Food and Drink Business Europe

July/August 2018

European bakery on the rise

Food & Drink Business Website:

www.fdbusiness.com

C o n t e n t s

- 33-37 P OTATOES

- 3 M ERGERS & A CQUISITIONS

Sustained growth in the European potato processing industry.

Coverage of British and international deals.

Change of leadership at McCain Foods GB & Ireland.

- 7 C OVER S TORY

PAGE 5

Stefan Descheemaeker, CEO, Nomad Foods.

European bakery industry on the rise.

- 40 M EAT

P AGE 23

Jim Bergin, CEO, Glanbia Ireland.

ABP Food Group beefs-up its business with further investments.

R EGULARS

- 13-19 B AKERY

Bottling & Packaging . . . . . . . . . . 16, 42-44

iba 2018 - 15-20 September - Fairground Munich.

Quality & Safety . . . . . . . . . . . . . . . . 17&37 Smarter solutions from JEROS . . . . . . . . . . . . . . . . . . . . . . . . . 17 Key Technology’s potato processing expertise. . . . . . . . . . . . . . . . 37

iba Previews.

PAGE 33

Bas Alblas, CEO, Lamb Weston/Meijer.

Materials Handling . . . . . . . . . . . . . . . . . 19 PAGE 7

- 21 P ROCESSING & PACKAGING Countdown begins to the UK’s leading processing & packaging machinery event.

Hubert Weber, President, Mondelez Europe.

Energy & Environment. . . . . . . . . . . 20 & 48 Processing & Manufacturing . . . . . . . . 30-31 GEA builds new infant formula for Mataura Valley Milk in New Zealand . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30

Storage & Logistics . . . . . . . . . . . . . . . . 38

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Materials & Ingredients . . . . . . . . . . . . 46-48

Frank Stephenson, CEO, ABP Food Group.

McArdle Skeath opens €20 million Dublin supply chain facility. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46-48

- 23-26 D AIRY Glanbia Ireland reopens Wexford cheese plant and plans €160 million investment at Belview site.

Glanbia and US partners to build $470 million cheese and whey factory.

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Ann-Beth Freuchen, CEO, Orkla Confectionery & Snacks.

Managing Director: Colin Murphy Editor: Mike Rohan Group Operations Manager: Sylvia McCarthy Advertising: Ian Stewart, Rachel Howard and Tony Lambert Production Manager: Sylvia McCarthy

Food & Drink Business Europe is published by Premier Publishing Limited, 51 Parkwest Enterprise Centre, Nangor Road, Dublin 12.

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- 26-29 C HEESE & W HEY Dairy Crest to invest £85 million to expand cheese business. €207 million investment in Irish cheese and whey processing.

Bel to produce Mini Babybel at its first Canadian factory.

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Giampaolo Schiratti, CEO, Biscuit International.

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FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

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M E E R R G G E E R R S S M

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

Heineken and China Resources Enterprise to Join Forces in China Heineken has joined forces with China Resources Enterprise (CRE) and acquired a 40% stake in China Resources Beer (CR Beer) to create a long-term strategic partnership for Mainland China, Hong Kong and Macau.CRE will own the other 60% of CR Beer, which is the undisputed market leader in China.

As part of the strategic partnership, Heineken China’s current operations will be combined with the CR Beer business and the Heineken brand in China will be licensed to CR Beer on a long-term basis.

Heineken is making a net investment of Eur1.95 billion (at current exchange rates) in the venture.

China’s beer market, the world’s largest by volume, is now the second largest premium beer market globally and is forecast to be the biggest contributor to premium volume growth in the next five years, driven by its rapidly growing middle class. Profitability of the Chinese beer market is expected to improve significantly, driven by premiumisation, demand for international beer brands and cost optimisation.

Kepak Group Acquires 2 Sisters UK Red Meat Business Kepak Group has agreed to acquire the UK business and assets of 2 Sisters Red Meat (incorporating St Merryn Foods and McIntosh Donald) for an undisclosed sum from Boparan Holdings. 2 Sisters Red Meat has been trading since 2013 and has four facilities in the UK. The business processes and mar-

business,” says Ranjit Singh, president of Boparan Holdings.

“With customers and consumers at the heart of everything we do, we will continue to focus on delivering great quality, great value products every day.”

John Horgan, managing director of Kepak Group

kets, mainly in the UK, about 250,000 cattle and more than one million lambs annually from more than 13,000 farmers spread from Scotland to Cornwall.

Kepak is one of Ireland’s leading meat producers with 16 manufacturing plants in Ireland and the UK. The acquisition will significantly increase Kepak’s value and scale providing a number of complementary strategic fits, while strengthening the group’s key customer supply chain partnerships. It also provides both a Brexit and a currency hedge for the existing and the new Irish-UK businesses, as well as a sustainable source of UK raw material for Kepak’s meat-based value-added businesses, located both in Ireland and in the UK, which supply Irish, European andBritish customers. Under the terms of the agreement, Kepak assumes control of the business with immediate effect.

John Horgan, managing director of Kepak Group, comments: “Kepak has a clear strategy to grow its meat and food businesses in partnership with key customers and in markets that are complementary to our existing businesses in Ireland and in the UK. The acquisition of this red meat business, with its very solid UK retail, foodservice and manufacturing relationships, marks a very significant next step in delivering on our strategy. It is a great fit for Kepak. The addition of these facilities to Kepak Group significantly increases the value and scale of our business.”

“This deal represents another major step in transforming 2 Sisters and building a better

Total Produce Completes $300 Million Dole Investment Total Produce, Europe’s leading fresh produce company, has completed the acquisition of a 45% equity stake in Dole Food Company for a cash consideration of $300 million, following approval of the deal by the European Commission.

Dole is a US company whose EEA operations are headquartered in Germany. It produces, markets and distributes fresh fruit and vegetables in North America, Europe, Latin America, South Africa and Dubai. Dole is currently controlled by David H Murdock, who will jointly control the company together with Total Produce following the transaction.

Total Produce, headquartered in Ireland, is a leading fresh produce distributor, which sources, imports, packages and distributes over 300 lines of fresh produce. It operates from 26 countries through a network of 146 operating facilities, including 101 operational facilities in Europe and serves the retail, wholesale and foodservice sectors.

KP Snacks to Acquire Popchips KP Snacks, part of the Intersnack Group, has agreed to acquire Popchips Ltd, which owns and operates the Popchips brand for the UK and Europe, for an undisclosed sum.

Popchips is a subsidiary of parent company Popchips Inc, which will continue to own and

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

operate the brand in North America and other international markets.

“Popchips is a fantastic addition to the KP business and, coming hot on the heels of our recent Tyrrells acquisition, we believe it significantly strengthens our permissible and better for you propositions, enabling us to offer customers and consumers snacks for every occasion,” says Mark Thorpe, chief executive of KP Snacks. “The deal brings together the fastest growing snack brand in the UK market and the fastest growing scale snacks manufacturer.”

Will Bowler, managing director of Popchips Europe, says: “We are really excited to be joining the KP Snacks portfolio and the Intersnack Group.

With their deep expertise and support, KP Snacks will help us build on our strong momentum as we expand the Popchips brand further in the UK and throughout Europe.”

Royal Unibrew Completes Acquisition of French Lemonade Business Royal Unibrew, the Denmarkbased beverages group, has completed the acquisition of Etablissements Geyer Fréres for an enterprise value of DKr660 million (Eur88.5 million) financed by bank debt. The acquisition of Etablissements Geyer Fréres will give Royal Unibrew increased access to the French soft drinks market and will further strengthen its export portfolio.

Employing about 100 people, Etablissements Geyer Fréres has production facilities in Munster in the north-eastern part of France and has a significant presence in the retail channels in France and the USA. The acquisition is in line with Royal Unibrew’s strategy of being a focused and strong regional beverage provider holding market leading positions within bever-

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M E E R R G G E E R R S S M ages in the Nordic and Baltic countries supplemented by strong niche positions in selected markets and the international malt beverage markets.

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

cream, cream and desserts business will continue to be run independently through Yeo Valley Group, which remains under the ownership of the Mead family.

Ash Amirahmadi, managing director of Arla Foods UK, says: “This is significant news for our business, the industry and our farmer owners. We want to maximise the growth in organic dairy products and continued investment in the Yeo Valley and Arla brands will be key to this.”

comments: “The acquisition of Aunt Bessie’s exemplifies our dedication and progress towards transforming the frozen food category, both organically and through acquisitions. Aunt Bessie’s further develops our portfolio in the UK with its strong brand positioning and market leadership in frozen roast potatoes and frozen Yorkshire puddings.”

Cherkizovo Group to Strengthen its Position in Russian Poultry Cherkizovo Group, the largest vertically integrated meat producer in Russia, plans to acquire Altaisky Broiler, one of Russia’s largest poultry producers. In 2017 Altaisky Broiler produced 67,000 tons (live weight) of poultry products.

An acquisition of this size will enable Cherkizovo to considerably expand its business footprint, open up access to the Siberian market, and add one of the strongest and most popular local brands to the group’s portfolio. This will also strengthen Cherkizovo’s positions in the poultry market and increase its share among domestic poultry producers to 12%. The final acquisition price is yet to be determined by the parties.

Clearance For Arla Foods UK and Yeo Valley Deal The British Competition and Markets Authority has cleared Arla Foods UK’s proposed acquisition of Yeo Valley Dairies, a subsidiary of the Yeo Valley Group. The transaction will give the farmer-owned dairy co-operative the rights to use the Yeo Valley brand in milk, butter, spreads and cheese under an intellectual property licence with Yeo Valley.

The Yeo Valley yogurt, ice

Stefan Descheemaeker, chief executive of Nomad Foods.

Ash Amirahmadi, managing director of Arla Foods UK.

Nomad Foods Completes €240 Million Acquisition of Aunt Bessie’s Nomad Foods, the leading frozen foods company in Western Europe, has completed its previously announced acquisition of Aunt Bessie’s from William Jackson & Son for a purchase price of approximately Eur240 million. The acquisition includes a production facility in Hull, England. Aunt Bessie’s generated revenues and adjusted EBITDA of approximately Eur123 million and Eur23 million, respectively, for the year ended April 2018.

The Aunt Bessie’s brand holds number one and number two market share positions, respectively, within the UK frozen Yorkshire puddings and frozen potatoes, which combine to represent the majority of its revenues. As a brand closely identified with roast dinners, Aunt Bessie’s will expand Nomad Foods’ portfolio into this major eating occasion.

Stefan Descheemaeker, chief executive of Nomad Foods,

Emmi Strengthens its Position in Goats Milk Products Swiss dairy group Emmi is increasing its stake from 75% to 90% in the goat’s and sheep’s milk product trader AVH, based in Bergen, the Netherlands. The remaining

10% will continue to be held by the founder of AVH. Goat’s milk products occupy an increasingly important niche in Emmi’s product portfolio.

Emmi has been a stakeholder in AVH since January 2013.

AVH’s sales markets are the EU, the US and Asia. A subsidiary of Emmi Benelux, AVH generated sales of around Eur35 million in 2017. The parties have agreed not to disclose the purchase price.

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

Conagra Brands Buys Pinnacle Foods For $10.9 Billion Conagra Brands, one of North America’s leading branded food companies, is acquiring USbased Pinnacle Foods in a cash and stock transaction valued at approximately $10.9 billion, including outstanding net debt.

The transaction will enhance Conagra Brands’ multi-year transformation plan and expand its presence and capabilities in its most strategic categories, including frozen foods and snacks.

With annual net sales in excess of $3 billion, Pinnacle Foods’ portfolio of frozen, refrigerated and shelf-stable products includes such wellknown brands as Birds Eye, Duncan Hines, Earth Balance, EVOL, Erin’s, Gardein, Glutino, Hawaiian Kettle Style Potato Chips, Hungry-Man, Log Cabin, Tim’s Cascade Snacks, Udi’s, Vlasic and WishBone. The purchase price reflects an adjusted EBITDA multiple of 15.8x, based on Pinnacle Foods’ estimated fiscal year 2018 results excluding synergies, and 12.1x adjusted EBITDA including run-rate cost synergies.

“The acquisition of Pinnacle Foods is an exciting next step for Conagra Brands. After three years of transformative work to create a pure-play, branded food company, we are well-positioned to accelerate the next wave of change,” says Sean Connolly, president and chief executive of Conagra Brands.

Conagra Brands expects to achieve approximately $215 million in annual run-rate cost synergies by the end of fiscal year 2022, with one-time cash costs to achieve the synergies estimated at approximately $355 million, inclusive of expected capital expenditures of approximately $150 million.

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COVER STORY

European Bakery Industry on the Rise Driven by rising consumer demand for bread, biscuits, cakes, pastries and pies, the European bakery processing equipment market is expected to grow at a CAGR of 7.2% and reach $4.17 billion (€4.0 billion) in 2023 from $2.95 billion in 2018.

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ncluding essential bakery equipment such as dividers, mixers, ovens and sheeters, the market is split into a number of categories according to application - pizza crusts, cookies & biscuits, cakes & pastries, bread and other bakery products. Bread is the biggest segment, reflecting the largest consumer demand. However, the pizza crusts segment is expected to exhibit the strongest growth rate (CAGR) due to increasing consumption of pizza globally, according to MarketsandMarkets, the intelligence and market research group.

Bakery processing equipment manufacturers, including major players such as Buhler, Ali Group, JBT Corporation, GEA Group and Heat and Control, are benefitting from growth in the overall bakery products market, driven by rising disposable incomes and growing consumer demand for food on the go items, low-fat, gluten-free, nutritional foods and innovative flavours. Factors constraining market growth include scarcity of raw materials, rising costs of packaging and transportation and consumer concerns about healthy eating.

Rising input costs and a decline in the bread market impacted performance at Warburtons, which owns the largest bakery brand in the UK.

Profit Slump For instance, rising costs and a decline in the bread market have impacted the performance of Warburtons, which owns the largest bakery brand in the UK, with the company recently reporting a 36.7% fall in operating profit to £22.4 million on turnover down 0.3% to £524.7 million for the year ended 31 September 2017.

Profits before tax Jonathan Warburton, chairman of Warburtons. plunged 40% to £34.6 million.

“Revenues have been held largely due to growth in non-bread products as we continue to innovate and develop new product ranges,” explains Jonathan Warburton, chairman of Warburtons.

