs. They have also been shown to provide a number of other health benefits, including the promotion of heart health and the maintenance of bone health in post-menopausal women.
Demand for soy proteins and other products has been growing rapidly, driven largely by these health links. The Freedonia Group predict that by the end of 2007, US demand alone for soy products will have rises by nearly five percent on a yearly basis to $8.23bn. Other nutraceutical ingredients that have been linked to supporting menopausal symptoms include: black cohosh, St. John's Wort, Maritime pine bark extract, and the fatty acid GLA (gamma-linolenic acid) from borage oil.
The ADM survey was fielded in March and April.
By Clarisse Douaud, 19 Sept 2007, Nutra Ingredients USA
The agribusiness giant has been propping up marketing for its Novasoy branded soy isoflavones by means of an education campaign geared at consumers and the healthcare sector on the potential benefits of the ingredient for a common symptom of menopause - hot flashes.
Consumer interest in supplement or non-medicinal support for menopause is likely related to research and negative publicity on hormone replacement therapy (HRT). As such, there is more room for the manufacturers of food compounds with such applications to fill the gap.
"This research shows that women's expectations are changing," said Liza Pepple, product manager at ADM Natural Health & Nutrition. "Women are looking for their healthcare professionals to be as educated about natural alternatives for treating menopausal symptoms as they are about other options."
Once the standard therapy for menopausal symptoms in the US, HRT became the center of controversy in July 2002 when a National Institutes of Health study showed that taking hormone replacement therapy could increase the risk of heart attack, stroke or breast cancer.
In July 2005 the International Agency for Research on Cancer, a United Nations agency, changed the classification of hormonal menopause therapy from "possibly carcinogenic to humans" to "carcinogenic to humans".
The span of the population dealing with menopause and its potentially burdensome symptoms is significant, thereby representing a sizeable consumer segment. The onset of natural menopause occurs between the ages of 40 and 58, with a median of 47.5 years, says the American Menopause Society. As part of the ADM-sponsored survey, "Women & menopause: a look at supplement use," 1,258 women between the ages of 40 and 55 were polled.
A third of these women indicated they do try natural supplements for the relief of menopausal symptoms, and a quarter said natural supplements are their "treatment of choice." Also, according to ADM, nearly all the respondents who are using dietary supplements for hot flashes say these are their "favorite method of treatment". However, it was not clear what proportion of these products contains soy isoflavones.
The survey indicates women turn to health professionals more than any other source for guidance about menopause. Forty-eight percent of the respondents said they talk to their obstetrician or gynecologist as their menopause treatment advisor, while 38 percent look to their family physician or general physician, and another 19 percent consult a nurse practitioner, nurse or pharmacist.
Isoflavones are phytoestrogens, active substances derived from plants that have a weak estrogen-like action. They have proved to be a popular alternative to hormone replacement therapy for those wishing to control menopause symptoms without resorting to drugs. They have also been shown to provide a number of other health benefits, including the promotion of heart health and the maintenance of bone health in post-menopausal women.
Demand for soy proteins and other products has been growing rapidly, driven largely by these health links. The Freedonia Group predict that by the end of 2007, US demand alone for soy products will have rises by nearly five percent on a yearly basis to $8.23bn. Other nutraceutical ingredients that have been linked to supporting menopausal symptoms include: black cohosh, St. John's Wort, Maritime pine bark extract, and the fatty acid GLA (gamma-linolenic acid) from borage oil.
The ADM survey was fielded in March and April.
By Clarisse Douaud, 19 Sept 2007, Nutra Ingredients USA
Herbal water latest player in functional drinks
As part of an innovative take on functional beverages, a Philadelphia manufacturer is taking herbs into water.
Ayala''s Herbal Water features flavors derived from herbs and the company touts the health benefits associated with antioxidants. The new water is calorie-free and has no artificial additives or preservatives.Innovation is the key to success in all industries, but the increasingly competitive functional beverage market is particularly demanding as the larger drink players are now caught up in the marketing of these products too.
"The water's herbs are also a rich source of antioxidants and other beneficial compounds naturally occurring in plants," said Dr. Ayala Laufer-Cahana, the Philadelphia-area paediatrician who created the product. The water's packaging makes use of a subtle marketing approach - employing clean lines and connotations of refreshment, without spelling out any specific health benefits.
The six flavors are lemongrass mint vanilla, lavender mint lemongrass thyme, jasmine vanilla, clove cinnamon cardamom, cinnamon orange peel and ginger lemon peel. However, the product labels do not have the added consumer appeal of a choc-full Nutrition Facts label. Instead, the nutrition facts indicate that the amount of nutrients in the bottle is not enough for labeling or health claim purposes.
As such, the product looks more likely to lure consumers who already trust in the potential benefit of herbs, or to draw a following based on the appeal of its taste. The so-called enhanced water category - mainly featuring vitamin-fortified waters - has been the latest category to take the functional beverage market by storm.
Mintel recently reported the market has grown by 30 percent in the past five years. It reached $9.8bn in 2007 - up 14 percent from 2002, when taking inflation into account. Consumers aged 18-34 and households with children appear to have led growth in this category. Ready-to-drink functional tea, enhanced bottled water and sports drinks are leading the way with use highest among both consumers aged 18-34 and households with children, said Mintel.
Another trend which has made headlines of late, thanks to the likes of the Coca-Cola Company, is that for enhanced water and sports drinks. Sales for these beverages grew by 73 percent to $1.2bn from 2004 to 2006. The top three companies in this market are now Coke, PepsiCo and Energy Brands - amounting to 90 percent of the market.
By Clarisse Douaud, 18 Sept 2007, Nutra Ingredients USA
Ayala''s Herbal Water features flavors derived from herbs and the company touts the health benefits associated with antioxidants. The new water is calorie-free and has no artificial additives or preservatives.Innovation is the key to success in all industries, but the increasingly competitive functional beverage market is particularly demanding as the larger drink players are now caught up in the marketing of these products too.
"The water's herbs are also a rich source of antioxidants and other beneficial compounds naturally occurring in plants," said Dr. Ayala Laufer-Cahana, the Philadelphia-area paediatrician who created the product. The water's packaging makes use of a subtle marketing approach - employing clean lines and connotations of refreshment, without spelling out any specific health benefits.
The six flavors are lemongrass mint vanilla, lavender mint lemongrass thyme, jasmine vanilla, clove cinnamon cardamom, cinnamon orange peel and ginger lemon peel. However, the product labels do not have the added consumer appeal of a choc-full Nutrition Facts label. Instead, the nutrition facts indicate that the amount of nutrients in the bottle is not enough for labeling or health claim purposes.
As such, the product looks more likely to lure consumers who already trust in the potential benefit of herbs, or to draw a following based on the appeal of its taste. The so-called enhanced water category - mainly featuring vitamin-fortified waters - has been the latest category to take the functional beverage market by storm.
Mintel recently reported the market has grown by 30 percent in the past five years. It reached $9.8bn in 2007 - up 14 percent from 2002, when taking inflation into account. Consumers aged 18-34 and households with children appear to have led growth in this category. Ready-to-drink functional tea, enhanced bottled water and sports drinks are leading the way with use highest among both consumers aged 18-34 and households with children, said Mintel.
Another trend which has made headlines of late, thanks to the likes of the Coca-Cola Company, is that for enhanced water and sports drinks. Sales for these beverages grew by 73 percent to $1.2bn from 2004 to 2006. The top three companies in this market are now Coke, PepsiCo and Energy Brands - amounting to 90 percent of the market.
By Clarisse Douaud, 18 Sept 2007, Nutra Ingredients USA
Good-for-you ready meals drive category, Datamonitor
The ready meals market is anything but on its way out, as manufacturers tap into healthy trends and revitalise products once seen as favoured by 'couch potatoes' and people with no time to pay attention to proper healthy eating.
According to a new report from Datamonitor called "Eating habits: Improving the appeal of convenience options in Europe", the ready meals market in Germany, France, UK, Italy and Spain is worth €8.4bn, representing growth of five per cent on last year.
The analyst is predicting a further 18 per cent sales hike by 2011 to reach €9.9bn, and underlying this is the need to appeal to shoppers by appealing to aspects of consumers' lifestyles - that is, combining convenience with perceived health benefits like organic or natural ingredients and lower salt, fat and sugar content.
"European consumers have become more concerned about the quality of their food and saving time or effort is no longer a strong enough selling point," said European consumer analyst Michelle Strutton. This indicates that certain manufacturers who have already started flaunting healthier aspects of their products could be right on the money.
For instance, UK retailer ASDA recently announced that it is removing all artificial additives from its own label food products, in the light of consumer resistance to such ingredients. It is also aiming to meet the Food Standards Agency's 2010 salt reduction targets well ahead of the deadline. Indeed, the UK is "king of convenience", said Strutton, where sales hit nearly €3bn last year, compared to €2bn in France and €1.8bn in Germany.
"Suppliers [in the UK], especially leading retailers such as M&S, are quick to react to new consumer trends, so offering a wide variety of exciting meals to appeal to everyone's taste," she said. As for Germany, growth is expected to be the fastest in Europe - 44 per cent between 2006 and 2011. Traditionally the German market has been driven by discount options, but economic recovery means Germans are likely to start considering more premium products. In France, on the other hand, eating is still an activity for the family, and the population is resistant to prepared convenience. Here, ready meal sales are predicted to grow by just nine per cent by 2011.
By Jess Halliday, 3 Sept 2007, Food Navigator Europe
According to a new report from Datamonitor called "Eating habits: Improving the appeal of convenience options in Europe", the ready meals market in Germany, France, UK, Italy and Spain is worth €8.4bn, representing growth of five per cent on last year.
The analyst is predicting a further 18 per cent sales hike by 2011 to reach €9.9bn, and underlying this is the need to appeal to shoppers by appealing to aspects of consumers' lifestyles - that is, combining convenience with perceived health benefits like organic or natural ingredients and lower salt, fat and sugar content.
"European consumers have become more concerned about the quality of their food and saving time or effort is no longer a strong enough selling point," said European consumer analyst Michelle Strutton. This indicates that certain manufacturers who have already started flaunting healthier aspects of their products could be right on the money.
For instance, UK retailer ASDA recently announced that it is removing all artificial additives from its own label food products, in the light of consumer resistance to such ingredients. It is also aiming to meet the Food Standards Agency's 2010 salt reduction targets well ahead of the deadline. Indeed, the UK is "king of convenience", said Strutton, where sales hit nearly €3bn last year, compared to €2bn in France and €1.8bn in Germany.
"Suppliers [in the UK], especially leading retailers such as M&S, are quick to react to new consumer trends, so offering a wide variety of exciting meals to appeal to everyone's taste," she said. As for Germany, growth is expected to be the fastest in Europe - 44 per cent between 2006 and 2011. Traditionally the German market has been driven by discount options, but economic recovery means Germans are likely to start considering more premium products. In France, on the other hand, eating is still an activity for the family, and the population is resistant to prepared convenience. Here, ready meal sales are predicted to grow by just nine per cent by 2011.
By Jess Halliday, 3 Sept 2007, Food Navigator Europe
Probiotics market set to hit 120m by 2013, report says
The European food and beverage probiotics market is expected to more than double by 2013, according to a market report, with the proposed EU health claims rules presenting "untapped" potential.
Analysts at Frost & Sullivan say the probiotic market size has increased rapidly in Europe in the last five years, with research and development efforts helping to grow the market "substantially." The Strategic Analysis of the European Food and Beverage Probiotics Market, says the market is expected to rise from its 2006 position of $61.7m (€45.4m) to $163.5m (€120.3m) by 2013.
"There is significantly untapped potential in the dietary supplement probiotics market, as this market stands to be most affected by the new European legislation on health claims in food products," the report stated. Legislation EC 1924/2006, which came into force in July 2007, means any food product claiming to have a health or nutritional benefit must be backed up by scientific evidence and meet a list of European Commission approved wording.
Some trade bodies feared the health claims could have a negative impact on the role of botanicals while other criticized the EU for making the rules too "complex" for companies to follow. However, Frost & Sullivan say the law may cause the dietary supplement market to experience an increase in growth as supplement probiotics are "targeted towards a more specific function than the food probiotics, so supplements have the potential to become a higher value market commanding a higher consumer spend."
By sector, the dairy yoghurt and yoghurt drink application sector accounts for the highest market share, but the rate of growth is expected to slow, the report predicts. Dairy products remain as the most popular form of consumption of probiotics, and several new applications are being introduced into this market which will spur growth until 2013. The non-dairy food and beverage market will experience rapid growth during the next few years, and many varied products are expected on the European market.
In Western Europe the largest value markets are led by Germany, closely followed by France and the UK. In Southern Europe the Italian market for dietary supplement probiotic products is the largest in Europe. However, in other market segments, the awareness of dairy probiotic products are relatively low in both Italy and Greece. Eastern European markets have recently started growing, the report said. Probiotics for younger children are already growing healthily, with increasing numbers of products developed each year.
