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Articles from 2022 In November


How classic West African fare became a CPG sensation

Article-How classic West African fare became a CPG sensation

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Sourcing authentic ingredients while balancing sustainability and market challenges were among the many hurdles Perteet Spencer faced when creating AYO Foods.

Spencer and her husband, Fred, founded the company in July 2020 because they often couldn’t find her family’s beloved West African ingredients in the local supermarket aisles. Now, AYO foods products are available in 5,200 stores nationwide, including Whole Foods, Target and Kroger.

She and Audarshia Townsend, content director, Food & Beverage Insider, discussed the obstacles Spencer faced and shared entrepreneurial advice at the SupplySide West stage. Here's where you may watch the video from their discussion

West African flavors  

AYO Foods is the first national brand to celebrate the unique ingredients and flavors of the 17 countries of West Africa across the store. Spencer, a first-generation Liberian American, grew up in Minnesota, eating a hybrid of foods and flavors.

“After being in the food industry for many, many years, I saw a massive gap in the flavors I grew up eating at home and saw a big opportunity to bring those flavors to the market,” Spencer said. “With some prodding from my husband who’s also my co-founder, we took the leap. It’s been such a source of pride for us.”

Sourcing challenges of red palm oil

AYO Foods’ primary challenge was introducing new products to new spaces while staying true to their cultural heritage. For example, improperly harvested red palm oil is controversial due to claims by environmental groups of deforestation and alleged human rights violations of its workers.

If harvested correctly, Spencer said, palm oil is rich in beta-carotene and has a unique, rich flavor. AYO Foods uses red palm oil in many of its products, including two of its first three offerings.

“I love the innovation that’s happening in the plant-based space, in terms of plant-based technology,” Spencer said. “But I think we have to balance that with next-generation agriculture. That’s what we’re trying to do with AYO—surface some of these ingredients that have been overlooked for so long.”

AYO didn’t have as many supply chain issues as other companies during the pandemic making red palm oil. Its plentifulness during scarcity allowed the company to leverage its position with retailers.

One item, many uses

The egusi seed is one of the primary ingredients AYO uses. It is a versatile, protein-rich seed containing healthy fats. Egusi looks like a watermelon, but its flesh is bitter. The seeds are dried, ground, and used in foods from countries like Nigeria, Togo and Ghana.

“It’s one of the more differentiated items of our lines as you look at adoption and how it’s served,” Spencer said.

AYO’s Egusi Seed Soup recipe uses fresh ground seeds, hormone-free chicken and collard greens. Its spices are slowly simmered with organic red palm oil.

If crushed egusi seeds are not the hero of the dish, AYO uses it as an alternative to corn starch, without the gluten but with protein benefits.

“Our hope was that in celebrating these ingredients, these flavors,” Spencer said, “we would inspire people to think about these ingredients differently.”

Winner of the New York Times Award for Outstanding Journalism, Kerra Bolton is a versatile storyteller across digital and traditional platforms and film. Kerra's work has been featured on CNN, Ebony, The Times of Israel, New Worlder Magazine, Eat Your World Blog and Now Magazine in Toronto. Her first job was in the world-renowned photography department in National Geographic magazine.

Navigating challenges in the complex oils supply chain – infographic

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Business Bites: Bee-free honey, foodservice industry woes, Gen Z grocery shopping habits

Article-Business Bites: Bee-free honey, foodservice industry woes, Gen Z grocery shopping habits

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The world’s first bee-free honey 

Honey without bees? Fooditive is showing the industry how it’s done. The Dutch plant-based ingredients pioneer will begin large-scale production trials of the world’s first 100% bee-free honey some time in 2023. The bio-identical honey eliminates the need to farm honeybees, aiding in the world’s efforts to fight their extinction. The patented biotech process, “genetic sequence modification,” which is similar to genome editing, replicates the metabolic processes that occur naturally in honeybee stomachs using honey DNA and a proprietary strain of yeast. In addition to offering all health benefits of natural honey, this sustainable product is created without harming honeybees or the planet. 

