Global Functional Food Trends

The U.S. market for fortified and functional foods and beverages is the largest in the world. In 2008, combined value sales are expected to reach $33.3 billion, accounting for one-third of total global sales. And yet, when it comes to functional food and beverage innovation, U.S. manufacturers take much of their inspiration from other countries. Several trends are emerging in key sectors, some of which could soon migrate to the U.S. market.

Leading innovator markets
The highly populous Asia Pacific region accounts for the biggest chunk of fortified and functional product value sales. In general, consumers in Asia Pacific are not attracted to other health-and-wellness product categories, such as better-for-you foods (e.g., foods reduced in fats and sugar) or organics. The concept of getting—and paying for—something “extra” by means of fortification is much more appealing to them. A similar consumer mindset prevails in the developing markets of Eastern Europe. North America and Western Europe are the other two big markets for fortified and functional foods and beverages.

Japan is at the forefront of innovation, particularly where functional beverages are concerned. Japan is not only the birthplace of daily-dose probiotic dairy drinks (courtesy of Yakult), but of a whole range of innovative drink concepts, including functional bottled water, which is currently enjoying a global boom. The country’s latest functional-product craze is beauty-enhancing foods and drinks. The most-popular beauty ingredients employed by Japanese manufacturers are collagen, ceramide and hyaluronic acid. They are added to a wide variety of products, including yogurt, confectionery and ready-to-drink tea.

Surprisingly, the Western hotbed for functional-food innovation is chilly Finland. Finnish company Raisio Food Group was the first to come up with plant-stanol-enriched cholesterol-lowering margarines, creating Benecol, now the world’s fourth-ranking functional spreadable oils and fats brand. Xylitol, a natural sweetener originally extracted from birch bark, which offers dental health benefits, is also a Finnish discovery and has completely revolutionized the global chewing gum market. Valio Oy, Finland’s leading dairy company, is another top innovator. In Jan. 2008, the company launched Valio Gefilus Max, a dairy drink in 100 ml bottles, and marketed it for “calming a stressed stomach.” The company claims that it is the first such product on the market targeted at the growing demographic of consumers suffering from irritable bowel syndrome.

Dairy domination
The dairy sector tops the global fortified and functional packaged-food market in terms of size, growth and innovation. The sector is also highly competitive, which is why adding value to products by means of fortification is a key strategy for manufacturers.

Probiotic yogurt accounts for over half of all fortified and functional dairy value sales, and cheese is next on the list as a key medium for enrichment with probiotic bacteria. There are already quite a few products by smaller players on the shelves, but the entry of Kraft Foods, the world’s leading cheese manufacturer with a whopping 32% value share of the North American cheese market, is likely to provide a mighty push for the concept. The company has just announced a major change in strategy, and functional cheese is where it is heading. Earlier this year, Kraft announced a tie-in with Swedish biotech company Probi, a leading manufacturer of probiotic bacterial cultures intended for Kraft’s LiveActive range, which includes probiotic and prebiotic cheeses, launched in both Canada and the United States this year.

Functional soft drinks
After dairy, functional soft drinks are the next functional success story. This sector comprises both sports drinks and energy drinks, with a total value (based on retail sales price) of $18.4 billion and $17.8 billion in 2007, respectively. The functional drinks category is one of the few that appeals to image-conscious young men, who are notoriously difficult to target with health-and-wellness messages.

An emerging trend is “functional organic.” It seems that organic is by no means incompatible with the energy-drinks format, as demonstrated by the activities of many smaller players. For example, German company Bat Beverage GmbH makes Mad Bat Bio Energy, an organic energy drink, which uses guarana extract for boosting energy, but which eschews taurine. Swiss-based Groove AG sells its organic Groove Bio Energy Drink in five European countries and is about to expand distribution to Australia, Canada and the United States. The company claims that its product contains caffeine extracted from coffee beans in their natural, unroasted state, which has a longer-lasting effect than the synthetic caffeine found in conventional energy drinks. Now that the concepts of “organic” and “functional” are no longer mutually exclusive in consumers’ minds, and with their growing expectations, the potential for innovation across all sectors is enormous.

Functional chocolate
As expected, fortified and functional confectionery is almost equally split between sugar confectionery and gum, with a major emphasis on soothing sore throats and whitening teeth. A small share is accounted for by functional chocolate confectionery, but it is well worth examining.

In Western markets, where chocolate confectionery has a long tradition as a pure indulgence product, offerings that are in any way seen as “adulterated” with ingredients that “should not be in there,” tend to be rejected by consumers. This does not stop even larger and experienced manufacturers from bravely bringing novelty ideas into the marketplace. In 2007, Swiss chocolate confectionery giant Barry Callebaut introduced its probiotic chocolate with a big fanfare. The company was keen to emphasize that chocolate is an excellent carrier for probiotic cultures, ensuring the delivery of up to four times as many live probiotic bacteria into the intestinal tract compared to those consumed with dairy products. It also pointed out that the addition of probiotics to chocolate did not affect the taste of the product.

All very promising, but what is the likelihood that consumers will accept probiotic bacteria in their chocolate?

The probiotic yogurt boom has undoubtedly revolutionized the dairy sector, but probiotic cultures are essential when fermenting milk. Without them, yogurt would simply not exist. Cocoa beans do undergo (bacterial) fermentation at an early stage in their processing, but live probiotic cultures, arguably, have no place in the finished product. U.S. consumers, who were initially reluctant to embrace the probiotic concept compared to those in Asia Pacific and Western Europe, might be unlikely to embrace such a product.

The best business opportunities for functional chocolate exist in markets where chocolate does not have a long history of consumption, and Japan is a good example of such a market. Half of the 2007 global value sales (around $250 million) of fortified and functional chocolate confectionery were generated in Japan.

Because chocolate is not a traditional food in the Asia-Pacific region, Japanese consumers are not in the least bit purist about putting different ingredients into their chocolate. Bourbon Corp’s Cacao Power brand includes a CoQ₁₀ variant, and the country’s most-popular functional chocolate is Mental Balance Chocolate GABA from Ezaki Glico Co. This product contains gamma-aminobutyric acid (GABA), which allegedly exerts a calming effect on the brain. It comes as chocolate pearls in a tub, perfectly designed for sitting on the desks of overworked individuals.

