Food & drink business europe february 2015 by Colin Murphy

C o n t e n t s

- 3 M ERGERS & A CQUISITIONS

- 25 D EVELOPMENT S TRATEGY

Coverage of British and international deals.

Danone moves to regain competitive edge.

PAGE 3

- 5 C OVER S TORY

Per Olof Nyman, CEO, Lantmannen.

Europe’s Top 100 Food & Drink Manufacturers.

- 35 P OULTRY Faccenda Foods moves up the pecking order.

P AGE 9

Murat Ulker, Chairman, Yildiz Holding.

R EGULARS Control & Automation. . . . . . . . . . . . . . . . 13 PAGE 25 Bottling & Packaging. . . . . . . . . . . 15, 46-51

- 11 E UROPEAN T RADE

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Processing & Manufacturing . 17-23, 29-31 & 53

Agust Gudmundsson, CEO, Bakkavor Group.

Quality & Safety . . . . . . . . . . . . . . . 33 & 44

US market re-opens for EU beef imports.

Emmanuel Faber, CEO, Danone.

Materials Handling . . . . . . . . . . . . . . . . . . 43 Storage & Logistics. . . . . . . . . . . . . 45 & 46 Materials & Ingredients . . . . . . . . . . 55 & 56

PAGE 35

Andy Dawkins, MD, Faccenda Foods.

Managing Director: Colin Murphy Editor: Mike Rohan

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- 11 N UTRITION New nutrition data shows global calorie consumption.

Hubert Weber, President, Mondelez Europe.

Group Operations Manager: Sylvia McCarthy Advertising: John Bent, Ian Stewart & Rachel Howard 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!

- 13-22 A NUGA F OOD T EC 2015 Robots have become indispensable in food and beverage production. Anuga FoodTec 2015 Previews.

PAGE 7

Pedro Ballve, Chairman, Campofrio Food Group.

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FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

M E E R R G G E E R R S S M Lantmannen to Acquire Vaasan Group Lantmannen, the Nordic region’s leader in agriculture, machinery, bioenergy and food products, has agreed to acquire Finnish company Vaasan Group for an undisclosed price from private equity firm Lion Capital. Vaasan is a leading bakery operator in Finland, as well as a major player in Sweden, Norway and the Baltic region with several well known brands. The company is the largest thin crisp and the second largest crisp bread producer in the world, a large player within bake-off in the Nordic countries, and also has a significant presence in the fresh bread segment. In 2013, Vaasan’s net sales amounted to approximately Eur415 million and the company employed approximately 2,745 people. Vaasan will become part of Lantmannen Unibake, an international bakery company within the Lantmannen Group and manufacturer of frozen and fresh bread products for both the food service and food retail sectors. The acquisition enhances Lantmannen Unibake’s current offering with several new products and concepts, including an established international position within crisp bread, and it will also expand and develop its presence in the Baltic Sea region.

& &

A C C Q Q U U II S S II T T II O O N N S S A

branded fat-free frozen yogurts, for an undisclosed sum. The acquisition complements Lakeland Dairies’ extensive dairy food service business where the co-operative plans to expand sales of Coolicious frozen yogurt products to international markets. Based in Surrey near London and established for over 20 years, Taste Trends is the largest maker of frozen yogurts in Europe and its Coolicious products are the leading brand of frozen yogurt in the food service sector, selling over 17 million portions each year.

Kellogg Company has acquired a majority 86% stake in Bisco

Bakkavor Group Expands US Business Bakkavor Group, the UK’s leading fresh prepared foods manufacturer, has acquired for an undisclosed sum B Robert's Foods, a private label fresh prepared foods manufacturer based in Charlotte, North Carolina. The acquisition is in line with Bakkavor's strategy for the US to build a growing presence in the fresh prepared foods sector. B Robert's, which employs approximately 240 people, has been producing convenience foods for US retailers for more than 20 years. Agust Gudmundsson, chief executive of Bakkavor Group, says: "The acquisition reinforces our commitment to seek growth opportunities within the US market and complements our existing operations in California and Pennsylvania.”

Lakeland Dairies Acquires UK Frozen Yoghurt Maker

Agust Gudmundsson, chief executive of Bakkavor Group.

ready-to-eat and natural cereals, hot wheat and oatmeal. The combined business will hold an 18% share of the US ready-toeat cereals market, behind Kellogg’s with 32% and General Mills with 31%.

Nestlé Sells Spanish Frozen Foods Business to Findus

John Bryant, chairman and chief executive of Kellogg Company.

Per Olof Nyman, president and chief executive of Lantmannen.

Irish dairy co-operative Lakeland Dairies has acquired Taste Trends, the leading UK based maker of Coolicious

Kellogg Company Completes Acquisition of Majority Stake in Egyptian Biscuits Company

Misr, the number one packaged biscuits company in Egypt, for $125 million. The transaction advances Kellogg's global snacks business in growing emerging markets. "Bisco Misr is an excellent strategic fit for Kellogg, and Egypt is a growing market with a strong economy," says John Bryant, chairman and chief executive of Kellogg Company. "A number of Kellogg's cereals and snacks are already offered in the market and the combination of the powerful Bisco Misr brands with Kellogg's iconic brands provides a tremendous opportunity for growth."

As part of its ongoing portfolio review, Nestlé Spain has agreed to sell La Cocinera, its Spanish frozen ready to eat meals business, to Findus Spain, part of the Findus Group. The divestment includes the La Cocinera brand and the Valladolid factory, where the frozen culinary products are produced. The agreement is subject to the approval of the Spanish competition authorities. One of Europe’s largest frozen food and seafood companies, Findus Group incorporates Findus in the Nordics, Young’s Seafood in the UK and Findus in Southern Europe.

Real Good Food Acquires Rainbow Dust Colours UK diversified food business Real Good Food has completed

Consolidation in US Breakfast Cereals Market Post Holdings, the third biggest breakfast cereal group in the US, is acquiring rival business MOM Brands Company in a

deal worth $1.15 billion. MOM Brands is the fourth largest cereal company in the United States. The transaction, which is subject to customary closing conditions, including regulatory approval, is expected to close by the third quarter of 2015. MOM Brands is a leader in the value segment of branded

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

the acquisition of Rainbow Dust Colours, a specialist supplier of cake decorating products to the sugarcraft industry, including coloured edible glitters, dusts, sprinkles and food paints. RGF is paying an initial £4 million, with an additional cash consideration of up to £3.5 million. There are considerable synergies between Rainbow Dust and RGF's successful baking ingredients business, Renshaw, and the acquisition is expected to bring mutual benefits to the two businesses, particularly in developing new products, driving growth in exports and opening up new sales channels. 3

COVER STORY

Europe’s Top 100 Food & Drink Manufacturers Food & Drink Business Europe in conjunction with Food for Thought, the market research provider of strategic information for the food and drinks industries around the globe, presents a ranking of the Top 100 food and drink manufacturers in Europe, which is believed to be an industry first.

he ultimate holding companies of the Top 100 food and drinks manufacturers are ranked according to market shares for end retail and food service channels by value across 22 European countries. The Top 10 players control 14% of the total market and the Top 100 companies hold about 45%. Not surprisingly, Nestle, the world’s leading food group, tops the list ahead of Mondelez International and Unilever – all with broadly based food and drinks businesses. Coca-Cola, with its European bottling partners Coca-Cola EnterprisPaul Bulcke, chief executive of Nestlé - Europe’s es and Coca-Cola top food and beverage manufacturer. HBC, is Eur-ope’s leading soft drinks producer, four places above arch rival PepsiCo (ranked 8th overall). Of course, PepsiCo also has a substantial savoury snacks business in Europe through its Frito-Lay and Walkers brands, along with being Russia’s leading branded food and beverage company. Indeed, if Russia is included, PepsiCo would be ranked 3rd overall. Heineken (L'Arche Green) in 6th position in the league table is Europe’s top brewer, ahead of Carlsberg (11th), Anheuser-Busch InBev (16th), SABMiller (23rd) and Molson Coors (50th). Pernod Ricard (12th) is the top spirits and wine group in Europe just ahead of Diageo in 14th place and Bacardi (32nd). In addition to the major global food and beverage groups the Top 100 also features strong regional players like Agrofert (ranked 24th), the largest Czech and Slovak agriculture and food group, and Fazer (ranked 91st), one of Finland’s and the Nordic region’s biggest food businesses, as well as companies dominant in single markets such as Premier Foods (ranked 46th), one of the UK’s largest convenience food groups, and Dairy Crest (ranked 71st), a leading British dairy processor. North American Presence Although the Top 10 features four US-based groups – Mondelez, Coca-Cola, Mars

(ranked 7th) and PepsiCo – only three other North Amer-ican business - Bacardi, HJ Heinz (Berkshire Hathaway – ranked 36th) and Molson Coors – are listed in the Top 50. Chiquita (53rd), Constellation Brands (66th), McCain (69th) and Kellogg’s (70th) complete the North American contingent in the Top 100. Confirming its reputation as a ‘food export island’, Ireland has five companies ranked in the Top 100 - Kerry Group (42nd), the ingredients and consumer Coca-Cola, with its European bottling partners foods producer, tropi- Coca-Cola Enterprises and Coca-Cola HBC, is cal produce group Europe’s leading soft drinks producer. Fyffes (54th), and meat processors ABP Foods (67th), Kepak (73rd) and Queallys (89th). Fyffes was due to merge with US fresh produce group Chiquita last year to create a major global fruit business and the world's biggest supplier of bananas. However, the $1 billion (Eur789 million) merger between the two companies was called off and Chiquita was subsequently acquired by Brazil’s Cutrale Group and Safra Group.

Hubert Weber, president of Mondelez Europe. Snacking giant Mondelez International is Europe’s second largest food and drink manufacturer.

Ownership Many of the Top 100 companies are still family-owned, such as French dairy group Lactalis (ranked 5th), which is the number one dairy and cheese group in Europe, and Barilla of Italy (ranked 10th), the world’s biggest pasta producer and also a leader in pasta sauces in continental Europe, bakery products in Italy, and crisp bread in Scandinavia. Other major players which are still family controlled include Germany-based Muller (ranked 40th), which apart from being one of Europe’s largest dairy processors is also one of the largest fruit processing companies in Germany; and Dr Oetker (ranked 19th), one of the leading branded food businesses in Germany with a strong European presence with leading positions in the frozen pizza, desserts and baking sectors. Another highly successful German family owned company

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

with a strong international presence is confectionery manufacturer Haribo (ranked 84th). Other top ranking family controlled enterprises are Bel Group (27th), the French branded cheeses specialist, and Boparan (28th), the holding company for 2 Sisters Food Group, the UK-based poultry, meat and convenience foods processor. Of course, the founding Heineken family still retain a 51% stake in Europe’s largest brewer through their L’Arche Green investment company. Dairy co-operatives feature strongly within Europe’s top food and Pernod Ricard is the top spirits and wine drink companies. Eur- group in Europe. ope’s two largest dairy co-operative are Arla Foods (ranked 15th), which has members in the Netherlands, the UK, Sweden, Denmark, Germany, Belgium and Luxembourg; and Friesland Campina (ranked 25th), which was formed by the merger of Dutch co-operatives Friesland Foods and Campina in 2008 and is now owned by dairy farmers in the Netherlands, Germany and Belgium. Sodiaal (ranked 21st) is France's largest and Europe's third largest dairy co-operative, while Laita (ranked 43rd) is the leading co-operative dairy company in north-west France. Private Equity Interest Private equity firms are continuing to show a keen interest in the European food and drinks industry. For instance, Permira (ranked 13th) owns iglo Group, the branded European frozen food company that produces fish, vegetables, poultry and ready meals under three brands - Birds Eye (UK and Ireland), iglo (Germany, Austria, Belgium, the Netherlands and other countries) and Findus (Italy). Permira acquired iglo Group from Unilever in 2006 and subsequently expanded the business in 2010 with the purchase of the Findus Italy business, also from Unilever. Another private equity firm, Lion Capital is ranked 18th in the Top 100. Lion Capital is also involved in frozen foods through its investment in Findus Group. Incorporating Findus, Young’s and The Seafood Company, Findus Group is a leading frozen food business in the Nordics, a leading frozen and chilled seafood company in the UK, and is a fast growing frozen food business in France. Lion Capital has also Pedro Ballve, chairman of the invested in Ad van Campofrio Food Group, the largest pan- Geloven, a leading European packaged meat products branded producer of company. frozen snacks and meal components in the Benelux, and holds a 40% stake in Weetabix, one of the biggest breakfast cereals producers in the UK which exports to more than 80 countries and has operations in North America, South Africa, Germany and Spain. Lion Capital sold 60% of Weetabix for £720 million in 2012 to Bright Food, a multinational food and beverages manufacturing

Europe’s Top 100 Food & Drink Manufacturers Rank 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. 34. 35. 36. 37. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50.

Ultimate Holding Company Nestle Mondelez Unilever Coca-Cola Lactalis L'Arche Green Mars PepsiCo Danone Barilla Carlsberg Pernod Ricard Permira Diageo Arla Anheuser-Busch InBev Shuanghui/Sigma Alimentos Lion Capital Dr.Oetker Soparind Bongrain Sodiaal Danish Crown SAB Miller Agrofert Friesland Campina Bigard Bel Boparan Veronesi Pomona Suntory Bacardi Fleury Michon DeOleo LDC Berkshire Orkla Associated British Foods Dole Muller Lindt & Sprungli Kerry Group Laita Bonduelle Limagrain Premier Foods Ferrero Coop Migros Molson Coors

Market Share 2.67% 1.71% 1.47% 1.45% 1.41% 1.12% 1.10% 0.94% 0.93% 0.91% 0.84% 0.81% 0.79% 0.75% 0.70% 0.65% 0.58% 0.54% 0.52% 0.47% 0.47% 0.46% 0.45% 0.45% 0.42% 0.42% 0.41% 0.40% 0.39% 0.35% 0.35% 0.35% 0.34% 0.33% 0.33% 0.32% 0.32% 0.31% 0.31% 0.31% 0.30% 0.29% 0.28% 0.28% 0.27% 0.26% 0.26% 0.26% 0.25% 0.25%

Compiled by FFT from 2508 country & product markets, 7214 holding companies and 28,557 company market shares quoted. Coverage: Europe (22 countries): Austria, Belgium/Luxembourg, Bulgaria, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Ireland/Eire, Italy, Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Spain, Sweden, Switzerland, and United Kingdom. Products: All 114 single product markets in the database (see www.fft.com for full list and definitions). Market shares are for end retail and foodservice markets by value, based on weighted averages of value market data and retail and foodservice buy-in prices. Source: Food for Thought, see - www.fft.com.

