Beverage & Food Processing Times July 2016

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FOOD PROCESSING NEWS

ITC to invest Rs 4,000 crore to set up 8-9 food manufacturing factories across India

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TC will invest Rs 4,000 crore over the next 2-3 years to set up 8-9 factories across India for manufacturing of food products.

ITC's branded packaged foods division grew by around 11 per cent to clock a turnover of Rs 7,097.49 crore in 2015-16. The company, which recently expanded its new SunfeastFarmlite biscuits portfolio catering to health conscious consumers, is looking at tapping this fast growing consumer segment. ITC Foods CEO V L Rajesh said that, health segment of the biscuit market is about one per cent of industry right now but it is growing the fastest. Key approach is to have a full portfolio across segments. We will make a big play in this segment for sure. He further said: "Our claims on health benefits are validated by our labs and research centre in

Bengaluru. We recently launched Sugar release control Aashirvaad Atta for people who have sugar issues. We back our claims with science." The company entered into the dairy segment with Ghee in October last year and launched dairy whitener in North East this month.

The DIPP to put conditions for foreign investors for FDI in food processing sector Food Processing Minister HarsimratKaurBadal is demanding that foreign players looking to invest in the sector would have to mandatorily invest a portion of their investments in building infrastructure at the farm gate level for the benefit of farmers. The minister is asking for putting a condition of investing 25 per cent of the foreign inflows for creating agriculture infrastructure.

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epartment of Industrial Policy and Promotion (DIPP) and Food Processing Ministry are discussing mutually agreeable conditions to be included in applying certain conditions for foreign investors in FDI in food processing sector. The development comes in the wake of Ministry of Food processing asking to put a condition of investing 25 per cent of the foreign inflows for creating agriculture infrastructure in the proposal.

However, another official said that inclusion of any kind of condition in the proposal may hamper investments in the sector. The government is also likely to permit businessto- consumer online selling of food products produced and manufactured domestically. Overall FDI in the country registered a growth of 29 per cent in 2015-16. It stood at USD 40 billion in that fiscal.

“Designer foodwith enhanced or modified nutrients likely to be future of the industry

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am Rajasekharan, Director of Central Food Technological Research Institute stated that the Designer food, with enhanced or modified nutrients to cater to different needs of people, is likely to be the future of food industry. Citing the advancements being made in food processing technologies, Dr. Ram Rajasekharan said that in the future it might not be necessary for a person to compromise on taste or quantity of food to lead a healthy life. He said that people would have a variety of options with specific nutritional values to choose from depending on their needs. Pointing out that application of nanotechnology had begun to revolutionize the food industry, he said, “Diabetic patients can have food as they wish since the

Beverages & Food Processing Times

nature of the food will be altered to slow down absorption by the body.” S. Rethinavelu, Chairman and Managing Director of Tamil Nadu Food Grains Marketing Yard, while delivering the presidential address, made a plea to the State government to take steps for setting up a food park in the proposed Madurai-Thoothukudi industrial corridor.


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BEVERAGE NEWS

Study links lowcalorie sweeteners beverages with healthier diets

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recent study linked consuming beverages containing low-calorie sweeteners with healthier diets and lower calorie consumption overall. The journal Nutrients published the study earlier this year, which Splenda featured in a news release this week. Researchers noticed higher-quality diets among non-consumers (NC) of sugary-sweetened beverages and consumers of low-calorie beverages (LCB) compared to consumers of sugarysweetened beverages (SSB) or consumers of both sugar-sweetened and low-calorie beverages.

The study's findings also suggest that NC and LCB consumers tend to not consume other sugary foods as a way to compensate for less sugar or energy intake. That's even though their nearly equivalent daily calorie intake (1718 kcal/day and 1719 kcal/ day, respectively) was significantly less than SSB consumers (1958 kcal/day) and consumers of both SSB and LCB (1986 kcal/day). This study's results could be big news for diet soda companies, but is it too little too late? As more consumers veer toward "healthy" rather than "diet" products and concerns about artificial sweeteners increase, diet soda brands have taken a hit in recent years. That's left companies like PepsiCo scrambling. The beverage and snacks giant recently announced it would be bringing back its aspartame-sweetened version of Diet Pepsi after consumer backlash followed the brand's reformulation to replace aspartame with sucralose. However, the move isn't quite a "New Coke" snafu, as PepsiCo isn't pulling sucralose-sweetened Diet Pepsi altogether. The sucralose version will remain in the traditional Diet Pepsi silver packaging, while PepsiCo will release the aspartame-sweetened version as "Diet Pepsi Classic Sweetener Blend" in light blue packaging. Artificial sweetener producer Splenda is promoting the results of this study as nutrition research that supports consumption of products made with its sucralose sweetener. Food Dive reached out for confirmation whether Splenda or its parent company Heartland Food Products Group had provided funding for the study, and the brand confirmed they had not.

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Vol. 9, Issue 02 - July - 2016

India�s Only Monthly Newspaper for Food, Beverage & Allied Sectors

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Vol. 9, Issue 02, July 2016,

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IRCTC, CFTRI signed

Kerala to be first to impose MoU for food processing tech 14.5% ‘fat tax’ on junk food

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ndian Railway Catering and Tourism Corporation (IRCTC), an Indian Railways PSU, has signed an MoU with Central Food Technological Research Institute (CFTRI) to get technology to provide hygienic food products and services to the train passengers. CFTRI is one of the 40 national research laboratories in India, set up under the aegis of the Council of Scientific and Industrial Research (CSIR). It has a proven track record in food safety and designing and developing over 300 products and processes in the production and handling of grains, pulses, spices, fruits, vegetables, meat, fish, and poultry. The MoU aims to provide technology to IRCTC to provide enhanced health, safety, diverse regionspecific food products and extended shelf-life of identified food products for rail travellers. Apart from these, the IRCTC and the CFTRI also agreed to finalize the list of products and services for which CFTRI would provide its technology to IRCTC, a PSU of Indian Railways. Under the MoU, both the organisations would work together to meet the broad objectives of providing enhanced health, safety, diverse region-

specific food products and extended shelf-life of identified food products for rail travellers. The signatories also agreed to finalize the list of products and services for which CFTRI would provide its technology to IRCTC, a PSU of Indian Railways. Earlier, IRCTC had joined hands with governmentowned Defence Food Research Laboratory for transfer of technology in the field of food and beverage processing and packaging that would upgrade its catering operations. The agreement with the Mysuru-based DFRL envisages transfer of the technical knowhow and quality testing to IRCTC’s ready-to-eat packaged food for those travelling in trains.

ultinational fast food chains like McDonalds, Pizza etc. are set to be hit on the back of the new tax imposition by Kerala. Kerala has introduced a ‘fat tax’ on the consumption of junk food items like pizzas and burgers sold through branded restaurants. This is the first time a state in India as taken such step.

Meanwhile, the state government has also made consumption of ready-to-eat chapatis dearer with the introduction of 5% tax on wheat products in packets. Along with this, 5% tax has been imposed on packaged basmati rice and coconut oil. Disposable glasses made out of plastic are set to be taxed at a whopping 20%. The introduction of fat tax, as a measure to curb the consumption of junk food among people, has been a matter of global debate. Some countries like Denmark and Hungary even implemented it. Denmark, however, scrapped it later.

The newly-elected LDF government imposed 14.5% tax on branded restaurants selling items like tacos, pizzas, burgers, sandwiches, among others. The announcement was made by state finance minister Thomas Isaac as a part of the newly-elected LDF government’s first State Budget presentation after being elected to power.

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Vol. 9, Issue 02 - July - 2016

TEA & COFFEE NEWS

Starbucks Corp expanding partnership with Tata Group beyond India

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tarbucks Corp is expanding its partnership with Tata Group beyond India by launching the latter's single-origin coffee in the US and Himalayan mineral water in Singapore. The world's largest coffee retailer will also launch specialty tea brand Teavana in India by year end. According to John Culver, group president at Starbucks Coffee China and Asia Pacific, the partnership signed five years ago was not just for the business and joint venture in India. As two global iconic company with strong capabilities around the world, and continue to look at ways to partner together beyond India.

Culver added that both can leverage expertise around sourcing, blending and bringing coffee and tea products outside India.. Starbucks Reserve Tata Nullore Estates - will be the first coffee from India to be roasted and launched in Seattle later this year. In addition, Starbucks' coffee will also be exclusively made available on all flights by Vistara, a JV between Tata Sons and Singapore Airlines. Tata Starbucks has 84 outlets making its pace of expansion a record in Starbucks' 45-year history. The Indian JV generated revenue of Rs 171 crore in the year ended March 2015, an 80% jump even as losses narrowed to Rs 47 crore from Rs 51.87 crore a year ago. The Seattle based coffee chain posted per-store sales that were more than two-and-a-half times higher than its largest rival, thanks to premium pricing and locations that attract more customers. Starbucks also expects its Indian business to eventually rank among its top five markets. Experts feel the company may not be able to keep up its high sales as it opens stores in suburbs and towns where most consumers may find Starbucks pricey. Globally, most cafe consumers including that of Starbucks are attuned to a takeaway culture, which helps cafes add margins with very little cost.

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Vol. 9, Issue 02 - July - 2016

FOOD PROCESSING NEWS

Nestle to develop and market FDI in food processing puts an experimental milk allergy Maharashtra state in advantage test for infants

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estle, the world’s biggest food company, is stepping up its push into medicine with a global deal worth up to 100 million euros ($111 million) to develop and market an experimental milk allergy test for infants. The Swiss group will pay DBV Technologies 10 million euros upfront for rights to its skin patch test for cow’s milk protein allergy, with the balance depending on successful development. Shares in the Franco-American biotech company had risen 6 percent to 61.30 euros on the news by 0800 GMT and the deal underscores Nestlé’s ambitions for its Health Science division, which it believes could eventually generate more than 10 billion Swiss francs ($10 billion) in annual sales. It also complements the company’s infant formula business and could help lift sales of formula for babies with food intolerance. Nestle has signed a series of similar deals with other small companies in its bid to create a new kind business that is midway between food and pharmaceuticals. The goal is to find new ways to treat, diagnose and prevent a range of diseases, from gastrointestinal problems to Alzheimer’s. An allergy to cow’s milk affects up to 2 or 3 percent of infants and toddlers, according to the companies. Many others, however, have symptoms suggestive of the condition, creating a need for a simple diagnostic test. Under the terms of the agreement DBV will be eligible to receive up to 90 million euros in development, regulatory and commercial milestones – on top of the upfront payment – and will also collect royalties on eventual product sales. The new test will need to go through extensive clinical trials before it is cleared for sale and DBV expects it to be submitted for approval to

regulators worldwide by 2021. Nestle Health Science, which employs around 3,000 people, is an expanding part of the Swiss group’s operations. Given ageing populations around the world and spiralling cases of lifestyle diseases, Nestle sees big opportunities in health – but the initiative also poses new challenges, since it takes Nestle into the highly regulated medical field. Strategically the shift towards health offers Nestle a hedge against slowing growth in packaged foods and may also offset crackdowns on unhealthy foods blamed for obesity and other lifestyle problems. For DBV the deal is a vindication of its Viaskin patch technology. The company has another test for peanut allergy in clinical trials, as well as an earlier-stage programme for egg allergy.

Appropriate guidelines to be framed by the government to encourage investment FDI route

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roper rules and guidelines are being framed by the government to boost investment through Foreign Direct Investment (FDI) route in the retail market for the food processing industry.

Minister HarsimratKaurBadal said that food processing ministrytrusts entry of multinational companies will play a catalytic role in transforming rural and farm economy if they enter the retail market. She, however, sought to clarify that foreign players looking to invest in the food processing sector in India will have to mandatorily divert about 15 per cent of funds in building

infrastructure at the "farm gate level for the benefit of farmers. Badal added that they do not want a situation where MNCs open retail outlets but procure things from the regular mandis. This will hurt farmers only. Hence the ministry has proposed for 15 percent funds to be invested for infrastructure developments. The government had agreed in principle for allowing 100 percent FDI in marketing and processing of food products and Finance Minister ArunJaitley had made the announcement in the budget 201617 also.But once the guidelines and related rules are framed by the Commerce Ministry, it would formally go before the Cabinet for necessary approval. The minister also launched a new online portal for bringing more transparency in developing and maintenance of food parks and the new portal will allow online filing of claims for release of grant for the projects.

he Union Ministry of Food Processing has listed Maharashtra among the four states with potential to derive maximum benefits from policy reforms in food processing. The other states are Punjab, Haryana, and Andhra Pradesh. Maharashtra also leads in horticulture produce in the country, with 40 per cent produce.

demand is met from processed food imported from abroad. At present, the state’s processing capacity of vegetables and fruits does not exceed one lakh metric tonne (MT). Interestingly, Maharashtra, a leading state in agriculture as well as industries, has failed to develop the food processing sector.

100 per cent Foreign Direct Investment (FDI) in the food processing sector is likely to boost agro-industrial investments in Maharashtra. The state government also believes that the decision would help them override the agrarian crisis in the state. The food processing units would help Maharashtra to process 40 per cent vegetables and 30 per cent fruits, which are wasted due to lack of infrastructure. The inadequate food processing sector also is a primary reason for poor remunerations farmers get. They cannot bargain in absence of robust market linkages. It also implies that the gap between supply and

The NABARD report mentions, “Although the state is leading in agroindustry, it ranks way below others in investment by international standards in food processing infrastructure.” The state government has already taken steps, with four mega food parks in Satara, Ahmednagar, Wardha and Nagpur getting a go-ahead. The districts for food/fruits processing units include Nashik, Pune, Kolhapur, Ahmednagar, Jalgaon, Nagpur, Latur and Sindhudurg. The chief minister believes the food processing sector should also be promoted in districts reeling under farmers’ suicide and drought.

APCCIF wants special food processing policy 2015-2020 an open-ended

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he Food Processing sub-committee of the Andhra Pradesh Chambers of Commerce and Industry Federation (APCCIF) has urged the State Government to make the food processing policy 2015-2020 an open-ended one and incentivize the stand alone food processing units continuously. The sub-committee, Chairman P. BhaskaraRao, pointed to the inadequate access to credit which, he said, was a major concern, and said the Government should set up a separate financial institution to cater to the credit needs of this sector on the lines of the National Housing Bank and the Mudra Bank. Bhaskar said, NABARD should consider direct lending to stand alone units and the industry should be insulated against the volatility in power tariff, at least for a minimum period of five years. Tax holiday for 10 years will help sustain growth in the sector. Mr. Rao suggested that the Government develop model agricultural villages and set up organisations to ensure production of processable variety of crops. A mango and banana board on the lines of the coconut/rubber boards was the need of the hour.

The members had also sought constitution of a task force-empowered committee with stakeholders from different quarters like the horticulture department, marketing, APEDA, CFTRI, DGFT and other trade bodies to address challenges confronted by the industry. Establishment of an exclusive marketing network with an apex body (under food processing society) at State-level, cargo facility with reefer containers at airports, institutions like the Indian Institute of Crop Processing Technology (IICPT) and the National Institute of Food Technology and Entrepreneurship Management (NIFTEM) and industry status for food processing were other demands of the committee members.