The report added: "The increase in growth rates for probiotics between 2002 to 2006 reflected the increased interest in nutrition and healthy foods in Europe, as part of an effort to cope with the stresses of modern living and to curb the increasing incidence of obesity." One of the main obstacles to the market Frost & Sullivan said is one of strain stability, as bacterial strains must be protected against light, heat, moisture and oxygen. However, "new technologies and bacterial protection systems" are also playing an important role which could help the industry overcome this challenge.
By Alex McNally, 6 Sept 2007, Nutra Ingredients USA
Analysts at Frost & Sullivan say the probiotic market size has increased rapidly in Europe in the last five years, with research and development efforts helping to grow the market "substantially." The Strategic Analysis of the European Food and Beverage Probiotics Market, says the market is expected to rise from its 2006 position of $61.7m (€45.4m) to $163.5m (€120.3m) by 2013.
"There is significantly untapped potential in the dietary supplement probiotics market, as this market stands to be most affected by the new European legislation on health claims in food products," the report stated. Legislation EC 1924/2006, which came into force in July 2007, means any food product claiming to have a health or nutritional benefit must be backed up by scientific evidence and meet a list of European Commission approved wording.
Some trade bodies feared the health claims could have a negative impact on the role of botanicals while other criticized the EU for making the rules too "complex" for companies to follow. However, Frost & Sullivan say the law may cause the dietary supplement market to experience an increase in growth as supplement probiotics are "targeted towards a more specific function than the food probiotics, so supplements have the potential to become a higher value market commanding a higher consumer spend."
By sector, the dairy yoghurt and yoghurt drink application sector accounts for the highest market share, but the rate of growth is expected to slow, the report predicts. Dairy products remain as the most popular form of consumption of probiotics, and several new applications are being introduced into this market which will spur growth until 2013. The non-dairy food and beverage market will experience rapid growth during the next few years, and many varied products are expected on the European market.
In Western Europe the largest value markets are led by Germany, closely followed by France and the UK. In Southern Europe the Italian market for dietary supplement probiotic products is the largest in Europe. However, in other market segments, the awareness of dairy probiotic products are relatively low in both Italy and Greece. Eastern European markets have recently started growing, the report said. Probiotics for younger children are already growing healthily, with increasing numbers of products developed each year.
The report added: "The increase in growth rates for probiotics between 2002 to 2006 reflected the increased interest in nutrition and healthy foods in Europe, as part of an effort to cope with the stresses of modern living and to curb the increasing incidence of obesity." One of the main obstacles to the market Frost & Sullivan said is one of strain stability, as bacterial strains must be protected against light, heat, moisture and oxygen. However, "new technologies and bacterial protection systems" are also playing an important role which could help the industry overcome this challenge.
By Alex McNally, 6 Sept 2007, Nutra Ingredients USA
Young consumers responsible for growth in functional drinks
Younger consumers are driving the functional beverage market, according to a new Mintel report, which indicates the market grew by up to 30 percent over the past five years.
According to the analyst's latest findings on US functional beverages, the market reached $9.8bn in 2007. This is up 14 percent from 2002, when taking inflation into account. Consumers aged 18-34 and households with children appear to have led growth in this category. Mintel's findings confirm that Americans are trying to be healthier, at the same time as wanting convenience - which is further good news for the functional food and beverage market. Coupled with this evolving attitude, the fact that younger consumers are tapping into these drinks means what was once a trend is now here to stay.
Beverages lend particularly well to fortification and have the added allure of convenience because they are portable. Ready-to-drink functional tea, enhanced bottled water and sports drinks are leading the way with use highest among both consumers aged 18-34 and households with children, said Mintel. And one of the star products of the industry, the energy drink, has attracted consumers aged 18-34 as a lifestyle beverage.
Consumers are turning to functional foods and beverages to fill the gaps in their diets and daily intake requirements for nutrients. And increased awareness of nutrition will likely fuel further growth if manufacturers can tailor products for the varied needs of health conscious consumers. According to Mintel, one in three consumers who buy functional beverages do so in hopes of gaining a health benefit related to a specific function in the body such as the heart, immunity, digestion or weight.
Overall, the number of people trying to eat healthy increased by 30 million between 2002 and 2006, Mintel deduced from Simmons NCS 2002 and 2006 and US Census Bureau population projections. According to Mintel's survey, more than six out of ten respondents claimed to be trying to "eat healthier food these days".
On the other side of the till, marketers are now trying to target aging baby boomers - aged 55 to 64 - with the promise of memory enhancement, lower cholesterol and blood pressure. Time and again, baby boomers have surfaced in industry research as driving the dietary supplement category because of their desire to take control of their health as they approach old age. And, because this age group has more purchasing power per capita, it makes sense for functional beverage manufacturers to now tap into this potential.
The only loser in the functional drinks category appears to be functional juice, as well as juice drinks, which fell by 18 percent over the studied period. This may have resulted from a shift in consumer allegiance towards new functional beverage products.Energy drinks, which were the smallest category in 2002, have shot up to the third-largest category in Mintel's ranking with sales of $637mn in 2006.
Another trend which has made headlines of late, thanks to the likes of the Coca-Cola Company, is that for enhanced water and sports drinks. Sales for these beverages grew by 73 percent to $1.2bn from 2004 to 2006. The top three companies in this market are now Coke, PepsiCo and Energy Brands - amounting to 90 percent of the market.
By Clarisse Douaud, 5 September 2007, Nutra Ingredients USA
According to the analyst's latest findings on US functional beverages, the market reached $9.8bn in 2007. This is up 14 percent from 2002, when taking inflation into account. Consumers aged 18-34 and households with children appear to have led growth in this category. Mintel's findings confirm that Americans are trying to be healthier, at the same time as wanting convenience - which is further good news for the functional food and beverage market. Coupled with this evolving attitude, the fact that younger consumers are tapping into these drinks means what was once a trend is now here to stay.
Beverages lend particularly well to fortification and have the added allure of convenience because they are portable. Ready-to-drink functional tea, enhanced bottled water and sports drinks are leading the way with use highest among both consumers aged 18-34 and households with children, said Mintel. And one of the star products of the industry, the energy drink, has attracted consumers aged 18-34 as a lifestyle beverage.
Consumers are turning to functional foods and beverages to fill the gaps in their diets and daily intake requirements for nutrients. And increased awareness of nutrition will likely fuel further growth if manufacturers can tailor products for the varied needs of health conscious consumers. According to Mintel, one in three consumers who buy functional beverages do so in hopes of gaining a health benefit related to a specific function in the body such as the heart, immunity, digestion or weight.
Overall, the number of people trying to eat healthy increased by 30 million between 2002 and 2006, Mintel deduced from Simmons NCS 2002 and 2006 and US Census Bureau population projections. According to Mintel's survey, more than six out of ten respondents claimed to be trying to "eat healthier food these days".
On the other side of the till, marketers are now trying to target aging baby boomers - aged 55 to 64 - with the promise of memory enhancement, lower cholesterol and blood pressure. Time and again, baby boomers have surfaced in industry research as driving the dietary supplement category because of their desire to take control of their health as they approach old age. And, because this age group has more purchasing power per capita, it makes sense for functional beverage manufacturers to now tap into this potential.
The only loser in the functional drinks category appears to be functional juice, as well as juice drinks, which fell by 18 percent over the studied period. This may have resulted from a shift in consumer allegiance towards new functional beverage products.Energy drinks, which were the smallest category in 2002, have shot up to the third-largest category in Mintel's ranking with sales of $637mn in 2006.
Another trend which has made headlines of late, thanks to the likes of the Coca-Cola Company, is that for enhanced water and sports drinks. Sales for these beverages grew by 73 percent to $1.2bn from 2004 to 2006. The top three companies in this market are now Coke, PepsiCo and Energy Brands - amounting to 90 percent of the market.
By Clarisse Douaud, 5 September 2007, Nutra Ingredients USA
Consumers will now pay more for healthier goods, survey
US consumers are willing to increase grocery spending on healthier foods says a recent survey sponsored by the United Soybean Board (USB).
As part of the 14th such annual research, the 2007 Consumer Attitudes about Nutrition survey found that - unlike in recent years - 60 percent of consumers indicated they are willing to pay extra for healthier foods. This reverses a four-year downward trend and represents a seven percent rise over the previous year's figure alone. Other recent surveys have also found that consumers are more willing to pay a premium to switch trans fats to healthy fats, or to get added nutritional value from their foods as awareness spreads on the benefits of a better lifestyle.
"The fact that consumers say they will dig deeper into their pocketbooks for healthier versions of food represents a significant shift in attitude," said USB spokesperson, Lisa Kelly. "Consumers want nutritious products that are readily available at the grocery store. Fortunately, healthful eating can be quite affordable."
Conducted by an independent research firm, the USB survey compiled responses from 1,000 random online surveys conducted in February and March of 2007, providing a sample consistent with the American population. USB highlighted the fact that the message of good versus bad fats is finally trickling down to consumers, with 70 percent of respondents rating omega-3 fatty acids as healthy and another 62 percent reporting that a moderate fat diet includes such fats.
Not surprisingly, respondents insinuated they would like the products they already enjoy to be made healthier - two thirds of participants indicated they would be more likely to purchase these products if they were reformulated with zero grams trans fat. This rate is up 10 percent over the previous year. In addition, half of the respondents said they would be unlikely to purchase foods with trans fats listed on the label.
According to a report from Global Industry Analysts earlier this year, higher incomes, lifestyle changes, growing health awareness, an aging population and a preference for convenience foods are driving the functional foods and drinks market. The Californian market researcher predicts this market will reach $109bn by 2010.USB is using the survey results as an opportunity to push forth the benefits of soy as an oil source.
"Our nation's soybean growers are proud that soybean oil provides a heart-smart solution for consumers," said Steve Poole, director of Soy Protein and Edible Oils programs for USB.
By staff reporter, 4 September 2007, Nutra Ingredients USA
As part of the 14th such annual research, the 2007 Consumer Attitudes about Nutrition survey found that - unlike in recent years - 60 percent of consumers indicated they are willing to pay extra for healthier foods. This reverses a four-year downward trend and represents a seven percent rise over the previous year's figure alone. Other recent surveys have also found that consumers are more willing to pay a premium to switch trans fats to healthy fats, or to get added nutritional value from their foods as awareness spreads on the benefits of a better lifestyle.
"The fact that consumers say they will dig deeper into their pocketbooks for healthier versions of food represents a significant shift in attitude," said USB spokesperson, Lisa Kelly. "Consumers want nutritious products that are readily available at the grocery store. Fortunately, healthful eating can be quite affordable."
Conducted by an independent research firm, the USB survey compiled responses from 1,000 random online surveys conducted in February and March of 2007, providing a sample consistent with the American population. USB highlighted the fact that the message of good versus bad fats is finally trickling down to consumers, with 70 percent of respondents rating omega-3 fatty acids as healthy and another 62 percent reporting that a moderate fat diet includes such fats.
Not surprisingly, respondents insinuated they would like the products they already enjoy to be made healthier - two thirds of participants indicated they would be more likely to purchase these products if they were reformulated with zero grams trans fat. This rate is up 10 percent over the previous year. In addition, half of the respondents said they would be unlikely to purchase foods with trans fats listed on the label.
According to a report from Global Industry Analysts earlier this year, higher incomes, lifestyle changes, growing health awareness, an aging population and a preference for convenience foods are driving the functional foods and drinks market. The Californian market researcher predicts this market will reach $109bn by 2010.USB is using the survey results as an opportunity to push forth the benefits of soy as an oil source.
"Our nation's soybean growers are proud that soybean oil provides a heart-smart solution for consumers," said Steve Poole, director of Soy Protein and Edible Oils programs for USB.
By staff reporter, 4 September 2007, Nutra Ingredients USA
Kraft reveals its four approaches to health and wellness
Kraft explains its approach to health and wellness in the second of a series of FoodNavigator-USA.com articles examining the practices of major US food firms in the face of a growing need to address human nutrition.
The main factors driving a growth in health and wellness in foods are an ageing population, rising obesity rates, nutrient deficiency and consumer demand, according to Lance Friedmann, Kraft's senior vice president of global health and wellness and new category development. "We view health and wellness as a broad societal issue. Our response is multifaceted, and we're making good progress on the business side as well as in the field of social responsibility," he said, adding that there is more opportunity and work ahead.
Kraft Foods, one of the world's largest food and beverage companies with annual revenues of more than $34bn, says it takes a four-pronged approach to health and wellness: product nutrition; consumer information; marketing practices; and advocacy and dialogue.
In terms of product nutrition, Friedmann said that improving the nutritional profile of the company's portfolio has the double benefit of improving what consumers eat while at the same time also driving sales. Kraft's 'better-for-you' products are identified by a Sensible Solution flag, which was launched in 2005 to help consumers easily identify healthier products. The program is based on Kraft's own nutrition criteria, which set limits on calories, fat, sodium and sugar. In addition, products carrying the mark can provide "nutritionally meaningful" levels of protein, calcium, fiber or whole grains.
"We now have over 500 products in the US that meet the Sensible Solution standards. These account for over one third of our US sales, and are growing two to three times faster than the rest of our products," said Friedmann. "They are good for people, good for nutrition and good for our business."