While this is by no means a comprehensive account of the many vibrant trends coursing through the global functional food and beverage market, it does draw attention to some interesting global developments, highlighting the importance of cultural perception on consumer acceptance of a product, as well as the key role played by effective targeting of specific population segments.

Simone Baroke, based in London, is a nutritionist by training. She has worked for Euromonitor International (euromonitor.com) for three years as a health and wellness analyst, and is also currently studying for her master’s degree in food policy.

Study links fruit drinks to sweet beverage diabetes risk

Sugar sweetened beverages like fruit-flavoured drinks may increase the likelihood of developing type 2 diabetes, according to a new US study.

The research, which appears in the journal Archives of Internal Medicine, suggests that African American women within the US, who consume at least two soft drinks a day, were 24 per cent more likely of developing the disease compared to those who drank one product a month.

The same daily consumption of fruit drinks led to a 33 per cent hike in incidence. However, juice products derived from oranges and grapefruit, as well as diet soft drinks, were not linked in the study to diabetes, said lead researcher Julie Palmer of Boston University. In a number of markets, consumer demand for health and wellness products has led manufacturers to develop a growing number of fruit drinks for their portfolios, due to their association with the health benefits of their flavours.

Fruit drink consumption
Despite the research's conclusion, the study pointed to some differences in the consumption patterns of regular sugar-sweetened soft drinks compared to sugar-sweetened fruit drinks. The researchers said that consumption patterns between the two beverage types were not linked to respondents Body Mass Index (BMI) or education background, but to some dietary and activity trends.

"[Fruit drinks] were positively correlated with physical activity, cereal fibre intake, and eating a low-glycemic index diet," the researchers stated. "To some extent, then, soft drink consumption was correlated with unhealthy behaviours and fruit drink consumption with healthy behaviours."

Sugar concerns
In identifying contributing factors for the study's findings, weight gain from beverage consumption was identified by the researchers as a key element in the onset of diabetes.

"A systematic review of the literature indicates a positive association between greater intakes of sugar sweetened beverages and weight gain and obesity in both children and adults," the researchers said. "These beverages are dense in calories and are typically consumed as an addition to usual food intake."

The researchers claimed that the use of sweeteners such as high-fructose corn syrup (HFCS) were likely to have a particularly strong impact on weight gain, due in part to the possible affects it has on insulin secretion and leptin release. By comparison, the naturally occurring sugars in orange and grapefruit juice, identified in the research as glucose and fructose, were linked to different metabolic effects than those associated with HFCS.

Methodology
The findings were derived from an ongoing health study of 59,000 African American women aged between 21 and 69 years of age across the US. The research began with a baseline survey back in 1995, which called for various medical and lifestyle information such as weight, height, reproductive history and everyday questions on diet, cigarettes and alcohol use, according to the study. Updates of these surveys were then issued every two years to respondents detailing current lifestyle practices, with an average return rate of 80 per cent, over the ten-year period that the beverage study was based on.

Researchers added that subjects that had reported already having diabetes, gestational diabetes, cancer, heart conditions like strokes or being pregnant at baseline were not included in the testing. A total of 43,960 respondents' information was used in the final study.

Other studies
The researchers said that the findings reflected similar follow on studies conducted on US nurses, which was a predominantly white respondent group by contrast.

"Positive associations, somewhat stronger than in the present study, were found for both soft drinks and fruit drinks," said the researchers. "The weaker associations observed in our study may be due to the higher baseline risk of diabetes experienced by African American women."

Source: Archives of Internal Medicine
Vol 168, Issue 14, July 2008
"Sugar-Sweetened Beverages and Incidence of Type 2
Diabetes Mellitus in African American Women"
Authors: Julie Palmer, Deborah Boggs, Supriya Krishnan, Frank B. Hu et al.

Health trend continues as obesity rates rise

The number of Americans who are obese has increased by nearly two percent in two years and people need to cut down on high calorie foods and sugary drinks, according to a new report.

More Americans are overweight as an estimated 25.6 percent of US adults reported being obese in 2007, compared to 23.9 percent in 2005 which is an increase of 1.7 percent, according to study in Morbidity and Mortality Weekly Report. Experts say that efforts need to be made to reduce these figure and this provides opportunities for food and beverage manufacturers to position consumer products that address the obesity phenomenon.

Jonathan Thomas, principal market analyst for Leatherhead Food International, told FoodNavigator-USA.com that food manufacturers are capitalizing on the continued growth in demand for healthier products. He said: "Many have launched product ranges specifically targeted at particular dietary concerns, such as Kraft's range of products influenced by the South Beach Diet.

"Others are reformulating their products to give them added health appeal - for example, trans fatty acids are increasingly being removed, whilst many savory snacks are now being baked or cooked in healthier oils". "Early indications suggest that many of these innovations are proving popular with consumers". "Products that are marketed as healthy or better-for-you are still growing quite strongly in places like the US and the UK".

"There is also more product development and product activity going on by extending the range of products with things like portion control, which is quite big in the US for instance." He added that even with products which are typically seen as less healthy, such as crisps, "manufacturers are still investing the time and the money to reduce the saturated fat content and make their products seem a bit healthier".

Leatherhead said that last year American consumers spent $125 on "low and light" foods per capita.

Obesity rate
The obesity data were derived from a survey by the Centers for Disease Control and Prevention (CDC) of more than 350,000 adults. BMI was calculated based on this self-reported information. The report found that none of the 50 states or the District of Columbia has achieved the Healthy People 2010 goal which was designed to reduce obesity prevalence to 15 percent or less.

The prevalence of obesity, ranged from 19.1 percent for men and women aged 19-29 years to 31.7 and 30.2 percent, respectively, for men and women aged 50-59 years. Obesity is a major risk factor for a number of chronic diseases such as type 2 diabetes, heart disease and stroke.