ITC to invest Rs 4,000 crore to set up 8-9 food manufacturing factories across India

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TC will invest Rs 4,000 crore over the next 2-3 years to set up 8-9 factories across India for manufacturing of food products.

ITC's branded packaged foods division grew by around 11 per cent to clock a turnover of Rs 7,097.49 crore in 2015-16. The company, which recently expanded its new SunfeastFarmlite biscuits portfolio catering to health conscious consumers, is looking at tapping this fast growing consumer segment. ITC Foods CEO V L Rajesh said that, health segment of the biscuit market is about one per cent

Beverages & Food Processing Times

of industry right now but it is growing the fastest. Key approach is to have a full portfolio across segments. We will make a big play in this segment for sure. He further said: "Our claims on health benefits are validated by our labs and research centre in Bengaluru. We recently launched Sugar release control Aashirvaad Atta for people who have sugar issues. We back our claims with science." The company entered into the dairy segment with Ghee in October last year and launched dairy whitener in North East this month.


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NEWS

WHO retracts coffee's classification as possible carcinogen uterine cancers. Since 2011, global coffee consumption has increased by about 2.5% per year on average, according to the International Coffee Organization.

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he World Health Organization reversed its stance on coffee, 25 years after declaring the beverage a possible carcinogen that could cause bladder cancer. The organization did heed warning against drinking very hot beverages, as they probably cause cancer — specifically of the esophagus — in humans.

While the WHO's reclassification of coffee is certainly good news for coffee manufacturers, there isn't likely to be much financial impact. Despite coffee's link to bladder cancer, consumption has steadily risen worldwide. If consumption increased even while the beverage was listed as a possible carcinogen, it's unlikely the WHO's announcement is going to encourage consumers to buy more coffee than they already do. If anything, the move seems to be more of a formality, as years' worth of research has already

come to the same conclusion, and the coffee industry has continued to grow. What could help coffee companies is WHO's link of coffee to preventive benefits that may reduce the risk of certain cancers. This offers coffee manufacturers more options for health benefits to promote on product packaging and marketing materials. It also better aligns coffee with the functional foods movement, wherein consumers want additional health benefits along with flavor and satiety.

The announcement comes after WHO's International Agency for Research on Cancer reviewed more than 1,000 studies that determined coffee has no conclusive carcinogenic effects related to bladder or other cancers. Instead, coffee has been shown to provide protective benefits that could potentially reduce the risk of liver and

Owing to crop damage, Tomato goes skyrocketing

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omato prices in most retail markets across the country have doubled to Rs 80 per kg in last 15 days due to sluggish supply owing to crop damage. Among metros, Chennai recorded the highest price at Rs 80 per kg today compared with Rs 44 per kg on June 1. Similarly in Kolkata, the price is ruling at Rs 60 per kg today as against Rs 30 per kg earlier this month. In Mumbai, rates have risen to Rs 58 per kg from 38 per kg while in Delhi; prices have surged to Rs 51 per kg from Rs 25 per kg.

The country’s tomato production is estimated at 18.28 million tonnes in the 2015-16 crop years (July-June) as against 16.38 million tonnes in the previous year. Karnataka, Madhya Pradesh, Andhra Pradesh, Telangana, West Bengal and Odisha are the major tomato growing states in the country. Due to rains, the crop in South India also got affected because of which prices have also risen there, he said, adding that even heat stress in north India has damaged the crop in some parts. Unlike potato and onion, there is short shelf life of tomato. The absence of adequate cold storage facilities in the supply chain has aggravated the problem.

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DAIRY NEWS

Rs 3,000 crore to be invested by Amul over a period of four years on expansion

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ujarat Co-operative Milk Marketing Federation (GCMMF), which markets milk and dairy products under Amulbrand, is planning to set up of new plants and add capacity to existing facilities. Amul will invest Rs 3,000 crore over the next four years on its expansion plans of entering states like Bihar, Jharkhand, Odisha, Kerala and North-East to expand business.

"We are investing Rs 600-800 crore every year. We will invest about Rs 3,000 crore by 2020 on expansion," and are setting up new plants in Uttar Pradesh, Maharashtra, Gujarat and West Bengal as well as raising the capacity in existing plants, he added.

Amul is also setting up new plants in Mumbai and Kolkata and entering Assam market through third party manufacturing, and there are plans to enter Bihar, Jharkhand, and Odisha and Kerala markets soon. The cooperative will soon launch sweet 'Rasmalai' with a shelf life of one year. GCMMF has about 60 processing plants, of which 40 are in Gujarat. The cooperative's milk procurement for 2015-16 increased to 186 lakh litres per day as against 148.50 lakh litres in the previous fiscal.

Coimbatore-based business conglomerate Sakthi group plans to invest 180 cr in three years

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oimbatore-based business conglomerate Sakthi Group is aRs 6000 crore dairy division, which is ramping up its operations to meet the rising demand for milk and milk products in the country.

The production unit of the company is currently located at Pollachi. It would set up another plant of 5 lakh litres a day capacity at Krishnagiri, which is nearer to Bengaluru. "The idea is to expand the supply of milk which is currently limited to Kerala and Tamil Nadu to other southern states.

The ABT Industries of the group which includes the dairy wing plans to invest around Rs 180 crore in the next three years to expand the milk production from 4 lakh litres a day to 10 lakh litres and to increase the production of its value added products.

As part of facilitating distribution, the company is looking to set up five milk packing unit, two of which will be in Kerala. A unit for production of ultra-high temperature milk, which has a longer shelf life, is also on the anvil.

C P Charles, senior president- operations, dairy division of ABT Industries said that they will invest close to Rs 30 crore in the current year for setting up a modern product factory with facilities for manufacturing yoghurt, paneer, cheese, flavoured milk, Indian sweets and ice cream.

As part of the dairy division's efforts to achieve a target of 15 lakh litres a day by 2025, it will set up 4000 integrated farms with high-yielding breeds with 15 plus animals per farm, increased automation and high quality feeds. It has eight such farms now.

Kwality Ltd gets branding push; clears legal hurdle

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airy products player Kwality Ltd, said that it has successfully come out of a brandingrelated legal dispute after Graviss holding withdrew its case on May 31 and has plans to invest Rs 500 crore for expansion Kwality Ltd President and Head Business Transformation Nawal Sharma said that the case was pending before Delhi High Court for a short span of time and have successfully come out of the legal suit with Graviss withdrawing the case on 31st May, 2016. The company is making a strategic business shift from B2B to B2C category with plans to roll out various high margin value-added dairy products, he said. Kwality has plans to invest close to Rs 500 crore to expand production capacities to increase the share

products sold under the Amul brand, was Rs 33,000 crore or $5 billion. Rapidly moving up the global rankings, Amul is now ranked as the 13th largest dairy organisation in the world, according to the latest data released by the International Farm Comparison Network (IFCN). It is ranked well ahead of other dairy companies such as Land O'Lakes & Schreiber Foods of USA, Muller of Germany, GroupeSodiaal of France and Mengniu of China.

GCMMF achieved a turnover of Rs 23,005 crore in 2015-16 and aiming to reach Rs 50,000 crore by 2020. Elaborating on expansion, Sodhi said the new plants in Kanpur and Lucknow are expected to be operational in next two months. A cheese plant in Gujarat will start operation soon.

In dairy sector, if you have to grow then you have to increase milk handling capacity. We are increasing our milk processing capacity to 320 lakh litres per day from the current 280 lakh litre per day. We target to increase this capacity to 360 lakh litres per day by 2020," said its managing director R S Sodhi said.

Amulregistered a quantum growth of 187 per cent in the 6 years with CAGR of 19.2 %

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uring the last three years,Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets the popular Amul brand of milk and dairy products, achieved a growth of 67 per cent to clock a turnover of Rs 23,004 crore during the year 2015-16. Amul has registered a quantum growth of 187 per cent in the last six years, indicating a whopping cumulative average growth rate (CAGR) of 19.2 per cent. The group turnover of GCMMF and its constituent member unions, representing the figure of all

It is in the process of launching value-added products such as flavoured milk, numerous variants of cheese and table butter, among others.

During the last six years, Amul’s milk procurement has witnessed a phenomenal increase of 87 per cent. This enormous growth in milk procurement was a result of high milk procurement price paid to our farmer-members which too has increased by 90 per cent during this period.

Amul is keen on setting up an Rs 400 crore project in drought-hit Vidarbha region

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nion Minister NitinGadkari said thatAmul is keen on setting up aRs 400 crore project in droughthit Vidarbha region of Maharashtra where farmers are committing suicides. With Amul’scooperation milk production will increase by four to five times and farmers will get much relief. Vidarbha which houses 75 per cent of forests of Maharashtra has so far not been able to be successful in dairy business and west Maharashtra's Kolhapur district has much better production, the

Road, Transport, Highways and Shipping. Gadkari said Amul recently revived a dairy in Jalgaon and now it has evinced interest in Vidarbha. They are ready to buy milk. Their rate is better than the Market. Amul is planning to invest about Rs 2,500 crore to raise its milk processing capacity to more than 38 million litres per day in the next four years. Besides Amul project, Gadkari said several steps have been taken for farmers including their orientation towards beekeeping, sericulture, goat farming and improving the breeds of popular cows like Sahiwal and Gir.

Patanjali to enter cattle feed segment and launch dairy items sectors natural medicine, natural food, natural cosmetics, dairy products, cattle feed and natural manure in a big way.

of retail sales to 70 per cent from current 30 per cent of its turnover over a period of time, he added. The company has roped in Bollywood actor Akshay Kumar, as its brand ambassador to boost its presence in the retail segment. It has also engaged Ernst and Young as its IT transformation partner to facilitate transition from a B2B to a B2C company. Delhi-based Kwality Ltd has six milk processing units in Uttar Pradesh, Haryana and Rajasthan. The company sells dairy products such as milk (bulk, pouched and tetra-packs), ghee, curd and skimmed milk powder.

In the last two years, when dairy farmers across the world saw a sharp decline in farm-gate prices of milk, only farmer-members of Amul cooperative family have witnessed growth in milk procurement price."

Ramdev claimed that he had seen feed being given to cattle contains 1-4 per cent urea which made adverse impact on more than 50 per cent of bovine in the country, and Patanjali Group would also roll out natural manure which shall contain micro nutrient, vitamins etc. for crops.

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atanjali will soon launch more dairy products, cattle feed and natural manure and will come out with more dairy products like liquid milk as it is aiming total turnover of Rs 10,000 crore by next year. We shall set up 3-4 dairy projects so that farmers can be empowered and people get commodities unadulterated said Yoga Guru Ramdev. He said the Patanjali Group would focus on six

Beverages & Food Processing Times

Ramdev said that Patanjali group would never roll out unhealthy products in the market. "I will never bring unhealthy items in the market, like meat, liquor, non-veg items which are harmful," he said adding that Patanjali had no plan to make bread. Ramdev said that more than 250 products including flour, medicine, rice are sold on 'no-profit no loss' which helps in rising prices of essential items.


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NEWS

Nichrome Launches Highest Speed Modular Milk Packing Machine

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ichrome, the Pioneer in flexible packaging in India, introduces “Filpack Servo 6K”, the highest speed machine in free flow liquid packaging. This Single Head machine for Milk and other liquids in Pouches, offers a remarkable speed of up to 6,000 Packs per Hour. On the Filpack Servo 6K, one or two such modules can be added for increasing the speeds to give Double (12,000) or Triple (18,000) its output at site! Apart from a complete Stainless Steel structure,

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Innovation is life

is the hidden enemy of Spray Dryers

FSSAI extends the deadline for food companies to get a license

You need dry air to increase productivity by over 30%

Provide inlet air at low and consistent RH

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ood Safety and Standards Authority of India (FSSAI) has stretched the deadline for food companies to get a license to run their businesses by another three months, to August 4. This is the eighth time that the (FSSAI) has extended the deadline. The last date to get the licence had lapsed on May 4. The decision has been taken after the Union Health Ministry considered representations from various stakeholders, including food companies and industry associations, it added. As per the Food Safety and Standards Act, no person shall commence or carry on any food business except under a licence. There are about 3 crore food business operators in the country out of which 37 lakh are registered with the food regulator.

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Digital Heat Control system for maximum accuracy and a separate Control Panel box; it has an Inbuilt Jumbo roll and a web tracking attachment. Recipes can be set and Quantity can be changed through the HMI alone! A Remote control can be used for machine operation and machine automations can be remotely accessed. The installed Insulated Tanks maintain product temperature and minimize energy loss. Choose from fixed pouch width options of 100mm, 125mm and 150mm, and save considerably in the long run! Address: Safire Park Galleria, 4, PuneMumbai Road, Shivajinagar, Pune -411005, India.Telephone:+91–20–66011001 E-mail: marketing@nichrome.com Website : www.nichrome.com


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Vol. 9, Issue 02 - July - 2016

FOOD SAFETY NEWS

Instead trained food safety Due diligence must for official, customs officers to making food safety reports ensure safety of imported food public to avoid panic: FSSAI biotechnology or oil technology or agricultural science or veterinary sciences or bio-chemistry or microbiology or a Masters in chemistry or degree in medicine from a recognized university”.

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nstead of appointing full-time technically qualified and trained food safety officials, the Food Safety and Standards Authority of India (FSSAI) has made customs officials responsible for ensuring the safety of imported food across 125 points of import and clearance as an additional task. The move, which contradicts FSSAI’s own regulations, has been made as part of government’s push for ease of doing business. In March 2016, these custom officials were designated as what the FSSAI Act calls "authorised officers". Besides undertaking all other custom duty related tasks, they are now additionally in-charge of supervising, taking samples, sending these to labs, reviewing the lab results and approving the safety of all imported food products coming into India against the set standards for more than several thousand products and ingredients that FSSAI approves. Their appointment comes in contrast to the regulations FSSAI passed this January. Under these norms the FSSAI mandated that the technical qualifications and training of those posted at customs to check safety of imported should match that of ‘food safety officers’ as prescribed by law. Under the regulations, at the time of joining, Food Safety officers - a category of specialised officers enshrined in the law - are supposed to “have a degree in food technology or dairy technology or

But the custom officials were not individually identified and checked against these qualifications before the additional charge of food safety was handed over to them. The examiners, superintendents, inspectors and appraisers at these 125 locations were appointed in their ex-officio positions instead. They were also not trained to handle import of food products under the law at the time of handing them this additional charge.

The US, EU and many other developed and developing countries, including those in Africa have dedicated food safety officials across their importing points. In fact the US food safety officials carry out checks of food safety on their own as well as through third party certification even at the manufacturing units of the exporting countries. A hard application of sanitary and phytosanitary standards and conditions by developed countries has many times lead to disputes with exporters, including with India. The appointment of unqualified custom officials for food safety comes as part of a larger package of the reform through the single window process. In January regulations for safety of imported foods were revised without mandatory public consultations. FSSAI is empowered to use emergency provisions to bypass consultations when there is an ‘urgency concerning food safety and public health’. But, the agency used the emergency provisions of the law for ease of food import business.