A second priority set by the company is consumer information, designed to help consumers make more informed choices." In 99 percent of the countries where we sell our products we provide nutritional information even when we are not required to," said Friedmann.
In addition, Kraft teams up with retailers to provide in-store nutrition information, thereby "hitting people right at the important moment when they are making the decision of what to buy". A third health and wellness focus held by the company is its marketing strategy, which involves certain advertising restrictions especially to children. The firm has a long-standing policy of not advertising to children under six, and it also recently announced that only products that meet its Sensible Solution criteria will be advertised to kids under 12.
In addition, Kraft has eliminated product advertising in schools, and has established nutrition guidelines for products sold in school vending machines. "We hoped these policies would stimulate innovation in our company, and they've done just that," said Friedmann. "We've also learnt a lot about how to talk to kids about nutrition. They don't care if you talk about it directly. You need to talk to them about things they want, like playing or activities or basketball. Then you can work in a strong health and wellness message.
"Finally, Kraft focuses on advocacy and dialogue as a fourth health and wellness strategy. Friedmann said the company achieves this through the use of its better-for-you symbols, but added that Kraft is not the only firm that does this, and stressed the importance of ensuring that a plethora of nutrition symbols do not ultimately have the effect of confusing consumers more than helping them.
Friedmann was addressing attendees at the recent IFT food expo in Chicago, where he participated in the session Senior Executives Cut the Fat on Industry's Approach to Health and Wellness Foods.
By Lorraine Heller, 29 August 2007, Food Navigator USA
The main factors driving a growth in health and wellness in foods are an ageing population, rising obesity rates, nutrient deficiency and consumer demand, according to Lance Friedmann, Kraft's senior vice president of global health and wellness and new category development. "We view health and wellness as a broad societal issue. Our response is multifaceted, and we're making good progress on the business side as well as in the field of social responsibility," he said, adding that there is more opportunity and work ahead.
Kraft Foods, one of the world's largest food and beverage companies with annual revenues of more than $34bn, says it takes a four-pronged approach to health and wellness: product nutrition; consumer information; marketing practices; and advocacy and dialogue.
In terms of product nutrition, Friedmann said that improving the nutritional profile of the company's portfolio has the double benefit of improving what consumers eat while at the same time also driving sales. Kraft's 'better-for-you' products are identified by a Sensible Solution flag, which was launched in 2005 to help consumers easily identify healthier products. The program is based on Kraft's own nutrition criteria, which set limits on calories, fat, sodium and sugar. In addition, products carrying the mark can provide "nutritionally meaningful" levels of protein, calcium, fiber or whole grains.
"We now have over 500 products in the US that meet the Sensible Solution standards. These account for over one third of our US sales, and are growing two to three times faster than the rest of our products," said Friedmann. "They are good for people, good for nutrition and good for our business."
A second priority set by the company is consumer information, designed to help consumers make more informed choices." In 99 percent of the countries where we sell our products we provide nutritional information even when we are not required to," said Friedmann.
In addition, Kraft teams up with retailers to provide in-store nutrition information, thereby "hitting people right at the important moment when they are making the decision of what to buy". A third health and wellness focus held by the company is its marketing strategy, which involves certain advertising restrictions especially to children. The firm has a long-standing policy of not advertising to children under six, and it also recently announced that only products that meet its Sensible Solution criteria will be advertised to kids under 12.
In addition, Kraft has eliminated product advertising in schools, and has established nutrition guidelines for products sold in school vending machines. "We hoped these policies would stimulate innovation in our company, and they've done just that," said Friedmann. "We've also learnt a lot about how to talk to kids about nutrition. They don't care if you talk about it directly. You need to talk to them about things they want, like playing or activities or basketball. Then you can work in a strong health and wellness message.
"Finally, Kraft focuses on advocacy and dialogue as a fourth health and wellness strategy. Friedmann said the company achieves this through the use of its better-for-you symbols, but added that Kraft is not the only firm that does this, and stressed the importance of ensuring that a plethora of nutrition symbols do not ultimately have the effect of confusing consumers more than helping them.
Friedmann was addressing attendees at the recent IFT food expo in Chicago, where he participated in the session Senior Executives Cut the Fat on Industry's Approach to Health and Wellness Foods.
By Lorraine Heller, 29 August 2007, Food Navigator USA
Nielsen study decodes supermarket shopping behavior
A new consumer survey aims to help manufacturers understand why shoppers buy the same brand of products such as coffee, soda and mayonnaise, but different brands of chocolate and smoothies.
Conducted by The Nielsen Company, the new study says that people adopt one of four different shopping modes in the supermarket, which is ultimately what determines which products they reach for. The different 'mind-sets' have been dubbed by the market research company as: 'auto-pilot', 'variety-seeking', 'buzz' and 'bargain hunting'.
"Shoppers don't waste energy on everyday decisions. To simplify their lives, shoppers are often in grab-and-go mode, reaching for the brands they usually buy without reading the label or checking the price," said Manjima Khandelwal, senior vice president, Nielsen Customized Research. According to Khandelwal, the key to reaching shoppers lies in understanding that their habitual mode can be disrupted by external stimuli such as advertising, buzz, new offers, price and promotions.
"Marketers can leverage this brief window of opportunity to trigger change by understanding which hot buttons to push." The new study reviewed consumers' shopping behavior across 30 different food categories, and placed each item into one of the four shopping 'modes' that it identified.
The first mode - 'auto-pilot' or 'grab-and-go' - is when consumers are making everyday, habitual decisions driven by brand choices and they are usually not in the market to try anything new, said Nielsen. Items chosen in this mode include coffee, hot cereal, cheese, margarine, bottled water, mayonnaise, nuts, popcorn, sodas, and cold cuts.
"The implication for marketers in auto-pilot categories is that if you are a leader, avoid radical changes to your brand message or packaging. Otherwise you may risk disrupting habitual behavior driving brand choice in your favor," said Nielsen's Deepak Varma.
The second shopping mode - 'variety-seeking' - sees consumers actively browsing shelves and on the lookout for new tastes as well as interesting product innovations. The category includes cookies, salad dressing, chewing gum, salty snacks, breakfast bars, frozen snacks, cold cereal, frozen desserts, candy and frozen dinners or entrees. "Consumers seem to get bored with the same choices in certain categories," said Varma.
"We found shoppers on the lookout for a change of pace when shopping in the frozen food and cold cereal aisles, as well as for biscuits, salad dressings and chewing gum. In this context, customers' decisions to purchase products were greatly influenced by informative and exciting packaging."
The 'buzz' mode is so named as purchasing decisions in the category tend to be 'buzz-activated', with people most likely to be influenced by catchy advertising, new product introductions and the original packaging that "leaps off the shelves and grabs interest and attention", according to Nielsen.
Products in this group include ready-to-drink teas, smoothies and yogurt drinks, sports and energy drinks, and chocolate. The final shopping mode - 'bargain-hunting' - is driven purely by price comparison and promotions, said the study.
"Consumers in this shopping mode are on a mission and the mission is savings," said Varma. The category includes canned tuna, canned tomatoes, canned fruit and pasta sauce.
The Nielsen Shopper Modality Study also revealed that some categories are often over-promoted, since manufacturers continually offer in-store deals and promotions even though some product categories are not bargain-driven."
Consumers choosing sports drinks aren't looking for a bargain. In-store deals for these products go largely unnoticed. Marketers would be better off redirecting their wasted promo dollars to investing in advertising and new product introductions," said Khandelwal.
By Lorraine Heller, 27 August 2007, Food Navigator USA
Conducted by The Nielsen Company, the new study says that people adopt one of four different shopping modes in the supermarket, which is ultimately what determines which products they reach for. The different 'mind-sets' have been dubbed by the market research company as: 'auto-pilot', 'variety-seeking', 'buzz' and 'bargain hunting'.
"Shoppers don't waste energy on everyday decisions. To simplify their lives, shoppers are often in grab-and-go mode, reaching for the brands they usually buy without reading the label or checking the price," said Manjima Khandelwal, senior vice president, Nielsen Customized Research. According to Khandelwal, the key to reaching shoppers lies in understanding that their habitual mode can be disrupted by external stimuli such as advertising, buzz, new offers, price and promotions.
"Marketers can leverage this brief window of opportunity to trigger change by understanding which hot buttons to push." The new study reviewed consumers' shopping behavior across 30 different food categories, and placed each item into one of the four shopping 'modes' that it identified.
The first mode - 'auto-pilot' or 'grab-and-go' - is when consumers are making everyday, habitual decisions driven by brand choices and they are usually not in the market to try anything new, said Nielsen. Items chosen in this mode include coffee, hot cereal, cheese, margarine, bottled water, mayonnaise, nuts, popcorn, sodas, and cold cuts.
"The implication for marketers in auto-pilot categories is that if you are a leader, avoid radical changes to your brand message or packaging. Otherwise you may risk disrupting habitual behavior driving brand choice in your favor," said Nielsen's Deepak Varma.
The second shopping mode - 'variety-seeking' - sees consumers actively browsing shelves and on the lookout for new tastes as well as interesting product innovations. The category includes cookies, salad dressing, chewing gum, salty snacks, breakfast bars, frozen snacks, cold cereal, frozen desserts, candy and frozen dinners or entrees. "Consumers seem to get bored with the same choices in certain categories," said Varma.
"We found shoppers on the lookout for a change of pace when shopping in the frozen food and cold cereal aisles, as well as for biscuits, salad dressings and chewing gum. In this context, customers' decisions to purchase products were greatly influenced by informative and exciting packaging."
The 'buzz' mode is so named as purchasing decisions in the category tend to be 'buzz-activated', with people most likely to be influenced by catchy advertising, new product introductions and the original packaging that "leaps off the shelves and grabs interest and attention", according to Nielsen.
Products in this group include ready-to-drink teas, smoothies and yogurt drinks, sports and energy drinks, and chocolate. The final shopping mode - 'bargain-hunting' - is driven purely by price comparison and promotions, said the study.
"Consumers in this shopping mode are on a mission and the mission is savings," said Varma. The category includes canned tuna, canned tomatoes, canned fruit and pasta sauce.
The Nielsen Shopper Modality Study also revealed that some categories are often over-promoted, since manufacturers continually offer in-store deals and promotions even though some product categories are not bargain-driven."
Consumers choosing sports drinks aren't looking for a bargain. In-store deals for these products go largely unnoticed. Marketers would be better off redirecting their wasted promo dollars to investing in advertising and new product introductions," said Khandelwal.
By Lorraine Heller, 27 August 2007, Food Navigator USA
Changing incomes and lifestyles drive functional food growth
A new market report attributes higher incomes, lifestyle changes, growing health awareness, an aging population and a preference for convenience foods as driving the functional foods and drinks market.
Californian market researcher, Global Industry Analysts, predicts the functional food and beverage market will reach $109bn by 2010. In its report, Functional foods and drinks: a global strategic business report, the group outlines how beverages are in fact one of the fastest growing sectors in the overall beverage industry. The report corroborates a trend that analysts have been repeatedly identifying of late: health and wellness concerns have carried the functional category from the sidelines to the mainstream.
According to Global Industry Analysts, the functional food and drinks market has been moving to the forefront thanks to innovative products. It cites products that support a variety of health applications such as maintaining bone, gut and heart health. That consumers are not willing to forgo the pleasures of taste - even for health - remains true, as has been revealed by past reports. This in turn also plugs innovation as manufacturers look to formulate the most functional, but also the tastiest, foods.
Collectively, the US, Europe and Japan account for approximately 90 percent of global consumption of functional food and beverage. The US is the largest single domestic market for the category, according to the report, with an estimated $29bn in sales in 2007. Global Industry Analysts positions Europe and Japan as following closely behind at second and third respectively.
The UK, France and Germany together represent over 65 percent of the European market - with Germany taking first place in terms of sales, predicted to be worth over $8bn in 2010. In developing regions, more disposable income and a growing willingness to pay more for healthy and convenient foods is a driving factor behind the growing popularity of functional foods and beverages. Accordingly, Asia and Latin America are among the fastest growing markets for functional foods, with estimated compound annual growth rates of between six and ten percent through to 2010.
With sales at over $28bn in 2007, functional dairy products hold the strongest position in terms of market segments. As well, the functional beverages market is among the fastest growing with sales expected to reach close to US$34 billion by 2010. This category has been popular the world over, due to the fact beverages form a convenient and portable delivery system that seems to be favored by consumers.
A growing niche sector identified by Global Industry Analysts, is that of organic functional foods. The market analyst profiles The Coca-Cola Company, General Mills, Groupe Danone, Kellogg's Company, Nestlé, PepsiCo, Unilever Group and Yakult Honsha in its report.
By Clarisse Douaud, 24 July 2007, Nutra Ingredients USA
Californian market researcher, Global Industry Analysts, predicts the functional food and beverage market will reach $109bn by 2010. In its report, Functional foods and drinks: a global strategic business report, the group outlines how beverages are in fact one of the fastest growing sectors in the overall beverage industry. The report corroborates a trend that analysts have been repeatedly identifying of late: health and wellness concerns have carried the functional category from the sidelines to the mainstream.
