Tuesday, January 31, 2017

5@5: GNC won't advertise during Super Bowl after all | Take a peek at Whole Foods' new Bryant Park store

Super Bowl ad rejected by NFL amid questions

It looks like GNC's 30-second spot set to air during the first quarter of Sunday's game won't run after all. It turns out GNC is on a list of companies that the NFL and the players union urge players not to endorse because they are “associated with the production, manufacture or distribution of NFL banned substances.” (In this case, the substances in question are DHEA and the stimulant synephrine.) GNC says it was blindsided by the rejection Monday after various rounds of feedback on the ad from Fox, which is airing the Super Bowl. Read more at USA Today...

 

Photos: Whole Foods' new Bryant Park location is open, with a 'produce butcher'

The new 43,000 square foot location across from Bryant Park features tons of natural light and many prepared food offerings, including a raw bar and a place that serves artisanal avocado toast, as well as a "produce butcher" who will custom cut produce for customers (for a charge, of course). Read more at The Gothamist...

 

The opportunities and challenges of insect farming for feed

The feed industry is ripe for disruption, and companies like Mad Agriculture, GoTerra and more are turning toward insects as a sustainable source of protein. There are many promising things about using insects as a source for feed, but also many challenges, including lack of regulatory frameworks and achieving scale. Read more at AgFunderNews...

 

The miraculous story behind Columbia-based Two Brothers Jerky

Seven years ago, Eddie Wales and Paul Brock didn't know that the other existed. They're brothers but were both adopted by different couples at an early age. When they found each other, in their 40s, they realized they had a lot in common, including a love of food. Now they're running a jerky business in North Carolina that uses grass-fed beef and is hoping to expand into South Carolina. Read more at The State...

 

For retail, the next big shakeup is organizational

Many things are changing for the retail industry right now, including organizational structure. For many retailers, the role of the CIO is expanding, and traditional matrix structures aren't necessarily supporting the collaboration needed in retail operations today. Read more at emarketer... 

3 tips on forging authentic connections at Expo West


Sue Heilbronner, founder and CEO of MergeLane and regular speaker on conscious leadership, recently spoke at a Naturally Boulder event on strategies for making authentic connections while at an event such as Natural Products Expo West. The following are three takeaways from Heilbronner’s talk. 

1. Practice conscious leadership

Conscious leadership starts with you, then your product, then your booth and then your company. When you choose to behave authentically, you drive long-term longevity for your product. An example Heilbronner gave to demonstrate this is the Southwest Airlines flight that held a number of demonstrators on their way to Washington D.C. for the recent Women’s March. The flight crew acted in an authentic way when they chose to turn on pink lights in the cabin in support of its passengers. That wasn’t a pre-planned marketing ploy—it was creating a connection with those passengers.

2. Be open

Part of conscious leadership is authentic communication. When communicating, we have two options: We can choose to reveal something about ourselves, which increases our availability to connect with the other person or we can choose to conceal ourselves. When we conceal ourselves from the other person, we withhold, then withdraw and then can even begin to resent them. By doing so, we deny ourselves the opportunity to engage with them fully.

3. Check your assumptions at the door

You may think you know who’s important to talk to at the show. But if you’re looking over the shoulder of the person you’re talking to at someone else you think is more important, you’re failing to connect with a potential partner. Direct all your attention to the person you’re having a conversation with—that person just might be of service to you. Avoid making judgements based on the name badge (and look at the person’s face before their badge!) or you’ll miss things that are important.

When attending an event like Expo West, it’s critical that you take the extra five seconds to make connections. After all, things you’d never expect can come from them.


Register or upgrade your badge today to sit in on Heilbronner's session on Following Your Heart in the Real World

Join the conversation in our Natural Entrepreneur Today newsletter and add Business School to your Expo West badge for an intimate workshop with Heilbronner!

See our full conference schedule for Expo West.

Designer fibers will expand the market to new categories


It used to be that fiber equaled whole grains for consumers and that was that. But with rapidly evolving changes to the category that are keeping formulators on their toes, it’s a wonder that consumers don’t just throw up their hands in frustration.

There is a significant learning curve for consumers, admitted Debbra DeMarco, president of Top Health. “Now fiber doesn’t necessarily just equal whole grains, and there are all these other options, so it’s always difficult to educate consumers about these changes. But for the most part, I wouldn’t call this a challenge, I would say it is more of an opportunity now.”

But there are a few hurdles to jump. Consumer research from Health Focus International commissioned by fiber supplier BENEO in 2013 suggests that one of every four consumers in the U.S. is struggling to find the right foods that add fiber to their diets. The same research shows that one in 10 consumers still believe that fiber-enriched food does not taste good. “These figures show that, though a small number, some consumers still have a wrong image of fiber-enriched nutrition,” explained Jon Peters, president of BENEO. But, he added, the right choice of fiber can literally enrich any product including baked goods, dairy, cereals, confections and beverages, while maintaining taste and texture.

Fibers have traditionally been most used in food applications, but Kantha Shelke, food science consultant at Corvus Blue, believes they have potential that is much broader in the future. “Beverages, bakery and confectionary categories are set to overtake [foods] in the coming years with advances in the production of novel and soluble dietary fibers,” she said. “Resistant glucan (RG) and hydrogenated resistant glucan (HRG) are newly developed non-digestible dietary fibers that are gaining popularity because they can help decrease lifestyle-related diseases. RG and HRG consist largely of glucose polymers which are not hydrolyzed by alpha-amylase and small intestinal enzymes.”

Designer dietary fibers, such as the combination of seaweed and starch, are also entering the marketplace as solutions for digestive issues, she continued. These are natural starches that take advantage of fermentation and help with the modulation of the gut-brain axis. “These will not appear on the FDA labels for a long time,” she pointed out, “but educated consumers and growing consumer demand (because there has been no viable solution from pharma) will advance this category rapidly.”

While dietary fibers are almost universally derived from plants, chitosan, a linear fiber-like polysaccharide derived from the chitin shells of shrimp and other crustaceans, is also gaining ground in fiber-related applications.

“Chitosan is a soluble dietary fiber that increases viscosity and by delaying the emptying of the stomach creates a sense of satiety,” Shelke explained. “Chitosan also alters bile acid composition, increases the excretion of sterols and binds fats and thereby, digestibility of fats. This functionality is further heightened by coating konjac glucomannan—a polysachharide naturally occurring in yam—with chitosan. Chitosan-coated konjac glucomannan (KGM) powders are used to enhance viscosity and satiety of fluid foods such as ice creams and soups in the weight management sector.”

For a much greater deep dive into the state of fiber in 2017, from regulatory issues to fiber and the microbiome, and key fiber suppliers, download the free report, Engredea Deep Dive: The Renaissance of Fiber 2017.

Raisin Rack receives Pinnacle Award from Ohio Grocers Association

Raisin Rack Natural Food Market received the highly coveted Pinnacle Award presented by the Ohio Grocers Association on Jan. 18. The Pinnacle Award, based on operational excellence and significant contribution to Ohio’s food industry, is given annually to both a small operator and a large operator, according to a press release.

Raisin Rack was founded in 1978 in Canton, Ohio, in the living room of owners Don and Paulette Caster, and now has two locations—one in Canton and one in Westerville, Ohio. The owners pride themselves on providing natural products and healthy food options to consumers, as well as educational events. Both Raisin Rack locations offer organic juice and smoothie bars, as well as organic salad bars that consist of a variety of superfoods and other healthy options.

“The Caster family and their loyal employees have a long record of serving the communities of Westerville and Canton are most deserving of the Ohio Grocers Associations highest honor,” OGA President and CEO Kristin Mullins stated in the press release.

Congratulations to the Raisin Rack Natural Food Market! Pictured is Don Caster receiving the award from Mullins.