“The wrapped bakery market remains very competitive, with the continuing decline of the core market compounded by increased input costs.”

He adds: “The profit for the period has been achieved only through the continued focus on the quality of the product and ser-

vice supported by the continued development of new product ranges. This continuing innovation and investment in new capability will ensure we are well placed for future progress.” $200 Million Investment Indeed, European bakers of all sizes are investing in new equipment to improve efficiency, flexibility and sustainability while adapting to the increasing consumer demand for innovative and healthier products. For example, Mondelez International has installed five state-of-the-art manufacturing ‘Lines of the Future’ as part of a $200 million investment programme at its Czech biscuit plant at Opava in order to accelerate growth in Europe.

“Our growth story in Europe continues thanks to the investments we have made in Opava, one of the most modern factories in our network and a leading producer of biscuits for our Hubert Weber, executive vice-president and European markets,” president of Mondelez Europe.

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

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Ann-Beth Freuchen, chief executive of Orkla Confectionery & Snacks.

and Haydens premium bakery businesses.

Jackson’s new bakery in Corby will provide additional support to the main bakery in Hull in making bread for sandwich manufacturing and food service customers. The Hull bakery currently produces around two million loaves of bread a week.

Simon Ball, managing director of Jacksons, comments: “The new bakery will help us grow as a business and allow us to build on the great work we do in Hull. We have a brilliant team working on the expansion project, and there’s a real buzz of excitement right across our business as we have the opportunity to create something really special which will be at the forefront of bread-making in the UK.” In addition to making 70% of the bread used in UK prepared sandwiches, Jacksons makes branded bread for sale in UK supermarkets – Jackson’s Yorkshire’s Champion which has grown every year since its launch in

points out Hubert Weber, executive vice-president and president of 2012.

Mondelez Europe. A number of the group’s biscuit brands, includElsewhere, Greggs, the UK’s largest retail baker with almost ing Oreo, Milka, Cadbury, TUC and Chips Ahoy!, are growing 1,900 outlets, is continuing to implement a major £100 million revenue at double digit rates in Europe. investment programme focused on increasing logistics capacity and Hubert Weber elaborates: “The five state-of-the-art manufactur- consolidating its bakery manufacturing operations into centres of ing Lines of the Future installed here have enabled us to improve excellence in order to support shop growth. The investment prothe speed, efficiency, effectiveness and quality of our biscuit pro- gramme, which is expected to be completed in 2020, is designed to duction, while improving competitiveness in the European market. deliver improvements to product quality, competitiveness and, The modern production alongside systems investlines enable us to meet growment, will complete the ing demand from European group’s transformation from consumers for our Power traditional bakery to foodBrands, while other factories on-the-go. in our network continue to produce the local and Rising Business Costs regional heritage brands that Economic conditions beconsumers have loved for came more challenging in generations. In all cases, we 2017, with business cost apply the same high staninflation rising significantly dards for quality and taste, as due to food ingredient and well as ensuring we reduce Norwegian food group Orkla is consolidating its production of biscuits and building a new labour cost increases affectour impact on the environ- biscuits factory outside Riga in Latvia. ing the entire sector. ment.”

However, Greggs was able to leverage its scale and deliver productivity improvements to mitigate New Biscuits Factory some of these pressures but, as expected, saw some year-on-year Norwegian food group Orkla is consolidating its production of bis- margin slippage. The UK market generally saw price inflation cuits and building a new biscuits factory outside Riga in Latvia. returning to the food sector.

The move is part of the group’s strategy of concentrating manufacRoger Whiteside, chief executive of Greggs, says: “2018 will be turing in fewer and more efficient plants. Biscuits are an important the peak year for investment in our supply chain as we create the category for Orkla with the group holding strong market positions platforms for further growth. We also plan to open a record numin the Nordics and Baltics and export sales. ber of new shops as we implement our plan to grow Greggs as a “By investing in a new, modern factory and concentrating production in one location, we can strengthen our future competitiveness and innovative ability and at the same time reduce our climate footprint. The new production plant will allow us to focus investments on new technology, increase cost effectiveness and create a stronger production platform,” says Ann-Beth Freuchen, chief executive of Orkla Confectionery & Snacks.

Meanwhile, Vel Pitar, the largest bakery company in Romania, is to construct a new RON12 million bread factory in Bucharest. Romania is one of the largest bread consumers in the EU, with annual per capita consumption at 95 kilograms compared with the EU average of 60 kilograms. The Romanian bread market is estimated at Eur1.8 billion with domestic production accounting for about Eur1.1 billion.

UK Bakery In the UK, William Jackson Food Group is investing £40 million in a second bakery to support growth at its Jacksons bread business in England, while Real Good Food has embarked on a £15.5 million expansion plan for it Renshaw cake decoration

Roger Whiteside, chief executive of Greggs.

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

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William Jackson Food Group is investing £40 million in a second bakery to support growth at its Jacksons bread business in England.

impact of their food choices on the environment and have high expectations of manufacturers to take their share of responsibility,” says Hubert Weber. “As Europe’s largest biscuit baker, we can play a role in tackling challenges like climate change and resource shortages by promoting sustainable farming practices and improving biodiversity in our supply chain. In doing so, we contribute to creating a fairer, more transparent and integrated supply chain, in which good quality for consumers means a good impact on farmers and society.”

The Harmony program currently involves 1,700 farmers, 13 millers and 21 co-operatives across six markets (Belgium, the Czech Republic, France, Italy, Poland and Spain), producing 177,000 tons of wheat for the company’s biscuit brands in 2017. Through the program expansion, annual production of wheat under the sustainable conditions set out by the Harmony charter would increase to over 280,000 tons by 2022.

leading food-on-the-go brand.”

When the transformation programme is completed, Greggs will have the capacity to grow its estate to about 2,500 shops, as well as having a materially more efficient and flexible operational platform and infrastructure.

Continuing Consolidation The European bakery products industry is continuing to consolidate. A recent deal of this nature is the acquisition of Northumbrian Fine Foods (NFF), the UK’s leading gluten and milk-free biscuit manufacInnovation turer, by Biscuit International, one of Adapting to changing consumer demands is Europe’s leading players in the private label crucial to bakers in both domestic and intersweet biscuit market. In addition to supplynational markets. Carrs Foods, the ing supermarket own-label biscuits, NFF also Manchester-based company that has been owns the Prewett’s brand. supplying European-style bakery products for The acquisition is in line with Biscuit the past 30 years to both UK and global marInternational’s strategy of expanding its prodkets, is a case in point. ucts offering and geographical footprint Carrs Foods was ranked ninth in this year’s whilst meeting growing consumption trends Sunday Times HSBC International Track in Europe such as the rising demand for 200, which ranks Britain’s mid-market priorganic and free-from products vate companies with the fastest-growing Indeed, Biscuit International was created international sales. Carrs Foods achieved an through the merger between Groupe Poult in international sales growth of 29% compared France and Banketgroep of the Netherlands to 2016, with a global sales turnover of £49.2 in 2016 and the later acquisition of A&W million.

Feinbackwaren in Germany. The combined Having relaunched its fresher for longer group produces 100,000 tons of biscuits and brand, Baker Street, which has a total retail waffles from 12 factories in Europe. Biscuit value of over £14 million, Carrs Foods International generated sales of Eur300 milachieved growth in the UK and in selected lion in 2017, half of which were outside territories in the Middle East and Europe.

France, and employs 1,300 people.

Similarly, St Pierrs, Carrs Foods’ premium Giampaolo Schiratti, chief executive of European bakery brand, is now the leading Giampaolo Schiratti, chief executive of Biscuit Biscuit International, says: “The European European ambient bakery brand in the US International. free-from market is very dynamic and reprefollowing its launch in 2014 sents a real opportunity for growth. NFF’s Jeremy Gilboy, managing director of Carrs Foods, comments: expertise in gluten and milk-free biscuit production was a major “As a leader in the international bakery sector, we continue to help attraction to us and the business provides an excellent fit into our drive growth through innovation and delivering solutions that con- portfolio of companies. We aim to further develop the business sumers both need and want and pride ourselves on ensuring all our through innovation and creating exciting new products for the UK products deliver on taste, convenience and variety. Along with our and European markets, and we anticipate this acquisition will lead strong retail performance, sales of our Baker Street and St Pierre our group to become Europe’s largest producer of gluten and milkbrands are increasing in the food service sector too, where they are free sweet private label biscuits.” J of particular appeal because, as longer lasting ambient products, they do not need to be frozen to stay ‘fresh’.”

Sustainability Sustainability remains high on the agenda for European bakers, especially given deepening consumer concerns about this issue. Mondelez International has plans to expand the Harmony program, the company’s sustainable wheat sourcing initiative, to cover 100% of its biscuit brands in the European Union by 2022, up from 60% of the company’s biscuit production in the EU last year.

“European consumers increasingly equate high-quality products with sustainable production. They’re aware of the

Real Good Food has embarked on a £15.5 million expansion plan for it Renshaw cake decoration and Haydens premium bakery businesses.

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I BAKERY

iba 2018 – 15-20 September – Fairground Munich Iba, the world’s leading trade fair for bakery, confectionery and snacks, which will take place at Fairground Munich from 15-20 September 2018, offers an unparalleled market overview in twelve halls with all the latest innovations and products of the industry. irtual bakery tours, a central topic for the to-go market and a speakers’ corner are exciting innovations that visitors can look forward to. More than 1100 exhibitors from over 45 countries will cover the entire spectrum of baking goods.

“As the leading trade fair, iba has an eye on all the trends in the industry worldwide, as well as the relevant requirements for bakers and confectioners, restaurateurs and industry decision-makers of the food retailing sector,” explains says Dieter Dohr, CEO and President of GHM Gesellschaft für Handwerksmessen. “At iba 2018, innovations and concepts will play a central role for all sized companies in the areas of manufacturing processes, the out-ofhouse market, energy efficiency, automation, hygiene, digitisation at the point of sale, and in production, shop fitting, packaging and logistics.”

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New Speaker's Corner in Hall B5 The baking industry is facing big challenges. In addition to the iba.FORUM in Hall B3, the new speakers’ corner in Hall B5 offers comprehensive coverage. There, visitors can exchange ideas with leading experts on interesting topics from science to applying it in practice and get a perspective on upcoming trends.

New Visitor Service - The Digital iba Marketplace Iba also offers its visitors a new digital service. Through the online marketplace, visitors can prepare themselves better for their specific needs before the fair and so gain a better overview and orientation on site.

Thanks to the new search option for ‘solution approaches’, you can quickly find, for example, innovative snack solutions, digitisation, energy efficiency or raw materials that will be exhibited at iba. Additionally, visitors have the opportunity to contact the exhibitors directly and arrange appointments with them. Further information is available at www.marktplatz.iba.de/en.

concepts for baking traders at a central contact point. There, the entire process chain of snacks is presented - from ingredients and preparation, through to sustainable packaging solutions to logistics and shop design, rounded off with many workshops and displays. The trend topic coffee is also discussed in detail by experts, starting with the coffee bean, roasting and grinding, to machines and serving coffee in china or to-go cups with a deposit system.

Top Bakers in One Place At iba, a multimedia experience show in Hall B3 will premiere. From Munich, visitors can have a look at the top bakeries on a national and international level. With the help of virtual reality glasses and 360-degree videos, you will be able to see right into renowned master bakeries from Germany, Greece, Iceland, Austria, Japan or the USA directly at the fair.

Here, trade visitors experience firsthand what makes their colleagues across the border successful.

The experiential programme in Hall B3 will be complemented by the appearance of renowned industry

‘iba.TO GO!’ - Snack and Beverage Concepts in a Central Area Also new is the topic area ‘iba.TO GO!’ in Hall B3. For the first time, iba is combining innovations and solutions for snack and beverage FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

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stars in live competitions at the ‘iba.FORUM’. Highlights include the world-renowned iba-UIBC-CUP, an international championship in which bakers from twelve countries compete against each other. In 2018, for the first time, the best young confectioners in the world will compete in the UIBC Junior World Championships in Munich.

Best For Last For visitors and exhibitors to be able to exchange views in a relaxed

atmosphere after the fair, the iba Oktoberfest tent will also be on the exhibition grounds. This year, Wiesn-Wirt Able will take care of the guests and thus ensures a relaxing end with the original Bavarian Oktoberfest atmosphere - of course with a brass band and traditional specialties. Further information about iba visit www.iba.de/en. J

‘iba.OPERATE!’ – The Entire Packaging Market in One Hall With ‘iba.OPERATE!’, packaging solutions and processes are shown in Hall B1.

“Medium-sized companies, large bakeries, manufacturers of dough and the food retail industry, iba offers a market overview in this area, which has never been seen before at this fair,” says Claudia Weidner, project manager of iba. Intelligent and environmentally-friendly packaging, food safety and process optimisation solutions will be presented, of course, live in action.

Sustainable, efficient, safe, fast and smart - With ‘iba.OPERATE! Packaging & Processing Solutions’, iba is dedicating a large special section in hall B1 to packaging solutions, materials and processes. Everything here revolves around packaging solutions, processes and materials for wholesale bakeries, dough manufacturers, trade, and the confectionary and supply industry.

Visitors are guaranteed a 360° view of the market and its innovations.

“After the successful premiere at iba 2015 and the very good feedback from exhibitors and visitors, we are once again going to bring together packaging solutions and processes for products such as bread, pastries, confectionery, snacks, pizza, toast, pies, frozen dough pieces, biscuits and cereal/chocolate bars in one section,” explains Claudia Weidner, iba project manager. “iba.OPERATE! will provide visitors with all the information they need and help them find the right partners for their company.”

In a global market in which logistics and transport are becoming increasingly important, there is a very high demand for suitable packaging solutions. These are expected to fulfil key tasks, particularly in the food industry. They should offer ample protection to the products during transport, the products should remain fresh and well preserved, and the packaging must comply with all applicable food safety and food hygiene regulations. In addi-

tion, the packaging processes should also be efficient – because speed is crucial at high volumes.

Visitors can look forward to numerous novelties and premieres. For instance, ILAPAK will be presenting its new horizontal flow wrapper for the first time. The company, which develops packaging solutions based on the requirements of its customers, will be showcasing its machine in action at its stand.

