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fter the roller coaster that was 2021, following the unprecedented year that was 2020, and in the face of a supply chain crisis, there is still optimism for the future. As Australia starts to prepare for a postpandemic life, the food and beverage industry is likely to see some positive changes as a result. I believe this is because when large and unforeseen problems are overcome, new things are learned and used in the future. As restrictions ease, consumers will be out in force again and it will take some time before the industry gauges just how much buying trends have been impacted by the necessities of a COVID-19 world, namely online shopping, and delivery. However, before this happens, the supply chain issues that are resulting in empty supermarket shelves, a worrying sight for anyone, need to be overcome. Until then, other questions we can ask after coming out of 2021 and into 2022 include whether the growth experienced in some sectors over the past two years, like the ready meals space, will continue to climb, plateau, or even contract. The Australian food and beverage industry reacted to the COVID-19 pandemic with flexibility and innovation. For example, some manufacturers diversified by breaking into new markets and to meet new demands, or developed products that created a safer working space. Occupational health and safety have always been an important focus for the industry, with continuous innovation in the space, which meant the new requirements under a COVID Safe model were easily met and exceeded in many areas of the industry. The pandemic was able to prove new software innovations for tracking and maintaining
compliance could do so under the stress caused by a shifting industry landscape under such conditions. The industry was forced to troubleshoot, and in most cases innovate, and was able to do so quickly and with some great success. This, for me, is a testament to the industry – always keeping one eye on the future. Another prospect for 2022 is the return of industry trade shows, like FoodTech and thinkfood LIVE, which have been away from the space for a few years due to the above-mentioned issues. These events will be the ideal place to showcase some of the latest innovations from the last two years and those that will be arriving on the scene in the near future. But it will also give those in the industry a chance to finally rub shoulders with peers and stakeholders after years in the digital wilderness that’s been video conferences. This year is shaping up as an exciting year for the food and beverage industry, one that will hopefully see the wheels of industry and innovation in full motion again. And with new sustainability targets one year closer, we can expect to see more major changes soon. Last year saw major companies switch to 100 per cent renewable energy and more are set to do so in the coming years, which is a positive sign for the future sustainability of the industry. As challenging as the last year has been for the industry, as was the one before that, but the industry survived, and in some instances thrived. As the external forces of a global pandemic hopefully start to fade away and some sort of normality returns, the benefits of that survival will become clearer to see as the food and beverage industry moves into the future. Have a great month.
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CONTENTS
INSIDE 06 NEWS 20 MEET THE MANUFACTURER Gourmet Foods’ recent acquisition comes as it expands its market share across Australia. 26 PACKAGING Select Equip details some of the newest innovations in the packaging sector. 28 MARKET GROWTH Total Construction general manager Rob Blythman speaks about the
26 36
growing ready-meals market.
38
30 INNOVATION Bürkert experts are on hand to help clients make the most of government incentive programs. 32 TRACEABILITY Advancements in barcode technology are making traceability an easier process according to GS1. 34 MARKET TRENDS A Pall Corporation study details emerging food and beverage trends to watch. 36 LOGISTICS A case study on the successful partnership between Mars Wrigley and Toll that was brokered by Dematic.
40
38 HYGIENE Continental uses antimicrobial Microban technology to ensure greater hygiene during liquid product transfer. 39 SOFTWARE Centric Software is offering expert webinars detailing the benefits to product lifecycle management solutions. 40 thinkfood LIVE
41
thinkfood LIVE is a new addition to the Australian trade show circuit in 2022. 41 AIP 42 AFCCC 43 MARKET WATCH 44 DAIRY 45 NEW PRODUCTS
6 Food&Beverage Industry News | February 2022 | www.foodmag.com.au
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NEWS
Liquor Marketing Group appoints new head of category A ustralian membershipowned retailer, Liquor Marketing Group (LMG), has announced the appointment of its new head of category, Jeremy Turnham. Turnham brings a wealth of experience to LMG, having previously worked for Lion for four years as customer director – independents and field. In this role, Turnham led a national account and field team of over 200 in delivering high-quality customer outcomes. Before Lion, he spent almost 11 years with Fine Wine Partners in senior roles across sales, portfolio strategy, and channel planning. “Jeremy Turnham joins our
team at a time where we are well positioned to continue our strong growth trajectory,” said Damien Page, LMG’s general manager for merchandise and marketing. “LMG has experienced 17 consecutive quarters of revenue growth. “During this time, we have doubled our investment in advertising, selling, digital and eCommerce platforms, and member support including the rollout of a national store refresh program.” “Jeremy’s strong commercial acumen and leadership experience in the liquor industry across wine, beer and retail is a valuable addition to the LMG team and will be instrumental in further driving our
