July 2014
Valio to invest â‚Ź170 million in new dairy snacks plant
Food & Drink Business Website:
www.fdbusiness.com
C o n t e n t s
- 3 M ERGERS & A CQUISITIONS
- 45 G ROCERY M ARKET
Coverage of British and international deals.
Price competition causes historic lows in UK grocery market growth.
P AGE 13
- 5 D AIRY Dairy Crest is well placed for growth following a year of consolidation.
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R EGULARS
Jerry Fowden, CEO, Cott Corporation.
Bottling & Packaging . . . . . . . . . . . . . 8 & 46
Simon Cox, MD, Molson Coors UK & Ireland.
Processing & Manufacturing . . . . 8-11, 37-41 Materials Handling . . . . . . . . . . . . . . . . . . 19
- 13 B REWING
Logistics & Distribution . . . . . . . . 20-32 & 43
Molson Coors Brewing to make further investment in Britain’s biggest brewery. Heineken to invest £108 million in UK production sites.
Intermediate Bulk Containers . . . . . . . . . . . . . . . .20-28 Hygienic Plastic Pallets . . . . . . . . . . . . . . . . . . . . .28-29 Pallet Networking . . . . . . . . . . . . . . . . . . . . . . . . .31-33
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Sami Nupponen, Project Director, Valio.
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Gavin Darby, CEO, Premier Foods.
Energy & Environment . . . . . . . . . . . . . . . 44 Quality & Hygiene . . . . . . . . . . . . . . . . . . 47 PAGE 18
- 15 C OVER S TORY
Materials & Ingredients . . . . . . . . . . . . . . 48
Mika Koskinen, MD, Valio Russia.
Valio to invest €170 million in new dairy snacks plant as it targets further export growth. Managing Director: Colin Murphy Editor: Mike Rohan Group Operations Manager: Sylvia McCarthy Advertising: John Bent & Ian Stewart
- 34-43 T RADE FAIR
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Production Manager: Sylvia McCarthy
Paul Bulcke, CEO, Nestlé.
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Price and provenance form framework for impressive growth in UK poultry market.
Mark Allen, CEO, Dairy Crest.
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FOOD & DRINK BUSINESS EUROPE, JULY 2014
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M E E R R G G E E R R S S M Cott Expands UK Business With $80 Million Acquisition of Aimia Foods Cott Corporation’s United Kingdom/Europe business unit has acquired Aimia Foods in a deal worth US$80 million (Eur59 million). A privately owned business based in Merseyside, England, Aimia Foods had revenues of approximately US$110 million for the twelve months ending March 31, 2014. Jerry Fowden, Cott’s chief executive, comments: “The Aimia Foods acquisition accelerates our diversification strategy, bringing a strong hot and cold beverage platform and multiple foodservice relationships into our portfolio. Aimia has extensive expertise in new product categories, packaging formats and trade channels, such as the packaging of powdered beverages, which we believe enhances the diversification opportunities available to the combined businesses. Aimia’s core strengths lie in the manufacturing, sale and marketing of Aimia-owned and third party licensed beverage brands across all sectors of the UK market, including foodservice, vending, cash & carry and retail.”
Jerry Fowden, chief executive of Cott Corporation.
PremierFoods Forms Powdered Beverages and Desserts Joint Venture In line with its strategy to maximise value and efficiencies from its grocery infrastructure, Premier Foods has reached a conditional agreement with Specialty Powders on a standalone joint venture to process and pack powdered beverages and desserts at Premier Foods' Knighton facility in Staffordshire.
& &
A C C Q Q U U II S S II T T II O O N N S S A
The new joint venture, to be named Knighton Foods, will combine dry powders manufacturing capabilities and assets from both parties at the Knighton site, enabling cost synergies and scale efficiencies from greater utilisation of the facility. The agreement will also entail the transfer of two production lines from Knighton to Premier Foods' manufacturing plant in Ashford, Kent, resulting in significant further efficiencies in Premier Foods' broader Grocery manufacturing infrastructure. Gavin Darby, chief executive of Premier Foods, comments: "This innovative agreement will help to improve the efficiency of Premier's Grocery infrastructure and, at the same time, allows us to benefit from a dedicated team with expertise that can support our powdered beverages and desserts business. I'm delighted that, in Specialty Powders, we've found a highly successful, entrepreneurial partner who is committed to growing the combined business." Under the terms of the agreement, Specialty Powders will contribute its wholly-owned businesses, Phoenix Foods and Agglomeration Technology, to the joint venture, in consideration for a 51% controlling stake and a loan from the joint venture to repay its existing debt. Premier Foods will contribute the Knighton site and assets (other than the two production lines that will be transferred to Premier Foods' site in Ashford) to the joint venture, together with its private label and business-to-business sales of powdered beverages and desserts, in consideration for a 49% stake in the joint venture and a promissory note of a principal amount equal to the loan to Specialty Powders. The proposed transaction includes the transfer of approximately £16 million of private label and business-to-business sales of powdered beverages and desserts from Premier Foods to the joint venture. The business being contributed to the joint venture by Premier Foods made a trading loss of £0.7 million
for the year December 2013.
ended
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Gavin Darby, chief executive of Premier Foods.
R&R Ice Cream Makes Australian Acquisition R&R Ice Cream, Europe’s leading supplier of own-label ice cream, is acquiring Peters Food Group, one of Australia’s oldest consumer businesses, from Pacific Equity Partners (PEP). The terms of the deal are not disclosed. Under the agreement, R&R will acquire Peters, with its portfolio of household name ice creams including Drumstick, Connoisseur, Peters Original and Maxibon. PEP purchased Peters from Nestlé in 2012. Since the acquisition, Peters has undergone a significant transformation driven by investment in its core brands, substantial new product development and improvement in operating costs. It generates annual sales of about A$269 million (Eur190 million). In addition to its own label business, R&R has a strong branded portfolio incorporating the Mondelez and Nestlé brands (including Cadbury Dairy Milk, Oreo, Milka, Smarties and Kit-Kat) as well as brands such as Disney, YooMoo frozen yogurt and Kelly’s of Cornwall. Revenues for the year ending 31 December 2013 were approximately Eur681 million. R&R operates nine production sites across the UK and mainland Europe. By combining the two companies, R&R is further establishing its position as a world leader in the ice cream manufacturing market with a unique presence both in the European and Australian markets and significant increased potential for international expansion.
FOOD & DRINK BUSINESS EUROPE, JULY 2014
Nestlé to Acquire Aesthetic Dermatology Assets For Nestlé Skin Health Nestlé is extending its activities to include the field of specialised medical skin treatments through the creation of Nestlé Skin Health, a global business focused on meeting the world's increasing skin health needs with a broad range of innovative and scientifically-proven products. The foundation for the new company will be Galderma, the 50/50 joint venture with L'Oréal, which will become fully-owned by Nestlé. Bübchen, the Swiss food group’s existing infant skincare business will be merged into the new entity. The acquisition of Galderma is awaiting final regulatory clearance. Nestlé plans to reinforce Nestlé Skin Health with the $1.4 billion cash acquisition from the Canadian firm Valeant Pharmaceuticals International of the full rights to commercialise several key aesthetic dermatology products in the US and Canada. The two markets together represent more than half of the fast-growing medical aesthetics market around the world. Galderma already commercialises the products included in this transaction outside those markets. “This move will reinforce Galderma's leading position in the industry when it becomes Nestlé Skin Health by allowing it to complete its geographic footprint for its strong portfolio of brands and leading medical solutions globally,” points out Paul Bulcke, chief executive of Nestlé.
Paul Bulcke, chief executive of Nestlé.
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I DAIRY
Dairy Crest is Well Placed For Growth Following a Year of Consolidation Following a year of consolidation as it refocused on its UK operations, Dairy Crest is now a simpler and financially stronger business with a strong base for future growth as it continues to grow branded and added value sales and to improve operational efficiency. rocuring and processing alised whey powder – a key 1.9 billion litres of milk ingredient in infant formula. a year – equivalent to The Dairies division one litre in every six processes and delivers fresh produced in Great Britain – conventional, organic and Dairy Crest is the leading UKflavoured milk to major retailowned dairy foods company. ers, ‘middle ground’ customers Dairy Crest is now focused including smaller retailers, cofpurely on the UK after the fee shops and hospitals, and transformational disposal of its residential customers. The St Hubert French spreads busibusiness incorporates three ness for £341.1 million. modern dairies at Severnside, Dairy Crest is active across a Chadwell Heath and Foston, broad range of dairy product where milk is packed into categories and its operations are polybottles. The site at split into three divisions Hanworth packs milk into Spreads & Butter, Cheese & Dairy Crest is a broadly based dairy business. glass bottles for residential cusWhey and Dairies. The Dairies tomers; and Dairy Crest also division is the largest in terms of revenue, Operational Structure operates a specialist cream potting facility at accounting for 68% of group sales but just Dairy Crest is one of the UK’s leading pro- Chard. The Dairies division also manufac25% of profits last year. Cheese & Whey is ducers of spreads and butter with a focus tures and sells Frijj, the leading fresh the biggest contributor to group profit, on two key brands - Clover and Country flavoured milk brand, cream and milk powaccounting for 52% of the total, and gener- Life. The company also manufactures and ders. ated19% of group revenue. Spreads & sells Frylight one calorie cooking spray. Butter accounts for 13% of group revenue Dairy Crest has the leading cheese brand Development Strategy and 23% of group profit. in the UK - Cathedral City - and a world- Dairy Crest is continuing to pursue its class cheese supply chain. Cathedral City is made at Dairy Crest’s Davidstow creamery in Cornwall. The cheese is matured, cut and wrapped at a purpose-built facility in Nuneaton before being distributed to retailers. Dairy Crest also operates a smaller cheese packing facility at Frome in Somerset which provides additional flexibility. Dairy Crest processes over 400 million litres of milk into cheese each year. Whey, a by-product of cheese-making, is also produced at Davidstow and is currently dried and sold as whey powder to food The Dairies division processes and delivers fresh conventional, manufacturers. However, Dairy organic and flavoured milk to major retailers, ‘middle ground’ Mark Allen, chief executive of Dairy Crest. Crest has plans to make deminer- customers and residential customers.
P
FOOD & DRINK BUSINESS EUROPE, JULY 2014
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The Cathedral City brand is growing ahead of the cheese market.
ing the benefit of this project in the form of greater focus on consumers and a more integrated supply chain,” points out Mark Allen, chief executive of Dairy Crest. “This has also helped in our constant drive to reduce costs. Our largest brand, Cathedral City, continues to grow strongly.” The Cathedral City brand is growing ahead of the cheese market. Indeed, Cathedral City is now Britain’s 18th largest grocery brand. Dairy Crest’s ongoing cost reduction programme delivered £25 million of annualised cost savings in 2013/14, with a further £20 million identified for 2014/15.
Crudgington, Shropshire, during the year ending 31 March 2015. Innovation Innovation has been key to building Dairy Crest’s branded sales. “We have an ambitious target that 10% of our sales will come from products introduced in the last three years. This year around 4% of our total revenue and 7% of our key brand revenue has come from such sales,” explains Mark Allen. “This is a key target as we continue to move our focus to a consumer driven, demand led business. To support this we are building a new innovation centre in partnership with Harper Adams University, Shropshire.”
