Food & drink business europe august issue web 2014 by Colin Murphy

August 2014

Dairy Crest forms global whey partnership with Fonterra

Food & Drink Business Website:

www.fdbusiness.com

C o n t e n t s

- 3-25 W HEY

- 56 M ERGERS & A CQUISITIONS

Healthy outlook as whey ingredients go mainstream. The 7th International Whey Conference 7th-9th September, Rotterdam, The Netherlands. Improving the competitiveness of European SME cheese makers.

Coverage of British and international deals.

P AGE 11

PAGE 3

Benedicte Masure, Secretary General, EWPA.

R EGULARS

Theo Spierings, chief executive of Fonterra.

Materials & Ingredients . . . . . . . . 17-19 & 55 Whey Ingredients . . . . . . . . . . . . . . . . . . . . . . . . . 17-19 Davisco Foods International – Meeting the nutrition needs of the 21st Century . . . . . . . . . . . . . . . . . . . . . . . . . . 17

Sachsenmilch Milk & Whey Ingredients to open a new whey facility in Summer 2015.

Processing & Manufacturing . . . 20-28, 39-45 Whey Processing . . . . . . . . . . . . . . . . . . . . . . . . . .20-25 Tetra Pak – Leading the way in whey processing . . . . .20 Whey Processing Technology – RWL Water adds more value to the dairy industry . . . . . . . . . . . . . . . . . . . . .24 Powder Handling . . . . . . . . . . . . . . . . . . . . . . . . .26-28 High Pressure Processing . . . . . . . . . . . . . . . . . . . . . . .43

- 11 C OVER S TORY Dairy Crest forms global whey partnership with Fonterra. Fonterra and A-ware Food Group developing new cheese and dairy ingredients plants in the Netherlands.

PAGE 17

Phanin Leksrisompong, Director of Business Development, Davisco.

- 31 D AIRY

PAGE 47

Dave Brearton, CFO, Mondelez International.

Research & Development . . . . . . . . . . . . . 30 Energy & Environment. . . . . . . . . . . . . 33-35 Veolia provides green wastewater solution for Arla’s new dairy.

Logistics & Distribution . . . . . . . . . . . . . . 49 Inet-logistics provides end-to-end visibility throughout the supply chain.

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Bottling & Packaging . . . . . . . . . . . . . . . . 51 Packaging Innovations London serves up a tasty treat.

Ivan Menezes, CEO, Diageo.

Arla Foods expands its influence in Europe.

Managing Director: Colin Murphy Editor: Mike Rohan

- 36 C ONFERENCE & E XHIBITION Innovation For Sustainable Growth – Aviva Stadium, Dublin – September 10th 2014.

Group Operations Manager: Sylvia McCarthy Advertising: John Bent & Ian Stewart

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Cheryl Reid, Chair, Whey Protein Research Consortium.

Production Manager: Sylvia McCarthy

Food & Drink Business Europe is published by Premier Publishing Limited, 51 Parkwest Enterprise Centre, Nangor Road, Dublin 12. Tel: + 353 1 612 0880 Fax: + 353 1 612 0881 E-Mail: info@prempub.com Website: www.fdbusiness.com Premier Publishing Limited can accept no responsibility for the accuracy of contributors’ articles or statements appearing in this magazine. Any views or opinions expressed are not necessarily those of Premier Publishing and its Directors. No responsibility for loss or distress occasioned to any person acting or refraining from acting as a result of the material in this publication can be accepted by the authors, contributors, editor and publisher. A reader should access separate advice when acting on specific editorial in this publication!

- 47 C OST M ANAGEMENT Snacking giant becoming leaner.

Design, Origination and Separations by Fullpoint Design (057) 8680873. (086) 1573510

- 53 M ARKET F OCUS

PAGE 11

Brand power remains key to exploiting new trends in UK snack foods market.

Mark Allen, CEO, Dairy Crest.

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FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

I WHEY

Healthy Outlook as Whey Ingredients Go Mainstream Supported by advances in separation and refinement technology, the whey ingredients industry in Europe is developing increasingly sophisticated products capable of a widening range of applications within the global food and neutraceuticals markets in response to growing consumer concern about health and wellness. ndeed, the output of whey ingredients for human consumption is expected to expand rapidly during the next few years. Incorporating high quality proteins, lactose, bio-active components, minerals and vitamins, whey products offer excellent nutritional and functional properties and are used by the food industry in a broad range of applications including yoghurts, milk drinks and ice cream as well as a valueadded ingredient food products such as meat and fish products, bakery, confectionery, snack foods and infant formula. Whey is also used for many applications in the animal feed industry. Whey is the serum or liquid part of milk which is separated from curd during cheese manufacture. Not surprisingly, the major European cheesemakers are also the largest producers of whey. Although a secondary product of cheese making, whey due to its high nutritional value and versatility has become a valuable food ingredient for the dairy industry.

enhance the nutritional content of a wide range of mainstream foods. The rising consumption of performance/sports nutrition products in mature markets and the continued demand for infant nutrition products in emerging regions, particularly Asia, are fuelling the growth in whey protein-based nutritional ingredients.

Benedicte Masure, secretary general of the European Whey Products Association (EWPA).

Optimism “Cheese production is permanently increasing in the EU and therefore whey availability is increasing too. Thanks to the increasing demand for whey and whey derivatives both in the EU and worldwide, the whey industry is optimistic regarding its future,” says Benedicte Masure, secretary general of the European Whey Products Association (EWPA) and deputy secretary general of the European Dairy Association (EDA).

Whey is the serum or liquid part of milk which is separated from curd during cheese manufacture. Not

surprisingly,

the

major

European

cheesemakers are also the largest producers of whey.

Part of the European Dairy Association, the EWPA promotes good communication and understanding on whey and related issues towards potential customers and consumers. It supports its members in developing and sustaining markets based on knowledge and information. “In the past, whey was considered as a waste material, and was afterwards mainly used for its nutritional value in animal feed. However, over the years, the percentage of whey used for human consumption has increased significantly. Whey and whey derivatives are known not only for their functionality but also for their nutritional qualities,” Benedicte Masure continues. Increasingly recognised as a functional ingredient with health benefits, whey and whey components are incorporated in dietetic and health foods such as slimming foods, diets for the elderly and clinical foods. Bioactive whey ingredients are being increasingly used in pharmaceuticals as well as nutraceuticals. Through utilising new processing technology to separate whey into different fractions and by gaining a deeper knowledge of whey components, whey processors are able to manufacture more sophisticated and higher quality products. Whey processors have been successful in segmenting the market. Added value whey protein ingredients have been developed specifically for use in infant nutrition, sports formulae and to FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

Major Players The biggest players within the European whey and lactose ingredients industry are also the leading dairy and cheese groups such as Lactalis, FrieslandCampina, Arla Foods and Glanbia, which compete in global markets with major international dairy processors such as US-based Davisco Foods International and Fonterra of New Zealand. Smaller European whey and lactose ingredient companies such as Meggle of Germany, Carbery of Ireland and UK-based Volac tend to focus on various speciality products.

Arla Foods is currently investing approximately DKr530 million (Eur70 million) on the ongoing construction of a new production site near Nr. Vium in Denmark that will produce value-added lactose ingredients based on whey to be used for child nutrition products.

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The world’s two largest dairy companies - Nestle and Danone are not involved in the production of whey and lactose ingredients but use them extensively in their infant nutrition and other food products. Market Trends “Products fortified with protein, especially whey protein, are moving more towards the mainstream market, with more consumer-led everyday consumption applications,” points out Michael Hiron, head of Dairy & Lifestyle Ingredients at Volac, one of Europe’s leading producers of whey proteins, supplying the sports nutrition and weight management markets. “These new product concepts are moving away from the specialist niche markets such as sports nutrition, products targeting the elderly or those with low protein diets. The trend now is towards new product development amongst food and beverage manufacturers do develop products that can benefit everybody and are available in convenient formats.” For instance, the protein market is showing more of a female focus, according to Volac, as women begin to understand more about protein intake combined with the right exercise regime, and also the positive effects of the right diet combined with a healthy and active life. Louise Mahrra, marketing manager – Human Nutrition at Volac, comments: Michael Hiron, head of Dairy & Lifestyle “We are seeing more Ingredients at Volac. consumers beginning to understand that protein has the ability to play a key role in optimal health – not only for sports professionals and elite athletes, but those living a healthy active lifestyle. The current industry trend for proteins, particularly dairy protein, is growing at a steady upward rate. We are seeing a proliferation of new product development from food manufacturers and sports nutrition brands to meet the growing demands of the more everyday consumer-friendly market.” She adds: “We are also seeing some exciting examples out there at the moment of where innovation can lead to, with an ever increasing range of protein RTD’s, protein bars, protein wafers, and new and novel concepts like protein gummy bears and protein jelly.” Healthy Outlook The development of increasingly sophisticated technology is allowing dairy companies to produce more valuable whey derivatives to stimulate further market demand as whey’s use as a healthy ingredient, particularly in areas such as sports, medical nutrition, infant nutrition and weight management, continues to grow. “Based on the European Commission outlook, cheese production in the EU 28 is expected to increase by almost 16% between 2012 and 2022,” points out Benedicte Masure. “World demand for nutritious and sophisticated dairy products, including whey ingredients, is increasing. Prices for whey are at a satisfactory level. The sector is therefore looking optimistically to the future.” Phanin Leksrisompong, director of business development at Davisco Foods International, says: “Global demand for whey protein has been increasing in the recent years due to growing demand in emerging markets especially in some Asian countries. Whey proteins have gained popularity as health and wellness ingredients, particularly in weight management, active lifestyle, medical, and early nutrition.” Demand is also continuing to grow strongly in developed markets. “As in the US, European whey protein demand is still increasing at a double-digit growth rate for all types of applications, such FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

solutions that can produce high quality finished products from lower cost raw ingredients – this is a trend that is strengthening as protein prices continue to rise. Finally, within the infant sector, there is also increased demand for infant products crafted directly from fresh ingredients instead of reformulating or reprocessing a finished adult product. This is creating demand for more flexible processing solutions that can produce a variety of finished products from different ingredients.” The development of increasingly sophisticated technology is allowing dairy companies to produce more valuable whey derivatives.

as sports nutrition, infant nutrition, food applications. Currently there is no sign of this increase tapering off and market expectations are for this trend to continue,” says Michael Hiron. Benedicte Masure adds: “Europe is one of the key players on the world market, for example ranking number two (after the US) for lactose. Given the increasing world demand for high quality nutritious products, there is no doubt that exports of European whey and whey derivative ingredients will continue to increase.”

Louise Mahrra, marketing manager – Human Nutrition at Volac.

facture galacto-oligosaccharide (GOS), a lactose-based prebiotic, widely used in infant formula. Dairy Crest has entered into

Investment in Additional Capacity With the outlook for the global whey products market looking bright, many European dairy companies are investing in new technology to increase both capacity and the sophistication of their whey ingredients. For example, Arla Foods is currently investing approximately DKr530 million (Eur70 million) on the ongoing construction of a new lactose production site near Nr. Vium in Denmark. The new site will produce valueadded lactose ingredients based on whey from Arla’s nearby cheese production. These ingredients will be used for child nutrition products and other categories and sold to the food industry globally by Arla’s subsidiary Arla Foods Ingredients, which is a global leader in natural whey ingredients for products in a range of categories – from bakery, beverages, dairy and ice cream to clinical, infant and sports nutrition. “The infant formula and nutrition markets continue to drive demand for demineralized whey and whey protein products,” comments Nick Adamson, sub-category manager whey of Tetra Pak Cheese & Powder Systems. “Our customers are investing in new plants to meet growing demand and quality standards, however, like all investment there is a challenge associated with potentially volatile demand, pricing and availability of raw material. This challenge means that dairies are seeking increased product flexibility to enable them to produce different products as demand and supply of raw material varies.” Nick Adamson elaborates: “We are also seeing an increase in interest in processing FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

Synutra has commenced the construction of a new Eur90 million drying facility at Carhaix in the Brittany region of France, to manufacture powdered milk and fat-enriched demineralized whey.

International Alliances Dairy Crest, the leading UK-owned dairy foods company, is currently building a £45 million (Eur57 million) demineralised whey powder facility adjacent to its cheese manufacturing plant at Davidstow in Cornwall. Dairy Crest is also planning a new £20 million facility at its Davidstow site to manufacture galacto-oligosaccharide (GOS), a lactose-based prebiotic, widely used in infant formula. Dairy Crest has entered into a strategic partnership with Fonterra, the world’s leading dairy exporter, which will market and sell both products to the rapidly growing global infant formula market (see Cover Story in this issue). A similar international alliance is between

Synutra International, a leading infant formula company in China, and Sodiaal, the leading dairy co-operative in France, and its subsidiary, Euroserum, a world leader in demineralized whey powders. Under the long-term industrial and commercial partnership agreement, Synutra has commenced the construction of a new Eur90 million drying facility at Carhaix in the Brittany region of France, to manufacture powdered milk and fat-enriched demineralized whey for the needs of the Chinese group. The new facility is designed to meet the strictest European quality and hygiene standards and will be capable of producing 60,000 tons of powder per year initially, with a capacity of up to 100,000 tons annually. Another French dairy co-operative Laita is implementing a Eur80 million investment programme to expand its production capacity in dry dairy ingredients.at its sites in Finistere, Cotes d’ Armor and LoireAtlantique. By 2017, Laita expects to produce an additional 30,000 tonnes of canned infant milk powders and premium milk powders annually, as well as 7,500 tonnes of demineralised whey. In Northern Ireland, Dale Farm, which is owned by dairy co-operative United Dairy Farmers, has just officially opened a new whey protein nano filtration plant and expansion of the company’s existing ched-

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

dar cheese facility at Dunmanbridge. The £20 million investment gives Dale Farm one of the most advanced cheese and whey processing plants in the world. Constraints on Growth More than 80 million tons of liquid whey are produced annually by the approximately 150,000 European cheese makers in the EU. However, according to the EWPA, only about 40% of the liquid whey in Europe is being processed for its utilization in food and human nutrition or in feed applications, while the rest is still being dumped into municipal sewages, mainly by SME dairies. However, as whey separation technology develops, SME dairies are expected to be able to economically process more of the whey to both reduce their waste stream and to improve their profitability – see ‘Improving the competitiveness of

World demand for nutritious and sophisticated dairy products, including whey ingredients, is increasing.