According to Global Industry Analysts, the functional food and drinks market has been moving to the forefront thanks to innovative products. It cites products that support a variety of health applications such as maintaining bone, gut and heart health. That consumers are not willing to forgo the pleasures of taste - even for health - remains true, as has been revealed by past reports. This in turn also plugs innovation as manufacturers look to formulate the most functional, but also the tastiest, foods.
Collectively, the US, Europe and Japan account for approximately 90 percent of global consumption of functional food and beverage. The US is the largest single domestic market for the category, according to the report, with an estimated $29bn in sales in 2007. Global Industry Analysts positions Europe and Japan as following closely behind at second and third respectively.
The UK, France and Germany together represent over 65 percent of the European market - with Germany taking first place in terms of sales, predicted to be worth over $8bn in 2010. In developing regions, more disposable income and a growing willingness to pay more for healthy and convenient foods is a driving factor behind the growing popularity of functional foods and beverages. Accordingly, Asia and Latin America are among the fastest growing markets for functional foods, with estimated compound annual growth rates of between six and ten percent through to 2010.
With sales at over $28bn in 2007, functional dairy products hold the strongest position in terms of market segments. As well, the functional beverages market is among the fastest growing with sales expected to reach close to US$34 billion by 2010. This category has been popular the world over, due to the fact beverages form a convenient and portable delivery system that seems to be favored by consumers.
A growing niche sector identified by Global Industry Analysts, is that of organic functional foods. The market analyst profiles The Coca-Cola Company, General Mills, Groupe Danone, Kellogg's Company, Nestlé, PepsiCo, Unilever Group and Yakult Honsha in its report.
By Clarisse Douaud, 24 July 2007, Nutra Ingredients USA
Consumers demand functional "low and light" products
The market for "low and light" products continued to grow in 2006, but some consumers have started to opt instead for probiotic and wholegrain foods, according to research published by Leatherhead Food International.
Concerns about weight and health continued to drive the market for low and light foods last year, but interest in functional foods kept the market's growth rate to a steady 2-3 per cent compared to 2002. Growth in the US was also steadied by increasing concern over the adverse effects of trans fats, saturated fats and salt in the diet, leading consumers to choose products without these ingredients rather than those labelled as "low" or "light".
Nonetheless, the US led the "low and light" market with product sales worth $38bn (€28bn). UK consumers spent the most on these foods per capita, throwing $164 (€122) per person at these foods, compared to American spending of $125 (€93), and $115 (€86) in Australia. The overall market for these products in the US, the UK, Germany, Italy, France, Spain and Australia was worth a total of $66bn (€49bn) last year.
Low-fat foods were most widely consumed in this category, with sales of $29.7bn (€22.2bn) in 2006, just ahead of reduced-sugar/sugar-free foods and drinks with a market share of $28.7bn (€21.4bn) and low-calorie foods totalling $26.5bn (€19.8bn). Dairy products and beverages dominated with the highest share (42 and 40 per cent respectively) of the specific food markets. The markets for bakery and snacks and prepared foods were much lower, but they showed better growth rates.
Despite the challenges, Leatherhead forecast that worldwide sales of low and light foods will continue to grow in the coming years at between 2-3 per cent per annum if food manufactures concentrate on making products more convenient, offering consumers a wide range of products and focus on quality rather than price. Sales in the relatively mature US market will be relatively slow, with much faster growth in the less mature markets, such as Italy and Spain, where increases of over 5 per cent per annum are predicted. The UK, Germany, France and Australia are likely to see growth somewhere between the two.
This predicted growth is likely to be fuelled by rising obesity rates, the further development of functional low and light product lines, and increasing tie-ups and joint ventures with weight management brands to give credibility to weight control lines. Leatherhead cited General Mills' recent tie-up with the Curves weight management brand in the US as a key example of this way of working.
Obesity levels in the developed world are already high and increasing at a worrying pace. In the US, 65 per cent of the adult population are classed as overweight and 30 per cent obese. Figures for the UK and Australia are nearly as high, while levels are less severe in continental Europe, but are increasing, said Leatherhead.
Some manufacturers of low and light products have already incorporated functional ingredients into their foods and Leatherhead predicted rewards for those that followed suit. The best sectoral growth is predicted for the relatively undeveloped bakery and snacks and prepared foods markets, although the well-established light beverages market shows no signs of slowing down in many countries.
By Philippa Jones, 18 June 2007, Food Navigator Europe
Concerns about weight and health continued to drive the market for low and light foods last year, but interest in functional foods kept the market's growth rate to a steady 2-3 per cent compared to 2002. Growth in the US was also steadied by increasing concern over the adverse effects of trans fats, saturated fats and salt in the diet, leading consumers to choose products without these ingredients rather than those labelled as "low" or "light".
Nonetheless, the US led the "low and light" market with product sales worth $38bn (€28bn). UK consumers spent the most on these foods per capita, throwing $164 (€122) per person at these foods, compared to American spending of $125 (€93), and $115 (€86) in Australia. The overall market for these products in the US, the UK, Germany, Italy, France, Spain and Australia was worth a total of $66bn (€49bn) last year.
Low-fat foods were most widely consumed in this category, with sales of $29.7bn (€22.2bn) in 2006, just ahead of reduced-sugar/sugar-free foods and drinks with a market share of $28.7bn (€21.4bn) and low-calorie foods totalling $26.5bn (€19.8bn). Dairy products and beverages dominated with the highest share (42 and 40 per cent respectively) of the specific food markets. The markets for bakery and snacks and prepared foods were much lower, but they showed better growth rates.
Despite the challenges, Leatherhead forecast that worldwide sales of low and light foods will continue to grow in the coming years at between 2-3 per cent per annum if food manufactures concentrate on making products more convenient, offering consumers a wide range of products and focus on quality rather than price. Sales in the relatively mature US market will be relatively slow, with much faster growth in the less mature markets, such as Italy and Spain, where increases of over 5 per cent per annum are predicted. The UK, Germany, France and Australia are likely to see growth somewhere between the two.
This predicted growth is likely to be fuelled by rising obesity rates, the further development of functional low and light product lines, and increasing tie-ups and joint ventures with weight management brands to give credibility to weight control lines. Leatherhead cited General Mills' recent tie-up with the Curves weight management brand in the US as a key example of this way of working.
Obesity levels in the developed world are already high and increasing at a worrying pace. In the US, 65 per cent of the adult population are classed as overweight and 30 per cent obese. Figures for the UK and Australia are nearly as high, while levels are less severe in continental Europe, but are increasing, said Leatherhead.
Some manufacturers of low and light products have already incorporated functional ingredients into their foods and Leatherhead predicted rewards for those that followed suit. The best sectoral growth is predicted for the relatively undeveloped bakery and snacks and prepared foods markets, although the well-established light beverages market shows no signs of slowing down in many countries.
By Philippa Jones, 18 June 2007, Food Navigator Europe
Consumers ready for functional foods, survey
More than 80 percent of Americans say they consume or are interested in consuming functional food and beverages, according to a survey from the International Food Information Council (IFIC) Foundation.
As part of the IFIC Foundation's 2007 Food & Health Survey, respondents were asked their attitudes to overall health as well as their perception of foods and beverages with added health and wellness benefits. The findings are encouraging for marketers of functional food products, but also point to a dichotomy between the public's attitudes versus their actual health status.
According to IFIC, while taste and price continue to be the biggest influence on Americans' food consumption decisions, the importance of "healthfulness" grew from 58 percent in 2006 to 65 percent in 2007. The web survey drew on the responses of 1,000 participants, weighted to US Census according to age, education and gender.
Respondents indicated they were more likely to believe certain health benefits associated with products over others. However, these health benefits are also in line with existing marketing trends - be it cholesterol-reducing spreads, energy drinks or probiotic yoghurts. Rated number one was improving heart health, at 80 percent. Next, consumers were most likely to believe the health benefits of foods if they pertained to: maintaining overall health and wellness, 77 percent; improving physical energy or stamina; and improving digestive health, 76 percent.
According to the survey, consumers are least likely to be consuming functional food or beverages for mental health benefits. Those who indicated they are currently consuming functional products were also the most likely to be satisfied with their health status, consider themselves to have a healthy diet, as well as be physically active. Men were also less likely than women to choose functional foods and beverages.
The survey findings suggest Americans increasingly consider themselves to be healthy. This is not in line with pervasive data on the so-called obesity epidemic affecting the nation.IFIC Foundation reports the number of Americans claiming to be satisfied with their overall health status went from 55 percent in 2006, to 58 percent in 2007. Meanwhile, the combined categories of respondents stating they were "not at all" or "not very" satisfied with their health status dropped from 30 percent in 2006, to 25 percent in 2007.
Nationwide statistics however show a different picture.An estimated 66 percent of adults in the US are either overweight or obese, based on results from the 2003-2004 National Health and Nutrition Examination Survey (NHANES). The rate of obesity more than doubled from the previous NHANES survey - increasing from 15.0 percent (1976-1980) to 32.9 percent (2003-2004).
As such, the survey findings highlight what health professional and policy makers underscore time and again - the need for increased education and awareness about nutrition and exercise. The research for the survey was conducted by Cogent Research in Cambridge, Massachusetts. Data was collected between February 19 and March 9, 2007 through an outgoing email survey consisting of 120 questions. IFIC Foundation is a branch of the IFIC, which is supported by the food, beverage and agricultural industries. Based in Washington DC, IFIC's aim is to provide science-based information on food and nutrition.
By Clarisse Douaud, 31 May 2007, Nutra Ingredients USA
As part of the IFIC Foundation's 2007 Food & Health Survey, respondents were asked their attitudes to overall health as well as their perception of foods and beverages with added health and wellness benefits. The findings are encouraging for marketers of functional food products, but also point to a dichotomy between the public's attitudes versus their actual health status.
According to IFIC, while taste and price continue to be the biggest influence on Americans' food consumption decisions, the importance of "healthfulness" grew from 58 percent in 2006 to 65 percent in 2007. The web survey drew on the responses of 1,000 participants, weighted to US Census according to age, education and gender.
Respondents indicated they were more likely to believe certain health benefits associated with products over others. However, these health benefits are also in line with existing marketing trends - be it cholesterol-reducing spreads, energy drinks or probiotic yoghurts. Rated number one was improving heart health, at 80 percent. Next, consumers were most likely to believe the health benefits of foods if they pertained to: maintaining overall health and wellness, 77 percent; improving physical energy or stamina; and improving digestive health, 76 percent.
According to the survey, consumers are least likely to be consuming functional food or beverages for mental health benefits. Those who indicated they are currently consuming functional products were also the most likely to be satisfied with their health status, consider themselves to have a healthy diet, as well as be physically active. Men were also less likely than women to choose functional foods and beverages.
The survey findings suggest Americans increasingly consider themselves to be healthy. This is not in line with pervasive data on the so-called obesity epidemic affecting the nation.IFIC Foundation reports the number of Americans claiming to be satisfied with their overall health status went from 55 percent in 2006, to 58 percent in 2007. Meanwhile, the combined categories of respondents stating they were "not at all" or "not very" satisfied with their health status dropped from 30 percent in 2006, to 25 percent in 2007.
Nationwide statistics however show a different picture.An estimated 66 percent of adults in the US are either overweight or obese, based on results from the 2003-2004 National Health and Nutrition Examination Survey (NHANES). The rate of obesity more than doubled from the previous NHANES survey - increasing from 15.0 percent (1976-1980) to 32.9 percent (2003-2004).
As such, the survey findings highlight what health professional and policy makers underscore time and again - the need for increased education and awareness about nutrition and exercise. The research for the survey was conducted by Cogent Research in Cambridge, Massachusetts. Data was collected between February 19 and March 9, 2007 through an outgoing email survey consisting of 120 questions. IFIC Foundation is a branch of the IFIC, which is supported by the food, beverage and agricultural industries. Based in Washington DC, IFIC's aim is to provide science-based information on food and nutrition.
By Clarisse Douaud, 31 May 2007, Nutra Ingredients USA
Health related and functional foods show year-on-year growth
HEALTH-RELATED and functional foods are continuing to drive growth in the global food and drinks market, according to three new reports from LFI.
The reports, which concentrate on the functional foods, confectionery and dairy markets, show year-on-year growth in all three sectors, with functional foods in particular experiencing double-digit increases in value. €
New health-related lines in confectionery and dairy products are also largely responsible for continued growth in two relatively mature markets.
With ongoing product investment, market activity and considerable media attention, the global functional foods market continues to expand across most parts of the developed world.
New sectors are still emerging, while sales have received a further boost from the fact that many existing foods and brands have been repositioned and are now being marketed on a wider health platform.
• The International Functional Foods Market updates previous studies carried out in 2000 and 2004, and reports that sales of functional foods in the five major Western European markets, plus the USA, Australia and Japan, reached US$16.1 billion in 2005, of which Japan accounted for almost 36%. This uses a strict definition of products that make a specific health claim, whereas a broader definition results in a global market value of more than $36 billion.
Using the strict definition, products marketed on a gut health platform represent the largest sector, with sales worth $6.8 billion in 2005. This represents over 42% of the overall market, compared with 36% for heart health products. Applying the broader definition, the share of the total market taking by the two categories falls to just over 40%. By product sector, dairy products account for almost 43% of the global market, ahead of other categories such as cereal products (19%), beverages (14%) and fats and oils (12%).