Dr. Michael Murray joins Enzymedica


Enzymedica Inc. is excited to announce that Dr. Michael Murray, author of more than 30 books, including The Encyclopedia of Natural Medicine, and an individual who has been recently named "The Voice of Natural Medicine" by Nutrition Business Journal, has joined the company as chief science officer.

According to Scott Sensenbrenner, CEO, "Dr. Murray is a true icon in the natural health movement and brings tremendous credibility, experience and passion to our company."

Dr. Murray will be critical to driving new innovations in product development for Enzymedica, as well as leading research efforts to create next-generation formulas that will be groundbreaking for the industry.  

In addition to his role with Enzymedica, Dr. Murray will be working closely with the Roskamp Institute in Sarasota, Florida. This nonprofit organization is performing cutting-edge research for organizations like the National Institutes of Health, Department of Defense and the European Union. Roskamp is renowned for its team's research on Alzheimer's disease, Gulf War Illness and other complex diseases. Dr. Murray and the institute will be developing better answers for improving brain health, the human microbiome and digestion.

Enzymedica's strategic relationship with the Roskamp Institute gives it the resources and expertise critical for providing innovative, science-based natural products, furthering its contribution to digestive health. This close partnership is further demonstrated by Sensenbrenner, who serves on the board of directors of the Roskamp Institute.

Dr. Murray says, "I am thrilled to be part of the team at both Enzymedica and the Rosskamp Institute. It is a dream come true."

Sensenbrenner and Dr. Murray previously worked together in the 1990s at Enzymatic Therapy, which was later acquired by the German company Dr. Wilmarr Schwabe Pharmaceuticals.

Source: Enzymedica press release

 

Natural products people in the news: CRN promotes 3 | Lotus Foods cofounder receives Leadership Award for Citizenship

Salt of the Earth Ltd. has appointed David Hart as business unit director. He will report to the CEO and be responsible for global business of Mediterranean Umami, an all-natural sodium reduction solution. Hart has more than 12 years of international experience in food, functional food and health ingredients markets. He has held commercial positions in the industry since 2004, including at multinationals LycoRed and Frutarom. In his most recent position, he served as vice president of marketing at Qualitas Health, responsible for the creation of global sales and marketing infrastructure for Almega PL, an award-winning, plant-based omega-3 ingredient.

Ronald Pillsbury has joined UAS Labs, a leading manufacturer of probiotic supplements for the global market, as chief operating officer. His most recent endeavors have been specifically within the supplement industry, including the VP of operations for Pharmavite and most recently as the COO of NOW Foods. 

Earth Mama welcomes Guinevere C. Lynn as the vice president of sales. With over 20 years of sales experience and leadership, she brings a strategic approach along with a range of management talents applied to customer service, sales operations, strategic planning and innovative programs designed to serve the customer, the retailer and the distributor all at once. Previous to joining Earth Mama, Guinevere applied her talents at some of the best companies in our industry, Gaia Herbs, Vega and for 15 years Sun Chlorella.

Ken Lee, cofounder and co-CEO of rice company Lotus Foods, received the Specialty Foods Association Leadership Award for Citizenship at a ceremony during the Winter Fancy Food Show. Under Ken's leadership, Lotus Foods has established supply chains in four countries, with some of the most marginalized but innovative rice farmers practicing climate-smart growing techniques, while preserving the rich heritage of rice biodiversity. 

The Council for Responsible Nutrition has promoted three executives, effective immediately: Mike Greene has been promoted to senior vice president, government relations, from vice president; Nancy Weindruch to vice president, communications, from senior director, and Ingrid Lebert to senior director, government relations, from director.  

The sales team for Vital Essentials raw pet food company is expanding with the addition of Joey Weichmann as southwest regional manager. Prior to joining Vital Essentials, he led sales efforts for a regional firm based in Wisconsin. He also has experience in retail management with national department and grocery stores.

Natural Habitats USA Inc., a leading organic palm oil company, has relocated its headquarters to Boulder, Colorado, and announced three new additions to its growing team: Andy Thornton was appointed as COO of the Organic Animal Nutrition division of Natural Habitats USA; Adriane Pilcher was named as marketing director, Natural Habitats Group; and Nancy Schoemann is now logistics and administrative manager, Natural Habitats USA, Inc.

 

Monday, January 30, 2017

A checkup on large food brands’ clean label commitments


Nearly half of U.S. consumers look at the ingredient lists on foods before they purchase them—and many look for what’s not in the product as much as what is in it, according to a 2016 survey by the American Food Information Council Foundation.

And as consumers demand more healthful products with shorter, more familiar ingredient lists, large food companies, retailers and restaurants have introduced "clean label" policies that prohibit certain ingredients from their products.

Lisa Lefferts and her colleagues at the nonprofit Center for Science in the Public Interest evaluated such programs at 13 companies—four major chain restaurants and nine major supermarkets—to see how they’re doing. In a new report, the organization, which conducts research and advocacy programs in health and nutrition, concluded that clean label programs are a “net plus for consumers” but have plenty of room to improve.

The good news

Not allowing certain ingredients in products has led companies to be more transparent about what is in their products. For example, Chipotle, Noodles & Company, Panera Bread and Papa John’s disclose complete ingredient and nutrition information on their websites. Some supermarket private label programs, including Ahold Delhaize’s Nature’s Promise, H-E-B’s Select Ingredients, Meijer Naturals and Target Simply Balanced, also provide ingredient and nutrition information online.

Some clean label programs also address production issues. Kroger’s Simple Truth brand, for example, has some organic products, and Supervalu Wild Harvest has a “free from” line as well as many organic items.

The not-so-good news

Many of these banned ingredient lists are extensive—Noodles & Company’s contains 74 items, for example, and Kroger’s Simple Truth advertises “free from 101”—but they all fall short in limiting amounts of sodium or added sugars allowed in products, CSPI says.

CSPI also notes that many of the lists are inflated because they include multiple names for the same chemical, or list ingredients that aren’t even approved by the government, like the artificial sweetener cyclamate. Others, like Safeway’s Open Nature line of products, are much more vague, listing terms like “no artificial flavors, colors or preservatives” that aren’t necessarily defined or meaningful.

All of the 13 lists evaluated by CSPI also included some ingredients that the organization rates as safe, such as modified food starch.

One big pitfall of restaurants’ clean label programs is that all four of the ones examined—Chipotle, Noodles & Company, Papa John’s and Panera—do not apply their programs to beverages, which are a leading source of synthetic dyes, brominated vegetable oil and artificial sweeteners. On the same note, every grocer included except for Whole Foods Market applies its clean label list only to one or a few of their private label brands.

To improve these programs, CSPI recommends that companies add limits to sodium and added sugars; ban additives that are unsafe, poorly tested or substitute for nutritious ingredients; and apply their banned ingredient lists to all products, including beverages.

“We applaud the companies with transparent clean label policies that eliminate worrisome ingredients, and call on companies that haven’t formulated their own policies to do so,” said Lefferts.  “Our hope is that this report provides all companies with some useful guidelines to ensure clean labels better serve public health, not public relations.”

See the full report here.

Saturday, January 28, 2017

5 food and beverage trends spotted at the Winter Fancy Food Show 2017


It was pouring in San Francisco this past weekend, but inside the Moscone Center thousands were dry, happy and psyched to taste the newest gourmet products launching at the Winter Fancy Food Show. Hosted by the Specialty Food Association, this event was purportedly the largest in its 42-year history. From cheese and meat to beverages and grocery, New Hope Network put boots to ground on the show floor to spot several trends that stood out—and may have traction in the natural foods industry.

Here, find the top food and beverage trends we identified at the show.

Maple flavors

Robust, sweet and especially craveable during the colder months, maple made an appearance in myriad forms, from the pure tree sap in the form of maple water to floral-infused maple syrup and maple sugar.

Sap On Tap Maple Water with Yerba Mate
Go ahead, have a little caffeine with your slightly sweet maple water (the sap that flows directly out of the tree). Just maple water, yerba mate and yerba mate extract are in this USDA Organic bottle of goodness.