Jeremy Turnham will immediately take up the role of LMG head of category. business growth and success. Turnham also expressed his excitement at joining LMG. “I’m looking forward working with the LMG team, along with
our member retailers and supplier partners to develop strategic, creative and engaging initiatives that delight our customers and drive maximum value for our members,” he said. F
Nestlé Australia switches to 100 per cent renewable electricity A ustralian brands including KitKat, Milo, Allen’s, Nescafé, Uncle Tobys and Purina pet food will now be made at factories where 100 per cent of the electricity is sourced from wind power. The move comes as Nestlé Australia announces it is switching to 100 per cent renewable electricity, four years ahead of its global target of 2025. The company has partnered with CWP Renewables to make its first renewable power purchase agreement (PPA), bringing the company one step closer to reducing its net emissions by 50 per cent by 2030 and achieving net zero by 2050. The 10-year agreement covers Nestlé’s six Australian factories, two distribution centres, three corporate offices, 20 retail boutiques, and laboratory. CWP Renewables’ Crudine Ridge and Sapphire wind farms in NSW will generate enough electricity to cover the electricity used across Nestlé’s sites
each year – the equivalent of powering approximately 19,000 households annually. The switch to 100 per cent renewable electricity in Australia will mean Nestlé will avoid around 73,000 tonnes of carbon emissions each year. “Achieving our sustainability commitments as we progress towards 2050 can’t wait, and neither can we. I am proud that we’ve been able to accelerate switching to 100 per cent renewable electricity for our sites, but there’s still more to be done. This is one more step on our roadmap,” said Nestlé Oceania CEO Sandra Martinez. “This means that when Aussies are enjoying Nestlé products made in our Australian factories, they can do so knowing that it is made by electricity that has been renewably sourced.” “This builds on the work we are already doing to rethink our packaging, build sustainable supply chains, drive carbon neutral brands and transform our product portfolio with more plant-
8 Food&Beverage Industry News | February 2022 | www.foodmag.com.au
The move means Nestlé will avoid around 73,000 tonnes of carbon emissions each year.
based foods and drinks.” Meanwhile, CWP Renewables CEO Jason Willoughby commended Nestlé Australia for making the transition to 100 per cent renewable electricity. “Through this PPA, Nestlé will also be supporting critical regional investment, with our Crudine and Sapphire wind farms providing around 20 local operations jobs, plus more across maintenance, and more than $8.55M in community benefit funding throughout the life of the farms,” said Willoughby. Greenpeace Australia Pacific
CEO David Ritter said because of its position as a large energy-using company it was an important step that Nestlé Australia was taking. “The corporate momentum around the energy transition is building, and while companies like Nestlé have much work ahead of them to become sustainable, this is a step in the right direction,” he said. The move to source 100 per cent certified renewable electricity is just one of several sustainability targets outlined in Nestlé’s Net Zero Roadmap, its time bound plan to achieve net zero. F
NEWS
International collaboration set to pave new way for sustainable eating S outh Australian authentic Italian ‘at-home’ brand Cucina Classica has announced a partnership with the award-winning international 100 per cent plant based Canadian food company, Modern Meat. Under the collaboration, Cucina Classica will become one of the first South Australian brands to pivot its local manufacturing towards plant-based foods while also using prominently Australian ingredients. According to Cucina Classica managing director, Roberto Cardone, the announcement presents an opportunity as Australia becomes the third country in the world to be manufacturing the fully sustainable Modern Meat products. “This is a proud moment for Cucina Classica as Australia
joins Canada and North America in manufacturing Modern Meat products. The partnership will also have a financial benefit for local producers and importantly create jobs in food manufacturing,” said Cardone. “Our joining of forces has the potential to produce food sustainability for the Australian population and help the planet lower its emissions by consuming less meat. “Currently, 80 per cent of frozen vegan meals in supermarkets are imported. “A focus on local produce creates an exciting opportunity to partner with local growers to ensure that our products are sustainable and not imported where possible.” The collaboration marks a new era for Cucina Classica whose footprint
in the distribution of ready-made meals, pastas, cakes, and pastries, gelati, coffee, pizza and breads are increasing through national retailers such as IGA, Coles, Woolworths, Foodland and Drakes supermarkets. “This partnership is a natural evolution for Cucina Classica, a brand that was born out of South Australia’s Cibo Ristorante & Pasticceria,” said Cardone. “We are now firmly focused on creating authentic Italian food and coffee experiences in the homes of everyday Australians. “With increasingly more Australians moving towards meatfree eating and exploring meatfree eating days, we anticipate the Modern Meat offerings to be popular beyond the vegan and vegetarian markets. F
Cucina Classica will become one of the first South Australian brands to move towards plant-based food manufacturing.