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

company headquartered in Shanghai, China. Lion Capital has been a highly influential player within the European food and drink industry for a number of years. In the past, it has invested in speciality bakery business Aryzta, French preserves producer Materne and soft drinks producer Orangina Schweppes. Private equity firm CVC Capital Partners (ranked 77th) owns Continental Foods, which comprises the former European consumer food activities of Campbell Soup Company and is a leading consumer food business which is primarily active in Belgium, France, Heineken (L'Arche Green) in 6th position in Germany, Sweden the league table is Europe’s top brewer. and Finland. Far Eastern Investment Shuanghui Inter-national Holdings (WH Group) is another Chinese company with a taste for European food businesses. It is the joint owner, with Mexican food processor Sigma Alimentos, of Campofrio Food Group (ranked 17th), the largest pan-European packaged meat products company and one of the five largest packaged meat companies in the world. Headquartered in Madrid, Campofrio has operations in Spain, France, the Netherlands, Germany, Belgium, Italy, Portugal and the US. Shuanghui gained a 37% stake in Campofrio when it acquired US meat group Smithfield Foods in 2013. Suntory Group (ranked 31st), Japan’s leading player in alcoholic and non-alcoholic beverages, is becoming an increasingly prominent player within the European and global drinks markets after investing $18.2 billion on two major acquisitions last year. Already a key producer within the European soft drinks market following its $3.86 billion acquisition of French beverage company Orangina Schweppes in 2009, Suntory further strengthened its presence with the purchase of the Ribena and Lucozade nutritional drinks brands along with the production site at Coleford in England from healthcare group GlaxoSmithKline for £1.35 billion ($2.24 billion). The second acquisition saw Suntory pay $16 billion (£9.8 billion) for Beam, the US-based global spirits group. The deal made Suntory the world’s third largest spirits group behind Diageo and Pernod Ricard but ahead of BrownForman. The acquisition of Beam has also significantly strengthened Suntory’s presence in Scotch whisky by adding the Teacher's, Laphroaig and Nobutada Saji, president and chairman Ardmore brands to of Suntory (ranked 31st). Suntory’s existing portfolio, which had been centred on the Morrison Bowmore distillery business. Mitsubishi Corpor-ation of Japan (ranked 98th) also makes the Top 100 through its ownership of Princes, the 8

Europe’s Top 100 Food & Drink Manufacturers Rank 51. 52. 53. 54. 55. 56. 57. 58. 59. 60. 61. 62. 63. 64. 65. 66. 67. 68. 69. 70. 71. 72. 73. 74. 75. 76. 77. 78. 79. 80. 81. 82. 83. 84. 85. 86. 87. 88. 89. 90. 91. 92. 93. 94. 95. 96. 97. 98. 99. 100.

Ultimate Holding Company General Mills Intersnack Chiquita Fyffes Lantmännen Saturn Nordic Ebro Foods Yildiz Holding Grandi Salumifici Italiani Vion Bernard Matthews Shuanghui Bahlsen Campari Oak Leaf Constellation Brands ABP Food Andros McCain Kellogg's Dairy Crest CFP Brands Kepak Fresca Consorzio Granlatte Lavazza CVC Capital Partners Grupo Fuertes Green Factory Holding Bimbo Martinez Unichips International Bakkavor Greencell Haribo Pescanova Norac Frosta HKScan Queallys Eckes-Granini Fazer Britvic Groupe Castel Icelandic Group Marfrig Conserve Italia Heristo Mitsubishi Marine Harvest LVMH

Market Share 0.24% 0.24% 0.23% 0.23% 0.23% 0.22% 0.22% 0.22% 0.21% 0.21% 0.21% 0.21% 0.21% 0.20% 0.20% 0.20% 0.20% 0.19% 0.19% 0.19% 0.19% 0.18% 0.18% 0.17% 0.17% 0.17% 0.17% 0.17% 0.17% 0.17% 0.17% 0.16% 0.16% 0.16% 0.16% 0.15% 0.15% 0.15% 0.15% 0.14% 0.14% 0.14% 0.14% 0.14% 0.13% 0.13% 0.13% 0.13% 0.13% 0.13%

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

UK-based food and drink group. Increasing Consolidation Consolidation within the European food and drink industry is continuing. The latest deal of this nature was the acquisition of United Biscuits by Barilla (ranked 10th) is the world’s biggest pasta Yildiz Holding (ranproducer and also a leader in pasta sauces in ked 58th), Turkey’s continental Europe, bakery products in Italy, and largest food and bevcrisp bread in Scandinavia. erages group, for £2 billion (Eur 2.6 billion) from private equity firms Blackstone Group and PAI Partners. United Biscuits is the leading manufacturer and marketer of biscuits in the UK and second largest in the Netherlands, France, Belgium and Ireland. The acquisition of United Biscuits is in line with Yildiz Hold-ing’s strategy to further diversify its business internationally, and has allowed the Turkish group to become the world’s third largest biscuit maker. Another recently announced deal is the agreed acquisition of Finnish company Vaasen Group, a bakery operator in Northern Europe and currently owned by private equity firm Lion Capital, by Lantmannen Group (ranked 55th). Owned by Swedish farmers, Lantmannen Group is the Nordic region´s leader in agriculture, machinery, bioenergy and food products. Vaasan will become part of Lantmannen Unibake, an international bakery company within the Lantmannen Group and manufacturer of frozen and fresh bread products for both the food service and food retail sectors. Future Deals A major pending deal is Mondelez’s proposal to spin off its coffee business and combine it with DE Master Blenders 1753 to create the world’s leading pure-play coffee company with revenues of $7 billion. DE Master Blenders 1753 is currently owned by Oak Leaf (ranked 65th), which is wholly owned by a Joh A Benckiser led investor group. Murat Ulker, chairman of the Yildiz Holding, The new joint venture, which ranks 58th following its acquisition of Jacobs Douwe Egberts, United Biscuits. will be armed with some of the world’s top coffee brands, such as Jacobs, Carte Noire, Gevalia, Kenco, Tassimo and Millicano from Mondelez, and Douwe Egberts, L'OR, Pilao and Senseo from DE Master Blenders 1753. However, the planned merger is now the subject of an in-depth investigation by the European Union antitrust regulators over concerns that it may reduce competition. A decision on the deal is due by May 6 2015. Northern Ireland-based poultry and food group Moy Park and its sister company Keystone Foods may also change as current owner Brazilian meat processor Marfrig Group (ranked 95th) is considering selling stakes in both businesses in order to reduce debt. If Marfrig decides to proceed with an initial public offering, it is likely to maintain a comfortable majority control, using the proceeds of the sale to fund more rapid organic growth in Europe and Asia. J FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

I EUROPEAN TRADE

US Market Re-opens For EU Beef Imports he United States Department of T Agriculture's (USDA) has announced that the US will progressively re-open its

according to which, for example, deboned skeletal muscle beef is safe and can be freely traded from all countries, regardless of their BSE status. In addition, the OIE has evaluated the BSE risk status of EU Member States. In recognition of the EU's enormous efforts and investment to control and eradicate BSE, almost all EU Member States have the same or a better risk status than most countries in the world. EU beef is safe. These standards were established in 2005. Ireland has become the first EU member state to achieve access to the valuable US beef market. This follows a successful inspection by the US authorities of Ireland’s beef production systems in July of last year. Simon Coveney TD, Irish Minister for Agriculture, Food and the Marine, comments: “This US market is a huge prize given the size of the market and the demand we know

market to exports of beef from the European Union, starting with the Republic of Ireland. This re-opening of the market is welcomed as a first step to abolish the US ban that followed the BSE crisis of the 1990's, and to re-establish normal trading conditions. The US market has been closed to any EU beef, including deboned beef, since January 1998, when the US introduced import restrictions on beef, sheep and goats (ruminant animals) and their products on the basis of BSE concerns. These measures went beyond the standards of the World Organisation for Animal Health (OIE)

exists there for premium grass-fed beef. We now have first-mover advantage as a result of being the first EU member state to gain entry.” The EU expects that restrictions remaining in force on other EU Member States will soon be lifted. Also in line with international standards, the EU expects that remaining import restrictions on EU sheep and goat meat will be lifted soon as well and the US import conditions will soon be fully aligned with international standards. J

I NUTRITION

New Nutrition Data Shows Global Calorie Consumption arket research company Euromonitor M International has released new research examining the total amount of nutrients purchased per person per day through packaged food and soft drinks products. The data, available in Euromonitor’s Passport: Nutrition database, tracks energy, fat, saturated fat, carbohydrates, sugar, salt, protein and fibre in 54 countries globally. According to the research, the world buys 1.5 trillion calories a day, with the average global consumer purchasing 765 calories each day through packaged food and soft drinks. While this seems low, given the recommended intake is around 2,000 for an adult, it is a global average. Countries in North America and Western Europe purchase over 1,500 calories, with India at 150 calories per day and China at 510, respectively. “Despite over 40% of

the global population being overweight and obese, our nutrition data shows that by 2019 the world will purchase 90 calories more a day,” says Lauren Bandy, nutrition analyst at Euromonitor International. “This analysis helps address rising concerns surrounding nutritional value in food while building a picture of what people eat in different countries.” Mexico buys the most calories a day with 1928 calories per person, which is 380 calories more than the US. The additional 380 calories is the equivalent of an extra slice of pizza per person every day in Mexico.

Germany buys nearly twice as much fat per capita per day than Japan, and France purchases more calories from bread each day than India does from packaged food and soft drinks combined. “Understanding how packaged food and soft drink brands contribute to the total purchase of nutrients by category and country helps address the rising concern of nutritional value in food,” concludes Lauren Bandy. The Passport: Nutrition database depicts a brand’s contribution to the purchase of nutritional content around the world, identifying the contents of the world’s diet and the impact each nutrient, such as salt, has on our diets. The data allows companies and governments to understand consumers taste and food preferences around the world. J

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

I ROBOTICS

Anuga FoodTec 2015: Robots Have Become Indispensable in Food and Beverage Production he world of robotics is currently facing another breakthrough: small, lightweight, T comfortable and above all, flexible - that's how engineers envisage the industrial lightweight robots of the future. The greatest revolution, however, will be the direct co-operation between man and machine - without a separating safety fence. The advances in automation will be highlighted at the Anuga FoodTec show being held 24-27 March 2015 in Cologne, Germany. In the future, these ‘steel colleagues’ of the food industry will be able to do more complex tasks than is the case today. The ‘Third Hand’ in Production Human-robot collaboration is currently the trend par excellence. It stands for the smooth transition from industrial robotics towards service robotics. Thanks to their torque sensors in all axes, the robots have the necessary flexibility not to hurt people. These should now allow processes to be automated that have not been automatable at all so far. One example is the TX2 series six-axis robots from Stäubli Robotics. They have managed to "integrate safety features that let us realize new possibilities in man-machine collaboration," emphasizes Stäubli's Chief Financial Officer Manfred Hübschmann. The closed structure of the robot series and its design with IP65 protection - the wrist is held in IP67 and thus waterproof - predestine the TX2 series for use designed to meet cleanroom and hygiene requirements. By expanding their small robotics series, the key players of the industry underline their ambition to grow in markets beyond the automotive industry. 179,000 robots were sold worldwide in 2013. "A new record," as Arturo Baronecelli, President of the International Federation of Robotics, points out. After South Korea and Japan, Germany has the highest robot density: with an average of 261 robots for every 10,000 workers. At present, the global market for robotics is

Eur22 billion. By 2020 this could grow to more than Eur60 billion. Experts like Henrik Ryegard, who heads the Robotics Division at ABB, regard the food industry as one of the largest markets - robot density here is still well below the average. Hurdles in Food Production The main driving force behind the use of robots is economical: the machines replace expensive human labour. This is not without problems per se because the food industry is a challenging environment. So far robots have particularly dominated in non-critical areas, such as palletising and packing stations. Five or six-axis industrial robots are ideal tools to do these kinds of monotonous and often demanding tasks in a reliable manner. Special protective covers provide protection under arctic conditions which prevail in warehouses for frozen foods. Other requirements apply for any contact with open foodstuffs. In this case, not only must hygienic safety satisfy higher expectations but the mechatronic equipment of the robots as well. "Pastries, meats, vegetables and sweets vary in quality and size," is how Dr Knut Franke from the German Institute of Food Technologies in Quakenbrück describes the problem in a nutshell. He cites an example: "Automatic fine-cutting of pork requires very sophisticated sensor technology." The algorithms that Franke and his team are currently developing for the robot movements should enable automatic cutting of pieces of meat and contribute to a more efficient production of safer meat products in the future. Through the interaction of software, controller and

mechanical systems, robots can pack almost any food today. Unilever, for example, uses the FlexPicker to package its popular Bifi snack. The system inserts up to 600 mini sausages per minute into the film of the thermoforming machine. In cases such as these, more than just ‘tactile dexterity’ is required from the robots when gripping: hygiene aspects are high on the agenda. The robots and their tools may not provide entry points for dirt and bacteria. They also need to be washable and resistant to disinfectants. This explains the popularity of robots made of stainless steel in protection class IP67 or higher. New Opportunities In the near future, robots will be performing increasingly complex mechanised tasks. This will create new opportunities for the food industry, especially for small and mediumsized enterprises. This is not always a matter of automating the entire production - semiautonomous systems, as can be seen at the Anuga FoodTec show, often provide the greater benefit. Future-oriented topics are also addressed in Anuga FoodTec's professional program. The DLG will address topical issues in 27 short specialist forums. Among other things, technical topics will be the focus of attention like hygienic design, freezing technology, the use of robots in the food industry or the detection of foreign material in foodstuffs. Event information: 25 March 2015, 10:00 a.m. to 12:00 p.m., Forum 8 - Robots in food production (Congress Centre North). Anuga FoodTec is jointly organised by Koelnmesse GmbH and the German Agricultural Society (DLG). J

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

I ANUGA FOODTEC 2015 PREVIEW

Compact Line at Ferrarelle Group, Italy CMI installed an innovative bottling A line at Ferrarelle Group, one of the most important Italian brands of mineral water. The line is capable of handling both round and square PET bottles and has a nominal filling speed of 40.000 bottles per hour. When referring to “ACMI Complete Line” ACMI means a project that starts from studying the best lay-out and goes onto the final commissioning of the installation passing the various phases of customer interface, coordination, construction of machines, installation and acceptance test. This is what is commonly identified as “turnkey project” and this is exactly what ACMI carried out at the Ferrarelle installation.