Runamok Maple Hibiscus Flower Infuse
Hailing from Vermont forests certified by Audubon Vermont as Bird-Friendly, this beautifully packaged bottle contains top-notch maple syrup infused with organic hibiscus flowers. In a word, it’s outstanding.

Raaka Maple & Nibs
Single-origin, organic cacao and organic maple sugar are a match made in heaven in this cool chocolate bar. Toasted cacao nibs deliver added crunch and nutty flavor.

Superfruit boosters


Tropical fruits are packed with antioxidants and fiber—but they’re not necessarily practical to eat fresh. (When was the last time your produce section carried fresh baobab or acerola berries?) Several neat brands utilized fruit powders to boost nutrition, flavor and texture of packaged goods. 

R.e.d.d. Mint Chocolate Superfood Energy Bar
It’s hard to believe that a nutrition bar tasting like the minty Girl Scout cookie staple contains a whopping 11 fruit powders, including acai berry, amla, goji berry, maqui, mangosteen and more. But it does!

Blue Planet Chocolate Baobab Superfruit Bites Baobab Peach Mango
Organic baobab fruit pulp powder boosts these chocolate rounds, which also include apple, peach and mango fruit concentrates. Chocolate coating drenches the entire fruit mash, making this one delicious nosh.

Teranga Baobab Love Potion
A brand new, tart beverage made with the pulp of the baobab fruit. This lip-smacking “Love Potion” also contains red hibiscus and a pronounced hit of mint. Teranga prioritizes conscious sourcing, too.

Herbs add value


From meal replacement beverages infused with maca to Ayurvedic spice “shots,” brands at Fancy Food added value and functional nutrition to beverages and condiments by including botanicals like maca, reishi mushroom, ashwaganda, licorice and more in consciously crafted natural products.

TruVibe Eat Clean Organic Superfood Meal Berries, Maca & Chia
TruVibe’s first foray into a beverage line was a success! Designed as a better-for-you, whole-food meal replacement, this 300-plus calorie drink contains a nourishing blend of organic juices, pureed strawberry, pureed blueberry, hemp seeds, reishi mushroom, chaga mushroom and maca.

Pranayums Daily Super Spice Shots
An interesting delivery system for spice blends, each packet has a masterful blend of Ayurvedic spices such as turmeric, black pepper, cardamom, ginger, licorice root, cinnamon and more for wellness. Sprinkle a packet into warmed almond milk, over oatmeal or add into stews or salad dressings.

Fire Brew Beet Energy Booster
This potent potion is made with red beets, cinnamon, raw organic apple cider vinegar and a litany of pungent add-ins like horseradish, onion, habanero pepper and garlic—time-tested ingredients that may boost immunity.

Holier-than-thou desserts


These new brands challenge the long-held assumption that an end-of-meal sweet treat is sinful. Rather, these products contains whole-food ingredients, consciously sourced add-ins and cleaner sweeteners to make them better options.

Snow Monkey Superfood Ice Treat Cacao
Less ice cream substitute and more post-workout treat, this rich, creamy frozen pint is made with a healthful blend of bananas, apple puree, maple syrup, hemp seed protein, cocoa powder, sunflower butter and acacia tree gum and guar bean gum. 5 grams protein and just 12 grams sugar (mostly from fruit) per serving.

Good King Cacao Whole Bean Love
We never realized how wonderfully whole cacao beans can satisfy intense chocolate cravings. Just a few of these shelled, spiced beans are enough for chocolate addicts. The "Love" version contains warming cinnamon, nutmeg, clove and cardamom. Bonus: They’re not too sweet, either.

Foodstirs Modern Baking Organic Chocolate Lovers Brownie Mix
A simple brownie mix elevated with consciously sourced ingredients and a slew of certifications. Here, Wholesome!’s Demeter USA-certified biodynamic cane sugar, organic wheat flour, Equal Exchange certified organic cocoa powder, organic sunflower oil, organic vanilla and sea salt comprise this mix. Add (preferably pasture-raised) eggs, non-GMO oil and water, and bake.

Frozen steps up


Not so much "speed scratch" as an easy way to experience delicious but hard-to-make specialty food items, we spotted ample innovation in the frozen food category. Here, ethnic foods made an appearance, as did novelty products perfect for appetizers or finger food.

Brazi Bites Brazilian Cheese Bread Cheddar & Parmesan
Delicious, gluten-free bites of cheese bread traditionally made with tapioca flour and found in Brazilian restaurants everywhere. Straight-forward ingredients like eggs, milk, tapioca, cheddar and parmesan cheese make a surprisingly delicious snack.

Grillies Halloumi Cheese
These are refrigerated, but the concept is the same. Designed to replace meat, Greek halloumi cheese provides a savory, creamy alternative for burgers and sandwiches of all ilk. Halloumi is traditionally grilled, roasted or fried, which adds crunch and toasty, roasty flavor to dishes.

Bantam Bagels The Classic
Most everyone loves the New York combo of bagels and cream cheese. Bantam Bagels are delightful bites of doughy bagel with a burst of velvety schmear inside, and come in classic flavor combos like poppy, onion, everything and even stuffed with strawberry or veggie cream cheese.

Shock and huh!? A look at the first week of the Trump administration


Eight days into the Donald J. Trump era, it would be hard to find somebody ready to argue that the U.S. has not been fundamentally changed. From foreign policy to cultural issues and budget changes, the world is spinning on a different axis.

And that axis is sure to affect the supplement and natural products industries.

The consensus is that companies could see less regulation and less enforcement, but whether that is a golden ticket or an invitation to disaster remain to be seen. It’s early in the game but the game is being played at high volume on a fractured field.

We asked industry insiders to weigh in on the first week under Trump.

Randi Neiner, supplement industry consultant

I have many concerns. The major three are: 1. regulation favoring big corporations—big dollars—over small entrepreneurial businesses that are the life blood of our industry (will they still be able to compete?); 2. questionable import decisions that may threaten botanical raw materials  sourced from China and elsewhere; and 3. changes in labeling requirements—GMO, Organic, nutritional definitions and a lack of transparency that is not in the best interest of consumers or the companies doing things right and may encourage more "bad players." There will be opportunities and need for more self-regulation and certifications that are industry driven.

Steve Mister, Council for Responsible Nutrition

It’s still too soon to really assess the implications of the new administration on the supplement industry. We don’t have a nominee for the Food and Drug Administration (FDA) commissioner yet; there are three vacancies at the Federal Trade Commission. These appointments will signal the directions of both agencies. In the meantime, the hiring freeze and regulatory moratorium have mixed implications for industry. At a time when the new Republican Congress seems likely to block any new onerous legislation on supplements, we still need an aggressive agency to address tainted products, blatant GMP violations and fraudulent marketing—items that are clearly illegal under existing law. That requires a robust ODSP [Office of Dietary Supplement Programs] at FDA. Additionally, the freeze on new regulations may be irrelevant since no new rules were imminent. The NDI guidance is unlikely affected because, with the comment period just closing in December, we are likely months away (at least) from the next version. In the meantime, we will live with uncertainty about the new labeling regulations and GMO labeling. Whether that’s worth the wait remains to be seen. The new Congress does present opportunities for FSA/HSA coverage and the inclusion of the multivitamin in SNAP. CRN looks forward to educating new members about the value of the industry—for better health and a strong economy. 

Karen Howard, Organic and Natural Health Association

This is not business as usual. The double-edge sword of  ‘no federal regulation’ affords protection (burdensome NDI guidance) and carries risk (increased assault for being under-regulated). Attacks on industry will not abate and pesky issues relating to consumer trust fan the fires. Opportunity exists in this pro-business environment. But know that Congress still attributes costs, not savings, to coverage of supplements. This is no time for any big, fat, happy industry to rest. Indeed we will soldier on and play by our outdated rule book. And, we must be strategically open to change. This could be the most opportune time to improve our regulatory paradigm. 