RMIT experts weigh in on Australian food supply shortages A s Australia continues to battle the issue of food supply shortages being experienced in the face of the Omicron outbreak, academics from the Royal Melbourne Institute of Technology have given some extra insight into the cause of the crisis and possible solutions. “The food supply chain has been particularly susceptible to the pandemic, and especially the Omicron variant. As it spreads across Australia like a wildfire, an already strained system has been pushed to a breaking point,” said professor of human resource management, deputy dean research and innovation, school of management, RMIT, Andrew R. Timming. Timming said migrant labour played an important role in Australia’s
food supply chain and the COVID19 pandemic, and all the restrictions therein, had taken a toll on the migrant work force. “Migrants have traditionally played a huge role, from picking produce to transporting it across the country. With the abrupt closure of our borders in 2020, that labour supply has been cut off,” he said. “This, coupled with the strict rules surrounding isolation and quarantine, has created the perfect storm we are experiencing today. There are plenty of low wage jobs to go around and not nearly enough people willing or able to fill them.” Timming said the capability to automate more tasks across the food and beverage supply chain was one possible solution, and one that could
10 Food&Beverage Industry News | February 2022 | www.foodmag.com.au
mitigate the risk of another shortage in the future. “Already we have the technology to deploy self-driving trucks that can transport goods across the country with zero COVID-19 risk,” he said. “More importantly, the lesson in the current supply chain crisis is that we should be looking towards more sustainable, locally sourced food. I grow my own vegetables in my backyard, so I am largely unaffected by the empty shelves at the supermarket.” Associate professor in sustainability and urban planning in the School of Global, Urban and Social Studies (GUSS) and the Centre for Urban Research (CUR) at RMIT, Andrew Butt, echoed Timming’s comments. “One of the major challenges of
our food supply chain, even before the pandemic, is finding a labour force for picking and packing and the like in more remote areas,” said Butt. “Already we were facing the challenge of having to bring in workers from the Pacific Islands and backpackers and so forth because access to labour in these remote areas is more challenging. These challenges have been exacerbated by COVID. “This is why good metropolitan planning and peri-urban planning needs to recognise the importance of having local food systems within metropolitan regions. By not recognising that a city like Melbourne can use peri-urban land for food production and presuming it can be done elsewhere, we’re creating a more fragile food system.” F
NEWS
Kraft Heinz to become carbon neutral by 2050 K raft Heinz has pledged to achieve net zero greenhouse gas emissions across its operational footprint and global supply chain by 2050, reaffirming its commitment to reducing the ongoing threat of climate change. As a milestone on its path to achieving net zero emissions, it will target a near-term emissions reduction of 50 per cent by 2030. The key focus areas of Kraft Heinz’s net zero program include promoting regenerative and sustainable practices across the whole of the company’s agricultural supply chain through its Sustainable Agricultural Practices Manual, which guides efforts to source 100 per cent of Heinz ketchup tomatoes sustainably by 2025 and transitioning to more circular and recyclable consumer packaging. In 2020 and 2021, Kraft Heinz conducted an assessment related
to its total value chain emissions, including verifying all emissions by an independent third-party. Its Scope Three emissions account for approximately 95 per cent of the company’s total emissions, so will be a primary focus its reduction efforts. Kraft Heinz will work in partnership with key suppliers, including ingredient and packaging suppliers, which account for approximately 62 per cent and 12 per cent of its Scope Three footprint respectively, to reduce emissions across its value chain. Other focus areas will include upstream and downstream transportation and distribution, end-of-life treatment and use of sold products. In 2021, Kraft Heinz also renewed its commitment to set a sciencebased emissions reduction target by the year 2023, in alignment with the
The company has also set out the goal of reducing 50 per cent of all emissions by 2030.
new Science Based Targets initiative (SBTi) Net-Zero Standard. It will follow the most current, credible and accepted climate science standards available. The company plans to share additional information on its roadmap
to achieve net zero emissions by 2050 when it announces its science-based targets in 2023. Kraft Heinz will continue to report annually on its emissions footprint in its Environmental Social Governance (ESG) Report. F
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NEWS
AFGC calls for consistent national approach to COVID
The call is to allow critical workers an easier pathway back to work to prevent the supply chain stalling.
