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          Food Processing Industry News From around the World.

          India set for nutritional supplement boom

          India’s nutritional supplement market is set to boom over the next few years, with some analysts predicting it will double in value by 2013.

          According to a report released by Netscribes (India) Pvt. Ltd, the total market for nutraceuticals in India is growing at 21 per cent per annum. It is currently valued at INR 44bn (€621m), but could be worth more than INR 95bn (€1.34bn) in four years time.

          Analysts say the growth of India’s nutritional supplement market is being driven by the changing lifestyle of the country’s consumers and increased knowledge about nutritional supplements.

          “Growth in this sector is being propelled by increasing shift towards preventive therapies, increase in disposable income, increase in healthcare spending, ageing population, pharma retail growth, and favourable pricing environment,” said a Netscribes spokesperson.

          Low cred

          Impediments to growth include a lack of standardisation, high pricing, lack of awareness, marketing and distribution challenges.

          A recently published knowledge paper on the potential of the nutraceuticals market in India, prepared by FICCI and Ernst & Young, said that nutritional supplements currently have a low credibility in Asia Pacific countries.

          The paper pointed to a survey carried out in the region, that revealed that 30 per cent of respondents did not think food supplements offer any additional health benefits.

          Regulatory matters

          There are also some regulatory issues that require clarification by the Indian government, including how nutritional supplements should be labeled in terms of the nutrients they contain and what health claims they can make.

          An official from the Food Safety and Standards Authority of India (FSSAI) said the government is planning to release specific guidelines outlining the safety and efficacy of nutraceuticals by December.

          Several companies are reportedly waiting in the wings until these guidelines are defined. The FICCI and Ernst & Young paper mentions Alkem Laboratories, Plethico, Divi's Laboratories, Mission Vivacare, GNV, Vitabiotic and Robert Schwartz.

          Source : http://www.nutraingredients.com/Consumer-Trends/India-set-for-nutritiona...

          How convenient: superfruits steal fruits’ thunder

          Young people are increasingly interested in getting their serve of fruit in a processed form and quickly turning away from whole fruits, according to author and editor, Julian Mellentin.

          Speaking at the recent Nutracon conference in Anaheim, the New Zealand-based New Nutrition Business editor said superfruits were cashing in on changing consumer preferences, particularly among young people who seek convenience and so choose an acai juice over eating an apple of a pear.

          NutraIngredients.com was unable to obtain press entry to the event, but Mellentin shared some of his insights and those obtained from fellow New Zealand-based fruit research specialist, Hort Research, after giving his presentation, which outlined what he viewed as key factors for superfruit success.


          Convenience was one factor in the rise of superfruits, along with sensory appeal, novelty, control of supply, health benefits and price.

          He noted that superfruit juices presented fruits in their most convenient form, a fact that allowed hefty price premiums to be charged due to the appeal to increasingly time-starved consumers.

          These same consumers were drawn to a juice product over a finicky whole fruit such as pomegranate, that can be time-consuming, messy and difficult to eat in its whole form.

          Superfruit juices offered cost savings for growers and producers as end-product appearance concerns were dispensed with.

          Mellentin quoted food marketing professor David Hughes of Imperial College in London who said:

          “Fresh products are not in the formats that meet people’s lifestyle needs. As a result the value that the fresh fruit industry should be capturing is being stolen by consumer goods companies. What form do you think people under 35 will eat fruit and vegetables? More than half – maybe much more – will be in processed formats.”

          The kiwiberry was an example of a fruit reinventing itself in a more convenient format – it is a mini version of kiwi fruit that can be consumed in one bite, including the skin.

          Superfruit extract-based food supplements such as bilberry, cranberry, acerola and pomegranate were also performing strongly, and bilberry had become the world’s most expensive fruit.

          He put the superfruit extract raw material market at about €110m, of which cranberry and bilberry account for about 75 per cent.

          Japanese food and beverage makers were increasingly focusing research and development on superfruits with health benefits ranging from the eyes, to skin to metabolic syndrome and general immunity.