Jeff Nedleman, Strategic Communications LLC

A little more than a week into his Presidency, Donald Trump has stayed in character. His flurry of Executive Orders is big. Bold headlines without any substance. At best, they indicate an intent to shoot first and be thoughtful later. They beg the fact that Congress, not the President, holds most of the budgetary and legislative power to make the changes he wants. In short, we are in uncharted waters. The Devil is always in the details and details are out of stock. Fasten your seat belts, it is going to be a long, bumpy four years.

Scott Steinford, CoQ10 Association

Dietary Supplements, as an industry, has rarely found itself at the forefront of headlines or action in times of major news. It is evident the Trump administration has its sights set on larger agenda campaign items which will draw both attention and resources from the issues within our industry. It is hard to imagine how anything less than the major issues can be addressed, considering more limited resources for the people previously tasked to address our concerns. Decreased financial and human capital does not inspire aggressive, innovative or expedient outcomes by employees. While we should maintain vigilance it is not likely we are going to take the forefront for action in light of all other issues of precedence. 

Alan Lewis, Natural Grocers

The Trump administration may simply stop enforcing laws and regulations already on the books if it disagrees with them. In this vacuum, the state attorneys general, especially in California and New York, may greatly step up their own consumer protection enforcement against certain dietary supplement products and sales practices. And, the trial bar will begin a systematic assault on products making misleading or unsubstantiated claims, using class action lawsuits based on sophisticated science and market surveillance. Without rational and cohesive federal oversight the industry may end up defending itself from multiple adversaries who feel emboldened, even duty-bound, to act in its absence.

Sky Lininger, Health Notes

Federal agencies issue “guidance” documents that are non-binding, have no force of law, but impact industry. “Guidance” is issued without legislative action. One example is FDA’s “Draft Guidance on New Dietary Ingredients,” which they say will be finalized in 2017. Both the agency and industry have spent time and energy to read, respond, digest, and edit these documents. While all this is taking place, industry is uncertain about what the final guidance will be and how it will be interpreted and enforced. The President promises to cut Federal regulations by two-thirds, we will soon see how NDI Guidance and pending regulations (like FSMA) will fare.

Mark LeDoux, Natural Alternatives International

I do not believe the regulatory freeze will have a significant effect on much of our industry for the foreseeable future. The NDI rules are sort of in limbo, and it is doubtful that they will go to final status in this environment. However rules dealing with FSMA and registration requirements are already law. The same can be said for the new Nutrition Facts Panel, as those rules are already drafted and published.

The border tax could have a much more significant effect on our industry for materials and foodstuffs that are currently imported from foreign sources. When primary manufacturing of dietary supplement components transitioned from domestic and largely European sources to the Far East, predominantly China, prices dropped precipitously, and the US consumers and industry benefited from lower costs of input. If a border tax is implemented on imported raw materials, that could have an immediate and profound effect on the economics of the domestic business, and may foster the development of primary production of these compounds in the USA. Many base vitamins used to be produced in places like Nutley, New Jersey or Kankakee, Illinois—so we should not be surprised to see some enterprising entrepreneurs look for opportunities to provide vertical support to the U.S. supply chain without involving trans-oceanic freight costs of time and money.

For many years I, along with others in the industry, have advocated for more enforcement of the current regulations on the books. That would still be a welcome situation given the ongoing levels of non-compliance the FDA has been seeing for the past decade. New regulations that are gratuitously drafted and added onto current unenforced regulations give the appearance of pro-active effort, but in reality they only further complicate and clog the system with inaction.

5@5: Debate continues over A2 milk | Idaho sprouts foodie startups


The health battle behind America's next milk trend

Most of the milk stocked in grocery stores today can be characterized as A1. But in the 1990s, the research of Bob Elliott and Corran McLachlan in New Zealand suggested that A1—which refers to a certain characteristic of milk's most abundant protein, beta-casein—produces inflammatory compounds in the digestive system. So McLachlan and farmer-entrepreneur Howard Patterson founded the a2 Milk Company to breed more A2-producing cows, which produce milk that the research suggested was better for digestion. Despite skepticism from the industry, the company has today secured 12 percent of the dairy market in Australia and outsells organic milk. It's expanding into China, western Europe and the U.S. But there's still quite a bit of controversy around the science. Read more at The Atlantic...

 

These food startups aim to build on Idaho's food heritage

You may not think of Idaho as a foodie state, but consider this: Chobani operates the world's largest yogurt plant there, and organic baby food maker Happy Family Brands and meat company Agri Beef have a presence there. And now a new crop of food startups is popping up, like butter replacement maker Prosperity Organic Foods, Zacca Hummus and protein ice cream company Killer Whey! Read more at Idaho Statesman...

 

Farm to table: A bit tricky in winter, but in high demand

To meet the demand for local produce, farmers in colder parts of the country are using greenhouses and high tunnels to extend their growing seasons. Read more at WTOP...

 

Federal hiring freeze disrupts USDA's food safety testing

Regulators say the president's pause button for regulations and new hires will have minimal impact on provisions of the Food Safety Modernization Act, but it's unclear what impact it will have on other FDA activities. Over at the USDA, the Food Safety Inspection Service is reportedly experiencing a delay in results of lab tests. Read more at Food Safety News...

 

Freshii raises $125.35M in initial public offering

The Toronto-based fast-fresh restaurant has more than 240 stores in 15 countries and is known for its healthy menu which includes salads, juices and smoothies. Read more at BNN...

Friday, January 27, 2017

This week: Fourth & Heart, LesserEvil team on ghee popcorn | a2 Milk expands in U.S.


Grainful, which makes frozen entrees and meal kits using whole grain steel cut oats, introduced three new internationally inspired frozen entree flavors: Chana Masala, Jambalaya and Ranchero Chicken.

Nutraceutical ingredients company Artemis International launched its new Berryceuticals brand to further communicate its leadership position in berry-based nutraceutical ingredients for supplements, functional foods and beverages, and cosmeceuticals. The Artemis Berryceuticals portfolio includes extracts from elderberries, aroniaberries, bilberries, cranberries, blueberries, black currants, and other popular and unique dark berries.

Carlson Labs introduced Elite DHA Gems, which provide a highly concentrated dose of 1,000 mg of DHA in a single soft gel. 

A distribution deal with Big Geyser will allow B-Tea Kombucha to expand distribution of its line of raw, organic, shelf-stable bottled kombucha in New York. 

Jarrow Formulas has been appointed as distributor of the Astarte probiotic strains which it will sell under its trademark "Jarro-Dophilus" Women. Astarte is a clinically tested preparation which contains the documented strains found to be the most prevalent and dominant in the healthy vaginal microbiota of women: Lactobacillus crispatus, LbV 88; Lactobacillus jensenii, LbV 116; Lactobacillus gasseri, LbV 150N; and Lactobacillus rhamnosus, LbV 96.

Australian dairy brand a2 Milk has begun the national launch of its full line of easily digestible cows' milk. The milk brand poses that many people who experience discomfort when drinking milk and assume they are lactose intolerant are actually sensitive to the A1 beta-casein. The a2 Milk Company works with local dairy farmers to identify and differentiate A2 cows to produce a certified a2 milk. It will be available in Whole Foods, Sprouts, Safeway, Kroger, Target and Trader Joe's.

Bolthouse Farms has a new line of refrigerated, yogurt-based spreads called Maio, available in three flavors: Plain, Chipotle and Garlic. Each product contains 20 calories and 1 gram of fat per serving. The mayo alternative will debut in February in Northern California Safeway stores.

Vermont-based specialty food producer Gringo Jack's announced that all three flavors of its Flaky Tortilla Chips are now Non-GMO Project verified.

Fourth & Heart has teamed up with LesserEvil to launch ghee-flavored organic popcorn. The new product, Oh My Ghee, is the newest product in LesserEvil's Buddah Bowl line and showcases Fourth & Heart's premium grass-fed ghee, which is loaded with vitamins A, D, E and K. 

