Olive Green Organics awarded Gold & Silver, Sydney Organic Expo
Posted - August 18, 2010
Olive Green Organics awarded Gold & Silver, Sydney Organic Expo
Sydney-based organic and fair trade foods wholesaler Olive Green Organics, Australia’s best-known supplier of Andean organic, high-protein packaged foods was awarded two Gold Medals and five Silver Medals in the 2010 Organic Expo & Green Show Awards that were awarded about two weeks before the start of the Organic Expo held at the Sydney Convention & Exhibition Centre August 20-22. The Organic Expo has shaped up as a bigger event than last year with over 30 additional exhibitors and groups exhibiting from Argentina, New Zealand, India, the USA and the South Pacific Islands. The show boasted a comprehensive conference/workshop program and high quality international and local exhibitors displaying a wide range of organic and natural food, wine and cosmetics.
Olive Green Organics general manager Antonio Ramos said he entered 7 Olive Green Organics branded products in 3 categories to the Organic Expo Awards competition and all the products received either gold or silver medals. He thanked partners in Peru and Bolivia and said they are extremely happy with the results. Olive Green Organics Gold Medal winners were: Best Pantry Staple Food for Andean Grains Mix 454g; and Best Allergens Free Food for Andean Pops – Chocolate 250g. Olive Green Organics Silver Medal winners were: Best Pantry Staple Food for Quinoa & Rice pasta – penne 300g; Best Gourmet Food for Smoked Organic Trout Fillets in Olive Oil 160g; Best Gourmet Food for organic trout Fillets in Mountain Water 160g; Best Allergens Free Food for Andean Pops – Coconut & Honey 250g; Best Allergens Free Food for Baby Anelli with vegetables 250g.
“This has never happened before. We put seven products in and walked away with seven gold or silver medals,” he said. “In 2007 we won a silver medal for the best new organic product and the awards were previously too narrow and had gourmet food competing with household products. This year the awards better reflect the diversity of the organic market and helping was that the calibre of the judges on the judging panel was very high. Awards can have a positive effect on what really matters with a product.”
Antonio Ramos and his wife Camille started their own brand, manufacturing and wholesale distribution Olive Green Organics, building strong partnerships with farming groups and food processors in Bolivia and Peru to bring to Australia products with value added at the source, a form of trading fairly. Born in Chile and raised in Cuba, Antonio has lived in Australia for the past 15 years where he studied Environmental Science. Understanding both Australian consumers and the producers in developing countries has enabled him and Camille to create products that cater for everyone’s needs.
This year’s Organic Expo & Green Show has been boosted by increased overseas exhibitors to join local organic food and wine companies’ bringing a total of 156 exhibitors, 16 more than last year.
The exhibition’s appeal for retailers and wholesalers as a meeting place to renew existing contacts or to meet new suppliers was enhanced with leading overseas companies exhibiting of the calibre of: Dr Bronners, Burt’s Bees, Dr Cracker and ear candling company Harmony Cone (all USA); a recent signing, Sindihy Enterprises of India, a natural soap nut company; an Argentinian national stand; and a strong New Zealand contingent led by Fonterra and Ceres Organic. Also exhibiting are major local exhibitors such as Kadac, Spiral Foods, Eco Farms, Melrose Health, Kailis Organics, Planet Organic, cosmetic brands such as Inika, Lavera, miessence, Dr Hauschka, and other skincare exhibitors.
Key speakers at the show this year included Katherine DiMatteo, president of IFOAM as well as David and Michael Bronner, president and vice-president of Dr Bronner’s Magic Soap and renowned chefs, Kylie Kwong, Tobie Puttock, Simon Lawson and Samantha Gowing, and gardening gurus Costa Georgiadis and Jerry Coleby-Williams. More information at www.organicexpo.com.au
Unilever commits to 75% sustainable packaging
Posted - August 15, 2010
Unilever commits to 75% sustainable packaging
Unilever made a well-timed move to commit to sustainable sourcing of packaging in July with research studies showing consumers will change purchasing decisions to support this type of ethical commitment. Unilever published its sustainable paper and board packaging sourcing policy as part of its commitment to double the size of the business while reducing its environmental impact.