COVER STORY

Dairy Crest Forms Global Whey Partnership With Fonterra With its planned £45 million demineralised whey powder facility due to commence production in mid 2015 and a new £20 million galacto-oligosaccharide facility set to come on stream shortly after, Dairy Crest, the leading UK-owned dairy foods company, has entered into a strategic partnership with Fonterra, the world’s leading dairy exporter, which will market and sell both products to the rapidly growing global infant formula market.

he new facility will add value to Dairy Crest. “We are the whey produced as a by-prodexcited to be working uct of cheese manufacturing at with Fonterra and Dairy Crest’s plant at Davidstow Fayrefield Foods to in Cornwall, where Cathedral City - the bring these two innovaleading cheese brand in the UK – is protive new products to duced. market. These partnerFonterra will market and sell the demships, with leading ineralised whey powder, which is the experts in the field, give base ingredient in infant formula. us exposure to global Fonterra will receive a commission to sell growth opportunities.” all of Dairy Crest’s demineralised whey The two projects will help Dairy Crest production and will also provide techni- Pictured (from left to right): John Beech, financial director of in pursuit of its long-term growth stratecal and engineering support as the pro- Fayrefield Foods; Theo Spierings, chief executive of Fonterra; gy of building market-leading positions and Mark Allen, chief executive of Dairy Crest. ject moves forward. in branded and added value markets, Dairy Crest’s demineralised whey while focusing on cost reduction and powder manufacturing project has a five year cash payback and is efficiency improvements as it strives to improve the quality of earnexpected to boost annual profits by around £5 million from ings and reduce risk by decreasing its exposure to commodity mar2015/16. The agreement with Fonterra is for a minimum of five kets. Dairy Crest is committed to constant innovation, bringing years. new products to market and introducing new ways of working across the business. In addition to generating organic growth, New £20 Million Capital Investment Dairy Crest is also prepared to make acquisitions and disposals Dairy Crest has also announced a new £20 million capital invest- where they will generate value. ment programme at its Davidstow site to manufacture galactoDairy Crest’s partnership with Fonterra provides the opportunity oligosaccharide (GOS), a lactose-based prebiotic, widely used in for both companies to grow volume and value by pooling their infant formula. Dairy Crest is entering a joint venture to produce expertise, points out Theo Spierings, chief executive of Fonterra. GOS with UK-based Fayrefield Foods, which will provide access to Theo Spierings continues: “Dairy Crest possesses proven technithe necessary enzyme and other intellectual property. Fonterra will cal expertise, a quality culture and an excellent source of high-qualsupply lactose and will also take responsibility for marketing and ity whey. We are delighted to have the opportunity to partner with selling GOS. The project is anticipated to provide an eight year them, and provide our global customers paediatric ingredients cash payback for Dairy Crest. made in state-of-the-art facilities by a The demineralised whey and GOS dairy company that shares our commitproduced at Davidstow are destined for ment to safe, high-quality dairy nutrithe fast growing global infant formula tion.” market. According to Fonterra, infant formula is the fastest growing dairy cateGlobal Business Strategy gory in the world. Demand is particularThe partnership with Dairy Crest is in ly strong in Asia, where China is the line with Fonterra’s global business stratleading global infant formula market. egy to develop leading positions in infant formula and growing up milk powders, Growing Added Value Sales and to extend and grow its infant formu“Demineralised whey powder and GOS la ingredients business in China, Europe form an important part of Dairy Crest’s and other key international markets. strategy to grow added value sales,” Dairy Crest processes over 400 million litres of milk into The agreement also aligns with explains Mark Allen, chief executive of cheese each year. Fonterra’s A-Ware Food Group partnerFOOD & DRINK BUSINESS EUROPE, AUGUST 2014

Fonterra and A-ware Food Group Developing New Cheese and Dairy Ingredients Plants in the Netherlands Fonterra and Netherlands-based A-ware Food Group are developing a new cheese plant and dairy ingredients plant in Heerenveen in the north of the Netherlands. Under the partnership agreement, a greenfields site will be developed where A-ware will operate a cheese plant and Fonterra will operate a dairy ingredients plant alongside it. Cheese will be produced for Aware’s customers in Europe and the whey and lactose produced will be processed into premium nutrition dairy ingredients for Fonterra’s global customer base. The investment fits well with the strategic priorities of both companies. Construction of the two plants is scheduled to be completed in late 2014. “Fonterra has substantial intellectual property in the manufacture of func-

ship where a new whey and lactose plant currently under construction in the Netherlands will provide the raw material for the manufacture of GOS (see Panel). Production is expected to begin in 2015. Davidstow Site Dairy Crest’s cheese-making site at Davidstow is the hub of the UK dairy group’s Cheese & Whey division. The cheese produced at Davidstow 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. The whey currently produced at Davidstow is dried and sold as whey powder to food manufacturers. The demineralised whey powder project will allow Dairy Crest to add further value to this production stream. The Davidstow site, according to Mark Allen: “Exemplifies

tional whey protein ingredients and has been looking for some time for a source of high quality whey to enable it to commercialise these innovations for customers around the world,” says Theo Spierings, chief executive of Fonterra. According to Jan Anker, chief executive of Aware Food Group, the partnership will build on A-ware’s reputation as a significant provider of premium cheese in Europe with a strong history and network. “A-ware is well placed to integrate the new cheese plant into its supply chain so it can expand its service offering with increased flexibility for a growing customer base in Europe,” says Jan Anker.

everything we are trying to do with our business through growing market-leading brands such as Cathedral City and planning for future export-led growth with the whey investment.” Cheese & Whey Dairy Crest’s Cheese & Whey division is the biggest contributor to group profit, accounting for 52% of the total for the year ended 31 March 2014 and generated19% of group revenue. Dairy Crest’s other two divisions are Spreads & Butter and Dairies. The Cheese & Whey business increased revenue by 14% to £264.6 million and profits by 19% to £39.3 million last year, resulting in margin improving from 14.3% to 14.9% as cheese profits were supported by strong returns from whey. The outlook remains bright for the business as its strong cheese brands and efficient production facilities, together with the new demineralised whey and GOS projects, leave it well positioned to increase the already strong returns. J

I WHEY

The 7th International Whey Conference – 7th-9th September, Rotterdam, The Netherlands xpected to attract over 600 participants E from around the world, The 7th International Whey Conference aims to bring together experts from academia and the food industry from the fields of dairy science and technology, (bio)chemistry, processing, physics, sensory science and physiology. IWC2014 is being held at the Beurs World Trade Centre in Rotterdam, The Netherlands, between September 7th and 9th, 2014. IWC2014 will focus on interactive dialogue between science, the whey industry and the processing development and equipment industry. The conference scope will include: • Sources and quality of whey; • Whey processing; • The whole range of whey based products and their applications; • Functionalities of whey products; • Health and nutrition aspects of whey

products in food and feed; • Proteins in whey; • Lactose and other carbohydrates in whey; • Potential of whey as food/feed ingredient; • Expected customer needs; • Marketing challenges and the relevance of whey applications for sustainability. Whey processors and customers of whey products will be shown the most recent developments in whey processing, whey product characterisation and whey product application. Researchers and scientists will be informed of the needs of the whey processors and whey product applying

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

industries. IWC2014 will present the latest scientific findings to the whey industry and appliers of whey products as well as new whey processing approaches. Equipment producers will be informed of the changing requirements for new whey processing equipment based on the needs for new whey based products. The congress program has been developed around two key themes: • Main developments in the whey products market and the contributions of recent scientific findings to further development of this market; • Main scientific developments in whey products and whey products application. The first theme will be the core for the plenary sessions on Monday 8 September AM and Tuesday 9 September PM. The second theme will be explored in three parallel sessions on Monday 8 September PM and Tuesday 9 September AM. J

The Ninth Cheese Symposium 12th &13th November, 2014 Clarion Hotel, Cork, Ireland

The 9th Cheese Sympoium will showcase recent devlopments in both fundamental and applied research. Organised by the Teagasc Food Research Centre Moorepark, in collaboration with University College Cork and INRA France, it aims to cover a broad range of themes associated with on-going cheese research and current market trends.

Thematic Areas and Keynote Speakers Thematic area Structure and Function

Keynote speakers Dr. Hannemieke Luyten Friesland Campina, The Netherlands

Cheese Quality

Dr. Sophie Jeanson INRA, Rennes, France

Cheese Safety

Prof. Martin Wagner Veterinary University of Vienna

Sensory and Flavour Chemistry

Dr. Thomas Hoffmann Technical University of Munich

Processability and New Technologies

Prof. Paul S Kindstedt University of Vermont, USA

Visit www.teagasc.ie/eventss/2014/cheese_symposium/ for programme updates.

Cheese has been targeted as a vital end-product due to continued global increases in cheese consumption, high end-use versatility, potential for significant added value, and as a profitable outlet for surplus milk fat. However, considerable technical challenges are posed in producing diverse, market-led products to a consistently high quality, sometimes within the context of a seasonal milk production system. Thus, there is a need for a unique forum where international delegates from industry and academia can meet to learn of the latest developments in research and of technical and commercial challenges. The 9th Cheese Symposium will address topical thematic challenges including: Health & Cheese, Cheese Quality, Structure Function, Safety, Sensory & Flavour Chemistry, Processability & New Technologies, and Cheese Markets and Trends. Key note presentations providing the latest research in these areas will be delivered by a panel of internationally renowned academic and industrial experts.

Symposium Registration Please log on to the registration form: www.teagasc.ie/events/2014/cheese_symposium/ or by post to Niamh O’Brien, Teagasc Food Research Centre Moorepark, Fermoy, Co. Cork, Ireland Tel: +353 25 42313 Email: cheesesymposium2014@teagasc.ie Early registration: €400 – 12th September Standard registration: €500 – 10th October Late /on-site registration: €650 Student registration: €275

Registration fee includes: • Entry to all Symposium Sessions on the 12th & 13th November • Ticket to the Symposium dinner (12th November) • Access to trade exhibits and poster displays • Morning & afternoon refreshments • Lunch on both days • Symposium materials including programme and book of proceedings

Sponsorship and Exhibition Opportunities If you are interested in exhibition or sponsorship opportunities please visit www.teagasc.ie/events/2014/cheese_symposium/ to view the range of sponsorship options and their associated benefits. All sponsorship opportunities are designed to increase recognition of your organisation.

I WHEY

Improving the Competitiveness of European SME Cheese Makers to foods in accordance with their nutritional or technological functional properties, the Whey2Food project intends to further develop an electro-membrane process initially investigated at the University of Hohenheim. “The method combines pressure filtration through a porous membrane with an electric field. The proteins are not only separated according to their size, but at the same time according to their charge,” Dr Vasquez explains.

by-product of the manufacture of cheese or A casein, whey is considered a promising raw material for various commercial applications due to its high value components, such as proteins, and its wide availability. Around 81 million tons of liquid whey is produced annually by the about 150,000 cheese makers in the EU. However, according to the European Whey Products Association (EWPA), only 40% of the liquid whey in Europe is being processed for its use in food and human nutrition or in feed applications, while the rest is still being dumped into municipal sewages, mainly by SME dairies. As a liquid waste, whey treatment generates unavoidable costs of around Eur0.04 per litre. Consequent-ly, there is an urgent need to tackle this environmental problem and valorise whey by proposing innovative, energy efficient technologies, with low operational costs and high industrial yields that are able to ensure the economic viability of whey processing for the smaller European dairies. Whey2Food Project

In the EU-funded Whey2Food Project the University of Hohenheim and the Fraunhofer IGB, together with partners from industry, are investigating how high quality whey proteins can be obtained for food with the assistance of a new electro-membrane filtration (EMF) technology to enhance separation and concentration of proteins and protein peptides from whey. Dr Ana Lucia Vasquez, who heads the project at the IGB, describes the economic potential and the objective of the new project: “The proteins could be used in the food industry as a

natural binding agent and as emulsifiers. They are equally well suited as a functional food supplement in baby formula or dietary foods or as a source of proteins in sports drinks for athletes.” For these applications the proteins first of all have to be isolated from the whey. There are already basic methods of obtaining specific milk proteins, for example the anti-thrombogenic casein macro-peptide, from whey. However, the chromatographic techniques used for this purpose are complex and are not suitable for a high throughput. Whey concentrate is obtained by means of ultra-filtration. In this process the little whey molecules – water, minerals and lactose – pass through the pores of a membrane while proteins are retained. But here the proteins are only concentrated as a whole, but not separated according to functional protein fractions. Additionally, residues are quickly deposited on the membranes. This fouling impairs the filtration capability so that the membranes frequently have to be cleaned. Electro-membrane Process

To enrich proteins selectively and to add them

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

Increased Yields and Reduced Operating Costs

Compared with ultra-filtration this increases the yield and reduces the cleaning required. “In preliminary tests trials we were able to demonstrate that peptides or protein fragments such as casein macropeptide can be separated from two further typical whey proteins, a-lactalbumin and b-lactoglobulin, with the help of the electro-membrane process,” says Professor Ing Jorg Hinrichs from the Institute of Food Science and Biotechnology at the University of Hohenheim. Now the researchers want to optimize the process for industrially relevant quantities and in conformity with the hygiene and cleaning standards required for food manufacturers. “We will then test the process under realistic conditions in continuous operation with an automated pilot plant on the premises of our project partners Rovita and Schwarzwaldmilch,” says Dr Vasquez. A further advantage of the electro-membrane process is a reduction of the fouling. This also lowers the operating costs and the energy consumption. J

I WHEY

Sachsenmilch Milk & Whey Ingredients to Open a New Whey Facility in Summer 2015 German dairy company Sachsenmilch has started the construction of a new state-of-the-art ingredients plant in Leppersdorf, to cater for increased demand within the baby food industry. s one of Germany´s leading milk processors, Sachsenmilch is part of the privately owned Unternehmensgruppe Theo Müller which has an annual net turnover of almost Eur5 billion of which Eur3.7 billion are generated in the dairy business. With an annual milk intake of more than 1.7 billion kilograms, the Leppersdorf plant is the single largest dairy plant in Europe. It is also one of Europe`s biggest cheese factories and produces more than 100,000 tons of semihard cheese and mozzarella per year. Processing huge volumes of its daily fresh whey from its in-house cheese dairies is one of the competitive advantages of the Leppersdorf dairy. With its enormous inhouse whey stream Sachsenmilch can ensure reliable production volumes and guarantees an outstanding product quality with complete traceability of all raw materials.

Strategic Product Development The first ultrafiltration membrane technology was installed in 1999. With ongoing investments in the latest technologies Sachsenmilch started to separate whey into different fractions and began to produce lactose and whey proteins for the food industry. Another milestone was the start of milk calcium separation in 2005. In the beginning of 2011, Sachsenmilch opened a new facility to manufacture highly processed milk and whey ingredients as one of the pioneers in the global trend to offer pure ingredients. The Eur70 million investment includes one of the largest stateof-the-art ultrafiltration and microfiltra-

tion, and the biggest special spray tower for proteins. Using gentle membrane technology enables Sachsenmilch to refine its protein concentrates at higher levels and keep their innate nature. With its high-quality protein products the company is focusing on the fast growing sports nutrition, dietary and functional food markets worldwide. The product portfolio from Sachsenmilch includes various whey protein concentrates and isolates from selected whey sources. The products under the brand GermanProt are an excellent source of essential amino acids and BCAA and have an exceptional nutritional quality. Sachsenmilch also markets a special micellar casein concentrate under the GermanMicell brand. This product is extracted directly from fresh skimmed milk and has a special casein to whey ratio of 90:10 which makes the product an excellent source of highly enriched protein. All protein products are available in instant quality, especially for sports and dietary nutrition purposes. Sachsenmilch`s product portfolio further contains various lactose qualities for the food industry and natural milk calcium under the brands GermanLac and GermanCal. All products meet the quality standards of ISO 22000:2005 and are available for special dietary requirements, such as kosher, halal and vegetarian. FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

Investment in Future Growth The demand for infant and nutraceutical nutrition is showing rapid global growth, especially in China, Southeast Asia and Oceania. With the latest investment of over Eur135 million in a new lactose facility Sachsenmilch is taking the next strategic step. The company is further expanding its ingredients business and focusing on infant and dietetic markets. “We’re excited to build such a state-ofthe-art plant with the highest possible standards. We will more than double our onsite laboratory with a wide range of chemical, physical and microbiological product quality testing and monitoring. We are adapting to the tightest quality practices to

create the most food-safe infant nutrition processing plant in existence. With the newest technologies we’ve incorporated into this facility, we are focusing on the most demanding markets with the premise that the requirements of even the most demanding baby food customers will be met, now and in the decades ahead,” comments Jeroen Derks, Managing Director a.i. of Milk & Whey Ingredients at Sachsenmilch. The new facility starts its operations in summer 2015. With this investment, Sachsenmilch is increasing capacity up to 130,000 tons of powders annually and is taking the next step to become one of the global leaders in the milk and whey ingredients market. J

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Davisco Foods International – Meeting the Nutrition Needs of the 21st Century S-based Davisco Foods International U specialises in producing innovative dairy proteins for health and nutrition. The company is a pioneer in whey protein isolate research, and is the largest and most experienced manufacturer of Ion Exchange whey protein products in the world. Davisco produces over 10 million pounds of whey protein isolates annually, accounting for 65% of whey protein isolates sold worldwide.