T
he Australian Food and Grocery Council (AFGC), the peak body representing food and grocery manufacturers, says nationally consistent rules for managing COVID close contacts
among essential workers are urgently needed as supply chains and supermarkets face their greatest challenge since the start of the pandemic. AFGC CEO Tanya Barden
welcomes moves by the NSW, Queensland and Victorian governments to relax isolation requirements for some close contacts of COVID-19 cases, following representations from the AFGC. She said it was important to address the workforce reductions of 40 per cent or more suffered by businesses trying to maintain supplies of essential items. “We urge all state and territory governments to develop a uniform approach that will allow asymptomatic workers to return to their critically important jobs, subject to strict controls to protect public health, so that they can continue the work of supplying food and groceries to the nation,” said Barden. Barden welcomed Prime Minister Scott Morrison’s announcement of moves to prioritise the endorsement of new arrangements for workers
in critical supply chains at National Cabinet ahead of its recent scheduled meeting of the national body. “I understand that the Commonwealth has been working with states on this issue following National Cabinet [recently],” she said. “However for these arrangements to be effective, there needs to be either priority access to Rapid Antigen Tests for daily testing of food and grocery manufacturers, or a more pragmatic approach such as the Day 6 testing in Queensland.” Barden said the same approach to consistent rules and access to testing must include all food and grocery production (such as personal care and cleaning products) as well as key supply chain inputs. These inputs include packaging companies and ingredient suppliers, without which food and grocery manufacturing will simply stall. F
Trade measurement audit to monitor imported food and grocery goods A
trade measurement audit program will be introduced by the federal government in 2022 to ensure imported food and grocery goods measure up for Australian households. Inspectors from the National Measurement Institute (NMI) will audit importers from 4 January to 30 June 2022 under its 2021-22 National Compliance Plan. After reviewing data on non-compliance detected in previous inspections, the focus will be on oils and seasonings, pet foods, beverages, sanitisers and cleaning products. Importers are a trader type with consistently above average rates of
non-compliance over recent years. “Trade measurement inspectors will audit at least 400 importers nationwide and check a minimum of 8,000 types of packaged goods to make sure they contain the amount of product stated on the label,” minister for Science and Technology Melissa Price said. “Inspectors will also be reviewing documentation to show that importers have appropriate systems in place to make sure they are doing the right thing. The law is clear. Consumers should be able to make informed purchasing decisions and know what they are paying for. Consumers have a right to be
12 Food&Beverage Industry News | February 2022 | www.foodmag.com.au
confident that the marked weight or volume of packaged products is accurate, said Price. “If a container is marked 500ml then there should be 500ml of product in that container,” she said. “Importers owe it to consumers to get it right. It is their responsibility to check that the goods they import are accurately labelled. The National Measurement Institute can issue fines to businesses found to be breaching the law and persistent offenders can face court action.” Where non-compliance is found, NMI can issue infringement notices with fines of $1,110 per offence. If the case is serious enough for a
The audit will run from January 4 to June 30.
prosecution, the maximum fines are $222,000 per offence as a company or $44,400 per offence as an individual. F
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NEWS
Deakin report tackles Australia’s $3 billion food and fibre fraud problem F raudulent practices are putting a dent in Australia’s global reputation as a food producing powerhouse, as a Deakin report shows the country’s food and fibre products are highly vulnerable to fraud. Beef, veal, wine, fish and molluscs are identified as high risk, with an estimated economic cost between $700 million and $1.3 billion a year. The cost of fraud in the sheep meat, dairy products, wheat, wool and horticulture sectors is said to cost another $400 million to $700 million annually. These figures represent a challenge for the sector and are a blow to producers who work hard to produce sustainable, quality food and fibre products for domestic and international consumers. The new insights are part of a Deakin research report, commissioned
by AgriFutures Australia to quantify the size of the product fraud problem facing Australia’s rural industries and to highlight opportunities, both domestically and internationally, to combat it. The report, Product Fraud: Impacts on Australian agriculture, fisheries and forestry industries, found that most losses can be traced to six fraudulent practices: adulteration, concealment, counterfeiting, dilution, mislabelling and substitution. Product fraud deceives consumers by providing them with a lower quality product without their knowledge. Incidents of product fraud are commonly linked to shortages or constraints in the supply of raw ingredients. Product fraud is on the rise and already causing harm to Australia’s reputation for producing high-quality
Food fraud creates an economic cost of more than $1 billion a year. goods, according to Deakin University Centre for Regional and Rural Futures director, Professor Rebecca Lester. “Guaranteeing a product’s origins can be costly, but authentic testing places emphasis on early detection and prevention, rather than responding to problems once they occur,” said Lester.
Lester says many producers are not aware of the risk of food and fibre fraud that is occurring. According to AgriFutures Australia manager Rural Futures, Georgie Townsend, ultimately it is producers and businesses along the supply chain who lose out through lower returns and risks to brand reputation. F
PepsiCo appoint a new CEO for Australia and New Zealand P epsiCo has announced the appointment of Kyle Faulconer to the role of chief executive officer for Australia and New Zealand. Faulconer will relocate to Sydney from his native US, where he is currently vice president and general manager at PepsiCo’s Frito-Lay snacks business, responsible for leading the strategic agenda for Walmart, one of PepsiCo’s largest global customers. Wern-Yuen Tan, CEO PepsiCo APAC, says Faulconer’s deep customer experience, strong trackrecord of driving long-term growth in competitive markets and people-first leadership approach will be an asset to the local team. “Kyle brings a vast amount of
experience in successfully navigating complex and competitive markets with a deep understanding of our business and purpose. We are delighted to welcome Kyle to ANZ and know he will lead the team to new heights,” said Tan. Faulconer was an advocate for consumer-centric innovation. During his 14-year tenure at PepsiCo, Faulconer has held a range of roles and responsibilities covering specialties including field operations, strategic account leadership, and direct-to-consumer sales strategy. In his new role as CEO, Faulconer will focus on driving innovation and further growth across the PepsiCo portfolio of drinks and snacks, alongside strengthening the
14 Food&Beverage Industry News | February 2022 | www.foodmag.com.au
Kyle Faulconer began his role as CEO for Australia and New Zealand in January.