The policy outlines the Unilever’s ambitious goal to work with its suppliers to source 75 per cent of its paper and board packaging from sustainably managed forests or from recycled material by 2015, rising to 100 per cent by 2020. The commitment makes Unilever the first global FMCG company to commit to sourcing all of its paper and board packaging from sustainably managed forests or recycled material within a clearly defined timeframe. For the company’s requirements for paper from virgin sources, preference will be given to supplies delivered through the Forest Stewardship Council certification scheme. Unilever will also accept other national schemes under the framework of international Forest Management Certification standards, provided they comply with the Policy’s Implementation Guidelines.
Marc Engel, Unilever’s chief procurement officer, said: “It is important that we promote sustainable forestry practices and help combat deforestation and climate change through the responsible sourcing of these materials. We are committed to working in partnership with all of our suppliers to progressively increase the proportion of paper and board packaging which comes from recycled materials, or sustainably managed forests, in order to achieve this ambitious target.”
A major study in 15 countries in 2009 released by a leading provider of premium global business information Datamonitor found that although over half of consumers globally reported that protecting the environment is significantly more important to them now than two years ago, this is does not translate to their grocery purchasing behaviour except when it comes to packaging. In the study, 57% of consumers thought that it is important to buy ethical or socially responsible products, but only 42% reported altering their habits to do so, including products with reduced packaging.
Mexico’s Chedraui’s LA expansion, takes on Mexico rivals
Posted - August 15, 2010
Mexico’s Chedraui’s LA expansion, takes on Mexico rivals
Mexico’s fourth largest retailer and supermarket operator Chedraui, which has sales of nearly $4 billion a year, said in July it has bought Fiesta Foods in Los Angeles, expanding its reach in the Hispanic market in the U.S. Southwest.
Grupo Comercial Chedraui listed on the stock exchange in late April and said it financed the purchase of Fiesta, with its 11 stores, with debt. It operates 142 supermarket, hypermarket and warehouse stores in central and southern Mexico and said it has already exceeded its goal of operating 26 additional stores at the end of the year. With the acquisition of the Fiesta stores, the company said it was on track to add 34 stores by the end of 2010.
Chedraui, with sales of nearly $4 billion last year, trails dominant retailer Wal-Mart de Mexico, or Walmex, with its more than 1,000 supermarkets across Mexico, and Monterrey-based Soriana, the second-largest Mexican supermarket chain, with 500 stores and sales of $7.6 billion in 2009. According to reports, Chedraui aims to take on rivals and break into northern Mexico and into big northern cities like Monterrey The firm could even snatch the No. 3 position from Comercial Mexicana.”We want to open stores in new areas, particularly in the north,” Chedraui said in April in a presentation filed to the Mexican stock exchange. Mexico has 70 cities, each with more than 25,000 inhabitants, with no access to supermarkets, the company said. Five years ago, Chedraui bought stores owned by Carrefour as the French giant pulled out of Mexico amid financial woes.
Healthy Life launches health food stores into China
Posted - August 15, 2010
Healthy Life launches health food stores into China
Leading Australian natural products distributor and franchise retailer Healthzone Limited, franchisor of over 130 Healthy Life health food stores in Australia, announced the further expansion of its international operations in China in early August. Just opened are the first Healthy Life China store in Shanghai’s iconic Jin Mao Tower J-Life shopping Centre and a second company store in mid-August in Asia’s largest new shopping centre, the Sun-Moon-Light (SML) Shopping Centre in Shanghai, with five further high profile stores scheduled for opening in 2010 and strong franchisee interest.
Peter Roach, executive chairman of stock exchange-listed Healthzone Limited said the Healthy Life China franchise forecasts up to 100 new stores by the end of 2012. “Establishing the Healthy Life Franchise in China is another step towards control of the promotion and retailing of Healthzone owned brands and distributed products throughout Australasia,” Mr Roach said. “As the leading natural products retailer, brands and distribution business in Australia, Healthzone intends to duplicate this dominant position in the region within the next five years.” Healthzone had sales revenues for the year to June 30, 2009 of $104 million with Healthy Life store sales running at 10% growth to the March quarter 2010.