Polly Olson – VP, Business Development, Sales, and Marketing at Davisco Foods International.

Whey protein isolates are found in 50% of grocery products today, including sports drinks, reduced fat confectionery, low-fat salad dressings, infant formula, yogurts, dips, shelf-stable baking mixes, and low fat cheese sauces. Operating from five dairy processing plants (cheese, whey and other dairy-based food ingredients) in South Dakota, Minnesota, and Idaho, Davisco has developed an extensive international presence, with sales offices located in USA, Switzerland, China, and Singapore, and the company exports products to 60 countries

worldwide. Davisco processes 6.3 million litres of milk a day into cheese and whey products and has a turnover of about $1 billion. Established in 1943 by Stanley Davis, Davisco is still a privately owned family business and is currently managed by chief executive Jon Davis, the grandson of the founder. Comprehensive Product Range Davisco produces a comprehensive range of whey protein products including lactose, whey permeate, whey protein concentrates, whey protein isolate, whey protein hydrolysate, and whey protein fractions, such as its recently launched Alpha-lactalbumin. “Davisco is committed to providing cutting edge dairy solutions to meet the nutrition needs of the 21st century. We are dedicated in the development of sophisticated technology for manufacturing highly valuable whey derivatives to add more value to the milk stream,” says Polly Olson, VP, Business Development, Sales, and Marketing at Davisco Foods International. “We offer the purest and highest quality whey protein ingredients on the market and provide world class technical services to our customers.” Indeed, Davisco has earned a reputation for being highly innovative, market driven and dedicated to addressing the ever-changing needs of the evolving marketplace and the product demands of its growing customer base.

Phanin Leksrisompong Ph.D, Director of Business Development at Davisco.

lean muscle mass, strength, and function) and osteoporosis,” points out Phanin Leksrisompong, Ph.D., Director of Business Development. “Davisco’s ingredients are among the highest natural food sources of leucine, a metabolic trigger for muscle protein synthesis. Increasing dietary protein that is high in leucine can improve body composition with increased muscle and reduced fat, and can minimize common musculoskeletal health problems observed in older adults. New research about the importance of skeletal muscle in treatment or prevention of obesity, comorbidities and age-related problems have led to a re-thinking about the role of dietary protein in adult health.”

Health and Wellness Infant nutrition is currently Davisco’s largest market sector. However, as the demand for protein goes main stream, the company’s customer base is also broadening in accordance with changing market demands as consumers become increasingly concerned about health and wellness, and the global population of people aged 60 and older continues to grow. “Aging is commonly associated with comorbidities including sarcopenia (losing FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

Functional and Nutritional Benefits According to Davisco, its proprietary ionexchange technology yields whey proteins with the highest quality and purity on the market which results in both functional and nutritional benefits for consumers. Phanin Leksrisompong explains: “Ionexchange technology results in protein that has low degree of denaturation resulting in highly functional protein. In addition, ionexchange technology yields whey protein with lower non-protein nitrogen levels, and minimal glycomacropeptide content which means greater protein impact with lower levels needed to achieve optimum health. It also produces whey proteins with low mineral content which makes it the ideal protein source for people suffering from kidney disease. Lastly, ion-exchange yields the cleanest flavoured whey proteins. The addition of a whey protein ingredient should improve nutritional and functional benefits of your product without imparting offflavour.” Innovation Davisco recently launched Alpha-lactalbumin, which was a finalist in the innovative ingredient category at the 8th Global Dairy Congress Innovation Awards. Davisco’s Alpha-lactalbumin uses new technical

advancements developed by Davisco to precisely isolate Alpha-lactalbumin in a full scale commercial production facility. Alpha-lactalbumin has unique characteristics: • Highly homologous to human alpha-lactalbumin; • Calcium-binding - may have a role in calcium transport and delivery; • Relatively heat-stable - can be used at high levels as a complete source of protein in many special medical foods; • Uniquely high in these amino acids Tryptophan, a precursor serotonin and melatonin; Leucine, the trigger for muscle protein synthesis; Cysteine, a glutathione precursor; • High protein quality - a complete amino acid profile with high digestibility; • Fully soluble across a broad pH range; • A clean, neutral taste; • Lactose-free; • Fat-free; • Low in minerals. Alpha-lactalbumin has a broad range of applications including: nutritional and dietary supplements, early nutrition: prenatal nutrition and infant formula, proteinfortified beverages, lactose-free and reduced carbohydrate/fat/calorie foods, dry mixes, nutrition bars and medical foods (eg renal nutrition foods). Infant Nutrition Alpha-lactalbumin is particularly suited to infant nutrition. “The purity of Davisco’s Alpha-lactalbumin allows manufacturers to produce infant formulas that mimic the profile of breast milk,” Phanin Leksrisompong says. The amino acid composition is a critical factor for infant nutrition. All essential amino acids must be present in the diet in

the appropriate proportions in order for protein synthesis to proceed at optimal rates. “Of particular concern, the levels of tryptophan and cysteine in bovine milk are approximately half of those found in human milk. As such, the protein content in standard infant formula is higher than that of human milk in order to provide sufficient levels of essential amino acids,” she points out.

Alpha-lactalbumin is particularly suited to infant nutrition.

Phanin Leksrisompong elaborates: “Research has shown that infants fed highprotein formulas put on weight more quickly than those fed breast milk, and growth rates more rapid than breast-feeding are a risk factor for obesity. Metabolic programming during infancy can cause infants to become overweight and make them more susceptible to excessive weight gain later in life. Formulating infant formula with Alpha-lactalbumin to maintain similar protein levels as human milk also results in gastrointestinal tolerance. Davisco’s Alphalactalbumin is high in both tryptophan and cysteine, making it much easier to formulate to levels close to that in human milk and achieve both optimum amino acid and total protein levels.” J

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New Chair For Whey Protein Research Partnership he new chair of the Whey Protein Research T Consortium (WPRC) is Cheryl Reid, regional sales manager for Arla Foods Ingredients in North America. An international partnership of dairy co-operatives, associations, processors and multinational companies, the WPRC supports and drives scientific studies of whey protein’s contribution to health and wellness. Initial studies have documented benefits for weight management and lean body mass. The aim is to raise awareness of whey protein quality and create new science-based marketing opportunities. “The consortium is a collective voice for the whey protein industry and works on clinical studies that 18

many individual companies cannot afford,” explains Cheryl Reid. She has worked in the dairy industry for 25 years and been active within the WPRC since its founding 10 years ago – most recently as a member of the steering committee. In her new position as chair, she is responsible for leading the twice-yearly meetings, liaising with member organisations and ensuring the various WPRC committees are on target to reach their goals. “Whey protein is an increasingly sought-after component. The WPRC has helped lift it out of the body-building world and bring it to the average consumer,” she says. Cheryl Reid replaces retiring chairperson Robert Beausire. J

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

Cheryl Reid is new chair of the Whey Protein Research Consortium.

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Valio is a Global Expert in Demineralized Whey and Lactosefree Milk Ingredients esides being a leading expert in demB ineralizing technologies and manufacturing high quality Demi™ powders from its own fresh whey, Valio is also a true pioneer in developing lactose free technology and ingredients. From both fields Valio has already over 30 years’ experience and is also investing 10% of annual R&D budget in the development of new technologies. “There are also useful synergies between the different production processes. For example the left-over lactose that is received from manufacturing lactose free milk products is utilized elsewhere in Valio’s own production,” points out Laura Enbom, Export Manager for value added

ingredients at Valio. Valio Eila® Lactose Free Milk Powders Open Up New Opportunities Patented, award winning Valio Eila® lactose free technology produces lactose free milk powders with the real taste of milk and the lowest lactose content combined with excellent taste and nutritional qualities. Confectionery, dairy, bakery, ready meal and other industries that rely on dairy ingredients are able to benefit from Valio’s unique expertise, create new lactose free products – and open up new markets – using these high quality Valio ingredients.

Catering For the Versatile and Changing Needs of the Food Industry In certain dairy products lactose is a key ingredient but there is also a growing market for lactose free dairy as the dairy consumption and awareness about lactose intolerance is increasing around the world. In many emerging dairy markets the prevalence of lactose intolerance is very high – for example even 90% in some parts of Asia. In this region baby food industry is a big buyer for whey ingredients. At the same time the demand for lactose free dairy is growing in Asia. “Valio is answering to both calls and we want to keep on serving the versatile needs of our clients in the constantly changing global food market,” says Laura Enbom. J

ALPMA Offers a Unique Range of Products LPMA is a globally successful mechaniA cal engineering company which produces machine ALPMA s and installations for the dairy and food industry. ALPMA’s Process Technology, Cheese Production Technology and Cutting and Packaging divisions offer customers and partners a unique range of products – all from a single supplier – from machines which lead the field both technically and technologically, to the processing and packaging of food, to complete system solutions for dairies.

Decades of experience and partnership with customers, as well as approx. 700 highly-qualified and motivated employees within the group, continue to ensure that ALPMA retains its lead. The constancy and FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

stability of a values-orientated family business enables ALPMA to pursue long-term perspectives. The connection to a company group with subsidiaries from the cheese branch, forms the basis of ALPMA’s technological know-how and makes it sensitive to the technical demands and problems of its customers. For further information contact A L P M A on Tel 08039/401-0, Fax: 08039/401396, E-mail info@alpma.de or visit www.alpma.de. J 19

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Tetra Pak – Leading the Way in Whey Processing SS, a Tetra Pak Company, is leading D the way in introducing new whey production technology to meet the changing

dination with its partner Milk & More Dairy Consulting and helps to improve the efficiency of downstream processing and product quality.

demands of the global dairy industry for more sophisticated whey ingredients and more efficient processing techniques. DSS, which supplies advanced membrane filtration solutions and replacement membranes to the world’s leading dairy companies, incorporates recent Tetra Pak acquisitions of DSS and Filtration Engineering USA into its existing leading filtration portfolio. These acquisitions were in line with Tetra Pak’s strategy to be a world leader in filtration systems for milk, cheese and whey.

Flexibility

New Technology

DSS has pioneered the introduction of new nanofiltration technology to further concentrate the protein-rich ultra-filtration retentate stream in the whey protein concentrate and whey protein isolate manufacturing process. This technology, when used in whey processing reduces the water content of protein products before they are converted to protein powders in a spray dryer. This reduction in water content results in a significant reduction in energy consumption in the spray dryer, improved product quality, and enables the processing line to recover more clean water for reuse. This same technology can also be applied to milk protein concentrates and isolates with similarly impressive results. DSS has also introduced new technology through Tetra Alcross® RO Lite to help small and medium-sized dairies extract value out of whey. Whey is only valuable when concentrated, but the filtration technology needed to do this has traditionally

been highly customised and too expensive for most small and medium-sized dairies. Tetra Alcross RO Lite is a standardised filtration solution that is available in five different sizes, is easy to install and costs about 30% less than the customised alternatives, according to Tetra Pak. The system uses a process of continuous reverse osmosis filtration to remove excess water from the whey, tripling its concentration while retaining all of the dissolved salts, lactose, acids, proteins, fats and bacteria. “This concentrated whey can then be sold on to food processors as an ingredient in a growing variety of products, bringing a valuable income stream to the dairy, while also significantly reducing or eliminating unnecessary transportation and waste handling costs,” explains Nick Adamson, SubCategory Manager Whey, Tetra Pak Cheese & Powder Systems (Tetra Pak CPS). An additional technology introduction within the lactose segment includes an improved decalcification process using filtration technology to filter and decolour permeate in whey processing. This technology is being delivered by Tetra Pak in coorFOOD & DRINK BUSINESS EUROPE, AUGUST 2014

“Customers demand flexibility, quality and future proof solutions. Tetra Pak CPS has been improving its evaporation and drying systems to enable its customers to manufacture a wider range of dairy products on the same equipment, thereby providing flexibility,” point out says Nick Adamson. “To give an example, the modern dairy needs to manage the challenge of fluctuating demand for dairy products – unless a dairy can rapidly change product type, revenue per litre of milk will not be maximized or even worse, raw milk can be wasted or end up as a difficult to manage waste stream.” One of Tetra Pak’s latest wide body nozzle drying technology innovations enables dairies to manage this problem by allowing them to quickly change between a variety of products including whey powder, demineralized whey, milk powders or infant formula. This means a dairy can rapidly

change products if demand falls, thereby avoiding waste and boosting profitability in a challenging market environment. Sustainability

Avoiding waste underpins Tetra Pak’s commitment to offer customers the lowest ‘Total Cost of Ownership’. Tetra Pak regards waste in all its forms as a direct cost – whether this is product losses or unnecessary energy or water consumption. Consequently, the company’s latest processing solutions and filtration systems have waste reduction at their core. For example,

Tetra Alcross® RO Lite, a compact reverse-osmosis filtration system, enables a smaller dairy to triple the concentration of whey at a low investment and operational cost. This creates a higher-value product with a much reduced volume – which has a major impact on transportation costs. It also enables the recovery of the water volume and its reuse within the plant. “This can be the difference between treating whey as a waste product or treating it as something that can be further processed into profit. Fundamentally that is a sustainable outcome – creating value from something that would ordinarily be wasted,” he remarks. Unique Proposition

As a full system provider from raw milk right through to finished goods, Tetra Pak offers a unique proposition. “This means that our customers have one point of contact and one supplier who is fully responsible for the performance of their line. Our technology teams from cheese, centrifuges, filtration, evaporation, drying and powder handling work closely to ensure that each technology delivers what is best for the

downstream process and the overall superior performance of the line solution.” Nick Adamson continues: “For example this might include optimization of cheese milk filtration to give the best product quality and economics for both the cheese and whey streams or alternatively optimizing total solids from filtration to evaporation or drying to give the overall lowest ‘Total Cost of Ownership’ for our customer. This is then embedded into the solution through common design and automation platforms and the one look, feel and functionality of the Tetra Plantmaster flexible automation solution.” Indeed, automation is incorporated in all Tetra Pak equipment to enable integration - of equipment, operational procedures and people, bringing control, quality assurance, efficiency and food safety - while minimizing operation costs. Tetra Pak currently provides whey processing solutions to between 25-35% of the European market. Indeed, the company recently completed the commissioning of two flexible dryers for demineralized whey powders, milk powders and infant formulas for Friesland Campina in the Netherlands

and a line solution for making evaporated D90 concentrate for drying in Hungary. “We have ambitious plans to grow, and believe that our position as a full system supplier is a unique proposition that is becoming increasingly valuable as customers seek to control costs and improve profitability,” concludes Nick Adamson. J