FSSAI’s proposal to relax norms for carbonated juices to trigger more launches in the fizzy drinks category

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ood Safety & Standards Authority of India (FSSAI) rules require a minimum of 10 per cent fruit juice or pulp content in such beverages to qualify as a juice drink, except in lime where it is 5 per cent. But now the food regulator's proposal to relax norms for carbonated juices, will allow a lower threshold for their juice content, will trigger more launches in the fizzy drinks category. . The industry has been rowing in low single digits; this draft notification, if implemented, will help the carbonated industry in innovation and hopefully, spur consumer demand for functional drinks. Seeking comments from stakeholders,

the media and tend to create panic. The scientific committee will also examine that issue in the context of recommendation of the joint parliamentary committee that had recommended a very cautious approach in reporting of issues relating to food without proper due diligence.

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SSAI said studies should be made public only after "due diligence", as otherwise it creates in public. This comes against the backdrop of a report claiming carcinogenic contents in bread. Food Safety Standards Authority of India (FSSAI) CEO PawanAggarwal stated that while they appreciated the case... that highlights issues and points out various risks associated with the food we consume, there is also serious concern in terms of implications when such studies are reported in

Last month, Centre for Science and Environment (CSE) in its report had said commonly available brands of pre-packaged breads, including pav and buns, tested positive for potassium bromate and potassium iodate banned in many countries as these are listed as "hazardous" for public health. Following that, FSSAI banned the use of potassium bromate as an additive in food products.

FSSAI to crack down on mineral water packaging units operating without licence

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SSAI has asked state authorities to find all mineral water packaging units that are operating without its licence, as about 75 per cent of the packaging units, owned by various firms, including PepsiCo and Bisleri, are said to be operating without an FSSAI licence. These units are operating under a BIS certification. The Food Safety and Standards Authority of India (FSSAI), however, feels there is no safety or quality concern over the bottled water supplied by these units. In fact out of total 5,842 registered water packaging units, 1,495 units have both BIS and FSSAI licences, while 4,347 units have only BIS certification.

the FSSAI said in a draft notification that "in case the quantity of fruit juice is below 10 per cent but not less than 5 per cent (2.5 per cent in case of lime or lemon), the product shall be called carbonated beverage with fruit juice."

Also out of close to 6,000 registered packaged water units in the country, more than 4,300 don't have FSSAI licence, which also include some reputed names, where some of their units may not have food regulator's approval.

The proposal also states that the quantity of fruit juice should be declared on the label.

FSSAI CEO PawanAggarwal said that the FSSAI

The regulator has issued a notice calling for claims, suggestions, views and comments from stakeholders within 60 days on the draft notification related to carbonated fruit beverages. Prime Minister NarendraModi had suggested adding at least 2 per cent natural fruit juice to aerated drinks.

FSSAI have referred the issue to the scientific panel which is meeting on (June) 28th and have invited CSE to make a presentation on potassium iodate and also on potassium bromate in terms of their findings.

regulations require mandatory BIS certification on packaged water. However there is a need for such businesses to obtain FSSAI certification. For which they have already written to the state food commissioners. Aggarwal also said that BIS has robust system of ensuring quality of packaged water. There is no issue of safety of packaged water at all, if the packaged water businesses have obtained BIS certification. Most of the companies have no issues in obtaining FSSAI licence as per the feedback received by the regulator, he added. According to the regulator data, the units which do not have FSSAI licence include units of Hindustan Coca-Cola, PepsiCo and Bisleri, among others. PepsiCo sells its packaged water under the brand name Aquafina, Coca-Cola sells under the name Kinley, while Bisleri sells under its own name.

FSSAI to fix limits for various additives for alcoholic beverages, including wine and others

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SSAI has called for suggestions, views, comments etc. from stakeholders within a period of 30 days on the draft notification related to additional additives, enzymes, processing aids for use in alcoholic beverages including alcohol free and low alcoholic counterparts. The regulator has also included new additives in the list. In the notification, the regulator has mentioned the list of additives or enzymes which can be used for production of grape wine and distilled spirituous beverages containing more than 15 per cent alcohol. FSSAI CEO PawanAgarwal had said that the

Beverages & Food Processing Times

regulator has finalised a list of food additives and standards with respect to alcoholic beverages and the standards are in alignment with International Organisation of Vine and Wine (OIV) standards.


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Vol. 9, Issue 02 - July - 2016

FOOD SAFETY NEWS

Brexit effect: Indian lady’s finger may go missing from British platter

Premier Fruits, LaManna merger creates $500m fruit and veg giant

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giant Australian fruit and vegetable company has been formed with the announcement of a merger between Melbourne-based Premier Fruits Group and Australia’s largest banana producer and seller, LaManna Group. The combined company, which will initially continue to trade as two separate entities, will have total sales of more than $500 ¬million a year. The move is a key plank in the continuing expansion strategy of Premier Fruits to grow nationally and internationally, moving it closer in scale to Australia’s biggest fruit and vegetable wholesaler, the listed Costa Group. Details were sketchy about how much money had changed hands in the transaction, with new group chief executive and head of Premier Fruits, Anthony Di Pietro, adamant it was a true merger, rather than a takeover or buyout of LaManna. LaManna owns extensive banana farms in North Queensland around Innisfail and Tully, and markets bananas for their growers across Australia in all the major city wholesale fruit markets, as well as through Coles, Woolworths and Aldi. It also grows and sells mangoes, avocados, oranges, tomatoes and other tropical fruit. Its dominant owner is now Market Gardens NZ rather than the original LaManna family of Melbourne. Premier Fruits grows tomatoes in Victoria, and capsicums, zucchini, eggplants and melons in Queensland, and owns Freshway farms in South Australia. It is a private company, majority owned by three foundation families, and the nation’s secondlargest wholesaler of fruit and vegetables nationally after Costa. Premier Fruits and LaManna formed a joint

venture 11 years ago when together they bought Fresh Choice WA, a relatively small fresh fruit and vegetable wholesaler that has grown into a $60m business. “We are like sister companies already, so this is very exciting to now move into a full strategic partnership nationally,” said Mr Di Pietro, who is also chairman of the Melbourne Victory football club. “We are doubling our size by coming together — this sets us up for future growth, investment and innovation and allows us to offer a bigger complementary range of fruit and vegetables to our major customers all year round.” About 10 per cent of Premier Fruits’ sales are exports. Mr Di Pietro is keen to continue buying and marketing fruit and vegetables on behalf of smaller farmers, and expanding the new company’s production facilities. He denied the merger with LaManna prepared the joint company for a quick ASX listing, mirroring the successful Costa float last year. “We are focused on bedding this merger down, growth and ¬improving our business — any new ownership structure would be at least five years away,” Mr Di ¬Pietro said.

have long term implications. Food prices in UK would go up. This will invariably lead to drop in demand for exotic vegetables and fruits. Higher selling prices would also lead to a fall in sales," said KaushalKhakhar, CEO, Kay Bee Exports. In 2014-15, India exported fruits and vegetables worth Rs 7,474.14 crore, fruits worth Rs 2,771.32 crore and vegetables worth Rs 4,702.78 crore.

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ndian bhindi is an increasingly popular 'exotic' vegetable in multi culti Britain. It is also a vegetable whose exports from India have consistently grown brining good returns to farmers. However, exporters now fear a decline in demand for Indian vegetables like baby corn, chillies etc from non-Indians in UK, as the local food is likely to become expensive due to exchange rate related issues after Brexit. Traders and exporters say that during periods of economic uncertainties, demand for exotic and organic food declines. The South Asian community would buy it irrespective of the prices, but those who experiment with it may not do so, say exporters. Indian mangoes, pomegranates, vegetables like bhindi or lady's finger, which blend in with cuisine of many nationalities, along with baby corn and chilies are some of the important Indian vegetables exported to the UK. "The exchange rate vis-a-vis the pound is likely to

Beverages & Food Processing Times

It is the second largest importer of Indian grapes and mangoes, which stood at Rs 209 crore and Rs 32 crore respectively. Though there could be decline in demand due to currency-related issues, exporters hope that there would be some benefits like exemption of some duties and relaxation of phytosanitary norms. "We believe that the quarantine restrictions for exports to the UK may be liberalised after it leaves the EU. Currently, all of EU quarantine concerns, including those of growing countries like Spain and Portugal, are factored in while setting up rules and regulations. Now, the UK will have to consider only its own quarantine concerns. Being a Northern European country, we expect it to have far fewer restrictions," Khakhar said. Grape exporters think that the UK could exempt the 8% import duty on Indian grapes as it does not grow grapes locally.


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Vol. 9, Issue 02 - July - 2016

TRENDS NEWS

India�s Only Monthly Newspaper for Food, Beverage & Allied Sectors

www.agronfoodprocessing.com

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Vol. 9, Issue 02, July 2016,

100/-

n violence we forget who we are” I started with this quote in tribute to all those who were meaninglessly killed in this and the past month. But as they say …the show must go on….so I am going to go about my business. Recently you must have read that many meat traders in India have faced ferocity by the orthodox Hindu activists, but surprisingly India is one of the largest exporters of beef and India’s water buffalo meat exports are competing effectively in developing-country markets with a demand profile that favors India’s relatively low-cost product, and where import demand is substantially out pacing that in traditional US markets. Growth in demand for water buffalo meat in India’s export markets, largely in Southeast Asia, the Middle East, and Africa, has been strong relative to that in developed-country markets and is expected to remain so over the next decade. In addition, India may benefit from the opening of important new markets, particularly Russia and China. Still, according to the US Department of Agriculture (USDA), Indian water buffalo meat exports, although relatively low cost, are mostly noncompetitive with US beef exports, primarily due to quality preferences and animal health regulations in the major markets that import US beef. Talking of safety, FSSAI has asked for suggestions from stakeholders on the draft notification related to additional additives, enzymes, processing aids for use in alcoholic beverages including alcohol free and low alcoholic counterparts. FSSAI is also revising the list of fish species having potential to cause histamine poisoning and also set limits of histamine levels in fishery products. Histamine, a food-borne toxin, is formed as a result of time and temperature abuse of certain fish species that can cause illness to consumers. So at last, Dabur is launching fruit-based carbonated drinks to cater to customers wanting fizzy beverages without feeling guilty about consuming them. Well the move comes almost two years after Prime Minister Narendra Modi first urged cola companies to add fruit juice to their fizzy drinks. The current rules stipulate that a minimum 10% fruit juice or pulp is required to be classified as a carbonated fruit beverage. Dabur's new range is called Real VOLO. Never count your chicken before they hatch…… poultry and egg prices have jumped 20-30 per cent in several parts of the country amid an extended dry spell, fall in production and rising input costs. The year 2016 has been an unusual year for the poultry industry in India as prices of both chicken and eggs remained the highest for six consecutive months, defying the normal lean periods of summer and season examinations. Industry experts say the severe heat from the long summer led to large-scale deaths of birds in the farms, resulting in a drastic fall in production. The average rate of inflation in India for 2016 may be 5.7% but for the common man, it seems much higher. The price of tomatoes has gone through the roof. A few months back, farmers in areas were tomatoes are cultivated had thrown a huge quantity of their produce onto the roads and destroyed crops when the prices dropped to Rs 1 kg. But now everything has changed. Earlier, tomatoes were priced between Rs 10 to 20 per kg. Now the price is between Rs 60 to 80 per kg. Many people have stopped buying tomatoes and are switching to tamarinds as a substitute Food and Consumer Affairs Minister Ram Vilas Paswan said that the rise in tomato prices was a “seasonal factor” and the commodity cannot be procured using the Price Stabilization Fund due to short-shelf life of the key vegetable. The government is procuring pulses and onion to create a buffer stock to be used for controlling prices by boosting supply in the open market at a cheaper rate. Dubai-based retail conglomerate Lulu Group, has announced investment of over Rs 7,000 crore in India for setting up shopping malls and hotels. This is because of relaxation in the FDI norms. Lulu Group, having an annual turnover of $6.3 billion, has already made major investments in retail, hospitality and food processing sectors in India. Well the Indian food processing industry as many shades, what I mean to say though price inflation usually affects it, but the industry tends to overcome all hurdles and enhance impeccably. Till next time!

How my Daily Meal the ‘real food-tech’

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aintaining a healthy diet is one of the cornerstones of good long-term health, but during our fast-paced work days we may sometimes be forced either to indulge in junk food or even skip meals. When experiencing hunger pangs, most youngsters now rely on the multiple food-tech apps for a ‘quick fix’ of junk food. Then there are others who skip breakfast or other meals because of lack of time and other reasons. On a regular basis, both scenarios can pose long-term health risks. While there may be no one-size-fits-all solution to these pain points, a Mumbai-based startup— myDaily Meal—claims to have a solution they consider ‘the future of food’. What is myDaily Meal?