To support the strategy Healthzone is advancing the registration of own brand HL Vitamins, Healthy Life Food, Natural Alternative and branded bod organic cosmetics for the new Healthy Life China retail model. Australian Healthy Life stores are 60-90sqm and hold 3500-4500 skus, while Chinese stores are 30-60sqm and will hold 2500skus of own brand and third party distributed products. Australian stores are 30% food/70% personal care and supplements, while Chinese stores use a 20%/80% model.
Healthzone has successfully operated over 1600 Aurinda retail counters in China over the past 12 years through the experienced local management based in the Healthzone Shanghai office. Also announced in August by Mr Roach was that Healthzone Limited had entered into a strategic alliance with Asia’s leading healthcare company Eu Yan Sang International, which acquired a 14.99% stake in Healthzone.
Spotlight on Peru’s biodiversity at ExpoAlimentaria
Posted - August 13, 2010
Spotlight on Peru’s biodiversity at ExpoAlimentaria
Expoalimentaria Peru is quickly positioning itself as one of the major forums in the global food industry with PeruNatura, a great showcase for ethnic, gourmet and specialty, organic and fair trade foods, delicacies and ingredients.
Following the tremendous success of the 2009 show, organizers expect more than 4,000 visitors and 400 exhibitors, an increase of over 80 percent at ExpoAlimentaria 2010, which will take place this September 22n-24 at the Convention Center of Army Headquarters, in San Borja, Lima - Peru.
ExpoAlimentaria is an important business meeting in Latin America, with a complete exhibition of food and beverage, agroindustrial and fishery exporters and producers, as well as supplies, equipment, machinery, packaging and other services for the food industry, restaurant and catering, and related services.
The PeruNatura pavilion will again be part of Expoalimentaria Peru 2010. PeruNatura was developed last year in a joint initiative by Promperu and Peru Biodiverso as a platform to showcase and find niche markets for Peru’s vast biodiversity, as well as natural wholefoods such as camu camu, sacha inchi, cat’s claw, maca, physallis, Amazon nuts and other exotic super foods in high demand for their health benefits.
There are three seminars and conferences being held including the 3rd International Convention of Organic Products. Expoalimentaria Peru 2010 is supported by the Exporters Association - ADEX, the Peru Export and Tourism Promotion Board - PROMPERU, the Ministry of Agriculture, and the Ministry of Foreign Affairs. Further information at www.expoalimentariaperu.com/mapa/html
Whole Foods Market continues strong sales resurgence
Posted - August 1, 2010
Whole Foods Market continues strong sales resurgence
North America’s leading organic food and natural products chain Whole Foods Market appears to be riding a resurgence in consumer demand for health and wellness after it reported 8.8% comparable store sales growth for the 12-week third quarter ended July 4, 2010. Sales increased 15% to $2.2 billion. Comparable store sales increased 8.8%, or 6.3% on a two-year stacked basis. Identical store sales, excluding three relocations, increased 8.4%, or 4.6% on a two-year stacked basis.
The 3Q sales results compares with 13% sales growth and 8.7% comparable store sales growth in the 12-week second quarter ended April 11, while Whole Foods has enjoyed a huge turnaround in sales since the third quarter of 2009. “We are pleased with our results which compare very favorably to most other food retailers and show we are continuing to gain market share. Our identical store sales increased 8.4%, accelerating from the second quarter and our highest increase since 2006. Despite tougher comparisons and the recent dip in reported consumer confidence, our two-year stacked identical store sales also sequentially increased to 4.6%,” said John Mackey, co-chief executive officer and co-founder of Whole Foods Market.
“Today we are also very excited to announce six new leases. We have eight leases in negotiation and expect an accelerated pace of lease signings to translate into a higher number of new store openings starting in 2012.” Excluding LIFO inventory accounting, gross profit margin increased 13 basis points to 35.0% of sales with an improvement in occupancy costs offsetting higher costs of goods sold as a percentage of sales. During the quarter WFM opened six stores, acquired two stores and divested two stores related to the FTC settlement agreement (Wild Oats-related) in the third quarter. WFM currently operates 298 stores totaling approximately 11.2 million square feet.