Dr William Dietz, director of CDC's division of nutrition, physical activity, and obesity, said: "The epidemic of adult obesity continues to rise in the United States indicating that we need to step up our efforts at the national, state and local levels." "We need to encourage people to eat more fruits and vegetables, engage in more physical activity and reduce the consumption of high calorie foods and sugar sweetened beverages in order to maintain a healthy weight."

Meeting health demands
A recent Credit Suisse report called "Obesity and Investment Implications" said that revenue related to obesity products in the consumer staples sector, which includes food and beverage companies, is set to reach $1.4 trillion globally in expected revenues by 2012, with average annual growth of 9.3 percent from 2008.

The report states: "In the packaged foods space, the drive against obesity is a further acceleration of already existing trends toward health and nutrition, convenience and trading up to more premium items."

According to Credit Suisse "portfolios have been reformulated, repackaged, and repositioned to provide healthier options, be it low fat, low sodium, low carb, trans fat free, sugar free, reduced calorie, portion control, or whole grains".

It describes these trends as part of a "natural evolution of the food industry to shifts in consumer demand or requirements." In rated how well companies are positioned to capitalise on health and wellness trends, Credit Suisse said that Danone, Kellogg, and Nestlé "have the best-positioned portfolios".

by Sarah Hills, 22 July 2008, FoodNavigator-usa.com

Coffee aroma may have stress-busting qualities

Just the smell of freshly brewed coffee can help relieve stress, say researchers who studied the effects of coffee aroma on sleep-deprived rats.

Roasted coffee bean aroma created higher activity in a number of genes in the rat brain, including some that produce proteins with antioxidant activities, according to the study carried out by researchers at Seoul National University in South Korea and published recently in the Journal of Agricultural and Food Chemistry. This provides "for the first time clues to the potential antioxidant or stress relaxation activities of the coffee bean aroma," wrote the scientists.

Antioxidants, such as vitamins A, C and E and carotenoids like beta-carotene, are believed to exert a protective effect on cells. They scavenge toxic molecules called free-radicals, which cause oxidative stress and can lead to DNA cell damage. Coffee is the most widely consumed beverage worldwide, with between 70 and 80 per cent of the human population drinking it, said the study.

As a result, the beverage has been widely studied. Health benefits identified by scientists include findings that drinking three or more cups of coffee per day may reduce the risk of ovarian cancer by over 20 per cent, and that unroasted green coffee bean extract taken as a drink or supplement can help people reduce weight.

The study
The aim of the study was to demonstrate influences of roasted coffee bean aroma on rat brain functions and to evaluate its impact on stress induced by sleep deprivation. Green coffee beans were used and their aroma exposed to rats that had been sleep deprived for 24 hours (stress with coffee group), as well as to rats that were not stressed (coffee group), and the results were compared to a control group and stressed rats that were not exposed to the aroma (stress group).

Analysis was carried out on some of the genes associated with aroma or stress. The researchers found that, compared to the control animals, the expressions of 17 selected genes were different in the coffee group. And 13 genes were different between the stress group and the stress with coffee group, with 11 being up-regulated and two being down-regulated.

The change in protein profiles was also analysed using two-dimensional gel electophoresis, and nine proteins were identified. The genes belonged to five functional categories: antioxidant; protein fate; cell rescue, defence, and virulence; cellular communication/signal transduction mechanism; and energy metabolism. The authors wrote: "The results of this study allowed us to improve our knowledge involved in relationships among coffee bean aroma, brain function, and stress via sleep deprivation."

They said that further studies using complementary techniques, such as DNA microarray for gene expression, are needed for increased understanding and verification of these results. Additionally, they said: "When we stay up all night, is it better for us to smell coffee bean aroma than to drink coffee, or would any other food-related odour produce similar effects? Further studies are needed for not only obtaining the correct answer for this question but also identifying the potential volatile compounds for this beneficial effect."

Source
Journal of Agricultural and Food Chemistry
Volume 56, pages 4665-4672, doi: 10.1021/jf8001137
"Effects of Coffee Bean Aroma on the Rat Brain Stressed by Sleep Deprivation: A Selected Transcript and 2D Gel-Based Proteome Analysis"
Authors: Han-Seok Seo, Misato Hirano, Junko Shibato, Randeep Rakwal, In Kyeong Hwang, and Yoshinori Masuo

Functional and organic foods drive $100bn health and wellness boom

The US health and wellness sector surged 15 percent in 2007 and broached the $100bn mark for the first time, according to the Natural Marketing Institute (NMI).

And double-digit growth will continue with projected sales of $170 billion by 2012. The Pennsylvania-based market analyst said its statistics related to health and wellness packaged good sales across both retail and direct-to-consumer channels and were part of its 2007 US survey conducted among more than 6000 households.

NMI noted functional and fortified foods and beverages made up the largest part of the sector with organic and natural personal care products registering the greatest growth at a robust 29 percent. There were 842 organic and natural personal care product launches in 2007. Organic and natural foods and beverages also demonstrated strong growth of 25 percent with 2107 product launches in 2007. But it is functional foods that dominate the health area in terms of sales volumes.

"Functional and fortified foods/beverage continue to comprise the largest segment within the health and wellness category," said NMI President Maryellen Molyneaux.

"It represents more than one-third of all industry sales - up 12 percent versus 2006. This category will continue to grow, driven by consumers' desire for increased management of their health and more health options, and the high number of new product introductions across food and beverages that answer those needs."

1. By sector, NMI put 2007 sales at:
   
2. Functional/Fortified Foods & Beverages : $38.6 (12 percent)
   
3. Vitamins, Minerals, Herbal & Dietary Supplements: $21.7 (7 percent)
   
4. Organic Foods/Beverages: $19.0 (25 percent)
   
5. Natural Foods/Beverages: $14.1 (4 percent)
   
6. Natural/Organic Personal Care: $7.8 (29 percent)
   
7. Natural/Organic General Merchandise: $1.5 (21 percent)

Amarjit Sahota, director of Organic Monitor, told FoodNavigator-USA.com recently that large multi-nationals were coming onboard in organics, with the main areas being fresh fruit, vegetables, meat and dairy, along with beverages such as tea coffee and juices and organic soy milk. The demand has created a shortage of organic ingredients and organic foods, despite healthy margins. The length of time it takes to convert to organic produce is thought to be one factor in supply being sluggish to meet demand.