Fenix shrinkwrapper.

The “Compact Line” Concept An important aspect which characterises the Ferrarelle line is the “compact line” concept. It is a philosophy which regards the projection of the line completely eliminating accumulation tables apart from the one at the out feed of the blowing-filling block. The “compact line” is a new way of perceiving the bottling line which is considered as being one single system that runs in a synchronous manner adjusting instant by instant the production speed of the single elements in order to generate a continuous and homogeneous flow from the filler to the stretch wrapper. This is only possible if you have machines which are highly efficient and reliable: the machines of the ACMI product range are exactly so! Automatic Change Over An indispensable characteristic for the successful outcome of a “compact line” project is the automatic feeding of the con-

sumable materials. The machines must be capable of autonomously providing the provisions of the materials necessary for the packaging of the product: film, handles, pallets, interlayers and stretch film. Fenix Shrinkwrapper The first important machine after the filling block is the Fenix shrink wrapper. This machine is equipped with an automatic film change over Overview of the installation. device which does not require any operator intervention apart from substituting the terminated spool reel Rocket Rotating Table Pallet once the machine has carried Stretch Wrapper out the film change over. The Another interesting machine is the Rocket intervention does not interfere stretch wrapper with rotating table and with the functioning of the spool height of 1000 mm. The structure of machine as it is already work- the stretch wrapper is constructed with a ing with the new spool reel. vertical column that occupies a very contained amount of space. Apart from the The Viper Handle anti-dust system, the so called “top cover”, Applicator the machine may also be equipped with a On the Ferrarelle line a new waterproof wrapping system. The most innovative mechanic handle important aspect of this stretch wrapper is, applicator was supplied which without doubt, the electronic pre-stretchdoes not require any spacing ing group: thanks to this element, the screws. The heart of the system stretch wrapper can pre-stretch the film up is entirely electronic, in fact it to a value of 400% (or more if the film is the software that regulates allows it). Furthermore, the electronic the speed on the infeed belt creating the command of all the parameters allows the correct distance between the packs. The realisation of personalised wrapping promodel installed is a double infeed machine grams. This means that there is the possithat can handle packs with either round or bility of establishing the pre-stretching square bottles and can reach a maximum value of the film during each working speed of 100 packs per minute for each phase, optimising both the consumption lane. of the film, pressure on the product and quality of the wrapping. J Palletiser Faster and Twisterbox® represent the best combination of obtaining a palletising system with high outputs. When the Twisterbox layer formation system is associated with the Faster, this becomes a system capable of catering for any type of container or high level of production. The precision of movements, the ease of change over format and reduced maintenance required make the Twisterbox a unique machine in Twisterbox® system. the field of palletising. FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

I ANUGA FOODTEC 2015 PREVIEW

New SPX Technology For Yoghurt Category Processing Bent Oestergaard, Director Global Marketing Food and Beverage at SPX Flow Technology reports how the latest hydrodynamic cavitation technology enables efficient processing of yoghurt category foods. SPX has particular expertise in fresh fermented dairy products (FDP) processing and this latest technology ensures high quality smoothening, highly efficient hydration and functionalization, controllable scale-free heating, and effective aeration of products. ith the rising global demand for high W protein, low fat Greek style and drinkable yoghurts, the yoghurt category is a quickly growing segment in FDP processing. Market trends are being driven by many factors including a growing youth population and increased spending power in emerging markets. The product categories that incorporate yoghurt within them are also expanding as goods such as condiments, bakery items, confectionary and health care utilise yoghurt based ingredients. The dairy nutrition cross over into the high-growth nutritional beverage market is a further trend that promotes yoghurt products. The evolution of the yoghurt market is further driven by consumer demand for wider diversity and nutritional products that are natural, functional, healthy, tasty and convenient is also leading to expanding application requirements. Combined with highly competitive market places and environmental pressures, new and innovative processing technologies are needed. SPX Technology For Yoghurt Processing

As a leading provider of innovative process equipment for the production of yoghurt and FDP, SPX’s food technologists are constantly focussing on new ways to support customers with the modern challenges they are facing. SPX’s solution portfolio includes all process line equipment from milk intake to filling machines and even partnerships with filling line providers. Supported by leading Innovation Centres, SPX has proven ability in helping customers to develop and produce

Figure 1: APV Cavitator.

Figure 2: High protein yoghurt sports drinks.

any type of yoghurt from spoonable or set types to high protein variants, desserts, ingredients yoghurt categories, yoghurt based beverages and ESL/long life products.

LeanCreme with a protein content of 8.9 percent. The multi-purpose CaviMaster™ technology combines the benefits of the Cavitator and LeanCreme systems. The cavitation technology can improve existing processes and end products as well as facilitate production of new added-value yoghurt product innovations with low fat and high nutritional whey proteins. Sweet whey and lactic acid whey acidified with yoghurt cultures or ideal whey from milk fractionation can be used as the whey source and products can be based on liquid or recombined powder WPC of various grades. Summary

Hydrodynamic Cavitation Technology

Hydrodynamic cavitation technology uses a rotor with precisely machined cavities spinning in a liquid chamber that generates controlled cavitation. The process generates and collapses bubbles due to the decrease and then increase in pressure produced. As the bubbles collapse, a very powerful energy wave (shockwave) is released into the surrounding liquid. This cavitation shockwave creates a very efficient, microscopic mixing effect along with friction that generates controllable, scale-free heating. The APV Cavitator™, shown in Figure1, has multiple applications in smoothening, ingredients hydration and functionalization, heating and aeration. The microstructural conditioning and functionalization it performs can unlock the best natural functional properties from whey proteins that can improve yoghurt viscosity, stability and taste in low or non-fat nutritional products The well-known APV LeanCreme™ technology for microparticulation of whey protein concentrate (WPC) provides functional ingredients for low fat cheese, yoghurt and nutritional dairy beverage (yoghurt drinks) and others. An example of its application is in the production of a Skyr Yoghurt drink made by MS Iceland Dairies in AkureyriIt replaces the use of 30 percent skim milk with microparticulated WPC producing a sports protein drink based on 100 percent FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

SPX continues to research and develop solutions that deliver clear customer benefits – enhancing productivity, production flexibility, efficiency and sustainability. It has a detailed understanding of FDP applications, food safety and hygiene requirements. The CaviMaster is one of its latest innovations, combining the proven benefits of the APV LeanCreme and Cavitator systems.

Figure 3: Microparticulation based on CaviMaster technology.

Controlled hydrodynamic cavitation offers many benefits and versatility in the growing yoghurt market space. The scale free heating it provides is ideal for use with high fouling products and can increase running time and reduce required CIP cycles. It provides excellent microscopic mixing and dispersion with efficient hydration and emulsification. Overall this reliable, low maintenance technology offers the real potential to reduce operational costs and provides higher end product quality. For more information, please visit www.spx.com. J 17

I ANUGA FOODTEC 2015 PREVIEWS

Four JBT Businesses Showcase Technology and Integration at Anuga FoodTec lobal technology equipment G supplier, JBT will be showcasing four of its food and technology businesses on Stand A20/B29 in Hall 10.1 at this year’s Anuga FoodTec, representing everything from freezing and cooking, to filling, sterilising, juice processing and automatic guided vehicle systems. As pioneers in freezing technology, the range of Frigoscandia Spiral Freezers will be a key highlight, including its leading product, the Frigoscandia GYRoCOMPACT® Spiral

Stein M-fryer from JBT.

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

Freezer. The latest addition to this range is the GYRoCOMPACT® 60 Spiral Freezer, a more compact, low energy consumption version, boasting a reduction of 65% in drive power, an updated design and more user-friendly controls. Another recent addition to the JBT freezing and cooking portfolio is the Double D Revodrum® 600 Twin Drum Oven, a compact and cost-efficient two-zone cooking system for a wide range of cooking applications, including all forms of breaded products. The company’s new generation

Frigoscandia GYRoCOMPACT Spiral Freezer from JBT.

of immersion fryers, the Stein M-fryer will also be on the stand, showcasing its unique sediment removal system, which provides improved oil quality and management, and lower oil usage costs for larger processors. “Anuga FoodTec is the perfect opportunity to demonstrate that JBT produces a full range of multi-phase food processing solutions where equipment can be integrated to suit any application,” says Bob Petrie, JBT’s European sales director. “We’re also delighted to be sharing the stand with our colleagues from other JBT businesses – Juice Processing; Canning, Filling and Sterilisation; and Automatic Guided Vehicle Systems.” Other JBT food processing lines include DSI slicing and portioning systems, the Double D range of high impingement continuous protein ovens and searer/grillmarkers, and Formcook non-stick contact and combi cookers, the brand that JBT

acquired last year. JBT has fully-equipped Food Technology Centres in Helsingborg in Sweden and near Edinburgh in the UK, where customers come to trial their own products and recipes under the supervision of a trained technical team. For further information visit www.jbtfoodtech.com. J

Packo Pumps Launches New Energy Saving Stainless Steel Centrifugal Pump at CFIA Rennes and Anuga Foodtec Exhibition Cologne acko Pumps is proud to present its new baby on the coming P Anuga Foodtec exhibition - pump type MCP3/250-315. This new pump is an extension to the existing scale of MCP3 pumps which are extremely efficient (complies with MEI guideline EU No. 547/2012), leading to lower energy bills. Other typical features are extremely low noise levels, minimized built-in dimensions and easy maintenance. The new pump type MCP3/250-315 is a robust design in cast stainless steel and delivers a flow up to 1250 cu m/h at a head of approximately 18 m. The pump is used in the beverage industry for wine and fruit juice filtration. In breweries the pump is ideal for mash and wort transfer, but also for beer filtration. Other applications where the MCP3/250-315 scores points are the water industry and dairy world, where the pump is put into service for the filtration of process water, whey, etc. At this stage the pump can be supplied up to 90 kW with 6 and 8 pole motors. Shortly the pump will be launched with a motor power up to 250 kW. The pump design is in line with the Packo pumps vision focusing on energy saving, easy maintenance and a robust close-coupled execution. For more information visit Packo Pumps on Stand nr.C32/D29 in Hall 8 at CFIA Rennes (FR) from 10-12/3/2015 and in Hall 9.1 at Anuga Foodtec from 24 to 27 March 2015 in Cologne, or visit www.packopumps.com. J FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

I ANUGA FOODTEC 2015 PREVIEWS

Visit us in Hall 9.1, Aisle D, No.

Agile Dairy Plants Powered by Customer Owned Automation Framework, OEE Implementation and Continuous Learning! he intensified T global competition means increase

By Klaus Dam, Managing Director of Au2mate A/S

in the demands for development and fast transition to new products, with minimized resource use and request for highly skilled employees, quality, traceability and measurement. This article deals with 3 prevailing factors for agile and effective dairy automation: The Au2mate customer owned dairy library and its application in green field projects as well as in upgrade projects, OEE MES application techniques and introduction to Au2mate Academy; a knowledge centre for Dairy Automation, supporting continuous learning of dairy staff. Figure 2: OEE – Overall Equipment Effectiveness

The Au2mate Customer Owned Framework and the Dairy Software Library

The customer owned framework and the dairy software library are designed as a plant wide automation solution based upon open systems, a future-proof investment and encapsulating the knowledge and best practise applied in the dairy industry. Furthermore, it is designed in accordance with Standards ISA S88 / ISA S95, and built for data collection, traceability and OEE through integration to the IT reporting system & ERP. Please refer to Figure 1. The Au2mate customer owned framework and dairy software library includes all major dairy proc-esses; e.g. CIP, pasteurization, mixing, tank control, transfer lines as well as associated traceability, operator dialogue and reporting. The customer owned framework and the dairy software library are suitable for green field plants as well as for project upgrades featuring: • A significant reduction of control software cost and delivery time in connection with software development. • A significant reduction of time and cost spent in connection with software commissioning. • A significant increase of plant functionality and performance.

• No monopoly - independent choice of vendors MES OEE – Overall Equipment Effectiveness

If you cannot measure it you cannot control it - Au2mate supply complete OEE solutions for discrete manufacturing & unit processes. The solutions are based on proven standardized software and open platforms that are easy to service and develop. Please refer to Figure 2. OEE is a recognised tool for monitoring and improving the effectiveness of production plants. OEE is traditionally used widely in the industry. The first version of OEE Industry Standard was introduced in 2001 and in 2010 OEE Foundation was established with the purpose to maintain and further develop the standard. In recent years, OEE has increasingly gained acceptance in the dairy industry. This trend is expected to continue. OEE solutions provided by Au2mate are standardised and flexible. The OEE solutions are scalable and can be used both in connection with existing plants as well as with new installations. Visualisation and reporting are integrated into the infrastructure of existing production IT systems. Au2mate Academy – A Knowledge Centre For Dairy Automation!