Progress Progress was made in improving profitability at the Dairies division with the margin increasing from 1% to 2% for the year ended 31 March 2014. In addition to reducing cost and enhancing efficiency, through measures such as the closure of depots, increased use of lighter bottles containing less plastic and reduced distribution costs, the rehabilitation plan entails growing the Frijj brand, generating the right returns from fresh milk sales, and maximising profits from the Dairy Crest encountered difficulties within the butter and spreads market during the year. Although the Clover brand sale of surplus properties. Dairy Crest encountered difficul- grew volume it lost some market share. ties within the butter and spreads market during the year. Although the Clover brand grew volume it lost some market share, Country Life spreadable grew Outlook and outperformed the market but sales of Having successfully refocused on its UK Country Life block butter declined. operations, Dairy Crest is now a stronger However, the planned rationalisation of business with attractive growth potential. spreads and butter manufacturing onto one Mark Allen comments: “The current well-invested site at Kirkby, Merseyside, trading environment is challenging. where Dairy Crest has spent over £30 mil- However, the strength of our key brands lion, is nearing completion and the antici- and our proven ability to cut costs and pated cost savings will benefit the future drive efficiencies mean that we remain conprofitability of this division. However, this fident that we can generate profit growth in will entail the closure of the factory at all three of our product groups over the medium term. Additional profit growth will come from our project to add value to the whey stream at Davidstow, which is on track.” Dairy Crest plans to spend around £45 million on new manufacturing facilities at Davidstow before May 2015, with production of demineralised whey powder expected to commence in mid 2015. The demineralised whey project has a five year cash payback and is expected to Progress was made in improving profitability at the Dairies division with the margin enhance annual profits by £5 increasing from 1% to 2%. million from 2015/16. J
long-term growth strategy of building market-leading positions in branded and added value markets, while focusing on cost reduction and efficiency improvements as it strives to improve the quality of earnings and reduce risk by decreasing its exposure to commodity markets. The company is committed to constant innovation, bringing new products to market and introducing new ways of working across the business. In addition to generating organic growth, Dairy Crest is also prepared to make acquisitions and disposals where they will generate value. Dairy Crest is a responsible business and was recently awarded 4.5 stars by Business in the Community - the highest ranking in the whole of the UK. Being a broadly based dairy business with strong brands has helped Dairy Crest to weather the current economic environment as poor performances by the Dairies division have been off-set by the group’s other activities. Dairy Crest’s medium term strategy is to improve the performance of its Dairy division through efficiency gains delivered by a £75 million capital expenditure programme over three years, while continuing to build on the success of its branded foods business. A medium term target of 3% return on sales has been set for the underperforming Dairies division. Financial Performance For the year ended 31 March 2014, Dairy Crest reported adjusted profit before tax up 31% to £65.3 million, including higher profits from the sale of surplus properties, on revenue up 0.7% to £1.39 billion “Following the transformational sale of our French spreads business, St Hubert, last year we have completed our reorganisation into one business structure and are see-
FOOD & DRINK BUSINESS EUROPE, JULY 2014
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Clayton Park Baking the Most of its Production With Ulma’s Atlanta Hi-Tec Packaging Solutions ward-winning Clayton Park Bakery, A renowned for its range of high quality savouries, cakes and breads, turned to Ulma Packaging Ltd for the flexible, flowrapping equipment it required to cope with soaring demand for its morning goods and confectionery. Clayton Park invested in two of Ulma Packaging’s Atlanta Hi-Tec horizontal flow wrappers for its second purpose-built bakery at Accrington, which is producing a variety of tasty food items including bread rolls, finger rolls, cakes and vanilla slices. From wrapping loaves of bread to bagging pasties, flexibility, speed and presentation are key ingredients for bakers and many, like Clayton Park, are choosing Ulma’s equipment because it can safely wrap a whole range of different shaped products in any configuration, while at the same time maximising visibility on retailers’ shelves.
The Lancashire bakery, which is owned by James Hall & Co Ltd and counts Spar, Booths, Sandwich shops and Market stalls across the whole of east Lancashire and many of the region’s professional football clubs among its customer base, says it is set for a long term commitment to Ulma as a preferred supplier. Clayton Park Bakery’s managing director, Barry Thomas, says: “Prior to obtaining the Atlanta flowrappers I went along to a couple of companies to actually see Ulma‘s machines in action. I was very impressed with what I saw and the ease of set up. We did look at various other options from previous equipment suppliers but the functionality of the Ulma equipment swayed us and the price was right as well.” For further information contact Ulma Packaging on Tel +44 (0)1909 506 504 or visit www.ulmapackaging.com. J
MWV Transforms the Chilled Ready Meal Experience with SmartFare eadWestvaco Corporation, a global leader M in packaging and packaging solutions, has launched SmartFare™, a new package for chilled ready meals (CRM). SmartFare transforms the flimsy CRM tray into a premium, brandable experience, offering new product development professionals a way to drive trial, brand loyalty and repeat purchase with consumers seeking convenience and variety at mealtime. Dual-ovenable, hermetically sealable and
widely recyclable in the United Kingdom,
SmartFare dishes and bowls stay sturdy and cool to the touch from the oven to the table for easier serving and dining. By bringing full-scale graphic design possibilities to CRM packaging, SmartFare empowers brands to bring in visual cues and experiential elements of a cuisine to create a more authentic dining experience. SmartFare is designed to be a drop-in solution for food processors with no tooling investment required. For more information visit mwv.com/smartfare. J
NIR Moisture Measurement Solutions From NDC Technologies ear infrared technology is well estabN lished as a favoured technique in many applications in dairy processes, both in production and laboratory environments. NDC Technologies provides in-process NIR moisture measurement solutions for quality and process control for dairy powder manufacture, enabling optimization of the drying process, to meet exact end-point targets. NDC’s MM710e series of moisture analyzers is available in IP65, IP67 and ATEX certified formats with a choice of supervisor and operator interfaces as well as industrial Ethernet, fieldbus and analogue connectivi8
ty to provide convenient integration. The 710e’s high resolution 125Hz measurement speed, proven stability and repeatability, and patented optical design ensure it is can be relied on for process control. Users gain significant return on investment through closer control of the drying process and the avoidance of out-of-spec product. In addition to moisture, other parameters are also offered such as fat and protein. NDC provides solutions for: • Whole Milk Powder • Skimmed Milk Powder • Lactose Powder FOOD & DRINK BUSINESS EUROPE, JULY 2014
• • • •
Whey Powder Fat-filled Powder Infant Formula Casein. For more information, www.ndc.com/dairy. J
visit
I CASE STUDY
A Warm Feeling in a Cold Environment ne of the largest ice-cream producers in O the world was not able to find a suitable solution to replace the manual in-feed of ingredients into the ice-making machines. Being a professional organisation they were keen to prevent people from working in temperatures as low as -30 degrees, and finally approached CSi’s dedicated Account Manager to seek help.
polluting the product and a special machine was developed for this function. The opened cases are then transported to one of the three robots. Each equipped with an ingenious gripper which inverts the cases, lifts and places the empty case into the waste conveyor. The next phase is to cut open a bag which is inside the case and empty the contents of the bag into the infeed hopper. The plastic bag is then placed on a waste conveyor. Plastic and cardboard waste is separated at the end of the waste conveyor. Real Challenge
In CSi they found a professional partner with the potential to develop and deliver a completely new solution. From the outset both teams worked closely together – not only did a new installation have to be designed, but changes also had to be made to the bags and to the tape and the total process had to be adjusted. To work through all the project risks the joint project team spent a full day in a remote location to avoid disturbance. To further reduce risks several tests were designed and carried out prior to the order. This really paid off! Starting with an official order in April, hand-over was achieved in November and in February the targeted 99.5% system availability was reached. With input from the customer’s ERPsystem pallets with ingredients are transported to the de-palletising area. The gantry robot uses a vision camera to locate and orientate cases one by one. The next step is to automatically open the case. This has to be achieved without
Innovations • First fully automatic filling line for ingredients into ice-cream in the world • Recognition of pallet patterns in deep freezer on the basis of orientation • Complete automatic split of waste material (carton and plastic)
Executing this project was a real challenge. Not only was this a very complicated project from an engineering standpoint and therefore high-risk, it had to be completed in a relatively short period of time. The location where most of the conveyors and system assemblies had to be installed was in a very confined space with limited access. All of the equipment is located on the first floor on a very thin floor structure. An important advantage for the customer was the extra space that resulted on the factory floor with no more transport and storage of ingredients in this area, less fork lifts and no transfer of product from wooden pallets to plastic pallets.
maintenance department find this is a very useful tool. In combination with the smstext-alert they automatically receive when something goes wrong, they are able to work very efficiently and effectively. As part of the project CSi Lifecycle Services delivered Hypercare support during the first 8 weeks of operation. The customer is very satisfied with the outcome of the project. The plant also has a new future because unacceptable and costly working methods have been eliminated. Several colleagues from other factories have been into the plant to look at the result and CSi looks forward to delivering more of these types of projects in the future. J
Technical highlights Just-in-time Supply
The complete system is controlled by CSi to provide a just-in-time supply of ingredients to the ice-machine whilst guaranteeing the product does not stay outside the deep freeze for more than 20 minutes. This was achieved through 100% data tracking where the location of every ingredient is known in real time. To be able to monitor the system constantly, several cameras were installed. The FOOD & DRINK BUSINESS EUROPE, JULY 2014
• De-palletising in deep freeze at -30 degrees Celsius • Full redundancy gripper tools in the deep freeze • Extension to line 4 and 5 possible • Multi-functional gripper: picking and turning case, picking and emptying plastic bag, removing bag and case • Opening taped cases without product pollution • SMS-alert in case of disruptions of the process.
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Fundamentals of Maintenance Management aintenance is a challenging M activity in any industry and it is not getting any easier. Global competition and the wider use of Just in Time Manufacturing make it paramount for equipment to perform at world class levels. Increasing regulation also means that securing one’s license to operate requires more effort. Paul Wheelhouse, a chartered engineer with 18 years industry experience and DAK Academy course leader explains: “As with any skill development journey, a firm grasp of the Fundamentals (of Maintenance Management) is essential to achieving industry leading levels of equipment performance.” Unfortunately many of those in key maintenance roles have had little formal training in these building blocks of maintenance excellence. These include - 1. How maintenance fits into the company big picture so that it becomes a driver for improved asset performance. 2. How to manage maintenance information systems to use resources efficiently and capture lessons learned. 3. How to develop robust maintenance strategies to support future business goals. 4. How to control costs, spares and maintenance logistics. 5. How to establish proactive team based partnership with other
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company departments. Paradoxically, the most noticeable difference between average and best in class performers is their grasp of fundamental principles and techniques. These foundations provide the insight and confidence to identify and address priorities; reduce plant down time and develop effective maintenance policies. In turn this helps to guide key business decisions, budgets and most importantly unlock the true potential of the maintenance te-am. The forthcoming Fundamentals of Maintenance Management 3 day workshop 16 –18th September, 2014 in Hampshire, covers these 5 fundamentals in detail using a mix of theory, case studies and practical exercises. For more information contact Sue Catt on + 44 (1491) 845504 or via www.dakacademy.com – Please Quote code: FDE. Course accredited by CPD Standards Office. J
FOOD & DRINK BUSINESS EUROPE, JULY 2014
I DAIRY
World’s Largest Dairy Spray Dryer Completes its First Season ith the end of the milking season in W New Zealand, the world’s largest dairy spray dryer has successfully completed its first season. Fonterra’s 30 tonne/hour milk powder plant at Darfield, New Zealand, has been in full operation since being started up in August 2013. From the moment it was announced that Fonterra had awarded GEA Process Engineering the contract to build this milestone dairy spray dryer, it has attracted considerable interest in the industry. The dryer, Darfield D2, is the second of two at Fonterra’s Darfield milk processing site in New Zealand, and it has the capacity to convert around four and a half million litres of fresh liquid milk into milk powder every day. Clint Brown, Managing Director for GEA Process Engineering in New Zealand, explains what makes the plant so special: “It's a truly modern plant designed to be the most efficient in the industry - in terms of Overall Equipment Efficiency, waste minimization and energy consumption – and to meet Fonterra’s need for processing capacity.” Prior to Darfield D2, this capacity could not be achieved by a single dryer. To meet the challenge, a huge effort was put into the design phase where all components of the complete process line were examined and optimized, using the latest knowledge with-
Inside the Darfield plant. To the left is the drying chamber of the world's largest dairy spray dryer. At the back, you see one of the four bag filters of the plant.
in the fields of milk powder and process technology. Next, advanced CFD modelling techniques were applied for the purpose of further optimization and validation of the design for all critical parts. Darfield D2, commissioned in August 2013 for the beginning of the New Zealand milking season, has worked practically non-
stop for the last nine months, and has now concluded its first year of operation. At the peak of the season, the dryer produced more than 700 tonnes of milk powder a day. According to Richard Gray, Fonterra’s Operations Manager for the Canterbury region, the first season has been a success: “The drier commissioning was very successful, and we saw continued plant performance through the first operational season. The collaborative relationship between GEA and Fonterra set the foundation for a great project and a great plant. Drier 2 at Darfield plays an important role in Fonterra’s strategy to meet the strong demand for dairy nutrition around the world. Fonterra’s Darfield site is located 45 km from Christchurch, New Zealand. The site includes two milk powder spray drying plants, both built by GEA. The first was put into operation in 2012 with a capacity of 15 tonnes/hour and the second, Darfield D2, was completed a year later with a capacity of 30 tonnes/hour. GEA Process Engineering has supplied a complete processing plant solution at Darfield, drawing on the company’s scope of dairy processing technologies and components - ranging from tanker unloading through milk standardization, evaporation and drying, to powder transport and packing. J
I CHILLING
British Firm’s Chilling Results For Soup Company major UK soup company has boosted processing capacity by A investing in a custom built, continuous chilling system from British equipment manufacturer Starfrost. Starfrost is a global market leader in bespoke freezing and chilling systems for the food processing industry. Starfrost works alongside food manufacturers to develop the best IQF (Individual Quick Freeze) solution, ensuring maximum throughput and low energy costs. Starfrost has designed and installed a bespoke double drum spiral system at the market-leading soup processor’s production facility in the East Midlands. The fully automated inline Helix Spiral Chiller has enabled the soup firm to increase capacity to meet growing demand from major supermarkets.