          The other five factors

          Mellentin observed a defining factor in the success of superfruits is the fact they sell at low volumes but command high premiums. This situation is being driven by:

          * Sensory appeal. Formulators can improve on unpleasant taste that may exist in the whole fruit.
          * Novelty. Can be over-emphasised, but highlights the point that superfruit success lies not so much in the fruit, but the format in which it is presented.
          * Control of supply. Without this differentiation of product offering may be lost so securing ownership of Plant Variety Rights becomes important, as well as being vertically integrated as in the case of PomWonderful which grows its own, clinically-backed version of pomegranate in Californian orchards. Ocean Spray controls 80 per cent of the US cranberry supply, and 65 per cent of the world’s.
          * Health benefit. Mellentin noted a positive relationship between the quantity of science and a superfruit’s status with cranberry, blueberry and pomegranate leading the way. Regular fruits had far less science backing them.
          * Marketing. The success of a pomegranate start-up in the UK which employed grassroots marketing such as sampling and a cassis campaign that created a cartoon character, were examples of innovative marketing that permitted success.

          Source : http://www.nutraingredients.com/Industry/How-convenient-superfruits-stea...

          Indian food show reports record visitors

          This month’s Food Ingredients India 2008 trade show in Mumbai received more than 3200 visitors over two days – 106 per cent more than last year, say the organisers.

          “It is an exciting time on the subcontinent.” said Vincent Brain, the event manager, “and this regional industry has such potential.” The event is organised by CMP Information and UBM India.

          Prospects are also looking good for the 2009 event, as by the time the event had ended, booth bookings for next year had been made to cover the equivalent of 118 per cent of this year’s floor space.

          Fi India will take place 23-24 October 2009 at the Bombay Exhibition Center in Mumbai.

          Source: http://www.foodnavigator.com/Financial-Industry/Indian-food-show-reports...

          Benecol taps health-conscious Indians

          Raisio, the Finnish-based manufacturer of the cholesterol-lowering ingredient Benecol has made its first foray into Asia by inking a deal to supply Benecol to an Indian supplements manufacturer and distributor, British Biologicals.

          British Biologicals hopes the new stanol supplement, Colred-Benecol, will appeal to India's increasingly health-conscious middle class, highlighting a potential new area of development for supplement makers.

          This group, like its western counterparts, has also, contrarily, developed a taste for high-fat, sugar and salt convenience foods.

          Raisio communications manager Heidi Hirvonen told NutraIngredients.com its own on-the-ground research in India demonstrated rates of cardiovascular disease were increasing rapidly among wealthy city dwellers.

          "LDL cholesterol levels are rising so fast in India it is scary," she said. "This is especially so among young people. We think it is the right time to launch a product like this and are confident it will perform well especially as Colred-Benecol is the first product in India in any category to make a cholesterol-lowering claim."

          British Biologicals, established in Mumbai in 1988, will distribute the product in 20,000 outlets including pharmacies, health food stores, supermarkets and general stores in major Indian cities.

          "Experience in Europe has shown that the first player on the market creates a whole new category and often achieves a significant market position," said Raisio CEO Matti Rihko.

          Raisio's move comes amid a difficult period that has seen sales fall in its ingredient division that is dominated by Benecol. Sales of Benecol end-products that include yoghurts, yoghurt drinks and spreads have also registered only marginal growth in many European markets and been disappointing in North America.

          Hirvonen said Benecol and British Biologicals had worked for many months with the Indian Health Department to have the claim approved and hoped to launch similar products making similar claims in other Asian countries including China in the near future.

          "We are also negotiating with food companies in India and other countries with the aim of developing new Benecol-fortified foods," she said. "Benecol is a flexible ingredient and can be formulated into many food categories so we are exploring this with local cuisine in mind. Perhaps a Benecol-fortified naan bread is possible. Why not?"

          Colred-Benecol, which is being sold in powder form to be mixed with milk or water by purchasers, has been backed by an extensive campaign to educate Indian health professionals with British Biologicals introducing the product to 15,000 doctors and seminars held for medical workers and opinion leaders.

          "We expect that a large proportion of sales will be driven by the medical profession," Hirvonen said.

          Raisio may not be the last company to push into developing markets as European and North American markets for stanol/sterol functional foods have been stalling for some years. They have struggled to compete with the popularity of cholesterol-lowering statin drugs.

          Poor performers include a Tropicana Benecol orange juice that was withdrawn from the UK market after little more than a year as sales flatlined. In the US, sales of Minute Maid Heartwise orange juice, which is fortified with Cargill's Corowise sterol ingredient, have also struggled to rise above niche level sales since being launched in 2003 despite a Food and Drug Administration-approved cholesterol-lowering health claim.