Figure 1: Au2mate Customer Owned Framework and Dairy Software Library

To support the increased demand for development of highly automation skilled employees in the dairy industry Au2mate is introducing ”Au2mate Academy”, a knowledge centre for dairy automation. Au2mate Academy offer dairy specific automation courses. The training is intended for management, plant operators as well as technical staff and includes: automation concepts, instrumentation, PLC, SCADA and MES, structured according to prevailing industrial standards and best practices, i.e. S88 & S95. Disciplines, where training can be offered are among

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

Au2mate Academy live CIP plant.

other: Operation, hardware, software, instrumentation, OEE, traceability, reporting and documentation. Additionally, Au2mate Academy can tailor customized education and training by agreement! Please refer to the picture of the live plant. The Au2mate Academy is featuring new modern training facilities at our headquarters in Silkeborg DK. The facilities include a class room and a live process plant with line control, consisting of: reception, raw material storage, pasteurization, buffer tanks, dispensing/filling as well as CIP plant. The plant is built in mini-scale to run on water. The plant is built according to industrial standard with regard to instrumentation, PLC, SCADA & MES in order that theory and practice may be trained in correlation! J

4 Quick Facts About Au2mate A/S • Founded in 2001 by Carsten G. Jensen and Klaus Dam. • Have 71 employees at offices in Silkeborg, Dubai and in the UK, holding more than 550 man years of experience in dairy automation. • Project-oriented, has delivered more than 1600 projects; PLC, SCADA, MIS/MES and ERP integration to dairies throughout the world. • Supply solutions based on open standard platforms and internationally recognised methods for software development and project management. Please look at our web page for further information. www.au2mate.com

25 Years of Innovation at Anuga ood businesses looking for innovative temperature monitoring F solutions welcome TME to this year’s Anuga Foodtec exhibition. To celebrate 25 years at the cutting edge of digital thermometer design and manufacture, this family-run, British business is heading to Germany to showcase its successful and expanding food temperature range. TME is no stranger to the international stage, explains MD, Tom Sensier: “For 25 years our formula has remained the same: high-accuracy, UKbuilt thermometers and probes, cost effective but with a bespoke edge - helping business to improve safety and quality in processing, packaging and logistics. We aim to make the next 25 years even more successful as we prepare for the international launch of TME’s best and most innovative solutions to date.” Taking centre stage on the TME Stand will be the MM7100 ThermoBar Scan Thermometer.

• On-screen remedial action recommendations. For further information contact TME on Tel +44 (0) 1903 700651, E-mail sales@tmelectronics.co.uk or visit www.tmelectronics.co.uk. J

Unique Capabilities

With high accuracy temperature measurement and an integral Barcode reader, this innovative thermometer records not only the temperature, time and date of each measurement but also scans user-set barcodes to identify every product or test point. Up to 1000 separate measurements can be stored on the instrument before downloading to PC using free open-source software. Versatility

The MM7100 is compatible with all standard thermocouple temperature sensors and probes, and customers can choose from Bluetooth or USB interface. High Level Information • Large screen displaying instant feedback on each temperature measurement; • On-screen information about the product or test point location; • User-set alarm capability for setting critical temperature alerts; 22

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

I LEAN MANUFACTURING

“Probably” The Best Maintenance Planner Development Workshop he Maintenance Planner role is one of T those functions which nobody notices if it works well but if it doesn’t everyone feels the pain. So how do you develop the capability to bring together relevant information, prioritise workloads and create a realistic and achievable maintenance plan? Realistic in terms of keeping the customer satisfied and achievable in terms of the resources and time available. How can you get reliable feedback from busy maintenance and production personnel to learn

from experience to improve the planning process and eliminate the maintenance backlog? An experienced maintenance manager who attended the last DAK academy Maintenance Planning course commented that it was the best training course he had ever attended. In addition to the above, he learned how to minimise the time it takes to develop and update plans, how to understand what is needed to prevent failure and how to get “buy in” to adopt practices that prevent failure. He learned how to use the functions that constitute a CMMS to select the best approach to developing practical schedules and practicable planned maintenance routines. He learned how to develop plans that reduce maintenance costs and demonstrate the value of planned maintenance. In short, how to bring together all the elements needed for planning so that it “does what it says on the tin” – planned preventative maintenance. DAK’s next Maintenance Planning,

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

Scheduling & Work Control 3 day workshop is being held 17th–19th March, 2015 in Newcastle Upon Tyne. Please contact Sue Catt on +44 1491 845504 or sue.catt@dakconsulting.co.uk for further details. Please quote FDMP for booking offer. To use another advertisement strap line just do it. DAK Academy - Developing Improvement Leaders – www.dakacademy.com. J

I DEVELOPMENT STRATEGY

Danone Moves to Regain Competitive Edge Danone is changing its senior management structure as it seeks to continue its global growth while restoring the competitiveness of its European business. perating more than 190 production plants and employing about 104,000 people globally, Danone is one of the largest and fastest growing food companies in the world. With its products now sold on five continents, Danone has developed into a truly global food business.

Gobal Leader Danone generated sales of over Eur21 billion in 2013 across its four business lines Fresh Dairy Products, Early Life Nutrition, Waters and Medical Nutrition. With sales of Eur11.88 billion, Danone’s fresh dairy products business is the world leader and the largest element of the French food and beverages group. Ranked number two

Emmanuel Faber, chief executive of Danone.

worldwide, Danone’s Early Life Nutrition business achieved sales of Eur4.3 billion in 2013. The Waters division is second in the world by volume and generated sales of Eur3.9 billion in 2013. Danone’s Medical Nutrition business is the European leader in this field with annual sales of Eur1.3 billion. Danone has evolved from generating 60% of its sales almost exclusively in four markets in Western Europe to a position where over 60% of its current sales emanate from outside of Europe and more than 50% from emerging markets.

Russia overtook France to become Danone’s biggest market in 2012, following the Danone-Unimilk merger, and accounts for 11% of group sales. France is the second largest market with 10% of sales ahead of the US (8%), Indonesia (6%), Spain (5%), Mexico (5%), Argentina (5%), the UK (5%) and Brazil (4%). Danone has chosen to focus its business development on six priority countries Mexico, Indonesia, China, Russia, the United States, Brazil. Problems However, Danone’s sales and profit margins have been in long term decline in Europe (excluding CIS), in stark contrast to rapid growth elsewhere in the world. Indeed, Danone has been grappling for the past two years with problems at its fresh dairy business in Western Europe while also having to manage a recall at its baby food business in Asia, exerting pressure on sales and profitability.

erate savings of around Eur200 million in Europe. Combined with ongoing productivity programmes, the plan is freeing up resources to make Danone’s products and brands more competitive. For example, Danone is closing three plants in Italy, Germany and Hungary with the loss of 325 jobs due to falling fresh dairy sales in Europe. The closures combined with a gradual shift in production volumes to Belgium, France, Germany and Poland should allow the Fresh Dairy Products division to improve its production capacity and competitive edge in Europe. However, elsewhere in Europe, Danone has been expanding its operations. In Ireland, the group recently opened at new state-of-the-art production line at its Wexford facility, involving investment of Eur26 million and the creation of 50 new jobs. The expansion is the final phase of a Eur180 million investment programme that has taken place at Danone’s Early Life Nutrition business in Ireland at its operations in Macroom and Wexford over the past four years, resulting in employment being increased from 180 to over 400 people (see Panel). Leadership Changes In preparation for the next phase of its

Regaining Competitiveness in Europe Danone is now nearing the completion of a two-year rehabilitation plan for its business in Europe designed to reduce general and administrative costs and improve efficiency. In the 26 European countries where Danone is present, the French food and beverage giant has been simplifying operations, generating synergies and creating shared resources to avoid duplicating structures. The restructuring is expected to genFOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

Visit us at Stand #E029, Hall 10.1 at Anuga FoodTec in Cologne, Germany

€180 Million Expansion Programme in Ireland Danone Nutricia Early Life Nutrition’s recently opened new Eur26 million state-of-the-art packaging line at its Wexford facility marks the final phase of a Eur180 million investment programme by the company in Ireland over the past four years. This has resulted in major expansion of Danone’s Irish production sites at Wexford and Macroom. The investment programme at Macroom has entailed the building of a separate production plant, which is fully integrated into the existing facilities. At the centre of the new fully automated manufacturing plant is a 14 tonnes/hour spay dryer, supported by new wetbased facilities and packing plant. The new facility has increased the site’s annual capacity from 35,000 tonnes to 120,000 tonnes. The trebling of capacity at Macroom has made the site the largest and most technologically advanced manufacturing centre within Danone Early Life Nutrition’s global network. In addition to the increase in much needed production capacity, the investment programme at Macroom has enhanced quality, hygiene and safety levels and significantly reduced costs. The Macroom manufacturing facility produces infant milk base powder for other sites within Danone Early Life Nutrition. The base powder is shipped to

global development, late last year Danone split the roles of chairman and chief executive – positions held by Franck Riboud for more than 18 years. Emmanuel Faber, who has been with Danone since 1997, is the new chief executive, with Franck Riboud remaining as chairman. The move reflects Franck Riboud’s desire to concentrate on the key strategic issues facing Danone in the medium and long term and to lay the groundwork for a smooth succession. Franck Riboud comments: “I joined Danone 33 years ago and have managed our day-to-day operations for over 18 years. During that time, our company has undergone incredible change and we have achieved the goals we set back in 1996. Today Danone is a truly global company, oriented toward emerging markets,

packing plants around Europe, including to the Wexford packing plant in Ireland. The newly expanded Wexford manufacturing facility produces consumer packs of infant milk such as Aptamil, Cow & Gate, Nutrilon and Bebilon for the Irish, UK, Dutch, Belgian, Spanish, Portuguese and Polish markets. The site also produces infant milk base powder for sister Early Life Nutrition sites within the group. Donal Courtney, managing director of Danone Nutricia Early Life Nutrition Ireland, says: “We have a significant track record of growth and investment in Ireland over the past four years. This reflects both a growing demand for our products in the European and Asian markets as well as the high regard in which the Irish operations are held amongst the Danone Groupe. Locating our state-of-theart new generation packaging line in Wexford reinforces the strategic nature of the Irish based operations.” The expansion of the operations in Ireland has coincided with the 125th anniversary of the start of manufacturing of Cow & Gate infant and toddler milks in Ireland.

realigned around a select number of promising businesses in which we are market leaders, and focused on pursuing growth. We have achieved spectacular growth while remaining true to our dual commitment to business success and social progress, and we are still a pace-setter for social innovation. I want to ensure that Danone has everything it needs to lay the

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

groundwork for its future. Which is why I recommended separating the functions of chairman and chief executive officer and paving the way for the arrival of a new generation to guide Danone.” Following Emmanuel Faber’s promotion to chief executive, Danone has now reshuffled its senior management team as it pursues its mission of ‘bringing health through food to as many people as possible’. “Each of our core businesses - Fresh Dairy Products, Waters, Early Life Nutrition and Medical Nutrition - has a role to play in living up to our mission and achieving the profitable, sustainable growth that is an integral part of our strategy,” says Emmanuel Faber. Danone will continue to expand capacity rapidly and build development platforms in fast-growing regions, particularly Asia and

Africa. Investments made for this purpose over the past two years have resulted in a higher use of debt than in the past, at a level that could imply a credit rating one notch lower, and that is appropriate for this current period of development given the company’s sound cash-flow outlook and debt structure, according to Emmanuel Faber. Strengthened Management Team The strengthened management team has been operational since January 1st 2015. Gustavo Valle has become executive vice president Fresh Dairy Products. He is tasked with consolidating the division’s return to growth initiated by Thomas Kunz. After successfully leading the development of Danone’s Dairy business in Brazil and in the United States, Gustavo Valle was serving as executive vice president Europe.

Pierre-André Térisse has been appointed executive vice president of the newly created Africa division. Over the past two years, Danone has consolidated existing positions and entered new markets on this continent, generating revenues of Eur1.2 billion. The company has set up this new multibusiness structure to accelerate expansion in this strategic region. Since 2008, Pierre-André Térisse served as the company’s chief finance officer. Cécile Cabanis is replacing Pierre-André Térisse as chief finance officer from February 20, 2015. She joined Danone in 2004, and has served in a range of key positions in finance, including corporate finance director, then head of business development. Since 2010, she has been vice president finance for the Fresh Dairy Products division. Emmanuel Faber remarks: “The team we have appointed will focus on our short-term priorities and will take Danone to a new stage in its growth. This new development reflects the medium-term goals set under our Danone 2020 roadmap.”

January 7, 2015. An integral part of financing for Danone and its development, this issue enables the group to extend the maturity of its debt in a market favourable to quality bond issues. The issue was widely subscribed by a diversified investor base. The bonds will be listed on Euronext Paris. Danone is rated A, negative outlook, by Standard & Poor’s and Baa1, stable outlook, by Moody’s. Danone has decided to retain its Medical Nutrition division following months of speculation that it was negotiating the sales of the business, which is estimated to be worth between Eur4 billion and Eur5 billion. For its 2014 financial year, Danone is set to achieve organic sales growth of more than 4.5% in 2014 and free cash flow within a range of Eur1.3 billion to Eur1.4 billion. J

Finance In support of this strategy, Danone successfully launched a Eur1.3 billion dual-tranche bond issue in euros on

Delivering Optimal Production Facilities for Food Companies Engineering Design

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Web: www.maloneoregan.ie Email: info@morce.ie FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

I BEST PRACTICE

Want Continuity Across Shifts? Want Real Behaviour Change? – You Need a ‘SeaChange’ us sustainability is all “howFor about communication and well people feel connected to the message. Yet a strange thing happens within organisations: tonnes of money & resource investment is given to the ‘WHAT’ piece of the message- the system itself, while much less resource is invested in the ‘HOW’ piece- the way we do the communication across crews & Shifts,” says Ger Cummins, CEO of SeaChange Ltd. Many Organisations realise the need to have the very best systems – striving for competitive advantage in everything they do – but still find themselves pushing against a glass ceiling when it comes to achieving sustainable results. This is a big risk for Organisations. SeaChange accurately measures this risk and implements innovative solutions to achieve consistent communications between departments, crews and across shifts – SeaChange delivers more of the ‘HOW’ to partner clients. Since 2005 SeaChange has delivered programmes into blue-chip organisations such as Dell, C&C, Diageo, Viridian, and Danone. Both of the Danone Early Life Nutrition (ELN) factories in Ireland, and their sister

sites in France & Holland, are actively progressing ‘continuous communications improvement’ using SeaChange within the following areas: • Health & Safety / Quality? risk visualisation & prioritisation brings risk to life • Front Line Leadership? individual ‘manager impact’ improves across Shifts • Senior Team Coaching? positive impact of senior mgmt. on staff behaviour is maximised • Selection & Assessment? minimise risk at the beginning by hiring the right fit for the organisation. SeaChange solutions include interactive tools and systems to improve communication; 13 Danone sites across Europe have invested in the innovative SeaChange JSA SAFE-TTM software to calculate risk, communicate local risk, and train on best practice behaviours. The cloud-hosted software enables EHS managers, Facility Managers and Oper-ations Managers to easily and quickly capture, input and store critical information into a personalised smart-library. It then remembers and recalls critical information for efficient JSA (JobSafety Awareness) poster creation. “Our innovative approach leads to sustainable results. We identify and measure the psyFOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

chological factors impairing progress, we implement practical and interactive solutions that engage hearts and minds at each critical layer (senior mgmt.; front-line mgmt.; operations), and we measure continuous improvement so that best practice grows from the ground up,” explains Dr Paul Cummins, MD of SeaChange Ltd. International safety audit scores clearly reflect the cultural evolution and the significant progress made. Both Irish Danone plants have received record-breaking results, have won International safety awards and lead the way within the wider Danone group. These results are clear indications that Danone ELN have found the missing piece – The SeaChange Way®. “SeaChange enabled us to break through the ceiling and make a real behavioural breakthrough onsite, giving us outstanding results and notoriety within the global group,” says Liam Carmody, Site Director, Danone Nutricia Wexford. SeaChange programmes are proven to increase staff awareness and ownership on the factory floor. Performance-related results include reducing waste, accidents and absenteeism while increasing consistency across shifts, near-miss reporting,

Ger Cummins, CEO SeaChange.