The soup processor was looking to replace a manual blast chiller with a high capacity in-line system. Starfrost custom designed a Double Drum Helix Spiral Chiller with a processing capacity of 2,700 kg/hr. It features two rotating stainless steel drums, each with 14 spiraling tiers. The bespoke system is designed to chill fresh soup in 600g pots, at a rate of 75 pots per minute. Starfrost Sales Director Robert Long says: “Our in-line Helix Spiral Chiller has streamlined soup production and enabled the processor to boost capacity to meet customer demand, whilst making significant energy and operational cost savings.” For more details visit www.starfrost.com. J
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I BREWING
Molson Coors Brewing to Make Further Investment in Britain’s Biggest Brewery s part of its five year Burton Brewery A redevelopment plan, Molson Coors, Britain’s biggest brewer, has announced a further investment of £28 million in brewing technology and infrastructure. The investment takes the total now invested in the facility to £75 million and is the
Simon Cox, managing director of Molson Coors UK & Ireland.
biggest single capital investment in British brewing over recent decades. Part of the investment programme includes £21 million state-of-the-art bottling line that offers Molson Coors greater capability to meet the on-going needs of its consumers through bottle and pack innovation. The modern brewing technology being installed will maintain the brewer’s high quality standards to ensure UK favourites, such as Carling, Coors Light and Cobra continue to delight future generations of beer drinkers. Simon Cox, managing director of Molson Coors UK & Ireland, says: “We are excited to be investing further in Burton Brewery and its workforce as we continue our redevelopment programme. Funded by the biggest investment in our industry for decades, the new infrastructure and technology at the brewery will maintain our rich heritage of brewing in Burton.”
The new buildings and technology, including a new energy centre, will also help Molson Coors to achieve its target of reducing energy use by 25 percent and cut 20 percent of its greenhouse gas use by 2020 as outlined in the company’s 2013 Corporate Responsibility Report. J
Heineken to Invest £108 Million in UK Production Sites eineken is to invest £50 million in its H Manchester Brewery in addition to the £58 million already announced for its cider plant at Hereford; in order to modernise the facilities and expand the capacity at both sites. A further £18 million will be invested in upgrading and modernising Heineken UK’s Star Pubs & Bars estate. This investment will ensure that Heineken’s UK production facilities remain at the forefront of industry standards to help meet continued demand for its strong portfolio of ciders and beers. Heineken is the UK's leading cider and beer producer with a strong brands portfolio including Strongbow, Bulmers, Heineken, Foster's, Kronenbourg 1664 and Desperados, together with a full range of speciality brands. Heineken UK employs around 2,000 people across eight sites. It has breweries, cider plants and offices in Edinburgh,
David Forde, managing director of Heineken UK.
FOOD & DRINK BUSINESS EUROPE, JULY 2014
Livingston, Tadcaster, Manchester, London, Hereford and Ledbury. Star Pubs & Bars is Heineken's leased pub business which is made up of an estate of around 1,250 pubs throughout the UK. Heineken Manchester is the world’s biggest brewer of Foster’s as well as home to Kronenbourg 1664 in the UK. Heineken is spending £50 million to increase brewing production by approximately 2 million hectolitres per annum (around 350 million pints); and on a new kegging line which will provide pubs with quality draught beer. The Manchester Brewery is a strategic production site within Heineken’s UK brewing network, and the investment will enable the brewer to continue to meet strong customer demand for is brands into the future. The Manchester brewery investment will secure 240 jobs, and work will be completed in the summer of 2015. J 13
COVER STORY
Valio to Invest €170 Million in New Dairy Snacks Plant as it Targets Further Export Growth Having invested €118 million in production in 2013, Finnish dairy group Valio is to spend €170 million on building a new dairy snacks plant as it continues to develop export sales.
O
wned by 18 Finnish dairy co-operatives and employing 4,600 people globally, Valio collects and processes about 85% of all the raw milk produced in Finland. Valio is the market leader in all key dairy product groups in Finland. Its consumer products are also increasingly being sold in the neighbouring markets of Russia, Sweden and the Baltic States. Valio has a strong track record in R&D and has produced a number of innovative consumer products, industrial products and technologies. For example, Valio’s patented, award winning Valio Eila® lactose free technology produces lactose free milk drinks proven to taste exactly like fresh milk – yet containing less than 0.01% lactose. Indeed, Valio was the first in the world to launch a totally lactose free milk with the real taste of milk, and is the market leader in Europe. Valio licenses its technology, provides expertise, and exports skimmed milk powders, to provide manufacturers with a complete solution to successfully enter and grow in the lactose free market. Valio’s industrial products and technology are sold globally. The company has established subsidiaries in Russia, Sweden, Estonia, Latvia, Lithuania, the USA and China. As a co-operative, Valio’s primary objective is to add value to the milk produced by its owners. Consequently, Valio’s financial performance is gauged by the milk return which goes to dairy farms in the form of the price paid for raw milk. Record Performance Valio processed 1.89 billion litres of millk produced by its owners in 2013 and generated net sales of Eur2.03 billion – an increase of 2.6% on the previous year. In 2013, Valio paid Finnish milk producers a total of Eur907 million (45% of net sales), up Eur24 million on 2012. The milk return for Valio milk producers, who numbered around
Artist’s impression of Valio’s new dairy snacks production plant in Riihimäki.
7,500 at the end of 2013, rose to 48.0 cents/litre - the highest ever recorded by Valio. The price paid for raw milk including after payment stood at 47.5 cents/litre, also a record high for the company. Valio is a key contributor to the Finnish economy. The group’s 15 production plants in Finland, milk collection, product distribution, and Valio Group milk producers, generate employment for some 30,000 people in Sami Nupponen, project director and senior vice Finland. About 37% of Val- president at Valio. io’s net sales in 2013 were generated from exports and by its subsidiaries. Indeed, Valio accounts for around 40% of Finland’s food exports and almost 85% of the country’s dairy product exports. Russia is Valio’s biggest export market and Valio Russia’s net sales increased by around 11% in 2013 to Eur378 million. Russia accounted for 49% of Valio’s exports (products manufactured in Finland) in 2013. €170 Million Investment Valio has commenced the construction of a new dairy snacks production plant in Riihimäki, near its existing Valio Herajoki plant. Total investment in the project is Eur170 million including Eur75 million on the building. The snacks plant will manufacture a wide variety of snack products, chiefly yoghurts. “We have at the moment significant market share in yoghurts in Finland, Sweden and Russia,” explains Sami Nupponen, project director and senior vice president, Fresh Food, at Valio. “The new factory will in time deliver products to all these markets.” In the first phase, Valio will build a plant with a floor area of around 18,000 square metres on a plot of land purchased last year, to facilitate the environmentally sound, efficient and flexible production of snacks. The earthworks for the construction project have commenced and the plant is scheduled for completion by the end of 2016. The plant itself will create dozens of new jobs in production and warehousing operations.
FOOD & DRINK BUSINESS EUROPE, JULY 2014
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Valio places great emphasis on the sustainability of its operations, claiming to process the EU's cleanest milk.
The new facility has been designed carefully to be highly flexible in terms of its processing and packaging functions. “We have lot of complexity in our product range so to be efficient demands special levels of flexibility as well. We have invested lot of time to develop the best possible production concept that fulfills our needs,” says Sami Nupponen. Valio is establishing infrastructure, such as power supplies and drainage, to permit rapid future development of the site. Initially, only 18,000 square metres of the total of 267,000 square meters will be used. Valio’s present dairy in Riihimäki, which is 45 years old, will continue liquid milk production after the new plant has been completed. Valio fresh dairy products are enjoyed in neighbouring markets as well as in Finland. The new plant will help Valio to improve efficiency and consequently the milk return to its owners as well as supporting future growth. “We are replacing old infrastructure and technology but at the same time we are establishing a significant platform for the next decade of development,” points out Sami Nupponen. Sales Growth Sales of Valio products, especially milks and yoghurts manufactured in Finland, have increased markedly in Russia and Sweden in recent years. The demand for value added products, such as Eila® items, yoghurts and high protein products, is expected to continue on this strong growth path well into the future. In Sweden, Valio’s largest product groups are yoghurts and Valio Eila®. In Russia, growth stems primarily from fresh dairy products, while Oltermanni® cheese and Valio butter also sell in large volumes and contribute significantly. In both Russia and Sweden, net value sales increased by more than 10% in 2013. In Sweden, Valio’s Eila® brand has captured over 55% of the lactose free products market. “The new plant will enable us to expand our snack products range in Sweden further. We need to be nimble and responsive, especially in the rapidly growing lactose free yoghurt segment,” says Iiro Wester, managing director of Valio’s Swedish subsidiary. In Russia, fresh dairy products have been the fastest growing category of our exports to the country in recent years.” Mika Koskinen, managing director of Valio’s Russian subsidiary and a member of the Valio group Iiro Wester, managing director of Valio’s Swedish executive board, comsubsidiary. ments: “Valio’s share FOOD & DRINK BUSINESS EUROPE, JULY 2014
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has been growing steadily for years. In spoonable yoghurts, we are now the market leader in St Petersburg where the value of Valio’s sales in the segment exceeded that of Danone in late 2013. There’s especially significant potential in the Moscow market where Valio is a challenger across the board. All Valio yoghurts sold in Russia are completely additive-free and can be identified by our Clean Label brand.” Capital Investment Valio invests constantly in its production facilities to maintain its competitive edge in international markets and to maximise returns to its co-operative owners. The Finnish dairy giant has expanded production capacity for special milks in recent years at its Jyväskylä and Tampere dairies. In February 2014, Valio decided to invest Eur40 million in growing the production capacity of all fresh dairy product groups at the Oulu dairy. Valio is also to invest Eur2.5 million to increase cottage cheese capacity at the company’s Seinäjoki plant. Valio invested a total of Eur118 million across it production sites in 2013 increasing production capacity in powder, quark and milk (fresh
Valio is the market leader in all key dairy product groups in Finland.
and ESL). Valio places great emphasis on the sustainability of its operations, claiming to process the EU's cleanest milk. Indeed, Valio has been identified as the most sustainable brand in Finland by consumers, according to Sustainable Brand Index, the largest brand study on sustainability in the Nordic countries. Outlook Valio has a long track record of producing Mika Koskinen, managing director of Valio’s innovative dairy prod- Russian subsidiary. ucts that anticipate consumer trends, create new markets and drive sustainable growth. “We’ve been working a good deal with protein products and especially whey. Also we recently launched some novelties to our Valio Oltermanni® cheese brand,” says Sami Nupponen. Valio set new performance records in 2013 so what is the outlook for 2014? “2014 looks to be very challenging especially in our nearby markets,” Sami Nupponen replies. “But with good innovation and continuous improvement in all areas we are still hoping to top 2013.” J
I CONSULTANCY
Elomatic – The One-stop Consulting and Engineering Service Provider lomatic provides consulting, engineerE ing, product development and project management services to industrial companies and public sector organisations. Elomatic’s goal is to make its customers more successful by delivering superior value throughout the entire life cycles of technical products and investments.