          Source : http://www.nutraingredients.com/Industry/Benecol-taps-health-conscious-I...

          India to boost noni cultivation

          The Indian National Bank for Rural and Agriculture Development (Nabard) is forming a farmers’ club to promote the cultivation of noni, according to reports.

          Noni juice comes from the fruit commonly known as 'noni'. But it is also known as 'Indian Mulberry' and 'nonu'. It is believed to have originated in Southeast Asia and to have been distributed subsequently by ancient voyagers or other means into the Pacific islands, including Tahiti and Hawaii.

          Today, it is one of a number of antioxidant fruits, including pomegranate, guarana, mangosteen, goji berries and blueberries, which are increasingly seen by food and beverage makers as up and coming ingredients.

          Demand for noni and other ‘super fruits’ is on the rise, and the move by Nabard looks to tap into this.

          According to reports in The Telegraph – Calcutta, K.C. Shashidhar, the chief general manager of Nabard in Jharkhand region, said: “The bank wants to introduce and promote new trends in agriculture and allied practices in Jharkhand. We want to begin this task with noni plantation.”

          Grants will be given to interested farmers’ groups, in addition to assisting them with scientific knowledge about the new plant, Shashidhar is quoted by The Telegraph –Calcutta.

          According to the reports, industrial cultivation and processing of noni in India is only done in the Tamil Nadu region. Farmers from Jharkhand could soon join them, and benefit from cultivation of the fruit for production of a concentrate that is sold for a relatively high price of € 2.43 (Rs 156) per 100 ml.

          European novel foods

          Noni juice, from the fruit of the Morinda citrifolia L. plant was authorised for sale in the European Union under novel foods legislation, but case reports have continued to surface claiming adverse events after consumption of the juice. These have not stood up to scientific review (Journal of Food Science, Vol. 71, pp. R100-R105).

          Europe's novel foods regulation (EC No 258/97) was introduced in 1997 and requires any food not commonly consumed in the EU prior to May 1997 to undergo rigorous safety assessment before it can be brought to market.

          No safety concerns

          Researchers from Tahitian Noni International in collaboration with the University Medical School of Hamburgs Department of Toxicology, reviewed data from animal studies on toxicology, allergenicity and genotoxicity, and human clinical safety studies. Case reports of adverse events were also analysed.

          Case reports of potential adverse effects of the juice were described as "disparate" by the reviewers, and, due to confounding factors such as other ingredients in the juice, and people also taking Chinese herbs or prescription drugs, could not establish a direct link between noni juice consumption and potential harm.

          Source : http://www.nutraingredients.com/Industry/India-to-boost-noni-cultivation

          Heart health market big in Asia too

          DSM says the buoyancy of the European heart health ingredients market is being matched by some Asian countries where western-style diets and lifestyles are taking hold and bringing concomitant health problems.

          This was particularly the case in urban areas of China, India and some south east Asian countries where affluence is on the rise such as Malaysia and Thailand.

          The Dutch ingredients giant’s comments follow a recent Frost & Sullivan report that valued the European heart health ingredients market at €421m in 2007 and growing at 20 per cent.

          “One-in two adults have high blood pressure in some European countries such as Germany and Spain,” said Luc van der Heyden, DSM business manager of heart health.

          “In China the rate is only one-in-four but it is growing much faster,” van der Heyden said. In North America the rate is about one-in-three.

          “North America and Europe remain our biggest markets but Asia is increasingly important as is Eastern Europe which has well-documented heart health problems.”

          Van der Heyden noted areas associated with heart health such as blood pressure control were becoming more prominent and had allied its dairy peptide-based ingredient, Tensguard, to this health concern.

          He said the clinical backing of Tensguard, which ran to about 20 human trials, and others in the area had gone a long way to boosting the credibility of the heart health category. Many pundits ranked it number one health concern over the past few years and it won the gold award for innovation at the Health Ingredients Europe trade show in Paris last year.

          The company has also submitted several article 13 blood pressure-related health claims to the EU.

          Tensguard is primarily being used in food supplements, particularly in the US, as well as juices and low-salt soups. Van der Heyden said it was priced at roughly the same level as phytosterols.

          The Frost report

          The Frost report highlighted four ingredients: phytosterols; omega-3s; beta-glucans and soy protein as being the “big four” in heart health, but noted there was potential for others to gain in prominence.