Bosch Packaging Technology will be presenting various machines, including a roller former for bar production and a flow wrapping line for pastries with a robotised feeder. The trend shows an increasing demand for flexibility of process and packaging machines as well as complete solutions that are optimised for gentle product handling and high food safety. The company always has the right answers eg, to the special challenges presented by gluten-free pastries. Bosch has therefore developed a two-in-one biscuit packaging system to address this problem, a flow wrapper that is very gentle with the biscuits and that has significantly minimised waste.

MULTIVAC will be presenting a complete range of solutions for packaging bread, bakery products, biscuits and snacks. In addition, the company will also present two chamber machines, a compact thermoforming packaging machine and a tray sealer. “In the bakery industry, there is a clear trend away from frozen products and towards MAP packs,” explains Tanja Nickels, Press and Public Relations Manager at MULTIVAC. Various compact machine models for producing MAP packs will be presented at the trade fair.

In addition to ‘iba.OPERATE!’, more packaging solutions will be exhibited in other halls and will range from baker’s bags to decorative packaging.

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I IBA 2018 PREVIEWS

Flexible and Innovative Solutions From AMP Automation MP Automation designs and builds A flexible automation solutions for multipack products, from complete bespoke systems to off the shelf equipment. The company works with both robotics and the latest in linear transport technology, the benefit of being able to work with both systems is delivering a system without compromise to meet the client’s exact needs. The sys-

tems can be single point machines or complete packing lines from primary packaging to palletising.

Bespoke Solutions Not all products are packaged the same, even if they were each product would still have to be handled differently. So, it comes as no surprise that a lot of solutions to automation requires a bespoke system to be designed.

The family owned business has a design team that is set up to deliver on these bespoke projects, creating innovative designs that’s both functional and maximises the space on the clients factory floor.

Many of the won orders have come down to the inventive design.

With over 100 staff AMP Automation has the skills and depth to meet the needs of both the companies that are new to automation and the multinationals that have long term projects goals to automate their factory.

AMP Automation are preferred partners with several different companies that allows the company offer complete packaging lines. Over the years the company have gained vast experience for integration work, which allows them to work with different equipment and create one system that communicates to each other.

AMP Automation is exhibiting in Hall B1, Stand 280 at IBA 2018. For further information Tel +44 1427 611 969, E-mail sales@ampautomation.co.uk or visit

Witt Showcases Quality Assurance For Bakery Products ITT-Gasetechnik’s stand at IBA 2018 W in Munich is all about leak detection.

In-line leak detection is an ideal way for many manufacturers to guarantee the quality of their bakery products.

Bread and baked goods are highly perishable products, and for this reason are often packaged in a modified atmosphere.

However, only flawless packaging can guarantee the desired quality and long shelf life.

Even the smallest leaks can mean that mouldy prebaked bread or cakes will reach the customer.

At the IBA exhibition in Hall B1 Stand 258, Witt is showcasing its Leak-Master series - a range of solutions that can detect leaks in packaging. In-line leak detection using the Leak-Master Mapmax offers 100% safety. The Mapmax is integrated in the packaging line and employs a fully auto16

mated process to test the entire production batch using CO2 sensors. Witt deliberately targets carbon dioxide detection, as this gas is usually already present in most protective gas packaging.

A vacuum is generated within seconds in the test chamber of the device. Even microleaks in the packaging allow gas to escape, and this is detected by high-tech sensors.

Leaking packages can be removed from the production line automatically. At up to 15 test cycles per minute, the Mapmax is unique in its field. As well as individual packaging, shipping cases and entire boxes and cartons can also be tested. The Mapmax is available in a range of different sizes. At just 117 cm long, the latest Compact version is ideal wherever space is limited.

Witt is also exhibiting random sampling equipment at the IBA as a cost-effective entry-level leak detection solution. An extremely simple but highly effective device is the Leak-Master Easy, which tests the leak-tightness of packages in a water bath. J

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

I IBA 2018 PREVIEW

Smarter Solutions From JEROS EROS A/S, the Danish company with J more than 55 years of experience and expertise in manufacturing a wide range of high quality products and customised solutions for the food industry, will be exhibiting on Stand 131 in Hall A3 at iba 2018.

Visitors to the 162 sq m JEROS Stand will be given the opportunity to gain an insight into the company’s entire product range of dish washers, utensil washers, crate washers, tunnel machines and tray cleaners designed for food processors, as well as for the retail and food service sectors, including bakeries, confectioners, butchers, hotels, restaurants, fast food outlets and industrial kitchens.

* All material is returned to the production - No loss of material = No production stoppage; * Minimizing of operational costs; * Flexibility; * Ergonomics.

“Our new JEROS ACE system is the most flexible and efficient cleaning system for multi-head weigher components and other scale parts from the production machinery. Time consumption on the entire process from removing, washing and reinstalling parts can be reduced from two hours to only 20 minutes because the system is automatic and removes any human handling of parts,” explains Evita Rosdahl, CEO of JEROS A/S. “This way, food manufacturers can increase production time and optimise workflow.”

Improve Hygiene While Reducing Water Consumption

JEROS ACE System

Food manufacturers need efficient cleaning solutions to meet increasing stringent hygiene and food safety regulations.

However, time spent cleaning scale parts from the production machinery reduce production time.

A highlight at iba 2018 will be the JEROS ACE, a new industrial cleaning system for scale parts which enables food manufacturers to reduce wash down time by more than 80% and optimise production time. The JEROS ACE System offers a number of benefits to food manufacturers: * Hygiene control/Food safety; * Time and water reduction; * Minimizing of unproductive time; * Optimization of work flow; * Minimizing of wash down time * Safe handling of materials - manual handling increases the risk for damage);

It can be difficult for food manufacturers to control hygiene standards when personnel wash scale parts by hand. At the same time, operators cannot clean components at the temperatures needed to ensure disinfection.

The JEROS ACE system solves this problem.

“Today, operators spend about an hour cleaning 32 multihead weigher components manually and use 720 litres of water. Using JEROS ACE system, operators will be able to clean the same amount in six minutes and minimise water consumption to only 16 litres,” Evita Rosdahl continues.

“Furthermore, automating the process ensure a high level of consistency and food safety because the system has a rinse temperature of 85°C always ensuring disinfected components without any bacteria.”

Reduce Costs and Optimise Workflow

In addition to reducing time and water consumption, the JEROS ACE system prevents components from being damaged or lost

during the cleaning process, which is common due to manual handling.

“Multi-head weigher components cost around 500-800 euros a piece.

Furthermore, damaged or lost components can lead to production shutdown resulting in high operation costs.” Evita Rosdahl elaborates: “Components are safely mounted inside the JEROS ACE system so they cannot be damaged. After wash down, components automatically move to trolleys and safely return to the production lines. This way, we not only optimise the cleaning process but also the workflow.”

ACE Approved by Arla Foods

The JEROS ACE system is already installed and cleaning parts from the production machinery at companies like Arla Foods, Pepsico and Nestlé.

“These companies have between 5 and 20 multihead weigher components in the production. Consequently, operation costs and unproductive time were very high before they gained the advantages of the JEROS ACE system,” she adds.

JEROS® Industrial Tray Cleaner

JEROS will also be demonstrating the functionalities of its Industrial Tray Cleaner at iba 2018. As the world’s leading manufacturer of tray cleaners, JEROS has introduced the first automatic tray cleaner system with automatic tray feeder to the baking industry.

Visitors to the JEROS stand will be able to see this powerful, fully automated tray

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cleaner in action. JEROS A/S reports increasing demand for the system from bigger bakeries, such as Dr Karg in Germany, which currently has three systems working in one plant.

The JEROSÂŽ Industrial Tray Cleaner with autofill system has been developed for large bakeries with a need for cleaning and automatic oiling of between 1000 and 10000 trays within 24 hours. The system can clean and grease from 600-700 trays per hour. Trays are cleaned with the baking side upwards and steering is accomplished with a data logger.

The system can be used for large twosided trays as well as perforated trays, and is

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specifically designed to be adaptable to the tray specifications of each customer. The trays are cleaned and taken through the system with the baking side up, which means that the trays are ready to be used right away without any need to be turned.

The tray wagon capacity is approximately 150 trays per wagon. The system operates automatically, and only has to be manually operated to remove the tray wagon, when it has cleaned and oiled all of the trays in a tray wagon, which takes about 20 min. depending on tray size.

A visual indicator signals when the unloading tray wagon is empty, and then the system stops automatically when the receiving tray wagon is full. The full tray wagon is then replaced by the empty tray wagon from the feeding section where a new wagon with dirty trays is placed to repeat the task.

Dirt from the trays drops to a waste collection tray that is mounted on wheels, which makes emptying the tray easier. The capacity of the waste tray is 50 litres. The trays are cleaned via the unique brush system, which cleans the surface and keeps the perforations dirt free on the same time.

The life span of the brushes is approximately 1 million trays.

The complete system is enclosed in an insulated and noise-reducing environment.

For further information visit www.jeros.com. J

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

I CONVEYING SYSTEMS

Rexnord Introduces KleanTop Plastic Modular Belts For Food Processors exnord announces its new KleanTopTM plastic modular belting product line, specifically designed for the unique needs of the food processing industry.

“Food processors have requirements specific to hygiene and sanitation that few industries face,” says Lucas Knapp, Global Director of Marketing for the food industry. “With the KleanTop product line, food processing end users and OEMs can be sure the plastic modular belting they install is comprised of food-safe materials, meets the wash-down and abrasion resistant requirements for their applications, and are not a one-size-fits-all solution that may compromise quality or efficient operations.”

The KleanTop line launches with the introduction of new belting series designed specifically for the food processing industry: the Rexnord 590, 1090 and 1010 Series KleanTop belts. They join several other Rexnord belting products under the KleanTop line that feature food safe materials and designs,

R

Rexnord manufactures both the KleanTop line of plastic modular and metal conveyor belting products, giving food processors a complete end-to-end solution for conveying systems.

About Rexnord Rexnord designs, manufactures, markets and services specified, highly engineered mechanical components worldwide used within complex systems where customers’ reliability requirements and the cost of failure or downtime are extremely high. Rexnord keeps industry moving with products and services that enhance the reliability of equipment supporting key industries, including food, beverage & liquid, automotive, energy, and mining.

Rexnord acquired Cambridge Engineered Solutions in 2016 and is now the world’s largest manufacturer of metal and plastic conveyor chains and belts. J most notably the 390, 2010 and 1200 series. Each KleanTop product offers a set of benefits specific to the food processing industry, such as open hinges for cleaning and drainage, abrasion resistance and features that reduce product contamination concerns.

About the New Rexnord 590, 1090 and 1010 Series KleanTop Plastic Modular Belts: • The Rexnord 590 Series KleanTop is a 1⁄2” pitch belt designed to deliver an optimal combination of ease in cleaning, transfer capability and open area.

• The Rexnord 1090 Series KleanTop offers the same benefits as the 590 Series. It is available in a 1” pitch and is optimized for use with a 2” diameter roller for smooth transfer and to promote airflow across the bottom of the belt.

• The Rexnord 1010 Series KleanTop features an open hinge design with 60% rod exposure allowing for effective cleaning.

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ENERGY

ENVIRONMENT

I SUSTAINABILITY

HUBER Technology – Finding Solutions For Customers UBER Technology are looking forward H to the forthcoming Sustainable Food & Beverage Manufacturing Summit at the Ricoh Arena, Birmingham on 2nd October 2018.

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James Tucker, HUBER’s Industrial Business Development Manager will be talking about how the reluctance to spend money outside of the production area is understandable, but in many cases smart spending on wastewater assets can result in net cost savings.

James’s presentation will look at how much money wastewater and sludge can cost a business, and how to reduce this. Areas of greatest impact will be discussed, along with examples of solutions.

Recently HUBER have found a solution for an abattoir using their trial Screw Press Q-PRESS® dewatering unit. It was another good example of their screw press’s performance, dewatering Dissolved Air Flotation (DAF) sludge. The low polymer usage and high dry solids in

the cake surprised both HUBER and the client but testing on 3 separate occasions confirmed the results.

• Feed Sludge: 10.9 to 12 DS • Polymer Usage: 4kg / tDS • Dewatered Cake: 32.8 to 38.7% DS • Filtrate 106 to 231 mg/l (returned to treatment plant).

The trial plant used here comprises of the pumps and dosing equipment needed, plus a HUBER Screw Press Q-PRESS® dewatering unit, all neatly packaged into a container for easy transport between sites using a HIAB. If you have a waste stream that needs treating or an existing plant producing sludge, HUBER can tailor a solution to your site from their wide selection of different process equipment types and sizes.

Please visit Huber on Stand 101.

Further information at www.huber.co.uk. J

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

I PROCESSING & PACKAGING

Countdown Begins to the UK’s Leading Processing & Packaging Machinery Event elebrating its 30th anniversary this C year, the PPMA Show will return to the NEC Birmingham from 25-27 September 2018 to showcase the latest innovations in smart manufacturing, processing technology and packaging machinery, aimed to increase production line efficiencies and enhance business performance and profitability. New to the show this year will be the Enterprise Zone, which will offer visitors a focal point for learning, networking, discovery and live debate.

Presenting the biggest and most comprehensive line-up of production technologies and solutions for the food and beverage, pharmaceutical, toiletries and FMCG sectors, visitors to the show will see 350 exhibitors representing 1,500 brands, all under one roof. Leading players already confirmed include Schneider Electric, Ishida Europe, Bosch, ABB and Omron Electronics UK, creating an unrivalled platform to connect, engage and network with suppliers and industry peers.

Commenting on the forthcoming show, Dr Andrew Mint, Chief Executive Officer, PPMA Group of Associations, says: “Our 30th anniversary show comes at a time when UK manufacturing is enjoying its longest period of expansion since 1968 and these positive signs will undoubtedly boost confidence throughout our sector.

Against this future optimism, the PPMA Show 2018 looks set to be one of the biggest and best to date, where visitors can benefit from an unsurpassed skill set of experience, expertise and industry knowledge and witness the latest processing and packaging technologies in real-time demonstrations.”