I CAPITAL PROJECTS

Malone O’Regan Consulting Engineers or over thirty years, Malone O’Regan has specialised in deliverF ing optimal production facilities for food and beverage companies, completing projects to agreed programmes and budgets. Working in partnership with its clients’ plant and engineering teams, Malone O’Regan delivers ‘best fit’ building and equipment layouts, finishes and utilities within investment constraints. From project concept through to handover and commissioning, Malone O’Regan draws upon its extensive expertise and experience within the food and drink processing industry to solve engineering, planning and environmental problems, ensuring clients comply with statutory requirements. Having worked with Danone Nutricia for many years Malone O’Regan were asked in 2010 to prepare a site masterplan to provide for tripling the blending and packing capacity at its infant formula manufacturing facility in Wexford. On a site with limited available development land a masterplan to achieve these objectives was prepared and adopted. This plan with Malone O’Regan acting as project managers, engineering consultants and cost managers for the construction works has been fully delivered in two phases over the intervening four years. Phase 1 of the development began on site in April 2012 with production of infant formula commencing ahead of programme in April 2013. Phase 2 followed almost immediately and this was also delivered ahead of target with commercial production commencing in July 2014. In addition to two state of the art packing and blending facilities the works on site included the construction of a signif-

icant biomass boiler facility, additional warehousing and dispatch facilities, and numerous utility service upgrades and expansions. In addition to Danone Malone O’Regan’s experienced multi-disciplinary team has built trusted relationships with an extensive client list including Glanbia, Cuisine de France, Lakeland Dairies, C&C Group, the Irish Dairy Board and Largo Foods, since the practice was founded. Malone O’Regan handles contracts of all sizes providing pragmatic solutions to a range of clients from minor capital projects up to investments in the order of Eur50 million. J

Mechanical Services From Airconmech aving recently completed the H full mechanical services in the Danone Wexford facility on time and under budget, Airconmech prides itself as being one of the leading mechanical contractors within the dairy industry. With specialised teams of coded welders, pipe fitters, sheet metal workers and refrigeration engineers, the company has put itself in a very prominent position and has the ability to deliver all projects, large or small. Airconmech’s in-house engineering and CAD divisions offer the flexibility and expertise to provide clients with the technical solutions they require and Airconmech’s experienced site management teams ensure that all projects are completed to the highest stan30

dards and for optimum value. A purpose built manufacturing facility in Enniscorthy provides Airconmech with the capability to pre-fabricate where possible, ensuring that the site hours are minimised and that the quality of pipework fabrication is to the highest standard. Airconmech’s approach to health and safety and the training of staff is paramount, and the company’s exemplary site safety record is testament to this. Airconmech would like to congratulate Danone on the completion of their recent projects and their continued investment in the local area. J

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

I MIXING & BLENDING

Admix – Your Sanitary Mixing Technology Partner ince 1989, Admix has been recognized as S a leader in Advanced Mixing Technologies for high performance, high efficiency sanitary mixing systems and for its commitment to innovation and high quality.

Mixing is at the heart of the food and beverage industries and is crucial to every production facility. From stirring cream in to the first coffee in the morning to the “last call” for blended frozen bar drinks at night, it is difficult to find a beverage that does not employ mixing. The same is true for a majority of prepared food products. Almost every processing plant has a “dry” room where large quantities of powders are handled every day. Processors are continually looking for new ways to incorporate and mix these powders into their food & beverage products. Let Admix Customize a Solution That's Right For You

Admix understands your mixing application and provides you with the best solutions to your toughest mixing challenges. Admix has the field service experience to assist you with

your formulation, improve productivity, and lower formulation costs with its high performance mixing equipment. Admix’s applications and ingredient experience has led the company to develop a diverse product line to meet any mixing challenge — with a special focus on adding powders into liquid. Admix offers a full range of products for bottom mount dispersing and emulsifying, inline mixing and milling, powder conveying and induction, as well as in-tank batch processing. Admix specializes in the manufacture of sanitary high shear mixers, high shear emulsifiers, inline emulsifiers and wet mills, sanitary static mixers and blenders, low speed stainless batch mixers and vacuum conveying and powder delivery mix stations.

up process formulas. Schedule a demonstration of your mixing application and let Admix work out solutions to your toughest mixing challenges. Each application receives personal attention from an experienced engineer, a creative design staff, and Admix’s quality-conscious production team to ensure absolute customer satisfaction and includes Admix’s process assurance. In-Plant Trial

An in-plant trial is the ultimate opportunity for you to witness first-hand the superior mixing, milling and powder induction capa-

Commitment to Quality

Admix has put safety and cleanliness first in all its designs for over 25 years. Admix guarantees that its products are designed to meet or exceed the newest and toughest hygienic and safety standards for the industry. Its equipment conforms to the legal stipulations regarding health and safety, product labeling, product traceability, and good manufacturing practices of the Directive (EC) 1935/2004 of the European Parliament. The Admix Advantage

Food and Beverage ingredients have become more challenging with the increase of sport, nutraceutical and other "health" products. These products are difficult to produce economically using conventional mixing technology. That’s where Admix can help. It is Admix's mission to improve your production capabilities with more effective mixing, reduced horsepower and optimized capital costs. Admix strives to provide all customers with a payback of one year or less through the use of new technologies that will outperform your current equipment. Put Admix’s Lab to the Test

Partnering with Admix provides customers complete access to the company’s fully equipped pilot lab. The Admix Lab and Pilot Plant offer a variety of mixers and tanks to test samples for customers and to demonstrate Admix’s comprehensive scaleFOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

bilities of Admix sanitary stainless equipment on your own products. Admix’s comprehensive trial program offers a full range of equipment for you to utilize in your plant on your products. With Admix’s standard trial agreement, Admix will ship the equipment to your facility for 14-days and you can run as many tests on as many formulations as you want. Employee Owned, Customer Focused

Admix is proud to be a shared ownership company. Admix is confident that when you communicate with any of its employee owners, you will sense the commitment to ensure that your experience will be positive and truly beyond your expectations. For further information contact Admix, Inc – Europe - Hejrevang 21A, 3450 Allerod, Denmark, Tel +45 3213 8743, Email bbuchert@admix.com or visit www.admix.com. J 31

QUALITY

& HYGIENE

I FOOD SAFETY

GFSI: ‘Safe Food For Consumers Everywhere’ – A Year of Promise Lies Ahead For the Food Industry’s Flagship Technical and Quality Alliance s the Global Food Safety Initiative A (GFSI) enters its 15th year, the members of its Board will be looking forward with some optimism to what promises to be a game-changing period in food safety. Over the next 12 months, their well-known benchmarking process for food safety management systems will complete its revision into a seventh version. Their ground-breaking Global Markets Programme for small and less developed businesses will be starting its fourth year with its first revision. There will also be a giant step forward in their work for auditors. After five years of multi stakeholder cooperative work by volunteer experts from supportive organisations, their Global Food Safety Auditor Foundation will be founded to deliver the long stated aim to formalise the profession of food safety auditors. Of further significance, their 14th Global Food Safety Conference will be held in the Asia-Pacific region for the very first time, in Kuala Lumpur, Malaysia from March 4-5.

First Interview With New GFSI Director

In November 2014, GFSI announced the appointment of their new Director. After serving in a series of senior positions with global retailer Carrefour, Véronique Discours-Buhot joined the team with a view to continuing to drive the work on harmonisation for food safety standards while helping to ensure that the right business environment is in place to eliminate redundancy and improve operational efficiency.

get it started, it has truly become a shared effort with the brand manufacturers and foodservice companies. If you look at the composition of the GFSI Board, you will see senior people from all of the leading food companies. Secondly, although it did start in Europe, it has now become global. As recently as 2010, we held our first conference in the USA and have since been back twice. Our current Chairman, Cenk Gurol, is from the Japanese retailer, Aeon. Also, we will be holding the 2015 conference for the first time ever in the Asian-Pacific region, in Kuala Lumpur.

Véronique Discours-Buhot, Director of GFSI.

Q: When did you first hear about GFSI? A: At the very beginning, in 2000! I had just started as Quality Director at Champion Supermarkets, which was a part of the Carrefour Group. My responsibilities included food safety for our private label and my new colleagues were already involved in the first meetings that were setting up GFSI. The question of what to do about the proliferation of standards was a big issue at the time for all retailers and it was quickly agreed that one single standard would never be realistic. Instead, it was decided that the GFSI approach would be to endorse standards using a benchmark model. The original vision was “Once certified, accepted everywhere.” The idea was to determine equivalency between food safety schemes, whilst leaving flexibility and choice in the marketplace. I believe that the success of that approach can now be clearly seen.

Q: What are you most looking forward to in your new job? A: “That’s easy! It’s meeting the people! At the heart of GFSI is an incredible network that is both professional and personal. Even after just three months I have made great new contacts with some amazing people. Around the world in multiple cultures, I am meeting chief executives, directors, professors, regulators, auditors, quality managers, graduates, interns and students. The world of food safety professionals and their ways of working has become global, just like food supply chains. My job is going to put me at the very centre of it all where I'll have a chance to reach out and get us all working together to improve transparency, traceability and overall food safety for everyone. I consider myself very fortunate indeed.” J

Q: What is the evidence of this success? A: First of all, I see an extraordinary growth of the partnership. Although the retailers did

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

I POULTRY

Faccenda Foods Moves Up the Pecking Order Faccenda Foods’ new £35 million advanced processing plant at its flagship site in Telford is now complete, marking the latest phase of a period of rapid expansion by the UK poultry processor since it moved into the turkey market with the acquisition of Cranberry Foods in 2012. uccessfully supplying the UK poultry market for over five dacades, Faccenda Foods has developed into one of the UK’s largest food businesses, supplying quality fresh and convenience chicken and turkey products to both the retail and food service sectors. A vertically integrated business controlling the whole product supply chain, the business has a turnover of over £500 million and employs about 3,000 people at its sites across England and Wales, including chicken processing facilities at Brackley in Northamptonshire, Telford in Shropshire and Dudley in the West Midlands. The business is still wholly owned by the Faccenda family.

Major Expansion The new 125,000 sq ft Telford facility is designed to meet Faccenda Foods’ requirements in terms of future growth and capacity, while also allowing the company to streamline operations, improve efficiency and create better value for customers.

ing factory spaces for existing and new range developments. This will deliver higher value and better quality consistently to customers with a more secure lower cost supply chain, according to Andy Dawkins, managing director of Faccenda Foods. It will also create a sustainable business for all stakeholders over the long-term. Indeed, the completion of the expansion project at Telford underlines Faccenda Foods’ expansion into a wider range of convenience poultry based products and this significant investment reinforces Faccenda Foods’ strategy for growth and desire to supply innovative fresh and convenience food solutions to customers. The expansion at the Telford site supports Faccenda Foods’ rapid development during the past few years, with a couple of strategic acquisitions having been made to supplement the group’s strong organic growth.

Move into Turkey Processing Faccenda Foods entered the UK turkey market following the acquisition of Cranberry Foods, the UK’s second largest turkey producer behind Bernard Matthews, in May 2012 for an undisclosed price. Employing 750 people with processing sites at Scropton in Derbyshire and Abergavenny in South Wales along with farming operations stretching from Yorkshire to South Wales, Cranberry Foods had a turnover of about £100 million. The deal increased Faccenda’s turnover to £400 million, makSuccessfully supplying the UK poultry market for over five ing it one of the UK’s largest dacades, Faccenda Foods has developed into one of the UK’s food producers, and allowing it largest food businesses. to benefit from clear synergies between the two businesses and The expansion at Telford will allow to extend the scale and range of its prodFaccenda Foods to meet growing demands ucts. To mark the completion of the inteby consolidating current portioning opera- gration of the Cranberry Foods acquisition, tions at one facility, while opening up exist- Faccenda changed its name to Faccenda FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

Andy Dawkins, managing director of Faccenda Foods.