Elomati’sc key customer segments include: • Process Industries • Energy • Machinery and Equipment Manufacturing • Biotech and Pharmaceuticals • Marine & Offshore • Oil & Gas. 18
Process Industry Energy Analyses Elomatic’s energy analyses aim to lower energy and water consumption, related costs and C02 emissions. As part of the analysis Elomatic clarifies the target facility’s whole energy consumption, energy potential and derived profitability. All the audit phases are implemented according to the customer’s needs. Elomatic’s services cover the entire life cycle of realisation projects. Over 50% of the suggested savings measures have payback periods of less than two years. Typically Elomatic implements the following energy savings measures: • Make use of lost heat in process water and exhaust air with a heat pump • Improve maintenance and efficiency of heat recovery devices • Change operation times of air ventilation and lighting • Correct compressed air network leaks • Replace fossil fuels with renewable energy. Comprehensive Implementation Services After completing energy efficiency analyses FOOD & DRINK BUSINESS EUROPE, JULY 2014
Elomatic has the process know-how and capacity to provide consulting and engineering services for the implementation of energy savings measures. In this regard Elomatic’s services include the following: • Flow and heat measurements on site • Laser scanning services • Predefining process and PI-diagrams • Process simulations • Analyses (structure, strength and CFD) • Electrical and automation planning • 3D modelling and all technical planning documentation • Procurement services with competitive contracts and equipment • Project management services • Installation control services • Investment cost control services • Energy efficiency verification services. J
MATERIALS HANDLING
I CONVEYORS
When Your Products Decide – The New Wide Belt Conveyor n May 2014, FlexLink unveiled its latest Imary innovation for safe, clean handling in priand secondary packaging for the food industries. “Sustainable packaging concepts can help reduce food loss around the world. It’s a goal that everyone in the supply chain can contribute to. Our latest conveyor addresses some of the higher hygienic requirements associated with primary and secondary packaging. And further product development will continue in this same direction to meet requirements on hygienic design for direct food contact,” says Tommy Karlsson, Product Manager for the stainless steel conveyor platforms.
Hygiene and Safety a Priority The cleaning process is fast and easy and the new wide belt conveyor in stainless steel, WLX, sets new standards for cleaning results and cleaning process time. “We’re extremely proud of this design, because we’ve succeeded in optimizing both product safety and hygiene to a very high level, following the industry requirements and regulations,” says Tommy Karlsson. “Operator safety has improved thanks to thorough design work resulting in minimal openings to prevent pinch points and absence of sharp points and edges. The new conveyor is safe, silent and ergonomic. It is easy for the operators to lift the chain for cleaning and the internal design is also remarkably clean. Finally, the noise level is comfortably low to the benefit
of the factory environment. In terms of hygiene, the level of consumer and food safety has also improved in that flat surfaces have been eliminated and there are no hollow bodies or crevices where bacteria can grow,“ continues Tommy Karlsson. Reduce the Cost of Ownership With the innovative design and refined standardization, factories will benefit from good hygiene and a trouble-free, safe operation. The total cost of ownership will be considerably reduced by the features of the new design and the sophisticated solutions. “The industry demands for improved cleaning and food safety are increasing – the concern about recalls is forcing suppliers to develop better solutions. With the new product platform, we are extending our offer from only being able to handle production areas with basic requirements on cleaning, towards process areas where cleaning is essential for food safety. In the next step we are aiming for direct food contact or aseptic filling,” says
FOOD & DRINK BUSINESS EUROPE, JULY 2014
Viktor Hermanson, Marketing Manager. The leadtime from design to installation is very short thanks to the modular design and FlexLink‘s global distribution network with short delivery times. Once installed, downtime is minimal due to the robust design, and there is minimal power, water and detergent consumption. All of this helps lower the total cost of ownership. Versatile The WLX conveyor in stainless steel is available as components, modules or a complete system. The new conveyor is available in three belt widths, 304, 456 and 608 mm and is well suited for the handling of pouches, carton packagings for liquids, cases, bundles, trays or mass flows of smaller products. “Our customers are very pleased with our new conveyor system. We’ve reached 100% modularity and given them a nicely designed conveyor that not only supports operators in more easily performing their daily tasks, but also speeds up production time. Furthermore, because the WLX is a standardized conveyor platform, you always know what you‘ll get and how to maintain it. It is also easy to extend and the learning curve to handle and maintain the conveyor isn‘t so steep,“ concludes Tommy Karlsson. J 19
Shining the Spotlight on IBCs and Hygienic Plastic Pallets n this very special ‘Showcase’ IContainers on Intermediate Bulk (IBCs) and their close relatives Hygienic Plastic Pallets, we are shining the spotlight on an area of the food industry’s logistics chain that we all take for granted far too often. There are so many variables and important areas relating to this that we are delighted to offer you an opportunity to take a closer look at what the market has to offer. The food and beverage industry taken as a whole has such enormous scope that it demands an ever increasingly diverse range of types, sizes, shapes and capabilities from the devices used to transport and store its products. Intermediate Bulk Containers Moving your carefully manufactured product or expensively sourced vital ingredient safely, with due environmental care and above all hygienically can be critical to the success of your business so let us first take a look at IBCs. The first question is usually where to begin which often raises more questions than answers! Here are a few that we have been asked recently. Do you choose plastic or metal support pallet? Should the cage be made of stainless steel or galvanised? Do you need to look at the insulation properties (hot or cold, light or dark)? Will you use them inside, outside or both?
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nature, carry far less contamination than their wooden counterpart. If we look at the longevity of pallets we see that plastic again scores highly allowing cost savings to be made whilst maintaining or improving those ever important ecological credentials. Jim Hardisty, Managing Director of GoPlasticPallets .com, tells us: “In the UK, there is currently an extreme shortage of timber supplies available for pallet manufacturers since the severe storms earlier this year Further options to take into account will be single use or recyclability, reduction of carbon foot print, filler type, discharge tap, stackability and so on. Of course it goes without saying that using the right IBC ensures deliveries to your premises become as simple as possible, and that subsequent transfer to the production line is made both food-safe and easy to handle. Perhaps the fundamental point is that switching to IBCs can reduce costs while increasing efficiency. Hygienic Plastic Pallets Turning now to Hygienic Plastic Pallets. If your product is already packaged or ‘outered’ in some way but still needs to be treated with hygienic care during transit then plastic, with all its positive attributes would seem to be the way forward. Fortunately for our industry, pallets are made in a variety of shapes, sizes and even different types of plastic. These can go through automated or manual pallet wash systems, and having been sterilised can be used inside as well as out regardless of ambient conditions, and by their very FOOD & DRINK BUSINESS EUROPE, JULY 2014
and our recovering construction sector means demand for timber is much stronger than normal. This is pushing up the price of timber pallets which is bad news for large wooden pooling companies. There is an opportunity here for food and drinks businesses to improve their supply chain logistics by operating their own pool of plastic pallets, which are safer to handle than wooden pallets, less susceptible to damage and breakages and can reduce contamination risk as part of Best Practice implementation.” With some of the key suppliers placing quality editorial in the showcase we are sure that you will find some of the answers to the many questions you pose. J
I INTERMEDIATE BULK CONTAINERS
New or Reconditioned IBC’s? anufacturing since 1947, at two ISO M certified factories at Bray in Ireland, Industrial Packaging Ltd stock a complete range of New IBC’s from 600L-1200L including EX area, black and white bottle with various valve and pallet options.
However, the manufacture of high quality, performance IBC’s is only half the story – today’s market demands the most costeffective and environmentally efficient use of all resources – with packaging a primary consideration. In light of this IPL also offer “Reconditioned” IBC’s, a cost effective alternative to new packaging for companies who are packing products that are not contamination sensitive e.g. waste, industrial chemicals, adhesives etc. “Re-bottled” IBC’s, where the bottle is new, but the cage and pallet recycled are available for contamination sensitive products such as food and pharmaceutical chemicals. For companies with empty
FOOD & DRINK BUSINESS EUROPE, JULY 2014
IBC’s for disposal reconditioned packaging offers a sustainable, environmentally responsible and revenue generating , disposal option for end users. Are you packing products into new IBC’s when you could be using reconditioned or rebottled? Does your company have empty IBC’s you would like to dispose of for ?? whilst fulfilling the obligations of the waste hierarchy? For further information contact Rob Lee, Dangerous Goods Safety Advisor, at rob@industrialpackaging.ie, Tel (353) 012864010. J
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I INTERMEDIATE BULK CONTAINERS
Contraload Tailors IBCs and Pooling Services to Meet Specific Customer Requirements ontraload is a B2B pooling company C specializing in supporting customers with the management of plastic pallets and IBC requirements for liquid and dry bulk applications. Founded ten years ago in Belgium, Contraload currently services over 2,500 companies across Europe, from Spain to Denmark and from Poland to the UK. It also has liquid IBCs customers in SriLanka, Ghana, Costa Rica and across the world, serviced from the company’s offices in Antwerp, Birmingham and Toulouse. Contraload’s pool-size comprises almost 700,000 assets and it works with 15 conditioning partners all over Europe. Different Approach “Our thinking is a bit different from standard pooling companies,” points out Andrew Wilson, European Business Development Director of Contraload. “We think from the problem at the customer to a realistic solution, we are not ‘just’ pushing our products and services into the market. Our market survey has shown that this approach is appreciated by our customers in Europe and the UK.” He continues: “Everybody can buy a plastic pallet or IBC and send it to a customer, but to understand the full supply chain, find the best asset for the job, control the flows, manage the assets, and to service every party in the supply chain, whilst reducing costs, requires a professional dedicated team of experts. We are working hard every day and having fun to become this team for our customers!” Being a market-led company, Contraload has developed its products and services to meet changing customer needs such as the demand for improved hygiene and for larger containers, and the switch from drums to 1000 litre IBCs, and from IBCs to flexitanks or Isotanks. Contraload has also been at the forefront in the move away from one-way packaging to reusable bins to reduce car-
bon footprint without increasing cost. Contraload has invested heavily in the development of improved IBCs and pooling services to tailor its services to different customer requirements. Its Orca Container, N55 drum and upcoming new products are typically light weight IBCs and pallets, durable, hygienic and low cost for transporting liquids, as well as dry goods, more efficiently. Way Forward “With double-digit growth figures year after year, we are proving that pooling, based on real customer needs, is the way forward,” says Andrew Wilson. “We also strive to be the greenest pooling company in the world and have just received the ‘Lean&Green’ award in the Benelux, proving we are on the right track and can save CO2 for our customers as well as internally.” Contraload has developed systems specifically for the food and drink industry. For example, within the butter and fats sector, Contraload has dramatically reduced the carbon footprint, high contamination risk and labour intensity of the conventional transportation method whereby 20 litre cardboard boxes of the hardened product were stacked on a pallet and shipped to customers, who then had to open each carton before heating and liquefying the product. By using Contraload’s 1000 litre bulk packaging Orca Container, the receiving company simply places the Orca on a specially designed HEAT-IT plate where, after
FOOD & DRINK BUSINESS EUROPE, JULY 2014
Andrew
Wilson,
European
Business
Development Director of Contraload.
a very limited time, the unloader directly unloads the 1000 litres of liquid butter. After emptying, Contraload collects the Orca Container for inspection, cleaning, refurbishing and re-use. New Development Contraload’s ‘semi-pooling’ business is regarded as a true new development in the market-place. Contraload has its roots in 100% reusable, durable and high quality assets, where the company offers a full trip system, including cleaning and replacement of broken parts. “We have developed a service and IBCs for longer distances, which are seen as both a pooling and 1-way trip packaging solution, depending on the circuit it is used in, and this competes with other types of packaging such as metal drums, cardboard bins, wooden bins and plastic containers,” explains Andrew Wilson. “We strongly believe that there is a new ‘Blue Ocean’ in our market for IBCs that are fully or partly reusable, but which can also be used as a single trip solution without a financial hangover.” J 23
I INTERMEDIATE BULK CONTAINERS
One-Stop Shop Full Service IBC Solution electing an Intermediate Bulk S Container (IBC) solution requires careful consideration to ensure you partner with a provider that will enable you to optimise your supply chain, reduce your overall packaging costs, and improve your environmental footprint, while enabling you to spend more time focused on your core business.