market’s purpose and people-led business operations. “I’m thrilled to join the world-class team and help the PepsiCo business continue to grow across Australia and New Zealand. I look forward
to creating new opportunities to accelerate our positive, purpose-led impact for our partners, customers and consumers,” said Faulconer. Faulconer officially joined PepsiCo ANZ in January, 2022. F
NEWS
Woolworths Group starts construction on first automated online fulfilment centre W oolworths Group has commenced building its first ever automated customer fulfilment centre to better serve the online grocery needs of Western Sydney customers. Set to open in 2024, Woolworths’ Auburn Customer Fulfilment Centre (CFC) is being built by Vaughan Constructions and will be equipped with Knapp’s automation technology. The technology will allow the hundreds of personal shoppers employed at the site to pick and dispatch up to 50,000 home deliveries a week across Western Sydney. The state-of-the-art 22,000sqm CFC – equivalent to two times the size of Western Sydney Stadium – is located in the heart of Western Sydney at 11-13 Percy Street, Auburn. “Online grocery shopping is
booming in Western Sydney as more and more customers look to reclaim time in their busy lives,” said Woolworths director of eCommerce, Annette Karantoni said. “The development of Auburn will provide a major boost to our same day delivery capacity in Western Sydney – unlocking faster and more flexible online shopping options for our customers. For added convenience, we’ll also offer pick up bays with a direct to boot service for local customers who prefer to collect online orders themselves.” The NSW Planning Department approved the State Significant development in June 2021. Vaughan Constructions General Manager NSW, Mark Cormack said the company was excited to play an integral role in
The facility is the first of its kind for Woolworths and will service Western Sydney.
the new delivery service. Woolworths reported a 53 percent increase in eCommerce sales in the quarter ended September 2021 and they now account for more than
11 percent of all sales. Woolworths stores remain a key part of the eCommerce network with more than 80 per cent of online orders being fulfilled by stores. F
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NEWS
Access up to $25,000 to adopt energy efficient technologies G uidelines have been released for the $19.9 million Energy Efficient Communities Program, which will provide grants of up to $25,000 for eligible food and beverage manufacturing businesses to adopt energy efficient technologies. Supplied by the federal government, the program will support small and medium food and beverage manufacturers and help them reduce emissions and electricity bills. Grants will be split between each of the states and territories based on the proportion of food and beverage manufacturing businesses in each jurisdiction, to ensure equitable distribution across the nation.
The Energy Efficient Communities Program will cut power bills for businesses and create jobs directly in the sector, as well as for local tradespeople, according to assistant minister to the minister for Industry, Energy and Emissions Reduction, Tim Wilson. Applications for this round of the Energy Efficient Communities Program opened on January 12, 2022 and close on February, 18 2022. Overall, Australia’s manufacturing sector employs more than 800,000 people – the food and beverage manufacturing industry employs one in four manufacturing workers and contributes approximately $22.4 billion to the domestic economy. F
The grants are designed to help manufacturers reduce emissions and costs associated with electricity.
Jobs Victoria links supermarket food suppliers with job seekers J
obs Victoria is working with major supermarkets including Coles, Woolworths and Aldi, as well as wholesaler Metcash, to link job seekers with food suppliers and reduce critical workforce shortages. The program started in January and has already had an overwhelming response with more than 2,000 people expressing interest in the roles on offer. “We want to keep food on the supermarket shelves and Victorians in jobs – and this program does both,” Victorian premier Daniel Andrews said. “This rapid response to workforce issues along the supply chain will help minimise disruptions to the food and essentials Victorians rely on, which is critical as we navigate Omicron.” The roles that are available include pick-packers to assemble online orders, night-fillers to re-stock shelves, cashiers, delivery
The Jobs Victoria program aims to address shortages in the critical workforce.
drivers and forklift operators. Roles are available for anyone looking for work, especially those whose employment has been heavily affected by the COVID-19 pandemic. Employers will provide any training
16 Food&Beverage Industry News | February 2022 | www.foodmag.com.au
needed, including induction and occupation health and safety (OH&S). Jobs Victoria is streamlining the hiring process by undertaking initial screening support to get people on the job as soon as possible.
The Victorian state government will also begin distributing 25,000 rapid antigen tests on a cost recovery basis to critical utilities and food supply chain services, including meat and poultry suppliers. F
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NEWS
Coles announces executive leadership team transition C
oles has announced a number of changes to the executive leadership team that will take effect over the next five months.