Toray Offers a Full Suite of RO and UF Membranes

oray develops and manufactures spiral T wound membrane elements for specialty applications. The company offers Reverse Osmosis, Nanofiltration, Ultrafiltration, and Microfiltration membrane elements in sanitary design for use in Food, Dairy, Beverage, Pharmaceutical and Heat Sanitisable applications. Toray manufactures using a wide range of materials and feed spacers to suit most application needs. The year 2007 marked the completion of a major investment to start membrane manufacturing in the USA. The first full year in sales of specialty (sanitary) elements came a year later and Toray commenced activities in Europe in 2010. Sales quickly grew to the point where Toray needed to review how to better serve its European

market. At the start of 2013 responsibility for sales and marketing transferred from sister company and manufacturing headquarters, Toray Membrane USA to Toray Membrane Europe. This has allowed Toray to apply more resources (staff) locally and therefore be more responsive to client needs and to carry stock in Europe (Germany) which also benefits customers in reduced shipping costs and gives them the ability to procure commonly required membrane elements at short notice. Toray has a full suite of RO and UF membranes to meet the growing needs in an increasingly sophisticated dairy processing environment. With over five years of proven commercial performance Toray’s standard 10K Dalton and its high rejection derivative have FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

set new standards in true protein retention and excel in WPC and WPI applications, especially at high protein concentrations. In the last year Toray has introduced a NF membrane specific for desalting of dairy streams and a MF membrane for whey/WPC defatting. For further information contact Toray Membrane Europe AG on Tel +41 61 415 87 10, Fax +41 61 415 87 20, Email info@toraywater.com or visit www.toraywater.com. J

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New High Efficiency Light Duty Scraped Surface Heat Exchanger ombining the strengths of its APV, C Gerstenberg Schroder and Waukesha Cherry-Burrell Votator brands, SPX has released a new light duty (LD) scraped surface heat exchanger (SSHE) designed using proven components for assured reliability, efficiency and value. The new SSHE provides efficient heat-

ing, cooling, crystallization and pasteurization with a wide range of options for shafts and blades. It can handle low to high viscosities and large particles and accommodates pressures of up to 25 bar (20 bar standard), with testing in accordance with ASME and PED legislation. A duplex stainless steel option is also available for higher pressure or acidic processes. As standard, two single mechanical seals provide hygienic operation and increased run times between CIP cycles. Optional flushable double mechanical seals are also available for water flush, liquid aseptic media flush or steam flush for aseptic use. The unit has 3A approval and is designed according to EHEDG standards (approval pending). This product is the result of vast expertise in heat transfer technology and uses the

best technology and knowledge from three leading brands. Overall, the new LD SSHE offers high performance, competitive pricing to give customers maximum benefit. For more information, please visit www.spx.com. J

Bruker Optics â&#x20AC;&#x201C; FT-NIR Solutions for Food Quality and Safety ruker Opticsâ&#x20AC;&#x2122; FT-NIR spectrometers are widely used in all areas B of the food industry, like dairy, meat and edible oil manufacturing. The main applications are the identification and quantification of raw materials, in-process control, and the QA/QC finished products. Bruker Optics offers a range of FT-NIR analyzers for offline measurements in the laboratory, at-line analysis close to the production or in-line directly in the process.

use: It pumps and homogenizes raw milk samples, but can also bypass the homogenizer for other liquid sample types. It can handle sample forms from whey to more complex and viscous samples like concentrates, condensed milk and ice cream premixes. With its automated cleaning options, it is ideal for routine use in the dairy lab.

FT-NIR For a Wide Range of Applications

FT-NIR spectrometers from Bruker can cover a wide range of applications in food analysis, including not only dairy, oil and meat applications but also flour & milling, confectionery, condiments and beverages. Dedicated sampling accessories are available for any type of liquid, powdered, semi-solid or solid sample. Any person in production or in the lab is able to perform an analysis, since there is no sample preparation necessary. Starter calibrations allow a quick and easy implementation of FT-NIR technology. The fast measurement and the simultaneous determination of multiple parameters allow analyzing much more samples in a given time, leading to a better quality product at lower cost. FT-NIR Solutions for the Dairy Industry including Raw Milk Analysis

Bruker Optics offers in combination with the well-known MPA FT-NIR spectrometer a software assisted analysis for milk and liquid dairy products. The Liquid Sampling Module (LSM) is dual 22

With the combination of the LSM and MPA, all different sample forms like liquids, pastes or powders can be analyzed with the same instrument. A set of pre-calibrations is available for a quick and efficient start. J

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

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Superior Whey Processing Technology aintaining the highest quality from M farm to formulation requires a blend of technology and know-how that only years of experience and innovation can provide. GEA Process Engineering is the leading supplier of whey processing technology to dairy processors worldwide. Through the company’s full scope of dairy process technologies and components - together with deep insights into whey products and their processing - combined with solid expertise in engineering and project management of large-scale installations GEA has a unique position in the industry. “We are one of the few companies that are able to provide a truly holistic approach designing a whey processing plant,” says Steven Wright from GEA Process Engineering in the US and one of company’s experts in whey processing. “We help our customers to perfect processes and products. We work closely with them, through all phases of the project - from the very start to the plant is up and running - allowing our customers to bring their products to market quickly and profitably.”

operation or an entire, integrated process line, GEA has the solution. Lowest total cost of ownership is our ultimate objective; product yield and quality, energy, chemical, and water consumption all key elements to this. With over three decades of experience in cross-flow membrane filtration technology, GEA Filtration remains the market leader in sanitary process applications. Pioneering high-pressure reverse osmosis (HPRO) technology in the sanitary process industries has had significant impact in transport cost reduction in remote market regions and high fuel cost economies. Companies, some with operations in particularly arid regions and others with progressive sustainability initiatives, have benefited from GEA advanced water recovery, treatment, and reuse technology. Advanced process design applied in GEA Ultrafiltration plants provides clients with improved product yields and reduced energy, CIP chemical and water consumptions. Revolutionary GEA Microfiltration technology advances the economics of protein-protein and proteinlipid fractionation. All of this comes amid a watchful eye toward the highest standards in hygienic design resulting in superior product quality and safety. IWC 2014

GEA Process Engineering is sponsoring the seventh International Whey Conference in Rotterdam from 7-9 September 2014 (IWC 2014). This is the second time GEA sponsors the event that is one of the major Maintaining Manufacturing Efficiency

GEA is continuously investing in technological advancements, both evolutionary and revolutionary, for improved manufacturing efficiency. Whether it is in terms of production capacity, running time, product quality, resource consumption or sustainability, the parameters are constantly being moved through new and innovative solutions. With the broad portfolio of heat and mass transfer technologies and a keen knowledge of state-of-the-art sanitary design and construction techniques, GEA offers unparalleled solutions to the most demanding process requirements. Whether the requirement is a single, stand-alone unit

venues for whey processors, application industries, and scientists and academia to meet. GEA will provide the technology providers’ view on whey processing, and be available for discussions on how the company’s technologies are applied in production of advanced whey and lactose products. The company will contribute to the poster presentation at the conference with a theme on ‘Whey protein concentrates processing: perspectives on optimization and process and product interaction’ highlighting advances and best practices in the manufacture of whey protein concentrates and isolates. Meet GEA at booth number 17 to talk to our engineers about strategies for improving production efficiencies, minimizing waste, increasing yields, decreasing consumption of materials and energy, and integrating sustainable design into your plant operations. J

GEA Offers Leading Edge Solutions to Complex Process Challenges GEA is the company behind a number of well-renowned brands within dairy technology including GEA Filtration, GEA Niro evaporation, crystallization and drying technology, GEA Avapac and GEA Nu-Con powder handling and packing systems and GEA Westfalia Separators. With a rich history in establishing evaporation, crystallization, and drying technologies, as well as powder handling and packaging, within the dairy industry, GEA continues to lead the way with stateof-the-art process technology. Whether the benchmark measure is delivery of the world’s largest capacity dairy spray dryer, products with lowest in-process sporulation potential, packaging with highest available filling accuracy, product with specific structure, morphology, rheology, functional, and nutritional attributes, or operation with highest energy recovery and lowest operational inputs, GEA provides market leading capability. Employing world-class software simulation proficiency supported by robust pilot plant demonstration capabilities, GEA offers leading edge solutions to the most complex process challenges. Completing the entire detail to design package, food safety, product quality, employee safety and ergonomics, and energy efficiency are built into our process solutions.

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

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Whey Processing Technology – RWL Water Adds More Value to the Dairy Industry he recession is fortunately not affecting T the international demand for dairy products and world trade continues to be lively, with the European Union leading in the cheese market. In Italy specifically, the cheese industry is one of the country’s top success stories due to the quantity and quality of the products marketed, which are known worldwide. While cheeses have always been demanded among the international market, whey has traditionally been considered waste and used mainly as pig feed or disposed of with associated processing costs, often disregarding the environmental regulations. Thus, whey disposal represents a serious problem from both an economical and an environmental point of view because of the high volumes produced and its high organic matter content. On the contrary, recovery of whey components and/or use of whey as fermentation medium may be advantageous not only for the environment but also for a sustainable economy.

In fact, recent in-depth studies and scientific research highlights that whey is a source of many valuable products with nutraceutic and biomedical value, which can potentially generate a turnover comparable to the production of cheese. Studies 24

show that whey contains interesting substances in terms of both food and pharmaceutical applications: proteins and protein by-products, and sugars with important prebiotic properties. Whey Valorization Processes

For many years, RWL Water has been developing whey valorization processes because the industrial recovery of whey nutrients for human consumption is becoming an economical, eco-friendly and socially attractive process, leading to marketable products. The products obtained from whey could replace 30% of those produced in the pharmaceutical industry, with the advantage that they do not have any medical contraindications. Whey proteins also function as fat replacers, ie they replace the flavor of fat and enhance the taste and aroma of food in general. RWL Water aims to improve efficiency in the dairy industries through advanced manufacturing practices, and constructive utilization of what is unavoidable by recycling and recovery methods to reclaim resources embedded in was-tes/byproducts, and minimize waste sent to landfills. RWL Water offers various processes for the treatment and enhancement of dairy products and has over thirty years of experience and technology to enhance customers’ products such as whey, buttermilk, and more. FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

Two Options

With regard to valorization, two different options in whey treatment can be considered: the first is based on the application of technologies to recover valuable compounds, such as protein and lactose; the second relies on the application of anaerobic digestion process to obtain biogas, ie renewable energy. In addition to these traditional treatments, RWL Water is one of the few companies in Europe to design and build 4SMB chromatography plants for the purification and recovery of substances with a high added value without the use of chemicals. In today’s society, customers have an increased awareness of health and environmental issues and demand a guarantee of organic origin. Chromatography separation strictly respects Green Chemistry principles and is excellent in biological products manufacturing because it is based on environment-benign substances and on energy efficient processes. Whey Demineralization

The high content of salts in whey have a significant effect on its taste, so its utilization is limited. Therefore, demineralization is necessary for further processing of whey.

The process of demineralization of whey is expanding the scope of its use in the food industry. Demineralized whey concentrates have a clean, sweet taste and are used to produce a wide range of healthy foods. RWL Water, in collaboration with GE, has developed an Electro Dialysis (ED) and Ion Exchange Resin (IEX) demineralization system in order to reduce whey minerals content. ED is effective for the demineralization of highly saline solutions with high electrical conductivity. However, at low concentrations of minerals, ED is less efficient. With ED, 70% of the initial salt content is removed (DEMI70), but to realize DEMI90, a final finishing treatment of IEX is needed. RWL Water’s cost-effective demineralization process allows a drastic reduction in regenerants consumption and also minimizes ash content, ensuring an optimal demineralized whey quality, meeting phosphorous and protein limitations required by the DEMI 90 whey specification. Moreover, each plant can be sized and customized for each application to meet customer product specifications and optimize performance. Chromatographic Separation of Whey Permeate

The whey permeate is still rich in lactose, a

useful source of dietary energy, and in the pharmaceutical industry. In order to obtain lactose powder, the whey permeates can be subjected to a de-ashing process through chromatography separation. This technique has great potential in the isolation of dairy protein ingredients with retention of bioactivity, as well as meeting essential criteria such as cost-effectiveness and consistency of operation. RWL Water has been investing in this technology for several years in order to apply it to the demineralization not only of whey but also of food liquids such as grape must, apple juice, and more. The main advantage of this technique is the absence of chemical reagents, like acid and soda (used in the classical resins treatments), as the particular resins used are not regenerated because the chromatography technology is a physical treatment. The saline and polluting load in the wastewater is also greatly reduced. Chromatography, therefore, strictly respects Green Chemistry principles and is excellent in biological products manufacturing. Moreover, recovery of lactose from whey enhances both the improvement of the economics of whey utilization and the pollution reduction as lactose recovery can reduce the biochemical oxygen demand of whey by more than 80%.

ing to reduce both energy costs and the carbon footprint of dairy industry. RWL Water’s anaerobic solutions improve resource efficiency and reduce environmental impact ensuring continued economic growth. This process can also be effectively applied to whey, but given the existence of alternative technologies for the use of its chemical components (ie demineralized whey and powder lactose) and improvement of cheesemaking productivity, it should be considered an alternative solution to demineralization or ultrafiltration, for example. Anaerobic digestion is therefore more suited to by-products of the whey utilization processes (such as mother liquor or salts after demineralization) or to the residues of other cheese-making processes such as “scotta” (residue from the production of ricotta) and/or buttermilk. In recent years, products deriving from milk whey have realized a significant increase in commercial value and the forecasts indicate a further appreciation over the next few years. RWL Water aims to become a powerful player in this market, helping the dairy industry increase competitiveness by implementing cost-effective treatment technologies and sustainable strategies. The dairy industry at large is interested in reducing its water footprint and becoming more sustainable. RWL Water is equipped to meet the goals of the dairy industry through water and energy reuse solutions that yield tangible operational savings for customers. J

Anaerobic Digestion

Due to their renewable nature, by-products and wastewater from the dairy industry can be valuable in reducing dependence on fossil fuels and achieving lower levels of greenhouse gas emissions. Through anaerobic digestion, the organic substance is degraded by microorganisms with the production of biogas (renewable energy), convertible into electrical and thermal energy and helpFOOD & DRINK BUSINESS EUROPE, AUGUST 2014

I POWDER HANDLING

GEA Avapac Launchs Latest Version of Limited Intervention Powder Filling Line EA Avapac has launched the latest version of its revolutionary mated and offers what is often referred to as ‘lights out packaging’: G Limited Intervention powder filling line, the RBF-500 Li. The the aim being to reduce human intervention, and therefore the risk new machine features lights-out operation, GEA reliability, absolute product integrity, and a footprint that is at least 30% less than previous GEA technologies. The new RBF-500 Li uses the same technology as its larger sibling, the RBF-1000Li launched last year. This brings together the separate elements of the filling line – bag presenter, filler, bag preparation, de-aeration station, sealing and closing - into a single machine giving it a much smaller overall footprint compared with conventional technology with separate manufacturing units. The smaller footprint means that packing rooms can be smaller, air conditioning units less powerful and running costs significantly lower.

of contamination, and human error, to an absolute minimum. Two of the new machines are currently being manufactured for in a milk powder processing plant in the Philippines. J

The RBF-800 Li filler from GEA Avapac.