CHEP Pallecon Solutions, a full-service IBC rental company provides all of that through its comprehensive container rental program that includes container hire, liner supply, asset cleaning and repair, container delivery and collection throughout Europe and the Middle East, and off-site storage. Through this one-stop shop solution, customers have total control and volume flexibility to rent only the containers they need, when they are needed to support seasonal and ongoing production requirements. Why CHEP Pallecon? • Simplified Containers - 1000L plastic collapsible IBC with built-in pallet, eliminates strapping and can be stored outside
• Liquid Liner Supply – CHEP manufactures its own liquid liners in a food safe environment designed to meet customers specific quality needs • Optimisation – Reduce required storage space and simplify container management • Lower Costs – Reduce transportation costs by up to 25% compared to drums and eliminate disposal costs • Security & Hygiene – Reduce contamination risks and waste found with wood and cardboard • Sustainable – Reduce overall waste output and carbon footprint through reduced transportation as a result of collapsibility Continuous Innovation CHEP Pallecon Solutions is constantly talking to its current and future customers to determine what their primary challenges are so we can develop innovative products and solutions to meet customer needs. Available this Autumn, the company’s newest container, the innovative Pallecon iCONIC, incorporates many of the key features requested by customers. Based on a 1200x1000 pallet, it has a market leading 3.5:1 fold ratio, reinforced anti-slip base, capability for single operator setup with non-sequential folding and a sliding lid, and a liner with 33% improved flow rate using the MaxiValve. Food & Beverage Customer Success Since 1982, CHEP Pallecon Solutions has served the food ingredients, beverage, fruit, and personal care industries throughout Europe, helping customers to implement IBC solutions that improve supply chain efficiency and reduce overall costs. After the primary fruit concentrate producer in Murcia Spain switched from 220 litre drums to CHEP Pallecon’s Fruitflow containFOOD & DRINK BUSINESS EUROPE, JULY 2014
er as part of a full-service solution, the customer was able to significantly improve their supply chain efficiency and maximize their beverage factory capacity. The fruit concentrate producer was looking for a packaging supplier that could be flexible, react quickly, and had large volume capacity to help manage packaging for its citrus fruit crops. In response to these requirements, the customer began a partnership with CHEP Pallecon Solutions in 2012, and has continued to increase its usage volume over the past three years. Since implementing the full-service container rental and management program, the customer has improved storage capacity by 20% and handling by 25%, and now has the capability to fill a larger volume of product on the same aseptic filling lines. By partnering with CHEP Pallecon Solutions, customers can put 32 years of packaging and supply chain experience to work for them and leverage our market expertise to ultimately cut costs, eliminate waste and mitigate risk.
CHEP Pallecon Solutions is part of Brambles Limited, a supply-chain logistics company operating in more than 50 countries, primarily through the CHEP and IFCO brands. The Group specialises in the provision of pooling solutions and associated services, focusing on the outsourced management of approximately 450 million returnable and reusable pallets, crates and containers through a network of more than 850 service centres worldwide. This ensures an enhanced supply chain performance for customers, helping them transport goods through their supply chains more efficiently, sustainably and safely. J 25
I INTERMEDIATE BULK CONTAINERS
Schütz Places the Focus Firmly on Product and Process Safety s a producer of industrial packaging, A Schütz is certifying its production plants around the world to the Food Safety System Certification standard FSSC 22000. The newly created Schütz premium Foodcert standard ensures the comprehensive food safety of Schütz IBCs and PE drums far beyond legal requirements. The moment the subject of food safety comes up in connection with industrial packaging made of plastic, the focus of the conversation usually turns automatically to the packaging material. One reason for this is international legislation clearly states which material properties are permissible and those substances which are not, requires stringent product testing and sets limits, eg, maximum permissible migration. The fact of the matter today, however, is that maintaining a purely material focus largely ignores the needs of the market and absolutely fails to satisfy the current demands of the food industry. The guidelines of the US Food and Drug Administration (FDA) and its European counterparts restrict themselves to minimum requirements. The newly defined Schütz Foodcert standard, on the other hand, more than fulfils the needs of the food industry. With it, Schütz guarantees
not just material safety, but full product and process safety throughout the supply chain, too
New State-of-the-art Standard - Schütz Foodcert Schütz Foodcert IBCs and drums comply not only with the provisions of international food law but also include additional risk-minimising features, are produced just-in-time to customer specification and offer fully traceability. To Special preventive Foodcert measures: Pre-produced ensure worldwide application components, such as screw caps, are hygienically packed until of the Foodcert standard, needed for final assembly; production workers wear protective Schütz is successively obtaining clothing as per hygiene specifications. certification of all of its production plants to the latest industrial standard, FSSC 22000 (Food Maximum safety requirements call for Safety System Certification, based on ISO extensive prevention programmes. That’s 22000 and PAS 223), which has already been why Schütz has implemented a number of granted to the plants in Selters (Germany), HACCP concepts (hazardous analysis and Killala (Ireland), Montlingen (Switzerland), critical control points) in accordance with Moerdijk (Netherlands), Marcoussis PAS 223 (Publicly Available Standard) and (France), Doraville (USA)‚ Guarulhos ISO 22000 (International Organization for (Brazil), Shanghai (China), Tianjin (China) Standardization). These standards apply to and Nilai (Malaysia). The necessary prepara- the buildings, plant and machinery, in fact, tions are in progress at other the entire production environment, and plants, which will soon also include detailed hygiene regulations for hold the certification. The employees and cleaning rotas for workplaces. FSSC 22000 standard is recog- They also stipulate measures to avoid contanised by the GFSI (Global mination with foreign bodies or dust, protecFood Safety Initiative), an tion when handling waste, as well as glass and international collaboration of blade management. Machinery maintenance leading food producers and regulations and inspections, systematic pest retailers. The main objectives control throughout the entire production of the initiative are to ensure site, instructions for the controlled use of all consumer safety and coopera- materials, especially chemicals, and strict contion within the production trol of incoming goods complete the package. chain. Customer-driven, Traceable and JustPrevention Measures For in-time Maximum Safety All Schütz Foodcert packaging products are Since industrial packaging is produced exclusively to individual customer normally used at the start of order. This general practice of just-in-time the food chain – for instance, production helps to prevent opportunities for for concentrates, intermediate contamination from even arising because, as products and raw materials – in the case of blow-moulded IBC inner boteven the slightest impairment tles, they are taken straight to final assembly The Schütz Foodcert IBCs and drums cater to the current needs can trigger an enormous multi- immediately after production. An additional of the food industry, including certification to the latest industrial plier effect. Hence the particu- advantage is that each step in the production standard, FSSC 22000. lar need for risk minimisation! process and every component can be clearly FOOD & DRINK BUSINESS EUROPE, JULY 2014
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associated with the corresponding duced by the long-established packaging. The barcode system of Westerwald company: all IBC inner identification additionally permits bottles, valve fittings, screw caps, seamless traceability – all the way back drum bodies, lids and bung plugs are to batch and process level! produced exclusively from new, sinYet another great feature is that, on gle-grade HDPE. The raw materials request, the packaging expert will also used are food-safe, as are all dyes and assign individual identification numgaskets. Components that come into bers to articles and packaging. The fincontact with the filling product are With its premium Foodcert products, Schütz has created a new ished packaging is then immediately checked to ensure conformity with standard for the food industry – in which safety takes top loaded and shipped without first being migration limits. Silicones and other priority. stored. But if shipping is not yet lubricants are purposely not used in required, that’s not a problem either; in the ment of the new Foodcert models on the the production process. interim, the containers and drums will be strength of the know-how it has acquired In addition to its tried and trusted FDA stored indoors. As a further option, plastic over decades. After all, Schütz has been models, Schütz now offers its customers a covers provide additional protection. Pre- producing customised packaging solutions new premium series of packaging solutions produced components, such as screw caps, for over 30 years. The FDA-approved con- that come with full material, product and outlet valves and bung plugs are hygienically tainers already established on the market process safety documentation in line with packed and stored separately. satisfy the material guidelines of the US the far more stringent requirements of Food and Drug Administration and the today’s food industry. Industrial customers FDA IBCs - The Established Standard EU. And when it comes to material, the choosing Foodcert can rest assured in the in the Food Industry same principle applies to all packaging – knowledge that they are ideally prepared to Schütz is ideally qualified for the develop- meeting FDA or Foodcert criteria – pro- meet the future needs of the food industry. J I HYGIENIC PLASTIC PALLETS
New HEAVY DUTY Pallet Range From Beercraft UK eecraft UK, based at Wembley in Middlesex, is a well estabB lished distributor of plastic pallets and recently released a new HEAVY DUTY range featuring sizes 1200 x 800 and 1200 x 1000, including Logo, RFID Tag, Bar coding, label sticker area and Rubber insert to avoid slippage of goods in transit. The new HEAVY DUTY pallet repairable skates offer durability and return relative to other alternatives with maximum performance. The pallet can withstand a static load of 7500 kg, 2,000 kg dynamic load and over 1000 kg on racking with no deflection. There is also the option of inserting reinforcements that increase racking load to over 1,200kg.The pallet is Ideal for reuse logistics and storage, both for manufacturing environments and distribution circuits. The new HEAVY DUTY 1200 x 1000 range has several versions depending on the number of pads required. The new 22 kg model has the possibility of incorporating both slip rubber on the board and the base of the shoes to stabilize the load and prevent movement during transport. The version with 6 bottom skids /runners has been specially developed for beverage bottlers where product durability and high load demands positioned it as an ideal option to existing wooden pallets . Beercraft also has available wider range of plastic pallets with many options and sizes to cover multi application. J
FOR FURTHER INFORMATON CALL
+44 (0)20 8900 9400 FAX: +44 (0)20 8900 9050 EMAIL: sales@beecraft.co.uk Website: www.plasticpallets.co.uk
MANUFACTURERS & DISTRIBUTORS OF
PLASTIC PALLETS Summer Special Offers
30% Discount
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FOOD & DRINK BUSINESS EUROPE, JULY 2014
I HYGIENIC PLASTIC PALLETS
Avoid Food Hygiene Scares With Plastic Pallets he UK Food Standards Agency’s (FSA) T Food Safety Week on June 16-22 served as a perfect opportunity for Goplastic pal-
“Since the pallet was first introduced in 1995, we have worked closely with the manufacturer IPS (now CABKA-IPS), for which lets.com to remind manufacturers of its longwe are the sole distributor in the UK, to standing commitment to supply superior enhance the pallet to achieve optimum hygienic pallets to the food and drink indushygiene standards. Although other manufactry. turers have imitated our IPS Hygienic pallet, This year, the FSA’s campaign focused on none have equalled its quality.” protecting consumers from food poisoning, Goplasticpallets.com’s IPS Hygienic pallet which affects as many as 5.5 million people is manufactured from coloured virgin HDPE in the UK every year. Microorganisms can be and is available in two sizes – 1,200 x 800mm introduced at any point in the food supply and 1,200 x 1,000mm. It is a fully closed palGoplasticpallets.com’s IPS Hygienic pallet. chain and are invisible to the naked eye, let with smooth, sealed surfaces and no caviwhich is why it is vitally important for food manufacturers to ties where dirt or dust can accumulate, so it remains contaminantsource the most hygienic pallets for handling and transporting their free. It can be easily cleaned manually or with an automated sysproducts. tem, as it does not absorb moisture – even under the most adverse Jim Hardisty, Managing Director of Goplasticpallets.com, the conditions – and is tolerant of both weak acids and alkalis. UK’s leading independent supplier of plastic pallets, says: The IPS Hygienic pallet comes in seven single colours as stan“Although all plastic pallets are hygienic when compared to tradi- dard and, for orders of 500 units or more, there are 84 two-colour tional wooden pallets, for handling food products, there are many options. advantages to using our IPS Hygienic pallet, which is fully compliTo order a sample or request a quote, call Goplasticpallets.com ant with EU safety legislation and can be used by food businesses as on 01323 744057 or visit www.goplasticpallets.com for further part of an HACCP plan. information. J
AIC Plastic Pallets Supplying the Irish Market IC Plastic Pallets Ltd has been supplyA ing hygienic plastic pallets to the Irish market since the early ‘90’s. Since then the plastic pallet in the Irish manufacturing process has become more popular with the benefits of a non organic loading platform and easy cleaning becoming more important to certain parts of the supply chain. Hygienic plastic pallets have also evolved significantly with new design and manufacturing techniques allowing for a significantly more robust and long lasting plastic pal-
let than previous iterations of the hygienic plastic pallet. AIC’s most popular and newest hygienic plastic pallet is the Craemer TC (Totally Closed) hygienic pallet, available as standard in 1200x800mm and 1200x1000mm in a variety of colours and configurations. Bespoke sizes are also available through Craemer’s butt welding process which allows greater flexibility for the customer with the non standard application. AIC Plastic Pallets holds a large stock
FOOD & DRINK BUSINESS EUROPE, JULY 2014
holding of hygienic plastic pallets as well as other plastic pallet/boxes for next day delivery to their customers throughout Ireland. J
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I PALLET NETWORKING
PLUS Logistics Celebrates Successful Launch new full service logistics offering from A the business behind the hugely successful Palletline network is off to a flying start following its launch in April 2014. PLUS Logistics is a brand new business offering customers bespoke logistics solutions across the UK and Europe. The new business offers customers warehousing and storage, through the night store delivery, consolidation services, reverse logistics and emergency forward stock locations through Palletline’s established and successful member network. Managing Director, Kevin Buchanan, says the team behind PLUS Logistics was extremely excited by the initial reaction from potential customers following a successful press launch and a very busy stand at the recent Multimodal exhibition at the NEC.