The Enterprise Zone The Enterprise Zone will include a series

Programme. Visitors will be matched and introduced to specialist knowledge experts according to specific requirements, who will be available during the show to offer advice, guidance and assistance. Also present in the zone will be the British Plastics Federation (BPF) to discuss its latest developments in materials and handling technology. of educational features including live workshops, presentations, interactive discussions, question and answer sessions and panel debate covering key topical issues and industry trends. The keynote address will be delivered by Lord Mark Price, Minister of State for Trade and Investment who will bring his years of experience as Managing Director of Waitrose and Deputy Chairman of The John Lewis Partnership to the podium.

The morning of day two will focus on ‘The Future of Food Manufacturing’ hosted by Craig Leadley of scientific, technical and advisory services organisation Campden BRI. With presentations from the National Centre for Food Manufacturing (NFCM), the Manufacturing Technology Centre (MTC), and Campden BRI, the session will cover robotics and automation, augmented reality and the virtual factory, as well as preservation technologies, food safety management and culture, and conclude with an interactive discussion.

There will be a full speaker programme running throughout the show, delivered by a line-up of high profile and respected industry experts. Presentations and case studies will offer real examples of manufacturing best practice and excellence in processing and packaging production aimed to motivate and inspire visitors to increase efficiencies, explore new opportunities and take their businesses forward.

Networking will also be a highlight of the Enterprise Zone, with dedicated meeting areas and organised activities to facilitate engagement and connection with industry peers.

The Enterprise Zone will also feature a helpdesk and a free advice service for small start-up ventures and entrepreneurs as part of the PPMA’s new Start-up Ambassador

PPMA Group Industry Awards 2018 Celebrating industry excellence and recognising innovation and smart manufacturing, the prestigious PPMA Group Industry Awards ceremony and three-course gala dinner will move to the Hilton Birmingham Metropole Hotel at the NEC. This year, the event, which will take place on the evening of the 25 September, the first day of the PPMA Show 2018, will be hosted by TV presenter and comedian Brian Conley and include two new award categories; ‘Customer Service’ and ‘PPMA Best’. For further information and to enter, visit www.ppmashow.co.uk/awards/ppmagroup-industry-awards Dr Mint continues: “Having consulted with exhibitors and show visitors, we know that there is still a tremendous appetite to seek out new innovations, technologies and solutions and to discover the unexpected. We therefore look forward to opening the doors of the PPMA Show 2018 and celebrate its milestone anniversary with some of the biggest and brightest manufacturing leaders.”

Free Visitor Regitration Registration for the PPMA Show 2018 is now open. To register for your FREE visitor badge, visit the PPMA Show website at www.ppmashow.co.uk. J

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I DAIRY

Glanbia Ireland Reopens Wexford Cheese Plant and Plans €160 Million Investment at Belview Site Having recently reopened its Wexford cheese plant following capital investment of €35 million, Glanbia Ireland, Ireland’s leading dairy and agri-business company, now plans to invest over €160 million at its Belview site in County Kilkenny. n addition to substantially increasing Glanbia Ireland’s cheese processing capacity, the Wexford investment will deliver an additional whey stream for the sports nutrition sector, which is one of Glanbia’s key market sectors.

The Eur35 million investment programme has been supported by the Irish Government through Enterprise Ireland, the State agency responsible for the development and growth of Irish enterprises in world markets, and has doubled peak capacity at the Wexford plant.

Award winning cheese from the expanded facility is supplied to a number of global food companies and is also widely available in the ‘Wexford’ branded cheese range which can be bought in Ireland and in a number of overseas markets.

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Jim Bergin, chief executive of Glanbia Ireland.

Expansion of Belview The Eur160 million investment at the Belview facility, which was first opened in 2015, includes the installation of a new third dryer and other processing equipment which will produce infant formula products destined for global export markets. Enterprise Ireland is again supporting the expan-

sion plans.

The new facilities in Belview are expected to be operational by 2020 and the investment will result in the creation of 83 new full-time jobs as well as supporting 400 jobs during the two-year construction phase of the project. There will also be a significant knock-on effect from this investment in the wider economy both regionally and nationwide, and the indirect jobs created from these types of agri-investments are very substantial.

Heather Humphreys TD, Minister for Business, Enterprise and Innovation, says: “The Government’s investment, through Enterprise Ireland, to support Glanbia Ireland’s development of new activities in Belview reflects our belief in the underlying economic contribution of our indigenous dairy industry and in the company’s development plans. Glanbia has long been one of Ireland’s great home-grown success stories, and as a company, has been characterised by its successful international growth strategy in key markets and a commitment to innovation and excellence. This investment demonstrates a real longterm commitment to farming families and the rural economy.”

Despite the current volatility in global dairy markets, Glanbia Ireland sees growing demand and positive long-term prospects for its products. The investments at Wexford and Belview are designed to

The Eur35 million investment programme doubled peak capacity at the Wexford plant.

ensure that Glanbia Ireland’s suppliers have the opportunity to access these markets.

Joint Venture Glanbia Ireland was established in 2017 following the combination of Glanbia Ingredients Ireland, Glanbia Consumer Products and Glanbia Agribusiness. A joint venture 60% owned by Glanbia Co-op and 40% owned by Glanbia plc, Glanbia Ireland processes a 2.6 billion litre milk pool and exports high quality dairy and agri ingredients as well as branded products to over 60 countries. Glanbia Ireland owns leading consumer and agri brands such as Avonmore, Kilmeaden Cheese, Premier Milk, Wexford, mymilkman.ie and GAIN Animal Nutrition.

With annual revenue of Eur1.8 billion, Glanbia Ireland has 11 pro-

Award winning cheese from the expanded facility is supplied to a number of global food companies and is also widely available in the ‘Wexford’ branded cheese range which can be bought in Ireland and in a number of overseas markets.

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Delivering Digital Operations and Performance Transformation to the Food & Beverage Industry For over 20 years Orbis have been helping Global businesses to drive production efficiency, pushing towards zero loss manufacturing.

We are committed to providing our clients with the very latest in MES innovation, in line with Industry 4.0. The Orbis OPS Solution empowers Food and Beverage manufacturers to transform their businesses and achieve significant value through Smart Manufacturing.

As specialists we have a deep domain knowledge in areas of Batch Records, Track & Trace, OEE, Quality, KPIs, Mass Balance and Business Intelligence.

With our high-level expertise and deep understanding of the issues facing the Food & Beverage industries, there’s no one more qualified than Orbis to take your manufacturing to the next level.

Orbis MES, 14 Cumberland St, DĂşn Laoghaire, Dublin, A96 N1W5 E Info@orbismes.com T +353 1 230 3442 W www.orbismes.com

The Eur160 million investment at the Belview facility, which was first opened in 2015, includes the installation of a new third dryer and other processing equipment which will produce infant formula products destined for global export markets.

cessing plants, 53 agri branches and over 1,800 employees. Glanbia Ireland ranked second in the KPMG Milk Price Review for 2017, which measures the actual price paid for manufacturing milk over the full calendar year. In terms of net milk price paid to suppliers, Glanbia Ireland was higher than other Irish dairy processors including Kerry Group, Arrabawn Co-op, Dairygold Co-op and Lakeland Dairies, and was just behind the West Cork co-operatives, which jointly own Carbery Group.

As well as paying a high milk price in 2017, Glanbia Ireland achieved a profit-after-tax of Eur43.1 million. Indeed, Glanbia Ireland is committed to delivering consistent annual profits to support continuous investment in R&D and new market development in order to benefit its owners.

Continued Investment The latest investments in Wexford and Belview are part of Glanbia Ireland’s longstanding commitment to meet the growth ambitions of its milk suppliers, points out Jim Bergin, chief executive of Glanbia Ireland. He elaborates: “In recent years, Glanbia Ireland has invested

Eur235 million at the company’s milk processing plants at Virginia (County Cavan), Ballyragget and Belview (County Kilkenny). Between now and 2020 we expect to invest between Eur250 and Eur300 million to facilitate an expected 30% growth in milk from Glanbia Ireland’s 4,800 farmer suppliers. This level of investment is also required to diversify the product mix we can offer customers to help navigate the unprecedented level of volatility in the global marketplace.”

Glanbia Ireland will soon by supplying key raw materials to a new Eur130 million mozzarella cheese manufacturing facility being developed by Glanbia Cheese, a joint venture business between Glanbia plc and Leprino Foods (see ‘€207 Million Investment in Irish Cheese and Whey Processing’ in this issue). Another Glanbia plc joint venture, involving Dairy Farmers of America and Select Milk Producers Inc, is planning to build a large-scale cheese and whey production facility in the US at a cost of $470 million (see Panel).

Research Project Glanbia Ireland is also leading a Eur30 million dairy industry research project, called AgriChemWhey. The AgriChemWhey project will take low value by-products from the dairy processing industry – excess whey permeate (WP) and delactosed whey permeate (DLP) - and convert them into cost competitive, sustainable lactic acid. Lactic acid can then be used in value-added bio-based products for growing global markets, including biodegradable plastics, bio-based fertiliser and minerals for human nutrition.

The project will explore the development of a new state-of-the-art, bio-refinery at Lisheen, County Tipperary with a world-first process for converting by-products from the dairy industry into high value biobased products including biodegradable plastics.

AgriChemWhey is based on groundbreaking technology developed and patented by Glanbia Ireland, in collaboration with University College Dublin and Trinity College Dublin. It builds on previous

Glanbia and US Partners to Build $470 Million Cheese and Whey Factory Glanbia, the global nutrition group, along with US dairy co-operatives Dairy Farmers of America and Select Milk Producers - expect to commission their new joint venture large-scale cheese and whey production facility for the State of Michigan in the fourth quarter of 2020 at a cost of $470 million.

The new facility will process 3.6 million litres of milk per day into a range of cheese (135,000 mt per year) and whey products for US and international markets. The site will employ approximately 250 staff when in full production.

The joint venture partners have reached an agreement with Proliant Dairy Ingredients to process the whey permeate. A dairy ingredient manufacturer headquartered in Ankeny, Iowa, Proliant will invest $85 million in an adjoining facility in Michigan, creating up to 38 jobs.

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The AgriChemWhey project will explore the development of a new bio-refinery at Lisheen, County Tipperary. Pictured is an architect’s impression of the biorefinery.

research programmes funded by Enterprise Ireland and research carried out within the Science Foundation Ireland funded Advanced Materials and BioEngineering Research (AMBER) centre.

The research project will receive Eur22 million in funding from the Bio-Based Industries Joint Undertaking (BBI JU) under the European Union’s Horizon 2020 research and innovation programme. The balance of funding will come from the partners involved.

Potential Jim Bergin says: “We are very excited about this R&D project which has the potential to harness the potential of by-products from the dairy processing stream and to create a circular bio-economy for the dairy industry.”

Professor Orla Feely, UCD Vice-President for Research, Innovation and Impact, remarks: “AgriChemWhey represents a fantastic opportunity for bio-economy leaders, including UCD, Glanbia, and the other project partners, to use their expertise to implement new technologies, at industrial scale, that address global challenges. Such challenges include the sustainable conversion of by-products from the dairy processing industry into high-value products. Challenges such as this go to the heart of the UN’s Sustainable Development Goals (SDGs).” J

I CHEESE & WHEY

Dairy Crest to Invest £85 Million to Expand Cheese Business airy Crest, the leading British-owned dairy company, is investD ing £85 million in growing the capacity of its cheese business £75 million of which will be invested at its Davidstow creamery in Cornwall. The investment will allow further growth of the company’s market-leading cheese brands Cathedral City and Davidstow, enhance whey production capacity and support farmers and economic growth in the South West of England.

Ultimately, the investment will enable Dairy Crest to process an additional 200 million litres of milk every year, increasing the company’s annual cheese production capacity from 54,000 tonnes to 77,000 tonnes over the next four to five years. The company’s whey production at the site, largely used for the global infant formula market, will grow proportionally.

The increase in capacity at Davidstow, which employs around 200 people, will enable Dairy Crest to respond to the growing cheese market in the UK, including convenience and snacking products, and on growing demand internationally in Europe, China, the US and the Far East.

The investment is good news for the 330 dairy farmers in Devon and Cornwall who supply Dairy Crest. The company wants to work closely with these farmers to grow milk volumes which will create a further boost for the region’s rural economy. In close con26

sultation with its independent dairy producer organisation, Dairy Crest Direct, the company has recently introduced a new milk pricing schedule which will be simpler to manage and will reward those farmers who supply milk with the most suitable composition for the manufacture of the Company’s cheeses and demineralised whey. Dairy Crest has also invested in its Farm Business Team, which liaises directly with farmers, to support them at this time of growth.

The investment in Davidstow will also reduce the environmental impact of the creamery by reducing significantly its water usage, increasing the amount of water recycled back into the creamery and becoming more energy resilient. J

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

I CHEESE & WHEY

€207 Million Investment in Irish Cheese and Whey Processing In addition to Glanbia Ireland’s new €35 million Wexford cheese plant and its planned €160 million expansion of its site at Belview, two other projects will entail a further investment of €207 million in Irish cheese and whey processing capacity. second Glanbia plc joint venture – Glanbia Cheese – is planning to invest Eur130 million in establishing a new, world-class mozzarella cheese manufacturing facility at Portlaoise in County Laois. Supported by the Irish Government through Enterprise Ireland, the new facility will have a production capacity of 45,000 tons per annum and will be operated by approximately 78 people.

The project is currently in its planning phase and construction is expected to commence later this year with the new factory starting production in 2020. The new scalable facility will supply products to customers in the food service sector of the pizza category across Europe.

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Joint Venture The leading mozzarella manufacturer in Europe, providing tailored cheese solutions to companies in over 30 countries around the world, Glanbia Cheese was established in 2000 as a joint venture between Glanbia plc and Leprino Foods Company. Glanbia plc is the world’s leading producer and marketer of quality performance nutrition products supporting active lifestyles. US-

Glanbia Cheese is the leading mozzarella manufacturer in Europe.

based Leprino Foods is a global leader in the production of premium-quality cheese and dairy ingredients. Leprino Foods is the largest producer of mozzarella cheese in the world and a leading manufacturer of lactose, whey protein and sweet whey.

Glanbia Cheese already has large scale manufacturing operations at Llangefni in Wales and at Magheralin in Northern Ireland. The new investment will build upon the successful partnership between Glanbia and Leprino.