The RBF-500 Li is suitable for applications requiring throughputs of up to 5.0tph and, as it has just two filling heads (compared with five on bigger machines), it is ideal for applications that require frequent product changeovers. The design offers complete control of the bags throughout the process and includes a de-aeration station for improved bag stability and automated neck stretching, heat sealing and weight checking. The weight data from the feedback weigher is used to autotune the filling process and maintain the accuracy of the machine. The design also allows for the filling of gusseted bags as well as the standard pillow style bags. As with other models in the RBF range the 500 Li is highly auto-

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

I POWDER HANDLING

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 connectivity 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 • Whey Powder • Fat-filled Powder • Infant Formula • Casein. For more information, visit www.ndc .com/dairy. J

LeverMount® For Simpler and Safer Process Weighing n the food industry, accuracy, repeatability Iprocess and low cost of ownership are essential for equipment. For the weighing of process vessels Thames Side Sensors has developed the unique, patented LeverMount® mounting assembly, which is available in capacities from 10kg to 5000kg. There are significant ‘cost of ownership’ benefits of this innovative design; such as extensive savings in installation costs when

compared with more traditional designs, and virtually no downtime (production does not need to stop) if exchanging load cells. Any potential damage to the load cells during installation is minimal, since the LeverMount® assemblies can be fitted to the vessel without the load cells present. Any other installation work such as welding, which can severely damage load cells, can take place before the load cells are fitted because the load cell can be installed and removed without the need for jacks or special tools – even with a fully loaded vessel. The LeverMount® incorporates an OIML approved, IP68/IP69K rated, high accuracy shear beam or bending beam load cell in a cast Grade 316 mounting assembly. Process weighing installations are made simpler, safer and more cost-effective with this innovative no-fuss design. For more information visit www.thames-side.com. J FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

I POWDER HANDLING

More Product Variety Means More Challenges major challenge for the food industry is A how to produce small batches and handle a large number of different product recipes all within the context of minimising product waste, reducing consumption of energy and keeping manpower costs low. Not forgetting that all of this takes place against the backdrop of stricter regulatory standards on hygiene and food safety. Matcon provides Intermediate Bulk Container (IBC) systems for automatic powder handling and mixing in both the food and pharmaceutical sectors, so the company understands the importance of strict hygiene standards, but also appreciates the challenges of meeting the end consumers’ ever changing needs. Using IBCs enables parallel processing to take place (whereby all the process steps take place simultaneously) giving full production flexibility to make-to-order and reduce inventory & manufacturing costs – a very Lean Manufacturing approach. Matcon IBC systems provide a manufacturing process that can prevent crosscontamination; offers batch-tracking and

traceability; and has a hygienic design that can be dry cleaned to minimise the risk of microbiological contamination. The unique Blender Intensifier and Cone Valve technology further enhance the system capabilities. Matcon has systems installed in some very

large infant & sports nutrition plants around the world and would be happy to share their experience in this area with you. Please contact Matcon to learn how they helped these companies achieve their goals of Lean Powder Processing by visiting www.matconibc.com or emailing matcon_marketing@idexcorp.com. J

New Mucon Series K Iris Valve Technology ucon a division of Process ComM ponents Ltd has launched its new Series K2P electrically/pneumatically actuated range of Iris valves. The Mucon brand of Iris diaphragm valves has for over sixty years been associated with the flow control of powders, granules, capsules and pellets to the pharmaceutical, chemical and food processing sectors. Now in its second generation, the Series K2 Powered Iris Valves have been

specifically designed for automatic and remote applications, complementing the popular hand operated versions. Developed for app-lications requiring a high level of hygiene, the Series K range of valves utilises a patented, moulded diaphragm technology which has been successfully employed in a wide variety of applications worldwide. Mucon Engineers have taken great care to balance customer requirements for quick disconnect, ease of cleaning and hygienic design with the requirements for reliability and control system integration. All body parts are FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

manufactured from 316 stainless steel, as standard. White moulded diaphragms of Natural Rubber, EPDM and Silicone are readily available and manufactured from FDA approved materials. In addition to the new K2P Iris valve. Mucon is able to provide a range of manually actuated valves. This allows the valves to be either bolt mounted or mounted to the using ‘Quick Release Clamps’, making it easier and quicker for the end user to strip the valve for cleaning purposes. The salient features and benefits of the MUCON Series K Iris valve range are as follows: * Extensively used in the Pharmaceutical, Food and Chemical sectors * FDA approved diaphragm materials * Full product flow control * Non-Jamming * No mechanical parts come into contact with the product * Slim Design * Electric, Pneumatic or Manual actuation * ATEX approved Cat. 1D/2D. For further information contact MUCON on Tel +44 (0) 1625 412000, Email sales@mucon.com or visit www.mucon.com. J

I BEVERAGES

The BOMBAY SAPPHIRE® Distillery in Hampshire Will Open to the Public on 1st October 2014 he 10th Century mill has been T completely renovated by The Bombay Spirits Company, having undergone a multi-million pound restoration. The two hectare site is steeped in natural beauty and sits astride the crystal clear River Test. For 200 years, the site produced paper for bank notes during the British Empire and was historically associated with the finest quality product. The distillery now allows the public to learn more about the illustrious history of Laverstoke Mill and the unique Vapour Infusion distillation process of Bombay Sapphire gin and its ten hand-selected botanicals from around the world. Laverstoke Mill has been transformed into a state-of-the-art premium gin distillery and visitor experience, encompassing the highest standards in design, functionality and sustainability. Last year, the

distillery was recognised as the first distillery and first refurbishment to achieve an ‘Outstanding’ design-stage BREEAM accreditation. The modern and immersive destination features two stunning intertwining Botanical Glasshouses – one tropical, one temperate designed by Thomas Heatherwick, as well as historical Dakin Stills. Visitors can see the rich history of Laverstoke Mill in the Heritage Room, and end the experience with a classic Bombay Sapphire cocktail in the beautifully designed Mill Bar. It also features the Empire Room, a new advocacy and training centre for media and trade guests from around the world. For more information about the Bombay Sapphire Distillery at Laverstoke Mill and to book tickets visit www.bombaysapphire.com from 20th August 2014. J

Corrugated Packaging Provides the Creative Energy For Innovative New Fitness Products new products require creative packaging that protects in Isonsnnovative transit and helps the item stand out on supermarket shelves – reawhy a leading manufacturer of sports and energy supplements adopted corrugated packaging solutions, for the launch of its new products aimed at the fitness market. Sport Nutrition contract manufacturer Nutrition Works has chosen multi-functional corrugated shelf ready packaging (SRP) for sachets of its preservative-free ‘Push Energy’ gels and ‘Full & Slim’ gels – highly-effective, results-focused drinks for the sports nutrition, weight management and health industries. The colourful corrugated SRP designed for Push gels is not only a powerful marketing tool but also incorporates perforations for easy opening to give store managers what they want: packaging that can go straight on the shelf with the minimum of fuss, typically in less than 20 seconds, cutting handling costs and waste. Nutrition Works’ weight management supplement is Full & Slim, offered in grapefruit, orange mango and passion fruit flavours. Batches of

these gels are supplied in a colourful, corrugated SRP format that provides ideal presentation for the product and is made from fine fluting that offers maximum strength with improved space efficiency. Corrugated SRP helps streamline logistics operations and brings environmental advantages for the retail sector through its recyclability, while its flat printable sides make the material ideal for displaying all the dietary information that health-conscious consumers need to make an informed choice. The decision by Nutrition Works to choose corrugated for its state-of-the-art energy supplements is a testament to the advantages that using corrugated packaging can provide, says the Confederation of Paper Industries (CPI). CPI’s Director of Packaging Affairs, Andy Barnetson, says: “Flexibility and innovation are the cornerstones of the corrugated industry, hence its philosophy that one size does not fit all. We’re delighted that the sports energy drinks market is realising that corrugated can supply high quality, precise, bespoke SRP solutions.” J

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

RESEARCH

& DEVELOPMENT

Danish Technological Institute – A Valuable Resource For the Food Industry esponsible for developing, applying and R disseminating research- and technologically-based knowledge for the Danish and international business sectors, the Danish Technological Institute is playing an increasingly important role within the food and beverage industry. A not-for-profit organisation, DTI has established a strong position as a research partner in collaboration with leading research and educational institutions both in Denmark and abroad. It participates in national and international (EU) research projects in order to make basic research available for applications in the food and beverage industry. DTI’s most important task is to ensure that new knowledge and technology can be quickly converted into value for its customers in the form of new or improved products, materials, processes, methods and organizational structures. DTI works with new and existing companies on ways to

enhance technological and management restructuring and efficiency, across a broad range of industries. It focuses on three key areas: • Innovation and competitiveness; • Management and training; • Sustainable exploitation of resources. Incorporating the Danish Meat Research Institute, DTI has extensive expertise in food analysis and in food production processes (technology and hygienic control and HACCP), particularly for the fish and meat industries, and in food ingredients. It also offers the food and beverage industry expertise in innovation processes both as consultants and as project managers. One of the institute’s roles is to serve SME’s with the transfer of latest technology and research findings from university research. However, any food and drink company can benefit from DTI’s expertise in contract work or in funded projects and so avail of the services of independent and

highly qualified experts. Within its various departments the institute has all the relevant laboratories for chemical, physical, microbiological analyses, and sensory and consumer analyses and research. Consequently, all standard analyses, ad hoc analyses beyond standard analysis, and method development for analyses are carried out in state-of-the-art laboratories. For example, DTI recently developed an advanced laboratory with expertise in microencapsulation techniques. Its other services include: sensory methods for rapid descriptive analysis and rapid consumer research; consumer testing internationally particularly for Europe and with specific expertise in China (in partnership with the European Sensory Network). J

ENVIRONMENT & ENERGY MANAGEMENT, AUGUST 2014

I DAIRY

Arla Foods Expands its Influence in Europe Arla Foods has extended its co-operative membership to 13,500 milk producers across seven different countries in northern Europe following the completion of its merger with fellow dairy co-operative EGM Walhorn. he deal has been approved by the relevant competition authorities and took effect on August 1st 2014. Arla Foods now incorporates EGM Walhorn’s 795 dairy farmer owners in Belgium, Germany and the Netherlands, into its enlarged co-operative structure. The deal also means that Aral Foods has members in the Netherlands for the first time, in addition to the UK, Sweden, Denmark, Germany, Belgium and Luxembourg. EGM Walhorn was founded in 1933 and its head office is based in Walhorn, near Eupen in Belgium. EGM Walhorn has an annual turnover of Eur239 million and collects milk from its members and sells it to the Walhorn AG dairy, which EGM Walhorn jointly owns with privately owned French dairy group Lactalis. EGM Walhorn’s collaboration with the dairy remains unchanged following the merger with Arla Foods.

Price) for its dairy farmers in its history. The Performance Price indicates how much value Arla Foods was able to generate from each kilo of milk supplied to the company by its co-operative owners. The 2013 Performance Price amounted to DKr3.05 pr. kilo compared with DKr2.71 pr. kilo in 2012.

expected to strengthen Arla Foods’ business in Central Europe and beyond. “This merger will provide new opportunities for our business not only in terms of an increased supply of raw milk, but it also creates a platform for increased export to growth markets outside the EU. We are prepared to begin the integration process and look forward to generating the greatest possible value from the new joint business," points out Tim Orting Jorgensen, executive vice president, Consumer Arla Foods is continuing to expand its milk pool and its coGermany and Netherlands at operative structure in the UK. Arla Foods. With production facilities in 11 Continued UK Expansion countries and sales offices in a fur- Meanwhile, Arla Foods is continuing to ther 30, Arla Foods is the world’s expand its milk pool and its co-operative sixth largest dairy company and structure in the UK, which is the group’s the largest supplier of organic dairy largest market. Arla Foods has already products. Arla Foods employs reached the halfway point in its drive to more than 18,000 people and its expand its UK milk pool by 300 million products are sold under the well- litres in 2014. known Arla, Lurpak and Castello The international dairy co-operative’s brands in more than 100 coun- ongoing UK recruitment drive has secured tries. over 150 million litres of milk as well as Arla Foods’ core markets are the expanding the number of dairy farmer UK, Sweden, Germany, Denmark, members in Britain. About 2,800 dairy Finland and the Netherlands. In farmers from Britain now number amongst 2013, Arla’s worldwide sales of Arla Foods’ 13,500 owners. Arla Foods now incorporates EGM Walhorn’s 795 dairy farmer dairy products to customers and Arla Foods UK is the largest dairy comowners in Belgium, Germany and the Netherlands. consumers totalled DKr73.6 bil- pany in Britain and is home to leading lion (Eur9.86 billion). dairy brands Anchor, Cravendale, and Development Strategy Lactofree. It processes 3.5 billion litres of The merger with EGM Walhorn is in line Record Returns milk a year and has a turnover of £2.2 bilwith Arla Foods’ development strategy, As a dairy co-operative, Arla Foods’ key lion. As well as being number one in fresh which is to establish a stronger base in its objective is to increase profitability in the liquid milk, butter, spreads and cream, Arla core markets in Europe as well as continu- business in order to generate higher earn- Foods is the UK’s largest cheese manufacing to grow sales in its growth markets out- ings for the group’s owners in the long- turer. It has also built the world’s largest side the EU – namely Russia, China, the term. Indeed, in 2013, Arla Foods deliv- fresh milk facility located at Aylesbury on Middle East and Africa. The merger is ered the strongest returns (Performance the outskirts of London. J FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

I DAIRY

Veolia Memthane – Veolia Provides Green Wastewater Solution For Arla’s New Dairy he new £150m Arla Process and Packaging Facility in Aylesbury T will process up to one billion litres of milk a year from British farms. Arla planned the new Dairy as a showcase of sustainable development, applying advanced process technologies and renewable energy solutions, targeting a zero carbon facility with zero waste to landfill. To support this concept, Veolia installed a Memthane® wastewater treatment solution with additional rainwater harvesting system. Memthane® is an Anaerobic Membrane Bio-Reactor (AnMBR) which maximizes renewable energy production while producing superb quality effluent that can be reused or discharged directly to sewer. The leading-edge technology, developed by Veolia subsidiary Biothane, delivers a unique, small footprint solution that offers an array of benefits, reducing disposal costs while generating valuable biogas. Figure 1 – The Veolia Memthane® Process

Throughout the design stage, Arla evaluated the potential impact of the dairy on the environment and was committed to utilising the best available construction techniques, advanced process technologies and cutting edge renewable energy opportunities. Accordingly the biogas generated by the Memthane® process will be used to fuel the on-site CHP plant, helping Arla in its aim to be the first zero carbon fresh milk processing facility in the world. The Memthane® wastewater treatment plant at the Arla dairy treats just over 500m3 per day of wastewater, typically containing 10-12 g/l TCOD. The average TCOD load within the feed is approximately 5.2 tonnes/day. Despite the high concentration, and variation, of TCOD within the influent, the Memthane® system has continuously maintained a removal efficiency of nearly 100%. Based on all 2014 data, the average TCOD removal is Figure 2 – Photograph of a Biothane anaerobic 99.4%. Additionally, wastewater treatment plant. the pore size of the UF membranes ensures a permeate that is effectively free from suspended solids.

Figure 3 – Graphs of operational data to date (COD concentration and Memthane® removal efficiency) and photo of the influent, reactor contents and permeate.