Foodservice industry has highest quitting rate in the U.S. 

It doesn’t come as much of a surprise that foodservice workers are abandoning the industry, and in mass numbers at that. According to new research, the accommodation and foodservice industry has the highest quitting rate in the United States. The document management tool SmallPDF analyzed data from the Bureau of Labor Statistics, which unveiled how many employees quit in each industry from April to August 2022. The foodservice industry—including fast-food workers, waiters and chefs—lost an average of 5.8% of its workforce during that period, or more than 773,600 employees every month. As if that’s not enough, the study noted how more than 128,000 workers left in August compared to August last year, signaling uncertain times to come. 

TikTok is the new cookbook for Gen Z 

Contrary to popular belief, younger consumers love to go food shopping, particularly the older individuals in Gen Z. You heard it right, this contingency actually prefers going to brick-and-mortar stores for the “personalized experience,” opposed to having food delivered via Grubhub, Uber Eats or DoorDash. According to college students from Western Michigan University’s food marketing program, they crave the “personalized experience,” despite the convenient delivery and pick-up options available nationwide that are often coupled with high delivery fees, an inconvenience for college students on a tight budget. The panel of students, who discussed the future of food retail during Progressive Grocer’s Grocery Industry Week 2022, added how social media is affecting their grocery choices, from TikTok-inspired meals that “transform the shopping experience.” 

Liquid Death: Innovation and sustainability in a tallboy 

Eco-friendly water, seen in cans or boxes, has been a rising trend over the last decade. More brands are crawling out of the woodwork, including Liquid Death, which has become a social media sensation since its founding in 2019. It is the most followed beverage brand on TikTok at 2.9 million followers, with an Instagram following of 1.3 million. Liquid Death is currently valued at $700 million, outperforming top-rated competitors like La Croix and Spindrift, and the third-best selling carbonated water brand on Amazon. The company captures the attention of the younger generations—one-quarter of its consumers are between 18 and 25 years old—with limited edition artwork and catchy flavor names, coupled with innovative marketing that highlights its sustainable packaging and tallboy can. 

GoodSAM snacks available nationwide at Sprouts Farmers Market 

Healthy snack food brand GoodSAM Foods, boasting a commitment to sustainability and regenerative agriculture, is now available in more than 400 Sprouts stores nationwide. Four different varieties of its fan-favorite chocolate bars will be available: caramel salt, sea salt, mint and its original flavor. All GoodSAM bars are made with Direct Trade, regeneratively farmed ingredients that are non-GMO, vegan, gluten free, keto friendly, sugar free, and made without fillers or chemical-laden sweeteners.

Heather Carter is the associate editor of Food & Beverage Insider at Informa Markets. She has worked in trade publishing for nearly a decade, covering a variety of topics, from tile to bedding. Reach her at [email protected].

Put a co-packer on your priority list

Article-Put a co-packer on your priority list

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When Karen Akouri worked full time as a CPA several years ago, she started whipping up her own salad dressing and marinade concoctions. The idea came to mind once she started reading food labels and winced at the amount of chemicals in them, such as titanium dioxide. 

“I googled and found out that it was a whitening agent for industrial paint,” Akouri recalled during a recent conversation at the annual Private Label Manufacturers Association (PLMA) show in Rosemont, Illinois. “That’s when I was like, ‘I cannot believe I’ve been feeding my family this,’ so I started making my own dressings.” 

Her aim was to create clean label products made with familiar ingredients that were also her favorite flavor profiles. She tinkered around until she came up with the likes of honey citrus vinaigrette, vegan Caesar, balsamic fig, Mediterranean lemon and others. Each boasted low to no sugar; no artificial emulsifiers, preservatives or dairy; and appealed to her family and friends. The products were so popular, in fact, that she decided to officially launch Drench to sell her signature dressings and marinades on the retail and private-label markets in Michigan. What would set them apart from other dressings, Akouri believed, was that she’d put the ingredient label on the front of the packaging. 