Pictured at the announcement that Glanbia Cheese is to invest Eur130 million in establishing a new, worldclass mozzarella cheese manufacturing facility at Portlaoise in County Laois are (left to right): Martin Keane, chairman of Glanbia plc; Siobhan Talbot, group managing director of Glanbia plc; Minister for Justice and Equality Charlie Flanagan TD; Julie Sinnamon, chief executive of Enterprise Ireland; and Paul Vernon, chief executive of Glanbia Cheese.

Successful Partnership Siobhán Talbot, group managing director of Glanbia, comments: “Our partnership with Leprino Foods has been very successful for both partners to date and we are very positive about the potential of this new venture. We have worked closely with Enterprise Ireland on this project and are very appreciative of their support and commitment. We now look forward to moving the project on to its next phase.”

Mike Durkin, president of Leprino Foods, says: “This new plant in Portlaoise is an exciting project that will not only expand our thriving partnership with Glanbia, but will take advantage of our combined experience, knowledge and strengths to build a state-of-the-art facility to meet consumer demand for mozzarella cheese. It also reflects a desire to increase our presence and benefit from having a facility that is in close proximity to the growing European markets.”

According to Julie Sinnamon, chief executive of Enterprise Ireland, the State agency responsible for attracting Foreign Direct Investment into Ireland, the planned factory at Portlaoise represents “one of the largest new name Food FDI projects secured for Ireland by Enterprise Ireland in recent times.” Glanbia Cheese’s Portlaoise facility will source the majority of its key raw materials from Glanbia Ireland.

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TINE to Invest €77 Million in New Jarlsberg Plant TINE, Norway’s largest farmerowned dairy co-operative, is investing Eur77 million in a new dairy with the capacity to produce 20,000 tonnes of Jarlsberg cheese a year. Construction of the plant is due for completion in November 2019.

Jarlsberg is a mild cow’s milk cheese with large regular holes, that originates from Norway, but which is also produced abroad under licenses from Norwegian dairy producers. The facility will incorporate warm rooms and cool rooms for the different phases of cheese maturing and flavour development, along with a brine

room. Specialist equipment to be installed includes mould presses and vats for the production of curd and whey.

The objective of the investment is to secure and strengthen Jarlsberg sales outside of Norway as export supports are phased out in 2020. This will make export of Jarlsberg from Norway unprofitable.

TINE’s new facility in Ireland will be located on a greenfield site directly adjacent to Dairygold Co-operative’s existing plant at Mogeely in County Cork. TINE has been collaborating with Dairygold for over TINE’s new facility will have the capacity to produce 20,000 tonnes of Jarlsberg ten years. Indeed, the new facilcheese a year. ity will rent a host of facilities with Dairygold, such as heating, water, electricity, as well as waste filtration and shared environmentally friendly emissions. As part of the project, Dairygold will also invest significantly.

“TINE has chosen to add this production in Ireland because of the quality of raw materials and high agricultural expertise in the country. At the same time, Ireland has a strong commitment to producing food in an environmentally friendly manner,” points out Atle Kjol Jacobsen, executive vice president of TINE International. “Jarlsberg is characterised by good craftsmanship all the way from the individual farmer through the mill at the dairy until the product is in store.” J TINE is investing Eur77 million in a new dairy at Mogeely in County Cork.

I CHEESE & WHEY

Bel to Produce Mini Babybel at its First Canadian Factory el Group, a world leader in branded cheese and a major player B in the healthy snack market, plans to build its first Canadian plant in Sorel-Tracy, Quebec. The facility, which is scheduled to begin commercial production in early 2020, will be fully dedicated to producing Mini Babybel cheese. These dairy snacks encased in small and individual shells made of red wax are very popular with Canadian consumers.

The project will require an investment of $87 million and create 170 skilled jobs spread between the Sorel-Tracy plant and Bel Canada’s Montreal head office. It will also contribute to growing demand for Canadian milk.

The project will achieve Bel Group’s goal to produce locally, to better meet the needs of the Canadian market. The Sorel-Tracy plant will incorporate the entirety of Bel Group’s industrial expertise to ensure that production meets the highest standards of quality, food safety and environmental performance.

“Bel has been marketing its products in Canada since 1957, and we know the local dairy sector’s expertise. With this new plant, we are becoming a full-fledged Quebec dairy processor,” says Catherine Thomas, President of Bel Canada.

“This cheese is currently imported and will soon be produced with 100% Canadian milk. This is good news for local dairy producers. This investment will generate employment and much-needed economic benefits in our regions,” adds Bruno Letendre, Chair

of Les Producteurs de lait du Québec.

Bel Canada’s plant will be built on the site adjacent to Laiterie Chalifoux - a company established in Sorel-Tracy in 1920 with whom industrial synergies are expected.

Bel Group’s portfolio of differentiated and internationally recognizSed brands includes such products as The Laughing Cow, Kiri, Mini Babybel, Leerdammer and Boursin, as well as some 20 local brands. The company generated sales of Eur3.3 billion in 2017. J

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I DAIRY

GEA Builds New Infant Formula Plant For Mataura Valley Milk in New Zealand hen Mataura Valley Milk in the far south of New Zealand set off to build W the world’s best infant formula plant, it was to GEA that the company turned. The new plant, built on a green-field site in Gore, opened for business in August with every probability of achieving its dream.

Mataura Valley Milk is a new company, backed by China Animal Husbandry Group (CAHG), which is making its first pioneering steps into the milk processing industry. Its high-quality products will be sold in New Zealand and exported to China and worldwide to help meet a demand for infant formula that is currently valued at US$34 billion and is growing year on year.

Although the plant will be able to produce skim milk and whole milk powder, GEA has designed it primarily to make infant formula with a capacity of around six tons/hour running continuously if necessary. GEA supplied the equipment, engineering and project management for the whole project. This includes everything from milk reception to packaging of the formula in 25kg bags: tanker bay, wet processing, separation, silos, ingredient dosing, depalletizing systems, bulk bag handling, mixing, evaporation, the spray drying system, powder handling and packaging.

Greg Martin from GEA says that they had been working with Mataura Valley Milk for some years in the run up to this new project and they were delighted that it

Mataura Valley milk plant in New Zealand.

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had come to fruition and been completed successfully ready for commissioning. “The scope of supply for this project required expertise and technology from throughout GEA to come together,” he says. “In doing this I believe we have created a beautiful plant for Mataura Valley that should be the envy of the industry.”

Extensive Experience

GEA has had extensive experience in handling green field developments in New Mataura Valley dryer feed room.

Zealand over the last ten years and so was an appropriate partner for improves productivity, reduces cleaning Mataura Valley Milk as the company had times and chemical usage, and reduces few staff of their own to draw on at incep- energy costs. The system also includes full tion. By providing all the technology and air dehumidification allowing product conexpertise in house GEA was able to control sistency to be maintained whatever the the project from the start and ensure that ambient environmental conditions. The the company achieved its aims. hygiene zones have been designed to ensure At the heart of the system is GEA’s that no raw product enters the main proMulti-Stage Dryer MSD® that is ideally cessing plant: raw milk is processed sepasuited to the production of high-quality rately with only treated allowed within the infant formula. It is a naturally agglomerat- main building. Track and trace systems ing dryer that, within its normal operating allow full tracking of all ingredients; they parameters, produces a very stable, com- are easy to use and designed to be fail safe. pact, strongly-bonded agglomerated struc- Mataura Valley Milk is the first infant forture that is not easily broken down during mula plant in New Zealand to be fully valitransport. This structure means that the dated in accordance with the new MPI consumers get a product that disperses and (Ministry for Primary Industries) guidedissolves quickly in lines. warm water with no World’s Best undissolved particles.

The plant is designed “We set out to build the world’s best infant to run continuously, 24- formula plant and I believe we have done hours a day when neces- so,” comments Bernard May, General sary. It has built-in Manager from Mataura Valley Milk. “GEA redundancy of the evap- has guided us through the whole process oration system and feed and has brought the project in on time and lines to keep the dryer on budget.”

The Mataura Valley Plant will have first running until the next scheduled product milk on site in August 2018. GEA is curchangeover. Fewer stops rently working with the company to suphelps to produce a more port them in their future growth as part of consistent product, a long-term partnership. J

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

Orbis MES – Delivering Digital Operations and Performance Transformation For Smart Manufacturing rbis MES Ltd, based in Dublin Ireland, O have been strategic partners with Glanbia Ireland since 2008 for the provision of Smart MES solutions across its multiple plants in Ireland, UK and US. Smart MES, delivered by Orbis, is the engine driving plant performance, efficiency, sustainability and productivity within the Glanbia group.

Orbis worked collaboratively with the team on site at the Wexford Cheese plant to deliver a state-of-the-art Smart MES system in 2017. The project objectives for Orbis and Glanbia were to embed the use of the system in the daily operations of the plant in order to improve plant performance, eliminate losses, resolve problems quickly and permanently, drive continuous improvement initiatives with measurement and optimization of the plant and process.

The fully integrated MES System is central to Glanbia’s Continuous Improvement program – ‘Glanbia has a core focus on best in class manufacturing

operations, ensuring maximum efficiencies and delivering upon long term sustainability’.

The Orbis solution provides clear and actionable information in real time and provides the single version of the truth that is needed to sustain factory performance and guide process improvement.

Orbis MES, with strategic global partners Aspentech, delivered a comprehensive solution to the Wexford Cheese plant encompassing Visual Factory with plant

replay capability, Paperless Plant, and key operational reports. Other Glanbia locations use Orbis Smart MES suite of modules including OEE, Mass Balance, and Track and Trace. A comprehensive batch model, central to the Orbis solution, stores key information in the context of production runs, defined by automation triggers. This unique batch model aggregates production, process, quality, utilities, and stocks data to deliver a rich Operations hub, for real-time business intelligence and analysis.

Orbis together with Glanbia are driving the digital agenda, delivering smart factory connectivity and transformation, thereby increasing production performance, quality and sustainability as the Irish Dairy industry expands its capacity to 2020.

For further information contact Orbis MES Ltd, 14 Cumberland Street, Dún Laoghaire, Dublin, A96 N1W5, Ireland.

Email info@orbismes.com; Tel +353 1 2360151. J

Radley Engineering – The Specialist in High Quality Stainless Steel, Carbon Steel and Exotic Materials adley Engineering Ltd was established R in 1972 by brothers John and Thomas Radley in Dungarvan, County Waterford, Ireland. It is one of Europe’s leading Manufacturing and Mechanical companies specialising in the design, fabrication and installation of high quality stainless steel, carbon steel and exotic materials.

Radley Engineering provide services to a range of industries: • Mechanical • Manufacturing • Oil and Gas • Bio-Pharma • Power Generation • Food Processing.

Over the years, Radley Engineering have been involved in high profile projects

SKID preassembled rack for a live project.

including the ‘Spire of Dublin’, the ‘Heron Tower’ in the heart of London, and the ‘Waterford city by-pass stay bridge’ which gives a clear indication as to the flexibility of the company’s workforce and design and manufacturing capabilities.

Radley Engineering employ over 450 people directly who carry out all our projects, supported by some specialist subcontractors with whom the company works collaboratively to deliver projects to the safety and quality standard that clients demand.

Projects

In recent years Radley Engineering have been involved in the delivery of some of the most high-profile projects in the Ireland: • Regeneron Pharmaceutical Limerick • Alexion Global Biopharmaceutical company Dublin • Bristol Myers Squibb in Dublin • Glanbia Belview Waterford • Eli-Lilly Kinsale Cork • MSD sites in Carlow, Ballydine and Brinny • GSK Cork.

Radley Engineering’s large scale live projects are: Eli-Lilly Kinsale limited IE43T2, Janssen Bio-Cork Ringaskiddy and MSD biotech facility Dublin.

SKID package designed, fabricated and installed by Radley Engineering.

Health, Safety and Quality

Radley Engineering’s commitment to health and safety is evident by the fact that the company was recently awarded “SAFE T” certification. The challenge for the future is to maintain and build on this standard and strive for ways to improve their management of Health and Safety. Radley Engineering have been recently been awarded the EN ISO 9001 2015 standard. J

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I POTATOES

Sustained Growth in the European Potato Processing Industry The €10 billion turnover European potato processing industry continues to expand, buoyed by rising domestic consumption and exports to other international regions. uropean potato processors employ over 23,000 people, and use 19 million tonnes of potatoes as raw material annually, according to EUPPA – European Potato Processors’ Association.

Processors sell a wide range of products, including frozen and chilled fries and other shaped potato specialities such as hash browns, potato croquettes, dehydrated potato products and sliced potato crisps.

E

and multiple other potato specialities are prepared. A key characteristic of Europe’s main potato growing area is the increased cross-border transportation between countries, ensuring the potato processing factories are supplied in the most efficient way.

Consequently, potato processing plants usually contract the majority of their potatoes with individual growers within an average radius of 100–150 km from the

EUPPA members focus on innovation and collaboration with the European potato breeders to develop new potato varieties, which are more suited for creating better potato products, in terms of shape, colour and taste, as well as providing solutions to issues such as yields and disease resistance.

The European potato processing sector is characterised by a high level of reinvestment in new product development and measures to improve efficiency and sustainability, in line with the industry’s commitment to reducing its environmental impact significantly by 2030. EUPPA members focus on innovation and collaboration with the European potato breeders to develop new potato varieties, which are more suited for creating better potato products, in terms of shape, colour and taste, as well as providing solutions to issues such as yields and disease resistance.

Europe is the second largest grower of potatoes worldwide. Total European potato production is 122 million tonnes, with the EU accounting for 52 million tonnes of which 37 million tonnes are grown in Belgium, France, Germany, the Netherlands and the UK. North-West Europe More than 90% of the potatoes used for processing in Europe are grown in the region’s North-West corner. This is the main production area for potato processing where fries (chips), potato chips (crisps)

factory, to allow for better control over product quality while optimising efficiency.

Belgium lies at the heart of the ideal

growing area for potatoes and produces an average yield of about 45 tonnes per hectare. Belgium is home to around 7,000 potato growers, who supply the expanding processing sector.

Rapid Growth Reflecting heavy investment in additional capacity and quality, the Belgian potato processing industry has seen a rapid growth in recent years. In 2017, it converted 4.57 million tonnes of potatoes into fries, crisps, croquettes, flakes, granules and other potato products – representing a 3.6 % increase in output on the previous year, according to Belgapom, the Belgian potato trade and processing industry association. Over Eur305 million was invested by Belgian processors in 2017, almost equal to the record level achieved in 2016.