Sahota said: "The biggest issue in the US is that production there is not keeping pace with demand. We are seeing more and more supply of organic foods and ingredients coming from Latin America and from other regions."

"Even though consumers would prefer to buy locally produced organic foods it is just not possible."

3 July 2008, Foodnavigator-usa.com

Snacks players must embrace health and wellness to beat obesity

Only a true health and wellness vision can enable global snack players to tap into the booming market for obesity solutions, claim experts.

A new report from Credit Suisse projects the market for obesity fighting consumer staples could hit a massive $1.4 trillion by 2012 as the world's population continues to gain weight. The World Health Organization (WHO) estimates that, in addition to the 400 million adults who are obese, more than 1.6 billion adults are now overweight, with the total cost associated with overweight and obese individuals in the United States alone hovering around $117 billion.

And inherently nutritious food companies stand to gain the most from this flourishing market by offering a healthier mix of options to better serve consumers. In a comprehensive report that investigates obesity and parallel investment implications, analysts hone in on opportunities for snack players, taking a closer look at US beverage and snack firm PepsiCo and its vision to create a healthier mix.

In the 1990s PepsiCo's portfolio was indulgent; but the report cites PepsiCo's chairman Indra Nooyi who, speaking recently at an industry event, "argued for how innovation and acquisitions have transformed the portfolio to nearly 45 per cent "Good for You" or "Better for You." According to the report, the PepsiCo chairman spoke of the need for the food and beverage industry to "deal more proactively with the fact that in some parts of the country, more than half of its consumers are overweight or obese."

In terms of the North American arm of PepsiCo's snack business, Frito Lay North America, the analysts suggest that its size and scale have given the firm "tremendous scale for R&D that no other snack company can match". The firm has further benefited from "a research staff whose objective is to continually pursue healthier profiles for its snacks." They claim that the firm has been the trailblazer for the industry as a whole, citing its moves to cut trans fats, its shift to healthier oils, and slicing the sugar and salt content from snack products.

"It has also used its great snack brand platforms for creating healthier baked versions of its snacks, such as Baked Lays. And its scale has permitted it to invest in cooking technologies for producing healthier snacks that smaller and underscaled competitors cannot match," they add.

The firm recently rolled-out to market a concept called "Smart Spot." According to the report, this designation is given to PepsiCo's food and beverage products "that meet a set nutrition criteria based on statements from the Food and Drug Administration and the National Academy of Sciences." Currently, approximately 45 per cent of all PepsiCo products meet these criteria, state the analysts. Further, they assert that PepsiCo management is funding an innovation pipeline that aims for more than 50 per cent of all new products to qualify for a 'smart spot'.

Specifically, the 'smart spot' is found on products that: contain at least 10 per cent of the daily value (DV) of a targeted nutrient (for example, protein, fibre, calcium, iron, vitamin A, vitamin C) and meet limits for fat, saturated fat, trans fat, cholesterol, sodium, and added sugar; or are formulated to have specific health or wellness benefits; or are reduced in calories or nutrients such as fat, saturated fat, sodium, or sugar. Highlighting a further facet of the PepsiCo vision to advance health and wellness issues, several years ago, writes Credit Suisse, Dr. Dean Ornish, head of the Preventive Medicine Research Institute, spoke to investors about a Blue Ribbon Advisory Panel of experts in the wellness field that he had helped establish for PepsiCo.

Tapped into regulatory and scientific issues, the panel had direct access to the then-chairman Steve Rainemund. Apparently, Ornish spoke of recommendations made by the panel to PepsiCo's chairman "that ranged from establishing targets for improving the health attributes of its products, increasing disclosure of nutritional information, and advancing education on exercise and nutrition for consumers." According to the report, it appears that "the panel remains active and influential."

By Lindsey Partos, 1 July 2008, Foodnavigator-usa.com

Obesity: opportunities for food players to hit $1.4 trillion in revenues by 2012

Opportunities for global food players will flourish for products squarely positioned to beat the obesity phenomenon with the consumer staples market set to reach $1.4 trillion in expected revenues by 2012.

"Although it is always possible that unforeseen regulation could add pressure to these companies to do more, over the next five years we see positive growth stemming from current investments and initiatives," say authors of the Credit Suisse report, 'Obesity and Investment implications'.

The World Health Organization (WHO) estimates that more than 1.6 billion adults are now overweight, in addition to the 400 million adults who are obese, with the total cost associated with overweight and obese individuals in the United States alone hovering around $117 billion.

The consequent drive to curtail these figures is not only driving government initiatives worldwide to arrest the 'epidemic' but in parallel, has opened up opportunities for food and beverage players to tackle the fight against obesity via carefully positioned consumer products, and on the back of the burgeoning health and wellness phenomenon.

"In the packaged foods space, the drive against obesity is a further acceleration of already existing trends toward health and nutrition, convenience and trading up to more premium items," states the report.

Obesity is a function, suggest Credit Suisse, of both volume intake (calories consumed) and diet balance. Citing data from ERS, the US government's research service, analysts at Credit Suisse suggest in the report that in parts of the developed world, particularly in the US, the average caloric intake has moved sharply upward over the last 30 years, having been largely unchanged over the previous seven decades.

This increase in calories consumed "has coincided with the increase in obesity, and we suggest it is the root cause of the problem."

They further suggest that organic growth in the US food industry is broadly one per cent per annum from population growth; 0.8 per cent per annum from extra volume and calories; and 1 to 3 per cent per annum from mix and price. The challenge for the food manufacturers, if there is to be a backlash, must be to replace the 0.8 percent growth they have been achieving from sheer volume increase (calories) with a better performance from "mix", states the report.

And with regards to obesity, they suggest "a better mix to mean a more healthy offering and range". Rating portfolios of food and beverage companies on how well positioned they are to capitalise on health and wellness trends, Credit Suisse "believe that Danone, Kellogg, and Nestlé have the best-positioned portfolios."