Like most aspiring CPG founders, however, Akouri discovered that coming up with a unique concept was much easier than its logistics. Her solid business background helped her with the business plan; however, the biggest challenge was finding a co-packer, or contract packer, who would work with her.  

Who needs a co-packer? 

For those looking to scale their food businesses, these co-packers, or co-manufacturers, are an essential tool. In most cases, they’re a full-service operation responsible for blending the food and/or beverage products, as well as processing, labeling, warehousing, distributing and packaging them.  

Newcomers find it especially challenging to lock in a co-packer for their businesses. For one, Akouri said, many simply don’t want—or need—to take a chance on start-up companies. Also, she continued, all the companies she first approached wanted large minimum orders for production, which left her frustrated. 

What saved her from ditching Drench was an introduction to the Women’s Business Enterprise National Council (WBENC), which connected her to a start-up co-packing company. “It was a perfect fit,” she said. 

Akouri highly recommended newcomers linking up with organizations like WBENC, as well as PLMA and the Specialty Food Association (SFA) for valuable tips and resources. 

“I’ve been learning as I go,” continued Akouri, who launched Drench in 2019. “Business has been amazing. The word is getting out.” Her products are in more than 226 Meijer stores, plus Whole Foods, Hive and Fresh Thyme, all in Michigan. 

Connecting with a compatible co-packer

Locking in a co-packer for a CPG newcomer is stressful enough. Add to that, certain dietary requirements. For Howard Allen, making jerk chicken-flavored sausages was all fun and games—until he decided to scale up to make a profit. That’s when it was time to find a co-packer. The biggest issue was that he didn’t have a formula for his Halal-certified products, so he was literally starting from scratch. 

“Making 10 pounds of sausage in the house and then making 100 pounds [for retail] were two different things,” said Allen, who founded the Brooklyn-based Maroon Sausage Co. in 2013. Specializing in unconventional Caribbean and West African flavors in a sausage format, his company is a unique find in the marketplace. Allen carefully sought out a local co-packer who would patiently help him realize his vision.  

One of the benefits of working with this particular co-packer, Allen explained, was that the company helped him weigh the pros and cons of producing fresh sausages vs. smoked sausages. He went with fresh sausages in the beginning, eventually transitioning to smoked sausages for a more shelf-stable product. 

Since then, Allen has gone through several co-packers for his business, even pausing for a bit so that he could connect with one that would be a perfect fit as the company expanded. He had scoured the internet and was even willing to work with businesses based in Atlanta, Connecticut and Chicago, but in the end, it was best for him to stick with a New York operation. More specifically, the company is based in Brooklyn, which is more economical for him.  

“The shipping involved with dealing with perishables made the price go right back up, so it made sense to stay in New York,” Allen said. 

While Allen found his co-packers through diligent online research, he recommended that newcomers join a social networking group for start-up CPG companies. 

He added: “Recognize when you first start that you’re doing a minimal order. Once you start with a co-packer, those numbers are not going to be the same. Hopefully your volume grows, and you can take advantage of that volume.  

“In the beginning, you just need someone who is going to listen to you, be communicative with you, and share any sort of insights into the game that they can. It’s not going to be very cost effective, but it will be educational.”  

In 2023, Maroon Sausage Co. plans to delve into more African flavors beyond the West African region. That’s why Allen is working to establish a wider distribution plan. 

“We started off as a very hyper-local brand, and we’re now trying to grow beyond New York City,” Allen explained. “People are hungry for it [as demonstrated by the response we received at Natural Products Expo East]. People want the product, so we’re putting together a distribution process that will still allow it to get there and still be in good condition, at a great price.” 

More valuable tips to finding the ideal co-packer 

Akouri and Allen connected successfully with their respective co-packers because they exhibited patience during their search. That’s an important trait to have, yet newcomers must bring much more to the table if they want contracts with more established businesses, said Anthony Escobar, director of sales and marketing, Super Store Industries. 