L to R- Sunil Rao, Anurag Kedia and Saurabh Garg Founded by AnuragKedia, SaurabhGarg and Sunil Rao, myDaily is positioning itself as a ‘perfectly

engineered meal replacement shake’ that provides the exact nutrients required by the human body in one meal. The founders have almost 10 years of prior experience in the health and fitness space through parent company, Four Fountains De-Stress Spa, which they have been running for close to a decade. Currently available in three variants—neutral, chocolate, and vanilla, each pack of myDaily consists of 115g of powder that has a fourth of an adult’s daily nutritional requirements including energy, proteins, carbs, fats, fibre, 12 essential vitamins, and 13 minerals. myDaily is prepared using ingredients of natural origin and the startup claims that it has no added preservatives or artificial colours, and is transfat-free. The startup has got approval from the Food Safety and Standards Authority of India (FSSAI) and its ingredients have been deemed safe and not known to cause any side effects. Available for immediate consumption, the powder needs to be mixed with 350 ml of water and shaken till it reaches one’s desired consistency. Talking about the product, Anurag, Co-founder of myDaily, who is an IIT Bombay and IIMA graduate, said, It is a unique product with nutrition and

Fortifying healthy

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t’s no secret that consumers want healthier snacks, and perhaps the biggest indication of this trend is the surge in demand for highprotein offerings—and brands’ overwhelming response in product introductions. According to Mintel, Chicago, there has been a 54 percent increase in the development of highprotein foods in the U.S., with the claim appearing on 2 percent of all new food products launched across the board. In the end, American product introductions with high-protein claims accounted for a fifth of those released worldwide in 2013, with American introductions twice the number of those of its closest rival, India, which experts see as a clear indication of the trend’s monumental strength in the U.S. (“U.S. consumers have a healthy appetite for high protein food,” Mintel, January 2013). These new product launches are meeting consumer demands revealed in data from the International Food Information Council (IFIC), which found that 63 percent of consumers look for protein content when purchasing a packaged food or drink product, and 57 percent are trying to get as much protein as possible into their diet (“Food & Health Survey 2015,” IFIC, May 2015). Many variables are at play here. First, says Jean Heggie, strategic marketing lead, DuPont Nutrition & Health, St. Louis, consumers are snacking more, “on average, consuming 2.8 snacks per day and, due to their busy lifestyles, are more likely to choose snacks as an alternative to a traditional meal. In making these choices, they are choosing snacks that offer more nutritional value, and protein is one of those nutrients that they are specifically looking for in the snacks they are choosing.” David Whitmer, corporate director of quality, research and development, and innovation, MGP

Beverages & Food Processing Times

Ingredients, Atchison, KS, notes, “Grain-based foods have a perception of being wholesome and good for you.” Adding protein to such products can incrementally up the food’s better-for-you appeal. Protein-rich offerings also have especially strong appeal when it comes to niche markets like athletes and active adults, says Grace Harris, director of applications and new business development, Hilmar Ingredients, Hilmar, CA. Such products fit into post-workout offerings, as well as sports nutrition overall. Additionally, she says, “satiating protein content helps with weight management and weight loss.” This means that protein’s appeal is twofold: It not only appeals to the widespread desire for products boasting healthier nutrient panels overall, but also zones in on specific groups searching for protein. Formulation considerations Though dairy and vegetable proteins have traditionally been the most-popular options in food fortification, brands operating in the space today have a whole range of ingredients at their disposal. “Ingredient companies have started offering specialty cocktails of proteins, such as pea, hemp and microalgae, to expand the toolbox for formulators,” says Matt Patrick, technology, applications research and technical sales, Delavau Food Partners, Philadelphia. “Each type of protein has its strengths and weakness, and formulators must take advantage of the former, while managing the latter.” Indeed, perhaps the biggest “weakness” when it comes to protein fortification is a change in the final product’s texture. “Many proteins have a tendency to absorb moisture over time,” explains Heggie, “so high-protein bars or snacks can sometimes dry out or harden over time, resulting in undesirable taste and texture effects, and limited


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Vol. 9, Issue 02 - July - 2016

TRENDS NEWS

engineered the future of food to become startup of India convenience coming together. It is manufactured at a 3P location in Himachal Pradesh and meets all stringent quality standards as required for a food product. The back story and ‘secret formula’ As entrepreneurs themselves, the founding team noticed that they and people around them generally struggled with managing their diets effectively. Regular travellers and people with tight schedules were generally worse off. Saurabh, Business Head at myDaily, is also an IIT Bombay and IIMA graduate. He said, “Almost any working professional in today’s fast-paced life has to face this problem multiple times in a week.” So they decided to develop a product that was healthy, required no cooking time and could also be consumed quickly. The three founders, together with a team of formulators and under the guidance of EzhilArasan, an ex-Dr Reddy’s Research Scientist and a consultant with various nutraceutical and nutrition companies, worked on it. Sunil, co-founder, who is an SPJIMR alumnus said, The single guiding principle was that it should be the healthiest meal possible, and should replace any meal completely giving entire nutrition as required by the body. It should make you full for four to five hours, till your next meal. It took the team almost a year of experimentation to get the product right, as they were particular about both the taste and nutritional profile. Ezhil, the scientific mind behind myDaily, noted, We started with looking at the entire 334 pages of Recommended Dietary Allowance by the Indian Council of Medical Research and doing various analyses to get the nutrition requirements. Then came the lab samples and post tens of iterations and hundreds of tasting sessions, we have a

product that we are proud of. Saurabh notes that while most of the food-tech players in India have been working around logistics and delivery, almost none have worked on the scientific aspect of food and improving it. He said, “We believe that this is the real foodtech. In our busy lives we end up either skipping a meal or eating junk food due to lack of time at least 10—15 times in a month. This positions myDaily as a perfect solution to this urban problem.” Marketing and sales MyDaily has been selling their product through their own website, e-commerce platforms like Amazon and Flipkart, and also through their offline chains through Four Fountains outlets. So far the startup has mainly relied on online channels and some offline events at select corporate offices to reach out to their target audience. As parent company Four Fountains is already in the healthcare space, they have easy access to an existing pool of possible customers.

Over the past few months the company has gained 1000 customers and the product is priced at Rs 1250 for 10 packets across all variants. There is also an option to buy individual packs or packs of three. Saurabh admits that it is still early days and there is a small barrier to entry as potential customers need to be educated about the product and its benefits. While there is probably a market of early adopters who would readily try it, there will be others who might want more social validation before embracing it. Sector overview The food-tech market was estimated to be a $50 billion market in 2015, growing at 16–20 percent year on year. Saurabh noted that they are going after a subset of this market that consists of ‘skipped meals’ and junk food and estimates it to be at $10 billion considering only urban India. He said myDaily has immense growth potential. Apart from it being a business opportunity, we feel that skipping meals is a genuine problem as it leads to various health issues. On the global scale, Andreessen Horowitzbacked Soylent is one of the early entrants in this space and it currently caters to the American and Canadian markets. The company recently announced the launch of Soylent 2.0 and its expansion plans through Amazon Launchpad.

Closer home in India, we have another startup— SupermealX—that labels itself as India’s answer to Soylent, which is currently shipping its second batch. While these are baby steps, there are other more ambitious initiatives that aim to change the ‘future of food’ by improving food on the molecular level. Hampton Creekbacked by Horizon and Khosla Ventures is an interesting food-tech company that is specialising in the development of plant-based mayo, cookies, and cookie dough. Future plans myDaily believes that the problem they are going after affects millions of people every day across the globe. So while their short-term goal is to capture the Indian market through multiple offline and online channels, their long-term goal is to expand to other global markets with similar needs. Saurabh added, We would also look at some strategic alliances and have already started getting enquiries from markets like the Philippines, Vietnam, Indonesia, and the like. This is a global problem and we feel that we can definitely look at a global brand with my Daily. Based on customer feedback, myDaily is estimating demand and also exploring what other variants they should include in the future. Also, going forward, they aim to provide shakers with their product and are also planning to introduce ‘mini meals’ for consumers who are looking for a replacement for a smaller snack. Currently bootstrapped, myDaily aims to raise a funding round in the future based on their growth and needs. You can check out and place an order on their website- my Daily Meal

be declared as potential allergens on labels, and care must be taken to manage and segregate them within the supply chain.” There are many basic protein sources from which to choose, and within each of those overall categories are many additional varieties. For example, not all soy proteins are created equal, notes Heggie. “Depending on the application or type of snack you are trying to make, one might be preferred over another, due to its specific functional characteristics,” she says. That’s why DuPont recently introduced a concept library, demonstrating the versatility of soy across formats and featuring “a wide range of different soy protein ingredients that deliver the functionality required of the specific snack format featured,” Heggie explains. The snack forms featured in the

and baked formats. Choosing the right protein grows complex when it comes to baked goods because, regardless of the protein type chosen in the end, doughs become increasingly viscous and difficult to mix when high levels of protein are added, says Heddleson. Protein can also impact the stickiness and handling properties of dough, and reduce the loaf volume of breads. Further, “increased levels of protein fortification can result in increased Maillard (nonenzymatic) browning of baked goods,” he says, “impacting the finished product color in an undesirable way.” To combat this, bakers can opt for protein-rich inclusions, based on soy, wheat, whey, brown rice, dairy, peas and more. Heddleson notes the availability of a proprietary, stabilized corn-germ

library include sweet and savory options ranging from nutrition bars to extruded snacks, clusters

ingredient that features 18 percent protein content. He also recommends pea protein as an option

in bakery applications, due to its relatively low allergenicity and mild taste profile. OdyManingat, Ph.D., vice president of research and development and technical services, Manildra Milling Corp., Shawnee Mission, KS, recommends wheat-based proteins, which blend easily with other dry ingredients in a formula. “The only consideration that formulators have to watch for is water absorption,” he emphasizes, since wheat proteins absorb twice their weight in water. The company offers a range of wheat-based protein ingredients, ranging from 75 to more than 90 percent protein content. Due to all the considerations formulators need to weigh when adding protein to their products, Mark McKnight, senior vice president of sales and marketing, RiceBran Technologies, Scottsdale, AZ, recommends they take the process in stages. “First, start off with replacing only 10 percent of your empty carbohydrate ingredients with the nutrient-rich and protein-fortified ingredient,” he says. “Make adjustments to water content and other binding agents as needed. Second, increase from 10 percent to 15, 20 or 25 percent. More than likely, you will reach a threshold beyond which you cannot keep increasing the protein.” In the end, protein’s incredible surge in popularity means that many companies are rushing to enter the market to meet demand. Strong partnerships and mindful formulations will separate successful brands in a crowded field. “As much innovation is going on in this space, and protein is a new area of development for many snack and baked goods manufacturers, it is important that you rely on the expertise of your protein supplier,” concludes Heggie, “to make specific recommendations on which soy proteins will perform optimally in your specific project.”

snacks and baked goods with protein shelf life.” In an effort to combat this issue, Heggie has observed many companies opting for seeds, nuts and grains, as opposed to powders, to achieve a “natural look” while increasing protein content. “However, it is often difficult to get to high protein levels with these components alone,” she explains. As a result, Heggie says she is seeing increased interest in using soy products, including a new 90 percent soy-based protein her company offers that is especially appropriate for crunchy textures. The ingredient can work in ways that don’t compromise texture, she says, “either through a crispy piece that blends well with nuts, seeds or grains, or by incorporating it more discreetly into a compound coating or as part of the binding matrix that holds a clustered snack or bar together.” Dan Force, product manager, Prinova USA, Carol Stream, IL, says beef protein isolate still has a place in appropriate snack foods, including savory bars or trail mix—and it’s approved by USDA for up to a 30 percent inclusion rate. “With a price point comparable to beef,” he says, “there is practically no added cost to boosting your protein.” New beef protein isolate and hydrolyzed chicken protein isolate each contain more than 90 percent naturally isolated protein from their respective sources. “They also have the added benefit of being allergen-free and Paleo-friendly,” he adds. Protein and baked goods When it comes to breads and other bakery products—a new frontier in the protein trend— there are many considerations at the formulating stage. First, says Ron Heddleson, senior director of research and development, QualiTech, Chaska, MN, bakery formulators need to determine where they are willing to fall on the allergen scale. “Many protein sources are primary allergens—wheat, soy, dairy,” he explains. “These protein sources must

Beverages & Food Processing Times


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Vol. 9, Issue 02 - July - 2016

PACKAGING NEWS

Bosch presents the world’s first Sealed Paper Packaging

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aiblingen, Germany – Bosch Packaging Technology and BillerudKorsnäs developed the world´s first Sealed Paper Packaging. Instead of using polymer film, a new solution enables production of dust-tight packaging for dry products such as sugar, grains, flour or powders using sustainable mono-material paper, which contains no additional polymer fractions. As a result, retailers and consumers profit from clean shelves, high product protection and improved product quality. Swedish paper specialist BillerudKorsnäs contributed its expertise to the optimization of the mechanical properties of the paper, while Bosch Packaging Technology proved its competence as a leading provider of packaging technology. The paper packaging is produced on the first vertical form, fill and seal machine (VFFS) with the so-called ZAP-Module. The module allows coating with the sealing agent on a minimal surface area, preserving the paper`s mono-material character. The solution is based on

the proven “PME” machine concept from Bosch. The new solution combines this technology with the Axello®ZAP paper from BillerudKorsnäs. “This revolutionary concept would not have been implemented without the collaborative effort of both companies. Together we have developed a solution that will change the packaging market,” said Joachim Dittrich, head of Liquid Food product division at Bosch Packaging Technology, responsible for the VFFS ZAP portfolio. Great offer for environmentally conscious consumers Compared to conventional paper, Axello®ZAP is substantially more durable, while retaining its natural paper characteristics and advantages from source to recycling. The sustainable characteristics of the material increase its appeal to eco-conscious consumers. With the Axello®ZAP paper, BillerudKorsnäs has developed a new, better packaging material which reliably withstands the stronger mechanical requirements in processing.

“The combination of the strength, flexibility and stiffness of Axello®ZAP paper fits perfectly with Bosch’s technology,” said Ole Paulussen, sales director at BillerudKorsnäs. More flexibility for formats and pack styles Until now, the production of mono-material paper packaging was only possible with glued pre-made bags or formed paper bags on mandrel wheel technology. The VFFS concept, more flexible regarding formats and pack styles and thus popular on the market, so far only allowed bag production using polymer film or fully coated paper. With the ZAP-Module from Bosch it is now possible to process mono-material paper on VFFS technology with dust-tight sealing. The secret lies in the characteristics of the Axello®ZAP paper, which was specially developed for this application, as well as in the ZAP-Module, which applies a minimal amount of the sealing agent during the packaging process to enable heatsealing of the

paper on the VFFS machine. Revolution in the dry food market The solution meets the growing demand for sustainable packaging for dry foods such as sugar, flour, grains and powders. Moreover, the machine is user-friendly and allows versatile packaging styles, including pillow, gusseted and block bottom bags with gable or flat top closure. “We are positive that our solution, supported by several years of development, not only addresses today’s challenges for our customers but also gives them the possibility to enter completely new markets and areas of application using sustainable packaging,” said Marcus Velezmoro, sales responsible for the VFFS ZAP portfolio at Bosch Packaging Technology.

Packaged water becoming a sunrise industry

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ne of the emerging sectors in Coimbatore is packaged drinking water, with the city having more than 60 units though according to a food safety official, all the food units have to obtain a licence. While there are many packaged drinking water units, only 40 have licence. Due to urbanisation, there is a dip in drinking water resource, which leads to consumption of packaged water. Efforts should be taken to recycle water to bring down wastage. In fact bottled water is easier to handle compared to tap water and can be used for a month and companies have systems in place to deliver the water once in two days to regular customers. Residents of both, apartments and independent houses buy bottled water. At homes, when all the family members go out for work, there is no time to fetch and store water. Hence, they prefer bottled water. Also with improving awareness on health and hygiene, increase in tourism, and the easy availability of bottled water, per capita consumption of bottled water in India is on the rise. The maximum sale of bottled water comes from the retail sector; but this is changing with demand going up for social functions and corporate events. People prefer bottled water because it is hygienic and could be bought at a minimum cost. Usually bottled water is needed during travel, but the problem is, used water bottles are littered on roadsides or open spaces. There should be a proper system to collect and recycle these bottles.

Beverages & Food Processing Times


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Vol. 9, Issue 02 - July - 2016

BEVERAGES NEWS

Unnati farmers to contribute in making Maaza $1 billion brand; expectation from coca cola

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ndia accounts for 50 per cent of the world's mango production but the per acre yield is very low as compared to other countries but Coca-Cola India Pvt Ltd is hoping that the Unnati farms here contribute majorly to make its mango fruit drink Maaza a $1 billion dollar brand and also help in localization of oranges for its Minute Maid orange juice brand. Project Unnati is aimed at a large scale adoption of Ultra High Density Plantation (UHDP) technique, at least in the areas where Jain Irrigation Systems and Coca-Cola have influence. Under the UHDP system, the number of trees per acre is higher by reducing gap between two trees and also their proper pruning. This ensures the trees start to yield fruits faster and it is literally low-hanging fruits where one can even lie down and have a bite. Farmers under the Unnati project grow two mango kinds - Totapuri and Alphonso and the life of a tree is around 25 years and after that new trees will be planted. The project o be scaled up over a period of 10 years is aimed at creating an ecosystem that delivers higher growth and income for farmers and 'Grove to Glass' fruit supply chain.