According to the report, Danone is, arguably, the "healthiest" company in their field of vision, with a portfolio broadly split as follows: 58 per cent yoghurt, in which the group is the global market leader, 19 per cent beverages, principally water, 17 per cent baby food, where the group is a top two player in Europe and Asia; and 6 per cent clinical nutrition.

"Yogurt is not only extremely versatile, it can boast an impressive array of functional health benefits; Danone has a number of blockbuster brands that target specific health issues such as Activia (digestion), Actimel (protection), or Vitalinea (weight management)," states the report.

With its leadership position in cereal, Kellogg is one of the best-positioned companies to capture the growing trend toward health and wellness, they continue.

"Kellogg has had a great deal of success with its Kashi brand, which has proved to be extendable beyond just cereal, into snacks. In its snack portfolio, Kellogg, like others, has rolled out organic whole grain items (even Pop-Tarts), 100-Calorie Packs, and low-fat and trans fat-free offerings."

With regards to Swiss giant Nestle, for some years now, the firm has been moving its business toward health, writes the report. Acquisitions have been centered on furthering its interests in nutrition, such as Novartis's medical nutrition business, Gerber, and Jenny Craig.

"There is some subjectivity about exactly how healthy one might define each of the businesses, but on our very broad-brush estimates, over 60 per cent of the portfolio might be described as either inherently healthy or better for you," reports Credit Suisse.

According to Credit Suisse, three overriding trends have characterised the food industry for many years: health and nutrition; convenience and on-the-go; and trading up. In addition, there has been growth at the superpremium, or indulgency, end of the industry, "but that this is simply a form of trading up", they say. For the report authors, the drive against obesity "quite simply translates into an acceleration of these three trends."

"Portfolios have been reformulated, repackaged, and repositioned to provide healthier options, be it low fat, low sodium, low carb, trans fat free, sugar free, reduced calorie, portion control, or whole grains," claims the report.

In addition, partnerships and marketing agreements with diet plans and exercise regimens abound. In short, manufacturers have given consumers more options to choose what is in (or out) of their foods and more ways to improve their eating habits.

"All these trends are part of a natural evolution of the food industry to shifts in consumer demand or requirements," states Credit Suisse.

Enquiring whether packaged foods companies are benefiting or suffering as a result of these changes, the authors suggest that "on the one hand, it can be argued that the formulation changes and marketing restrictions are increasing the cost of doing business. But on the other hand, the costs are rising all around. So no single company wins or loses."

They attest that the obesity concerns and the drive to increase awareness and to reverse the trend will "surely lead to a more health-conscious consumer. We have already seen a marked swing in consumption patterns of these foodstuffs, though defining exactly what is healthy and what is not, is always a debate". The trend received further affirmation recently with a study by AC Nielsen of "what's hot around the globe" that highlighted the growth rates globally by food category. According to Credit Suisse, the data covered 66 countries that collectively account for 75 per cent of the world's population and more than 90 per cent of its GDP. "

The global growth of food and beverage categories measured was 4 per cent.What is notable among the food and beverage categories with top sales growth is the number of healthy items that dominate the list: yogurt, dairy, fish, and salads. Six of these categories had global sales of over US$1 billion and grew in double digits," states AC Nielsen.

By Lindsey Partos, 1 July 2008, Foodnavigator-usa.com

Fiber Goes with the Functional Beverage Flow

Feeling thirsty? In need of quick hydration? Think you could use a long, cool swig from a tall bottle of something refreshing? Then how about a frosty glass of ... fiber?

“When you historically thought of fiber in beverages,” said Scott Turowski, technical sales, Sensus America, “you thought of something that you’d have to drink when you were old.” But that’s beginning to change. “As the population is aging,” he said, “even younger people are starting to recognize fiber’s benefits, and we’re starting to see it more.”

That rising profile has put pressure on the industry to crank out more palatably potable means of fiber delivery, and thanks to their efforts, it’s safe to say that the days of gulping down thick, gritty solutions are gone. Today’s fiber-fortified beverages are better fit to sip with a straw than slurp from a spoon. “Just think of fiber-fortified orange juice,” Turowski said. Tropicana’s Pure Premium Essentials packs 3 grams of soluble fiber per 8-oz. serving— about as much as in an actual orange. “We now have options to fortify these products with fiber,” he noted, “and not affect quality or make a horrible-tasting product.”

As L. Steven Young, principal, Steven Young Worldwide, Houston, and North American technical advisor, Matsutani America, stated, “By developing processes and analytical techniques that inherently yield fibers with high solubility and no coarseness, graininess or grit; that are low in viscosity, and color- and flavor-free; and that have high thermal and acid stability, we not only can introduce fiber to all types of beverages, but in some cases even make those beverages better.”

To understand how much fiber fortification has improved, it helps to understand what made it so challenging in the first place. “The biggest obstacle to the use of fiber in beverages has traditionally been the high viscosity associated with soluble fibers, and the unwanted turbidity in clear beverages,” said Lorraine Niba, business development manager, National Starch Food Innovation. Because they’re so hygroscopic, soluble fibers are notorious for sucking up water to a beverage’s textural and visual detriment. Plus, traditional isolation and separation techniques unleash fiber impurities that mar the beverage flavor.

That’s just the rap sheet for soluble fiber. As for insoluble, some industry experts flat-out declare them impractical in beverages. “Because they’re insoluble, they don’t dissolve in solution, and tend to precipitate of out the beverage,” Niba said. Because they, too, are quite hygroscopic, a little can bulk up a drink a few centipoises shy of sludge in no time.

However, there is great opportunity to add fiber into easier delivery systems for consumers. Michelle Schwenk, food scientist, Tate & Lyle Americas, noted, “Americans are way under-fibered.” The daily value (DV) for dietary fiber is 25 grams per 2,000 calories. Meanwhile, USDA’s 2005 update of the Dietary Guidelines for Americans raises those stakes even higher, recommending 14 grams per 1,000 calories consumed —or about 28 grams per day. The Chicago-based National Fiber Council (NFC) goes higher still, advocating an ambitious 32-gram daily intake.