“PLUS Logistics is the next stage in our development and the whole team, from the people working in our head office to our regional hubs and 69 members, are very excited about what the future holds,” explains Kevin Buchanan. “Multimodal was the exact springboard we needed to meet lots of potential customers over a short space of time to explain what the new business can offer. “PLUS Logistics demonstrates a bold commitment to evolve and is a statement of intent to bring more choice to our cus-
tomers. While the introduction of a new name and branding reflects our innovative spirit, the transformation continues on the inside, bringing our customers a more modern and connected solution.” Award-winning Team PLUS Logistics has a wealth of experience in the logistics industry. With 69 members operating across 79 locations, the business employs 12,000 people and runs 6,000 vehicles. Over the last 22 years of trading the team has picked up a diverse range of awards and accreditations for its service delivery and customer care including Motor Transport’s Team of the Year and Network of the Year and a RoSPA Gold Award. Dedicated Professionals A new dedicated team of business professionals has been recruited to support the new business. The PLUS Logistics central business development team has a wealth of experience in the industry and will work closely with Palletline’s 69 members to promote the offering of PLUS Logistics to both existing customers and potential new clients. A Network Ideally Suited to Provide Logistics Services At the heart of Palletline’s success is its willingness to expand its services to meet the needs of individual businesses. The business already offers extended services to many blue chip brands. PLUS Logistics has been created to expand this service even further to meet a growing need from the market for a whole package of solutions from one supplier. Martin Rantle, Sales and Marketing Director, PLUS Logistics, says: “Our 69 members have a vast amount of experience dealing with a diverse range of customers from very small businesses that use our service on an adhoc basis to some of the biggest brands in the world. “The power of partnership, the new strapline for PLUS Logistics, tells a great story about the business. Our strength lies in the network we have worked hard to FOOD & DRINK BUSINESS EUROPE, JULY 2014
build over the last 22 years. Between our 69 members we have five million square feet in storage space - a combined size that rivals many of the UK’s largest logistics providers. “There is also a considerable amount of expertise, not to mention assets and infrastructure shared across the entire member network, expertise not only in pallets, but, in warehousing, logistics, storage, LTL, FTL and a whole suite of other transport related solutions and services.” Confident Future The team is confident it can meet a growing need in the industry, by using its proven track record to introduce a much greater selection of logistics services.
Kevin Buchanan says: “Over the last few years we have already begun to increase our services to support customers’ businesses. The creation of PLUS Logistics recognises this increased offering and we will be working hard to promote it now across the UK.” To find out more please contact PLUS Logistics on Tel 0800 533 5344, E-mail enquiries@pluslogistics.co.uk or visit www.pluslogistics.co.uk. J 31
I PALLET NETWORKING
LPR UK Relocates to Support Ongoing Expansion urope’s second largest FMCG pallet E pooling provider, La Palette Rouge (LPR), has expanded to modern new offices in Warwickshire, near Stratford-uponAvon. The LPR UK headquarters is now based at the recently-refurbished Studley
Point, Studley, in a move which sees LPR officially co-locate with parent company Euro Pool System (EPS) for the first time in the UK.
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The move follows another successful year for the pallet pooling giant, which has enjoyed a series of high profile contract wins and extensions with brands such as Carlsberg, Weetabix, Princes and McBride. The business has also created eight new roles over the past 12 months, resulting in LPR outgrowing its former premises in Redditch. Jane Gorick, managing director at LPR UK, says: “The past 12 months has been incredibly exciting for LPR UK, as we’ve grown rapidly in terms of pallet volumes and the size of the team. The move to our new offices in Studley has gone well and I’m looking forward to further developing the LPR business in line with our ambitious growth targets. Of course, the focus remains on delivering high quality pallets,
FOOD & DRINK BUSINESS EUROPE, JULY 2014
innovative business solutions and industryleading service levels – a trio of promises which we make to all of our customers.” LPR has become one of the most successful pallet pooling operators in Europe and now boasts a global client base. The company collects pallets in 12 countries across Europe through more than 100 local depots. The business, which is a division of Euro Pool System, handles more than 53 million pallet movements a year, with turnover in excess of Eur133 million. The full address of the new LPR and EPS HQ is: Studley Point, Birmingham Road, Studley, Warwickshire, B80 7AS. J
I TRADE FAIR
Why FoodTech Denmark? By Simon Reay, Director of The Reay Consultancy A big question always seems to raise more questions than it answers, so perhaps we had better go back to the beginning of the story… t all began back in 1997 when the need for a showcase – a shop window if you like – into what was good in Scandinavia, and especially Denmark, began to become apparent. This part of the world has always been very good at designing and building high quality food-technology machinery and equipment, but other areas of the world somehow seemed better able to project themselves onto the international stage. Clearly this was not a situation that could be allowed to continue! What with hindsight appears to the onlooker as blatantly obvious actually requires a strong catalyst to cause the idea to form in the first place, and of course a person who has the vision and drive to make such ideas become reality. The success of any venture requires a number of ingredients, and a “chef” to formulate the recipe and then oversee the brigade in its pursuit of excellence. Herning in particular, and Denmark in general, were very fortunate that at this time Klaus Erichsen (Fair Project Manager) had that vision, and was working with MCH Messecenter Herning which was to become the engine of growth. It is fair to say that the development of FoodTech Denmark from its regional beginnings into the truly international fair that it has become today is due to this happy combination. It is clear that to be a competitive prof-
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itable enterprise certain basic criteria have to be met. Probably the most important of these is the “need” for what you do. This of course can either be created or identified. In the case of FoodTech, I think that both apply. At the beginning of the story the original need was clearly identified, and regional and national firms and organisations welcomed an opportunity to display their wares to a wider audience. As time progressed however, and more people came through the doors to see some of the wonderful things that were being produced regionally, the fair developed inertia of its own which has created a wider and wider catchment and has resulted in a real international market place being born.
FOOD & DRINK BUSINESS EUROPE, JULY 2014
Broadening International Scope The international scope of FoodTech has broadened as the years have gone by, and while the number of countries represented by the visitors to the fair increases, so does the international scope of the exhibitor list. What began as a group of Scandinavian companies now encompasses firms from as far afield as the USA with Russia and Brazil expected at the Danish International Food Contest in 2014! For these international exhibitors, the primary motivator for their attendance seems to be the growing Scandinavian market place, and the access provided to it by a fair which is so firmly rooted in the real world. Many people (exhibitor and visitor alike) have said how much this fair is a “place where real business is done” and walking round the aisles listening in, the conversations seem to be focused on solid business and sales opportunities. Indeed at the last fair InSPIRe network had no less than 30 concrete contacts with reference to future contracts! Science and Industry This leads me to another element of this unique fair, which is its focus on the close co-operation between science and industry.
A good example of this is how visible the Danish universities are at the fair. The symbiosis of this relationship is evident in the way education and business exchange ideas and concepts at a very early stage and the future exhibitors are hoped to be the very students who are at today’s fair. In order for a fair like this to remain relevant and grounded in the fast changing world that is today’s business environment, it is crucial to have forward thinking people in the team, and it is fair to say that Klaus has achieved this. He and his team have ensured that the essential elements of today’s food world are to be found here. These include food safety – so relevant to today’s health conscious consumer and therefore to the producers of analytical processes and equipment who are so obviously represented here. Traceability too is a very important component in the mix, and again is to be found. Automation and robotics is yet another major part of this eclectic group, and some of the best companies in the world have regularly exhibited here from the start. Innovation Over the 9 editions of the fair, which historically runs every other year (originally on the odd numbered years, but since 2007/8 the even ones) innovation has been key. One of the key elements of this has been the incorporation of themed areas within the fair. This has taken many forms. I
remember three years ago for instance when there was a full process line running – all 40 meters of it! All the individual components were operated and demonstrated by their manufacturers which of course gave the visitor a good explanation of the individual piece of kit, and a true view of how the component he was seeking would meld into his own application. The latest fair (2012) offered us a demonstration area for HPP (high pressure pasteurisation) and a live cooking area populated by students giving demonstrations of how to use “Mylar Cook”. Joe Kraft the Business Director at DuPont Teijin Films said that “this would create a new standard for our participation in exhibitions around the world in future.” There is something of a captive market place for the exhibitor here as the fair runs alongside the Danish International Food Contest, which not being an exhibition, but an objectively judged and keenly fought for competition brings in the very best dairy foods manufactured in the region and indeed UK, USA, Canada and western Europe. Thus you have the producer competing next door so to speak, and at the same time his ticket which is valid for the fair, enables him to select his next capital purchase to either consolidate his success or improve his chances at the next one! Ole Linnet-Juul, who is the Director-General of the Danish Food and Drink Federation, tells me that this fair is important because: “It brings together professionals to enhance
FOOD & DRINK BUSINESS EUROPE, JULY 2014
quality and stimulate product development. In particular I find it important that the product judgement is made by your colleagues/competitors from your own field on the basis of agreed objective criteria. And then besides this of course, you can explore all the new production equipment on display.” But What of the Future? Klaus Erichsen tells me that the focus in years to come will remain true to the core values of the fair. This can be summed up as “putting together the best of what we have to offer the rest of the world, with the best of what the rest of the world has to offer us.” There is of course an issue with the food industry using enormous quantities of water and energy to put on our plates a safe, nutritious and attractive product. Denmark has long prided itself on its ecological credentials and pays close attention to how we can best use the meagre resources that our planet holds so it should not come as a surprise to discover that this aspect of FoodTech Denmark will become more and more prominent as the years roll by. In conclusion and to finally answer my own question - FoodTech Denmark is a truly international business forum. No matter which branch of food technology is yours, here you will find a perfectly spiced blend of expertise, innovation, research, and above all a truly Danish welcome. J
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I FOODTECH DENMARK
Ground Breaking Thermal Treatment Technology lflow Scandinavia, a leading flow component company in Denmark, is, in A corporation with Emmepiemme srl, introducing a new ground breaking thermal treatment technology to their customers Ohmic heating. Ohmic heating is a type of thermal treatment in which the food acts as an electrical resistance, and thus is heated by passing electricity through it. Electrical energy is dissipated into heat, resulting in a rapid and uniform heating. Ohmic heating is also known as electrical resistance heating or Joule, and can be used in a variety of applications in the food industry. We asked Jens Martin Andersen, Director at Alflow, how ohmic heating differs from conventional thermal treatment and what it is, that makes it a unique technology. “Conventional thermal treatment, either in cans or other aseptic processing systems can cause significant damage to the quality of the product due to slow conduction and convection heat transfer. In contrast, ohmic heating volumetric heats the entire food mass, such that the resulting product is of much higher quality than by other methods.” says Jens Martin Andersen. “It is also possible to heat food with large particles, up to 25mm, which would be difficult to heat using conventional heat exchangers. In addition, the cleaning requirements are smaller than traditional heat exchangers
processed products.” Commercial Equipment
Jens Martin Andersen, Director at Alflow.
due to reduced contamination at the interface between material and product. Worth mentioning is also the environmental issues: Ohmic heating only uses electricity. No emissions are produced at the point of use.” Products Suitable For Ohmic Heating
Ohmic heating is especially useful for heating liquid foods containing large particles, such as soups, stews, sliced fruit in syrup, sauces and other heat-sensitive liquids. The technology is useful in the treatment of foods high in protein, which have a tendency to denature and coagulate when it is heat treated. Liquid eggs can be ohmic heated in a fraction of a second without coagulating. Juice can be treated to inactivate enzymes without affecting the taste. Dairy products such as cream cheese can also be UHT threated. Other possible applications of ohmic heating include blanching, thawing, fermentation, peeling, dehydration and extraction. What about shelf life? Jens Martin Andersen says: “Because the treatment is a thermal process like conventional heating, the durability of ohmic processed foods are comparable to other sterile and aseptic FOOD & DRINK BUSINESS EUROPE, JULY 2014
Alflow Scandinavia is a company that services the chemical-, pharmaceutical- and food industry in flow equipment. Although the ohmic heating technology is interesting in its own, it does not matter much if commercial size equipment is not available. Jens Martin Andersen elaborates: “Emme-piemme in Italy supplies the equipment in commercial size and in the industrial scale test facilities in Italy we can, confidentially, conduct product evaluations on food safety, quality and durability. Emmepiemme and Alflow is also available for advice on product development.” In Denmark, ohmic heating is used in the production of dairy products, including cream cheese. A number of plants worldwide produce soups and fruit using ohmic heating. In the US, ohmic heating was used to produce a product with coarser particles and low acidity, as well as pasteurized liquid egg. Generally, any product can be analyzed for the possibility of using ohmic heating. “Because of our extensive knowledge in areas such as pumps, valves, pipes, fittings, tubing, stirrers and mixers, as well as related products in both synthetic materials and stainless steel, it is possible for us to guide our customers to the right solution,” Jens Martin Andersen adds. “It allows us to focus on our customer’s situation and not on our product portfolio.” J
Ohmic heating is especially useful for heating liquid foods containing large particles, such as soupss, stews, sliced fruit in syrup, sauces and other heatsensitive liquids.