Cola India and South West Asia, the two lakh ton mango pulp needed when Maaza becomes a one billion dollar brand is majorly expected from the mangoes grown in Unnati farms and the entire two lakh ton of mango pulp will be for the domestic market. Project Unnati alone is expected to deliver close to 240 kilo tonnes of fruit by 2023-24 and around 200,000 ton of mango pulp valued around Rs.1,100 crore would need be sourced by Coca-Cola India and its bottlers when the 40-year-old Maaza becomes a S1 billion brand by 2023. Currently Coca-Cola system in India sources around 100,000 ton of mango pulp worth Rs 650 crore. Kini said Jain Irrigation, through the Coca-Cola system, exports around 25,000 tons of mango pulp to over 20 countries. The bottlers of Coca-Cola India are setting up five Greenfield projects over the next two years at least 50 per cent of which will have manufacturing lines for Maaza.

CavinKare is the first company to foray in ready to serve fruit milkshake fruits available in the market. It is a tricky product; cannot be developed easily," said Ranganathan CavinKare is already present in the milkshake market. The firm has already invested Rs 40 crore in milkshakes and had "lined up additional Rs 30 crore for fruit milkshakes and further line extensions", Ranganathan added.

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MD CK Ranganathan of CavinKare said that it is the first company to foray into ready to serve fruit milkshake witha shelf life of six months without preservatives. In fact in the market, flavoured milk is available only with flavour of apple or flavour of mango. There is no combination of milk, honey and real

refreshing our U.S. lineup to provide three options that meet differing needs and taste preferences,” PepsiCo said.

Coca-Cola Femsa to purchase Unilever's AdeS soy-based beverage business

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oca-Cola Co and its largest bottler, CocaCola Femsa, have agreed to purchase Unilever's AdeS soy-based beverage business, which has a strong presence in Latin America. The sale is valued at about $575 million. AdeS, which reported about $284 million in sales last year, will be added to the non-carbonated beverage platforms shared by Coca-Cola Femsa and Coca-Cola in its franchise territories,

With this latest acquisition, Coca-Cola can capitalize on its strong position in the market while inspiring growth in a new, non-carbonated beverage market segment. AdeS is the latest brand to hit the chopping block for Unilever, following divestments of brands like Slim-Fast diet products, Ragu tomato sauces, and Bifi meat snacks.

Global consumption of beverages to rise the fastest in India and China

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ccording to a forecast by global research firm Canadean Global, in the coming five years consumption of beverages will rise the fastest in India and China in the coming five years,. By 2021, more than two-thirds of the rise in global beverages consumption will come from Asia, which accounts for 60% of the world population, while the share of Europe and the US would drop to 18% from nearly a third in 2000. Soft drinks and packaged water will be the primary drivers of incremental volume growth, underscoring the opportunities offered by lack of quality tap water. In India, Coca-Cola, PepsiCo and Bisleri dominate the soft drinks and packaged

water market, valued at around over Rs 15,000 crore. The forecast highlights the growing importance of emerging markets.

Cavin's Fruit Milkshake was launched across Tamil Nadu and the company said it was planning to cover the rest of the southern states in three months followed by pan-India coverage by the end of this financial year.

PepsiCo to Reintroduce Aspartame- Sweetened Diet Pepsi

According to VenkateshKini, President, Coca-

according to a statement. This acquisition is a strong one for Coca-Cola for its expansion of its non-carbonated beverage portfolio. While carbonated beverage sales were flat worldwide, non-carbonated beverages grew 7% in the latest quarter. As demand for soda wanes in major global markets, including the U.S., Coca-Cola has focused on diversifying beyond soda, expanding its portfolio with acquisitions and stakes in brands like Monster energy drinks, Suja juices, and Fairlife milk. Coca-Cola's Venturing and Emerging Brands (VEB) segment has been crucial to this non-carbonated portfolio growth.

CavinKare turnover was Rs 75 crore in the milkshake segment and that the target was to double it with the help of the latest offer.

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epsiCo Inc. said it would reintroduce the aspartame-sweetened version of Diet Pepsi, its latest attempt to halt plunging diet cola sales. The company said it would continue to sell sucralose-sweetened Diet Pepsi, which it introduced last August to replace the aspartame version. PepsiCo also said it would rename Pepsi Max, a smaller diet cola brand, as Pepsi Zero Sugar in the U.S. The moves come as diet soda sales continue a precipitous decline., where consumers are avoiding artificial sweeteners. Sales declines in Diet Pepsi accelerated after PepsiCo replaced aspartame with sucralose, another artificial sweetener. Diet Pepsi loyalists complained about the taste. Consumers want choice in diet colas, so we’re

PepsiCo said last year it changed Diet Pepsi’s recipe because consumer surveys showed aspartame—long the soda industry’s primary zero-calorie sweetener—was the No. 1 reason people were dropping diet cola. Although the U.S. Food and Drug Administration vouches for aspartame’s safety, some studies have flagged health concerns and internet reports tie the controversial sweetener to everything from cancer to autism. But new Diet Pepsi drinkers haven’t materialized since the company launched the sucralose version last August. That is in part because consumers increasingly are rejecting all artificial sweeteners, not just aspartame, over health concerns. By changing the name of Pepsi Max, PepsiCo hopes to mimic the success of Coca-Cola Zero, Coke’s second-largest diet cola, which has outperformed other diet brands. U.S. volumes of Coke Zero fell 3.3% in the first quarter, according to Beverage Digest. Legal concerns factored into PepsiCo’s decision to stick with the name Pepsi Max instead of Pepsi Zero when it relaunched the diet cola in the U.S. in 2009, according to people familiar with the matter. PepsiCo feared at the time that Coke could sue for trademark infringement.

Coca Cola to set up a bottling plant in Sitarganj in 70 acres of land

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fter Coca cola had to cancel its plan to establish a unit at Chharba village in the state on environmental grounds, the beverage giant will set up a bottling plant in Sitarganj in 70 acres of land to be provided by the Uttarakhand government. The company recently has asked the State Industrial Development Corporation of Uttarakhand Limited (SIDCUL) to clear its stand on water, Common Effluent Treatment Plant (CETP) and other issues in the 1,700-acre Sitarganj industrial estate. Coca Cola will set up the plant with the total

Beverages & Food Processing Times

investment of Rs 400-500 crore and has submitted an Earnest Money Deposit of Rs 1.26 crore.


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Vol. 9, Issue 02 - July - 2016

AGRO PROCESSING NEWS

In the next five years, Gujarat expects Rs 15,000 crore investments in agro food rocessing

Ruchi Soya to set up multiple facilities in the food and agribusiness sector in Dakshina Kannada district, Karnataka

Around Rs 3,000 croreinvestments have been made under various schemes for food processing but with special focused policy, about Rs 10,000-15,000 crore investments in agro food processing sector in next five years is expected.

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ujarat expects about Rs 10,000-15,000 crore investment in agro food processing sector in next five years, after announcing a dedicated policy in agro business. The state government announced the 'Comprehensive Agro Business Policy 2016-21' which focuses on value addition of agriculture produce. According to state government, there are huge opportunities in agro food processing sector in India and through this policy it wants to explore markets within India and globally. Under the 'Comprehensive Agro Business Policy 2016-21', financial assistance will be provided for setting up new agro and food processing unit, expansion and modernization to existing units in the state. Gujarat government will provide financial assistance of maximum Rs 50 lakh per project for the same under the policy as capital investment subsidy.

and agricultural workers. Ruchi Soya Founder and Managing Director Dinesh Shahra said that the proposed new integrated platform is expected to have significant value for both the Indian farmer, in terms of efficient handling of produce and sales realisation, as well as for the Indian consumer, who will stand to gain from an increased range of high quality finished products.

The eligible units and infrastructure projects will be provided reimbursement of net tax paid by them under section 13 of Gujarat value added tax (VAT) tax against their output tax liability. The reimbursement will be limited to a ceiling of 70% of the eligible fixed capital investment made by the unit. The state government will also provide air and sea freight subsidy to the food processing units in limit of Rs 10 lakh per year to boost export from Gujarat.

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uchi Soya Industries has received approval from the Karnataka government to set up multiple new facilities in the food and agri-business sector in Dakshina Kannada district. The company received the clearance from State Level Single Window Clearance Committee (SLSWCC). Ruchi Soya will set up multi-location palm fruit and kernel processing units producing edible oil, palm kernel cake, palm kernel oil and solar power in Dakshina Kannada district and will also set up a nursery to produce high-yielding varieties of plant species and creating awareness about oil palm cultivation. The new facilities will offer employment to over 17,000 people including farmers, contract farming

Beverages & Food Processing Times

Ruchi Soya had entered into an agreement with Karnataka government in November 2015, for setting up these facilities and now will establish a complete and integrated value chain. Earlier, in 1998, one of Ruchi Soya's group companies started business in Karnataka with an investment of Rs 80 million in Mangalore (Dakshina Kannada) to install a liquid handling and storage terminal with with a capacity of 17,500 tonne. The company further invested Rs 2 billion from 2001-2011 and set up an edible oil refinery plant in Mangalore with a capacity of 1,400 tonne per day. Currently, Ruchi Soya has procurement rights in palm planted area of over 2, 00,000 hectares, including 4,000 hectares in Karnataka.


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Vol. 9, Issue 02 - July - 2016

TRADE NEWS

Stefan Scheiber is the new CEO of Bühler

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hange in the top management of Bühler: continuity and accelerated change Uzwil (Switzerland), July 1, 2016 – As announced a year ago, Stefan Scheiber is now CEO of Bühler. He succeeds Calvin Grieder, who will focus on his role as Chairman of the Board. “In order to continue the success story of Bühler, we want to seize the opportunities of accelerated change presented by megatrends such as digitization, safe feed and food, and sustainability,” said Stefan Scheiber at the occation of the CEO handover. As a result of this change, additional executive positions in the Grains & Food business have been reassigned. The appointment of Stefan Scheiber stands for

continuity and accelerated change at Bühler. Stefan Scheiber (50, Swiss) has been with the solution provider for industrial process technologies since 1988. In the course of his 25-year career, he has led various sales and production organizations at all management levels in Kenya, South Africa, Germany, and Switzerland. “With our portfolio of solutions and our global presence in over 140 countries, we are strongly positioned in the important growth markets of food and mobility,” says Stefan Scheiber. “The aim now is to transform this position into further profitable growth.” Calvin Grieder, who has been serving as CEO since 2000 and additionally acted as Chairman of the Board of Bühler since 2014, will focus on his position as Chairman. Johannes Wick took charge as CEO of Grains & Food as of April 1, 2016, and is now also a member of Bühler’s Executive Board. Johannes Wick joined the Bühler Group as head of the Grain Milling business unit in 2014. Previously, he held various management positions in the global energy and infrastructure industry for more than 20 years.

Mondelez partners with Facebook to create mobilefirst brand experiences The difference is, the social media global user base includes millions of computer-only users. If brands want to connect with consumers strictly on mobile, messenger services offer a larger global user base.

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ondelez announced partnership with Facebook to strengthen mobile-first experiences between brands and consumers by using consumer insights and messaging. It is an early adopter of Facebook's recently announced Audience Insights API, which uses vast consumer data into actionable insights for improving brands' marketing campaigns. The company already employed the platform for its latest Cadbury campaign in the U.K. Facebook and Mondelez will experiment together on the Messenger platform, including the platforms newly launched bots, to devise ways for consumers to interact with Mondelez brands and consumer services globally in real-time using Messenger threads. Mobile is the most profound disruption we've ever seen in business, and messaging will have an even greater impact on how brands engage with consumers than social media has. Together, WhatsApp, Facebook Messenger, WeChat, and Viberhave 2.125 billion monthly active users globally, all on mobile. That's compared to the same number, 2.125 billion, global users for the top four social networks — Facebook, Twitter, LinkedIn, and Instagram — combined.

Monetization of these apps is only just being discovered (or allowed), so the opportunity for brands to be early adopters on these potentially lucrative platforms is massive. While messenger apps are already widely adopted (Facebook Messenger has now been downloaded more times than the primary social networking app), only 36% of smartphone owners use messaging apps, according to a 2015 study by Pew Research Center. While messenger apps have the potential for continued adoption growth, growth on major social media sites like Facebook may have largely plateaued. As for Mondelez, the Facebook partnership could be another step toward one of the company's primary goals: to build its e-commerce platform. If Mondelez can be one of the early adopters that successfully monetizes messenger apps for food and beverage, these apps could play a key role in its e-commerce strategy (in addition to products like Oreo Colorfilled and Mondelez'sTmall.com store with Alibaba). That could then inspire ideas for other manufacturers struggling to capitalize on the fast-growing e-commerce channel.

Walmart looking at the new regulatory environment before setting up food-only outlets in India setting up food-only outlets in the country. The company said it would study the final policy document before deciding on a course of action. Walmart has been trying to open multi-brand retail stores in India for over a decade. There are restrictions on FDI in multi-brand retailing.

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fter the government permitted 100 per cent foreign direct investment in retailing food produced or manufactured in India, the world’s largest retail chain, Walmart, is looking at the new regulatory environment for

Walmart entered India in 2007 in partnership with Bharti Enterprises to operate cash and carry stores under the name of Best Price Modern Wholesale. In October 2013, Walmart dissolved the partnership and went into the wholesale business on its own, as 100 per cent FDI is permitted in cash and carry.

Brexit - Europe's food manufacturers call result "a blow"

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he UK's departure from the EU is "a blow" that will have an impact across the bloc, FoodDrinkEurope, the trade body for the European food and drink industry, has claimed this.

FoodDrinkEurope said the EU had to learn from the result of the UK referendum, which saw 51.9% of voters back the country's departure from the union. In a statement, FoodDrinkEurope said the organisation and its members were "disappointed" with the outcome of the vote.

"This is a blow that will have repercussions across all Member States of the EU; the European authorities and national governments must now take the necessary steps to reinforce the Union. The peoples of the United Kingdom have made the decision to leave the European Union; this choice will be respected. The European Union must learn from this experience and not allow for further weakening of the EU in today's particularly challenging context. EU legislators must continue to make progress on issues close to the heart of businesses, of growth and of jobs, such as the single market and better regulation."

Brexit may bring cheers for Indian seafood exporters

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il exports feel the heat of currency fluctuations Brexit to dent Indian exports to Britain in short term.