About a quarter of the Belgian population buy fries from a friterie once a week and 95% of Belgians visit a friterie at least once a year. More than 60% of the population eat fries at least once a week. In addition to this strong domestic market, Belgium remains by far the largest exporter of frozen potatoes in the world with 2.2 million tonnes sold in 2017.

Lamb Weston/Meijer has entered a joint venture with the Belaya Dacha Group of Russia to build a new Eur115 million French fry plant in Lipetsk. Pictured on the left is Bas Alblas, chief executive of Lamb Weston/Meijer, with Victor Semenov, chairman of the Belaya Dacha Group, on the extreme right.

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New €200 Million French Fries Factory Agristo has just invested Eur200 million in a new French fries factory at Wielsbeke in Belgium as the company seeks to expand its share of the global market and challenge leaders McCain Foods of Canada and US-based Lamb Weston. The new, highly automated factory will have an annual production capacity of 200,000 tons of frozen French fries.

“This is the most innovative French fry factory in the world,” says Filip Wallays, chief executive of Agristo. “The frozen potato food industry requires a lot of capital, with high volumes and low margins.”

The investment will help Agristo to almost double its current turnover from Eur350 million to Eur650 million during the next five years and increase its market share from 4% to 7%.

Filip Wallays continues: “Our products are private labels in supermarkets across 120 countries. We sell one kilo of French fries for 60 cents and that is why we need to generate turnover. Our EBITDA is about 10 to 12 percent.”

He elaborates: “If you work for the largest grocery chains in the world your supply chain has to be perfect. Details, such as how your pallets are stacked, become important. As a worldwide supplier we have excellent insight into which innovations work and which don’t. We have access to the market research of all major supermarkets. What works for one customer, may work for another one at the other side of the world as well.”

Apart from Belgium, major potato processors located elsewhere in Europe have been investing in new capacity and more efficient and sustainable production methods. New technological innovations are constantly being developed to aid processors in this regard, such as Key Technology’s recently introduced VERYX sorters equipped with Sort-to-Grade (STG) software for both wet and frozen potato strips. £100 Million Investment by McCain Foods GB In England, Canada-based McCain Foods, the world’s largest manufacturer of frozen potato products and a global leader in appetisers and snacks, is currently spending £100 million to renew its production facility at Eastfield in Scarborough. The Eastfield site is celebrating its 50th anniversary this year, having been established by McCain Foods in 1968. Indeed, Britain was the Canadian group’s first major overseas market and was used as a platform for further expansion into continental Europe throughout the 1970s and 1980s.

In addition to equipment upgrades, the renewal programme includes the installation of state-of-the-art odour reduction

technology, as well as extensive landscaping around the perimeter of the factory.

McCain Foods GB is also implementing renewable technology to further reduce its environmental impact.

According to Nick Vermont, currently chief executive of McCain GB & Ireland, the investment to renew the facility “will secure the continued, long-term success of our site here in Eastfield for generations to come, allowing us to meet the increased demand for our products.” Nick Vermont will retire in September after 35 years with the business (see Panel).

McCain Foods GB is the leader in the UK retail and food service sectors in frozen potato products such as French fries, potato specialties, and appetisers.

Indeed, McCain is the best selling frozen potato brand in the UK. The renewal of its Scarborough factory is part of an overall investment programme of more than $1 billion that McCain is implementing to increase capacity at its plants in the US, Canada, the UK, Australia, France, Belgium, Argentina, Colombia and India to facilitate the com-

pany’s continued growth on a global scale.

The programme includes investments in infrastructure, technology and capabilities, across the full range of McCain products.

McCain Foods employs approximately 20,000 people, operates 53 production facilities on six continents and generates annual sales in excess of C$9 billion.

First Large-scale French Fries Factory in Russia To serve the rapidly growing Russian market, Lamb Weston/Meijer, a 50/50 partnership between Lamb Weston of the US and Meijer Frozen Foods of the Netherlands, has entered a joint venture with the Belaya Dacha Group of Russia to build a new Eur115 million French fry plant in Lipetsk. Belaya Dacha Group is the leading producer of ready-to-eat salads and vegetable products in Russia.

The new factory, which received supported from the Russian State Program for Agriculture Development, is expected to reach full capacity of 200,000 tons of potatoes per year by the end of 2019. The facility will supply almost all of the

Change of Leadership at McCain Foods GB & Ireland Nick Vermont, regional chief executive of McCain GB & Ireland, will retire in September after 35 years with the business. His replacement is Howard Snape, a 25 years McCain Foods veteran and currently global leader for sustainable cost advantage strategy.

McCain Foods GB is the UK’s leading frozen potato products manufacturer. Indeed, McCain is the best selling frozen potato brand in the UK. McCain Foods GB & Ireland is currently implementing a £100 million investment programme to renew its flagship production facility at Scarborough, which is celebrating its 50th anniversary. It was the first factory to be built by McCain Foods outside of Canada.

“I have had the privilege of working for McCain for over 35 years and have seen the brand grow Nick Vermont, regional chief executive of from strength to strength over this time - main- McCain GB & Ireland, who is retiring in taining its position as the number one frozen pota- September. to brand in the UK,” says Nick Vermont. “I look forward to watching the business flourish for many years to come.”

Having joined McCain Foods in 1983, Nick Vermont was appointed managing director of McCain subsidiary PAS (Grantham), a supplier of own-brand potato products to retailers, in 1991. He became managing director of McCain Foods (GB) in 1998 and became regional chief executive in 2004.

Howard Snape says: “With a passion for continuous improvement and growth, Nick has left a great legacy for me to build on. I would like to wish Nick the very best in his retirement and I look forward to leading and shaping the business as it enters its next 50 years.”

Howard Snape.

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

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the very first years of our operation in the Russian market. Moreover, we have already had an effective co-operation with Lamb Weston for over 15 years.”

The new Lipetsk plant’s first customer is McDonald’s Corporation, which has been present in Russia for 28 years.

Russian import demand for French fries.

“This potato processing plant is one of the key priority projects for the Belaya Dacha Group. I am glad we have combined our knowledge and comprehensive international experience in French fries production with a partner from abroad.

With this new plant, we believe we will be able to successfully realise the new direction of food production in Russia,” says Victor Semenov, chairman of the Belaya Dacha Group.

To supply the special variety of highquality potatoes required by the new factory, Belaya Dacha has created a farmer school which is based at the group’s production farm in the Tambov region. This farm supplies the new plant with 30% of the total volume of potatoes and has its own advanced and innovative potato storage facilities. The rest of the potatoes are purchased from local farmers through long-term supply contracts.

Bas Alblas, chief executive of Lamb Weston/Meijer, remarks: “Together with our partner Belaya Dacha, we have built

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this beautiful plant in Lipetsk that provides us with a unique opportunity to expand our position in the Russian market, while supporting our international key accounts in optimising their own value chain, growing their businesses in the region and meeting local needs.”

Lamb Weston/Meijer also recently invested Eur120 million at its factory at Bergen op Zoom in the Netherlands to process potatoes in a more effective and sustainable way.

First Customer The new Lipetsk plant’s first customer is McDonald’s Corporation, which has been present in Russia for 28 years, and other local foodservice and retail customers are expected to follow.

“With the opening of the French fries production facility, 98% of McDonald’s products will be sourced from Russian suppliers,” points out Khamzat Khasbulatov, chairman of McDonald’s Russia. “We are proud that Belaya Dacha has been together with McDonald’s from

Outlook The outlook for the global potato products market is positive with consistent annual growth of 2%, largely driven by growing consumption in Asia and Africa.

“We are in the fortunate position that our global market is growing. Our product is neutral from a cultural point of view and less expensive than meat or vegetables,” explains Filip Wallays. “On an annual basis Belgians eat 7 kilogram of potato products per capita and Americans 15 kilo.

In Asia, that is only 1.5 kilo. Both China and India are growing rapidly on a percentage basis, but the starting volume is low. This offers a huge growth potential.”

He elaborates: “Potatoes have a higher nutritional value than rice, the cultivation requires less labour and takes less water.

The rise of western restaurant chains in Asia is rapidly making people in India and China familiar with potato products.

McDonald’s is a perfect missionary.” J

Agristo has just invested Eur200 million in a new French fries factory at Wielsbeke in Belgium.

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

I POTATOES

Key Technology’s Potato Processing Expertise ey Technology, the leading supplier of K digital sorters, mechanical graders and specialized conveyors for potato processors, recently introduced their VERYX® sorters equipped with Sort-to-Grade™ (STG) software for both wet and frozen potato strips.

VERYX is Key’s next-generation sorter.

Its innovative mechanical architecture, sustainable all-sided surface inspection, unique multi-sensor Pixel Fusion™, high resolution cameras and lasers, intelligent ejection and extreme ease-of-use improve detection performance and sorting accuracy.

Designed to operate virtually unattended during normal production, VERYX maximizes foreign material (FM) and defect removal to enhance product quality while eliminating false rejects to increase yields.

For wet potato products, VERYX offers all in-air inspection and the ability to view all sides of each object to maximize defect detection and removal. Compared to sorters with sensors inspecting on-belt, where belt sanitation issues can interfere with sensor detection, VERYX in-air inspection ensures perfect inspection consistency. All-sided surface inspection with no blind spots is sustained throughout the production cycle, because VERYX positions sensor surfaces, light sources and backgrounds strategically away from product splatter and contamination zones.

Advanced Pixel Fusion Detection Module For sorting frozen potato products just prior to packaging, Key’s advanced Pixel

Fusion detection module provides the highest level of contrast and clear separation between good product, defects and FM. Pixel Fusion combines channel input from multiple camera and laser sensors at the pixel level, enabling VERYX to reliably sort even difficult-to-detect defects and FM such as glass, metal, rubber, paperboard, foam and plastics of different colors.

Configurable in four different widths, VERYX sorters satisfy a wide range of capacity requirements, including extremely high throughputs on the largest 2.1-meter wide belt model. With inspection zones that are 15 percent wider than similarly sized sorters, VERYX offers 10 to 15 percent greater capacity within a similar footprint.

Powerful STG Software Key’s powerful STG software is transforming how processors sort potato strips by enabling VERYX to automatically grade by length and optimize defect removal. While VERYX targets all FM for removal, STG recognizes and categorizes every surface defect and the dimensional characteristics of individual strips and makes each accept/reject decision based on how it will impact the aggregate ‘in the bag’ grade as defined by the processor. By automatically controlling the output to achieve a particular grade, VERYX with STG accurately maintains the most complex final product specifications without operator intervention while increasing yields by one to three percent and enabling processors to eliminate mechanical length grading.

Beyond digital sorting, Key applies its 40-plus years of experience in potato processing to deliver other world-class inspection systems, mechanical grad-

ing, specialized conveying and line integration services to provide complete solutions.

Unique ADR® Automatic Defect Removal System Key’s unique ADR® automatic defect removal system for potato strips combines high-resolution cameras, a patented belt conveyor, a patented rotary cutter and IsoFlo® high-speed vibratory conveyors to inspect and trim potato strips with unparalleled speed and precision. ADR turns defective strips into good, in-grade strips to increase yields.

Mechanical equipment such as rotary sizing and grading systems and multi-deck shakers are used upstream and downstream of digital sorters and ADR systems.

Relying primarily on mechanics instead of computerized devices, they perform various operations such as separating product by length or diameter or removing fines or FM that is either heavier or of a different size than good product.

Specialized conveying solutions involve much more than transporting product.

From whole potatoes to packaging distribution systems, Key designs vibratory shakers to feed, align, grade, dewater, deoil, scalp, distribute and handle other tasks to optimize the performance of digital sorters, peelers, cutters, blanchers, dryers, fryers, freezers and weighing and packaging machines. Together, these solutions work in harmony to help processors improve product quality, increase yields and enhance overall equipment effectiveness. J

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McArdle Skeath Opens €20 Million Dublin Supply Chain facility cArdle Skeath, one of Ireland’s leading supply chain management providers, M has opened its new 12,500 sq m temperature controlled storage facility in Hollystown, Dublin 15. The supply chain facility represents a ?20 million investment

by McArdle Skeath and is strategically positioned to service the nutritional and biotech sectors. The company, 50 years in business this year, has added the Hollystown facility to its existing headquarters in Inniskeen, Dundalk.

McArdle Skeath specialises in the storage of Pharmaceutical, Nutritional, Dairy and FMCG products. Certified by the HPRA (Health Products Regulatory Authority), McArdle Skeath provides temperature controlled warehousing, distribution and controlled supply chain management programs and solutions. The company also designs and tailors customised solutions to offer

The new supply chain facility represents a €20 million investment by McArdle Skeath and is strategically positioned to service the nutritional and bio-tech sectors.

7,992 Standard Pallets); a Syntra Room, which controls products between +15°C and +25°C (total capacity of 5,030 Standard Pallets); and two Ambient Rooms, which are temperature monitored between +5°C and +25°C (total capacity of 13,046 Standard Pallets).

“Our facility and the standards to which we operate are designed to not only meet, but exceed the specification required to service the nutritional and pharmaceutical sectors. This investment reaffirms McArdle Skeath’s commitment to our core values in providing compliant solutions to Ireland’s export and import marMcArdle Skeath has opened its new 12,500 sq m kets,” explains Micheál McArdle, temperature controlled storage facility in Hollystown, Managing Director and CEO of Dublin 15.

McArdle Skeath.

clients additional services that can significantly help their own internal processes.

Diversification The new facility expands McArdle Skeath’s portfolio by diversifying into temperature management storage solutions. The building and equipment commissioned at the Hollystown site have been innovatively designed to meet a variety of temperature ranges.

The new supply chain facility encompasses: three Cold Chain Chambers, which can achieve specifications in the +/- ranges (total capacity of 2,241 Standard Pallets); two Chill Rooms, which manage products between +2°C and +8°C (total capacity of 38

Technologically Advanced Through the adoption of advanced technologies such as wireless networking, system integrations and a focus on sustainability, McArdle Skeath has achieved significant business improvement. Micheál McArdle comments: “Technology is transforming our business through more efficient warehouse management systems, refrigerated/cold chain warehouse logistics controls and changing the nature of transport through vehicle and optimisation systems. To us, innovation is the desire to develop customer-

oriented solutions and to continuously improve our processes. With our in-house expertise our people develop best in class solutions.