Yet, according to the Columbia University Institute of Human Nutrition, New York, the average American doesn’t get even half that much, topping out at between 10 and 15 grams per day.

When fortifying beverages with fiber, it’s important to take the product’s pH into consideration. Modified, stabilized fibers, such as some dextrins and fructo-oligosaccharides, are not as prone to hydrolysis in low-pH beverage systems as many other ingredients.

By loading fiber into the beverage products that consumers grab anyway, manufacturers bring more fiber fortification to the nation. “The beverage industry is very interested in learning how to add fiber as a strategy for making label claims,” said Niba, adding the challenge is to build a level of fiber into their products that allows them to make a strong label claim, and at the same time maintain a product that is acceptable to their core consumers in areas such as taste, texture and sensory quality.

Ironically, if it weren’t for the technical challenges, there might not be a more amenable medium for fiber fortification than beverages. The Code of Federal Regulations (CFR, Title 21, Part 101.54) allows a product to make a “good source” of fiber claim if it’s low in fat and provides at least 10 percent, or 2.5 g, of the daily value (DV) for fiber. To make an “excellent source,” “high in” or “rich in” claim, the same product must meet at least 20 percent or 5 g of the DV. Because “serving sizes for beverages are typically large compared to other foods,” Young noted, “this allows any given dietary-fiber ingredient to be added at a relatively low percentage use rate and still have less of an impact on sensory attributes.”

Additionally, FDA rules allow for a prebiotic claim for dextrin-based fiber: “If a product contains one quarter of the effective dose of the fiber per serving,” Niba explained.

Most beverage designers zero in on these levels because they get the job done nutritionally while not generating excessive costs or sensory drawbacks. “Many of our customers, especially in the area of dairy beverages, are looking to add fiber to their products,” said Jenny Diehl, food scientist, TIC Gums, “and most of these customers are asking for a level of 2 to 4 grams of soluble fiber per serving.” Because the ingredients she steers them to, including gum arabic and inulin, also “have very low viscosities, you can use them at a high loading level without seeing a difference from a sensory perspective.”

Indeed, if properly selected and applied, according to Young, a fiber ingredient can let you “formulate up to 100 percent of the daily value of dietary fiber—25 g per 8-oz. serving—and practically not even know it’s there.”

Perhaps the first issue to tackle should be a fiber’s acid stability. “Juices and most shelf-stable beverages have very low pHs,” Niba said. “Fibers, which are made up of complex carbohydrate molecules, are sometimes susceptible to hydrolysis in high-acid, low-pH systems.” The products of that hydrolysis—simple sugars—aren’t particularly perilous, but why fortify with fiber, and say so on your label, only to watch your beverage’s key functional feature decompose after a few weeks on the shelf? Young cautioned: “This can put any beverage at regulatory risk.”

Not all fibers show the same pH sensitivity. Inulin, with its mixed linear beta-2, 1-linked fructan polymers and oligomers, is among the more vulnerable. “Inulin does have limitations when it comes to beverage formulation,” Turowski said. “It’s a bit prohibitive in the sense that low-pH, shelf-stable products can be an issue.” However, once pH reaches 4.0 to 4.2 and above, “inulin can be stable in these products at room temperature for a year of shelf life,” he said. Furthermore, pH is a threat “only at ambient temperature. So if you’re talking about refrigerated products, that’s not an issue, and we can start fortifying things, like orange juice, that are at a low pH.”

Niba noted modified, stabilized fibers such as some dextrins and even shorter-chain species of inulin known as fructo-oligosaccharides, are not as susceptible to low pH. For example, the controlled acid, heat and enzymatic hydrolysis used to derive digestion resistant maltodextrin (DRM) from corn starch effectively “immunizes” it against acidic beverage conditions, as well as against the heat of retort, hot-fill or aseptic processing.

Those processing rigors are the second concern to address, as “some fibers are not stable to high heat,” Niba said. “Post-process shelf stability is another concern, as some fibers will slowly degrade over time in a beverage system.”

Many fiber ingredients are surprisingly robust in the face of these conditions. DRM dextrin-based soluble fiber and soluble corn fiber ingredients can withstand standard beverage processing and storage challenges.

Soluble corn fiber, manufactured using the same method that gives us corn syrup, is an example of just how much the world of fiber ingredients has widened. “It behaves a lot like corn syrup,” Schwenk noted. “We’ve always been aware of this small fraction of corn syrup that’s not digestible, and in most corn syrups, manufacturers try to minimize that fraction. But what we’ve done is change the reaction kinetics to maximize it so that now we have a high level of these nondigestible alpha-1,2 and alpha-1,3 bonds in the molecule.” Displaying corn syrup’s viscosity, but nearly none of its sweetness, adds not only fiber but bulk to beverages, making it a great companion to high-intensity sweeteners in formulations.

Even better, Schwenk said, “It dissolves just like sugar. It’s soluble at up to 80 percent, so there are no issues with functionality at a high level.” In fact, she continues, because it’s available as a pump-able liquid, it’s useful for beverage manufacturers already working with liquid high fructose corn syrup (HFCS). “You don’t even have to dissolve it because it is already dissolved so it hides even in applications as naked as bottled water. You can’t taste it and you can’t see it and you can’t detect it when you drink it,” she said.

Kimberly J. Decker, 18 June 2008

Kimberly J. Decker, a California-based technical writer, has a B.S. in Consumer Food Science with a minor in English from the University of California, Davis. She lives in the San Francisco Bay area, where she enjoys eating and writing about food. You can reach her at kim@decker.net.

Fiber for Health, Product Formulation (Functional Fiber)

As the functional food and beverage markets continue to grow, more formulators are looking to increase consumers’ fiber intake, owing in part to USDA’s encouraging Americans to consume at least three or more 1-oz. equivalents of whole grains per day, which can reduce the risk of several chronic diseases and may help with weight maintenance. “Given that there is a significant fiber gap among consumers of all ages, the fortification of soluble and insoluble fibers is likely to steadily increase,” said Coni Francis, Ph.D., R.D., senior manager of science, technical and marketing service, GTC Nutrition.