The exit of UK from the European Union (EU) brings a fresh lease of hope among the Indian seafood exporters who see this is an opportunity to boost their exports. The exports to the EU nations had plunged due to stricter norms and restrictions imposed on import of Indian sea food items. Exporters feel that the exit of UK from the Group would increase the shipping of their produce to the island nation as it was during the pre-EU formation days. “While 30-40 per cent of Indian marine products were exported to UK (prior to formation of EU), now it has plunged. The export to UK was as good as it was to the US. Exports to UK were in a free flow but then declined after the EU adopted stricter norms and stipulations for import of the items, may be for controlling the prices”, said Ajay Dash, Sea Food Exporters Association of India (SEAI) Odisha region. The EU had mandated to raise the level of processing upto a standard level as per their norms for the exporting countries and getting it approved from them. Similarly, the pre-harvest testing of aquaculture products was mandatory for export to EU countries. "With the Brexit, we are hopeful that trade relations

Beverages & Food Processing Times

with UK for exports of Indian sea products will go back to good old days if UK’s economy stabilises. The norms may be liberalised. UK may chalk the plans depending on their demand separately as has been done by USA and Canada", he added. However, the exporters are skeptic whether UK will formulate new norms or will follow the prevailing ones in days to come. “We are having a mixed reaction," he said. EU is the third largest market for Indian seafood exports after USA and South East Asia as per MPEDA (Marine Products Export Development Authority), the nodal agency for promotion of export of marine products from India. In 2014-15, USA was the largest market for Indian seafood products with a share of 26.46 per cent in terms of USD followed by South East Asia (25.71 per cent), EU (20.08 per cent), Japan (9.11 per cent), other countries (8.58 per cent), Middle East (6.04 per cent) and China (four per cent).


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Vol. 9, Issue 02 - July - 2016

NEWS

Butter Processing at its Best ITC to focus on wellness aspect and inline moisture dosing. When used in repackaging applications, the Reworker reduces air content to exceptionally low levels and enables flexible adjustment of final product composition through the inclusion of additional ingredients such as water, butter milk or salt. A melting unit can be installed after the re-worker if required.

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PX FLOW is a leading expert in butter processing. With significant impact on costs and product quality; butter yield, consistency, moisture content, water droplet distribution and air content are the most important parameters in butter production. Through continuous research and development in this area, SPX FLOW offers some of the most innovative and efficient solutions for all aspects of production. The SPX FLOW Continuous Butter Making Machine integrates cream pre-heating and buttermilk cooling. It offers a high degree of remote or automatic control and a high level of flexibility in working intensity and moisture distribution; all designed to help improve operational efficiency. The GS Butter Reworker can rework butter directly from the cold store without prior tempering. Designed to simplify production logistics, the machine has no cutting at its inlet and so minimizes mechanical shear for lower energy use. The technology can process high volumes of butter while ensuring exceptionally consistent moisture levels through controlled butter flow

The SPX FLOW Cold Mix Process optimizes mixing by controlling speed across mixers, pumps and other machinery to reduce energy consumption. The process includes the dynamic BMX Butter Mixer. This in-line mixer enables dosing directly into the mixer house, which means a prompt mixing of the ingredients with the butter. Whatever the dosing requirements (hot fat, water, salt, cultures etc.) the mixer gives high shear in a very short amount of time, ensuring excellent homogenization for exceptional final product quality. SPX FLOW is one of the world’s leading providers of butter making technology and these are just some examples of the innovative solutions it has developed. Its butter processes are designed for optimum efficiency and sustainability as well as production flexibility to meet current and future product requirements. Customers are further supported by leading Innovation Centers that house leading butter, fats and oil specialists that can help achieve even the most demanding of production targets, trialing new processes and recipes, and getting new products to market more quickly. Overall, SPX FLOW is the partner of choice with proven capability in the supply of reliable, efficient and flexible butter making solutions.

for its packaged food business following EU standards

help the company create a niche over competitors and accelerate the diversification process as it wants to increasingly insulate itself from the cigarette business which is under greater regulatory and taxation pressure, analysts said.

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o be different from its competitor, ITC will focus on the wellness aspect for its packaged food business. The company's latest drive on wellness is to premiumise the packaged food business by using quality products that adhere to European Union standards. Last fiscal, the business had crossed Rs 9,700 crore in sales. Analysts say such differentiated high-value products have a price premium upwards of 20%. The margin contribution will also be more and going by ITC's success in creating newer food categories, it may make it big. However, the key will be managing distribution; availability and taste which a lot of companies fail to manage consistently. The centre, with over 350 scientists and 400 patents, is working on a nutritional product strategy. Such rapid differentiated products will

Electronics Devices Worldwide Pvt. Ltd.

Beverages & Food Processing Times

ITC has just launched a sugar release control variant of Aashirvaadatta with low glycaemic index which helps in managing blood sugar levels, especially among diabetics, and a digestive biscuit in the Farmlite range with no Maida and added sugar. ITC has formed a team to venture into fruits and vegetables with expertise driven from an Australian acquired agri-biotech company, Technico. ITC will soon venture into pure and ready-to-cook blended spices which will be launched under the 'ITC Masterchef ' range that are screened for over 450 chemicals, toxins, micro-organisms and other contaminants in compliance with the European Union food safety norms, compared to the just nine parameters required to be tested in India. ITC is using its strengths in inhouseagri-sourcing and has developed an integrated pest management programme to produce crops that are compliant with EU standards.


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Vol. 9, Issue 02 - July - 2016

FOOD INGREDIENTS NEWS

Roha Continues To Display Premium Ingredients develops two new stabilizers for Incremental Growth Through analogue pizza cheese Global Expansion… opening of an office in Japan, a market promising abundant opportunities for ROHA .With the evolving consumer preferences and the growing popularity of Western food, Japans food industry is witnessing a period of transition giving boost to the color industry.

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ith the presence of globalized economies, there are more opportunities for organizations trying to spread their wings. As the leading Indian MNC, engaged in Manufacture and Marketing of colors and food ingredients, ROHA has made exciting advances through expansion in 2016. It is going to be a big growth year for us with many more plans to be announced in the near future. We are proud to announce the launch of an avantgarde Global Center of Expertise (GCE) in St. Louis, U.S.A. with an investment of $ 5 million. GCE will fuel the current innovative product range and will ensure ROHA’s competitive advantage in quality and pricing. We have built pilot plant facilities to conduct real application trials and testing of our colors. It shows ROHA’s tireless commitment for consistently researching for better alternatives in production and unearthing new product segments to expand horizontally are as important as strengthening our roots. Innovation will help us secure prolonged relationships with existing clients and will increase our chances of acquiring more key partners. We also acknowledge the ‘Make in South Africa’ initiative of the South African government. ROHA is going to prolong its twenty-two-year long commitment with yet another state of the art facility and ultra-modern office set up recently. This $ 2 million investment will eventually become a hub for all African operations. We are strengthening our presence in UAE by setting up a new office in Dubai as ROHA is conscious of Middle East being a key market for future growth. As widely known, UAE is the third largest re-exporter in the world and Dubai is the hub for food trading in the Middle East. Food and beverage companies from around the world have formed a base in Dubai. It has become one of the world’s fastest growing markets owing to the centralized location, liberal economic policies and freely convertible currency. Moreover, robust infrastructure and business environment is encouraging the food trade offering huge potential for ROHA. We are excited to announce the

Brazil’s food sector is very dynamic and supports some of the largest players in the global meat market and leading exporter of sugar, soybean and other raw materials for the food industry. Their beverages sector is seeing a steep upsurge in the consumption. To meet the emerging requirements of these industries, ROHA established a manufacturing facility in Brazil. ROHA has also set up a new office in Argentina, one of the leading producer and exporter of foodstuffs. ROHA has announced the launch of a windmill project in Madhya Pradesh. This huge wind mill boasts a 14 megawatt capacity. To revisit last year, we acquired esteemedRavenswood Australia’s color division realizing ROHA’s vision of a robust foothold in Australia. Team ROHA embarked upon Ravenswood’s pre-established facilities in Australia and New Zealand and further modified them to suit the organizational objective of developing these countries as thrust markets. 2015 also witnessed our Turkish and Colombian subsidiaries functioning at full strength. Along with a focus on international expansion, we are also committed towards a strong presence in India. The production output has been increased to two-folds with a new plant in Maharashtra. We have a history of fulfilled commitments that goes long back. In order to maintain our reputation and be more efficient with production, this ultramodern plant will be equipped with much higher capacities in future. The future for ROHA is bright and until now all the decisions focused on a firm global strategic advance have favored us. Our mission is to become the forefront of color manufacturers worldwide.

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remium Ingredients, company belonging to the Blendhub Corp. group and specialized in the design, development and production of food powder ingredients, has just launched two new stabilizers for analogue pizza cheese. On the one hand, Premitex® XLK-15043 allows the manufacturing of the final product in simple machines and less optimized than the expensive twin screw equipments with direct steam injection. It facilitates the process of making analogue cheese. Moreover, Premitex® XLK-15067 is ideal for making vegan high quality cheese without animal protein. Premitex® XLK-15043 is a stabilizer based on starches, hydrocolloids and melting salts, and adapted to any type of machinery. It makes it possible to produce mozzarella analogues in equipment which are not optimized for this task in terms of speed stirring and heating, as traditional spinners. Therefore, it is specifically designed for SMEs and companies in which investment in cookers or twin screw blenders with direct steam injection is not an option, a situation in which a large number of cheesemakers are found throughout the world. Moreover, Premitex® XLK-15067 is a stabilizer designed to meet the needs of the growing market for vegan products free of animal protein, a booming sector in countries like Germany, Austria

or Switzerland in the European market, or the United States, in the American. It consists of a blend of starch, hydrocolloids and fiber, allowing a total replacement of casein and therefore making analogue cheese in stick for pizza slices, completely removing the milk protein. Premium Ingredients, a company with twenty years of experience and leadership in the powdered food ingredients industry, markets these products as part of what it calls "Our formulation", a wide range of food powder blends for processed cheeses, beverages, dairy and other processed foods. Apart from the development of "Our formulations", Premium Ingredients offers services such as the stability analysis of finished products, the analysis of existing formulations for identifying areas for improvement, such as cost or process optimization, or consulting services.

Sugars are not alike - Better metabolic profile with next generation sugar

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uala Lumpur, Malaysia, 2 June 2016 – Addressing participants at the 31st Nutrition Society of Malaysia Scientific Conference 2016, BENEO-Institute Nutrition Communication Manager Goh Peen Ern asserted that choosing the right type of carbohydrate is instrumental to achieving long-term metabolic health. It is a well-known fact that a high glycaemic diet increases the risk of type II diabetes. In fact, leading scientists agree that there is convincing evidence demonstrating a carbohydrate-rich diet that keeps blood glucose levels low reduces the risk of type II diabetes and helps people with diabetes control their blood glucose levels in the long run. Ms. Goh referred to a recent scientific study by Professor Dr Andreas Pfeiffer and his team at the German Institute of Human Nutrition, Germany. The results clearly show that not all sugars are alike in their metabolic profile. They provide new scientific evidence that the favourable metabolic profile of BENEO’s Palatinose™ (isomaltulose) results from the opposite effect it has, compared to sucrose on the incretin hormones GIP (Gastric Inhibitory Polypeptide) and GLP-1 (Glucagon-like peptide-1). The benefits of Palatinose™, observed in direct comparison with sucrose in this study, suggest that the hormone (incretin) response plays a key role for the sugar effects in metabolism and health. The reason for the significantly different incretin response of Palatinose™ compared to sucrose

Beverages & Food Processing Times

is explained by its unique molecular bond and slow release properties. It is a fully digestible disaccharide-type carbohydrate composed of glucose and fructose. However, the bond between the two molecules is much stronger than in sucrose. Consequently, Palatinose™ is fully yet slowly digested and absorbed resulting also in a lower blood glucose rise and less insulin release in the body when consumed. “The scientific results of Professor Pfeiffer’s latest clinical study demonstrate once again that the physiology and not the chemistry of carbohydrate matters. More consumers are becoming increasingly aware of the importance of low glycaemic products and their long-term health benefits. The combination of consumer interest and evidence-based science is a winning formula, and the food industry should maximise the health claim options available in food legislation. In this area, BENEO is supporting with sound science, formulation advice, as well as market and consumer insights,” said Ms. Goh. The prevalence of diabetes in Asia is projected to grow drastically to 70 percent, according to the International Diabetes Federation. Awareness of the importance of sound blood glucose management to good long term health is growing. Consumers are also more conscious of the impact that sugars and carbohydrates can have on their metabolic health. Food manufacturers can cater to these concerns and needs by formulating food products with the right/ high quality ingredients that can help consumers better achieve blood glucose management.


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Vol. 9, Issue 02 - July - 2016

CHOCOLATE NEWS

Chocolate Biz offering fat profits

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.C. Kumar, Chief Managing Director &Vikas Panjabi, Managing Director, The Chocolate Room shares their insight on expansion plan through franchising. The Chocolate Room, an Australian based exquisite chain of chocolate cafes in India. The brand has come up with Fixed Royalty Programmed (FRP) offering up to 50 per cent lesser monthly royalty compared to the current market. Recently, they have started R&D department and develop the organic chocolates to serve across India. Brand’s USP The Chocolate Room was launched in June 2007 at Ahmadabad to create a new chocolate culture in India. After successfully completing one year, they their franchising operations across pan India. In nine years they have set up 202 stores across India and 20 more are coming. The brand has been awarded as the franchisor of the year in 2015. They also achieved many awards namely power brands and the best desert place from Times of India. “The Chocolate Room” has its uniqueness in the name itself. It is the first company in India, who has introduced 16 different flavors of hot chocolates. The brand is also known for its chocolate shakes, choctails, chocolate shots and chocolate pizzas. The crockery and merchandise is also exclusive and launched in India for the first time. Opportunity via franchising The Chocolate Room looks for young entrepreneurs who have the passion combined with patience to excel. A prospective franchisee should be financially stable and willing to commit to be a part of the ever growing F&B industry with positive attitude and prepare to face challenges. The candidate should also ready to work with the franchisor and give regular suggestions. For the franchisee, they provide onsite training for 15-20 days from the point of signing a franchise agreement to recruiting staff to introducing suppliers and having a soft opening done at the store. The training includes three days of theoretical training and seven days of practical training and one week of observation. They also give all the training manuals, SOP charts for maintaining

quality and hygiene. After an extensive training schedule, they regularly visit all the franchisees to do a follow up session. As business support they regularly assist all franchisees by giving HR, marketing and regular training. As a franchisor, they have centralized the branding and PR activities which enhance operating efficiency translating into better returns. They on regular intervals offer complete set of marketing collaterals and advertisement and social marketing support to all franchisees pan India. Expansion Plan Presently, the brand has attained a turnover of 12 crore and is planning to achieve 50 crore by 2020. They are also looking for equity partners to raise funds for their company. After achieving an exponential growth in various segments, the brand is looking to expand in tier II &III cities and also plans to have 25 company stores in Tier I cities within next two years. Franchise facts: Investment: 10-40 lakhs Existing outlets: Company-owned – 4 |Franchise -198 Area: Kiosk - 100-300 sq.ft | Compact model - 400600 sq.ft | Standalone model - 800 sqft onwards RoI: 20-24% Breakeven: 18-36 months Target cities: Mumbai, Pune, Delhi, Kolkata, Orissa &Bangaluru Franchise Model: Unit, Multi & Master franchise Year of starting franchise operations: 2009 Year of inception: 2007 Curtsey: Franchise India Bureau