Commissioning of the new dairy, including the Veolia Memthane® treatment system, was completed in late 2013, with the official site opening in May 2014. J

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

I EFFLUENT TREATMENT

Biological Treatment of Industrial Effluents – Part Two By WEHRLE Umwelt GmbH his part of our mini-series T Industrial Effluent Treatment in the Food & Beverage industry is about biological treatment processes. There is a confusingly wide range of biological processes to treat effluents. Which is the most suitable one for your task? Conventional Aerated Systems (CAS), Sequencing Batch Reactors (SBR) and Moving Bed Bioreactors (MBBR) are simple ways to treat low to medium polluted effluent at comparatively low investment costs. These techModel of a containerised membrane bioreactor for the treatment nologies derive from conveneffluent. Picture: WEHRLE Umwelt GmbH. tional waste water treatment and are a good choice for high quantities of waste water with normal polThe all-rounder here is certainly the lution. MBR with external tubular membranes. For the treatment of effluents with high- These systems have a very high efficiency er loads, Membrane Bioreactors (MBR) are and can cope reliably with most difficult a good option. Especially if your effluent is waste waters, even digestate. The compact changing in composition and flow, for design, lowest man-power requirement and instance due to batch or seasonal produc- modular set-up that allows simple tion, MBRs are flexible enough to cope upgrades, make these systems a secure soluwith a wide bandwidth of effluents. tion throughout all changes your produc-

tion and effluent might go through. MBRs with external, tubular membranes are exceptionally simple to clean (CIP = Cleaning-in-Place) by the touch of a button, requiring a fraction of the chemicals of other biological systems. Compared with submerged or anaerobic MBRs, the required membrane area is very small, therefore cheap and easy to exchange. Due to the defined quality of the treated effluent (the membrane acts as a barrier of industrial and reliably holds back germs and biomass) an upgrade to allow water reuse (eg for lorry-cleaning or sanitation purposes) is simple and inexpensive. Also, MBRs are an effective way to upgrade old wastewater treatment plants using the existing space and are also available as LowEnergy systems. Part Three - “Biogas Generation from Industrial Effluents with Anaerobic Bioreactors” – will be in the next edition. J

Wastewater Treatment in the Food Industry he cost of disposal of the plant effluent T to the drain is often overlooked. Under the Mogden formula the cost of wastewater disposal is not only based on the volume but also on the solids and BOD (Biological Oxygen Demand) sent to the sewer. Old treatment plant or none at all can see profits literally go down the drain. Huber can look at removing the solids and BOD and if economically viable recycle some of your wastewater for yard wash

down purposes. When Erlenbacher Backwaren GmbH, who are part of the Nestle Group, looked at this they came to Huber to undertake the process equipment. Erlenbacher’s wastewater contains high levels of sugar and fats and was originally sent to the local sewer via a collection tank. Huber suggested converting the collection tank to a buffer tank and neutralising the acidic effluent, adding polymer and then

Erlenbacher makes pastries and confectionery.

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

pumping to a Dissolved air flotation (DAF) plant. The clarified water is then discharged to the local sewer at a much lower cost as the fats and suspended solids are flocculated and floated off and removed by a skimmer. The Flotate sludge is collected in an integral hopper and pumped to a storage tank where it is dewatered using an automatic Huber Screwpress. The DAF plant achieves a 60-65% reduction in COD and a 9295% reduction in Fats Oils and Greases (FOG) going to the sewer. The Screwpress takes the 9-11% dry solids flotate and presses these to achieve a cake of ~35-45% dry solids. The filtrate is returned to the buffer tank and returned to the DAF plant. The Screwpress is totally enclosed and completely automatic in operation, it rotates at 2-4 RPM and uses 14% of the power of other dewatering devices. For further information please visit www.huber.co.uk or contact T Clutten on tc@huber.co.uk or phone 07525224521. J 35

I CONFERENCE & EXHIBITION

Innovation For Sustainable Growth – Aviva Stadium, Dublin – September 10th 2014 ‘Innovation for Sustainable Growth’ is the theme of Food & Drink Business Europe’s inaugural Conference and Exhibition for the Irish food and beverage industry to be staged on Wednesday, September 10th at the Aviva Stadium in Dublin. he event will connect key stakeholders in the food and beverage manufacturing, retail and food service industries in Ireland. The keynote speakers have been selected because of their proven track records in successfully creating, building, managing, operating and marketing sustainable food and beverage brands, both domestically and internationally.

Bord Bia’s ‘Origin Green’ national sustainability development programme is designed to help Ireland become a world leader in sustainably produced food and drink.

Furthermore, speakers with specific expertise have also been assembled to provide delegates with an insight into the key issues currently facing the food and beverage industry including: • Brand building and innovation; • New product development; • Ingredient reformulation; • Manufacturing innovation; • Packaging innovation; • Supply chain innovation; • Sustainability; • Food safety; • Traceability; • Information Technology; • New legislation. Central Role With a turnover of over Eur25 billion and some 700 companies employing about 43,000 people, the food and beverage industry is 36

Ireland’s largest indigenous manufacturing sector and central to the country’s economic recovery. Due to the relatively small size of the domestic market, exports are a crucial source of revenue to Irish food and drink manufacturers. The Irish food industry has traditionally been strong in meat processing and dairying but has also developed a sophisticated convenience food sector as well as an international expertise in food ingredients. Brewing and distilling are key strengths on the drinks side. The value of Irish food and drink exports grew by 9% in 2013 to approach Eur10 billion for the first time, representing growth of 40% in the last four years with revenues almost Eur3 billion higher than in 2009. The UK remains the largest export market for Irish food and drink products, accounting for 42% of sales worth Eur4.1 billion in 2013. Ambitious Growth Targets The Irish Government has pledged, through its Food Harvest 2020 development strategy, to substantially increase employment in the food and beverages industry over the next six years. Food Harvest 2020 sets a number of ambitious growth targets, including increasing the value of primary output in the agriculture and fisheries sector by Eur1.5 billion (a 33% increase); growing value added sales by Eur3 billion (a 40% increase) and achieving food and drink exports of Eur12 billion (an increase of 42%) by 2020. However, this will require major expansion across all sectors of the food and drink industry in Ireland with companies of all sizes playing their part. To attain the Food Harvest 2020 targets, Irish food and drink companies will have to accelerate their innovation and develop new products, services or processes to meet rapidly changing market needs. While innovation and NPD are pre-requisites for success in any enterprise, sustainability is becoming equally important as concern for the environment becomes a priority for consumers. FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

With a turnover of over Eur25 billion, the food and beverage industry is Ireland’s largest indigenous manufacturing sector and central to the country’s economic recovery.

Indeed, a central theme of Food Harvest 2020 is to build on the clean green image of Irish food production as a basis for competing in premium quality food markets internationally. Bord Bia’s ‘Origin Green’ national sustainability development programme, which was launched in June 2012, is designed to help Ireland become a world leader in sustainably produced food and drink.

Keynote Speakers Eoin Donnelly – MD, Lilly O’Briens Michael Carey – Executive Chairman, The Company of Food, & Chairman of Bord Bia John Teeling – Founder, Irish Whiskey Company Jim Corbett – MD, Bewleys Vincent Carton – MD, Carton Group Caroline Keeling – CEO, Keelings Group Eugene McEneaney – Founder, Celtic Pure John Walshe – MD, Callan Bacon Conference Chairman - Simon McKeever - CEO, Irish Exporters Association

Caroline Keeling, chief executive of Keelings Group.

Scaling Up The Irish food and drink industry has major advantages due to the ‘green’ image Ireland has abroad and the high reputation it has earned for naturally sourced food. However, the industry needs to scale-up while still retaining its competitiveness in global terms as it seeks to further develop export sales and take advantage of economic recovery at home. Ireland is an open economy and consequently Irish food and drink companies face stiff competition, particularly from their UK counterparts, in the domestic market. Innovation and sustainability are obviously crucial as Irish food and beverage processors of all sizes seek to meet the changing needs of consumers, both at home and abroad. A key challenge facing food and drink companies, especially small to medium enterprises, is how to take advantage of market opportunities through innovation in new product development and branding in the food chain? How to gain funding is also an issue as is access to R&D resources. The Innovation for Sustainable Growth Conference & Exhibition has been designed to provide the answers to these dilemmas. The event will provide delegates with the opportunity to listen to compelling case studies relevant to their own circumstances, to meet with senior decision makers in their industry, and to discover new sustainable technologies and solutions. The ‘Innovation for Sustainable Growth’ Conference & Exhibition is unique in that it will bring together senior executives responsible for driving a more sustainable food and beverage processing sector in Ireland. The event is being organised to facilitate dialogue between the key stakeholders responsible for inward investment, growth in Ireland’s food and beverage manufacturing base, capital investment in new processing facilities, growth in jobs and delivering the targets set out in Food Harvest 2020. Speakers With Proven Track Records in Management The line-up of keynote speakers, each with a proven track record in management, will provide visitors to the Conference & Exhibition with the opportunity to learn at first-hand

how to develop and implement a strategy for sustainable manufacturing. For example, John Walshe, the managing director of Callan Bacon since 1985, has nearly thirty years of experience in the highly competitive meat sector. Since taking over the Keelings fruit production and food distribution business as group managing director in 2006, Caroline Keeling has increased the company’s turnover by 50% to Eur300 million, and extended the brand to include five divisions, with operations in the UK, Europe and Asia. In addition to presentations from the heads of well established family businesses such as Carton Group and Keelings Group, relative newcomers like Celtic Pure and the Irish Whiskey Company will also be represented. Business entrepreneur John Teeling has been successful in building from scratch an international company with global brands, having founded Cooley Distillery in 1985 before selling the business to US spirits group Beam for $95 million in 2011. John Teeling’s latest business venture, Irish Whiskey Company, is now planning to spend Eur35 million over the next four years transforming the Great Northern Brewery site in Dundalk into a distillery. Bord Bia chairman Michael Carey has a wealth of entrepreneurial experience and expertise from working within the Irish and UK food industries at companies including Kellogg’s (UK/Ireland), Fox’s Biscuits and Evian/Volvic before establishing Jacob Fruitfield (now part of Valeo Foods) in 2002. Michael Carey is currently executive chairman of The Company of Food, which offers a diverse combination of food industry strategic, commercial, branding and operating experience, and partners with companies to help them develop focused revenue and profit growth strategies. The Conference is being chaired by Simon McKeever, CEO of the Irish Exporters Association. With over 50 years experience in the Irish and international arena, the Irish Exporters Association (IEA) is the only national body that exclusively

Vincent Carton – managing director of Carton Group.

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

The Irish food industry has traditionally been strong in meat processing and dairying but has also developed a sophisticated convenience food sector as well as an international expertise in food ingredients.

represents the needs of Irish exporters. Additional Speaker Zones In addition to the keynote speakers, the conference and exhibition area will feature two other speaker zones where experts in areas such as process control, packaging innovation, supply chain management; traceability, and IT, will make presentations. Delegates will be able to gain an audio/visual copy of each presentation, if they are unable to attend in person. Exhibition Innovation is crucial to developing a sustainable food and beverage manufacturing sector. The Conference programme will be augmented by an exhibition featuring the latest developments in all aspects of food and beverage production from field to plate. The Conference & Exhibition will provide a forum for key suppliers of ingredients, process technology, supply chain management solutions, packaging equipment, packaging materials, materials handling systems, environment and energy saving solutions, food safety, control and automation systems, and logistics and distribution systems and services to meet and discuss the latest trends with potential buyers. Exhibitors at the event include: • ABB • Aspera Solutions • Cold Move • Foodjobs.ie • GEA Group • Goliath Packaging Systems • Kuehne + Nagel • O’Toole Transport • ProStrategy Colman • QPM • Repak • Smurfit Kappa • Veolia Water • WrenTech WRT For further information contact Premier Publishing & Events on Tel 353 1 6120880, Fax 353 1 6120881, E-mail colin@prempub .com or visit www.fooddrinkevent.com. J 37

I PROCESSING & PACKAGING

PPMA Show 2014 Returns to the NEC to Demonstrate Opportunities For UK Manufacturing Prosperity s growth in the UK’s manufacturing A sector continues to accelerate, industry professionals are poised to flock to this year’s PPMA Show 2014, the UK’s premier, free-to-attend complete production line event for processing and packaging machinery. Now in its 27th year, the show has been recognised as the only UK event that attracts hundreds of machinery manufacturers and component suppliers across a wide range of industries including food, drink, pharmaceutical, cosmetics, dairy, snacks, construction and electronics. Demonstrating the Future of Packaging Innovation

Attendees at the NEC in September will be able to view a number of exclusive machinery demonstrations. Kliklok International, one of the world’s leading packaging machinery manufacturers, will be launching its new Certiwrap ELITE wraparound cartoning system on stand E32 at this year’s PPMA Show. Capable of improving functionality, repeatability and flexibility on the production line thanks to new modular infeeds which help manufacturers adapt to increasingly fast-paced market requirements, the ELITE can be tailored to different pack styles, sizes and formats. It also features a choice of twin or triple arm carton feeders to improve handling and is designed to increase throughput rates on high-speed lines, being capable of packaging at speeds

up to 300 cartons per minute dependant on product size. Award-winning end-of-line automation specialist Endoline Machinery will address the need for packing speed and flexibility with the launch of their latest SMART machines – including the UK debut of the 744 Fully Automatic Random Case Sealer on stand D30, believed to be the fastest of its type in the world. Interactive demonstrations will also be available over on stand B40 where Olympus Automation will demonstrate its Steam Infusion™ technology, a new low-risk cooking process that heats, mixes and cooks liquid based food products quickly and efficiently. Finally, Pacepacker Services, the award winning automation expert, will be showcasing the widest range of pick and place solutions on the market on stand C50. Six different pick and place systems will demonstrate the innovative ways to handle a variety of unpackaged and packaged FMCG goods. As well as Pacepacker’s own equipment, robot technology from FANUC and Festo will also be on show. Speakers Under the Spotlight

Several high-profile seminar speakers have already been announced, including former cabinet minister, politician and journalist Michael Portillo who will provide this year’s opening address and discuss the resurgence of British manufacturing and its role in rebalancing the economy. Also announced for the openFOOD & DRINK BUSINESS EUROPE, AUGUST 2014

ing day of the exhibition, Christine Tacon, the Government’s first appointed supermarket ombudsman is set to steal the spotlight with a combative talk on the UK’s leading supermarkets. Further speakers for the 2014 PPMA seminar programme include Craig Mochrie from Morrison Bowmore and Martin Dallas, from Essentra Packaging who join the line-up on the first day to deliver exclusive presentations on real time management information systems and creative packaging technologies. On the second day, Ian Barnett from Coca-Cola Enterprises and Kevin Vyse from Marks and Spencer will talk about sustainability and consumer packaging.