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I FOODTECH DENMARK
DSS – A Tetra Pak Company – Your Access to Expert Membrane Filtration Has Never Been Easier SS, with many years of experience in D supplying advanced membrane filtration solutions and replacement membranes to the world’s leading dairy companies, was acquired by Tetra Pak in September 2013. The acquisition was part of Tetra Pak’s goal to be a world leader in filtration systems for milk, cheese, and whey.
Knowledge Center
Tetra Pak’s knowledge center for membrane filtration is DSS in Silkeborg. DSS specializes in advanced polymer and ceramic membrane filtration systems for reverse osmosis, nanofiltration, ultrafiltration and microfiltration, designing customized plants and using proven, standardized components for reliable and stable operation. DSS focuses on one industry – dairy. The company’s core competence is to maximize the full use of milk and whey by means of membrane filtration. We have extensive experience and profound knowledge of dairy production processes, fractionation processes, and energy-saving technologies, which helps our customers choose the right solution. Innovative Applications For New Dairy Products
With the acquisition, DSS became part of a total processing solutions supplier with a worldwide reputation for providing high quality hygienic process systems. Following the acquisition of US-based Filtration Engineering in December 2012, Tetra Pak now offers an unrivalled membrane filtration product portfolio and global market presence. Tetra Pak Processing market companies are found in all corners of the world and provide local sales support and service. In addition, customers can contact DSS filtration experts in Denmark direct.
DSS is a successful and experienced player in the global membrane filtration market, being in the forefront with the development of pioneering applications, often in cooperation with customers, in order to create new and innovative products from milk and whey. Examples of these developments are high concentration of whey, fractionation of milk, removal of bacteria from whey streams, and the ZeRO Loss process, which secures all valuable components in an RO process.
At this year’s FoodTech in Herning Denmark, DSS will highlight the group’s combined membrane filtratiion expertise, which provides the best lifetime value for the customer. cooling, heating, water consumption, and wastewater. By means of our Green Technology, it has proven possible to reduce the environmental footprint of a given dairy plant by 35% or more. DSS, A Tetra Pak Company, is your ideal partner when it comes to membrane filtration. Contact your local Tetra Pak office or the team in Silkeborg for more information: DSS, A Tetra Pak Company, Tel +45 8720 0840; E-mail info@dss.eu; Web www.dss.eu or www.tetrapak.com. J
Environmental Focus
An integral part of the company is the strong commitment to developing environmentally sound solutions for dairy processing that will ensure a positive effect on areas with the largest environmental impact: power, FOOD & DRINK BUSINESS EUROPE, JULY 2014
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LET SPX HELP YOU MEET YOUR CHANGING CUSTOMER DEMANDS Mixing, stirring and blending of products are fundamental operations in liquid processing. Whether you need a stand-alone mixer or a complete mixing and blending system, SPX offers market-leading brands including: t "17 T 'MFY .JYTM 'BNJMZ t "17 T $BWJUBUPS .JYJOH BOE %JTQFSTJPO -JOF t #SBO -VFCCF T 1&/5"9 -JOF t -JHIUOJO T 4BO4UBSTM -JOF t 8BVLFTIB $IFSSZ #VSSFMM T %JTQFSTJPO -JOF Through our state-of-the-art testing facilities, our broad product line and our highly-qualiďŹ ed network of sales engineers, you can CF DPOmEFOU JO ZPVS 419 NJYFST BOE CMFOEFST :PV SF TVSF UP mOE UIF NJYJOH PQUJPO UIBU TPMWFT ZPVS DIBMMFOHFT BOE JNQSPWFT your processes. To learn more visit us at www.spx.com or email ft.enquiries@spx.com.
I FOODTECH DENMARK
Mixing Solutions For the Dairy Industry PX provides leading service and process S solutions to the dairy industry. Included within its innovative technologies is the SPX APV ‘Flex-Mix’ series, consisting of seven mixers to meet very broad application requirements including mixing powders, liquids, particulates and even air for high and low viscosity fluids. The technology ranges from simple static and venturi mixers to innovative vacuum mixing provided by the Flex-Mix Instant and Processor models. Liquid/Liquid Mixing
For liquid/liquid mixing, the range offers the economic Flex-Mix TPX static mixer which is ideal for blending two simple, low viscosity liquids. It also includes the Dar dynamic mixer which provides more turbulence and is perfect for blending low viscosity with high viscosity fluids in applications such as the low temperature mixing of vegetable oil with butter.
Flex-Mix Instant
The SPX brand APV Flex-Mix Instant mixer offers exceptionally efficient performance for all kinds of recombination applications including ice cream, desserts, infant formula and sweetened condensed milk. It has a closed vacuum powder transport system which sucks powder underneath the liquid surface to facilitate wettability and dispersability of difficult to mix powders. The wet and dry phases of the process can be completely separated, reducing the risk of microbiological issues. The Instant mixer consists of an in-line rotor/stator mixer which is connected to a tangential outlet in the bottom of the tank. The In-line mixer is both pumping and mixing the product and thus creating a large liquid flow, which is re-circulated over the tank through a bypass. For top fed mixers, a higher flow rate forms a free vortex which cones down through the mixer, introduces air and impacts mixing quality. The special design of the Flex-Mix Instant enables higher solid contents to be used. Its improved mixing efficiency enables a higher concentration pre-mix and greater mixing capability, resulting in significant improvements in capacity and production economy. Overall the ability for increased hygienic powder intake, high shear rates and vortex independent operation of the FlexMix Instant bring real benefit to the mixing process with increased efficiency, higher capacity, better production economy and premium end product quality. There are further advantages gained in other process steps as the quality of the pre-mixing ensures the homogeniser runs smoothly.
Flex-Mix Processor.
particulates into the solution with an efficient and gentle agitator. Liquid/Air Mixing
The requirement to introduce air into a blended liquid is common in the dairy industry to create foamed desserts such as mousses. To ensure best end qualities are obtained this process requires a high shear to ensure small bubble size with a long residence time to stabilise the product. The Flex-Mix Power in-line pin mixer offers an aseptic aeration solution with very precise control of air overrun for product stability. The rotor/stator pin configuration ensures a very high shear for dispersion and premium product quality. Complete Systems and Support
Liquid/Particle Mixing
Flex-Mix Instant.
Liquid/Powder Mixing
Liquid/powder mixing is very common within the dairy industry and the Flex-Mix range offers three different methods of powder transportation to best suit the application. The TPM mixer uses the venturi effect to carry the powder into the liquid and is typically used for the dispersion of highly soluble powders such as sugar.
For applications where particles are dosed into the liquid a high shear mixer is normally used to create the basic sauce. To add particulates, the mixing is stopped, particulates added and an agitator in the vessel gently distributes the particles to avoid damaging them while preventing sedimentation. For such applications the Flex-Mix Processor, which is also a vacuum based mixer, provides fast dispersion of powders using an aggressive bottom mixing unit, ideal for high complexity products over a full range of viscosities. It has the added capability to blend delicate FOOD & DRINK BUSINESS EUROPE, JULY 2014
Alongside the wide range of innovative mixing technologies, SPX can deliver complete, turnkey processing lines as its experience within the dairy industry is vast. SPX understands the modern issues and challenges faced to provide flexible and competitive production solutions. Supporting its technology are the SPX Innovation Centres which offer customers the capability to trial, test and compare recipes and process solutions. Fully supported by the expertise of highly trained engineering staff, the centres enable new products to be brought to market quickly in order to achieve production goals. J 41
I FOODTECH DENMARK
BARTEC BENKE – The Global Technology Leader in Milk-Measurement and Sampling Systems ounded in 1936, Bavaria-based BARTEC BENKE is the F global technological leader in milk measurement and sampling systems, both on-truck and within the dairy. BARTEC BENKE’s TIGER milk collection and sampling system has essentially revolutionized the milk collection logistic chain. Fast, Light and Exact Milk Collection Indeed, the German company prides itself on offering the fastest, lightest and most exact milk collection system available. Food processing companies across the globe have placed their trust in the “Excellence of Measurement…made by BARTEC BENKE.” BARTEC BENKE is a subsidiary of the BARTEC Company. The story of BARTEC began in 1975 with an innovation. The company founder, Reinhold A Barlian, started as a one-man enterprise specializing in the development and manufacturing of a safety switch preventing explosions at gasoline pumps. Today the BARTEC Group is the leading global provider of innovative safety technology for applications in hazardous areas. The name BARTEC is known and relied upon all over the world. With an international network of 11 production sites in Germany, Switzerland, the UK, Norway, Slovenia, the USA and in China as well as with more than 35 sales units and 50 international sales partners, the market and technology leader in safety technology is present all over the world and is active on site to support the customer.
TIGER Milk Collection System The TIGER milk measurement and sampling system incorporates the latest measurement technology on milk collection trucks. It has a very high measurement accuracy across the entire volume spectrum of drawn in milk from 100 to 1,350 l/min. This is due to the purposely developed bubble sensors, which measure the suspended air within the milk medium, without the need for an air separator. The weight reduction is thus substantial, saving fuel costs. The reaction time for measuring air-in-milk-inclusion is just a few milliseconds. Because of this high resolution and the employed measurement principle, the sensor can be used directly to control the vacuum pump. With a weight of less than 200kg, the system is the lightest on the market. Dairies Pay For Milk - Not For Air The milk density measurement principle employed by the TIGER System delivers the most stable and consistent results in the industry and is often employed for benchmark tests on milk collection vehicles. The accuracy improvement is 0.15% over the entire volume of milk drawn in. The system complies with all regulatory requirements and the guidelines of the milk processing industry for the handling and measurement of food products. It is MID certified and available in 3” stainless steel diameter throughout. BARTEC BENKE will be demonstrating its milk measurement and sampling systems at FOOD TECH in Herning 2014 in hall M at booth 9574. For further information, please feel free to contact the BARTEC BENKE FOOD Team on Tel +49 9929 3010, Fax +49 9929 301 198, E-mail info.gotteszell @bartec-benke.de or visit www.bartec-benke.com. J
FOOD & DRINK BUSINESS EUROPE, JULY 2014
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I EFFLUENT TREATMENT
Industrial Effluent Treatment Versus Municipal Wastewater Treatment – Part One By WEHRLE Umwelt GmbH elcome to our mini-series about W Industrial Effluent Treatment for the Food & Beverage industry. In this and the following 5 editions of this magazine, we would like to show what makes effluent treatment in this industry special – and quite different from conventional ways of treating wastewater. If you need a new or upgraded wastewater treatment, you probably contact an expert. Experts have studied different ways to treat wastewaters and have spent a considerable amount of time examining and maybe even operating a wastewater treatment plant. They certainly know which technologies to use to get your wastewater clean. But, is this enough to fulfil the special
demands of industrial applications? Is your business focus the treatment of wastewater, like in municipal wastewater treatment plants, or is it to keep your production running and to create revenue? Wastewater treatment is a side process with the requirement for lowest possible operation costs. In other words, you need a solution for the industry that goes beyond the bare technologies. What about the space lost to an over-sized wastewater treatment plant, would it not be valuable as production or storage area? And do you really want to employ a full team of people to run the treatment plant, why not use automated plants that allow the job to be done by a single person only, easy to outsource? Talking about costs, what can you save if
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FOOD & DRINK BUSINESS EUROPE, JULY 2014
Industrial effluent treatment plant of Cadbury Romania, Bucharest for 50 cu m/d. Picture: WEHRLE Umwelt GmbH.