Event Calendar-2016

July 2016

8th-10th Compack Mynmar

Burma 13th-15th Propak China 13th-15th Bevtek Sanghai China 22-24 July Baker Technology Fair 2016, CODISSIA Trade Complex, Coimbatore 27th-30th Packplus, Delhi 24th-26th Food South, Chennai

August 2016 22nd-24th FI INDIA & HI, New Delhi

September 2016 1st-2nd September VitaFoods Asia, Hong Kong 7th-9th FoodPro, Chennai 22nd–24th International Foodtech, Mumbai 22nd-24th Annapoorna, Mumbai 28th- 29th Indian Ice Cream Congress & Expo Noida (Delhi NCR) 29th-1st Food Hospitality World,Goa

October 2016 4th-7th Tokyo Pack Japan

4th-6th Innopak Spain 5th-6th Easyfairs Sweden 10th-14th Agroprodmash Moscow Russia 11th-14th China Brew & Beverage Sanghai 15th-16th Evenord Germany 21st-23rd Cake Fest Poland 22nd-25th Sudback Germany 22nd–24th Dairy Feast, Lucknow 25th-28th Cibus Tec Italy

November 2016 1st-3rd Foodtech Denmark 2nd-4th Worldfood Kazakastan 2nd-6th Indagra Food Romania 2nd-5th Eurasia Packaging Turkey 9th-12th Interfood & Drink Bulgaria 14th-17th Emballage France 19th–22nd Agro Tech,chandigarh 23rd-24th Packaging Innovations Netherlands 25th-26th Empack Belgium 27th-30th Intervitis Germany

Decemer 2016 15th-17th Drink Technology, Mumbai 30th-1st palmex Latin America Columbia

Brexit is making chocolate more expensive

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he price of chocolate is likely to rise after the pound slid against other currencies in the aftermath of the EU referendum. The price of cocoa in London rose by 1.5 per cent to a record £2,495 a tonne, its highest in nearly forty years, as the pound fell to a new 31-year low. Cocoa continued to trade above £2,500 morning. The last time cocoa traded near this levels was July 2010, when falling supplies from Africa coincided with rising emerging-market demand. Traders said the jump in cocoa, the key ingredient for chocolate, was a direct impact of the volatile UK currency. Cocoa prices are also influenced by factors such as extreme weather and political instability in producing countries. A weaker pound means London cocoa positions are less expensive for holders of other currencies. “If the pound continues to drop from concerns of an exit, traders would continue to buy puts in the

currency and calls in the cocoa,” Peter Mooses, senior market strategist at brokers RJO futures in Chicago, told. The pound fell as low as $1.28 against the dollar in overnight trading after warnings about the financial stability of the UK after Brexit spooked investors. Some analysts have said the pound still has further to slide. The weaker pound could signal the end of cheaper groceries for UK consumers, according to new figures by Kantar World Panel. “Any long-term change in exchange rates may threaten the current period of cheaper groceries,” said Fraser McKevitt, head of retail and consumer insight at Kantar Worldpanel. Separately, MeurigRaymong, the president of the National Farmers Union, warned that the UK’s dependence on imports combined with weakened pound would mean the country could expect to see the price of food go up.

100% compostable packaging for bakery products

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amily-owned Sugar Bowl Bakery of Hayward, CA, has introduced compostable packaging for its organic product line. The company says the decision to use compostable packaging is a continuation of its strategy to have a positive impact on the environment. “Sustainability is at the core of our business, and we are committed to making the company more efficient, serving our customers better, and making a difference in the environment,” says Andrew Ly, CEO of Sugar Bowl Bakery. “Creating compostable packaging has been a goal of ours for quite some time now, and I’m happy to say we have finally made our dreams a reality. We are hopeful that our recent innovations will encourage other brands in the industry to follow suit.” The components of the new organic packaging are sourced locally when possible. For example, the recycled paperboard used for the carton is produced using the waste paper from local retailers within a 150-mile radius of the paperboard plant, which is just 30 miles south of Sugar Bowl Bakery’s plant. Each component of the package

Beverages & Food Processing Times

has been verified compostable, even the wrapper around the cakes and cookies, which is made from cellulose-based film from a proprietary supplier. The compostable packaging will debut with the bakery’s Organic Brownie Bites and Organic Madeleines. “We are proud to be among the first to embrace compostable packaging in our bakery department, and we believe this aligns with an organic consumer’s intent to reduce planetary impact with responsibly sourced products,” says Pete Thomsen, Director of Sales at Sugar Bowl Bakery. “Ultimately, this provides our retail partners with a strong statement to stand with us in reducing the carbon footprint in the industry. Many consumers embrace the idea of organic products at this point, so a product that first and foremost is great tasting and then in addition reduces the greenhouse gases associated with the packaging by 72 percent is a product I think consumers will be excited to try, to love and tell friends and family about.” Over the past few years, Sugar Bowl Bakery has taken the initiative to become a more environmentally friendly company. In addition to the compostable packaging, Sugar Bowl Bakery has installed a solar energy system providing 65% of the facility’s electricity along with multiple electric vehicle charging stations.


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Vol. 9, Issue 02 - July - 2016

NEWS

Droughts to success story of Phaltan farmers-Govind Milk

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ot many brands have a glorious back-story that eventually evolves into their business philosophy. This is the story of Govind Milk & Milk products – The Rajiv Mitra (MD Govind Milk) happy makers. Many years ago there was a drought-stricken village in Maharashtra called Phaltan. Consecutive droughts had left the farmlands arid and the farmers helpless. The farmers resorted to dairy farming to make ends meet. But the dairy market in Phaltan was dominated by middlemen which left the farmers with meagre earnings. The distraught farmers took their plea to Sanjeev Raje NaikNimbalkar – heir to the royal Naik-Nimbalkar family that once ruled Phaltan. He instantly took up their cause and asked the farmers to source their milk directly to him. And thus in 1995 began the happy journey of Govind Milk.

It’s known that happy cows yield happy milk. So it all started at the farms, when Govind taught the free grazing practice to its farmers. Soon the cows wandered freely in open fields, breathing clean air, eating fresh & healthy fodder. Govind’s team of veterinarians and agro-specialists researched

an ingenious fodder technique called ‘Hydroponic Farming’. This technique required minimum water and limited space for producing fodder and Sanjeev Nimbalkar involved very low Chairman Govind Milk setup cost too. This nutrient-rich hydroponic fodder increased the cows’ milk yield and kept them healthy. The farmers were happy because this technique freed the part of their farmland that they used to grow fodder for their cattle. A milk revolution had begun in and around Phaltan. Govind’s team of veterinary doctors and agriculturists visited nearby villages to educate farmers regarding the various cost-effective ways to breed their cattle. Govind’s symbiotic association with cattle farmers reciprocated in every upgrade of technology or process benefiting the community at large. More and more farmers recognised these benefits and joined Govind’s cause. What started as a movement with just a few hundred dairy farmers grew manifold into a revolution of nearly 40 thousand dairy farmers. Govind practices the best procurement and processing systems for milk processing and

production of milk products. They have developed a well-planned system that functions perfectly in tandem with cattle farmers for fresh milk procurement. Govind’s manufacturing facility sprawls across a massive 15 acres and is equipped with the latest dairy processing technology. The state of the art machinery requires minimum human intervention and helps process a variety of quality milk products like ghee, butter, shrikhand, amrakhand, lassi, skimmed milk powder, etc. Everyday nearly 5.5 lac litres of milked is sourced to this facility of which nearly 2.30 lac litres is sold in pouches while rest is used to make various milk products.

to be a revolution that changed the lives of farmers and the face of Phaltan. It’s the chain of happiness that began at the farms and continued to the customers. And that’s what has evolved to become their brand philosophy of ‘The Happy Makers’. When asked about this unique brand philosophy, Mr. Mitra, MD of Govind Milk & Milk Products said, “I believe that when you begin a good deed with all your honesty, it travels ahead with greater intensity. At Govind we have been witnessing the same for nearly 2 decades. Now it has become a way of life for us. We’re the happy makers. And the chain of happiness is getting bigger and stronger every day.”

In just 20 years Govind Milk & Milk Products has grown leaps and bounds. The sale of milk pouches started in the year 1999 with just 2000 litres of milk being sold per day. The same has risen to over xx lac litres per day by 2016. Govind began its sales operations in Maharashtra by steadily expanding its distribution channels across various regions. By September 2009, Govind milk & milk products were being sold in the state of Karnataka and by March 2010 in the state of Goa. The sales are rising steadily in these states across various product verticals.

With steadily rising sales and newer markets in prospect, the journey ahead for Govind is bound to be happier than ever.

What began as a simple act of kindness turned out

Higher global prices for smaller-sized shrimps lead to better production of aquaculture shrimps sized shrimps may lead to better production of aquaculture shrimps, which are the mainstay of the Rs 33,000-crore Indian seafood exports.

cuttlefish could come down. But it could go up after July.

Though the stocking was slightly delayed by prolonged hot weather, harvest has started in farms, mostly in Andhra and Tamil Nadu. Unlike last year, prices for smaller size shrimps have gone up prompting farmers to harvest early.

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Prices for smaller sizes of 60, 70 and 80 counts per kg have increased by 30% to 40% from last year hovering in the range of Rs 260 to 310 per kg. In the last three years, the larger sizes (of 30 to 50 counts) used to fetch higher prices.

But this year higher global prices for smaller-

"Both demand and prices are stable. With the trawling ban in Kerala, the catch of squid and

armed shrimps now account for around 70% of marine products export from the country. Last fiscal, the export remained subdued with a plunge in shrimp prices and a decline in production due to rains and diseases.

India Agri Business Fund invests Rs 100 crore in Parijat Industries

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ndia Agri Business Fund II' – a Rabobankpromoted private equity fund has invested around Rs 100 crore in agrochemical firm Parijat Industries to acquire a minority stake. The fund sponsored by Rabobank along with pedigreed anchors namely CDC Group and Asian Development Bank. This is the second investment by India Agri Business Fund II, Rabo Equity advisors. The first investment, which was also of about Rs 100 crore, was announced last week in Cremica Food Industries. India Agri Business Fund II is a $200 million private equity fund targeted at expansion/growth of Indian food and agri-business companies in India across the value chain.

SUBSCRIPTION FORM NAME.................................................................................... DESIGNATION ................................................. ORGANIZATION .............................................................................................................................................. ADDRESS ............................................................................................................................................................ ............................................................................................................................................................................... CITY/PO .................................................................................. PIN ................................................................... PHONE ...................................................... EMAIL ........................................................................................... 1 Year/24 Issues. Rs. 950/- (By Normal Post), For Other Countries $ 100 2 Years/48 Issues. Rs. 1500/- (By Normal Post), For Other Countries $ 190 5 Years/120Issues. Rs. 3500/- (By Normal Post), For Other Countries $ 550

By courier / Regd. In India Post - Add Rs 400/- Per Year Please make Payment in Favour of: “BEVERAGES & FOOD PROCESSING TIMES”

121, 1st Floor, Rasaz, Multiplex, Mira Road (E), Thane - 401107, Maharashtra. Tel: +91-22-28115068 / 28555069, +91-8689979988 Email: info@agronfoodprocessing.com, Website: www.agronfoodprocessing.com

Beverages & Food Processing Times

Parijat is looking to achieve sales of Rs 1,500 crore by 2021 and also expand its domestic distribution network to 10,000 retail points in three years from 4,500 at present. Parijat is committed to exponentially growing its domestic presence besides the international footprint. And is delighted to have Rabo Equity as partner and hope to leverage their extensive domain knowledge and global outreach in the food and agri sector. Rabo Equity Advisors currently advises two funds in India, IABF-I and IABF-II. India Agri Business Fund I, a $120 million fund which is invested in 10 companies across sectors like biotechnology, warehousing, edible oils, dairy and basmati rice.


24

Vol. 9, Issue 02 - July - 2016

CHOCOLATE NEWS

Barry Callebaut collaborates Barry Callebaut confirms targets on strong chocolate growth with SAP to offer an innovative app to boost sustainability data management

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arry Callebaut, the world’s leading manufacturer of high-quality chocolate and cocoa products, has announced a collaboration with SAP, the market leader in enterprise software to help enable sustainable cocoa farming. Coupled with this announcement is the launch of an innovative cloud-based solution for cocoa bean traceability and better sustainability data management using solutions from SAP. The solution was developed with SAP and combines desktop and mobile access, allowing usage in the most remote locations. Information on farmers, their farms and their communities can be recorded digitally at every level of the supply chain. Farmer registration, cocoa buying, processing and transportation records enable the traceability of cocoa beans from the farmer to Barry Callebaut’s warehouse. Additionally, sustainability-related activity records allow for assessment of individual farmer and community needs and analysis, resulting in higher quality and higher impact support. Beyond the usual services, farmers now have improved access to seedlings, fertilizer and training that cater to their specific needs. This approach is at the foundation of Barry Callebaut’s strategy to monitor and foster the adoption of sustainable cocoa and social practices and enhance impact on the ground. NickoDebenham, Vice-President Cocoa Sustainability at Barry Callebaut, comments: “This is an essential step in our commitment to make cocoa more sustainable. This tool will allow

us to approach sustainability in an unprecedented way, providing the right advice to farmers, driving adoption of best practices, and improving yields and livelihoods. It will help farmers better manage their farms and professionalize cocoa farming in order to sustain it into the future.” "Barry Callebaut is an excellent example of how digital transformation in the agribusiness industry can simplify business processes and improve people’s lives “, said AnjaStrothkaemper, vice president, SAP Agribusiness and Commodity Management. "Working together, SAP and Barry Callebaut can help make agriculture easier for small-scale farmers, farmer cooperatives, and cocoa buyers with a cloud-based solution that helps improve productivity, quality and transparency." The project has been called “Katchilè” by the Barry Callebaut team implementing it on the ground, a word from the local Baoulé language in Côte d’Ivoire, meaning “change”. Katchilè is changing the way information is being collected, transmitted and used. “Katchilè completely changed the way we work: we can better plan our activities and we receive better information, faster”, says Adjéhi Jean-Jacques, Barry Callebaut field agent working near Yamoussoukro, who has been using the SAP Rural Sourcing Management Solution running on the SAP HANA® Cloud platform since the beginning of the pilot in October 2015. The system went live on June 13th 2016 with the ambition to cover all cocoa farmers participating in Barry Callebaut’s sustainability activities in Côte d’Ivoire – currently about 65,000 farmers.

Barry Callebaut confirmed its mid-term financial targets, after the phasing-out of less profitable contracts in its cocoa business eclipsed strong sales volume growth in its core chocolate business in the nine months to May. Chocolate makers are grappling with weak global demand for chocolate, with volumes in the global confectionery market decreasing 2.0 percent from September to May, according to Nielsen data quoted by Barry Callebaut. "Our chocolate business performed particularly well, despite still sluggish demand for chocolate confectionery. At the same time, we continued to phase out less profitable contracts in the cocoa business," Chief Executive Antoine de SaintAffrique said in a statement.