Gourmet nut butter brand Betsy's Best, founded by registered dietitian and former Miss Indiana Betsy Opyt, has expanded to 2,100 stores, including Kroger, Whole Foods Market, Bristol Farms, Ingles Markets and Harris Teeter.

Love Beets launched pure beet powder made from 100 percent beets with no additives, preservatives or added sugar. It can be stirred directly into water or added to smoothies, yogurt, sauces, baked goods, oatmeal, homemade pastas and more.

Fair for Life certified organic coconut water producer Harmless Harvest announced the launch of its newest product—a line of organic probiotic cultured coconut beverages called Harmless Harvest Probiotics available in Original; Strawberries, Blueberries & Acai; and Mangos & Acerolas.

Thursday, January 26, 2017

5@5: Oprah, Heinz join on refrigerated foods venture | New Walmart store features organic restaurant

Oprah Winfrey to sell refrigerated meals through Kraft Heinz

Even Oprah is getting in on fresh and convenient food trends. Her new venture with Kraft Heinz, called Mealtime Stories, will offer ready-to-eat, refrigerated dishes. It's also adding a social mission element—Mealtime Stories says it plans to donate 10 percent of profits to anti-hunger charities. Read more at Bloomberg...

 

Grown, a healthy fast-food restaurant, will open in the Lake Nona Walmart

A new Walmart Supercenter near Orlando will include a drive-through pickup area, mobile pay and, surprisingly, a second location of the organic restaurant concept developed by former basketball player Ray Allen and his wife Shannon called Grown. Read more at Orlando Weekly...

 

Travelers with nut allergies clash with airlines

Some people with peanut allergies are finding it harder to travel these days, as certain airlines have policies that prohibit them from boarding planes early to wipe down seats and tray tables, and some airlines also may remove people with severe allergies from flights because they can't guarantee that customers won't be exposed to nuts during the flight. Two formal complaints against American Airlines were filed with the Department of Transportation last month, accusing the airline of discriminating against people with nut allergies. Yet other airlines like Delta, Southwest and Jet Blue are more accommodating. Read more at The New York Times...

 

Island Food Rescue aims to reduce island food waste

In a six-month pilot, a team in Martha's Vineyard recovered more than 32,000 pounds of food from six restaurants, plus collected 2 tons from events. They're using a composting system to turn the waste into fertilizer. Read more at MV Times...

 

Bulk Barn has embraced the Zero Waste movement

Canada's largest bulk food chain is leading the way in eliminating waste by allowing shoppers to bring reusable containers to the store, as well as cloth and mesh bags. Read more at TreeHugger...

Wednesday, January 25, 2017

5@5: Target unveils chemical use & transparency policy | UC Berkeley challenges students to develop new meat substitutes


Target tightens grip over chemicals in bid to make goods safer

The asking for more transparency from its suppliers with a new policy that will require companies to list ingredients and remove some controversial chemicals like phthalates from beauty and household products, and perfluorinated chemicals and flame retardants from textiles. In 2015, Target began encouraging its suppliers to list ingredients and certain chemicals, but the new policy pushes for full ingredient disclosure by 2020 in beauty, baby, personal care and cleaning goods products. Target also plans to invest up to $5 million on developing products through green chemistry. Read more at Bloomberg...

 

Meat substitutes are on the curriculum at UC Berkeley

In a class at the Sutardja Center for Entrepreneurship & Technology called "Plant-Based Meat Challenge Lab," teams of students are working to develop business plans for the next big meat substitute with help from the Good Food Institute. Read more at San Francisco Chronicle...

 

10 powerful questions I asked before launching Zico

Mark Rampolla, founder and former CEO of Zico Beverages, shares the personal and market screens he applied to his idea before starting the company. Read more at Conscious Company Media...

 

This chocolate collective is giving families hope in the Amazon Rainforest

What started in 1997 as a collective of less than 50 families has grown into a chocolate collective owned by more then 850 cacao-producing families in the Amazon Rainforest. Called Kallari, the collective allows farmers to receive 20 to 60 percent more for their cacao. Read more at Munchies...

 

Abbott Labs profit rises, nutrition business soft

Sales in the company's nutrition segment—its largest segment—fell 3.7 percent. Read more at MarketWatch...

What sets PieShell apart among crowdfunding sites?


Kickstarter, Indiegogo, GoFundMe, oh my! With so many crowdfunding websites and resources out there, how’s a new food or beverage company to choose?

That was just the question Cheryl Clements asked herself when she realized that just 25 percent of food projects find success on traditional crowdfunding platforms. Today, as the founder and CEO of PieShell, she thinks she has the answer.

Launched in October 2015, PieShell is a niche crowdfunding site for food and beverage products (anything from packaged goods to restaurants) that’s tailor-made for the industry. The result? A 100 percent success rate for its projects so far. Here’s what sets it apart: 

A unique model

Rather than setting a single fundraising goal, PieShell employs what Clements calls a stepping stone model. This means that projects set a first goal—their critical ask—as well as a “want” goal and a
“dream” goal. In Clements’ view, this pushes project owners to be more realistic with their asks, helps them grow with the site and allows them to reach a smaller goal without risking their ability to earn more. “Numerous project owners told us they would have been able to move forward if they had asked for less on other sites, instead of failing,” she says.

Incubation support

Throughout the fundraising process, PieShell provides support in the form of helping leaders create project blueprints, a marketing plan and even a media kit. PieShell reviews stepping stones, gifts, copy, photos and videos, and provides feedback along the way. “We ensure they follow crowdfunding best practices, which doesn’t guarantee success, but definitely improves the likelihood of it,” Clements says, adding that PieShell works with a project for about two or three months before it even launches on the site.

Giving back

Of PieShell’s 6 percent fee, 1 percent goes straight to its nonprofit partner Emma’s Torch, which provides mentorship and culinary training to refugees in need. Plus, while other sites reward contributors with products, services, gift certificates or other incentives, at PieShell, says Clements, “we build the platform to allow contributors to opt out of receiving the gift, and are very excited to say that with our first five projects, 40 percent of contributors did just that.” Waiving the gift allows all the funds donated to be used on the project, and can accelerate a project’s growth.

Retail tips for capitalizing on the trend toward fresh


We know that people are buying fresh food more than ever, but a recent report released by Bizerba and Invatron, technology companies dedicated to solutions for fresh food departments, has some extra insights that could help retailers take better advantage of this growing interest in fresh. Surveys done for the report found that not only are purchases of fresh foods up, but for many consumers, those purchases are often unplanned—which spells opportunity for retailers. The key is to focus on purchasing "triggers" that will prompt consumers to make those impulse purchases.

"What is interesting ... and what our survey has shown us, is that 41 percent of surveyed Americans admitted going to the supermarket with the intention to buy fresh products and actually leaving with more fresh products than they planned to buy," said Robert Weisz, Bizerba North America’s vice president for retail, and Axel Doerwald, Invatron Systems Corp. founder and CEO. That's a clear indicator that fresh products "may in fact incite some consumers to purchase, even when they were not planning to," they said. 

The most common factor, by far, that triggered unplanned purchases was the appearance of a product. "Our survey has shown us that Americans find more appealing, and prefer, products that are sold 'loose,' without the packaging, like fruits and vegetables, as well as those sold over the counter, like cheeses and meats, and fresh products that are packaged in-store, to products that have been packaged in a central managing facility," said Weisz and Doerwald.

Cost, meanwhile, was the most common factor discouraging customers from buying fresh items. Typically, Weisz and Doerwald added, consumers have a "mental budget" of what they are willing to pay for a given product. It’s a very personal decision, but it will determine what their breaking point is between their temptation to buy and their restraint.