Finally, attendees visiting the show on the last day can join Peter Hooper from Wykes Farms who will explain how to optimise automation investments in the food and drink industry, while Mark Elderkin from The Good Whey Company, will speak about the role packaging plays in supporting brand proposition. Taking place 30 September–2 October 2014, this year will see the event return to the sole ownership and management of the PPMA Group of trade associations. Lloyds TSB is the headline sponsor of the PPMA Show 2014. For more information on the PPMA Show 2014, please visit www.ppmashow.co.uk or join the conversation on twitter (@PPMAshow #PPMA14) or the PPMA Show LinkedIn group. J 39

I PPMA 2014 PREVIEWS

FANUC to Showcases Widest Range of Food Handling Robots - PPMA Show, Hall 5, Stand C50 five different food handling Showcasing robots, FANUC will present their

FANUC's M430 articulated arm robot will load biscuits into blister trays with repeatable accuracy at the PPMA Show.

biggest selection ever at a PPMA show this year. IP67 and IP69K certified robots, will perform palletising and food packing assembly tasks. Delta and articulated arm robots will show high levels of dexterity when handling unpackaged and packaged foods at speeds of up to 180 picks per minute. As well as the robot arms, attendees will see a variety of endeffector tools including vacuum and gripper style which will effectively pick and place the most delicate of products. Robots in action include a cell combining two robots, an M3 delta style system and a M430 articulated arm robot, which will pick biscuits and place them into

blister packs. Following on from this an articulated arm LR Mate 200iD will pack the blister packs into retail trays. To represent packing further down the production line, two palletising robots, a FANUC M710iC/50 and an M410iC/185, will demonstrate palletising of both trays and bulk bags Worker safety is a prime consideration so FANUC will also demonstrate its Dual Check Safety (DCS) Position & Speed Check software - a package of safety options integrated into FANUC’s R30iA and R30iB robot controllers to ensure safe monitoring of robot position and speed. J

Take The Olmec Vision Challenge At The PPMA Show! atmosphere packaging (MAP) for the food lmec UK is inviting visitors to beat a industry. Capable of inspecting the extrudO vision system in the popular game of ed web material with hole sizes from 50 – ‘Scissors, Paper, Stone’ at the PPMA Show. All visitors to Booth E22 will have to do is to place their hand in either a ‘scissors’, ‘paper’ or ‘stone’ shape into the inspection area and the vision system will instantaneously display its own choice. Can it be beaten? This is a lighthearted way of demonstrating just some of the capabilities of high speed imaging and shape recognition, and experts will be on hand to explain exactly how it works – win or lose! Also on show will be ‘Vision PerfoControl’ a vision-based system for

true real-time monitoring of perforation quality of laser-perforated, flexible modified

350 um at web speeds up to 400 m/min, VisionPerfoControl was developed in partnership with Rofin-Baasel, a world leader in laser systems for MAP. The vision system checks that each hole is present and measures it to ensure it meets specification. Olmec has extensive experience in the design and implementation of end-of-line inspection systems, many of which feature high-speed code and OCR reading. These capabilities will also be demonstrated at the show. J

Festo to Exhibit New Developments in Packaging System Concepts esto, the innovation leader in pneumatic and electric drive F technology, will be showcasing a number of its exciting new developments, concepts and solutions in packaging systems at this year’s PPMA show. Visitors to the stand, E60, hall 5, will have the opportunity to meet Food & Packaging specialists from Festo, and discuss Festo’s contribution towards automation and improved productivity in the processing and packaging industry. Festo invests more than 7% of its turnover into R&D. While working with research and educational establishments to find solutions for improving productivity in automation, Festo continues looking to the natural world for further inspiration. The natural world shows how maximum performance can be achieved with minimum energy consumption in a wide 40

variety of ways. By transferring these principles to the development of new technological methods and innovative processes, WaveHandling – transporting and sorting in one. engineers can better understand how automation systems can be more efficient. The company’s advanced handling and kinematic robot systems achieve just this and are ideal for use in the food and beverage sectors. New concepts such as the WaveHandler and MultiChoiceGripper have been inspired by nature and will be on display at the show. J

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

I HIGH PRESSURE PROCESSING

HPP Allows Processors to Maintain Freshness, Texture, Flavour and Healthy Nutrients Without Using Heat or Chemicals p until about 25 years ago, heat was U chosen as the pasteurization standard because it was practical and easy to apply to large volumes of product. But when applied to juices and other beverages for shelf stability and sterilization, it comes at the expense of flavour, nutrition, and texture.

High pressure processing, or HPP, applies ultra-high pressure to a food product in its final packaging to inactivate listeria, salmonel-

High pressure processing, or HPP, applies ultra-high pressure to a food product in its final packagiing to inactivate listeria, salmonella, and E. coli, as well as other spoilage microorganisms, withouut harming healthy enzymes or removing vitamins.

la, and E. coli, as well as other spoilage microorganisms, without harming healthy enzymes or removing vitamins. If applied properly to the product, HPP allows processors to maintain freshness, texture, flavour and healthy nutrients that are vital to good health – without heat or chemicals. With the ability to extend shelf life with HPP, the fresh juice market has seen explosive growth worldwide, offering today’s consumers exactly what they want - fresh taste, nutrition and safety. One example of very successful use of HPP for fresh juices is Vegesentials (www.vegesentials.co.uk), an award-winning producer of delicious fresh bottled juices such as “Beetroot, Pomegranate & Carrot” and “Carrot, Peach & Cucumber”. Vegesentials worked with Juicy Line, a contract HPP services provider using Avure HPP equipment in The Netherlands, to define objectives, standardize recipes, conduct microbiology validations and shelf-life tests, satisfy regulatory requirements, evaluate packaging options, and perform other important steps involved in successful delivery of HPP products. Along with the high capacity, reliability and low operating costs desirable in HPP equipment options, Avure, the global leader in HPP solutions, and its network of contract HPP service providers, bring proven expertise to help processors of all sizes in their HPP journey. A short video presentation on the benefits of HPP to juices and other beverages can be viewed at http://info.avure.com FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

With the ability to extend shelf life with HPP, the fresh juice market has seen explosive growth worrldwide, offering today’s consumers exactly what they want - fresh taste, nutrition and safety.

/foodbevbiz. To learn more about HPP and the 525L600 from Avure, go to http://info.avure .com/0114FBB525. J

Avure, the global leader in HPP solutions, and its network of contract HPP service providers, bring proven expertise to help processors of all sizes in their HPP journey.

I FOOD GRADE LUBRICANTS

Increased Output and Reduced Costs in Soft Drinks Production n increase in machine reliability and the A improvement of lubrication management practices in order to maximise output in one of their plants was the objective of a globally active soft drink producer when they approached tribology expert Klüber Lubrication. One of the plant's seven bottling lines was chosen for the improvement project. Analysis was undertaken and this developed a comprehensive lubrication plan. Following implementation mechanical breakdown was reduced, while output increased significantly. Increased Production Output

The plant operates on a three-shift system,

Within nine months, production loss due to machine downtime was reduced from 7.4% to 2.5%, resulting in a substantial increase of production output: throughput increased to 72%, equalling 2,304 cases per hour, or 55,296 cases a day - an increase by roughly 13,000 cases or 32% a day. 44

24 hours a day. Theoretical filler speed of the bottling line is 24,000 bottles per hour. Prior to consulting Klüber Lubrication, utilisation was 55%: 1,760 cases were bottled per hour, equalling 42,240 cases a day. Klüber Lubrication went ahead with its proven KlüberEfficiencySupport package. Within nine months, production loss due to machine downtime was reduced from 7.4 per cent to 2.5 per cent, resulting in a substantial increase of production output: throughput increased to 72 per cent, equalling 2,304 cases per hour, or 55,296 cases a day - an increase by roughly 13,000 cases or 32 per cent a day. The increased production capability enabled rapid response to order and delivery schedules and a reduced unit cost of manufacture. In addition, the number of different lubricants was decreased from formerly 47 to 26, resulting in lower storage costs as well as a reduced risk of lubricant mix-up; all without compromising lubricant quality and standards. Implementation in Practice

The comprehensive approach of KlüberEfficiencySupport includes the lubrication of all equipment throughout the entire bottling line. Klüber Lubrication proceeded in several steps. Based on a comprehensive pre-audit, the objectives to be achieved within a time frame of 12 months were fixed. The exact requirements of all persons involved in the lubrication process were precisely defined for the first time. In addition, intensive training sessions on lubrication matters took place. All this resulted in increased lubricant awareness and increased beverage safety. A comprehensive lubrication plan and a food-grade lubrication regime for all lubrication points was implemented. Oil analyses were conducted as part of preventative FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

maintenance programme. In addition, storage conditions for the lubricants were improved. Klüber Lubrication also with an HACCP audit (Hazard Analysis and Critical Control Points) by implementing only ISO21469 manufacturing site H1 lubricants. Constant monitoring during the adjustment period ensured that all measures were fully implemented and, if need be, adjusted. Conclusion

This case illustrates the significant influence lubrication has on the efficiency of machinery. Typical operating cost reductions for a food manufacturing plant can be more than £100,000 per annum. Implementation time for an advanced lubrication program is approximately six months, with payback in nine to twelve months. For many food processors it is worthwhile to partner with Klüber Lubrication in order to analyse and adapt lubrication management practices to reduce costs and increase productivity. For further information visit www.klueber.com. J

The comprehensive approach of KlüberEfficiencySupport includes the lubrication of all equipment thhroughout the entire bottling line.

I FOOD GRADE LUBRICANTS

FANUC’s Food-grade Robots Meet Stringent Hygiene Protocols ANUC robots are fast, F flexible, and precision-driven. But performance is just half of the story when investing in a food grade robot. Food robots must be impervious to rust and moisture. They must also be constructed so as not to contribute any contaminants. The four axis M-2iA pick and place delta style robot is one of two models launched by FANUC UK in the last 12-months that is IP69K certified as being food-safe. The other is the six axis LR Mate Also built to IP69K standard, FANUC’s 200iD/7C, which has an LR Mate is the smallest of all robot articulated arm that can tilt, arms and often used by dairy twist and rotate single or mul- packers. tiple products with ease. Both can withstand high pressure and temperature washdown procedures. Designed with a durable epoxy coating, FANUC’s M-2iA robot has over 20+ end effector options, and it is ideal for handling unpackaged and raw foods including placement of products into trays and assembly operations. A food-grade lubricant grease is used inside the robot to further prevent any possible food contamination. In addition to being food safe, these robots must also be able to withstand tough chemical cleanings and spray downs. Chlorine and Quaternary Ammonia-based sanitizers are common cleaning methods in the fresh food sectors. FANUC’s M-2iA delta style pick and “Although IP67K certified place robot withstands stringent robots have been commonIP69K cleaning protocols. place for many years, the very nature of a robot arm, with its many crevices and less durable construction materials, has in the past prevented it from working in harsh environments. Our current focus is on hardening our robots for sanitation, making them able to withstand the harshest of environments and high pressure water hose cleaning, which is often used during food manufacture,” comments FANUC UK Managing Director Chris Sumner. J FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

I COST MANAGEMENT

Snacking Giant Becoming Leaner Mondelez International is making good progress in implementing a restructuring programme across its snacking operations designed to deliver cost savings of at least $1.5 billion by 2018. ondelez International plans to create a leaner, simpler and more focused organisation by reducing operating costs to best-in-class levels through zero-based budgeting and by accelerating its supply chain reinvention initiative.

finance officer of Mondelez International.

Daniel Myers, executive vice president, Integrated Supply Chain at Mondelez International.

The 2014-2018 Restructuring Program will cost $3.5 billion, comprised of approximately $2.5 billion in cash costs and $1 billion in non-cash costs. The restructuring program is intended primarily to cover severance as well as asset disposals and other manufacturing-related one-time costs. Mondelez International expects to incur the majority of the program's charges in 2015 and 2016. The $2.2 billion of capital expenditures to support the restructuring program are already included within the company's previous guidance of approximately 5% of net revenues for the next few years. Lower overheads and accelerated supply chain cost reductions are each expected to generate roughly half of the total incremental savings of at least $1.5 billion by 2018. Overhead reductions will be driven by both lower headcount and non-headcount costs. Good Progress Mondelez International is making good progress in implementing its restructuring program. It has closed, sold or streamlined

30 plants and reduced its supply chain headcount by 3,000. Significant projects have also been started in developing markets such as India, China, Russia and the Czech Republic. "We're building an integrated supply chain organization that's laser-focused on delivering a demonstrable competitive advantage and generating savings we can reinvest in our growth," explains Daniel Myers, executive vice president, Integrated Supply Chain at Mondelez International. Mondelez International is transforming its manufacturing processes and partnering with suppliers to develop more efficient, modular designs for global product platforms. Based on these new designs, the company is installing Oreo biscuit manufacturing lines that require 30% less capital and reduce operating costs by $10 million per line. These ‘lines of the future’ can be installed in one-third the time and provide double the capacity in half the space as older designs. The company is now implementing similar transformations for other biscuits as well as its chocolate and gum categories. Supply Chain Mondelez International is simultaneously restructuring its supply chain network. To support expected demand, the company will invest in 14 greenfield plants by 2020, to be built on advantaged platforms in locations with optimised logistics. By 2020, the volume produced on advantaged assets will rise from 15% to about 80%. Similarly, revenue per plant is expected to more than double by the end of the decade. The company is also driving major productivity improvements through Lean Six Sigma, procurement transformation and simplification programs. The cost cutting programme is expected to provide the opportunity for further profit margin improvement beyond Mondelez International’s 2016 target of 15% to 16%. “After 2016, we expect the cost savings will provide additional fuel to fund growth and drive further margin expansion," says Dave Brearton, executive vice president and chief FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

Focus on Snacking Of course, Mondelez International is also simplifying its operations by combining its coffee activities, including the Jacobs, Carte Noire, Gevalia, Kenco, Tassimo and Millicano brands, with the coffee business of DE Master Blenders 1753 to create the world's leading pure-play coffee company. Upon closing, Mondelez International will receive after-tax cash proceeds of approximately $5 billion and a 49% stake in the new joint venture to be called Jacobs Douwe Egberts.

Dave Brearton, executive vice president and chief finance officer of Mondelez International.

By splitting off its coffee business into a joint venture, Mondelez International will become a more focused, nimble, global snacking powerhouse allowing for faster expansion of profit margins and for faster decision making by simplifying how the refocused business works, according to Dave Brearton. The process is also expected to generate more investment in the streamlined company’s people, brands and capabilities. When the coffee transaction is completed, Mondelez International will have 2013 pro forma revenues of $31 billion with 85% generated from snacks (including 37% from biscuits, 31% from chocolate and 16% from gum and candy). This compares with revenues of $35 billion in 2013 for the present business with snacks contributing 75%. J 47

I TRANSPORT MANAGEMENT

Inet-logistics Provides End-to-end Visibility Throughout the Supply Chain net-logistics is an international software Iintegrated, company that specialises in developing scalable and flexible SaaS Transportation Management Systems (TMS) for the fast moving consumer goods industry.