Chief executive, Commercial & Express Leah Weckert, currently Chief Financial Officer (CFO), will be appointed Chief Executive, Commercial & Express, and will assume the role in April 2022. Weckert joined Coles in 2011 and was appointed CFO in March 2018, having held a number of leadership roles across Coles in merchandise, operations, human resources and strategy. During her time as CFO, Weckert has led the finance, treasury, strategy, business development and investor relations functions, including playing a significant role in the demerger of Coles from Wesfarmers.
In her new role as chief executive, Commercial & Express, Weckert will lead Coles Supermarket’s Business Units and Own Brand teams, as well as the Coles Express business. Greg Davis, currently chief executive, Commercial & Express, will continue in his role to ensure a smooth handover to Weckert in the new year. Davis has decided this is the right time to take the next step in his career and will be leaving Coles following the handover. Chief Financial Officer Following an internal and external search process, Charlie (Sharbel Raymond) Elias has been appointed to succeed Leah Weckert as CFO. Elias joined Coles on 1 December 2021 and will work through a transition period with Weckert before assuming the role of CFO on 28
February 2022, following the release of Coles’ FY22 half year results. Elias has finance and executive leadership experience. Most recently, he was CEO of BlueScope Building Products Asia and North America Prior to that role, Elias was CFO of BlueScope Limited where his executive responsibilities included corporate finance, treasury, investor relations, M&A, audit and insurance. Elias’ previous roles have included CFO and executive director for Linfox Group, and CFO and head of strategy & business development for TXU Australia. “Leah’s knowledge of the business, our sector and the broader market will be important in the role of chief executive, Commercial & Express. We wish her continued success as she develops her career at Coles,” said Coles’ chief executive officer and managing director, Steven Cain.
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18 Food&Beverage Industry News | February 2022 | www.foodmag.com.au
“I am also delighted to welcome Charlie to Coles. Charlie’s broad executive experience and deep financial knowledge in large scale organisations, and projects, will be invaluable to Coles as we continue to execute our strategy to ‘win in our second century’. “Finally, I would like to thank Greg for his valuable contribution to the growth and success of the business since he joined Coles in 2009, which included delivering on our refreshed strategy in his current role and leading Coles as chief operating officer through the demerger. We thank him and wish him well in his future endeavours.” The changes come after Coles reported a $1.01 billion profit in 2021 and predicted a return to normal shopping for 2022. The profit was a rise of more than seven per cent. F
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Healthy snacking proving lucrative for companies like Gourmet Food The purchase of premium cracker manufacturer Gourmet Food by global snacking company Mondelez is an indicator of the current growth in the sector. Adam McCleery reports.
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ealthy snacking products have experienced strong growth in recent years as consumers move towards more balanced diets, which has had a knock-on effect of seeing strong investment in the sector. Gourmet Food, manufacturers of Olina’s Bakehouse gourmet and artisan crackers, is an example of the current and future potential the healthy snacking space has after being bought by multi-national food giants, Mondelez, in May of 2021. “Gourmet Food is a cracker that has done a great job being ranged in both Coles and Woolworths,” said vice president of sales, Toby Smith. “The business identified that growth in the entertaining space was a trend that would continue to grow into the future. Working with the retailers gave us that insight and aligned very much with the retailers. That premium entertaining space was something to be further unlocked, and therefore we went out and sourced the manufacturing assets that we have today.” It was in 2015 when Gourmet Food made the decision to step up its manufacturing of premium-style crackers with the intention of helping to reinvigorate the category, while aiming to set benchmarks around quality and flavour. “We have been really successful with – and something we check in the marketplace – strong relationships with customers, Coles and Woolworths in particular,” said Smith. While now under the Mondelez banner, it was a calculated decision to not upset a winning business model and instead Gourmet Food will continue to run how it always has and will remain autonomous in many ways.
Vice president of sales, Toby Smith, says home entertaining as a result of the pandemic helped drive growth in the healthy snacking space. “The agility of Gourmet Food, the innovation pipeline for example, has been phenomenal,” said Smith. “The company has stepped into some new places very quickly and probably more nimbly than a big multinational would.” That was another key selling point for the company and one of its market offerings, Smith said – the ability to adapt quickly and continually innovate products to match everchanging consumer trends.
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To create the capability for continued innovation required a manufacturing plant that was fit for purpose. Smart investment while building the factory also helped to ensure the correct capital purchases were made with one eye toward future growth. “The asset is state-of-the-art because the quality of product, ingredients and so forth, require a specific type of asset, which the company invested in,” he said. “It’s
also built to grow significantly; you can clearly see the road map to growth and, if not more, the assets have ensured we can do that. “The baking line is state of the art and there is still room to invest, and we currently are. Gourmet Food invested in doubling the size of the business and it was bought for growth; it was never a synergy play for Mondelez. “My involvement has helped keep the business separate so it can fulfil
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Gourmet Food continues to cultivate a strong relationship with major retailers like Coles and Woolworths.