Foods from 28th April 2014. Andy Dawkins explains: “Becoming Faccenda Foods allows us to leverage the diverse capabilities of our chicken and turkey operations, further improving the great service, quality and product range we offer our customers. We also felt that, with the integration of the businesses, we had the opportunity to re-energise our brand proposition as a fresh and convenience food supplier.” Further Diversification Late last year, Faccenda Foods moved to further diversify its business by agreeing to acquire Cherry Valley Farms’ duck processing business, Cherry Valley Foods. Cherry Valley Foods is one of two major duck producers in the UK and has a strong reputation in the food service sector. With a turnover of £45 million and 320 employees, its facilities include a factory in Caistor supported by a local agriculture operation of farms and a hatchery. The acquisition of Cherry Valley Foods for an undisclosed price will strengthen Faccenda Foods’ market position, as the 35

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only UK supplier of chicken, turkey and duck creating further opportunities for growth in all three areas across a broader customer base. However, since the deal was announced, one of Cherry Valley’s duck breeding farms suffered an outbreak of avian flu. The deal was due to be concluded by the end of December 2014 but in order to give time to both businesses to work through the implications and workload created by the recent avian influenza outbreak, the final completion was deferred until the end of January 2015. During January, both businesses have continued to work together closely to ensure a smooth and seamless transition.

Faccenda Foods has a turnover of over £500 million and employs about 3,000 people at its sites across England and Wales.

Tackling the Problem of Campylobacter The problem of campylobacter in fresh poultry has been highlighted in the news media recently following the publication of the Food Standards Agency’s cumulative results from the first two quarters of its year-long UK retail survey of campylobacter on fresh chickens. The 12-month survey commenced in February 2014. The results to date showed that 70% of chickens tested positive for the presence of campylobacter and 18% tested positive for campylobacter above the highest level of contamination. “Reducing Campylobacter has always been a top priority issue for Faccenda Foods. We are demonstrating our commitment by investing in what we believe are necessary, impactful ways of tackling this issue,” comments Andy Dawkins. “The recent first half year Campylobacter Retail Survey results further reinforce our decision to invest across our supply chain to address this food safety challenge, which is an issue faced by all poultry producers.” He elaborates: “Faccenda Foods is committed to an ongoing programme of improved bio-security and hygiene at our farms, but the major focus of our current investment recognises the difficulty in eradicating this naturally occurring bacteria

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

Simply Roast in the Bag products use an innovative packaging system to enable consumers to put the product straight in the oven without having to remove the packaging first, taking food safety in the kitchen to another level.

from the bird supply chain itself. Therefore we have concentrated on two key areas -

in setting industry standards.” Operational since 1972, the Brackley facility currently employs 1,000 people and processes 2 million birds per week. The site has benefited from continuous investment to maintain its position as a leading processing facility including an £8 million investment in 2012. Faccenda Foods is also The new 125,000 sq ft Telford facility is designed to meet Faccenda Foods’ requirements in terms of future growth and capacity, while also allowing the company to streamline operations, improve efficiency and create better value for customers.

factory processing intervention to significantly reduce the amount of Campylobacter in chicken and packaging innovation to improve food safety in the kitchen.” Sonostream Technology Faccenda Foods has spent the last year trialling a new factory process called Sonosteam, which has the potential to reduce Campylobacter by 90%. The technology kills Campylobacter and other micro-organisms on the skin and internal cavity of chickens through the simultaneous application of both steam and ultrasound. The steam kills the micro-organisms and the ultra-sound optimises the effect, so the process time required is only 1.5 sec-

onds. Faccenda Foods has now installed the Sonosteam equipment at its primary processing factory in Brackley and has started full scale in line operational trials. If successful, Faccenda Foods has committed to investing £1 million on this new technology. “The investment will ensure that every single chicken we process passes through Sonosteam to minimise the risk of Campylobacter,” he says. “The SonoSteam® technology is revolutionary in the fight against the risk of food infection. We believe that SonoSteam can deliver a significant reduction in the number of cases of Campylobacter food borne infection attributed to chicken and will lead the way

• Temperature controlled distribution centres • Food production areas • Coldstores • Coldrooms • Walk in freezers • Industrial specification firewalls and partitions

Design and installation of brand new facilities, or refits and maintenance, call us today for friendly and helpful advice.

0117 316 7000 sales@stancold.co.uk

www.stancold.co.uk

Stancold, Portview Road, Avonmouth, Bristol, BS11 9LQ

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

investing £5 million in a new 2,787 sq m distribution hub close to its existing processing site at Brackley in Northamptonshire. Packaging Innovation The installation of SonoSteam at Brackley

follows the lead the company has already flavours in Asda, and also expanded into taken with its award-winning range of turkey in time for the Christmas market. Roast in the Bag products. These use an With over 2 billion roast occasions a year innovative packaging system to enable con- in the UK, half of them chicken, Faccenda sumers to put the product straight in the Foods has recognised that there is huge oven without having to remove the packag- consumer demand for a great-tasting meal ing first, taking food safety in the kitchen solutions offering value for money that take to another level. convenience and food safety to another “Working in partnership with Asda in level giving the consumer confidence in the 2013, we invested a further £1 million to product. launch the first-to-market range of multi“By combining a technological intervenaward-winning Simply Roast in the Bag tion focused on applying an effective products. As the chickens are cooked in process to every bird, with a packaging oven-ready packaging, there is no need for consumers to handle the raw product. Simply Roast in the Bag improves food safety at home and, as supported and endorsed by the FSA, significantly reduces the risk from Campylobacter,” Andy Dawkins explains. “We have been very pleased by consumer reaction to this product – reflected through unprecedented demand.” Indeed, following the success of its Simply Roast in the Bag range, Faccenda Foods is extending the offer- Following the success of its Simply Roast in the Bag range, Faccenda ing with the launch of new Foods is extending the offering with the launch of new flavours.

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

Late last year, Faccenda Foods moved to further diversify its business by agreeing to acquire Cherry Valley Foods.

innovation to help consumers handle whole chickens safely and conveniently in their homes, we are confident that we will meet the FSA 2015 Target for Campylobacter Reduction and drive a significant reduction in food borne illness,” says Andy Dawkins. Financial Performance Faccenda Foods reported year-on-year sales growth of 12% to £520 million and an increase in pre- tax profits to just over £15 million for its 2013/14 financial year. The results, which are the first since the full integration of the turkey operations in April 2014, represent a fourth consecutive year of improvement in both top line

growth and financial performance. Andy Dawkins comments: “We knew that continued success this year would be underpinned by leveraging the benefits of running one integrated food business, investing in our supply capability and providing first-tomarket innovation for our customers and we believe we have been able to deliver these.” He continues: “Despite a general economic environment that continues to chal-

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

lenge we have been able to generate growth through working closely with our retail and food service partners, growing and succeeding with them. Performance has been strong in both chicken and turkey operations and in particular we have been encouraged by the success of our expanding convenience ranges.” The Faccenda Foods chief executive concludes: “Our strategy of growth in scale, product innovation and trusted delivery has paid dividends for our customers. We remain committed in the next few years to significant investment in farming, manufacturing and most importantly our people, who we firmly believe are key to our long term success as a business.” J

MATERIALS HANDLING

SystemFlex: A Clever Internal Transport Solution - The ‘Missing Link’ in Optimizing the Process arel Stork presents its newly-developed SystemFlex Conveyor System. The system connects different process steps and ensures that product quality is kept at an optimum level. It meets the highest standards: it is durable, uses only materials of the highest quality and is finely tailored to improving the total inline process. The completely modular SystemFlex Conveyor System consists of a number of basic standardized components, which interlock with one another. Components are available for different widths, for conveying unpacked poultry meat and trays, in two basic frame sizes and are suitable for two belt types (using homogenous and modular belt material). These can be used to build up virtually every desired configuration and include belt support frames, bends, ups and downs, drive and return sections, belt washers and other optional functions. What is more, a clever coupling method allows a wide range of available accessories and add-ons to be attached to the system. Think of work surfaces, work stations, switches, knife holders, catch plates, product-

motors for SystemFlex conveyors. The system makes use of a few types of robust EHEDG motors with constant torque over a very wide speed range. The motors are compact, need little maintenance and have a very long life. They have been tailored to the highest hygiene requirements laid down by EHEDG and the. Control of the motors is done centrally and installation and start-up times are low.

and tray guides, cable trays, scrapers, belt washing equipment and belt lifters for optimal ease of cleaning. Generic and Customer Specific SystemFlex is easy to install, remove and use again should you, for example, want to change the layout of your process. There is no necessity to buy a completely new system, so costly materials do not go to waste. Traditional conveyor solutions do not offer this flexibility and they do not always comply in the long term with the high requirements

set out in the EHEDG guidelines (European Hygienic Engineering & Design Group), concerning safety, ergonomics and cleaning in the food industry. “SystemFlex is Just Like Lego” Harry van der Eerden, Marel Stork Manager of Conveyor Belts, says: “I like comparing the basis of how SystemFlex is built up and the background to the design with Lego. Everyone knows that it consists of technically functional building blocks from which, in the correct combination, you can build just about anything. Also in SystemFlex, everything is standardized and, with the help of a manual, anyone can put it together, if desired. Our new SystemFlex is generic and customer specific at the same time.” The Highest Quality The SystemFlex Conveyor System is made from durable materials and is of course resistant to moisture and cleaning agents. In developing the design, much attention was paid to good accessibility for cleaning and maintenance. It satisfies all safety norms and cleaning guidelines and is designed to secure product quality in the best possible way. Drive Standardization and the conscious choice for truly top quality are also reflected in the

Attractive Payback Times The SystemFlex Conveyor System has an attractive payback time. No costly components go to waste if a different configuration is needed. As you can install the system and take it out yourself, you do not need to hire specialized staff. Another advantage is that far-

reaching standardization means that you need to hold fewer different components in stock. Conventional conveyor systems can have many different types of motor and keeping all these types in stock is costly. By drastically reducing the range of motors, without compromising applications, you save on stock. The SystemFlex Conveyor System is a breakthrough in belt conveying technology for the meat industry. It confirms yet again Marel Stork’s position as a supplier of complete solutions for optimum poultry processing. This is the ‘missing link’ in optimizing the process. Find more information on: www.marel.com/systemflex or mail: info.poultry@marel.com. J

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

QUALITY

& HYGIENE

I FOOD SAFETY

Food Safety and Campylobacter in the UK here has been much recent focus on T Campylobacter and chicken in the UK following the publication last autumn of the

No Silver Bullet

The SonoSteam system has previously been reported to first 6 months results of the Food Standards have the potential to achieve a Agency (FSA) Retail Survey for fresh whole 90% reduction of Campychickens. These results named major retail- lobacter on poultry, and at ers for the first time and were widely report- Faccenda this is being tested as ed by the media. This “naming and sham- an in line process at full ing” was introduced to motivate retailers Evisceration line speed. The and producers to increase their efforts on Campylobacter reductions food safety and the approach caused much achieved by SonoSteam are also debate. However, whilst it is acknowledged expected to increase with highContinuous or periodic use of SonoSteam on conveyer belts that the UK chicken industry is committed er initial levels of the microorcan control the microbial level during ongoing production. to reduce the risks caused by ganism (more than 1000 cfu/g) so in this way the technology should support farms, sheds and birds, and Live bird crates achievement of the 2015 are an obvious risk. Even after washing at Campylobacter reduction target the slaughterhouse, high levels of (less than 10% of fresh whole Campylobacter can be found when crates chickens with more than 1000 are swabbed. The SonoSteam technology is Campylobacter per g). very effective on this type of non-food surHowever it is doubtful that face, and a greater than 6 Log TVC reducthe SonoSteam system by itself tion can be achieved with just 1 second of will be the ‘Silver Bullet’ to treatment. Tests on naturally contaminatremove the Campylobacter ed live bird crates have shown significant reduction challenge, and most Campylobacter reduction. people agree that a multi hurIn addition, many types of conveyer dle approach from farm to fork belts can also be effectively decontaminatis essential with improvements ed and as SonoSteam works without any The SonoSteam process installed at Faccenda Foods. An needed in Agriculture, in chemicals, the process can be used during average of 90% Campylobacter reduction should be achieved Processing, in Packaging, and production. This has the benefit of keeping at normal line speed. in Consumer education and the microbial counts as low as from start of practices. production to after many hours of producCampylobacter in chicken, it is still far tion. This is currently being validated in SonoSteam on Non-food Surfaces from clear how this can be achieved. work with Arla Foods. Many producers are directing their efforts Cross contamination is a common cause of to reducing Campylobacter within the spread of Campylobacter between The Working Principle of SonoSteam Why is SonoSteam different from Agriculture and primary production, just using steam and what is the benwhereas others are investigating options efit of Ultrasound? The sound works during the slaughtering process. as a catalyst enabling the steam to Faccenda Foods is a leading processor get to the surface in a highly efficient and in December, they installed and way. High intensity ultrasound discommissioned a SonoSteam system turbs the sub laminar layer of air into one of their Evisceration lines. which otherwise protects the surface This system uses a combination of from the steam; however it is still the steam and ultrasound to reduce heat from the steam that kills the Campylobacter on whole birds just microorganisms. Microorganisms in after slaughter and before entering the the microstructure and cavities of chiller. Faccenda and SonoSteam are the product surface are also killed by completing an extensive testing prothe steam because the ultrasound gramme during January and February Live bird crates can be an important source of cross causes the steam to be continuously and the results will be shared with the contamination between farms. Full disinfection can be forced into pits and pores on the surFSA, processors and retailers through achieved in less than 2 seconds with SonoSteam. face. J the ACT Board.

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

STORAGE

LOGISTICS

I WAREHOUSE MANAGEMENT

Invar Systems – Making Your Logistics Flow s a leading provider of warehouse manA agement systems to companies around the world since 2005, Invar Systems understands that warehouse operations are constantly under pressure to operate more efficiently while simultaneously facing fresh, new demands from customers. This situation becomes even more apparent when we start talking about the food and beverage industry.