Functional products are also apparent in the global confectionery industry, appearing in formats such as vitamin-enriched boiled sweets, breath-freshening mints and vapour-release chewing gum. Although it has reached maturity in many parts of the world, confectionery sales continue to grow, driven by rising demand from an increasingly affluent consumer base in developing countries such as Russia, China and India.
In the developed world, much of the market’s recent growth can be attributed to niche sectors, such as low-fat, low-sugar, organic and Fairtrade, as well as functional products.
• The Global Confectionery Market – Trends & Innovations provides an analysis of the confectionery industry worldwide. In 2005, it was worth an estimated $119.6 billion, up by almost 19% on 2001.
During this time, the market increased by almost 13% in volume terms, reaching almost 15.7 million tonnes, and by 2010 market value is expected to be worth over $145bn, with volume forecast to rise to over 17.8 million tonnes. Western Europe and North America account for the bulk of the sales, and they also have the highest per capita consumption – for example almost 15kg in Denmark, Ireland and Switzerland.
However, many of these markets have seen static or falling consumption levels in recent years, with sales having been adversely affected by consumer health concerns.
All three of the market’s sectors are primarily contested by a handful of major companies such as Cadbury, Mars, Nestle and Wrigley.
• Key Players in the Global Dairy Industry provides in-depth profiles of 34 of the world’s largest dairy companies. Of these, 22 completed mergers or acquisitions during 2003, 19 in 2004 and 16 in 2005. Like confectionery, the global dairy industry has been characterised by consolidation among the major players in recent years.
Globalisation remains a key priority for many of the larger dairy firms worldwide, and most already operate across a wide range of markets and countries.
Brands are also becoming more international, with the result that many suppliers are slimming down their ranges to focus on a few key product areas, and recent new product activity has featured the incorporation of healthy ingredients, as well as the development of more convenient forms of packaging.
The level of corporate activity remains high, with recent examples including Campina’s acquisition of the butter specialist Aveve Zuivel and Danone’s establishment of the Stonyfield Europe subsidiary focusing on organic lines.
Other major dairy firms profiled include Arla Foods, Fonterra, Dairy Crest, Lactalis and Dean Foods.
Volume 40, Number 7
September 2006
ISSN 0967 - 0908
http://www.leatherheadfood.com
The reports, which concentrate on the functional foods, confectionery and dairy markets, show year-on-year growth in all three sectors, with functional foods in particular experiencing double-digit increases in value. €
New health-related lines in confectionery and dairy products are also largely responsible for continued growth in two relatively mature markets.
With ongoing product investment, market activity and considerable media attention, the global functional foods market continues to expand across most parts of the developed world.
New sectors are still emerging, while sales have received a further boost from the fact that many existing foods and brands have been repositioned and are now being marketed on a wider health platform.
• The International Functional Foods Market updates previous studies carried out in 2000 and 2004, and reports that sales of functional foods in the five major Western European markets, plus the USA, Australia and Japan, reached US$16.1 billion in 2005, of which Japan accounted for almost 36%. This uses a strict definition of products that make a specific health claim, whereas a broader definition results in a global market value of more than $36 billion.
Using the strict definition, products marketed on a gut health platform represent the largest sector, with sales worth $6.8 billion in 2005. This represents over 42% of the overall market, compared with 36% for heart health products. Applying the broader definition, the share of the total market taking by the two categories falls to just over 40%. By product sector, dairy products account for almost 43% of the global market, ahead of other categories such as cereal products (19%), beverages (14%) and fats and oils (12%).
Functional products are also apparent in the global confectionery industry, appearing in formats such as vitamin-enriched boiled sweets, breath-freshening mints and vapour-release chewing gum. Although it has reached maturity in many parts of the world, confectionery sales continue to grow, driven by rising demand from an increasingly affluent consumer base in developing countries such as Russia, China and India.
In the developed world, much of the market’s recent growth can be attributed to niche sectors, such as low-fat, low-sugar, organic and Fairtrade, as well as functional products.
• The Global Confectionery Market – Trends & Innovations provides an analysis of the confectionery industry worldwide. In 2005, it was worth an estimated $119.6 billion, up by almost 19% on 2001.
During this time, the market increased by almost 13% in volume terms, reaching almost 15.7 million tonnes, and by 2010 market value is expected to be worth over $145bn, with volume forecast to rise to over 17.8 million tonnes. Western Europe and North America account for the bulk of the sales, and they also have the highest per capita consumption – for example almost 15kg in Denmark, Ireland and Switzerland.
However, many of these markets have seen static or falling consumption levels in recent years, with sales having been adversely affected by consumer health concerns.
All three of the market’s sectors are primarily contested by a handful of major companies such as Cadbury, Mars, Nestle and Wrigley.
• Key Players in the Global Dairy Industry provides in-depth profiles of 34 of the world’s largest dairy companies. Of these, 22 completed mergers or acquisitions during 2003, 19 in 2004 and 16 in 2005. Like confectionery, the global dairy industry has been characterised by consolidation among the major players in recent years.
Globalisation remains a key priority for many of the larger dairy firms worldwide, and most already operate across a wide range of markets and countries.
Brands are also becoming more international, with the result that many suppliers are slimming down their ranges to focus on a few key product areas, and recent new product activity has featured the incorporation of healthy ingredients, as well as the development of more convenient forms of packaging.
The level of corporate activity remains high, with recent examples including Campina’s acquisition of the butter specialist Aveve Zuivel and Danone’s establishment of the Stonyfield Europe subsidiary focusing on organic lines.
Other major dairy firms profiled include Arla Foods, Fonterra, Dairy Crest, Lactalis and Dean Foods.
Volume 40, Number 7
September 2006
ISSN 0967 - 0908
http://www.leatherheadfood.com
Nestle pursues human nutrition through acquisition strategy
The third in a series of FoodNavigator-USA.com articles on the health and wellness approach of major US companies examines Nestlé's increasing focus on research and development as a means to improve human nutrition.
"We are focused on transforming Nestlé to a health and wellbeing company," said Matthew Roberts of Nestlé's corporate venture funds acquisitions and business development. And the major strategy adopted by the firm in its pursuit of this is an extremely targeted acquisition policy.
"That's where Nestlé is unique - our M&A strategy and our R&D vision are connected at the hip," said Roberts. The two most recent examples of this are the firm's takeover of Novartis Medical Nutrition and Gerber.
Last month, Nestlé acquired Novartis for a total of $2.5bn, a move that catapulted the Swiss firm into the top end of the medical foods market. The firm announced its interest in December, after months of speculation that it was eyeing up the unit as a springboard from a minor player in the medical foods market to the world number two.
In addition to bolstering Nestlé's health and nutrition division, the deal came with 2,000 workers whose expertise will boost the company's R&D capability. In April this year Nestlé also announced plans to acquire Novartis' US baby food brand Gerber, a further sign of the group's transition towards a healthier profile in line with consumer demand.
"We want to focus on bigger, bolder, better initiatives," said Roberts.Nestlé's pharmaceutical and cosmetics assets - such as Gladerma, L'Oreal, Inneov, Alcon and Sofinol - play a major role in the firm's strategic focus, he said. "It's the idea of leveraging one part of Nestlé for another."
The company currently spends 1.7 percent of its revenue on research and development efforts, which translates into $1.7bn a year. According to Roberts, "a good part" of this is spent on nutrition and wellness. And in its bid to stay one step ahead of competitors in the growing market for value-added products, Nestlé is also on the look out for external innovation.
"If you have an innovation, a technology or a business model that works with health and wellness then come and see us - we're interested in it," Roberts told attendees at the recent IFT food expo in Chicago, where he participated in the session Senior Executives Cut the Fat on Industry's Approach to Health and Wellness Foods.
By Lorraine Heller, 30 August 2007, Food Navigator USA
"We are focused on transforming Nestlé to a health and wellbeing company," said Matthew Roberts of Nestlé's corporate venture funds acquisitions and business development. And the major strategy adopted by the firm in its pursuit of this is an extremely targeted acquisition policy.
"That's where Nestlé is unique - our M&A strategy and our R&D vision are connected at the hip," said Roberts. The two most recent examples of this are the firm's takeover of Novartis Medical Nutrition and Gerber.
Last month, Nestlé acquired Novartis for a total of $2.5bn, a move that catapulted the Swiss firm into the top end of the medical foods market. The firm announced its interest in December, after months of speculation that it was eyeing up the unit as a springboard from a minor player in the medical foods market to the world number two.
In addition to bolstering Nestlé's health and nutrition division, the deal came with 2,000 workers whose expertise will boost the company's R&D capability. In April this year Nestlé also announced plans to acquire Novartis' US baby food brand Gerber, a further sign of the group's transition towards a healthier profile in line with consumer demand.
"We want to focus on bigger, bolder, better initiatives," said Roberts.Nestlé's pharmaceutical and cosmetics assets - such as Gladerma, L'Oreal, Inneov, Alcon and Sofinol - play a major role in the firm's strategic focus, he said. "It's the idea of leveraging one part of Nestlé for another."
The company currently spends 1.7 percent of its revenue on research and development efforts, which translates into $1.7bn a year. According to Roberts, "a good part" of this is spent on nutrition and wellness. And in its bid to stay one step ahead of competitors in the growing market for value-added products, Nestlé is also on the look out for external innovation.
"If you have an innovation, a technology or a business model that works with health and wellness then come and see us - we're interested in it," Roberts told attendees at the recent IFT food expo in Chicago, where he participated in the session Senior Executives Cut the Fat on Industry's Approach to Health and Wellness Foods.
By Lorraine Heller, 30 August 2007, Food Navigator USA
Coca-Cola dips further into vitamin waters
Following its $4.1bn step into the functional beverage category last week, Coca-Cola North America is now swimming further into vitamin-fortified waters through its Dasani brand.
The company made waves when it acquired Energy Brands, known as Glaceau, and its fortified water brands including Vitaminwater. Stagnant performance on the part of the beverage giant is said to have led it to expand further beyond carbonated beverages. By choosing vitamin waters as a new direction, the company is not only lending confidence to that category but virtually guaranteeing its success.
And if the market growth data is the sign of things to come, functional water is where it's at. According to Euromonitor, in the US alone, the market for functional/fortified bottled water ballooned from $206mn in 2002 to $1.4bn in 2006." The time was right to build on the success of the Dasani brand and its great taste promise, and to create the fresh-tasting enhanced water Dasani Plus," said Gloria Garrett, Coca-Cola North America vice president, hydration.
Time and again, market researchers highlight the characteristics of successful functional food or beverage as being convenience and taste, as well as that certain 'je ne sais quoi' or lifestyle appeal. The new nutritionally enhanced vitamin water lines driven by Coca-Cola look set to display all of these attributes.
With fruity flavors, the zero-calorie Dasani line comes in three varieties under three slogans: "refresh and revive" has 10 percent of the reference daily intake (RDI) per serving of Vitamins B3, B6 and B12; "cleanse and restore" contains 10 percent of the RDI per serving of vitamins E, B3, B6, B12, plus 1g of fiber; "defend and protect" provides 10 percent of the RDI per serving of vitamin E and Zinc."
For consumers already seeking the added health benefits that vitamins and minerals provide, a nutrient-enhanced Dasani water with zero calories per serving is a real plus," said Garrett. However, nutritionists are not convinced and still advocate fresh food sources as the best means of fulfilling the body's nutritional needs.
"We get what we need from food and do not need the vitamins and minerals added to waters," American Dietetic Association spokesperson Tara Gidus told NutraIngredients-USA. "
It is always best to try to meet your nutrient requirements with natural foods."As for Glaceau, it will continue to operate as a separate business entity from Coca-Cola North America, but will make use of its new parent company's supply chain, marketing power and foodservice. Glaceau manufactures the brands Vitaminwater, Smartwater, Fruitwater and Vitaminenergy - so-called lifestyle water and energy drinks.
Coca-Cola has also taken fortification into its carbonated beverages. The company announced the launch of Diet Coke Plus in April. The beverage is being sold at retail stores in the US, where other Diet Coke products are already sold.Each eight-ounce can of Diet Coke Plus provides 15 percent of the daily value of Niacin, B6 and B12, 10 percent of the daily value for zinc and magnesium.
The beverage giant recently saw a difficult start into the energy drink category. Along with Nestlé, the company launched Enviga - a carbonated, green tea beverage that claims to burn more calories than it provides. In February, Lawsuits were filed by consumer group Center for Science in the Public Interest (CSPI) against both Coca-Cola and Nestlé for claiming Enviga can help consumers burn off calories.
By Clarisse Douaud, 4 June 2007, Nutra Ingredients USA
The company made waves when it acquired Energy Brands, known as Glaceau, and its fortified water brands including Vitaminwater. Stagnant performance on the part of the beverage giant is said to have led it to expand further beyond carbonated beverages. By choosing vitamin waters as a new direction, the company is not only lending confidence to that category but virtually guaranteeing its success.