For retailers, there are two key lessons from these findings to apply in their stores:

Get to know your consumer base. Weisz and Doerwald say it's vital for retailers to spend time understanding their own shoppers and what they want in terms of fresh offerings. Every retailer has a position in the market that is slanted either toward higher quality and service, or to the opposite—lower prices. Depending on where a retailer sits on that spectrum will determine what it will need to focus on. If it’s price, then optimizing inventory efficiency and supply chain can yield price drops without margin impact; otherwise it will be the retailer’s margin that will suffer. The same scenario is true with labor costs. If quality is the driver, then the supply chain should be reviewed in terms of local sourcing whenever possible to help capitalize on fresher, higher-quality, seasonal products. This allows the retailer to obtain a qualitative input to various forecasts used for replenishment.

Market your strengths. If they are supplied by local farms, retailers should highlight and promote these sourcing methods, say Weisz and Doerwald. Alternatively, they can also put the emphasis on health benefits, in-store subject matter experts and of course, differentiation in the marketplace.

Food tech 3.0 underway [NEXT Forecast 2017]


The following is an excerpt from the NEXT Forecast, an insider’s guide to where the natural products market is now—and where it’s headed. Drawing from proprietary data sets, expert interviews, in-market case studies and the Natural Products Expos, the NEXT Forecast is the industry’s leading source of forward-looking insights. Learn about this and many other in-market trends laddering up to dominant macro forces in this report.

We are just at the dawn of an era of humanity where impacts like overpopulation and climate change—not to mention genetic pollution and overuse of chemical pesticides and antibiotics—will lead to massive disruptions in many of the ways in which humanity has coexisted and developed on this planet.

A brave new world of food businesses is also threatening to disrupt incumbents—and these companies have more resources than ever to launch and grow. Far from being demonized as Frankenfood, next-generation food tech companies are garnering lavish valuations and investor attention in the effort to deliver sustainable nutritional solutions that can deliciously and more sustainably feed an ever-expanding populace.

  • In San Francisco, New Wave Foods has created a lab-grown shrimp. That’s important because shrimp has 10 times the carbon footprint of cows and carries a supply chain rife with human trafficking and abuse. New Wave Foods’ Shr!mp is kosher, vegan, sustainable, tasty and close enough to the real thing that Google has placed a 200-pound order.
  • Outside New York City, AeroFarm is looking to produce 2 million pounds of fresh produce annually in a 70,000-square-foot vertical farm. That’s 75 times more food grown per square foot than farmers can raise in an open field, using 95 percent less water than field farming, 40 percent less than hydroponics, zero pesticides and grown in half the time.

NEXT Forecast opportunity

We used to talk about conscientious consumers. Now we need to hear from conscientious, transparent producers—who are able to really think through the ramifications of their new food science products and not just jam them, old school-style, through the regulatory agencies.


Get the full NEXT Forecast to see food tech and other macro forces will shape the future of the natural products industry.
nextforecast.com | Order now

Key benefits of kindness: Be a good human and grow customer loyalty


Missed Part I on marrying purpose and passion? Find it here.

Sue Heilbronner is a captivating storyteller, adviser, investor, mentor, creative visionary and catalyst. She co-founded and serves as CEO of MergeLane, an investment fund and accelerator targeting companies with at least one woman in leadership. She will be involved in both our general conference and Natural Products Business School at Natural Products Expo West 2017, where she’ll speak on these topics, as well as offer VIP mentoring for a few hand-selected emerging brands.

We believe that kindness plays an important role in business as a force for good. How do you feel this quality plays into brand loyalty? 

Sue Heilbronner: That’s such a great acknowledgment. I spend a lot of time with tech companies; I spend some time with food companies. I think it’s really nice to think about how the mindset of a tech entrepreneur could influence the mindset of a food entrepreneur and vice versa. I’ve always thought that the biggest determinant of what makes a brand successful is whether or not it’s able to make an emotional connection on the other side. That seems to be routinely missed in business. 

When I buy a product, if I can think about the team behind the product, that radically increases my loyalty. I think that comes down to kind motivations.

We believe now more than ever that it is extremely important for businesses to lead. How do you feel that brands can put their best food forward at a show like Expo West? Perhaps, in just one conversation? 

SH: I think that one of the challenges of Expo is that there can be so much operational work in just activating your booth at bare minimum. It is really hard to stay present with your story and vision. 

Most vendors do a really nice job of preparing when they have scheduled meetings that they expect and have pursued. They’ve cleared their mind space. They are ready for their story; they have their deck. They have the ability to spin out the vision that they’ve been working on for so long. 

The most important thing to note is that you never really know who the person is, reaching for the next sample. And if you aren’t present enough to be making those heart connections, you are missing the opportunity that you didn’t plan for.

Can you think of one fact that others might find surprising about you?

SH: I enjoy deeply. I savor life’s pleasures. I appreciate especially really little things in an almost childlike way. I think that’s probably the most potent aspect of my own leadership. 

I am also incredible optimistic. I was very close to my dad growing up and my dad was sick for about 20 years until he died when I was in my young 30s. He had the greatest attitude in the world. He was really happy to be alive. I think being raised in that context, having a ton of lucky breaks, a tremendous amount of privilege and the good fortune of getting to have an education has just made me really positive.


Want to join in on the positive energy? Heilbronner will speak Jan. 26 on this topic at the Naturally Boulder Beyond the Badge event in Boulder, Colo.

Headed to Expo West? Register or upgrade your badge today to sit in on Heilbronner's session on Following Your Heart in the Real World

Are you an Entrepreneur? Join the conversation in our Natural Entrepreneur Today newsletter and add Business School to your Expo West badge for an intimate workshop with Heilbronner!

See our full conference schedule for Expo West.

5@5: New fish consumption guidance from FDA | From food waste to hummus


FDA issues new seafood advice for moms-to-be. Not everyone is thrilled

The FDA has issued advice to women who are pregnant or may become pregnant on how much seafood they should eat, and what kinds. It categorizes more than 60 species of fish as "best choices," "good choices" or "choices to avoid," based on their mercury levels. But it's drawing some criticism: Some say the recommendations aren't consistent with the agency's own findings about the quantities of certain species pregnant women can eat safely. It also doesn't mention EPA or DHA. Read more at NPR...

 

Meet the food waste entrepreneur turning unwanted vegetables into hummus

While working in catering, Hannah McCollum was taken aback by how much food waste remained after events. So when she became a chef, she began using leftover vegetables into dips or hummus for the next day. Her next career move was to start a London-based company, ChicP, that incorporates commonly wasted produce into hummus. It's currently running a crowdfunding campaign to grow her operation. Read more at Munchies...

 

How much does a little bad buzz affect a brand's perception? A lot, it turns out

Just-released ranking of which brands are best perceived by Americans saw Chipotle, Samsung and Wells Fargo, which have all been affected by negative publicity in the last year, drop significantly in their ratings. Read more at AdWeek...

 

'Speed dating' for farmers and chefs: ISO a perfect local food match

Another event happened in our nation's capital last week that was much, much more low-profile, but still important. It was the Arcadia Center for Sustainable Food and Agriculture's annual event that puts farmers and chefs in the same room, in an effort for them to make connections with each other and, ultimately, put more local food on restaurant tables. Read more at NPR...

 

Chicagoland's first organic fast food chain set to debut next month

Nic's Organic Fast Food has big ambitions: The owners of the organic drive-thru set to open in suburban Chicago next month hope to open 50 locations in the next three and a half years. And while it's organic food, it isn't necessarily health food—the menu includes a bacon burger and fried chicken sandwich. Read more at Eater...

Tuesday, January 24, 2017

Get out there and get fearless about funding [infographic]


Figuring out how to finance your endeavor is intimidating. Our new infographic series, “Series Series,” focuses on the ins and outs of financing your venture as an emerging entrepreneur. In this first installation, we demystify funding terminology to make finance less daunting so you can get out there and get fearless about funding!

For more great content on funding, subscribe to our Natural Entrepreneur Today newsletter and register for the Natural Products Business School on March 8, at Natural Products Expo West 2017. This year, Natural Products Business School will tackle the intricacies of raising capital while maintaining a strong mission with an impressive lineup of industry leaders.