"The asset is state-of-the-art because the quality of product, ingredients and so forth, require a specific type of asset, which the company invested in,” he said. “It’s also built to grow significantly. You can clearly see the road map to doubling, if not more, the size of the business. The assets have ensured we can do that." its growth goals. We didn’t want to bring it into Mondelez and create different levels of process because the assets, and ways of working them, have been all about aggressive growth and being flexible.” Meanwhile, the COVID-19 global pandemic forced the company to demonstrate just how flexible and agile the business model was, and according to Smith, the company came through with flying colours. “They hit the sweet spot,” said Smith. “Premium entertaining is a money space globally and Gourmet has built relevance in the space by adapting to trends, and depending on seasonality, being able to pivot to new flavours to ensure the product is feeling fresh and contemporary.” Smith said the company had done so well it was ‘stretching the evolution’ of the product space
through its approach. “A lot of organisations may look at an annual refresh of flavours and portfolio offerings but the way we treat gourmet food is as a constant evolution; it isn’t defined by calendar years, it’s defined by where the consumer wants us to be,” added Smith. Smith gave a real-world example of how Gourmet Food built the capability to shift process methods nimbly when required. “Our latest Olina’s Bakehouse snackers launch went with a solid proposition but we got some feedback that the cracker was a little too big and we were able to turn that around within 14-15 weeks and it is back in market exceeding all our forecasts,” said Smith. “I think it is a great demonstration on how the business is set up to be
agile. It’s a testament to just how great the asset is that you can pivot and get a product right where you want to be. “A lot of factories wouldn’t be able to make those adjustment to manufacturing, or product footprint, without the agility and investment being done up front.” The Australian market also provides opportunities for growth because of the country’s affinity with outdoor entertaining. This is why the nation has one of the highest concentrations of indoor and outdoor
entertaining products in the world, according to Smith. “I think as outdoor entertaining in Australia evolves beyond the barbecue and the sausage in bread – this space will continue to grow,” said Smith. “People are now wanting to entertain at a different level, so the premium entertaining sector is just such a sweet spot here in Australia and you can see it in a supermarket today – products that are high in quality are in high demand.” While Australia is a lucrative
Gourmet Food manufactures Olina’s Bakehouse snackers, which has experienced growth in the market. www.foodmag.com.au | February 2022 | Food&Beverage Industry News 21
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As a result of its success, Gourmet Food was recently acquired by Mondelez.
Investment in the healthy snacking space is increasing as products become more popular with consumers. market for the entertaining and snacking space, so is much of the rest of the world and Smith said one of the first key benefits to come from the sale to Mondelez was the ability to have that global powerhouse’s resources behind it when it moved into new foreign markets. “We’ve got a train of work to get our product into Japan and we’ve got a good base in New Zealand, and we are reaching out to the United Kingdom and the United States,” said Smith. “We already do a little work with COSTCO, but we will leverage the Mondelez muscle to see if we can
get Gourmet into more retailers like Walmart. But that is in its infancy. Gourmet Food was experiencing growth in the lead up to
was named Top Ranked Supplier in the Australian Grocery Deli Category of the Advantage Report. The report was survey based and
"People are now wanting to entertain at a different level, so the premium entertaining sector is just such a sweet spot here in Australia and you can see it in a supermarket today – products that are high in quality are in high demand." its purchase by Mondelez. The company’s first notable recognition came in 2018 when it
22 Food&Beverage Industry News | February 2022 | www.foodmag.com.au
asked decision makers from the retail sector, including Coles and Woolworths, to measure companies
like Gourmet Food against key performance indicators, such as innovation and growth. “Also, we will be continuing with new propositions, catering packs for example, into 2022 also,” said Smith “The catering, or what we call the away-from-home space, is also another area of growth we have identified as a huge opportunity for the business and is a part of the expansion plan that we have for the immediate future.” Smith said Mondelez only recently approved capital for Gourmet Food to help speed up the company’s growth. F
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LUBRICATION
JSG Industrial’s automated lubrication systems help reduce labour costs and overheads National manager at JSG Industrial NZ, Brendon Ladewig, said the company offers a level of technical expertise which makes it attractive to the Australian industry. Food & Beverage Industry News reports.