“It’s hard for start-up brands,” said Escobar, who’s worked at the dairy-focused co-packer and private-label retail giant for more than 22 years. “It’s very, very hard because the challenge is that they have this amazing idea and then they have this creative sense they want to be different; they want to have a difference in their shelf presence. They want to have a difference in their formulation. All that creativity is initially so hard to manufacture, but that’s the brilliance of the idea.” 

The veteran F&B insider is keen on industry trends; still, he proceeds with caution when dealing with new businesses without proven track records. Escobar, in fact, offered three pieces of valuable advice for new companies in search of co-packers. 

  • Make sure you have funding for your business. “I’ve lost money on startups,” Escobar said. “All those major co-packers—we’re going to vet you. We need to know that you have money. We need to know that you’re going to commit to an annual buy-in, which is really hard. It’s going to be expensive for you. If I say to you, ’Hey, I’m going to give you 150,000 cases of your 7-ounce smoothies,’ you’re going to have to buy that. … If you don’t, then I just charge you my manufacturing fee at the end of the year [which will be super expensive].” 
  • Keep packaging as simple as possible. “The other pitfall that I see is related specifically to packaging,” Escobar continued. “Sometimes you just have to start with what the manufacturer has. What I mean by that, is if I have a round ice cream (container) and you come to me with glass and a screw top, I cannot do that for you. You can do that, but it will cost you so much money. It’s better as a start-up to settle on packaging. Don’t settle on your ingredients. Don’t settle on your formula because that’s really what you’re selling. Don’t settle on your certification, whether you want organic or GMO, kosher or halal. Don’t settle on that, but settle on the packaging. Then when you become a zillionaire, you get whatever packaging you want.”  
  • Find someone who believes in your brand. “You have to find the right co-packer that’s going to believe in you and your product,” Escobar advised. “If you sign that contract, know that’s a commitment from you to them. If you go crazy, with molds, packaging, etc., all those things can sink your business. A lot of the things not considered are, ‘I’ve made my product, now how do I get it to the store? Where am I going to store it? Who’s going to ship it for me?’ He continued, “I’ve worked with some really cool start-up companies, and I’ve seen three out of five I’ve worked with no longer in business. And they spent millions of dollars. They were pretty savvy, but their products just didn’t take off. Newcomers would need a business plan on how they’re going to market and how they’re going to make sales. I know when someone doesn’t know what they’re doing.” 

Finally, Escobar likes startups that start small, such as regionally, instead of casting a wide net across the country. 

“I will have more faith in a company that’s tested its local market,” he said. 

 

Innovative beverage formulation: Complications and considerations

Article-Innovative beverage formulation: Complications and considerations

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Beverage formulation that wins consumer loyalty takes a magical mix of art and science.

Andy Dratt, chief commercial officer at Imbibe, explained the challenges and solutions brands are facing, innovation opportunities in trending categories, and how to make the most impact in the marketplace at the SupplySide West 2022 Stage.

Four dominant consumer trends

Functional introduction, sugar reduction, plant-based “seduction" and sustainable production are four pillars that will continue to influence new product development for the next decade, Dratt said.

Consumers want more functionality in their food and beverage purchases, including vitamins and nutrients. Industry researchers found that 60% of consumers surveyed actively seek added functionality from food and beverage products.

Sugar reduction is a major goal of both consumers and companies—as 72% of consumers evaluated said they try to limit or avoid sugar entirely. In addition, major companies have pledged to reduce sugar in response to consumer demands and FDA limits.

“Plant-based seduction,” as Dratt called the trend, is reflected in the 40% of consumers who bought plant-based protein or dairy alternatives in the last six months. United States retail sales of plant-based food grew by 6.2% last year.

Sustainability claims are also gaining traction with consumers, Dratt said. Industry researchers found that 55% of consumers are more likely to buy packaged food with a sustainability claim, and 42% said they would share with brands the added costs associated with sustainable production.

“We’re going to see the death of plastics and single-use plastics,” he said.

Ingredients that add value to consumers

In formulating functional food and beverages, Imbibe examined a variety of functional ingredients found across eight need-states that were easy for consumers to understand that added value and differentiation.