The inet TMS enables the management of all kinds of transportation and freight cost processes (global, multi-mode) in a single system and brings end-to-end visibility into the supply chain. The inet TMS allows partners throughout the supply chain to interact with each other in real time in order to provide complete transparency for all relevant inventory and transaction data. Inet-logistics provides solutions for planning and optimizing complex transport networks on strategic, tactical and operational level to enable higher savings of transportation costs. Headquartered at Dornbirn in Austria, inet-logistics has developed a global network encompassing key locations in Germany, Switzerland, Thailand and China, with an office due to open in the US next year. The inet-logistics team has extensive knowledge of logistics - its major shareholder is the global logistics service provider Gebrüder Weiss - as well as a broad range of additional skills such as IT, processes, quality assurance, etc. Together with its partners the inet TMS ecosystem has more than 500 SCM professionals. TMS Expert Inet-logistics is well known internationally for the strength of its offering and domain expertise in transportation management and has one of the largest Europe-domiciled TMS customer bases and the biggest integrated carrier community. The company offers a complete range of Business

Services from the analysis and planning of transportation networks to their implementation, as well as training and consulting on all matters concerning a client’s TMS. Inet-logistics has implemented comprehensive and customized Transportation Management Systems for many of the world‘s leading FMCG companies. Clients are guided through a central transportation and sustainability strategy in order to create savings from a joint inbound/outbound and cross-country optimization on a European as well as on a global Level. Inet-logistics’ solutions are designed to achieve improved planning and continuous optimization from the strategic to the operational level. Furthermore, inet-logistics has customized a Data Warehouse to generate different KPI reports such as CO2 Carbon Foodprint etc. Benefits All types of food and drink companies with a complex production and transportation network are benefiting from inet-logistics’ products and expertise. Working with the inet Transportation Management System offers users many benefits including: • Distinctive and sustainable transport cost reduction – customers can achieve cost savings up to 20%;

• Reliability of the supply chains; • High availability – the inet TMS is available 99.9%; • Security and transparency of the transportation processes; • Sustainability, environmental and resource protection; • End-to-end visibility within the supply chain; • Support from the inet-logistics team with FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

its logistics know-how and extensive experience within the food and beverage industry; • Innovation and continuous development. Another major advantage is the very fast implementation of the inet TMS. Inet-logistics is able to implement the TMS for a customer within 6 to 8 months. Inet TMS in Action The logistics specialists at Mondelez Europe have been using the inet TMS and all its components since 2008 - Transportation Management, Freight Cost Management, Container Management, Transportation Analytics and Planning. Over the past few years, the solution has been rolled out step by step in all Western and Central European countries. Mondelez has followed a central transportation strategy in order to create savings from a joint inbound/outbound and cross-country optimization at a European level. The TMS solution supports all operative processes regarding the management of the food giant’s complex transportation network such as: • Cross-company collaboration and communication in real-time between customers, suppliers, logistics service providers, carriers, purchasing and finance departments; • Clear Freight Cost Management with fast and transparent carrier billing/self billing processes and invoice verification; • Transport Optimization as well as route planning; • Online Dock Booking for logistics service providers; • Central management of loading devices with real-time visibility into all container movements to reduce safety stocks and prevent theft and loss; • KPI Reporting including Carbon Food print analysis. J 49

I TRADE FAIR

Packaging Innovations London Serves Up a Tasty Treat ood and drink companies will have F plenty to see at Packaging Innovations London, the exclusive event for branded and inspirational packaging, co-located with Luxury Packaging 2014, which returns to the Business Design Centre, London on 30th September and 1st October. Alison Church, Packaging Innovations’ Event Director, says: “As we move into our fifth year, Packaging Innovations London has never been more international, with exhibitors not just limited to Europe but also Hong Kong and USA. The show has become the perfect place to discover the latest developments in the FMCG industry.” Industry Must Event The two day event has become an industry must for food and drink designers, brand directors, marketing managers and communication directors. That’s why it attracted major brands such as Waitrose, Coca-Cola, Tesco, Sainsbury’s, Harrods and Mars last year, and there’s plenty of inspiration in store for visitors attending the 2014 show, with over 160 companies already signed up to exhibit.

Among them, Parkside Flexibles will be launching its Rockpockets, a revolutionary protective packaging concept that offers an extremely lightweight pack for the transport of breakable items in a compact format, by using a vacuum process. Parkside Flexibles is also set to launch its solution to packaging reduction in the ready meal mar-

ket, by combining its Lidd concept with its unique laser capabilities. Showcasing it latest packaging creations will be international exhibitor Dapy Paris whose extensive packaging ranges have been used by many of the world’s most prestigious brands, such as Belvedere Vodka, Moet & Chandon, Johnnie Walker, Hennessy, Glenmorangie, GH Mumm and Verve Clicquot. First Time Exhibitor First time exhibitor Airpack Systems is set to wow the beer and wine industry with its new innovative 100% recyclable inflatable packaging. Whilst keeping it innovative, Firstan, will be exhibiting its range of food packaging solutions from Frozen Food cartons and sleeves through to Confectionery packaging and shelf ready packaging. Croxons will be launching its extension to their ultra-premium range of spirit bottles at the show, and will be joined in the food and beverage brigade by exhibitors including Woerner + Cie, J&J Pont Packaging, Hunter Sourcing, The Ultimate Group, Aegg and Royston Labels. If you are looking to revamp your packaging MMR Research will be demonstrating its Impackt Lite, providing companies with a limited but scientifically robust, quantitative and accurate method for assessing the likely success of new or revised packs. Dempson, will be exhibiting its Dempson Bag range and its innovative Box Bag range, suitable for ‘Food to Go’ retailFOOD & DRINK BUSINESS EUROPE, AUGUST 2014

ing, catering supplies retailers and wholesalers and food processors. Innovia Films will be exhibiting its new compostable NatureFlex™ 55 HK1, a hermetically sealing film providing an effective barrier against mineral oil residues, made from renewable raw materials.

For all those chocoholics, James Cropper will be displaying its award winning bio recycling solution - cocoa paper. An innovation that could save the skins of many of the 3.5 million tonnes of cocoa beans produced each year, by turning them into wrapping. Luxury Packaging Conference The Luxury Packaging Conference will debut at Luxury Packaging 2014 co-located with Packaging Innovations London, boasting senior representatives from Karl Lagerfeld, Diageo, Elizabeth Arden, Harrods, Procter & Gamble (Prestige Brands) and Hotel Chocolat. They will be exploring the vital role packaging has to play in positioning and promoting luxury and prestige brands. Packaging Innovations will also host an array of show features including inspirational learnShops seminars, The Beauty Symposium, Lions’ Lair and show favourite, The BIG Packaging Debate, where panellists will debate the latest industry controversial hot topic. For further information visit www.easyFairs.com/PILONDON or contact +44 (0)20 8843 8800. J 51

MARKET FOCUS

Brand Power Remains Key to Exploiting New Trends in UK Snack Foods Market he UK retail market for savoury, T bagged snacks increased in value by 5.8% in 2013, according to Snack Foods,

initiatives, with these schemes contributing to enhanced brand awareness.

a new market report from market intelligence provider Key Note. Sales continue to be driven by brand trust, with this loyalty forming the basis for exploiting current trends.

New Product Development NPD is of prime importance in this market, given the high level of product saturation. There is currently a high demand for healthier snacks and exciting new flavours, which is maintaining volume sales in the potatoes crisps sector and unlocking potential growth with regard to snack nuts and other savoury snacks. In the same exclusive NEMS research that was conducted in June 2014, it was revealed that 54.4% of respondents were driven by the desire to regularly purchase healthier snack foods, while 54.4% were also influenced by the desire to try a new product. As such, manufacturers of all sizes have attempted to exploit these demands Tyrrells for instance, recently introduced a new range of vegetable crisps, while Burts launched a new spicy chorizo favour of potato crisp, with the aim of tapping into the growing desire for spicy variants in the UK. Yet these brands, although increasingly popular, remain less established than those of the market leaders; this is a substantial disadvantage considering the overriding importance of brand trust in this market. As such, both Walkers' recent launch of Pops, a healthier form of potato crisp, and Kettle's launch of vegetable crisps, are likely to outsell their smaller rivals.

According to exclusive NEMS consumer research, commissioned by Key Note in June 2014, 69.5% of respondents stated that brand trust was a driving factor in the regular purchase of snack food, with the three most popular brands being Walkers, Doritos and Pringles, respectively. This favours conglomerates, such as PepsiCo (Walkers/Doritos) and Kellogg's (Pringles), with brand power increasing the likelihood of a return on investment into new product developments (NPDs). Market leading manufactures are able to reinforce this advantage with aggressive pricing strategies, in-store promotions (ISPs) and high expenditure on marketing

New Trends The popularity of savoury snacks in the UK ensures that new trends regularly emerge, providing manufacturers with new avenues for growth in an extremely competitive marketplace. When combined with the highly established level of brand awareness and loyalty, there are strong foundations for further growth among the established brands operating in this market; however, heavy investment is required to fully exploit these opportunities and this is likely to lead to ongoing market consolidation, as manufacturers of all sizes

are forced to accept slimmer margins. Despite this, consumer interest in snacking between meals is yet to peak, with convenient food solutions becoming increasingly popular among a busy consumer base. Key Note therefore forecasts impressive 5-year growth of 21.2% between 2014 and 2018. Snack Foods Market Report 2014 is available to purchase for ÂŁ575. For further information visit www.keynote.co.uk. J

Software for the Food Industry Design onscreen and print superior looking labels complying to the latest EU food labelling legislation.

FMS LABELLING www.youtube.com/user/GWThompsonLtd GW Thompson Ltd

+44 (0)1708 767946 g.w.thompson@ntlworld.com

Automatically create ingredients lists with allergens highlighted in bold. Generate duration dates. Automatically create nutrition panels, RI% information and Front of Pack lozenges. Print or email product specification reports. Calculate product costs. Easily search and replace ingredients. Recipe and Mix reporting. Print front and back labels and create print queues.

foodmanagementsystems.com FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

I COLOURS

Sensient Announces Bright Natural Red Range ensient Food Colors Europe has introS duced further innovation enabling food manufacturers to create vibrant red colour shades without having to use carmine. The bright Natural Red Range is especially beneficial for manufacturers of ice cream, water ice and other frozen desserts.

In August 2014, new EU aluminium regulations limiting the conditions and levels of use for aluminium-containing food additives take effect. As a result, aluminium lakes of carmine will no longer be permitted in ice creams and fruit ices within the EU. Carmine had been traditionally used to achieve bright red to bluish pink hues in

many dairy and fruit ice preparations. The use of certain natural colours in dairy and fruit ice applications has historically presented challenges due to the pH sensitivity of these colours. Drawing on its global R&D resources, Sensient has created natural alternatives to carmine that provide vivid red shades for use in ice cream and water ice applications. Sensient can now offer a natural range of vibrant colour shades from a bright red through pink to bluish red with its natural colours, colouring food and Cardea product line. Both the colouring food products and Cardea range are fully compliant with the new EU Guidance Notes on colouring food. Sensient Food Colors Europe is a unit of Sensient Technologies Corporation, a leading global manufacturer and marketer of colours, flavours and fragrances. Sensient

employs advanced technologies at facilities around the world to develop speciality food and beverage systems, cosmetic and pharmaceutical systems, inkjet and speciality inks and colours, and other speciality and fine chemicals. The company’s customers include major international manufacturers representing many of the world’s bestknown brands. J

I FLAVOURS

Advance Information on New Allergen Laws hird generation flavours house Unbar T Rothon is making it easy for UK butchers, manufacturers and caterers to stay on

Richard Rothon, general manager of Unbar Rothon.

the right side when a new law is introduced later this year. December 13th has been set as the date when all unpackaged food will have to carry detailed allergy information and the Food Standards Authority has issued guidance notes in a document entitled “Allergen Information for Loose Foods”. Anticipating the move, Unbar Rothon, the Billericay, Essex-based flavours supplier, has moved in advance to publish all the necessary information relating to its products.

“All the facts our customers will need are now incorporated within our specification documents so users will be able to see at a glance exactly what is involved,” says Unbar general manager, Richard Rothon. This work has already been undertaken in connection with two new flavours which have been added to the fast-growing Butchers Pride range of products – Chilli Cor Blimey and Sticky Rib Marinade. The latter, a dry powder, can be used as a direct glaze or, when hydrated, as a wet marinade. In addition to generating flavour, it adds weight to finished products like chicken, beef and pork ribs. J

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

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Lindt & Sprüngli Expands in the US

Diageo Increases Stake in United Spirits to 55%

Lindt & Sprungli Group is acquiring Russell Stover Candies of the US, to broaden its existing premium brands portfolio in the world's biggest

Diageo has acquired a further 26% of United Spirits for £1.117 billion to increase its stake in India’s largest spirits group to 54.8%. Diageo's prior interest in United Spirits was 28.78%, which was acquired for £726.6 million. Diageo has paid a total of £1.84 billion for its current stake of 54.8%. Ivan Menezes, chief executive of Diageo, says: “India has now become one of Diageo's largest markets and will be a major contributor to our growth ambitions. USL is the leading player in the attractive Indian spirits market with great brands, a unique route to consumer and talented people. We can now combine that strong platform with Diageo's strengths to create a compelling future in India for Diageo, USL and the Indian spirits industry.”

chocolate marketplace. Headquartered in Kansas City, Missouri, Russell Stover is a leading manufacturer of pralines and seasonal candies in North America. It manufactures chocolate products at four production sites and has an annual turnover of around $500 million. The deal, which is biggest and most important strategic acquisition in Lindt & Sprungli's history, will provide the Swiss confectionery group with an established presence throughout the USA. The addition of the Russell Stover and Whitman's brands perfectly complements Lindt & Sprungli's existing chocolate portfolio and will make the company the number three North American chocolate manufacturer. Lindt & Sprungli is financing the acquisition through net cash resources and bank loans and expects the transaction to make a strong positive contribution to the earnings per share from 2015 onwards. It has been agreed not to disclose the purchase price and other contractual details. The new strategic acquisition means the group will pass the $1.5 billion turnover mark in North America in 2015. Employing 9,000 people, Lindt & Sprungli currently operates eight production sites in Europe and the USA. Lindt & Sprungli Group reported sales of SFr2.88 billion (Eur2.37 billion) in 2013. 56

& &

Avion. The transaction reflects Pernod Ricard's confidence in Avion’s brand equity and growth potential, and the brand’s important role in Pernod Ricard’s growth ambitions in the United States, the largest market for the group.

Danone Partners With Brookside in East Africa Danone has strengthened its standing in Africa by acquiring a 40% stake in Brookside, East Africa's leading dairy products group. Established in Kenya in 1993 and with 2013 revenues of around Eur130 million, Brookside operates a unique distribution platform enabling a daily access to over 200,000 outlets. The company manages the largest milk collection network in East Africa, with 140,000 farmers in the region. The partnership deal will significantly enhance the platform Danone is currently building in Africa.

Further Expansion by Quintessential Brands

ADM Expands Food Ingredient Offering With Acquisition of WILD Flavors

International drinks group, Quintessential Brands, has acquired Marblehead, the UKbased brand development and distribution company. Marblehead and Quintessential Brands have operated as partners since July 2013. The acquisition ensures Marblehead’s continued success as an agency with a portfolio of premium brands, distributed via its well-established network in the on-trade and prestige off-trade. Quintessential Brands cofounder, Warren Scott says: “Marblehead’s acquisition is part of our strategy to become one of the leading European independent players in the spirits industry.”

Archer Daniels Midland Company is acquiring WILD Flavors, one of the world’s leading suppliers of natural ingredi-

Produce World Group Expands Through Acquisition

Ivan Menezes, chief executive of Diageo.

Pernod Ricard Takes Majority Stake in Tequila Brand Pernod Ricard has completed the acquisition of a significant majority stake in Avion Spirits, owner of the ultra-premium tequila brand Avion, from its joint-venture partner Tequila

centrates and blends, as well as other food and beverage ingredients. Together, ADM and WILD Flavors will create one of the leading flavour and specialty ingredient companies in the world, with sales approaching $2.5 billion and significant room to grow.

ents to the food and beverage industry, in an all-cash deal valued at Eur2.3 billion. ADM will pay Eur2.2 billion to WILD Flavors shareholders, and assume approximately Eur0.1 billion of net debt. The transaction expected to close by the year end. WILD Flavors, with more than 3,000 customers worldwide and estimated 2014 net revenues of about Eur1 billion, offers food and beverage companies full flavour and ingredient solutions—known as flavour systems—and fruit juice con-

FOOD & DRINK BUSINESS EUROPE, AUGUST 2014

Produce World Group, one of the largest expert growers and suppliers of high quality fresh vegetables in Europe, has acquired TIO, a company based in Forres, Morayshire in Scotland, which supplies organic root vegetables into retail and food service sectors. “The acquisition of TIO is a natural fit for Produce World, which is already a leader in the UK organic vegetable market. We believe that this will provide greater security both for suppliers and customers,” says Neil Fraser, executive chairman of Produce World Group.