          "Research funds for newer ingredients too bode well for the market," it wrote.

          It highlighted phytosterols as being the most successful ingredients in the cardiovascular disease (CVD) and noted the success of products like Unilever’s Flora pro.activ and Benecol which have achieved healthy sales in many European markets.

          With an ageing population seeing heart disease rates continuing to soar, there is “immense potential for growth”, the report, which looks back to 2004 and forward to 2014, states. Over-60s are expected to increase from 20 to 25 per cent of the European population by 2020.

          According to the European Heart Network cardiovascular disease (CVD) cost €192 billion in health care costs across the 27-member state EU in 2007.

          While CVD can be sub-classified into categories such as hypercholesterolemia, hypertension, heart attack and stroke, the Frost research focuses on cholesterol reduction because functional ingredient solutions are most advanced in this area.

          Other scientifically backed options Frost highlighted included fibre, antioxidants, green tea, CoEnzymeQ10, folic acid, B12 and selenium, but the big four had achieved greater popularity because of their “gold standard” scientific grounding.

          Source : http://www.nutraingredients.com/Industry/Heart-health-market-big-in-Asia...

          Functional foods and ingredients booming in India

          Despite low levels of public awareness compared to western markets, functional foods and ingredients are finding growth in areas of India, as consumers switch on to the promise of healthier foods, beverages and supplements.

          The likes of probiotic-fortified yoghurt, buttermilk, omega-3-fortified health drinks and baby foods are winning over swathes of Indian consumers, especially those in the large conurbations such as Mumbai and New Delhi, according to a new Frost & Sullivan report.

          While educating the public remained a “key challenge” for industry, local manufacturing of polyunsaturated fatty acids (PUFA), probiotics and enzymes was coming on stream to service both local and international markets.

          "The market has good scope of growth considering the positive growth of the Indian food processing industry in terms of new investments, new product development,” said Mamta Wadhwa, senior director at Frost & Sullivan, South Asia and Middle East.

          “This coupled with growing awareness amongst consumers about product developments in the global market is sure to drive growth in such fermentation-based food ingredients market in the long term."

          However unclear regulations about new functional ingredients and health claims was acting as a brake on innovation and market growth.

          The report noted 87 per cent of PUFAs (polyunsaturated fatty acids) were used in food supplements, 13 per cent in foods.

          Probiotics have traditionally been consumed in the form of food supplements in India, but platforms such as yoghurts and ice creams are becoming popular, Frost observed.

          The enzymes market grew at 11 per cent from 2007 to 2008, following 12 per cent growth from 2006.

          Frost observed that the global economic recession had not had a major impact on the Indian enzymes market the US, the EU and Japan remaining strong markets and China, South Korea, India, and Taiwan offering “good growth opportunities”.

          Source : http://www.foodproductiondaily.com/Quality-Safety/Functional-foods-and-i...

          Analyst spies global food process-functionality boost

          Growing interest from food processors in providing healthier convenience products is driving a surge in global demand for functional ingredients, particularly in emerging markets like India, suggests recent market analysis.

          Aditi Basu, a consultant specialising in food and chemical operations within the regions of South Asia and the Middle East for Frost & Sullivan, claims that markets such as India present huge potential for ingredient and food groups able to provide functional products in particular.

          By 2010, global demand for food and beverage ingredients is expected to reach $30bn (€21.6bn) from $25bn (€18bn) in 2007, according to Frost & Sullivan predictions compiled for global market intelligence organisation ICIS.

          Indian Growth

          With overall year-on-year growth in the global ingredients market expected between five to six per cent, the findings claim that manufacturers may see even higher increases in a market such as India.

          Basu states that the Indian ingredients market is posting annual growth of between seven to eight per cent, though in more niche areas like health food, double-digit expansion is expected.

          Growing interest in processed foods in the country was seen as helping to push demand for such ingredients, reflecting increasing awareness amongst on-the-go consumers of functional food and drinks.

          Processor push

          The analyst suggests that increasingly hectic lifestyles among Indian consumers, and the resulting concerns on maintaining nutritious diets, have led to surging growth in the Indian food processing sector since 2007, albeit it from a low-base.

          Basu states that, such is the regard for the potential of Indian food processing, that the business sector is now the fifth largest in India and mirrors similar interest in the country’s burgeoning IT industry.