Those broad need states included energy, weight loss, sleep/relaxation, preventative health/immunity, cognitive function, gut health, beauty and sports performance/hydration.

“With consumer behavior, the more there has to be a tradeoff between taste and flavor, the harder it is to get good taste, the harder it is to get repeats,” Dratt said.

Taste, however, remains a significant issue in food and beverage formulation, Dratt said. For example, high-performance athletes like ultra-marathoners are more willing than general consumers to consume ketone-based drinks and sacrifice taste to get sustained energy without the roller coaster ride of traditional energy drinks.

Product development and formulation

“Our job used to be making nothing taste like something,” Dratt said. “More and more, our job is making something taste like nothing so we can make it taste like something else.”

Overcoming taste impact, balancing taste versus function; the standard ingredient identity; meeting claim validation compliance; and accounting for degradation from heat present unique challenges.

“We or any other partner you that would work with to develop a product really needs to have a holistic understanding of—not just what you’re trying to do,” Dratt said. “But the bottle itself, the market it’s going into, the desires of your marketing team and geography.”

Dratt continued, “We believe very strongly believe that flavor modulation is a combination of science and art.”

Winner of the New York Times Award for Outstanding Journalism, Kerra Bolton is a versatile storyteller across digital and traditional platforms and film. Kerra's work has been featured on CNN, Ebony, The Times of Israel, New Worlder Magazine, Eat Your World Blog and Now Magazine in Toronto. Her first job was in the world-renowned photography department in National Geographic magazine.

‘Redefining value’ leads Innova's 2023 F&B trends

Article-‘Redefining value’ leads Innova's 2023 F&B trends

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After two very difficult years, it’s safe to say most consumers have now shifted their focus to the global cost-of-living crisis, while also juggling careers and families.

With budgets stretched thin and supplies continuously under strain, F&B brands need to understand where consumers draw the line on compromise, and, in turn, create products that meet their demands, experts at Innova Market Insights say. The market research firm drew from its proprietary global consumer surveys to forecast the top 10 F&B industry trends for 2023, unveiled during a recent webinar.

According to the company, the cost and value of food choices have increased in importance to more than half of F&B consumers worldwide over the last year.

Fresh produce is the No. 1 item global consumers are willing to pay more for, followed by locally produced products and functional ingredients that boost health. The company’s top trend for 2023, “redefining value,” focuses on how F&B brands can achieve success through actions that combine economic benefits with clear health and sustainability goals.

Lu Ann Williams, Innova’s global insights director, elaborated, “Redefining value throughout the food and beverage industry will lead in 2023, as consumers seek brands that listen, understand and respond to their core values. They want brands that provide quality, trust and confidence via their product formulations, communications and wider sustainability actions.”

The following trends, shaped by Innova’s survey data, will also help drive innovation in the upcoming year.

2. Affordable nutrition

To meet consumer demand for high nutritional value at the right price, innovation is needed to maximize efficiency and yields. Over the last year, 62% of consumers have reported rises in food and beverage products, and are turning to simple, nutritious foods as a result. Innova also found that 41% of consumers believe F&B product development should be driven by health, trailed by affordability (30%) and naturalness (28%).

3. Generational push

Younger generations who grew up in a digital world are creating and driving current F&B trends, and product developers should pay attention. Flavor is more important than affordability for Gen Z; affordability is more important than flavor for Millennials; naturalness is more important than flavor for Gen X and Baby Boomers and creating transparent products that meet the demands of each demographic is essential for any brand.

4. Plant-based: Unlocking a new narrative

The rise of plant-based products has slowed quite a bit, with a forecasted growth of 7% for 2023 compared to 14% in 2018. The “game changers” for the upcoming year include improved flavor (No. 1), improved texture, stand-alone products that don’t mimic meat/dairy, and more regional specialties. Two-thirds of respondents to Innova’s global survey expressed a desire to try plant-based versions of traditional, local cuisines, and the industry is responding with a noticeable increase in ready-made meal offerings and inventive-recipe meal kits.