There are many natural sources of fiber, including fruits and vegetables, such as apples, oranges and beans; and grains, including rice and oat bran. Unfortunately, with today’s busy lifestyle and the convenience of fast food, the average person often does not meet the daily recommended intake. This is driving product developers to explore new methods to add extra fiber to processed products. “Fiber is very versatile in the benefits it can bring to the food system,” said Jim Miller, director of product management for food ingredients Americas, Tate & Lyle. “Oftentimes, people think of fiber as just adding fiber, but it also lower calories, it plays a role in satiety, it’s appropriate for low-glycemic foods and can also improve digestive health.”

Kristina Williams, vice president of marketing and sales, Natraceutical Canada Inc., echoed Miller’s statements: “Viscous soluble fiber, such as Viscofiber®, improves glycemic response, improves cholesterol levels and increases satiety for weight loss.”

Dietary fibers are the indigestible portion of plant foods that move food through the digestive system, absorbing water and easing defecation. Dietary fiber consists of non-starch polysaccharides such as cellulose and many other plant components, including dextrins, inulin, lignin, waxes, chitins, pectins, beta-glucans and oligosaccharides. Sources of dietary fiber are usually divided according to water solubility. Both types of fiber are present in all plant foods, with varying degrees of each according to a plant’s characteristics. Insoluble fiber attracts water, which helps to increase bulk, soften stool and shorten transit time through the intestinal tract. Soluble fiber undergoes metabolic processing via fermentation, yielding end-products with significant health effects, including promoting the growth of probiotic bacteria; enhancing mineral absorption; supporting the immune system; aiding in production of short-chain fatty acids (SCFA) for gut health; normalizing glucose and blood lipid concentrations; and reducing nitrogen load on the kidneys.

Starches, which act as powerful thickeners in food products and improve food texture and structure, are also a valuable source of fiber. “Starches have been used in the food industry for more than 50 years,” said Rhonda Witwer, senior business development manager, nutrition, National Starch Food Innovations. “Resistant starch was introduced into foods as a natural fiber source in the U.S. market in 1994. Since then, when it was used as an ‘invisible fiber,’ our understanding of the health benefits of natural resistant starch has greatly expanded beyond its functionality and dietary fiber content.” Witwer added resistant starch helps control weight, regulate blood sugar, enhance energy and support the intestinal system.

Benefits of Fiber
Obviously, fibers and starches deliver a bevy of health benefits. “Hi-maize (corn-based) resistant starch helps maintain healthy blood sugar levels in three ways,” Witwer said. “It reduces the glycemic and insulin response of foods when it replaces high-glycemic carbohydrates, such as flour; it reduces the glycemic response of the subsequent meal; and it increases insulin sensitivity in healthy people, as well as in individuals with diabetes.”

A recent study from Lund University, Sweden, affirmed Witwer’s statements, and found that including indigestible carbohydrates in the evening meal of healthy subjects improved glucose tolerance, lowered inflammatory markers and increased satiety after a subsequent standardized breakfast.(1) Scientists studied the effect of cereal-based bread evening meals (50 g available starch), varying in glycemic index (GI) and content of indigestible carbohydrates, on glucose tolerance and related variables after a subsequent standardized breakfast in 15 healthy subjects. Evening meals with barley kernel-based bread or an evening meal with white-wheat flour bread (WWB), enriched with a mixture of barley fiber and resistant starch, improved glucose tolerance at the subsequent breakfast compared with unsupplemented WWB.

In a similar study from the same group of researchers, it was discovered that glucose tolerance at subsequent meals can be notably improved during the course of a whole day or overnight by choosing specific, low-GI, whole-grain cereal products.(2) Twelve healthy subjects consumed test meals in a random order. In series one, the test meals were consumed at breakfast, and postprandial blood glucose incremental areas under the curve (IAUCs) were calculated after the test breakfast, standardized lunch and standardized dinner. In series two, the subjects consumed test evening meals and IAUCs were calculated after a subsequent standardized breakfast. It was concluded that a low GI may be sufficient to achieve a second-meal effect from breakfast to lunch. Researchers added that a specific indigestible carbohydrate mixture appeared to be required to show benefits on glucose tolerance in a longer time frame, most likely mediated through colonic fermentation.

Not only is fiber effective in keeping glucose levels low, it can promote satiety and weight loss as well. “Numerous studies have shown resistant starch significantly reduces body fat in animals,” Witwer added. She explained fiber helps to lower calorie density in foods when replacing flour, increases satiety in humans, switches the body to burning fat for energy instead of carbohydrates, and prevents weight re-gain “almost as much as exercise.” A 2008 study from University of Lund found subjects had higher satiety after consuming whole-kernel wheat bread.(3) Equicarbohydrate amounts of the following wheat-based meals were studied: white-wheat bread, whole-kernel wheat bread or wholemeal wheat bread served with white wine vinegar. The results were compared with a reference meal consisting of white-wheat bread without vinegar. The whole-kernel wheat bread with vinegar resulted in significantly higher satiety than the wholemeal wheat bread and white-wheat bread with vinegar and the reference bread.

A study from General Mills Inc. found women consuming at least one serving of whole grain had a significantly lower mean body mass index (BMI) and waist circumference than women with no whole grain consumption.(4) Fiber is also known to help enhance nutrient absorption. “Oliggo-Fiber™ inulin, known as the ‘invisible fiber’, may enhance dietary calcium absorption, particularly among preteens and postmenopausal women,” explained Pam Stauffer, global marketing program and communications manager, health and nutrition, Cargill. “Inulin is also recognized as a prebiotic ingredient that supports the natural, healthful bacteria in the lower gastrointestinal tract.”

Francis confirmed Stauffer’s claims, adding, “More consumers are making the connection between health and diet, and with added fiber, such as NutraFlora® scFOS®, many health benefits can be realized, including increased calcium absorption.” A recent French study found inulin-type fructans can modulate calcium absorption because they are resistant to hydrolysis by mammalian enzymes, and are fermented in the large intestine to produce SCFA.(5) In turn, they reduce luminal pH and modify calcium speciation and hence solubility, or exert a direct effect on the mucosal transport pathway. The study showed an improvement of calcium absorption in adolescents or young adults by inulin-type fructans, as well as in older women.