you re-use the treated water in your plant or utilise the heat energy of the warm discharge water before draining it off? Also, while municipal wastewater treatment plants are somewhere outside the city, production plants are often in direct neighbourhood to other companies or even residential areas. Would it not be good if you neither see nor smell that wastewater is treated here? Got your interest? Please read on in Part II: “Biological Treatment of Industrial Effluents” in the next edition. J
I POULTRY
Price and Provenance Form Framework for Impressive Growth in UK Poultry Market he retail market for poultry in the UK T grew by 6.2% in 2013, according to ‘Poultry 2014’, a new Market Report from market intelligence provider Key Note. While this impressive market performance is attributable to a wide variety of causes, price and provenance are of primary significance in the current market. The efficiency and scale of output at mass-production poultry sites is such that prices at retail have not inflated to the same extent as carcass meats since the onset of the financial crisis in 2008. As such, poultry is increasingly seen to be providing value for money, which is a key sales driver among UK consumers, the majority of whom are yet to feel the effect of a gradual economic recovery in their pockets. According to an exclusive consumer survey commissioned by Key Note in May 2014, 22.1% of respondents stated that they regularly purchased poultry because they considered it to be a cheaper alternative to other meats. This is contributing to the wider popularity of poultry in general; 52.3% of respondents in the survey claimed
to buy more poultry than other meats. This high level of penetration is based on the versatility of poultry, and especially chicken, as a cooking ingredient, as well as its status as a low-fat alternative to red meat among an increasingly health-conscious consumer base. These trends have contributed to substantial market growth in 2013. Market value has also been enhanced by the growing demand for provenance, amid wider ethical concerns relating to animal welfare and processing standards. This trend has been developing steadily in recent years, but was exacerbated in 2013 with the exposure of the horsemeat scandal. Concern over
the complexity of food chains has encouraged sales of British meat, particularly meat which is ethically assured (such as organic or free range). According to the same consumer survey, commissioned by Key Note in May 2014, 67.7% of respondents admitted to being concerned by welfare conditions, production standards and the provenance of meat. This concern is fuelling sales for more expensive, ethically produced meat, which is bolstering market value. Given that inflation is forecast to remain high throughout the next 5 years, and that issues such as genetic modification (GM) are compounding ethical concerns in the global meat industry, the UK poultry market outlook is encouraging. In coming years, chicken will become even more dominant within the poultry market and wider meat industry, while sales of less popular meats such as duck and goose will pick up following challenging post-recession trade conditions. As such, Key Note forecasts that the UK poultry market will grow by a dramatic 23.4% between 2014 and 2018. J
I GROCERY MARKET
Price Competition Causes Historic Lows in UK Grocery Market Growth he latest supermarket share figures from Kantar Worldpanel, for the 12 weeks T ending 25 May 2014, show a slowdown in grocery market growth to 1.7% – the lowest level for at least 11 years. Supermarket price competition is prompting another drop in the level of grocery price inflation to 1.2%. Edward Garner, director at Kantar Worldpanel explains: “Despite the wider market slowing, Lidl achieved a record share of 3.6% this period, accelerating with its highest ever year-on-year growth of 22.7%. Similarly, Aldi has gained 35.9% and retains its record 4.7% share reached last period.” He adds: “At Waitrose, managing director Mark Price’s tactic of being ‘everything that the discounters aren’t’ seems to have paid
off for the retailer. By differentiating its offer, Waitrose has maintained its all-time record share of 5.1% secured last period. Meanwhile, Asda surpassed its rivals with a market-beating growth of 2.4%, lifting market share to 17.1%, compared with 17.0% a FOOD & DRINK BUSINESS EUROPE, JULY 2014
year ago. Asda is the only large grocer to grow share year-on-year.” Tesco, Sainsbury’s and Morrisons have all lost market share since this period last year, while Tesco and Morrisons recorded sales drops of 3.1% and 3.9% respectively. Among the smaller retailers, Iceland’s growth rate has dropped back to average market levels with its share remaining at 2.0%, whereas Farmfoods is mirroring the likes of Aldi and Lidl, growing sales by 27.1%. Grocery inflation has shown its eighth successive fall and now stands at 1.2% for the 12 week period ending 25 May 2014. This is the lowest level since May 2010 and reflects the impact of Aldi and Lidl and the market’s competitive response. J 45
I LABELLING
FIC – The Food Information For Consumers Regulation he Food Information for Consumers T regulation (FIC), which will come into effect in December this year, is the European Legislation that will harmonize food labelling on food sold throughout Europe. While the debate rages on about the increase in burdensome regulations from the European Union and the complexity of the new rules, it can also be argued that many consumers welcome some of the changes which will improve transparency and serve to reassure them about the origin and content of their food.
The changes in the food labelling requirements address four main areas: Nutrition Labelling The presentation of nutritional information on food will become compulsory from 13th December of this year. The label must present the information in a prescribed format which will require changes to the composition of the label. The energy and fat content will have to be presented at the top of the list of mandatory nutrition declaration therefore some labels will need to be adjusted in order to comply with the legislation. Allergen Labelling Minimum font sizes for nutrition and allergen labelling must be at least 1.2mm but can be as small as 0.9mm on much smaller 46
products. Allergen information must be provided for all food and drink intended for the consumer including foods sold to restaurants and cafes and businesses with effect from December this year, the name of the allergen must be printed next to the ingredient, and must not be misleading. Origin Labelling Origin labelling is popular with the consumer and a tightening of the current rules will mean that labels will have to state the country of origin and where it was processed where this is different. Weights and Measures Labelling Changes include new labelling requirements to present quantities of food and drink in a more specific format to improve transparency; the quantity must be Martin Mulligan, Chief Executive of MM Barcoding. accurate, clear, and easy to understand and must be printed in the same field of vision as the name of the been focusing on new ways to offer techniproduct. cal and legislative support to customers who find the maize of regulation too comIndustry Response plex. The company led by chief executive Most companies are keen to embrace the Martin Mulligan, are keen to contribute to legislation and to comply with the new improved labelling, by providing advice rules. However many other companies are and overall awareness of compliance within struggling due to the complexity of the reg- the industry. ulations and need advice. The team at MM For further advice on all your labelling Barcoding Ltd is busy advising many of requirements contact MM Barcoding Ltd their customers, some of whom struggle to UK +44(0)1744 778070 or Ireland apply regulatory requirements to multiple +353(0)1 8462902. Email: marketing@ products. The advice is to mmbarcoding.com or visit www.shop. embrace the legislation mmbarcoding.com. J early and to balance the cost of adjustment against the long term strategic cost reduction of the company. It is far better to make mistakes before the deadline than after as this may result in products being removed from shelves or penalties for non-compliance. MM Barcoding has FOOD & DRINK BUSINESS EUROPE, JULY 2014
QUALITY
& HYGIENE
I INDUSTRIAL WASHING MACHINES
Optimal Cleaning Solutions From JEROS anish company JEROS has accumulated more than 50 years of D experience and expertise in manufacturing industrial washing systems for the food industry, including dish washers, utensil washers, crate washers, conveyor tunnel washers, tray cleaners and cleaners for multi-head weigher components. JEROS has developed an extensive range of high quality products to meet the rigorous hygiene requirements of the food industry, and also offers tailored solutions for individual customers. The innovative company’s cleaning solutions incorporate the highest standards of hygiene with the lowest possible water, energy and labour costs. All washing solutions are available in various models to suit users of all sizes across virtually all sectors of the food industry. One of the company’s most recent developments is the JEROS ACE, a flexible and efficient industrial cleaning system for multi-head weigher components. The ACE system allows users to achieve a substantial reduction in the time needed for the cleaning of scale parts. It speeds up the production output by reducing the product change-over time, cuts labour costs, makes cleaning easier and ensures compliance with the most stringent hygiene standards. Indeed, the ACE system is a solution to the increased hygiene regulations in the food industry. Due to the rinse temperature, of approximately 85 C, the components are more or less pasteurized. The ACE offers many advantages over traditional manual cleaning. One person can handle the complete cleaning procedure. While the components are in the washer, the operative is free to do the dry cleaning of the weigher centre. Indeed, the whole cleaning procedure with the ACE system takes only 20-30 minutes (depending on the number of components and wash cycles). This compares with 1.5 hours for manual cleaning with two people or more required for the job. A JEROS ACE system was recently installed at Ishida’s headquarters, to show customers a practical solution for the quick and safe handling of weighing scales, whilst guaranteeing a hygienic wash with controlled temperature. J
I COCOA
Cargill Reports on Sustainable Cocoa Journey and Pledges to Accelerate Growth of Programme argill has released its first global progress C report on its activities to support cocoa farmers, communities and the development of a sustainable global cocoa supply chain. The report entitled ‘A thriving cocoa sector for generations to come’ highlights the progress the company has made since its work began over a decade ago and the Cargill Cocoa Promise was launched in 2012 to align its efforts. “Our ambition is to accelerate progress towards a supply chain that is transparent, enables farmers to achieve better incomes and living standards, and delivers a sustainable supply of cocoa and chocolate products,” says Jos de Loor, president of Cargill’s cocoa and chocolate business. “We believe educated, empowered and successful farmers are essential to meeting the challenges facing the cocoa and chocolate sector. This report shows how we are making a difference but also highlights the progress we still need to make.” The Cargill Cocoa Promise has reinforced the company’s global commitment to improving the livelihoods of farmers, their families and their communities, and to securing a long-term, sustainable supply of cocoa. The global programme is taking a local approach by using Cargill’s extensive on-theground sourcing network to strengthen farmer organisations and work with communities, governments and NGOs to under-
stand local issues and make tangible, longterm differences. The Cocoa Promise is addressing key challenges in the sector including the need to increase yields and incomes for farmers; improve access to training, infrastructure and finance; improve access to education and healthcare in communities; and regenerate farmland. The report highlights major results and achievements to date, which include: • Over 115,000 farmers trained in good agricultural practices in Côte d'Ivoire, Ghana, Cameroon, Indonesia, Brazil and Vietnam. • 2,550 Farmer Field Schools established globally to provide training and knowledge sharing locally. • 77,000 farmers and over 342,201 hectares certified through farmer cooperatives and organisations. • Establishing the Coop Academy in Côte d'Ivoire – a unique, industry-first programme to provide cooperative leaders with knowledge and skills to grow their businesses more successfully. • US$25 million of certification premiums paid to farmer cooperatives – 50 percent directly benefits farmers while remainder invested by farmer organisations in local communities. • 25.3 million seedlings distributed to support growth in cocoa production, particu-
larly in Brazil. • Improved access to education for over 34,000 children in cocoa communities through school build activities, training teachers and providing books. Jos De Loor continues: “Since we launched the Cargill Cocoa Promise, we have been focusing on delivering positive, tangible results. But in order to benefit more farmers and communities, as well as advance our ambition of a transparent supply chain, it is essential we continue to adapt our approach in each origin. The demand for cocoa is rising each year and consumers are increasingly conscious of where their food comes from and how it is produced. This means collaborating more closely with our customers, governments and partners to understand the challenges facing smallholders and measuring the real impacts of activities to ensure we continue to make a bigger difference.” J
I FLAVOURS
Sensient Flavors Presents New Line of Natural Cherry Flavors ensient Flavors has developed a new line of natural cherry flavors. S With Black Cherry, Sweet Attika, Wild Amarena, Sour Morello and Spicy Cherry, the company’s flavorists have created five outstanding cherry flavors. The new flavoring range enables manufacturers to meet consumer demand for more sophistication in their beverages. Designed for use in soft drinks, spirits and other beverages, Sensient’s novel product line covers sweet and sour cherry varieties, with each one capturing the authentic characteristic profile. The trueto-type natural Morello cherry flavoring delivers the distinctive, acidic flavor profile the sour cherry variety is known for. The Sweet Attika for example, offers a delicious hint of almond, while the Black Cherry has a sweet and very light floral flavor profile. 48
“The health and wellness mega trend continues to influence consumers, and this is fueling demand for fruit flavors in all of their facets,” explains Hans-Juergen Sachs, General Manager of Sensient Flavors Beverage Europe. “Increasing numbers of consumers are looking to explore and indulge in new taste experiences, and they are drawn to sophisticated fruit varietals and the flavor nuances they offer. With our new range of natural cherry flavors, we have taken the familiar and refined it by adding varietals that will help our clients capture the attention of consumers.” For further information visit www.sensientflavors.com. J
FOOD & DRINK BUSINESS EUROPE, JULY 2014