5. Farming the future

The focus on farming and sustainability is unprecedented, especially because of the potential effects farming can have on the environment. Conscientious farming systems and technologies are taking the industry by storm—including regenerative agriculture, vertical farming and plant breeding—which are improving quality and sustainability, leading to renewed consumer interest in food sources. Consumers want to know where their food is coming from, with 69% globally preferring products that mention the benefits of their sourcing/farming method on the package. The welfare of agricultural workers is equally important, with 65% of respondents agreeing they would rather buy fruit and vegetables from farmers markets than large stores.

6. Quick quality

Culinary creativity blossomed during the pandemic and now needs to come with added convenience to meet busier routines. Two-thirds of consumers globally are looking for “simple and convenient ways” to ensure they receive their daily nutrient intake. Though convenience (easy to prepare/saves time) is less important to consumers, the survey revealed the No. 1 driver behind purchasing meal kits is cost (value for money), with freshness and health aspects trailing not far behind.

7. Devouring digital

Brands are starting to embrace the full potential of consumer connections by enhancing real life with digital experiences. Interacting with consumers on a more personal level is key to ensuring engagement, especially with younger consumers. For example, there’s Gatorade, which uses smart bottles to track eating habits and send them to individuals’ smartphones; as well as Coca-Cola, which creates exciting flavors for soft drinks based on trends.

8. Revenge spending

Small pleasures have a heightened effect as luxury spending comes under pressure, creating opportunities to enhance brand perfection. “Food can be a luxury,” Williams noted, with consumers spending more money on food post-lockdown while looking for ways to save money. Almost two-thirds (60%) of consumers are more likely to make a one-time impulse purchase when the food or beverage product is innovative in flavors/tastes.

9. Unpuzzle health

On-pack messaging is a go-to source for consumers who are interested in the health and nutritional value of a product. Most global consumers are turning to the ingredient list to determine how healthy a product is, followed by the nutrition label, individual research and on-pack claims.

10. Positively imperfect

Rounding out the list of the top 10 trends is “positively imperfect,” or an openness about the complexities of sustainability, which is overly appreciated by consumers who don’t expect brands to be perfect. More than 60% of consumers globally said their “trust in the brand” increases when a brand communicates the challenges it is facing, and that they are looking to “feel more involved in a brand’s journey to achieve sustainability.”

Heather Carter is the associate editor of Food & Beverage Insider at Informa Markets. She has worked in trade publishing for nearly a decade, covering a variety of topics, from tile to bedding. Reach her at [email protected].

National Restaurant Association’s top 10 culinary trends in 2023

Article-National Restaurant Association’s top 10 culinary trends in 2023

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In post-pandemic 2023, consumers will be craving in-person experiences that allow them to socialize, celebrate and take part in new experiences, according to the 2023 What’s Hot Culinary Forecast by the National Restaurant Association (NRA) and in partnership with the American Culinary Federation (ACF) and Technomic.

That’s good news for restaurants, which were hit hard by lockdowns and calls to limit in-person interactions brought on by the Covid-19 pandemic. In fact, nearly one-third (29%) of restaurant operators said they don’t expect business conditions will ever return to normal following the pandemic.

The trends forecast, which surveyed more than 500 professional chefs from the ACF and NRA members with chef titles, gives restaurants reason to hope, however. The survey found 70% of respondents said diners are ready to gather on-premises.

That desire to commune with others over a meal is reflected in the top 10 trends identified by NRA’s forecast. In fact, the No. 1 trend, per the report, is “experiences/local culture and community.” The No. 3 trend, “charcuterie boards,” too, highlights an emphasis on shared dining experiences reported by survey respondents.

Despite reawakened interest in dining experiences, rising costs of food and overall inflationary pressure will continue to squeeze potential diners’ budgets in 2023, which means restaurants can expect to see greater emphasis on price by patrons. NRA’s report predicted consumers will be most influenced by price at breakfast, where “value meals” was identified as the top trend affecting the mealtime, and dinner, where less-expensive meat cuts such as chicken thighs, beef chuck and pork shoulder will be trending.