Monday, January 23, 2017

5@5: Will Kraft Heinz get even bigger soon? | How businesses can lead in this uncertain time

How Kraft Heinz plans to build a new global food giant

You may not know 3G Capital, a private equity firm overseen by Brazilian investors, but you may be hearing more about it soon. 3G bought Heinz in 2013 and Kraft in 2015, then merged the two. What 3G has created with the merger is a fast-paced environment where top performers are promoted quickly and underperformers are out even quicker. It's pushed the companies to make tough cost-cutting decisions—like closing an Oscar Mayer plant in Madison that once employed 4,000 people and was a staple in the company's history. And it's strategy for growing likely involves more big acquisitions: speculators say Mondelez or General Mills could be on the shopping list. Read more at Fortune...

 

What corporate social responsibility looks like during a Trump presidency

Here's how businesses can take a stand and bring about positive change throughout the uncertain years ahead. Read more at Fast Company...

 

Big Dairy wants plant-based milk to stop calling itself 'milk'

As plant milks continue to take market share from the dairy industry, the Defending Against Imitations and Replacements of Yogurt, Milk and Cheese to Promote Regular Intake of Dairy Everyday Act, sponsored by Wisconsin Sen. Tammy Baldwin, is taking aim at non-dairy products that call themselves milk. According to the (mouthful of a) bill, any non-dairy product that calls itself milk should be considered misbranded and subject to action by the FDA. Read more at Co.Exist...

 

Rush Medical Center project donates extra hospital food to homeless shelter

The Chicago hospital is running a project to donate the food left over from three of its kitchens and cafeterias to an organization that serves the homeless. In its first two weeks, the project and its volunteers delivered 623 healthy meals and 221 servin trays of rice, vegetables, eggs or salads. Read more at Chicago Tribune...

 

Organic food delivery firm launches new meat traceability software

UK food delivery company Goldhill Organics and its supplier Blackmore Vale Butchery are using new food traceability software called Followthisfood to provide customers with detailed information about the source and sustainability of their meat. Every cut of meat is tracked from the producer farm to delivery. Read more at The Herald...

How (and why) to make a comment on the organic check-off program


Like it or not, we are well into a new year and a new federal government. Despite the many changes and sometimes uncertain paths, I believe the organic community is poised for growth should it decide to adopt an organic check-off program.

USDA recently published the first draft of a proposal in the Federal Register. Then just after his inauguration, Donald Trump ordered a freeze on all pending regulations not yet in effect. The new administration will take pause and review all new regulations during the next 60 days. Since this program is self funded by the industry and will cost the federal government nothing, I believe it will move forward.

Despite the uncertainties and administrative foibles, it’s still important to weigh in today! If you’re a producer, retailer, manufacturer or consumer, it’s time to make your comments known.

Why does the organic industry need a check-off? Hasn’t it been growing double digits year over year, reaching a whopping $43.3 billion in sales last year?

The organic industry still suffers numerous growing pains. There remains widespread consumer confusion about the organic label. Shoppers can’t easily distinguish between the myriad of “good food” labels in the marketplace. Most don’t know that USDA provides rigorous certification, verification and oversight on compliance, and that no synthetic pesticides, herbicides or GMOs are allowed in organic production.

Despite this consumer confusion, organic supply hasn’t kept up with demand. We import more ingredients from overseas producers every year to fuel the exponential growth. The U.S. is the largest corn and soybean producer in the world, yet organic soybeans and corn are among the largest imported organic food products into the U.S.

Transition to organic production is difficult, fraught with economic perils and uncertain paths. It takes three full years of organic production to be certified as an organic farm. During those years a farmer gets paid conventional prices. Yields can be lower waiting for the soil to build up organic matter. High-cost methods such as manual labor or extra tillage to control weeds are employed.

There is a way to address these concerns. An Organic Check-off program would generate money that would:

  • Educate consumers about what organic is and its benefits. Imagine a marketing slogan and well-funded promotional campaign such as “The Incredible Edible Organic,” or “Got Organic?”
  • Distinguish organic from lesser claims and unregulated seals like "natural." Imagine television or full-page ads in in the NYT clearly spelling out that organic is certified, verified and qualified to be the gold standard of food.
  • Confirm the science behind the environmental and public health benefits of organic. Federal dollars available for organic research often require matching funds from the industry. The organic check-off proposal assigns 25 percent of total pooled funding to match funds for research activities.
  • Undertake research to solve problems such as invasive pests and weed control. Tackling unmet research needs, such as alternatives for weed control and agricultural inputs, could translate to everyday solutions for organic farmers and encourage others to transition to organic practices.
  • Bring new farmers into organic production through information and technical assistance. The Natural Resources Conservation Service funds just one organic specialist in the entire United States! Why? Because the position requires a 50:50 match from the industry. A $1.5 million investment of matching funds could support 25 organic specialists nationwide.
  • Reduce the supply crunch by transitioning farmland to organic production across the U.S. Imagine if organic check-off funds could be used to invest in young farmer education through grants, scholarships and supervised agricultural experiences.

The Organic Check-off could raise more than $30 million a year for promotional, educational and research activities. I firmly believe this could take organic to new heights for producers and consumers alike.

I support an agricultural production method that protects our soils, waters, our farmers and farm workers from toxic polluting inputs and enables everyone greater access to healthy organic food.

An organic check-off will carry organic agriculture soaring to new heights. If you believe growing organic is important, it’s time to make a comment on the USDA proposal. You can easily do so here.

Meet Neogen, your diagnostic one-stop shop for safety and compliance programs


Neogen, sponsor of our Expo West Safety & Compliance Conference Track, offers food safety diagnostics and expertise to help prevent putting your customers in danger and protect brand integrity in food, nutraceuticals and nutritional supplements.

We briefly spoke with Neogen on the importance of food safety education and how it is doing its part to make an impact in the industry.

New Hope Network: Food Safety plays an important role in business as a force for good. How does Neogen help brands easily stay compliant, to in turn keeping their customers safe? 

Neogen: More than anything, Neogen partners with food companies to be there every step of the way. We can help determine what and where to test, and then what to do with the test results. Compliance comes down to developing systematic, repeatable and traceable approaches to a facility’s food safety. We have the test systems and expertise to help companies stay compliant.

New Hope Network: What are the different food safety diagnostic options that Neogen offers? 

Neogen: Neogen offers food safety products, services and expertise to help ensure the safety and quality of food, nutraceuticals and nutritional supplements. Neogen’s food safety on-site tests are rapid, accurate and easy to use, and include tests for foodborne bacteria, spoilage organisms, food allergens, mycotoxins and other natural toxins and ATP residues. For companies that prefer not to do their own on-site testing, Neogen also offers a rapid laboratory testing service at its locations in Lansing, Mich., and Ayr, Scotland.

New Hope Network: How can brands ensure their compliance with FSMA (Food Safety Modernization Act)? 

Neogen: Education is key, as a compliant system cannot be developed without an understanding of the requirements as they pertain to a particular facility. Once a plan has been developed, compliance can only be ensured by a faithful, rigorous execution of that plan—with the flexibility to adjust where and when needed.

In your recent blog article about FSMA, you discussed the top 5 observations on managing new directives. Outside of these top observations, what advice can you give brands on preparing for food safety regulations? 

Neogen: Help is available! Neogen not only provides food safety diagnostics, but can help a food company develop a new FSMA-compliant food safety program, or manage and refine an existing program. Depending on what food you produce, and where you produce it, regulatory and consumer demands can seem overwhelming. Neogen has partnered with food companies since 1982, and remains here to help. 