And if the market growth data is the sign of things to come, functional water is where it's at. According to Euromonitor, in the US alone, the market for functional/fortified bottled water ballooned from $206mn in 2002 to $1.4bn in 2006." The time was right to build on the success of the Dasani brand and its great taste promise, and to create the fresh-tasting enhanced water Dasani Plus," said Gloria Garrett, Coca-Cola North America vice president, hydration.
Time and again, market researchers highlight the characteristics of successful functional food or beverage as being convenience and taste, as well as that certain 'je ne sais quoi' or lifestyle appeal. The new nutritionally enhanced vitamin water lines driven by Coca-Cola look set to display all of these attributes.
With fruity flavors, the zero-calorie Dasani line comes in three varieties under three slogans: "refresh and revive" has 10 percent of the reference daily intake (RDI) per serving of Vitamins B3, B6 and B12; "cleanse and restore" contains 10 percent of the RDI per serving of vitamins E, B3, B6, B12, plus 1g of fiber; "defend and protect" provides 10 percent of the RDI per serving of vitamin E and Zinc."
For consumers already seeking the added health benefits that vitamins and minerals provide, a nutrient-enhanced Dasani water with zero calories per serving is a real plus," said Garrett. However, nutritionists are not convinced and still advocate fresh food sources as the best means of fulfilling the body's nutritional needs.
"We get what we need from food and do not need the vitamins and minerals added to waters," American Dietetic Association spokesperson Tara Gidus told NutraIngredients-USA. "
It is always best to try to meet your nutrient requirements with natural foods."As for Glaceau, it will continue to operate as a separate business entity from Coca-Cola North America, but will make use of its new parent company's supply chain, marketing power and foodservice. Glaceau manufactures the brands Vitaminwater, Smartwater, Fruitwater and Vitaminenergy - so-called lifestyle water and energy drinks.
Coca-Cola has also taken fortification into its carbonated beverages. The company announced the launch of Diet Coke Plus in April. The beverage is being sold at retail stores in the US, where other Diet Coke products are already sold.Each eight-ounce can of Diet Coke Plus provides 15 percent of the daily value of Niacin, B6 and B12, 10 percent of the daily value for zinc and magnesium.
The beverage giant recently saw a difficult start into the energy drink category. Along with Nestlé, the company launched Enviga - a carbonated, green tea beverage that claims to burn more calories than it provides. In February, Lawsuits were filed by consumer group Center for Science in the Public Interest (CSPI) against both Coca-Cola and Nestlé for claiming Enviga can help consumers burn off calories.
By Clarisse Douaud, 4 June 2007, Nutra Ingredients USA
The rise of functional water
It seems that mineral water just isn't healthy enough, as a growing number of manufacturers move to tap growing demand for H2O products that claim enhanced nutritional benefits.
Cadbury Schweppes, one of the world's largest beverage and confectionery producers, has this week become the latest multinational to link itself to the growing market for functional water products. Consumer health consciousness has led to a shift in demand within the soft drinks market to healthy alternatives over existing products like carbonated beverages.
These concerns have driven a rapid increase in demand for enhanced water products. In Western Europe alone, functional water consumption rose to an estimated 273m litres in 2006 from just 30m litres in 2000, according to analyst group Zenith International.
A growing number of the beverage industry's major players like Coca-Cola have expanded their presence into the segment. The group revealed it had recently acquired Energy Brands, known as Glaceau, and its fortified ranges like Vitaminwater, for $4.1bn. Though Glaceau will continue to operate as a separate business entity from Coca-Cola North America, it will make use of its new parent company's supply chain, marketing power and foodservice.
It is not just health concerns which appear to be driving the market for more functional water brands, with companies looking towards skin care benefits as well. Kate Shapland has spent two years with her business partners developing the Sip brand of bottled water through her company Inside Out Beauty. With consumers already well aware of the importance of water in a diet, she told BeverageDaily.com that enhancing the product was allowing manufacturers to specifically target exclusive markets for their goods.
"As we developed the project we realised that all soft drinks appear to be designed by men, and none are aimed at women," she said. Shapland then created Ship, which contains 100 per cent natural ingredients like botanicals, vitamin C, and antioxidants like selenium, and claims maintain healthy skin. This, Shapland added, though not targeted exclusively for women, has allowed the company to move into more niche areas for beverage demand.
"Not all women like water, with many reaching for coffee or Diet Coke before a glass", she said. However by offering an alternative beverage with both a novel taste and functionality, she believed customers are more likely to try a new product. With such a specific focus particularly aimed at markets that larger brands might "struggle" with, Shapland said that beverage groups would be able to compete within the market with new and innovative varieties of bottled water.
Not all though are convinced that fortified mineral waters are the right step for healthier diets, with nutritionists maintaining that fresh food sources remain the best means of fulfilling the body's nutritional needs. "We get what we need from food and do not need the vitamins and minerals added to waters," said American Dietetic Association spokesperson Tara Gidus. "It is always best to try to meet your nutrient requirements with natural foods."
By Neil Merrett, 14 June 2007, Beverage daily
Cadbury Schweppes, one of the world's largest beverage and confectionery producers, has this week become the latest multinational to link itself to the growing market for functional water products. Consumer health consciousness has led to a shift in demand within the soft drinks market to healthy alternatives over existing products like carbonated beverages.
These concerns have driven a rapid increase in demand for enhanced water products. In Western Europe alone, functional water consumption rose to an estimated 273m litres in 2006 from just 30m litres in 2000, according to analyst group Zenith International.
A growing number of the beverage industry's major players like Coca-Cola have expanded their presence into the segment. The group revealed it had recently acquired Energy Brands, known as Glaceau, and its fortified ranges like Vitaminwater, for $4.1bn. Though Glaceau will continue to operate as a separate business entity from Coca-Cola North America, it will make use of its new parent company's supply chain, marketing power and foodservice.
It is not just health concerns which appear to be driving the market for more functional water brands, with companies looking towards skin care benefits as well. Kate Shapland has spent two years with her business partners developing the Sip brand of bottled water through her company Inside Out Beauty. With consumers already well aware of the importance of water in a diet, she told BeverageDaily.com that enhancing the product was allowing manufacturers to specifically target exclusive markets for their goods.
"As we developed the project we realised that all soft drinks appear to be designed by men, and none are aimed at women," she said. Shapland then created Ship, which contains 100 per cent natural ingredients like botanicals, vitamin C, and antioxidants like selenium, and claims maintain healthy skin. This, Shapland added, though not targeted exclusively for women, has allowed the company to move into more niche areas for beverage demand.
"Not all women like water, with many reaching for coffee or Diet Coke before a glass", she said. However by offering an alternative beverage with both a novel taste and functionality, she believed customers are more likely to try a new product. With such a specific focus particularly aimed at markets that larger brands might "struggle" with, Shapland said that beverage groups would be able to compete within the market with new and innovative varieties of bottled water.
Not all though are convinced that fortified mineral waters are the right step for healthier diets, with nutritionists maintaining that fresh food sources remain the best means of fulfilling the body's nutritional needs. "We get what we need from food and do not need the vitamins and minerals added to waters," said American Dietetic Association spokesperson Tara Gidus. "It is always best to try to meet your nutrient requirements with natural foods."
By Neil Merrett, 14 June 2007, Beverage daily
The Future of Functional Foods
Demand for functional food ingredients such as natural vitamin E phytosterol and seaweed are on the rise in Asia.Over the next few years, industry players in the functional food industry can expect to enjoy a period of dynamic growth. Socio-economic and cultural factors are working in favour of the industry in various global locations and companies that are on top of the drivers in the industry can expect to do well.
Increased Consumer Base The Asian continent is home to more than two-fifths of the global population and during the last decade, Asia, outside of Japan has enjoyed some of the fastest economic growth rates in the world. High economic growth rates have helped to create a growing army of consumers that have helped to spur the consumption of many goods and services in the past decades.
The food industry as a whole has benefited from the increased number of consumers, particularly in Asia. However, Asians have been more than just passive consumers of products produced by the food industry. The Asian consumer class that was created by the economic development is health conscious and demands better quality from food products. This has lead to the growth in demand for products like functional food ingredients, which enhance the value of processed foods and seasonings like “Non-Oil,” a mayonnaise-style seasoning that has calories cut to 1/8, zero cholesterol & zero fat.
Kenichi Yamada, the GM of Riken’s Singapore Application Center, a subsidiary of Japan’s Riken Vitamin says: “Process food manufacturing is on the rise in South-east Asia. This can be seen in the bakery, beverages, ice-cream and meat industries. Due to rising incomes, we see a trend where consumers demand not only more products but also consistently good quality products. This in turn has placed additional demands on our ingredients as we consistently look out for ways in which we can help our customers improve their products to the end user.”
As well as catering to the Asian consumer, companies like Riken are making efforts to understand and develop products that are suitable for specific markets. One example of how the industry has increased its focus on R&D was at the establishment of Riken Vitamin’s Singapore Application Center that was opened in March 2007.
Certification A ‘Must-Have’
One of the ways in which companies are meeting the demands of the consumer for better quality in their foods has been through the obtaining of certification. International quality certifications like ISO9001 and HACCP are becoming a “must have” for the industry. Another form of certification is becoming more important is halal or kosher certification, which is especially important in Asia where the majority of the world’s
Muslims live.
Mr Yamada says: “Kosher and halal certification is a stringent requirement in the industry. Many aspects of production have to be covered. Every product that comes from our Malaysian factory meets the requirements for halal certification. We are also pursuing other certifications. We are already ISO9001 and HACCP certified and we will soon be ISO 14001 certified.”
Health Trends High economic growth rates have been the catalyst for many social changes in Asia. While most of these changes have been beneficial, the number of lifestyle related diseases like cancer, high blood pressure, and high cholesterol and heart ailments has risen as people work longer hours in high stress environments and reduce their exercise.
This has lead to a demand for functional food ingredients such as natural Vitamin E, phytosterol and seaweed, whose health benefits have recently been unlocked. Mr Yamada notes that: “From the beginning, natural vitamin E and phytosterol are extracted and purified from parts of plant/vegetable oils and fats. The beneficial effects of these series of materials on various lifestyle-related diseases have been revealed and demands for them have been increasing as raw materials for health food and medicines.”
He adds: “We hope the industry will rise to the challenge of creating new and more efficient ways of addressing stabilisation of ingredients like natural vitamin E and phytosterol, through technologies like micro-encapsulation technology.”
Updated on 2 Aug 2007, Asia Pacific Food Industry
Western diet linked to greater colon cancer recurrence
The high calorie, low fibre dietary pattern associated with the Western diet are associated with an increased risk of colorectal cancer recurrence, says new research from the US.
The study, published in the Journal of the American Medical Association, adds to previous studies on how dietary patterns may influence colorectal cancer, but is said to be the first to consider cancer recurrence.
"This is the first study, to our knowledge, in a potentially cured population of colon cancer survivors to address the effect of diet," wrote the authors, led by Jeffrey Meyerhardt, from the Dana-Farber Cancer Institute, Boston."
The data suggest that a diet characterized by higher intakes of red and processed meats, sweets and desserts, French fries, and refined grains increases the risk of cancer recurrence and decreases survival," they added.
There are 363,000 new cases of colorectal cancer every year in Europe. The incidence of the cancer is rising, especially in Southern and Eastern Europe. Eighty per cent of colorectal cancers may be preventable by dietary changes. It is also one of the most curable cancers if diagnosis is made early. A recent epidemiological study from researchers at the Institute Gustave Roussy (Inserm, ERI20), linked people with a dietary pattern closely matching the "Western" diet to a significantly increased risk of the cancer (American Journal of Epidemiology, Vol. 164, pp. 1085-1093).
The new study, which looked at dietary patterns on cancer recurrence and survival in a group of 1,009 stage III colon cancer patients (cancer present in the colon and lymph nodes). Dietary patterns, classes as 'prudent' or 'Western' were evaluated using a 131-item semi-quantitative food frequency questionnaire (FFQ). The prudent pattern was characterized by high intakes of fruits and vegetables, poultry, and fish; the Western pattern was characterized by high intakes of meat, fat, refined grains, and dessert.
During the average follow-up period of 5.3 years, 223 patients died with cancer recurrence out of 324 cases of cancer recurrence. Twenty-eight people died without documented cancer recurrence.The researchers found that a diet with a higher correspondence to the Western dietary pattern after cancer diagnosis were at a significant increase in the risk of cancer recurrence or death. Indeed, the top 20 per cent of people with the greatest Western-style diet were 3.3 times more likely to have cancer recurrence or death that those with least Western-style diet.
No significant association was observed between the prudent style diet and cancer recurrence or death, said the researchers. "We cannot completely exclude the possibility that higher intake of a Western dietary pattern may be reflective of other predictors of poor prognosis. However, we did not observe any significant association between diet and predictors associated with cancer recurrence or survival," wrote the researchers.
They noted limitations with the study, including the use of the food frequency questionnaire which is subject to recall errors, but they did considered the possibility that sick patients may have altered dietary patterns after diagnosis, which may have made them more or less healthy. The researchers noted that study is ongoing, focusing on the whether specific nutrients or food groupings may strengthen the association between diet and colon cancer recurrence.