He said the group would continue to reduce cocoa products sales to third parties even though this impacts short-term growth, and confirmed financial targets of 4-6 percent volume growth over the midterm. Overall volume growth at the group that supplies chocolate to big food groups, such as Hershey and Nestle, slowed to 4.2 percent in the nine-month period, down from 4.5 percent in the half year. Growth at the group's chocolate business was fueled by demand in emerging markets and 11.4 percent volume growth at its Gourmet & Specialities business that supplies chocolate to professionals. Sales revenue rose to 5.007 billion Swiss francs ($5.14 billion). Analysts in a poll had expected sales volume growth to slow to 3 percent in the third quarter. "A very solid set of figures and the company is clearly winning market share in a difficult chocolate market," KeplerCheuvreux analyst Jon Cox said. "The quality of the result is impressive with strong growth in higher margin gourmet while it continues to reduce sales in low margin cocoa products. I would expect the stock to react positively."

Mondelez sets sights on chocolatier Hershey

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S chocolate candy maker Hershey said it had rejected a $23 billion takeover bid from snack-food giant Mondelez, whose brands include Cadbury chocolate bars and Lu cookies. A combination of the two US companies would surpass Mars as the leader in the global candy sector, according to Euromonitor. It would also jump far ahead of food companies Nestle and Ferrero, now in respective third and fourth places. The new company would be a heavyweight on foreign markets -- Mondelez International's strength -- and on the American market, thanks to The Hershey Company's mass-market appeal. Founded in 1894 in the Pennsylvania city of the same name, Hershey is a fixture in American supermarkets. Its best-known brands include Reese's Peanut Butter Cups and Hershey's Kisses. The Hershey board of directors said it "carefully reviewed" a bid of $107 per share for the company and "determined that it provided no basis for further discussion between Mondelez and the company." A deal with the much-smaller Hershey would enhanced Mondelez's chocolate holdings in the United States, where it is better known for products such as Oreo cookies and Ritz crackers. The Deerfield, Illinois-based Mondelez declined to comment on the acquisition move. Hershey shares soared 16.8 percent to $113.49, pushing the company's market value above $24 billion, well above Mondelez's bid. Mondelez climbed 5.9 percent to $45.51, giving the company a market capitalization of $71 billion. The stock jump for Hershey, which has 80 brands, suggests that investors think Mondelez may come back with a higher bid or that rival offers may emerge.

Beverages & Food Processing Times

- Nestle in the wings? Nestle, which had given Hershey a license to produce Kit Kats in the United States, could make an offer, analysts said, but a merger might face regulatory challenges. The Swiss food giant also could terminate its partnership with Hershey, which would reduce the US company's value. Hershey reported $7.4 billion in sales in 2015, while Mondelez had $29.6 billion. However, any acquisition deal would require support from the Hershey Trust, created by company founder Milton Hershey. The trust is chartered by the state of Pennsylvania and holds about 80 percent of the company's common shares. The Hershey Trust has steadfastly opposed a sale of the company in the past, as in 2002 when it torpedoed a $12.5 billion takeover offer from Wrigley, now a unit of Mars. But the context has changed and may now be favorable for Mondelez. The Pennsylvania Office of Attorney General is reportedly investigating allegations of a conflict of interest against current and former trust board members. To reassure local authorities and the guardians of Milton Hershey's legacy, Mondelez would propose to adopt the group's family name, pledge to set up operations in the region and guarantee jobs, according to US news reports. Another huge unknown remains: the reactions of high-profile investor activists Nelson Peltz and William Ackman, both investors in Mondelez who are pushing to see it merge with a large food group. Peltz, via his Trian Fund Management, has long lobbied for a tie-up with the snacks business of PepsiCo, where he also has a holding. But he dropped that effort when he obtained a seat on Mondelez's board. Ackman, who invested in Mondelez betting it would be bought by a big rival, has been eyeing a tie-up with Kraft Heinz, owned by 3G Capital and billionaire investment guru Warren Buffet. Kraft Foods split into two companies in 2012: Mondelez, the global snacks company, and Kraft Foods Group, the North American grocery products company. Kraft and Heinz merged three years later.


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Vol. 9, Issue 02 - July - 2016

PRESS REALESE

UBM India announces new features at Fi India & Hi 2016 in New Delhi

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i India & Hi is a comprehensive trade event hosted in the Indian sub-continent for food and health ingredients, processing and packaging segments. This reputed exhibition has successfully completed a decade in connecting buyers-sellers from the food and beverage industries from 12 countries including India, China, Singapore, Thailand, Malaysia, Turkey, France, UK and across the world. After successfully catering to Western India since 2006, the 2016 edition of Fi India will be held in New Delhi on 22nd -24th August 2016 in Pragati Maidan. A must attend business growth event gathers 200+ exhibiting organizations, over 7000 food & health professionals from the subcontinent and neighboring regions like China, Taiwan, UAE, Iran and many more. Technical seminars on health and nutrition, food processing and packaging, Bakery workshops, business match-making sessions, Innovative Product Showcase and exclusive exhibit pavilions for food technology, health ingredients and food processing are some of the key highlights this year. UBM India and the Fi India will inaugurate the first ever Fi Pre-Connect Congress, a platform build to discuss and ideate the scope of Indian food manufacturing industries, challenges faced in safety and regulatory aspects, cutting edge insights on new technologies, innovative businessmarketing strategies and other trending topics. The Fi Pre-Connect Congress aims on envisions to gather under-one-roof top minds to pool thoughts and find solutions to Indian food-beverage sector’s most pressing issues in a close-door, organized and knowledge driven format. The close door discussions will include best practice strategies to be implemented in the quality,

safety, regulatory, supply chain, operations and retail aspects of the food-beverage and ingredients segment.

Pre Connect congress will be held at The LaLit, New Delhi on 20th August followed by the 2016 edition of Fi India & Hi on 22nd -23rd -24th August at The Pragati Maidan, New Delhi

India being placed as one of the most prominant food producers in the world and its food processing industry placing itself as one of the largest industry segments, our country and this industry both face some enormous challenges related to production, manufacturing, processing, export, food safety and quality. The Fi Pre-Connect Congress will consist of interactive industry panel discussions and keynotes from CEOs, Directors and Heads from the top food and beverage organizations in India. The event is also set to feature carefully selected sessions from innovative equipment and solution providers matched specifically to ensure they help address key challenges faced by the industry today. The event will also present the attendees with innovative networking sessions along with a cocktail evening to enable an environment of private discussions and expert guidance on current issues. The audience profile is set to include: international and national leaders of the food-beverage processing industry, domestic food-beverage manufacturers and suppliers, food technology suppliers, manufacturers of related equipment, entrepreneurs and food-beverage start-ups, food retailers and distributors, investors, key associations, central and the state government authorities. To take advantage of the growing Indian food industry and the food manufacturing/ processing demand in Northern India and network with the industry professionals, The

Beverages & Food Processing Times

To know more about Fi India and Fi Pre-Connect Congress, visit www.fi-india.com, www.fipreconnect.com


26

Vol. 9, Issue 02 - July - 2016

PACKAGING NEWS

India the largest exporters of All-New SORTEX F beef unlikely to pose a challenge dedicated optical sorter based to the export of American beef on hygienic design principles

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ccording to the US Department of Agriculture (USDA), Indian water buffalo meat exports, although relatively low cost, are mostly non- competitive with US beef exports, primarily due to quality preferences and animal health regulations in the major markets that import US beef. The report From Where the Buffalo Roam: India’s Beef Exports, said that Indian exports of buffalo meat do not comply with health standards, including foot and mouth disease-free status, required by most high-income markets served by the US. India is one of the largest exporters of beef, is unlikely to pose a challenge to the export of American beef due to the poor quality of its buffalo meat and lack of animal health regulations.. . “However, India’s water buffalo meat exports are competing effectively in developing-country markets with a demand profile that favours

CLASSIFIED

India’s relatively low-cost product, and where import demand is substantially out pacing that in traditional US markets,” the report said. The USDA said the rapid growth in India’s exports of water buffalo meat is predicated by three factors - First, rising demand for relatively lowcost meat by consumers in low — and middleincome developing country markets. Second, by India’s large water buffalo herd, which has been mostly untapped for meat production? And finally the emergence of private sector, export-oriented processors that have been effective in meeting the requirements of their developing-country markets. Growth in demand for water buffalo meat in India’s export markets, largely in Southeast Asia, the Middle East, and Africa, has been strong relative to that in developed-country markets and is expected to remain so over the next decade, it said. In addition, India may benefit from the opening of important new markets, particularly Russia and China. According to the report, despite India’s large and underutilized buffalo herd, there appear to be concerns about the sustainability of recent growth in meat exports from a supply perspective. USDA projected a decline in the female buffalo herd by the end of 201525 projection periods, creating the potential for a tradeoff between milk and meat production.

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o maximise the full potential of the SORTEX PolarVision™, Bühler has developed a dedicated sorting platform – the SORTEX F optical sorter. Developed by in-house specialists, using current best practice and hygienic product design guidelines, it features a stainless steel frame, sloped surfaces, hygienic conduits, stainless steel air set and hygienic grade fixings, to deliver an unrivalled solution with no tolerance for product build-up, thereby lowering the risk of contamination. The machine also sets a new standard in ejection technology, with its EJECTOR+ feature, which uses 25% more force to eliminate denser contaminants. Together with SmartEject™ technology, the technology removes unwanted and hazardous materials, from fine wood shavings to heavier pieces of glass and stones. SORTEX PolarVision™ is available on the SORTEX F and as an upgrade option for processors, currently operating Bühler’s SORTEX E1D Optical Sorter. Bühler R&D specialist Ben Deefholts explains how the leading-edge technology was developed: “Based on our understanding of the issues processors were facing with existing technologies, in detecting a cross-section of FM, we put together an in-house research project to analyse spectral data from a wide range of vegetable material, typical FM and samples of other FM that customers were finding difficult to detect using existing

Adverties for Rs. 3000/- Per month

technology. We used the results of the research to create a combination of cameras and optics, including a revised InGaAs™ HD technology and a new IR camera with active background. “F&V processors often run many different products down a packing line in one day, so they need to be able to switch easily between them. This means they normally need generic FM removal, with additional specific programmes for colour defects or EVM based on shape. The SORTEX E and SORTEX F with PolarVisionmakes adjustment of the sorter much more intuitive and will better suit the busy life of the packing line.” Stephen Jacobs, Global Product Manager at Bühler, added: “We are very excited by the development of this new technology. We believe SORTEX PolarVision™ is the first – and only – system on the market which can deliver such superior FM detection, across multiple products, with complete ease. Combine this with the SORTEX F platform, and you have a revolutionary solution which addresses two of the biggest issues in the food industry today – safety and hygiene.”

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Beverages & Food Processing Times’s readership of 2,25,000 offers advertisers a targeted audience of beverages and food processing companies and allied industries country wide . Beverages & Food Processing Times is a fortnightly publication that is a must-read for processors and allied industries all over the country. It covers industry centered business issues. More than this , the magazine challenges preconceptions, stimulates debate, and sets the news agenda.Beverages & Food Processing Times is the only fortnightly news paper in the entire country, covering the Beverages, foods, confectionery, bakery, dairy, frozen foods, meat, poultry, fruits & vegetables, agro commodities, ingredients and allied

121, 1st Floor, Rassaz Multiplex, Station Road, Mira Road (E) Thane - 401107. Tel: +91-22-28555069 / 28115068 Email: info@advanceinfomedia.com. Web: www.agronfoodprocessing.com.

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• Drinking Chocolate • Icing Sugar • Castor Sugar • Demerara Sugar

Tell: (022) 24055333 fax: (022) 24056962 Mobile: 09820183411 Email:sales@bluebird.co.in Website: www.bluebird.co.in

Beverages & Food Processing Times


27

Vol. 9, Issue 02 - July - 2016

Beverages & Food Processing Times


28

Vol. 9, Issue 02 - July - 2016

BACK PAGE

South Asia’s One & Only Ice Cream Industry Event

�rganised���

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EVENTS

Presents

Meetings Discussions Knowledge Entertainment

Indian

Ic e cr ea m Congress & Expo 2016

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Exhibition

28th-29th Sept, 2016 Expo Center, A-11, Sector-62, NH-24 Noida ( Delhi NCR)

Partners

Sobhagya Confectionary Pvt Ltd.

Supported By

Online Media Partner

Ofcial Media Partner

Food Agrprocessing Indian’s 1st News Portal for Agro, Food Processing & Allied Segments

A Supplement of Beverages & Food Processing Times

Times

www.agronfoodprocessing.com

www.agronfoodprocessing.com

Media Partners I n d i a ’s O n l y M o n t h l y f o r A g r o , F o o d P r o c e s s i n g & A l l i e d S e g m e n t s

India’s First E Magazine log on to www .agronfoodprocessing.com

Contact for Stalls & Partnership Firoz H. Naqvi : +91-9867992299

Sameer K +91 9833325839 Seema Shaikh : +91-8689979988

Indian Ice Cream Congress & Expo

121, 1st Floor, Rassaz Multiplex, Mira Road (E), Thane - 401107. India. Tel: +91-22-28555069 / 28115068. Email: info@indianicecreamcongress.in Web: www.indianicecreamcongress.in INDIAN ICE CREAM MANUFACTURERS ASSOCIATION Sudhir Shah-+91-9849025027 (Secretary IICMA) Samrat A. Upadhyay- +91-76988 69800 (Secretary General – IICMA) Regd. Ofce : A/801, 8th Floor, “Time Square” Building,C. G. Road, Nr. Lal Bunglow Char Rasta, Navrangpura, Ahmedabad - 380 009, Email: info@iicma.in Web: www.iicma.in EDITOR Firoz H. Naqvi

CONSULTING EDITOR Basma Husain

MARKETING EXECUTIVE Dhiraj Dubey

PRODUCTION MANAGER Syed Shahnawaz

GENERAL MANAGER Gyanandra Trivedi

CIRCULATION MANAGER Seema Shaikh

GRAPHIC DESIGNER Naved H.Kazmi

121, 1st Floor, Rassaz, Multiplex, Mira Road (E), Thane -401107. Tel: +91-22-28115068 /28555069. Email:info@agronfoodprocessing .com, Website :www.agronfoodprocessing.com Printed, Published By -Firoz Haider Naqvi, RNI no- MAHENG13830 Printed at: Roller Act Press Services, A-83 Ground Floor, Naraina Industrial Area, Phase -1, New Delhi -110028, Reg Office :103, Amar Jyot Apts, Pooja Nagar, Mira Rd (E) Thane-401107, Delhi Office: F-14/1, Shahin Baugh, Kalandi Kunj Rd, New Delhi -110025 The views expressed in this issue are those of the contributors and not necessarily those of the news paper though every care has been taken to ensure the accuracy and authenticity of information, "Beverages & Food Processing Times" is however not responsible for damages caused by misinterpretation of information expressed and implied with in the pages of this issue. All disputes are to be referred to Mumbai jurisdiction

Beverages & Food Processing Times


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