Users of McArdle Skeath’s services are ensured continuity in the supply chain along with other associated benefits.

“Should our customers be audited they can rest assured that all aspects of security; inventory control; temperature control; pest control, quality control and logistics are managed,” he points out. “Our differentiator is reflected in our people – they are engaged consummate professionals with a huge amount of tacit knowledge and experience; failsafe quality that is lived and practiced each and every day; continuous investment replicated not only in our people but in our assets which comprises temperature control facilities on two sites located in Dundalk and Hollystown as well as rolling stock which includes Box Vans; Container Trailers; and validated temperature control trailers.”

Strategically Located Allowing for efficient access to and from Ireland’s major transport network, the new location at Hollystown is hugely strategic for McArdle Skeath, its existing client base and new customers. Hollystown is located 2 minutes drive from the M2; 4 minutes from the M50; 9 minutes from Dublin Airport and 22 minutes from Dublin Port.

“Hollystown will enhance our existing operation by allowing us to use it as a logistical staging post for exports prior to shipping anywhere in the world or as a holding location for imports prior to distributions

The new facility expands McArdle Skeath’s portfolio by diversifying into temperature management storage solutions.

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

anywhere in Ireland,” says Micheál McArdle.

Supply Chain Management Services and Expertise He elaborates: “We know that our clients require facilities that are capable of reflecting their compliance ethos; we know we form an integral part of their supply chain; we are custodians of our clients products, brand and promise to their end clients. We know we must be audit ready and represent our customers. We believe as our customers expand and grow we must also expand and grow. From the feedback we receive from our existing client base we believe our interpretation on how to engage; service and execute will be very much welcomed by a client base that can now be facilitated by a strategically located facility that incorporates our know how on the main trade artery for Ireland in Dublin. We are adapting to the growth of our clients.”

With a workforce of 150 people, the new facility has created 20 new jobs initially at the company. An additional 80 posi-

tions will come on stream as McArdle Skeath expands further into contract manufacturing to include: lean manufacturing operations, repackaging, rebranding, quality assurance inspections and sampling.

“With the option of doubling the size of our Hollystown facility, we look forward to further investment and job creation in the future,” he says.

Nutrition Sector So what does Micheál McArdle regard as the key market trends within the Irish

nutrition supply chain management market and how is McArdle Skeath responding? “ Consumers are becoming increasingly discerning regarding what they consume before and after a workout and why. This trend is developing worldwide and the majority of nutritional manufacturers reside in Ireland and export on a global scale,” he replies.

The McArdle Skeath chief continues: “McArdle Skeath are prepared to service the additional growth that will be brought from the diversification from Irish manufacturers. We understand the specialized needs of vitamins and nutritional supplement fulfilment. Whether it is a process flow shipping direct to consumer, or to national retail chains, we acknowledge and are competent in the complex nature of healthcare fulfilment. Our pick, pack and ship services are managed by our fully automated and integrated order processing and inventory control system. We ship orders in accordance with complex requirements while ensuring an unrivalled compliance ethos.” J

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I MEAT

ABP Food Group Beefs-up its Business With Further Investments ABP Food Group is continuing to invest in expanding its capabilities in preparation for the post-Brexit era while simultaneously reducing its environmental impact, as it consolidates its position as the largest beef processor in Ireland and the UK. ne of Europe’s leading privately owned agribusiness companies, employing 10,000 people and operating 46 manufacturing plants in Ireland, the UK, Denmark, Poland, Austria, Holland, France and Spain, ABP Food Group is also active in pet food, renewable energy and proteins.

ABP Food Group recently reinforced its standing in the Irish and British markets by acquiring a 50% stake in UK meat processor Linden Foods following the extension of its joint venture partnership with Northern Ireland-based Fane Valley Co-operative Society. Linden Foods operates facilities in Dungannon (Northern Ireland), Burradon (England) and Kettyle Irish Foods (Fermanagh). ABP Food Group already held a non-controlling interest in Linden Foods. The increase in this shareholding to 50% means that Linden Foods is now jointly controlled by ABP Food Group and Fane Valley.

O

ABP Food Group is the largest beef processor in Ireland and the UK.

Frank Stephenson, chief executive of ABP Food Group.

The transaction extends the 2016 partnership deal between Fane Valley and ABP Food Group which involved the Slaney Foods and Irish Country Meats joint venture in Ireland. This entailed ABP Food Group joining forces with Fane Valley to acquire Slaney Foods and Slaney Proteins.

According to Frank Stephenson, chief executive of ABP Food Group, taking joint control of Linden Foods will allow ABP Food Group to build further on its successful partnership with Fane Valley. The rationale for the joint venture with Fane Valley is to help secure better international markets for Irish meat products and to allow ABP Food Group to compete with much larger global players.

Investment in Scotland ABP Food Group is also implementing a £20 million investment programme to redevelop its Perth processing plant in Scotland.

The redevelopment includes an extension and upgrade of the chilled storage area, dry goods storage, maturation and meat pro40

duction facilities and staff amenities. The project is being supported by the Scottish Government’s Food Processing, Marketing and Co-operation grant scheme. ABP Food Group has already invested £3 million in cold storage and refrigeration facilities at the site over the past year.

According to Tom Kirwan, managing director of ABP’s UK Division, the investment will transform Perth into one of the most modern facilities of its kind in the UK. He adds: “The improvements will benefit everyone from our farmer suppliers through to our colleagues and the local economy. It will create eighty additional jobs on site and provide significant employment during the construction phase.”

ABP Food Group first established a presence in Scotland in 1982 and acquired the Perth facility in 1997. ABP Perth employs 280 staff and works with 1,600 farmers from across Scotland and has recently started to source all of its electricity from renewable sources.

Green Energy ABP Food Group’s

Tom Kirwan, managing director of ABP’s UK Division.

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

prestigious annual competition run by the Guild of Fine Food.

Dave O’Connell, European commercial director at ABP Food Group Ireland, comments: “This is further endorsement of our Ultra Tender process which currently sees ABP beef served in over 200 Michelin starred restaurants across the world. This is one of the world’s most coveted food awards, and to have secured seventeen star awards for fourteen products is deserved recognition of the hard work and quality produced by the ABP team.”

Ultra Tender was developed by ABP Food Group to guarantee consistency and tenderness in beef. The patented hanging process increases the natural breakdown of muscle fibres in each carcass while it hangs and matures prior to de-boning. Aligned to the patented hanging process, ABP Food Group has created a method of sympathetically chilling the carcass to prevent cold shortening and guarantee absolute tenderness in the beef.

ABP Food Group recently reinforced its standing in the Irish and British markets by acquiring a 50% stake in UK meat processor Linden Foods.

renewable division – Olleco - recently invested £22 million in a green energy plant at Aylesbury, Buckinghamshire in England. The 15 MW Anaerobic Digestion facility can produce enough sustainable energy to power the equivalent of 12,000 homes. It is located adjacent to Arla Foods UK’s Aylesbury dairy, allowing the site to become a zero carbon milk processing facility.

Robert Behan, managing director of Olleco, says the new facility, is an excellent example of the circular economy in action, with multiple supply chain partners working together to deliver a truly sustainable outcome. “This state-of-the-art Olleco facility will convert in excess of 100,000 tonnes of waste into heat, power and biomethane for export to the national grid, and bio-fertiliser for both of ABP Food Group’s and Arla’s farmer suppliers,” he explains.

Employing over 600 people in 15 locations across the UK, Olleco collects waste food and cooking oil from the retail and food service sector and converts this waste into bio diesel, bio gas and bio fertiliser. The company recently acquired an additional AD facility at Westcott Park, Buckinghamshire in England, for an undisclosed sum, to add extra capacity and to complement its existing operations in nearby Aylesbury and in Liverpool.

Robert Behan continues: “Sustainability is a key priority right across the ABP Food Group. The company has invested and implemented innovative sustainability measures that are world class, trail blazing and meet the exceptionally high targets – to reduce the environmental footprint of our business – we have set ourselves.”

International Expansion ABP Food Group is also showing innovation in its international marketing activities. It has just agreed an exclusive ground breaking deal with Beijing Hopewise to launch a range of premium Irish beef products in China via JD.com, an e-commerce platform.

JD.com is one of the largest business-to-consumer online retailers in China by transaction volume and revenue, with 301.8 million

Mark Goodman (left), managing director of ABP International, with John Loughman, group quality control manager at ABP Food Group, overseeing the first consignment of Irish beef to be exported to China from the Clones site in County Monaghan.

active users recorded in the first quarter of 2018. The process of purchasing beef products online is one of the fastest growing trends in the Chinese market.

Industry Leader The agreement will see ABP Food Group ship a range of premiIndeed, ABP Food Group is recognised as an industry leader when um beef cuts via container load to the Hopewise processing faciliit comes to sustainable practices and environmental initiatives. In ties in Shanghai and Beijing. From here, the beef will be processed 2015 the company opened the world’s first certified carbon neutral into consumer packs, with consumers able to purchase for direct abattoir in Ellesmere, where waste material home delivery via the JD.com platform on from the food processing operation is used in their phones.

Mark Goodman, managing director of conjunction with used cooking oil to provide ABP’s International Division, says: “ABP is the energy requirements on site. Last year, delighted to be the first European processor to ABP became the first food company to offer premium beef products to China’s growachieve quadruple accreditation from The ing online marketplace. This deal is a further Carbon Trust in recognition of the work it tangible endorsement of the quality beef that was doing in reducing its environmental Ireland and ABP continues to offer.” impact across the supply chain.

This is ABP’s second contract in the Chinese market. In May, ABP was the first Research and Innovation Irish company to secure a contract in China, ABP Food Group also invests heavily in with an exclusive three-year agreement with developing its research and innovation capacAsian restaurant chain Wowprime ity in order to expand its market reach both Corporation. Earlier this year, ABP extended domestically and internationally. This its range of premium ‘Irish Nature Organic’ enhanced product development capability steaks with YATA, a Hong Kong-based superenabled the company to win 17 stars at the market chain. The company also exports Irish recent Great Taste 2018 Awards in London, beef to the Philippines and Japan. J to add to the 21 stars won last year at the Robert Behan, managing director of Olleco.

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

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Limerick Packaging – 16 Years and Growing hen Limerick Packaging first opened W their doors in 2002, there were a grand total of three employees. Today, there are more than 30. The company, started by Connie Ryan, Managing Director, and Mike Boland, Sales Director, initially hoped to have a client list of 60 customers. Limerick Packaging now have 400 customers, which Connie Ryan attributes to steadfastly standing by the company motto and delivering ‘on time, every time’.

Limerick Packaging have retained most of the customers who they began dealing with at the company’s formation. “This is simply down to the fact that we deliver ‘on time, every time’. If you wanted to know why our business has grown, that is exactly why. Mike Boland, our Sales Director, says to customers, new and old, ‘We’ll work hard, so you don’t have to’. This means that our customers’ buying teams can concentrate on other aspects of their business because they don’t have to worry about chasing packaging,” Connie Ryan explains.

“We put the customer first,” he continues. “We have customers today that we had in 2002, so the loyalty of our customers is hugely important for us and a big factor in our success.”

Understanding the Customers’ Business Many food industry and pharma/medical companies throughout Ireland are able to

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concentrate on their business, safe in the knowledge that the packaging materials they need are just a phonecall away in Limerick Packaging. They have zero capital tied up in packaging stocks, allowing that money to be invested in turnover that perpetuates the business, and they have production and value-added activities where once they had stores.

Once Limerick Packaging get to fully understand their customer’s business, they stock product to Purchase Order and deliver daily or weekly as required: if a customer phones by noon today with a call-off for product, Limerick Packaging will deliver tomorrow, anywhere in Ireland, via its own delivery fleet.

Retail Ready Packaging The food/grocery arena has become hugely important to Limerick Packaging, who number a host of blue chip Irish food companies among their client base. The biggest change over the years, Connie Ryan insists, has been the advent of Retail Ready Packaging.

“It has opened us up to a lot more potential customers, given that we have a lot of expertise in that area, particularly on the printing side,” he says. “Retail Ready Packaging continues to power ahead like a steam-train.”

“Psychologists have proven that a shopping decision is made in less than a second so if the pack on the shelf doesn’t draw the attention of the shopper immediately, their mind is gone to something else,” he continues.

“That comes down to product quality, print finish and how it travels. You have to ensure the box is strong enough for it to arrive in the condition it left the packaging company.”

Choosing the Right Supplier Pack strength is just one of the factors a customer should look out for when choosing the right packaging and the right packaging supplier, according to Connie Ryan, who offers some sound advice.

“If we’re designing a pack for a customer, it has to make economic sense. We can’t make a box for a euro, if a box for 50 cent will do the job perfectly. It has to be able to package the product and to hold its contents safely; to inform both the retailer and end-user of what’s inside; it has to arrive in good condition; it has to look presentable on shelf; and we have to consider the environment at all stages during production. With our eye on the environment, we have to make sure that the box is fit for purpose but not over-fit for purpose.”

Most of Limerick Packaging’s work is in corrugated cardboard containers, which dovetails nicely with the sustainability agenda, as their packaging is easily recyclable, an important concern for both industry and consumers.

“We will continue to work hard for our customers so they don’t have to, and we’re going to strive to continue growing, innovating and bringing to market what our customers want, both now and in the future,” the Limerick Packaging head concludes. J

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

I EVENT

UK’s Most Exclusive Packaging Show Announces Cutting-Edge Seminar Programme iageo, M&S, Lush and D Carlsberg are just some of the major names already on board as part of Packaging Innovations and Luxury Packaging London’s free-toattend seminar programme.

The expert sessions, packed with real life stories, advice and innovative ideas, will offer packaging professionals insights into the latest developments, technologies and research when the show returns to London Olympia on 12-13 September 2018.

Featuring a focus on innovation and sustainability, the seminar programme will run across three stages and feature dedicated forums for the food, drink, beauty and luxury markets. The Luxury Forum will focus on creating innovative packaging for the luxury market and will welcome speakers from high-profile organisations including Havas and Hunter Luxury.