Invar Systems works with a range of clients in the industry including Weetabix, JBS and Coca-Cola to help them achieve their demanding business goals while operating a variety of technologies in demanding environments with even more demanding customers. This experience was vital when developing a solution that would enhance the operational ability of sites including the new temperature controlled warehouse space being built by Faccenda Foods. IWS Solution There are a number of challenges faced when production processes at these facilities run nearly 24 hours a day producing a wide range of finished products with a limited shelf life. As such, one of the main reasons companies choose Invar Systems is due to their IWS solution being able to provide its clients with full product control and traceability from receipt at production all the way through to shipping. The scope of work to be carried out in any environment is wide and varied. The IWS solution from Invar Systems is highly config-

urable allowing it to operate effectively when faced with common challenges found in a food processing operation such as: • Flexible and varying inbound and outbound flows • Ability to respond to changes in volume, mix and method • Reliable systems that maintain high levels of uptime and minimal downtime • Static racking that uses both vertical and horizontal building cubes • Multiple mobile technologies and platforms • A range of different Material Handling Equipment (MHE) • Systems that need to be Informative enough to provide real-time updates of staff, equipment, inventory and process status. Faccenda Foods, Telford Faccenda’s site in Telford was utilising Narrow Aisle Pallet storage of bulk pallets for pick face replenishment and shipments were being held at the dock doors until required. Goods would then be transferred to Wide Aisle Pallet storage which included fix pick locations on 3 levels as well as replenishment locations on the upper level. These movements were analysed by Invar Systems to provide a functional description of operation defining work flow, event logging and reporting with consideration for performance and safety improvement being noted. In order for the site to operate as efficiently as possible it, was agreed that IWS from Invar Systems would need to provide overall management and control of both resources and operations while also integrating with the existing ERP host system. This large-scale deployment demanded the

expertise that Invar Systems could also provide in terms of project management, so the site could continue operating during installation and start-up avoiding the need to completely stop production, which would incur significant overheads. IWS from Invar Systems is enabling the warehouse operation to meet the demands of their customers requiring specific order diversification. With IWS directing putaway, replenishments for case picking and assignment based picking these demands are able to be met while improving productivity, space utilisation and accuracy.

Peak Efficiency and Accuracy Operations staff have all the tools at their disposal to ensure the warehouse maintains peak efficiency and accuracy. The IWS solution from Invar Systems provides improved labour management information, real-time inventory counting with advanced warning of out of stock situations, improved visibility of stocks and expected volumes and the ability provide data on system anomalies so the conditions are recognized then corrected. IWS can be adapted to meet the needs of companies of all capacities. Invar Systems employs some of the most experienced warehouse system designers and developers in the industry. This has led to the production of a fully scalable solution to improve warehouse efficiency, accuracy and business flexibility. For more information please visit: www.invarsystems.com. J

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

STORAGE

LOGISTICS

I DESIGN & BUILD

Faccenda Obtains State-of-the-art Chilled Distribution Warehouse From Stancold n 2012 Faccenda Foods, one of the UK’s Ireceived largest poultry processing companies, the go-ahead for their multi-million pound expansion at Telford.

In 2014, after a rigorous 12 month tendering process, experienced hygienic panel installer and coldroom specialist, Stancold were awarded the contract for the design and build of the large chilled distribution warehouse and the food processing areas. Stancold’s hard earned reputation for

using industry leading products, top quality installation and offering outstanding value within the UK food and drink industry for over 65 years ensured they were the obvious choice. Working alongside building contractors, A&H Construction, Stancold have delivered their largest project of the year (2014) installing Kingspan Foodsafe PIR composite panels along with Mineral Fibre fire rated partitions for the total area of 10,500 sq m (113,000 sq ft). The new chilled distribution warehouse has enabled Faccenda to process 1.2 to 1.3 million birds a week increasing the company’s production volume by 20%. Faccenda’s spoke person at Telford states: “We are very happy with the Stancold panelling work in our new factory. The team were very professional, borne out in an attention to detail that we value. We feel that the finished installation meets with our desire to provide excellent quality and ser-

vice to our customers from an outstanding state-of-the-art facility.” Rob White, Stancold Project Director, says: “We were delighted to have been involved in this project as due to its size and prominence we faced stiff competition in the marketplace. However, our client’s faith in us was repaid as we have delivered this project on time, within budget and with no reportable incidents in relation to Health and Safety.” J

Integreater® Lives Up to its Name at Faccenda ystems Integration (SI) is proud to S announce that its Integreater® production management system is live at Faccenda

it, or have over produced. This real time visibility of the process ensures management can respond proactively to control key production criteria, such as throughput, giveaway and work in progress.

Foods. The poultry specialist needed a fully integrated solution to control production and traceability across its new state-of-the-art processing facility in Telford. Faccenda went through a rigorous selection process before choosing to partner with Systems Integration. Their commitment and hard work has paid off as the site is fully operational, with the Integreater® system delivering benefits in the planning and control of all production areas. How it Works Integreater® controls various third party packing and labelling equipment to form a fully integrated production process. The specialist software enables office staff to schedule work and send plans to relevant production touchscreens. Operators then know exactly what they need to produce 46

Rob Stephens, MD of Systems Integration.

and have a live view of their progress. They are immediately alerted to any changes and a simple colour code warns them when they are approaching their target, have reached

Complete Pack Accuracy Operators simply select a production run on their touchscreen and Integreater® will send the relevant label data to third party weigh price labellers. Integreater® also shares this information with an online vision system that validates packaging, as well as data accuracy and legibility on retail pack labels. SI’s MD, Rob Stephens, comments: “We are excited to be working with Faccenda, particularly after such a rigorous selection process. It’s one of the UK’s most forward thinking food manufacturers and we are pleased that management recognise our industry expertise and experience. We are looking forward to working with one of the poultry sector’s leading businesses.” J

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

Asda’s Simply Roast in the Bag Chicken Still Flying High With FFP aunched with Faccenda Foods just L before Christmas 2013, Estercook Roast-In-The-Bag packaging has had a massive impact. Great-tasting, succulent whole chicken, ready to be roasted in the bag with a variety of delicious added-value flavours first hit the chiller cabinets in Asda as part of their Butcher’s Selection range, with ovenable printed packaging produced by FFP. Estercook high temperature packaging allows people to cook a delicious whole

chicken without ever having to handle the raw bird. Many people also miss out on the benefits of cooking because they lack confidence in handling and storing raw food. FFP’s Estercook packaging remedies this by taking the handling and the waste out of the equation. People take a convenient pack home and place it directly into the oven, so they don’t come into direct physical contact with the food until it is fully cooked. All components of Estercook packaging are fully tested and comply with national and international standards for temperature resistance. FFP go beyond the requirements of UK and European legislation, adding in further tests that provide an extra level of confidence in pack safety. To meet increasing demand, FFP have recently invested a six-figure sum in additional purpose designed, computer controlled Hot Room capacity, an important part of the production process that ensures a full cure of the high temperature inks and adhesives used.

Simply Roast in the Bag has received a number of prestigious national and international awards, including a major prize in the Product Of The Year Awards, voted on by members of the public. That follows a Gold Award in The Grocer’s Own Label Food and Plastic Flexible Packaging Pack of the Year in the UK Packaging Awards. J

Cutting Edge Technology From G. Mondini . Mondini are market leaders in the production and development of Tray G Sealing technology with thousands of installations stretching across the globe. G. Mondini’s proud association with the Faccenda Foods began over twelve years ago with the installation of 17 Evoluzione MAP

machines across various sites. It is testament to both the Mondini build quality and the diligent maintenance by the partnership between Faccenda and G. Mondini (UK) Ltd that these machines are still going strong and continuing to deliver quality packs.

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

The expansion and development of new production facilities at the Telford site has once again given G. Mondini the opportunity to work with Faccenda to create 5 stateof-the-art Trave 1200 lines using G. Mondini’s uniquely flexible Platform Technology. As well as MAP these lines are equipped with G. Mondini’s recently launched high speed Darfresh® on Tray skin application. This skin application delivers higher skin speeds and the Darfresh® on Tray unique cutting system gives a significant reduction in film waste which helps the customer meet environmental targets as well as benefiting from the financial benefits of using less film. Having a single machine that can run both standard MAP and skin now allows Faccenda the commercial advantage of flexibility to quickly respond to changing market requirements. The G. Mondini lines with their cutting edge technology provide a perfect fit with the highly impressive state-of-the-art production facility at the Telford site, a site which has flexibility and performance at its heart and a team of people who are highly capable, experienced and a pleasure to deal with. J 47

I LABELS & LABEL APPLICATORS

Bizerba Develops the Next Generation in Weigh Price Labelling izerba have enjoyed a long-term, sucB cessful working relationship with Faccenda, so when it came to planning for the new facility in Telford, Bizerba were excited to be included from the start. “Faccenda enjoy genuine partnerships with our chosen suppliers and that describes our relationship with Bizerba,” says a Faccenda spokesperson.

Faccenda’s remit was to source the bestin-breed hardware and software available, from companies offering the latest innovations, in order to provide them with one of the most modern poultry plants in the world. Based on previous projects across the Faccenda estate, Bizerba were approached to supply high speed C-Wrap labelling lines for portion packs. This would be the first of many detailed discussions with dedicated teams from both parties on a regular basis, from initial approach in early 2012 through to the factory opening in September 2014. Packing Speeds of 120ppm One of the major tasks set for Bizerba by Faccenda was to provide a full production line capable of producing packing speeds of up to 120 packs per minute. Bizerba’s development department in Germany set about designing and producing a machine which could meet this speed requirement, without any compromise to the quality Bizerba are renowned for worldwide and Bizerba were soon on the way to unveiling the next generation in weigh price labelling. After initial trials towards the end of 2012, Bizerba proudly launched the GLM-I 120C High Speed C-Wrap Labeller at IFFA 2013 in Frankfurt. 48

Live factory trials at Faccenda were the next step in the process and these were successfully carried out over a period of 2 weeks, with the Bizerba Technical Team on site throughout. Faccenda now have six GLM-I 120 Labellers in operation in the new factory, C-Wrap Labelling at the required speeds of 120ppm on their fully automated premier lines. “Working together we have installed solutions for the long term through innovation and GLM-Imaxx 120 C-Wrap Labeller. commitment to quality,” continues Faccenda’s spokesperson. Further Innovation The task of turning packs from narrow to Another Bizerba innovation is linerless wide edge leading, from the Mondini Trave printing; allowing the user to show more Tray Sealer at 120ppm was a further chal- media on the rolls, providing excellent lenge tasked to Bizerba. Bizerba have print quality and assisting with maintaining achieved this function by developing a dual their environmental policies by reducing lane high speed pack turner. The automatic waste; there is no backing paper to dispose line upward from the tray sealer includes of. Bizerba’s GLP-maxx linerless printers Bizerba pack turning, metal detection, are integrated into the 23 manual OCM’s weigh-price-labelling & vision inspection. around the Faccenda plant, from goods-in The GLM-I 120 C-Wrap lines not only to despatch. gives the speed & quality of labelling Bizerba’s core competence has always required by Faccenda, but also the addi- been based on weight and whilst in the UK tional security in using the metal detection Bizerba are renowned for automatic weigh & vision inspection systems for full integri- labelling, Bizerba’s product portfolio far ty checks on product, packaging and label exceeds this. From this portfolio Bizerba placement. A pick & place robot then feeds have also installed floor scales within the to a Bizerba GLM-I 40 automatic Outer product intake, manufacturing and Case Labeller and the finished crates are despatch areas for product yield. These ready for despatch. units contain two-part hydraulic lifting plates for easy cleaning. Faccenda also contracted Litchfield based software company SI (System Integrators) to provide a full suite of production/management software, which means that Bizerba and SI have worked closely to provide a fully integrated software and hardware solution throughout the factory. Fully operational for 4 months now, Bizerba are proud to have worked so closely with Faccenda while they realised their vision of delivering a state-of-the-art factory and look forward to many more years as a key supplier to Faccenda Foods. “We pride ourselves on putting our customer first and feel that in Bizerba, we have a partner who shares this value,” concludes Faccenda. J FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

I LABELS & LABEL APPLICATORS

Integrated Coding and Labelling System Offers Big Savings to Major Food Companies and Independent Producers ake a look in the print room of many of the UK’s biggest food T producers and you’ll find an offline coding and labelling system from coding specialist, PrintSafe. These compact machines quietly

mal inkjet or thermal transfer. With throughput up to 600 per minute, it is a viable alternative that eliminates wastage and cost.

handle awkward printing and labelling jobs that otherwise hold up production. For smaller companies launching into the major retailers, these offline systems are an affordable alternative that offers big savings over hand coding or stickering.

Promotional Labelling By their very nature, promotions are time limited and applied to different products at different times. A standalone system gives companies the ability to label different lines on one machine. Switching between batches is easy and labels are applied in the same place each time.

Tricky Sleeves Ready meals, saus-ages, deli foods, desserts - these popular products are often packed in trays or tubs with a cardboard sleeve. And sleeves can be troublesome when coding online, with print often delivered outside the correct area. With an offline system, sleeves can be printed with date and batch number ready for production. Sleeves are loaded UdaFORMAXX high-speed carton into a stack and then fed autoand sleeve coding and labelling matically past an integrated system. printer – typically inkjet, ther-

date

codes

ready

for

production: up to 600 per minute.