A similar study from Baylor College of Medicine, Houston, found calcium absorption and whole-body bone mineral content were greater in young adolescents who received 8 g/d of a mixture of inulin-type fructans (ITF), compared with those who received a maltodextrin control.(6)

A healthy gut is another benefit from consuming fiber. “[GTC Nutrition’s] NutraFlora Plus Hi-maize prebiotic fiber blend, which is resistant to digestion in the upper gastrointestinal tract, is fermented by beneficial bacteria into SCFA. The production of SCFA is associated with improved digestive and immune health,” explained Francis.

A study from Harvard University, Boston, found soluble fibers are more effective than insoluble fibers in alleviating global symptoms and relieving constipation, although fiber in general has marginal benefits in treatment of overall irritable bowel syndrome.(7) A study from Duke University, Durham, N.C., suggested daily intake of a high-fiber diet may prevent stress- and corticotropin releasing factor (CRF)-induced acceleration of colonic transit and diarrhea.(8) Researchers studied whether dietary fiber intake affects colonic transit and motility stimulated by restraint stress and central CRF in rats. Four weeks after a corn starch, potato starch or usual diet (rat chow), colonic transit and motility stimulated by restraint stress and intracisternal (ic) injection of CRF were studied. A four-week treatment with potato starch diet significantly increased cecal concentrations of SCFAs, compared to treatment with corn starch diet. Accelerated colonic transit induced by stress and ic injection of CRF were significantly attenuated in rats receiving potato starch diet compared to rats receiving corn starch diet. The incidence of unformed stool (diarrhea) induced by stress and CRF was also reduced in rats receiving potato starch diet compared to rats receiving corn starch diet and usual diet.

When deciding which type of fiber to use in a formulation, product developers should be aware of the differences between soluble and insoluble fibers and the effect they have in formulas. “The one distinction between [soluble and insoluble fibers] is that typically, soluble fibers are suitable for use in a wide variety of food and beverage systems, such as yogurt, ready-to-eat pudding and baked goods, whereas insoluble fibers, you are limited to either grain- or cereal-based food, such as bakery snacks or ready-to-eat cereals,” Miller said. “Soluble fibers have a very addressable market in terms of their use, and insoluble, in the simplest terms, is really used in just a narrow field of baked goods.” Miller added there have been many advances in the world of fiber: “Going back, five, ten years ago, you didn’t have as many tools to formulate with, or many new products.”

Water, for example, is something that previously couldn’t have been enhanced with fiber, as it would have made the beverage thick and syrupy. Now, however, with advances in soluble fiber, it can be added to water with virtually no effect on texture or mouth feel. Stauffer noted several new offerings have enhanced ease of use in food and beverage applications. “They can be incorporated into a wide variety of foods and beverages, even clear beverages,” she said.

Miller noted: “You can put a soluble fiber in a water and the product is literally invisible from an appearance standpoint, and texture and drinking quality standpoint.”

Williams further explained soluble fiber is excellent for use in a variety of liquid applications, including soups, yogurt, smoothies and milk beverages, as well as pasta, muffins and other baked goods. And Francis said fibers are also being used to enhance sports products, functional waters, nutrition bars and weight loss products, as well as supplements and green foods.

Across the board, adding fiber without affecting the product’s taste, look or texture is one the main concerns for formulators. “In the past, viscosity has provided a challenge for some formulators,” Williams said. However, she noted, newer formulations of ingredients like Viscofiber have optimal viscosity and can deliver high concentrations of fiber without negative impacts on the final product. As an additional benefit, Francis noted fiber can help to enhance flavors, improve stability and texture, and mask off-flavors, such as metallic aftertastes.

Formulators and product developers are also looking at new delivery systems. “When you look at soluble fibers, the biggest challenges are being stable, low-pH systems, so if you want to use a soluble fiber in a juice product, challenges include keeping it at a low pH, keeping it stable, keeping it soluble and avoiding off-flavors and keeping it off-color,” Miller said. She added Tate & Lyle has worked to develop a fiber that would remain stable through the product lifecycle, regardless of pH, and through typical processing methods and storage.

Adding fiber is an excellent way to boost a product’s nutritional profile and deliver an array of health benefits to consumers without affecting the quality or the taste. As the fiber-enhanced product market continues to grow, so do the advances in fiber formulation.

1. Nilsson AC, et al. "Including indigestible carbohydrates in the evening meal of healthy subjects improves glucose tolerance, lowers inflammatory markers, and increases satiety after a subsequent standardized breakfast." J Nutr. 2008 Apr;138(4):732-9.
2. Nilsson AC, et al. "Effect of cereal test breakfasts differing in glycemic index and content of indigestible carbohydrates on daylong glucose tolerance in healthy subjects." Am J Clin Nutr. 2008 Mar;87(3):645-54.
3. Hlebowicz J, et al. "The botanical integrity of wheat products influences the gastric distention and satiety in healthy subjects." Nutr J. 2008 Apr 27;7:12.
4. Good CK, et al. "Whole grain consumption and body mass index in adult women: an analysis of NHANES 1999-2000 and the USDA pyramid servings database." . J Am Coll Nutr. 2008 Feb;27(1):80-7.
5. Coxam V. "Current data with inulin-type fructans and calcium, targeting bone health in adults." J Nutr. 2007 Nov;137(11 Suppl):2527S-2533S.
6. Abrams SA, et al. "Young adolescents who respond to an inulin-type fructan substantially increase total absorbed calcium and daily calcium accretion to the skeleton." J Nutr. 2007 Nov;137(11 Suppl):2524S-2526S. 7. Chang HY, et al. "Current gut-directed therapies for irritable bowel syndrome." Curr Treat Options Gastroenterol. 2006 Jul;9(4):314-23.
8. Takahashi T, et al. "Daily intake of high dietary fiber slows accelerated colonic transit induced by restrain stress in rats." Dig Dis Sci. 2008 May;53(5):1271-7. Epub 2008 Mar 12.