Food & beverage opportunity in consumer health & wellness
Posted - August 1, 2010
Food & beverage opportunity in consumer health & wellness
A global study of over 21,620 adults aged 18 and over just released from New York-based Ipsos Marketing, Consumer Goods shows that consumer interest in food and beverages that offer health benefits is greater than, or similar to, interest in vitamins and supplements that provide the same health-and-wellness benefits.
In the food and beverage category, consumer interest was strongest in products that offer better digestive health, increased energy, weight loss and healthy blood sugar levels. Shoppers’ level of interest in food and beverages with these benefits equaled or surpassed their interest in vitamins and supplements offering corresponding benefits. Although not as high as vitamins and supplements, interest in food and beverages that provided heart health, cancer prevention and better immunity was also substantial, with one-third of consumers expressing such interest.
Vitamins and supplements were the preferred source for other benefits such as better immunity, increased brain power, bone and joint health, cancer prevention, hormonal balance, and eye health. When it came to beauty and personal products, consumers were interested mostly in skin care benefits, followed by relaxation and stress relief.
“The data suggests that consumers are most interested in health-and-wellness products in which there is already an established connection between the product and the benefit,” said Lauren Demar, CEO, Ipsos Marketing, Global Consumer Goods Sector.
“However, consumer packaged goods companies should not feel constrained to offer only benefits that consumers immediately understand and believe. Consumers can be educated through advertising, packaging and testimonials about health-and-wellness benefits. Consumers express strong interest in using products associated with better immunity, increased brain power and memory, and bone and joint health – making these strong innovation platforms for tomorrow.”
Burt’s Bees, Whole Foods head Top Green Brands
Posted - July 26, 2010
Burt’s Bees, Whole Foods head Top Green Brands
Burt’s Bees and Whole Foods lead the 2010 ImagePower Green Brands Survey’s list of top 10 U.S. brands perceived to be the greenest, with Aveeno and Microsoft joining the list this year. The fifth annual study also found that in the U.S., people are more concerned about the economy than the environment, while in developing countries, such as Brazil and India, the environment takes precedence.
Making the top 10 brands list in the U.S. after Burt’s Bees and Whole Foods were, in order, Tom’s of Maine, Trader Joe’s, Google, Aveeno, S.C. Johnson, Publix, Microsoft and Ikea.
The survey was conducted by WPP companies Cohn & Wolfe, Landor Associates and Penn Schoen Berland in partnership with Esty Environmental Partners, a corporate environmental strategy consultant. They did online interviews this year from Feb. 27 to March 24 with 9,022 people in the U.S., Brazil, China, France, Germany, India, UK. and, for the first time, Australia.
The survey found that more than 60% of consumers around the world said they want to buy from environmentally responsible companies. In the U.S., though, 35% of those surveyed said they plan to spend more on green products, down 4% from 2009, reflecting the focus on economic worries in the U.S. “Almost 80% of the consumers said they were more concerned about the economy that the environment. That’s the highest of any other country,” says Russ Meyer, chief strategy officer for Landor, San Francisco.
In developing countries, however, the split goes the other way. Of those surveyed in Brazil, for example, 72% were concerned about the environment while 25% cited the economy. “India’s got a split like that, too—59% and 32%,” Meyer says. “It’s interesting to see. There’s a bit of a Western bias that the West is further advanced in thinking about sustainability. India, China—those economies are already on their way to mending, and not so in Europe and the Americas.”
Industry moves to sustainable palm oil
Posted - July 25, 2010
Industry moves to sustainable palm oil
By Warren Beaumont
There is global concern over palm oil being sourced from Indonesia and South East Asia where tropical forests have been cleared to make way for plantations, which have threatened the orangutan. This has led to major food retailers and suppliers to introduce plans to source sustainable palm oil or to ban palm oil in food.