Neil Farmer will also focus on the luxury packaging market when he explores the rapidly growing luxury packaging market, the trends and innovations that are driving this segment and the technologies to look out for The Drinks Forum will also see several high-profile speakers from the industry taking to the stage when it returns for 2018. Jeremy Lindley, Global Design

Director at Diageo will address the importance of packaging as a marketing tool with his talk, ‘Is packaging the silver bullet to address the declining impact of traditional media?’. Focusing on the challenges an ever-evolving market faces is Santiago Navarro, Chief Executive and Co-Founder of Garcon Wines, who will present ‘Wines for the Amazon Generation’. The Drinks Forum will also welcome speakers from Carlsberg, Arctic Gin and Metsa.

Rob Hollands, Managing Director at Anthem Worldwide, will showcase KitKat’soi ‘Live Your Break’ and Fanta’s ‘Takeover Fanta’ campaigns during his seminar ‘The Future is Now’. The talk will encourage brands to consider how they can change packaging, a passive touchpoint with huge reach, into a fully immer-

sive experience that can even be tailored to the individual consumer.

Sam Ellison and Emma Jones from Redshoe will offer their top tips for staying ahead of the game and driving consumer engagement within the food and beverage industy.

The talk will highlight several key factors challenging the sector as well as those having a direct impact upon packaging design. They will demonstrate how brands are embracing these challenges and showcase a number of inspirational concepts and designs that are winning with consumers.

Running alongside the seminar programme is The Pentawards Conference, which returns following its hugely successful debut in 2017. Big names, such as Diageo, Design Bridge, Free the Birds, Hello Day and GSK will explore how designers can take advantage of current industry trends and help overcome current industry challenges.

Following its hugely successful launch at the NEC show earlier this year, The Big Plastics Debate will also join the Packaging Innovations London conference line up, with speakers from Carlsberg, M&S, Hello Fresh and Recycling Waste Management already confirmed. J

I BOTTLES

Signed Sealed Delivered ith the increased customer focus on postable items such as W confectionery, drinks and gifts, UK plastic bottle manufacturers Measom Freer have developed their very own Post Bottle (Ref 6143). With a flat rectangular shape, the bottle can easily be boxed and posted through standard letterboxes, fitting the UK large letter dimensions.

Made from clear PVC, which is fully recyclable, it has a capacity of 100 ml with an 18 mm R4 neck size. It can also be made in other plastics such as PE and PETG, with colours available to order. A wide range of caps and closures to suit are also available from Measom Freer, samples and orders can be placed on their brand new website www.measomfreer.co.uk or talk to one of their friendly Sales Team on +44 (0)116 2881588 or sales@measomfreer.co.uk. J FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

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ILS Rolls Out Labelling Solution to Leading Meat Netting Company ruNet (UK) Ltd, part of leading global food netting company The TruNet T Group, has invested in state-of-the-art labelling equipment from Industrial Labelling Systems (ILS) to improve productivity in the packing operation at its factory in Leicestershire. The long-standing customer of ILS, the exclusive UK and Ireland distributor of Evolabel’s Print & Apply Labelling Systems, chose the T43 Blow Vac Applicator with integrated conveyor for labelling shrink-wrapped rolls of elastic meat netting at TruNet (UK)’s Ashby-de-la-Zouch facility, where it also manufactures trussing loops, elastic and non-elastic twines used in food service and butchers.

Meat netting is a popular and effective alternative to tying up joints of beef, pork, chicken, ham and turkey, providing better eye appeal following cooking, however, as it can be stored for long periods of time the packaging requires labels with exceptional print qualities to ensure information is still clearly visible.

The T43 Blow Vac is a contact free, safe, easy to operate and highly accurate system that produces labels with excellent readability of barcodes, even after long storage periods, while the innovative applicator plate with integrated vacuum injectors and blow nozzle, allows high-precision labelling with no mechanical moving parts at distances of

up to 200mm.

ILS managed a seamless installation of the T43 Blow Vac at TruNet (UK), which is currently labelling 30 rolls of meat netting per minute and has helped reduce power consumption, while increasing productivity and efficiency at the plant, which was recently awarded an ‘AA’ rating by BRC Global Standards.

TruNet (UK)’s Factory Manager, Darren Pritchard, is delighted with the T43’s performance and the customer support received from ILS, which augers well for

future collaborations between the two businesses.

He says: “The exceptional print quality of the labels and reliability of the equipment are two of the stand-out features of the T43. We have a good relationship with ILS and I would certainly be open to tapping into their labelling expertise again.

Would I recommend equipment from ILS to others? Yes, I would.”

Food suppliers require highly accurate printers to ensure labels carry information and traceability which is still clear and easy to understand after rough handling, as well as applicators that can function fully in challenging environments, such as frozen and chilled areas.

ILS’s print and apply solutions come with a range of applicator modules to suit all conditions and applications, such as Blow-on, Wipe-on, Tamp, Vacuum Belt, Twin-face apply and Tray & Pallet labellers with auto-tandem systems offering full redundancy so OEE can be maintained on the packing line.

Cutting-edge labelling technology also offers the food sector greater speed and accuracy compared with manual labelling and automation does help free up staff for more productive tasks – limiting human intervention in mundane processes minimises the risk of errors and waste, as well as reduces labour costs. J

Ardagh Group Completes Conversion of Rugby Plant From Steel to Aluminium rdagh Group has announced that it has recently completed the A conversion of its Rugby (UK) beverage can manufacturing plant from steel to aluminium. “The conversion of the Rugby plant has further enhanced Ardagh’s manufacturing footprint. Operating two highly-efficient aluminium beverage can plants in the UK, at Wrexham and Rugby, supported by our recent investment in our Deeside ends plant, positions Ardagh to offer leading beverage customers greater choice and flexibility in future,” says Oliver Graham, CEO Ardagh Metal Beverage.”

Universally recognised for its protective qualities, versatility and environmental credentials, metal has the highest recycling rates of all packaging materials in Europe, thus effectively contributing to the fundamental principles of a circular economy.

Ardagh Group is a global leader in glass and metal packaging solutions, producing packaging for most of the world's leading food, beverage and consumer care brands. For further information visit www.ardaghgroup.com. J 44

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

I CHOCOLATE

Cargill Invests in Mouscron Facility to Meet Customer Demand For Belgian Chocolate ith the rapid rise in consumer W demand for premium, high quality Belgian chocolate, Cargill has invested in a new liquid chocolate production line in its Mouscron production facility in Belgium.

This investment increases the company’s capacity to produce milk and dark chocolate and creates up to 10 new local jobs.

Cargill’s cocoa and chocolate business will open the world-class production line in the last quarter of 2018. With an investment of €12 million ($14 million), the company will be able to further enhance and expand its chocolate capabilities. The investment is a response to growing customer demand for high quality chocolates tailor-made to individual customer specifications, demonstrating Cargill’s continued commitment to providing its customers with a secure and broad supply of bespoke cocoa and chocolate products.

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Demand For Quality, Belgian Chocolate The new production line, along with the company’s deep chocolate knowledge, extensive food experience and R&D proficiency, will help food manufacturers innovate in a market characterized by rapidly changing consumer preferences and expectations. Inge Demeyere, managing director for Cargill’s chocolates and compound activities in Europe, says: “Indulgence is a key driver of the demand for premium chocolate.

With the new production line, we will be able to better meet Belgium’s chocolate

needs – and offer more quality Belgian chocolate to customers in other global markets who want to benefit from the country’s world-class reputation. At Cargill, we are fully committed to our long-term growth in the Belgian chocolate market.”

Belgium – A Strategic Market Cargill currently employs approximately 150 people in production and related services in Mouscron. Belgium has been a focal point of Cargill’s cocoa and chocolate business for many years thanks to the country’s iconic chocolate production tradition combined with a strong focus on safety and product integrity. The Mouscron facility processes dark and milk chocolate in liquid and solid form for manufacturers active in confectionery, biscuits, bakery, ice-cream and artisanal applications. The company has another chocolate site in Belgium, Antwerp, producing liquid and solid chocolate. J

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018

I INNOVATION

AllinAll Ingredients Opens New €5 Million Facility in Dublin llinAll Ingredients has opened a new A state-of-the-art manufacturing and Research and Development facility at Rosemount in Dublin. The Irish company, which has been in the food industry for over 20 years, develops and manufactures ingredients, sauces and blends for the processed food market. Its R&D lead team have developed over 500 new products so far this year and last year it developed over 900.

Previously based in Parkwest, Dublin, AllinAll Ingredient’s new facility at Rosemount includes a pilot plant which provides the infrastructure and scientific equipment for food scientists to trial, develop and demonstrate new products.

The new facility will support the company’s growth ambitions as it looks to further grow its sales in Eastern Europe and the Middle East as well as seek new export markets by linking up with new distributors.

Growth Trajectory The growth trajectory which AllinAll Ingredients has been on has been substantial, doubling its employee numbers over the last four years to forty, and the expanded facilities will provide for an expanded workforce as the company plans to hire a further twenty people over the next four years.

Daniel Hickey, Chief Executive Officer at AllinAll Ingredients, comments: “AllinAll Ingredients has been at the cutting edge of the food ingredients industry for many years and we are proud to open our new manufacturing and R&D facility in Dublin, which will allow us grow and expand our business in Ireland and around the world.”

“As people’s tastes and food needs change, we need to change with them. Our new R&D facility and pilot plant are an important part of the new operation as it allows us trial and demonstrate new ideas and solutions for customers. We will over the coming months not only be trialling and developing new products for our customers, but we will also welcome food scientists from at home and abroad who will be coming to jointly work with us and use our facilities.”

An Taoiseach (Irish Prime Minister) Leo Varadkar TD (on the left), who officially opened the new facility, pictured with Daniel Hickey, Chief Executive Officer at AllinAll Ingredients.

New Product Development The newly designed laboratories provide the state-of-the-art space in which AllinAll’s R&D Food Scientists can engage in new product development for key clients in the processed meat, ready meal, snacks and bakery sectors. A key benefit is the ability to conduct scaled-up product trials in partnership with customers in the new pilot plant.

Daniel Hickey adds: “This facility provides us with the capacity to create new products faster and with greater confidence launch them on the market. It’s also more cost-effective as the scale of the trial work is smaller than if the customer used their own full scale production plant. The blending capacity of the Rosemount plant is threetimes the size of the old plant, with a larger range of blending equipment available too.

This means we can be far more flexible and provide a greater speed of service than existed before. At AllinAll, we see our role as helping our customers to stay current, in whatever way they deem right for them and their business while delivering a service that observes the highest quality standards which is guaranteed by the new plant being granted the BRC AA accreditation.”

Strategic Location With the new plant situated less than fif-

teen minutes from Dublin International Airport, which has direct air links throughout Europe, the Middle East and North America, AllinAll Ingredients is well-located to be able to work closely with customers at home and abroad and develop the partnership relationship that can deliver for both parties.

He continues: “We can easily and quickly bring in technologists from our international customers here to develop the solutions they need, undertaking full trial and verification work. We can also get our Technologists go abroad to visit current and potential customers and in partnership develop products that deliver for our customers a bespoke solution that when used by them in their production process and gives them the end product they wish to sell on to their customer.”

AllinAll Ingredients has signed up to the Origin Green programme promoted

by Bord Bia. The overall ambition of the Origin Green programme is that farms and food manufacturing businesses throughout Ireland sign up to the sustainability agenda, making measurable commitments to producing in a sustainable manner, with progress independently assessed and verified. For more on information visit www.allinall.ie. J

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I FLAVOURS

Synergy Flavours Launches Ruby Chocolate Flavour ynergy Flavours has launched its newly developed Ruby S Chocolate flavour to add to its wide range of chocolate flavour profiles. Ruby Chocolate is made using a unique type of cocoa bean with a particular process to give the pink colour and deliver a taste that is described as ‘sweet yet sour’ as it has very little of the cocoa flavour traditionally associated with all other types of chocolate.

This unique new chocolate flavour is said to tap into a new market need, going beyond what can be offered by milk and white chocolate. It is set to create a buzz amongst the 18-34 year old demographic who are increasingly looking for food and ingredients that are both visually satisfying and offer an exciting flavour experience.

The Ruby Chocolate flavour captures the unusual juxtaposition of sweet and sour with creamy mouthfeel and fruity notes. With the addition of this innovative new profile, Synergy’s chocolate flavour range stands out from the crowd.

Hugh Evans, Marketing Manager for Europe and Asia at Synergy Flavours, comments: “We are delighted to be able to offer a versatile Ruby Chocolate flavour that can be used in a range of applications from bakery to sports nutrition. It was important to us to be able to develop a flavour and bring it to market as soon as possible after the UK launch of the first ruby chocolate bar by Fortnum and

ENERGY

Mason in April of this year. Our team of flavourists were able to use sensory analysis results directly from ruby chocolate itself, resulting in them being able to capture the most authentic flavour possible. This is the first time since white chocolate was introduced in 1930 that there has been a new chocolate flavour on the market and we are certain that this is going to help drive growth product in the bakery, desserts, confectionery and sports nutrition markets for many years to come.” J

ENVIRONMENT

I SEAFOOD

New Sustainability Report From Bakkafrost akkafrost has underlined the growing B importance to the UK market of its expanding salmon farming operation, the largest in the Faroe Islands, with the publication of a two year plan which addresses important sustainability issues.

Against a background of very high (96%) customer satisfaction, the employ-

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ment of more than 1,100 people on the islands and the successful roll out of cleaner fish its salmon farms, Bakkafrost has opened one of the most modern processing plants in the world.

The company has now announced plans for a new biogas plant, using waste products from fish and dairy farming, to produce energy and fertiliser, thus further enabling the implementation of a sustainable feed policy.

Bakkafrost produced almost 700,000 salmon meals, fillets and portions a day for the UK and other global markets in 2017 and is currently growing its market share worldwide.

“Operating in a small country like the Faroe Islands restricts growth so it is important for us

to be as efficient and sustainable as possible and to continually innovate,” says Torkil Davidsen, head of UK operations.

He adds that through 2018 the company would be looking for additional customers for its unique breed of salmon, which are high in Omega-3, whilst starting production of exciting new salmon fresh fillets and portions.

The full report is available on the internet at: www.bakkafrost.com/sustainability. J

FOOD & DRINK BUSINESS EUROPE, JULY/AUGUST 2018