Multiple Product Lines It is not just sleeves that pose a coding challenge. Cheese company, Long Clawson Dairy uses an offline coding system for its famous Stilton cartons. Site Manager, Mark Ursell says: “For me, the issue is the number of different lines that need coding. Packaging specifics mean we can’t always code inline. The PrintSafe table-top system sits in our low risk area and we use it to code a wide variety of packs.” Find more information at www.printsafe.co.uk/offlinecoding. J

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

I LABELS & LABEL APPLICATORS

SATO Helps Food Businesses Comply With EU Legal Obligations ATO, a leading global manufacturer of barcode printers and S labelling systems, has developed solutions that produce labels to clearly indicate vital information about foods and beverages, enabling food manufacturers and retailers meet EU legal obligations and avoid harsh penalties. With the new European Directive 1169/2011 on food labelling coming into force on 13 December 2014, anyone producing or selling foods and beverages without clearly displaying information such as allergens, nutrition and origin may be at risk of criminal prosecution. The key aim of European Directive 1169/2011 is to standardise food and bever-

age labelling to help consumers easily access information on a food’s ingredients, nutrition, place of origin and allergens. A primary requirement of the new regulation is that food and beverage manufacturers, retailers and food service operators will have to clearly indicate, within any ingredients lists, any potentially allergenic substances. SATO’s TH2 dedicated food label printer is ideal for on-demand labelling across a wide range of bakery, deli, catering and other retail applications. The printer is a standalone unit incorporating a large user-keypad which is used to call up any label, including ingredients, stored within its extensive internal product list. The anti-microbial casing, small footprint and re-chargeable battery make the TH2 suitable for static location or mobile use anywhere within food preparation or retailing areas. The printer is able to automatically calculate use by and best before dates from databases, and already enhances the efficiency of thousands of food outlets across Europe. In addition to its printer technology, SATO’s labelling and software systems are also extensively used in large and small scale food production. For more information on SATO’s solutions visit www.satoeurope.com/uk/industry-solutions/food-service-distribution/eu-food-labelling-regulations-11692011.aspx. J

Denny Bros Restructures Board For Future Growth ury St Edmunds-based Denny Bros has B appointed Graham Denny as its new Managing Director to lead the future growth of the company. The family owned international specialist printing business and creator of Fix-a-Form® multi-page labels has announced changes to its Board of Directors. Barry Denny, who has been the Managing Director of Denny Bros since the business became a limited company in 1983, now becomes Chairman. Speaking about the changes, Barry Denny says: “I am pleased to announce that Graham will be taking over the baton as Managing Director and new figurehead of the business fulfilling most of the duties that I have previously handled. This change heralds a new era for the business which continues to help brand owners to smooth their way through packaging changes affecting general, food, pharmaceutical and other specialist labelling.” Andrew Denny, Managing Director of 50

sister company Fix-a-Form International, will also be playing a part in the management of Denny Bros in his new role as Strategic Development Director for Denny Bros. Stephen Jarrold and Colin Hunt will continue in their sales, marketing and production roles. Graham Denny, previously Commercial Development Director for the company for over twenty years, says: “I am delighted to take over the mantle of Managing Director of this award-winning family business. Denny Bros is constantly changing and growing. One of the biggest game changers for us is the introduction of new mandatory rules and regulations regarding labelling. Our customers rely on us to help them with compliance and with brand competition. We are creative and marketing experts too, delivering brand allegiance and sales uplift to campaigns.” Graham Denny continues: “Specialist labelling is still evolving. It is becoming FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

The new Board line-up includes Andrew Denny as Strategic Development Director, Graham Denny now MD, and Barry Denny as Chairman.

clearer, more concise and easier to read, a move that will be welcomed by consumers everywhere. We are proud of what we have achieved in our 70 year printing history (1945-2015) and look forward to an allaction anniversary year this year, celebrating the very best of print technology and Fix-a-Form®.” J

A World First For Valio and Tetra Pak innish dairy producer Valio has becomes F the first company in the world to sell products to consumers in carton packaging made entirely from plant-based materials. The package, Tetra Rex® Bio-based, is manufactured solely from a combination of plastics derived from plants and paperboard. It marks a world first, and signals an important milestone in Tetra Pak’s longstated commitment to drive ever-stronger environmental performance across all parts of its portfolio and operations. Valio will trial the package with Valio Eila® lactose free semi-skimmed milk drink in retail outlets across Finland until mid March, and will then use feedback from consumers to decide whether to adopt

the cartons more broadly across its chilled product range. The products will be available in one-litre

capacity Tetra Rex Bio-based packages, with a TwistCap™ OSO 34 opening. They will be produced at Valio’s Jyväskylä dairy in Finland, using a standard Tetra Pak TR/28 filling machine. In Tetra Rex Bio-based cartons, the low density polyethylene used to create the laminate film for the packaging material and the neck of the opening, together with the high density polyethylene used for the cap, are all derived from sugar cane. These plastics, like the Forest Stewardship Council® (FSC®) certified paperboard, are traceable to their origins. The Tetra Rex fully renewable package can be identified by the words “Bio-based” printed on the gable of the package. J

JBT Introduces New Compact, Low-consumption Frigoscandia Freezer lobal food processing equipment manuG facturer, JBT is further adding to its Frigoscandia line of spiral freezers and chillers by introducing the GYRoCOMPACT 60® Spiral Freezer. The new freezer will retain the key features of Frigoscandia’s freezing technology, including its world-leading self-stacking belt, but in a completely new compact footprint of only 7650mm x 4350mm.

In addition, the installed drive power on the GYRoCOMPACT 60 Spiral Freezer has been reduced by 65%, compared to the previous generation of GYRoCOMPACT M6 and Classic 600 Spiral Freezers, resulting in low energy consumption and less risk of problems to the freezer’s components. “The significant reduction in power consumption is due to a number of factors,”

says Torbjorn Persson, JBT’s portfolio and applications director. “The unique Frigoscandia self-stacking system is by far the most efficient way to drive a spiral freezer. But we’ve also re-designed the outfeed drive system and introduced a new automatic lubrication system. Compared to conventionally-driven spiral freezers the size of the motors is smaller requiring a total nominal power of only 2.25kW. Most applications don’t require a gearbox motor, so this eliminates any syncronisation issues.” He adds: “The more precise function from having fewer lubrication points lowers normal fuel consumption by around 30%. We also offer an optional automatic fan tunnel which reduces infiltration into the freezer, meaning less energy consumption and less snow build-up.” The GYRoCOMPACT 60 Spiral Freezer can freeze up to 2.5 tonnes of product per hour on the smallest possible footprint. It also features the FRIGoBELT® Nova conveyor, JBT’s patented self-stacking belt which is designed and manufactured as an integral part of the GYRoCOMPACT freezers. The FRIGoBELT conveyor can be designed and built to suit specific applications and has a life expectancy of 75,000 hours. The new spiral freezer also has an updatFOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

ed PRoLINK™ control system, with a 12inch user-friendly touch screen and the ability to add more functions if required. The Frigoscandia brand has been at the forefront of developing freezing technology for decades. Other JBT brands include the Stein range of ovens, fryers and coating equipment, DSI slicing and portioning systems, the Double D range of high impingement cookers and searer/grill-markers and Formcook contact and combi cookers, all of which can be integrated to suit specific applications. JBT has Food Technology Centres near Edinburgh in the UK and Helsingborg in Sweden, where customers come to test equipment at first hand with a trained technical team. For further information visit www.jbtfoodtech.com. J 51

I EXHIBITION

CFIA 2015: March 10-12 – Rennes, France – The Food Industry Suppliers Meeting Place

ver since 1997, the largest factory in France has invited sector proE fessionals to discover a large top-quality offer in Brittany, the capital of the food-processing industry. The event currently welcomes over 16,000 visitors and 1,300 exhibitors, as it continues to monitor changes in the food-processing industry, while retaining its manageable format. Besides a friendly atmosphere, it offers a unique range of products and services to help you do business, innovate, and develop the right assets to succeed. The exhibitors spearheading innovation are divided into 3 categories: • Ingredients & Processed foods, • Equipment & Processes, • Packing & Conditioning. Food processing is the largest sector in France, accounting for

492,608 jobs. The sector’s turnover exceeds Eur160 billion (Source: Ania). Increasing competitiveness in a tough business environment, becoming better at meeting consumer expectations, focusing on innovation and improving manufacturing processes are now crucial to keeping pace with current market trends. CFIA is the perfect venue for visitors and exhibitors to reach these goals, make contacts, and finalize projects! CFIA Rennes continues to play a vital role as the food processing sector’s main trade exhibition. It has become well known outside of France, confirming—as if that was needed—Brittany’s special place at the heart of this hi-tech sector! For further information visit www.cfiaexpo.com. J

FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

EFSA Gives Positive Evaluation on 13.5 Health Claim For BENEO’s Inulin Improving Bowel Function ENEO has announce that based on a B 13.5 health claim application it has gained a positive EFSA evaluation for its prebiotic fibre inulin improving the effect on bowel function by increasing stool frequency. The application includes new and proprietary scientific research. EFSA’s positive evaluation allows the approval by the Commission, the Member States and the European Parliament within the health claim procedure and opens the way for new food and drink applications to benefit both the industry and consumers alike.

The recent positive evaluation proves that BENEO’s prebiotic fibre inulin maintains normal bowel function by increasing stool frequency without triggering diarrhoea. This is because inulin resists diges-

tion in the small intestine and is fully fermented in the large intestine. EFSA’s decision is based on six human intervention studies that have consistently proven that consumption of inulin increases stool frequency and thus supports digestive health. Significant results were demonstrated with a total intake of 12g per day. While the recommended daily intake of dietary fibre is 25g per day and actual intake is significantly lower, the positive evaluation shows that adding inulin to a formulation improves stool frequency and also helps to achieve the dietary goal of adequate fibre intake by the general population. For many people, improved bowel function resulting from a more optimal fibre intake means a noticeable improvement of gastrointestinal health and general wellbeing. Thanks to this positive evaluation from EFSA, it will now be possible for BENEO’s customers to easily incorporate the company’s inulin into a wide range of applications to allow consumers to benefit from the positive effect it has on the bowel. Anke Sentko, VP Regulatory Affairs and Nutrition Communication, says: “The positive evaluation by EFSA shows once again

that BENEO is on the right track to further invest in research and focus on sound scientific substantiation of its products’ benefits. Digestive health, including regularity, is an important element of feeling good, especially due to the fact we often have a “lazy” gut. Improved regularity in a natural way is a growing health target of consumers. The research shows that BENEO’s chicory fibres ‘function’ and contribute to digestive health, offering new diet related opportunities for the industry to respond to this consumer need.” A division of the Südzucker Group, BENEO employs almost 900 people and has production units in Belgium, Chile, Germany and Italy. J

Arla Foods Ingredients to Offer Lactose in Global Dairy Trade Auction rla Foods Ingredients is set to sell lacA tose ingredients through the Global Dairy Trade (GDT) online auction platform for the first time as part of its bid to become the world’s leading lactose supplier. More than 900,000 tonnes of dairy ingredients are traded each year on GDT, the majority in the form of milk powder. However, only limited volumes of lactose are currently sold through the platform. Arla Foods Ingredients intends to start selling lactose via GDT from 15 April 2015. “GDT attracts more than 650 qualified buyers from more than 90 countries, and yet at present they have very little access to lactose through the platform. We can fill this gap in the market by offering our high quality lactose through GDT, which will boost our efforts to become market leader in the global lactose ingredients sector," says

Luis Cubel, Sales Director for Arla Foods Ingredients’ Permeate & Lactose Business. “Arla Foods, our parent company, already trades skimmed milk powder on GDT so we know how effective it can be in terms of reaching existing and new customers. Our move into lactose will enhance our position in the market,” he says. FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

GDT is open for bidders twice a month via an online auction. Sellers announce the volume of product available and the starting price, and bidders submit bids on the volume they would like to buy at that price. If demand exceeds supply, the Trading Manager then increases the price for the next round. This continues round by round in an ascending price clock auction until all bidding has ceased. Arla Foods Ingredients’ decision to offer lactose through GDT comes at a time when the company is in the process of significantly increasing its lactose volumes. The official opening of Arla Foods Ingredients’ new lactose factory in Jutland, Denmark, took place in November 2014. When fully operational it will take Arla Foods Ingredients’ total lactose output – including that produced through joint-ventures – to 115,000 tonnes during 2015. J 55

I COLOURS & FLAVOURS

Sensient Food Colors Europe Develops Exciting New Range of Spirulina Products ensient Food Colors Europe has develS oped proprietary technology in the extraction of Spirulina blue that complies with both the new EU Guidance Notes and FDA quality specifications. The 'EU Guidance Notes on the classification of food extracts with colouring properties' and FDA approval have provided the opportunity to use Spirulina concentrate as a food colouring. Sensient has invested in a dedicated production line for Spirulina blue at its facility in Corte Tegge, Italy, which specialises in the processing and concentration of aqueous extracts. “This latest investment enables us to

offer customers a wider choice of colouring food possibilities to meet new demands in the marketplace,” comments Dr Roland Beck, Managing Director of Sensient Food Colors Europe. “Using our proprietary

extraction technology, we can produce a vibrant blue shade from Spirulina suitable for use in confections and gum as well as ice cream, water ice and frosting type applications.” 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. J

New Natural Liquid Extract Line for Flavour and Sensory Boost rutarom BU Health has launches F EFLA®sense, a new line of all-natural liquid extracts, with sensory properties to boost flavour and health benefits in products such as beverages, confectionery, dairy, bakery and liquid dietary supplements.

The use of herbal extracts is an emerging ingredient trend for many market categories, according to global product launch activity tracked by Innova Market Insights. There was a 4% increase in global tracked product launches containing herbal extracts in 2014 from 2013, with more future growth anticipated. Supplements was the 56

most active market category for herbal extract applications in 2014, accounting for 11.5% of global product launch activity tracked, followed by sauces & seasonings (6.8%), ready meals (5.9%) and soft drinks (4.9%). EFLA®sense line contains natural botanic extracts from flowers (including chamomile, elderflower and orange blossom); leaves (peppermint, lemon balm and sage); fruits and seeds (fennel and rose hips) and several herbal blends. These essences are obtained from traditional plants and meet the increasing consumer demand for health and wellness products and clean label. The new line is produced in Switzerland through a gentle process that preserves the delicate flavours and aromatic properties of the ingredients. “The natural line provides healthy solutions to naturally enhance the taste of finished foods with nuances of flowers, herbs and other essences of nature,” says Yannick Capelle, Product Manager for Frutarom FOOD & DRINK BUSINESS EUROPE, FEBRUARY 2015

BU Health. “We offer unique natural herbal extracts to help our customers reinvent their products and add healthy sensory appeal.” EFLA®sense also is especially suitable for liquid supplement products such as ‘shots’, an excellent bridge between the emerging need for health-promoting nutraceuticals and the inconvenience of swallowing a large number of tablets. The healthy flavour extracts have a typical dosage of 0.1-0.2% and are heat- and pH-stable. “We carefully select our raw materials and rigorously control the supply chain and production to ensure high purity and quality of our plant extracts,” explains Yannick Capelle. “Frutarom BU health has strict protocols for quality and safety assessment in order to provide customers the best sustainable flavour line while enabling clean label capacity.” For further information visit www.frutaromhealth.com. J