Nestle announced it had stopped sourcing palm oil from the Indonesian company Sinar Mas and was moving to meet high standards for sustainability. Unilever suspended purchases of palm oil from PT SMART, part of the Sinar Mas group. It followed allegations by Greenpeace that Sinar Mas, Indonesia’s biggest palm oil producer, had been responsible for widespread deforestation and peatland clearance.
French supermarket giant Casino has announced that it will no longer use palm oil in 200 of its private label products by the end of 2010 and will eventually remove palm oil from all its food products, citing concerns over palm oil’s environmental impact and high levels of saturated fat. Palm oil will be replaced by other oils such as rapeseed or sunflower. Non-food branded Casino products will still use palm oil, but it must be certified as sustainable.
Australia’s largest supermarket retailer Woolworths has also announced a plan to move to Roundtable on Sustainable Palm Oil (RSPO) certified sustainable palm oil by 2015 for all its private label products. It will apply to become the first Australian retail member of the RSPO, a global not for profit organization set up to advance the use of certified palm oil and to establish consistent standards.
Sustainability questions over supplier’s sourcing
Questions have been raised about Nestlé’s approach to true sustainability in palm oil sourcing after it announced its commitment to using only “Certified Sustainable Palm Oil” by 2015. The segregated supply chain - the ability to keep sustainable palm oil separate from non-sustainable from plantation through to finished products - is still relatively undeveloped. Unilever claims that its involvement in the RSPO-endorsed scheme helps the company move towards its target of buying all its palm oil from certified sources by 2015. This company revealed in April it had bought enough sustainable palm oil certificates under the GreenPalm scheme to cover the requirements of its European, Australian and New Zealand businesses.
Although the oil they receive is not necessarily sustainably certified, in buying certificates equivalent to a certain volume of palm oil a manufacturer is promoting the sustainable production of the crop. “Until sustainable segregated supply chains become available, GreenPalm certificates are the best option to encourage growers to comply with the requirements of the RSPO and certify their plantations as sustainable,” Unilever’s senior vice president of global communications and sustainability Gavin Neath said.
“For those companies who decided to ban palm oil instead of supporting the good suppliers, we would like to ask if they will also take the same action with all other agriculture products”, says Tulio Dias environmental and social responsibility manager for Agropalma, Latin America’s largest producer of palm oil. “As far as we know, every economical development will bring a certain kind of ecological impact. There is no product that is 100% sustainable.” Mr Dias points out that Casino is likely to sell hundreds of products containing wheat and rice, just to highlight two out of thousands of products. He says: “Wheat and rice together stand for more than 370 million hectares of plantation worldwide (palm oil plantations stand for less than 20 million hectares), can they assure that all of them are sustainable? What about beans, fruits, cereals and beverages? This kind of action only shows that some companies are not yet ready for compliance of their procurement with good and sustainable practices, assuring their products come from reliable suppliers”.
Agropalma is the first 100% certified oil palm plantation under ISO 9001, ISO 14,001, OHSAS 18.001 and ISO 22.000. It is also the first producer to be granted approval in 2009 to use the EcoSocial seal by the IBD Certifications for its organic line of palm oil.
“Certification systems are important because almost all buyers (final or middle consumers) don’t have opportunity to visit the producers and to get information on how they operate the business”, says Mr. Dias. “If a buyer trusts a seal, it means that he trusts the certification system used to provide that stamp for that product,” he says.
Regarding issues of non-sustainability and deforestation that impact on fair trade and sustainable producers, and skeptics who do not believe growing sustainable palm oil is possible, Mr Dias agrees that these issues can impact sales for Agropalma and other environmentally and socially responsible producers - in a positive or negative way, depending on the situation. “If a client replaces palm oil for another kind of oil, every company that produces palm oil loses. On the other hand, it can be a good opportunity if a palm oil buyer avoids a supplier whose social and environmental performance is suspect, and starts looking for a substitute supplier who will offer palm oil from an acceptable production process”.