        Don’t miss the Safety & Compliance Track at Expo West & Engredea 2017. Check out our full conference schedule here and upgrade your badge today

Date: Wednesday, March 8, 2017
Time: 10:30am – 5:00pm
Location: Marriott, Grand Ballroom J/K

 

 

 

5 insights on the next generation of grocery shoppers


With Generation Z expected to comprise 40 percent of the North American population by 2020, retailers must address the needs of this generation and understand its purchasing power in households. According to a survey conducted by HRC Retail Advisory, recognizing the differences between generational segments and understanding the implications of Generation Z’s influence will be critical in successfully targeting and serving this age group (10-17).

"Retailers must be nimble in order to effectively appeal to Generation Z consumers," said Farla Efros, president of HRC Retail Advisory. "Resonating with this group at a young age can have a huge impact on retailers’ long-term consumer retention and brand loyalty. Social media and digital advertising will be dominant in marketing strategies targeted to Generation Z, but retailers must adopt these mediums in interactive ways to inspire and engage this emerging generation of consumers."

To better understand the growing influence of Generation Z and the implications for retailers, HRC surveyed 3,100 participants from the U.S. and Canada on their attitudes, shopping habits and influences driving their purchasing decisions.

Significant findings of the survey include:

Generation Z strongly influences parents’ purchases

Generation Z has a strong voice and expects to be heard, especially when it comes to what their parents are buying. A significant 82 percent of parents surveyed admitted that their children have some influence over purchasing decisions, while 93 percent of the Generation Z respondents say they have influence over certain categories such as clothing, footwear, accessories and cosmetics.

YouTube tops Facebook as most-visited social platform

YouTube is the top social platform for Generation Z, with 54 percent of respondents stating that they visit YouTube daily in order to receive information. This is a significant deviation from millennials, who named Facebook as their most visited social platform. About 50 percent of Generation Z visits Facebook daily, with Instagram and Snapchat falling behind at 34 percent and 29 percent respectively.

According to Generation Z, malls are not dead

Despite being raised with the internet, Generation Z is still going to the mall to shop. While approximately 60 percent of all survey respondents said they visit a mall or shopping center at least once a month, a whopping 72 percent of Generation Z respondents said they visited the mall at least once a month and stayed for at least an hour, visiting 4.4 stores on the trip. Generation Z-ers are not browsers, as 60 percent of these high-frequency visitors go to the mall with a clear intention of making a purchase for themselves.

Generation Z votes friends as most influential

Moving forward, retailers will need to reconsider the implications of their selection of spokespeople to represent their brands. A majority of Generation Z respondents (62 percent) deemed friends as the most influential party on their buying decisions. Athletes came in a distant second at 14 percent, with bloggers/YouTubers closely following at 13 percent. Celebrity and singer endorsements were ranked the lowest, at 6 percent and 7 percent respectively. Eighty-nine percent of Generation Z respondents also said they would be more likely to enter a store based on where their friends shop.

Digital in their DNA

Generation Z is already buying online, and often. Half of Generation Z respondents stated that they shop online at least once a month. Of those making online purchases within the last 12 months, 77 percent stated they have purchased something from Amazon, and 34 percent have purchased something from eBay.

Tips for retailers

HRC Retail Advisory notes that retailers need to consider the following five factors to most effectively serve Generation Z consumers:

  • Depict them as diverse (ethically, socially, fashionably).
  • Communicate more frequently in short bursts using content.
  • Allow them to personalize, give them control and preferences.
  • Talk to them about values and social causes.
  • Instead of creating demand using Hollywood celebrities, use real people or internet/YouTube stars to market your brand.

Notes on survey methodology and analysis

HRC Retail Advisory’s survey findings are based on a targeted sample of four distinct demographics: millennials with no children, millennial parents of children under 18, Generation X and baby boomer parents of children under 18, and children ages 10-17. The sample size was 675 per group in the United States, and 100 per group in Canada. The survey was fielded in October 2016 and was completed through proprietary sample sources among panelists who participate in online surveys. The total sample size was 3,100 completes.

Source: HRC Retail Advisory

Friday, January 20, 2017

5@5: Last-minute FDA draft rules target gene-edited animals | 8 food tech startups to watch

Gene-edited animals face U.S. regulatory crackdown

A last-minute set of draft rules from the Obama administration's FDA would require all animals whose genomes have been intentionally altered by CRISPR and other precision tools to be examined for safety and efficacy, as an animal drug must be. Draft regulations will be open for comment until April 19. Read more at Nature...

 

Food-X reveals the 8 startups taking part in its latest cohort

The New York-based food tech accelerator's fifth class includes a DIY countertop yogurt maker and a RFID tagging system for stores that provides information about each product that could help cut food waste. Read more at Ag Funder News...

 

Trump's choice for ag secretary not an obvious champion for sustainable agriculture

At a time when global warming, water scarcity and other environmental challenges are more pressing than ever, the USDA needs a leader who would promote planet-friendly farming, says the director of food and agriculture program at the Natural Resources Defense Council. But it's unclear if that what t's getting. Trump's pick Sunny Perdue has made some troubling statements about climate change, but he has also introduced a conservation easement tax credit in 2006 as the governor of Georgia. Read more at Eco Watch...

 

Entrepreneurial innovation is driving disruption in the food industry

It's a pivotal moment for the food industry—consumers are no longer passively accepting what it's offering. Thanks to social activists, motivated startups and a wealth of information at their fingertips, they're demanding healthier products that come with more transparency. Read more at Triple Pundit...

 

Sikkim observes its first organic day

Sikkim is India's first fully organic state. "Being totally organic does not only make farming an attractive profession, but also gives a clear message to the world that organic farming and chemical free agriculture is the only way to healthy living," said Chief Minister Pawan Chamling. Read more at Northeast Today...

This week: Pure Genius rebrands as Rule Breaker Snacks | New Frontier Foods launches dark chocolate seaweed snacks


New from Jarrow Formulas is a probiotic lozenge formula specifically for oral health, Jarro-Dophilus Oral Probiotic, which contains Lactobacillus brevis CECT 7480 and Lactobacillus plantarum CECT 7481 to promote healthy gums, teeth and breath. It comes in three flavors: peppermint, green apple and pineapple. Jarrow has also released Bone-Up Powder Drink Mix, which provides calcium and other essential nutrients for calcium utilization by the body.

Three Jerks Jerky, maker of 100 percent filet mignon beef jerky, has partnered with Soy Vay, purveyors of fine Asian sauces and marinades with a Kosher twist, to create a new Veri Veri Teriyaki flavor. This is the first time the award-winning sauce has left the bottle to team with another food brand. The Veri Veri Teriyaki jerky flavor, like all Three Jerks products, is created with the finest cuts of filet, contains no artificial ingredients and is gluten free. The flavor will launch on Kickstarter.

Pure Genius Provisions, maker of vegan, gluten-free desserts made with beans and chickpeas, has rebranded as Rule Breaker Snacks

New Frontier Foods has expanded its Ocean's Halo product line with a first-of-its-kind dark chocolate seaweed strip, chile lime and Korean BBQ Seaweed Snack Sheets and Sushi Nori. The company's U.S. production facility is also now SQF certified. 

Sweetened Matcha Green Tea Powder from Matcha LOVE will be unveiled at the Winter Fancy Food Show next week. Made with a pure blend of 100 percent Japanese matcha and sugar, each scoop boasts the rich, savory taste of matcha with just the right touch of sweetness.

Omya, a manufacturer of calcium carbonates, has developed a concept for bone health supplements that contain its proprietary calcium ingredients as well as vitamins from its distribution portfolio: Omyapharm as an excipient and Omyapure as the active ingredient as well as vitamins K2 and D3 to improve calcium absorption.

Marking the brand's entry into the dairy alternatives category, Coffee-mate has introduced almond milk and coconut milk creamers. 

Ganeden’s top international probiotic strain, GanedenBC30, became the first spore-former to receive FDA GRAS certification for infant formulas, expanding its formulation opportunities into new space. 

Steviva Ingredients, makers of all-natural sweeteners and sweetening systems, announced today it has earned organic certification under the USDA National Organic Program for its Portland SQF Level 2 manufacturing facility.