The Western dietary pattern has also been blamed by some for the obesity epidemic, particularly in children. Indeed, in August US paediatrician Robert Lustig, MD, from the University of California, San Francisco said that the "toxic environment" of Western diets causes hormonal imbalances that encourage overeating.
Source: Journal of the American Medical Association
August 15 2007, Volume 298, Number 7, Pages 754-764
"Association of Dietary Patterns With Cancer Recurrence and Survival in Patients With Stage III Colon Cancer"
Authors: Jeffrey A. Meyerhardt, D. Niedzwiecki, D. Hollis, L.B. Saltz, F.B. Hu, R.J. Mayer, H. Nelson, R. Whittom, A. Hantel, J. Thomas, C.S. Fuchs
The study, published in the Journal of the American Medical Association, adds to previous studies on how dietary patterns may influence colorectal cancer, but is said to be the first to consider cancer recurrence.
"This is the first study, to our knowledge, in a potentially cured population of colon cancer survivors to address the effect of diet," wrote the authors, led by Jeffrey Meyerhardt, from the Dana-Farber Cancer Institute, Boston."
The data suggest that a diet characterized by higher intakes of red and processed meats, sweets and desserts, French fries, and refined grains increases the risk of cancer recurrence and decreases survival," they added.
There are 363,000 new cases of colorectal cancer every year in Europe. The incidence of the cancer is rising, especially in Southern and Eastern Europe. Eighty per cent of colorectal cancers may be preventable by dietary changes. It is also one of the most curable cancers if diagnosis is made early. A recent epidemiological study from researchers at the Institute Gustave Roussy (Inserm, ERI20), linked people with a dietary pattern closely matching the "Western" diet to a significantly increased risk of the cancer (American Journal of Epidemiology, Vol. 164, pp. 1085-1093).
The new study, which looked at dietary patterns on cancer recurrence and survival in a group of 1,009 stage III colon cancer patients (cancer present in the colon and lymph nodes). Dietary patterns, classes as 'prudent' or 'Western' were evaluated using a 131-item semi-quantitative food frequency questionnaire (FFQ). The prudent pattern was characterized by high intakes of fruits and vegetables, poultry, and fish; the Western pattern was characterized by high intakes of meat, fat, refined grains, and dessert.
During the average follow-up period of 5.3 years, 223 patients died with cancer recurrence out of 324 cases of cancer recurrence. Twenty-eight people died without documented cancer recurrence.The researchers found that a diet with a higher correspondence to the Western dietary pattern after cancer diagnosis were at a significant increase in the risk of cancer recurrence or death. Indeed, the top 20 per cent of people with the greatest Western-style diet were 3.3 times more likely to have cancer recurrence or death that those with least Western-style diet.
No significant association was observed between the prudent style diet and cancer recurrence or death, said the researchers. "We cannot completely exclude the possibility that higher intake of a Western dietary pattern may be reflective of other predictors of poor prognosis. However, we did not observe any significant association between diet and predictors associated with cancer recurrence or survival," wrote the researchers.
They noted limitations with the study, including the use of the food frequency questionnaire which is subject to recall errors, but they did considered the possibility that sick patients may have altered dietary patterns after diagnosis, which may have made them more or less healthy. The researchers noted that study is ongoing, focusing on the whether specific nutrients or food groupings may strengthen the association between diet and colon cancer recurrence.
The Western dietary pattern has also been blamed by some for the obesity epidemic, particularly in children. Indeed, in August US paediatrician Robert Lustig, MD, from the University of California, San Francisco said that the "toxic environment" of Western diets causes hormonal imbalances that encourage overeating.
Source: Journal of the American Medical Association
August 15 2007, Volume 298, Number 7, Pages 754-764
"Association of Dietary Patterns With Cancer Recurrence and Survival in Patients With Stage III Colon Cancer"
Authors: Jeffrey A. Meyerhardt, D. Niedzwiecki, D. Hollis, L.B. Saltz, F.B. Hu, R.J. Mayer, H. Nelson, R. Whittom, A. Hantel, J. Thomas, C.S. Fuchs
Healthy chocolate drives US market
Sales of health and premium products are driving growth in the US chocolate market, offsetting poorer sales in other chocolate segments.
"We expect that the trend towards high-end products, especially those touting wellness benefits, will be the life force in this market for the next several years," said Tatjana Meerman, publisher of the report 'The U.S. Market for Chocolate'.
Overall chocolate sales are predicted to reach $18bn (€13.2bn) by 2011, up from $16bn (€11.7bn) in 2006, she said, helped by the market share for premium chocolate escalating from 13 per cent of the total market in 2002 to nearly 17 per cent in 2006. By 2011, premium chocolate will account for 25 per cent of the market, generating $4.5bn (€3.3bn) in sales, she added.
The report concluded that the reason for this growth is the reported health benefits of dark chocolate, as well as a shift in consumer interest towards 'luxury' products, including organic and fair trade products. However, sales of sugar-free, diet, gift and novelty chocolates fell in 2006. "Even categories such as gift box chocolates saw a notable decline in the last year," Meerman explained.
Several chocolate companies in the US have now embraced the health and wellness trend, with Barry Callebaut last month releasing nine new ingredients on the market that target the demand for functional foods. The company said it will be the first to launch chocolate with probiotics in order to strengthen the immune system, and to improve the nutritional profile of its chocolate by reducing and balancing sugar and fat.
A study by Leatherhead Foods in June said the overall market for health products in the US, the UK, Germany, Italy, France, Spain and Australia was worth a total of $66bn (€49bn) last year. The study said the best sectoral growth is predicted for the relatively undeveloped bakery and snacks and prepared foods markets.
By Charlotte Eyre, 10 August 2007, Confectionery news
"We expect that the trend towards high-end products, especially those touting wellness benefits, will be the life force in this market for the next several years," said Tatjana Meerman, publisher of the report 'The U.S. Market for Chocolate'.
Overall chocolate sales are predicted to reach $18bn (€13.2bn) by 2011, up from $16bn (€11.7bn) in 2006, she said, helped by the market share for premium chocolate escalating from 13 per cent of the total market in 2002 to nearly 17 per cent in 2006. By 2011, premium chocolate will account for 25 per cent of the market, generating $4.5bn (€3.3bn) in sales, she added.
The report concluded that the reason for this growth is the reported health benefits of dark chocolate, as well as a shift in consumer interest towards 'luxury' products, including organic and fair trade products. However, sales of sugar-free, diet, gift and novelty chocolates fell in 2006. "Even categories such as gift box chocolates saw a notable decline in the last year," Meerman explained.
Several chocolate companies in the US have now embraced the health and wellness trend, with Barry Callebaut last month releasing nine new ingredients on the market that target the demand for functional foods. The company said it will be the first to launch chocolate with probiotics in order to strengthen the immune system, and to improve the nutritional profile of its chocolate by reducing and balancing sugar and fat.
A study by Leatherhead Foods in June said the overall market for health products in the US, the UK, Germany, Italy, France, Spain and Australia was worth a total of $66bn (€49bn) last year. The study said the best sectoral growth is predicted for the relatively undeveloped bakery and snacks and prepared foods markets.
By Charlotte Eyre, 10 August 2007, Confectionery news
Getting Rich on Fibre
The food industry has to innovate to develop a wider range of fibre-rich foods, says J Lunn and J L Butriss, Nutrition Scientists, the British Nutrition Foundation.
The term fibre has considerable resonance with consumers and frequently appears on food packages to denote healthy carbohydrates. However, studies have shown that consumers are not meeting recommended daily intakes of fibre, highlighting the need for innovation by industry to create products that may bridge this gap.
The report Carbohydrates and Dietary Fibre by J Lunn and J L Buttriss of the British Nutrition Foundation states: “Through innovation by the food industry, one option is to develop a wider range of foods that include non-digestible carbohydrates as ingredients.”
Big FiveDietary fibre has been reported to have many health benefits, but the ‘big five’ with the most science to back them up, are: improvements in gastrointestinal health; improvements in glucose tolerance and insulin response; reduction of hyperlipidaemia, hypertension and other coronary heart disease (CHD) risk factors; reduction in the risk of developing some cancers; and increased satiety and hence some degree of weight management.
As our understanding of fibre has improved it was becoming clear that a better definition was required. The authors define dietary fibre as: “A primary characteristic is resistance to digestion and absorption in the small intestine and fermentation in the large intestine; and demonstrate that fibre has physiological properties.”
The authors also comment that there is “a convincing argument for including slowly fermented components, such as resistant starches, that are well tolerated in the digestive system and can bring about improvements in gut function.”
Such a definition, they state, would ensure that components, such as resistant starches and oligosaccharides, are considered to contribute to the total dietary fibre in the diet.
Such statements are in-line with proposals from Codex. Although a definition currently exists within the framework of Codex guidelines, the matter was thrown open in 2005 when a FAO representative informed the committee that a FAO/WHO expert working group was reviewing evidence on the physiology of carbohydrates and relevant definitions.
If a new definition is adopted and comes to bear on nutritional claims, ‘fibre-like’ ingredients in supplements, resistant starch and oligosaccharides could be assessed on their own individual merits and not bundled together under the broad umbrella of ‘fibres’. Health BenefitsThe health benefits of including sufficient dietary fibre in the diet have been well described and have formed the basis of dietary recommendations around the world.
However, dietary fibre is a complex dietary entity, consisting of many non-digestible components of food. Debate surrounding the definition and measurement of dietary fibre has resulted in inconsistencies in labelling, description and recommendations set across the world. In the UK, dietary recommen-dations are made using the fraction of non-digestible material described as non-starch polysaccharide that is measured by the Englyst method.
However, the Association of Official Analytical Chemists (AOAC) methods, used widely by the food industry, capture a much greater range of non-digestible material, that some suggest should be included in any definition of dietary fibre. An attempt to resolve such discrepancies, possibly by taking an approach that considers the health effects of fractions not captured in the Englyst method, is probably overdue.
Additionally, it is clear that the effects of these various non-digestible components of dietary fibre are not interchangeable, and it is important that fibre comes from a range of sources to ensure maximum health benefits from the fibre in the diet.
Traditional ‘insoluble’ fibres are required to add bulk as well as rapidly fermentable, viscous fibres to bring about cholesterol lowering. There is also a convincing argument for including slowly fermented components, such as resistant starches, that are well tolerated in the digestive system and can bring about improvements in gut function.
Currently there is insufficient data from well designed human intervention trials to make specific recommendations on the amounts of these fibre components in the diet, but it may be useful for health professionals to talk in terms of the different food sources of these types of fibre, as well as total fibre amounts.
Dietary Fibre: Source of Goodness
Fibre is found in plant foods and exists in two main forms. Insoluble fibre is the tough, fibrous parts of the plant. Foods rich in insoluble fibre include whole grain foods, such as whole grain and bran cereals, wholemeal bread and pasta, brown rice and a small amount in fruits and vegetables.
Soluble fibre is found mostly in vegetables, especially pulses and legumes, and in many fruits. Oats are also a source of soluble fibre. The majority of the fibre in our diet is insoluble fibre. Insoluble fibre is not absorbed and reaches the large gut intact where it has many health benefits. It can help prevent constipation and may reduce the risk of bowel cancer. Soluble fibre reduces blood cholesterol levels and helps to slow the absorption of nutrients.
Dietary fibre may help weight control. A large study of almost 3,000 young adults in the US showed that over 10 years the group eating the most dietary fibre gained less weight than the group with the lowest intake of dietary fibre. Studies suggest that diets that include plenty of fibre, especially insoluble fibre, may be associated with increased weight loss.
High fibre foods may help reduce appetite. This may be related to the bulky nature of these foods, their effects on blood glucose and insulin levels due to delayed gastric emptying or effects on gut hormones that regulate appetite.
Updated on 2 Aug 2007, Asia Pacific Food Industry
The term fibre has considerable resonance with consumers and frequently appears on food packages to denote healthy carbohydrates. However, studies have shown that consumers are not meeting recommended daily intakes of fibre, highlighting the need for innovation by industry to create products that may bridge this gap.
The report Carbohydrates and Dietary Fibre by J Lunn and J L Buttriss of the British Nutrition Foundation states: “Through innovation by the food industry, one option is to develop a wider range of foods that include non-digestible carbohydrates as ingredients.”
Big FiveDietary fibre has been reported to have many health benefits, but the ‘big five’ with the most science to back them up, are: improvements in gastrointestinal health; improvements in glucose tolerance and insulin response; reduction of hyperlipidaemia, hypertension and other coronary heart disease (CHD) risk factors; reduction in the risk of developing some cancers; and increased satiety and hence some degree of weight management.
As our understanding of fibre has improved it was becoming clear that a better definition was required. The authors define dietary fibre as: “A primary characteristic is resistance to digestion and absorption in the small intestine and fermentation in the large intestine; and demonstrate that fibre has physiological properties.”
The authors also comment that there is “a convincing argument for including slowly fermented components, such as resistant starches, that are well tolerated in the digestive system and can bring about improvements in gut function.”
Such a definition, they state, would ensure that components, such as resistant starches and oligosaccharides, are considered to contribute to the total dietary fibre in the diet.