And what about those skeptical? “Anyone who studies a little about sustainability knows that it is related to all production activities, to identify and mitigate negative impacts and to define the right technology and procedures to implement, says Dias. This is a technical issue that can be measured, assessed, analyzed and verified. Producers of the same product can be compared and their performance monitored year after year.” The most difficult task is to define the indicators to measure the level of sustainability for an organization or economic sector.
“Given we sell the palm oil mostly to the US and Canada, Casino’s decision will most likely not affect us in a very large manner unless it is just part of an anti-palm movement, “says Jenelle Ludwig Krause of US based distributor Ciranda®, a worldwide supplier of organic commodities such as palm oil. “To Agropalma there are more opportunities than losses, since the company has strong environmental and social management programs, systems and certifications, and the market is developing new important quality requirements and processes beyond the standard traditionally required,” says Dias.
Agropalma’s plantations are located in a region where almost all native vegetation was already removed for cattle and agriculture. Today, there are almost 40 thousand hectares of palm oil plantations and 64 thousand hectares of primary forest reserves at Agropalma’s operations in Para, north-east of Brazil, with 193 plant species living under the palm trees. Environmental agencies have also identified 389 bird species and 37 species of medium and big mammals at the plantations, including six birds and six mammals considered endangered species.
Currently about 10% of Agropalma’s oil production is organic certified. The EcoSocial seal for fair trade practices applies to its organic line. Under the family agriculture program, 185 small neighboring palm oil producers receive technical assistance and a premium price. Agropalma pays them for their production of palm oil in an effort to divert them from cutting the primary forest and burning trees for coal - the additional income and investment in community projects reflects strong commitment to environmental and social principles. Agropalma’s efforts for its 5,000 employees move far beyond the minimum standards of sustainability achieved by many palm oil suppliers.
“Looking at a situation holistically is so important when making a decision like that (banning palm oil)”, says Ms. Ludwig Krause. “Unfortunately, consumers often see the issue as black and white instead of all the variations of gray that are reality. Hopefully we can continue to educate people about the benefits of sustainable palm such as the fact that it yields up to 13 times more oil than the same acreage of other seed oils”, she says.
EU’s food flavor label shake-up
Posted - July 25, 2010
EU’s food flavor label shake-up
The perspective of food manufacturers and other stakeholders on the costs and benefits of enforcement provisions for the new EU Regulation on food flavorings is being sought from the UK Food Standards Agency during a three month consultation phase. This was revealed in July after the adoption of The EU flavoring regulation at the end of 2008 that is scheduled to commence from January 2011.
The uniform EU controls aim to ensure the free movement of safe and wholesome food, and to take into account the new scientific and technological developments for flavorings, the FSA said. A major change is the new and more detailed labeling requirements for natural flavors, and the reclassification of nature identical and artificial flavors as ‘flavoring substances’. These new requirements need to be on labels and in documentation by the January 2011 enforcement date.
There are new controls establishing maximum levels of BAPs in certain foods and the UK food agency comments that “in practice, the food manufacturing industry may well choose to move to the use of liquid flavoring extracts made from herbs and spices because the levels of BAPs will be more easily controlled.” New flavoring substances proposed for foods, under the regulation, will have to go through a risk assessment procedure, and petitioners will have to supply data to allow the European Food Safety Authority to form an opinion. EFSA is currently reassessing flavoring substances that are already in use in the EU, numbering around 2,800 in all. A definite list, as part of the new law, needs to be adopted by the end of 2010.
As well, an EU-wide health warning must now be put on any food or drink that still contains the colors that are thought to cause hyperactivity in some children, the UK Food Standards Agency said on July 22. This follows the Southampton Study, commissioned by the Agency, which suggested a possible link between consumption of six food colours and hyperactivity in children. The six colours are Tartrazine (E102), Quinoline Yellow (E104), Sunset Yellow (E110), Carmoisine (E122), Ponceau 4R (E124) and Allura Red (E129). Any food and drink containing any of the six colors, except drinks with more than 1.2% alcohol, will now have to provide a warning on the label that the color ‘may have effects on activity and attention in children’. This was mandatory across the EU from 20 July 2010.