Another trend identified by NRA’s forecast and expected to help restaurants combat the rising costs of food is menu streamlining, which took the spot as the No. 6 top trend. This is an approach the majority of restaurants have tried; 65% of restaurants said they’ve changed menu items as a strategy to mitigate rising costs.

When it comes to flavor, globally inspired flavors will continue to capture the interest of restaurant patrons in 2023. Making the list of top 10 trends is “sriracha variations,” “globally inspired salads” and “Southeast Asian” flavors.

The complete list of top 10 trends identified by NRA:

  1. Experiences/local culture and community
  2. Fried chicken sandwiches and chicken sandwiches 3.0 (i.e., spicy and sweet-heat fusion flavors on chicken, etc.)
  3. Charcuterie boards
  4. Comfort fare
  5. Flatbread sandwiches/healthier wraps
  6. Menu streamlining
  7. Sriracha variations
  8. Globally inspired salads
  9. Zero waste/sustainability/upcycled foods
  10. Southeast Asian cuisines (Vietnamese, Singaporean, Philippine, etc.)

Rachel Adams joined Informa’s Health & Nutrition Network in 2013. Her career in the natural products industry started with a food and beverage focus before transitioning into her role as managing editor of Natural Products INSIDER, where she covered the dietary supplement industry. Adams left Informa Markets in 2019.

Upcycled ingredients for a circular food economy

Article-Upcycled ingredients for a circular food economy

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Reducing food waste, increasing product sustainability and finding new life for previously discarded ingredients are helping to drive consumer demand and market opportunities for upcycled products in the health and nutrition market.

Angie Crone, Interim CEO, Upcycled Food Association (UFA), led an illuminating conversation at SupplySide West 2022 with two of the organization’s members—Eric Adams, founder and CEO, Dog & Whistle; and Paul Evers, CEO and co-founder, Riff.

The cost of food waste

Upcycled foods “use ingredients that otherwise would not have gone to human consumption, are procured and produced using verifiable food chains, and have a positive impact on the environment,” according to the UFA.

“The nutrients within [upcycled] food never reaches one of the 34 million people, including nine million people in this country, who go to bed hungry every night,” Crone said. “Every year, we waste about $408 billion dollars’ worth of economic opportunity by wasting food.”

“Upcycling can divert about 3.3 million tons of waste, creating $4.8 billion dollars in financial benefit annually,” Crone added. “Additionally, we would be saving 869 billion gallons of water and 9.8 billion tons of carbon.”

Sourcing and collaboration challenges

Riff created energy drinks using the cascara coffee bean, packed with natural caffeine, nutrients and antioxidants. However, Evers said, few large multinational companies were willing to translate cascara’s nutritional value. As a result, about 70 billion pounds of the fruity pulp goes to waste each year.

Dog & Whistle is a Las Vegas-based pet food company that directly rescues food from distributors and restaurant partners in the city and converts it into a sustainable byproduct for dogs. The company also created Le Pup Café, where humans can have freshly made meals for their dogs. However, certain restaurants and distributors don’t want to provide the food at a certain cost or for free. Nevertheless, Adams said, he experienced a 60% success rate with a large distributor in Las Vegas.

Educating industries and consumers

Seventy percent of consumers said they intend to purchase upcycled products once they understand them. Crone said that sales of upcycled products ballooned by 1,000% quarter over quarter, and online searches have increased by 128% since 2021.

It’s also essential to Riff’s brand. Having UFA’s certification displayed on their energy drinks positions the company in the highly competitive energy beverage market. Riff also tells their upcycling story on its website, as a guest on podcasts, in press releases and with investors.

“The sense of purpose and mission is the differentiator,” Evers said. “If we were just another energy drink, we would not be as successful as we have [been] in fundraising in the rate that we have.”

Adams said that transparency is critical to Dog & Whistle’s success because consumers can visit Le Pup Café and understand the process and ingredients.