          While Frost & Sullivan claims that India can offer multinational ingredients groups huge opportunities for growth and development, the analyst adds caution, noting that there are certain development challenges to be overcome in the market.

          Basu suggests that despite major government initiatives being undertaken to revise national food safety laws, as well as agricultural regulations, growth is occurring amidst a general lack of centralised control in the Indian supply chain.

          Nonetheless, the analyst expects a definite upward trend in India for specialty health ingredients like probiotics and fatty acids.

          Source : http://www.foodproductiondaily.com/Processing/Analyst-spies-global-food-...

          Gee Lawson enlists Indian calcium specialist

          UK supplier Gee Lawson has signed a deal with a world-leading calcium compound supplier as it seeks to develop its presence in the calcium functional foods market in the UK.

          Global Calcium has been trading in various calcium and other mineral forms out of India for about 30 years, a fact that Gee Lawson managing director Jonathan Short said made it a compelling fit for Gee Lawson’s ambitions in the food supplements aisles and beyond.

          Quality and change

          He highlighted Global Calcium’s emphasis on quality that included low lead levels and production to HACCP ISO9001 good manufacturing practices (GMP) levels and emphasised the importance of such protocols at a time where European Union hygiene, maximum level permitted levels for nutrients and nutrition and health claim regulations are changing.

          “There are many changes occurring in vitamins and minerals legislation and this puts us in a good place to support the nutraceuticals industry,” he told NutraIngredinets.com this morning.

          The deal will see Gee Lawson distributing and developing more than 40 products for the UK food, supplements, feed and pharma markets including gluconate, citrate, lactate, orotate, pidolate, levulinate, lactobionate, saccharate, malates and aspartates.

          “They are a major player and have a large research and development facility which will help to develop proprietary blends as all these regulations come into play,” Shorts said.

          “This slots in very well with what we want to do and saves from having to do a lot of the following up because they have done so much work in this area. But they had little exposure in the UK market so they gain much from this deal as well.”

          Of 17 categories reviewed by Mintel recently, only four saw growth in 2008: glucosamine, omega-3, calcium and iron.

          Huge potential

          Short said functional foods “had huge potential in calcium” despite the regulatory uncertainty over health claims, approved nutrients and upper levels and said such legislation, “if applied sensibly, will be good for business”.

          Potential food applications for the calcium forms includ fruit juices, energy drinks, dry powder blends, breakfast cereals, nutrition bars, infant formula, biscuits, wafers, breads, pasta, milk yoghurt, candies, gums and edible oils.

          The European Food Safety Authority (EFSA) recently approved calcium ascorbate, magnesium ascorbate and zinc ascorbate for use in food supplements across the 27-member state EU bloc. But it was unable to affirm the safety of calcium phosphinate.

          According to Mintel there were 578 added calcium products launched in Europe in 2008 and there have been 225 to date this year.

          Calcium is best known for its ability to keep bones in good health but has also shown potential in some research to assist in areas such as weight management.

          Source : http://www.foodproductiondaily.com/Publications/Food-Beverage-Nutrition/...

          Indian government launches food processing industry magazine

          The Indian Government has launched a food processing magazine as part of its push to fast-track the development of the sector.

          The quarterly publication, called “Food 360° - India’s Processing Revolution”, is one a raft of measures put forward by the government to capture the imagination of industry players, farmers and the population at large, said a statement from the Ministry of Food Processing Industries (MFPI).

          The ministry has also announced the launch of its redesigned, user-friendly website which will act as an important information source for industry stakeholders. Officials further hope its will be a useful tool to attract investment into the sector both from within India and abroad.

          Both measures form part of its 100-day action plan designed to kick-start the domestic food processing industry.

          Minister Shri Sahai said: “The food processing industry, a sunshine sector of the Indian economy, is the key to transforming India by making agriculture viable and market-driven, ensuring inclusive growth and reducing mass poverty.”

          Sahai said both the magazine and website would be key instruments in helping government meet its ambitious goals of trebling the size of the food processing sector from $70bn in 2005 to $215bn by 2015.

          After the success of India’s information Technology (IT) and the biotechnology (BT) sectors which transformed India’s urban economy, it is now the turn of food technology or FT to usher in an economic revolution in India’s vast rural hinterland, he added.

          Source : http://www.foodproductiondaily.com/Processing/Indian-government-launches...