Such statements are in-line with proposals from Codex. Although a definition currently exists within the framework of Codex guidelines, the matter was thrown open in 2005 when a FAO representative informed the committee that a FAO/WHO expert working group was reviewing evidence on the physiology of carbohydrates and relevant definitions.
If a new definition is adopted and comes to bear on nutritional claims, ‘fibre-like’ ingredients in supplements, resistant starch and oligosaccharides could be assessed on their own individual merits and not bundled together under the broad umbrella of ‘fibres’. Health BenefitsThe health benefits of including sufficient dietary fibre in the diet have been well described and have formed the basis of dietary recommendations around the world.
However, dietary fibre is a complex dietary entity, consisting of many non-digestible components of food. Debate surrounding the definition and measurement of dietary fibre has resulted in inconsistencies in labelling, description and recommendations set across the world. In the UK, dietary recommen-dations are made using the fraction of non-digestible material described as non-starch polysaccharide that is measured by the Englyst method.
However, the Association of Official Analytical Chemists (AOAC) methods, used widely by the food industry, capture a much greater range of non-digestible material, that some suggest should be included in any definition of dietary fibre. An attempt to resolve such discrepancies, possibly by taking an approach that considers the health effects of fractions not captured in the Englyst method, is probably overdue.
Additionally, it is clear that the effects of these various non-digestible components of dietary fibre are not interchangeable, and it is important that fibre comes from a range of sources to ensure maximum health benefits from the fibre in the diet.
Traditional ‘insoluble’ fibres are required to add bulk as well as rapidly fermentable, viscous fibres to bring about cholesterol lowering. There is also a convincing argument for including slowly fermented components, such as resistant starches, that are well tolerated in the digestive system and can bring about improvements in gut function.
Currently there is insufficient data from well designed human intervention trials to make specific recommendations on the amounts of these fibre components in the diet, but it may be useful for health professionals to talk in terms of the different food sources of these types of fibre, as well as total fibre amounts.
Dietary Fibre: Source of Goodness
Fibre is found in plant foods and exists in two main forms. Insoluble fibre is the tough, fibrous parts of the plant. Foods rich in insoluble fibre include whole grain foods, such as whole grain and bran cereals, wholemeal bread and pasta, brown rice and a small amount in fruits and vegetables.
Soluble fibre is found mostly in vegetables, especially pulses and legumes, and in many fruits. Oats are also a source of soluble fibre. The majority of the fibre in our diet is insoluble fibre. Insoluble fibre is not absorbed and reaches the large gut intact where it has many health benefits. It can help prevent constipation and may reduce the risk of bowel cancer. Soluble fibre reduces blood cholesterol levels and helps to slow the absorption of nutrients.
Dietary fibre may help weight control. A large study of almost 3,000 young adults in the US showed that over 10 years the group eating the most dietary fibre gained less weight than the group with the lowest intake of dietary fibre. Studies suggest that diets that include plenty of fibre, especially insoluble fibre, may be associated with increased weight loss.
High fibre foods may help reduce appetite. This may be related to the bulky nature of these foods, their effects on blood glucose and insulin levels due to delayed gastric emptying or effects on gut hormones that regulate appetite.
Updated on 2 Aug 2007, Asia Pacific Food Industry
Obesity concerns drive artificial sweetener market
Social and health concerns relating to obesity is driving market growth for the global artificial sweetener market, according to a new report.
Published by Global Industry Analysts, Artificial Sweeteners: A Global Strategic Business Report reveals that a worldwide weight reduction effort is stimulating the $3.5bn global artificial sweeteners market, of which the US and Europe currently make up 65 per cent. According to the report, the global sweetener market is currently achieving a compound annual growth rate of 3.7 per cent.
Other key factors driving the market include attempts to create foods for diabetic patients, a growing number of people wanting to cut sugar intake, worries regarding dental care, and an increase in production of diet foods and beverages, said Global Industry Analysts. Breaking the category down, the global market for sucralose artificial sweeteners will allegedly grow the fastest, posting a CAGR of around 10 per cent.
This will be followed by the aspartame-based artificial sweetener market, which will most likely reach above and beyond the $3bn mark in 2008, expanding on its current 50 per cent hold of the global market. However, a category not faring so well is that of the saccharin artificial sweetener market, which the report claims could be linked to a study conducted in the 1960's that found high doses of the ingredient caused bladder cancer in laboratory rats.
Nevertheless, over 90 nations, including Canada, approve restricted level use of the sweetener following various studies conducted from 1977 to 1991. However, many nations have banned saccharin-based sweeteners altogether. In the US, the Food and Drug Administration (FDA) continues to approve the use of saccharin, along with four other sweeteners: sucralose, aspartame, acesulfame K and neotame. It is also reviewing two new low-calories sweeteners, alitame and cyclamate -opening up the global market for further competition, price erosion and distributed customers.
In terms of sweetener usage, new-age beverages, dairy products, salad dressings and salty snack foods are representing the fastest expanding markets for the sugar substitutes industry. Major players in the market include Nutrasweet, Tate & Lyle, Nutrinova, Merisant, McNeil Nutritionals, Danisco, Spherix and Imperial Sugar. Despite the anticipated developments in the market, many food and beverage companies globally are said to be steering towards a health and wellness trend, replacing 'artificial' ingredients, such as colours and sweeteners, with ingredients considered more 'natural'.
Likewise, a report by the Freedonia Group published earlier this year claimed that an expected increase in overall high intensity sweeteners volume will result in the market seeing falling prices, as patent protections expire and new competitors - especially importers based in developing nations - enter the marketplace. High intensity sweeteners are expected to remain the largest product category through 2010 due to their leadership position in diet soft drinks and tabletop uses, which are among the main applications for alternative sweeteners.
In diet soft drinks, aspartame and acesulfame potassium (ace-K) are forecast to remain the leading products, due to their use in many of the top brands. Prices for the two products are forecast to decline by around 1-2 percent annually over the next few years, a "gentle erosion" compared to the high single-digit declines that occurred after their patent protections fell off.
Although not yet a significant threat to aspartame's dominant position in diet soft drinks, sucralose has become the leader in the key tabletop sweetener market, said the report. According to Freedonia, sucralose, the main sweetener in Tate & Lyle's well-known Splenda product, has grown from niche status to "market powerhouse" in just a few years since its Food and Drug Administration (FDA) approval for use as a general sweetener.
By Louise Prance, 26 July 2007, Food Navigator USA
Published by Global Industry Analysts, Artificial Sweeteners: A Global Strategic Business Report reveals that a worldwide weight reduction effort is stimulating the $3.5bn global artificial sweeteners market, of which the US and Europe currently make up 65 per cent. According to the report, the global sweetener market is currently achieving a compound annual growth rate of 3.7 per cent.
Other key factors driving the market include attempts to create foods for diabetic patients, a growing number of people wanting to cut sugar intake, worries regarding dental care, and an increase in production of diet foods and beverages, said Global Industry Analysts. Breaking the category down, the global market for sucralose artificial sweeteners will allegedly grow the fastest, posting a CAGR of around 10 per cent.
This will be followed by the aspartame-based artificial sweetener market, which will most likely reach above and beyond the $3bn mark in 2008, expanding on its current 50 per cent hold of the global market. However, a category not faring so well is that of the saccharin artificial sweetener market, which the report claims could be linked to a study conducted in the 1960's that found high doses of the ingredient caused bladder cancer in laboratory rats.
Nevertheless, over 90 nations, including Canada, approve restricted level use of the sweetener following various studies conducted from 1977 to 1991. However, many nations have banned saccharin-based sweeteners altogether. In the US, the Food and Drug Administration (FDA) continues to approve the use of saccharin, along with four other sweeteners: sucralose, aspartame, acesulfame K and neotame. It is also reviewing two new low-calories sweeteners, alitame and cyclamate -opening up the global market for further competition, price erosion and distributed customers.
In terms of sweetener usage, new-age beverages, dairy products, salad dressings and salty snack foods are representing the fastest expanding markets for the sugar substitutes industry. Major players in the market include Nutrasweet, Tate & Lyle, Nutrinova, Merisant, McNeil Nutritionals, Danisco, Spherix and Imperial Sugar. Despite the anticipated developments in the market, many food and beverage companies globally are said to be steering towards a health and wellness trend, replacing 'artificial' ingredients, such as colours and sweeteners, with ingredients considered more 'natural'.
Likewise, a report by the Freedonia Group published earlier this year claimed that an expected increase in overall high intensity sweeteners volume will result in the market seeing falling prices, as patent protections expire and new competitors - especially importers based in developing nations - enter the marketplace. High intensity sweeteners are expected to remain the largest product category through 2010 due to their leadership position in diet soft drinks and tabletop uses, which are among the main applications for alternative sweeteners.
In diet soft drinks, aspartame and acesulfame potassium (ace-K) are forecast to remain the leading products, due to their use in many of the top brands. Prices for the two products are forecast to decline by around 1-2 percent annually over the next few years, a "gentle erosion" compared to the high single-digit declines that occurred after their patent protections fell off.
Although not yet a significant threat to aspartame's dominant position in diet soft drinks, sucralose has become the leader in the key tabletop sweetener market, said the report. According to Freedonia, sucralose, the main sweetener in Tate & Lyle's well-known Splenda product, has grown from niche status to "market powerhouse" in just a few years since its Food and Drug Administration (FDA) approval for use as a general sweetener.
By Louise Prance, 26 July 2007, Food Navigator USA
Sunday, September 16, 2007
What is functional food anyway?
What is functional food anyway? It is basically food that provides health benefits beyond basic nutrition.
During our school days, we use to learn about vitamins A, B, C, D and minerals like iron and calcium. Nowadays, more and more are also talking about Antioxidants, Inulin, Omega 3&6, Beta-glucan, Co-enzyme Q10 and so on. These are the functional ingredients that are doing lots of wonders. It is the craze now!
We human have been consuming all these functional ingredients through meat, fruits and vegetables for thousands of generation. It's just that previously, we don't know what it is and how it function.
Now that more and more benefits are being unveiled, food companies all over the world are rushing to incorporate such functional ingredients into their products. Are they overly excited? According to latest research and findings, consumers are opting for a more healthy food and they are also wiling to pay more for it.
So much so that Nestle and Coca-cola, one is the biggest food company in the world and the other is the biggest beverage company in the world, have this year spend a total of US$6.6 billion to acquire a functional/nutrition company each to venture into the health and wellness industry.
Now, why would Nestle, with a net income of US$4 billion FY2006 and Coca-cola with a net income of US$5 billion FY2006, want to spend US$6.6 billion to acquire such companies? Mind you that US$6.6 billion is more than the GDP of 35% of the number of countries in the world!
Do you think both the companies, with a combined age of more than 250 years, are run by idiots? Certainly not so, if you ask Warren Buffett. He's been buying Coca-cola since 1988 and he now owns 7% of Coca-cola's stocks. It would turn out to be one of his most lucrative investments to date. His ability to sniff out well-managed and profitable companies makes him the third richest man in the world today.
Health/Wellness is the trend nowadays and functional food demand will set to soar tremendously especially in the next few years. What do you think?
Cheah Wai Loon.
During our school days, we use to learn about vitamins A, B, C, D and minerals like iron and calcium. Nowadays, more and more are also talking about Antioxidants, Inulin, Omega 3&6, Beta-glucan, Co-enzyme Q10 and so on. These are the functional ingredients that are doing lots of wonders. It is the craze now!
We human have been consuming all these functional ingredients through meat, fruits and vegetables for thousands of generation. It's just that previously, we don't know what it is and how it function.
Now that more and more benefits are being unveiled, food companies all over the world are rushing to incorporate such functional ingredients into their products. Are they overly excited? According to latest research and findings, consumers are opting for a more healthy food and they are also wiling to pay more for it.
So much so that Nestle and Coca-cola, one is the biggest food company in the world and the other is the biggest beverage company in the world, have this year spend a total of US$6.6 billion to acquire a functional/nutrition company each to venture into the health and wellness industry.
Now, why would Nestle, with a net income of US$4 billion FY2006 and Coca-cola with a net income of US$5 billion FY2006, want to spend US$6.6 billion to acquire such companies? Mind you that US$6.6 billion is more than the GDP of 35% of the number of countries in the world!
Do you think both the companies, with a combined age of more than 250 years, are run by idiots? Certainly not so, if you ask Warren Buffett. He's been buying Coca-cola since 1988 and he now owns 7% of Coca-cola's stocks. It would turn out to be one of his most lucrative investments to date. His ability to sniff out well-managed and profitable companies makes him the third richest man in the world today.
Health/Wellness is the trend nowadays and functional food demand will set to soar tremendously especially in the next few years. What do you think?
Cheah Wai Loon.
Functional food is food of the future!
Yes, functional food/beverage should be something that we like, consumable at anytime, convenient, healthy and tasty.
This is what we believe it should be. Not something that is healthy but not tasty! Tasty but not healthy! Tasty, healthy but high in sugar and calorie! And certainly not something that we don't like!
Spending a long 10-15 minutes preparing healthy concoction that may not be palatable at all is surely not a good way to enjoy life.
A healthy and an enjoyable life is what we want! Do you agree with me?
Cheah Wai Loon.
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