“Educating our guests about where we’re rescuing these foods from and highlighting the restaurants we’re working with…it’s a full circle,” he said. “Now the consumer will go to the restaurants that are helping us out. We’re helping each other out in the downtown community.”

Winner of the New York Times Award for Outstanding Journalism, Kerra Bolton is a versatile storyteller across digital and traditional platforms and film. Kerra's work has been featured on CNN, Ebony, The Times of Israel, New Worlder Magazine, Eat Your World Blog and Now Magazine in Toronto. Her first job was in the world-renowned photography department in National Geographic magazine.

Inside Organic

Inside Organic: Organic ingredients and messaging to today’s consumer – webinar

White-paper-Inside Organic: Organic ingredients and messaging to today’s consumer – webinar

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At this Inside Organic SupplySide West session, NielsenIQ shares where organic fits in today’s market trends and key areas of growth. Inside Organic unveils its custom research on the organic messages resonating with today’s organic consumer. And, industry experts discuss where organic fits in the sustainability and climate change conversation and the role ingredient companies can play in helping brands and retailers communicate their climate impact and commitments across the supply chain.

 

How almonds are breaking ground in the gut health market

Article-How almonds are breaking ground in the gut health market

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Per a new study published in the American Journal of Clinical Nutrition and funded by the Almond Board of California, almond consumption significantly increased butyrate, a type of beneficial short-chain fatty acid (SCFA), in the colon (Am J Clin Nutr. 2022;nqac265).

“Butyrate is important to gut health as it acts as the primary source of fuel for the cells of the colon, allowing them to function correctly and optimally,” Kevin Whelan, Ph.D., R.D., professor of dietetics, King's College London, and lead researcher of the study, explained. Butyrate, he added, is also involved in signaling to the gut to initiate the process of nutrient absorption.

The study is the first designed specifically to test how almonds impact the gut microbiota, and the first to report an effect on butyrate, Whelan said.

For the study, 87 participants consumed either 56 grams per day (about 2 ounces) of whole almonds, 56 grams per day of ground almonds (almond flour) or control (two snack muffins per day) in place of two of their regular daily snacks over a four-week period. Participants identified themselves as regular snackers who enjoy at least two snacks every day, and reported they were consuming a typical diet that was lower in fiber than recommended.

Findings showed butyrate was significantly higher among almond consumers compared to those who ate the snack muffin. Almond consumption also increased stool output; whole-almond consumers experienced a noticeable difference in stool frequency with an additional 1.5 bowel movements per week, results showed.

“Butyrate is produced by certain bacteria in the gut when they ferment the fiber that we eat in our diet,” Whelan said. “Almonds are rich in fiber, so it is likely that the additional fiber from consuming almonds lead to increased butyrate levels in the individuals in this group.”

Almonds provide 12.5 grams of fiber per 100-gram serving, as well as 15 essential nutrients, including magnesium, potassium and vitamin E—supporting the nut’s wide-reaching popularity in the market. Almonds have taken the top spot among nuts in global new product development since 2006, according to the 2021 Innova Global New Product Introductions report. The top categories for new product introductions include confectionery, bakery, snacks, bars, cereals and dairy.

The potential digestive health benefits add appeal for both consumers and product developers who are looking to capture growing interest in gut-healthy products.

“As consumer awareness of digestive health grows, innovative new products made with almonds are being positioned to enhance gut health,” Charice Grace, manager of trade marketing and stewardship at Almond Board of California, said. She cited such examples as Mmmly’s Sweet Almond Soft Cookies with prebiotic fiber; dalci’s gut health brownies and blondies with naturally occurring digestive enzymes, prebiotics and probiotics; and BelliWelli’s bars positioned as a probiotic snack for consumers with IBS.

Importantly, the study revealed the gut-boosting benefits of almonds were seen among whole-almond and almond flour consumers.

Rachel Adams joined Informa’s Health & Nutrition Network in 2013. Her career in the natural products industry started with a food and beverage focus before transitioning into her role as managing editor of Natural Products INSIDER, where she covered the dietary supplement industry. Adams left Informa Markets in 2019.