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SG Industrial Systems provide the food and beverage industry with specialist lubrication systems that help limit production downtime, increase health and safety and reduce wastage. John Sample Group, through its JSG Industrial Systems business, holds the distribution rights to SKF Lincoln Lubrication Systems in Australia, New Zealand and the Asia Pacific region. Brendon Ladewig, the company’s national manager for JSG Industrial NZ, has spent years helping apply the company’s range of lubrication systems and applications to the New Zealand food and beverage industry. “In terms of the food and beverage industry, we supply mostly lubrication products relating to automated greasing and oil systems,” said Ladewig. One important application that is used across the food and beverage industry is chain and conveyor lubrication. Among JSG’s offering is an automated application that is coupled with a proximity switch that counts the rotors as the chain comes past and as it counts it activates the nozzle and drops the required oil onto the chain. “In New Zealand we’ve done a few different solutions for companies, systems include automatic
Automatic lubrication can limit wastage and mitigate cross-contamination risks.
greasing in a prominant bottling plant, a cheese processing factory and a soup packaging production line,” said Ladewig. One of the key benefits of applying JSG systems to a food or beverage production line lies in the company’s primary focus – health and safety. “We try looking at it from that aspect because these machines are dangerous, and you are not supposed to lubricate a machine while it is operating, in most cases” said Ladewig. “Some lubrication points are hard to
Automatic lubrication machines from JSG help speed up the manufacturing process.
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get to so the machine must be stopped to reach them.” “That means you lose production time but with an automated system, it lubricates the machine while it’s running, and you don’t lose production. From a health and safety perspective, it avoids situations where operators are in a risky environment.” For example, in recent years many of the lubrication systems being employed across the industry are being caged off, limiting when operators can access the system for
maintenance purposes. For JSG, the solution to this new problem was a simple one, and it lied with automation. The company supplies a system with an controller fixed on the outside of the cage so operators can monitor it from a safe distance. “The control will tell the operator if there are any faults with the system. It will tell them what the entire system is doing at all times. It helps both ways, increases productivity and keeps the operator safe,” said Ladewig. One of the questions Ladewig is frequently asked when it comes to automated lubrication is, “does this mean some staff will lose their jobs due to the automation of the task?” “The answer to that question is no,” he said. “What you are actually doing is repurposing your labour. Instead of them doing a menial task you can have that employee do more effective maintenance stuff like planning the next shutdown, or planning the next machine overhaul.” It’s not uncommon for some sites to have up to 3,000 lubrication points that
LUBRICATION
need to be lubricated on a weekly basis, so being able to repurpose that labour has a positive flow-on effect. Automated lubrication can also limit wastage on a level that is hard to achieve manually because of issues that arise from overlubricating, including grease dropping on the floor or contaminating other areas of production and the environment. “And those are things you don’t want to see happening,” said Ladewig. “The purpose of such an automated system is the right amount of lubrication at the right time and more frequently.” JSG Industrial’s lubrication systems can be applied to almost all areas of food and beverage production including the dairy industry, which the company will put extra focus on in the 2022. “Dairy is quite a large industry and we will be looking to get into that one more,” said Ladewig. Everything from fruit and vegetable sorting and cutting machines to food mixers, blenders and large industrial bake ovens all require some level of lubrication system that can be supplied by JSG. Ladewig said a renewed push in the New Zealand market for increased health and safety, which the company
JSG Industrial’s lubrication systems can be applied to almost all areas of food and beverage production.
already meets, indicates its ability to stay ahead of the curve. The same thing applies when it comes to the Australian food and beverage industry’s requirements and standards. “We don’t need to tweak anything in terms of our offerings. “Our products use an engineered plastic that is fine for the food industry, and we make sure we use Stainless Steel Grade 314, a food safe material, for our hoses and fittings,” said Ladewig. When the company quotes a job, it always ensures it is a full stainlesssteel project because it allows for the greatest flexibility.
“We can fill the pumps with any lubricant we want or need. Usually, the site will already have its own foodgrade lubricant and will make some cartridges available for us to install in the pump,” Ladewig said. The company will also help a customer work out the return of investment on JSG Industrial systems and applications by calculating a range of factors including bearing turnover. “We look at how many bearings the company is buying, which indicates how often they have bearing failure,” said Ladewig. “We also look at how much the labour to fix a machine would cost and we look at the loss of production
for the times the machines are down. We also look at the cost of labour for a person to run around with a grease gun and manually lubricate these points.” On top of this, JSG also calculates the amount of grease a customer buys each year and then from these figures the company gives the customer a ballpark idea of how long it will be until the machine has paid for itself through the reduction in these costs. Working as the SKF Lincoln Master Distributor for the New Zealand region, JSG Industrial NZ works exclusively with selected distribution partners to offer a complete package to their respective industries. F
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PACKAGING
Adopting innovative packaging systems creates advantages for those willing to do so early Select Equip continues to work successfully across food and beverage manufacturing by anticipating which emerging systems and innovations will work best for its clients. Adam McCleery writes.
Experts at Select Equip help customers identify which emerging systems are best for a business.
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nlike some other industries, the importance of packaging in the food and beverage industry is so important it can make or break a product. That’s why companies like Select Equip, specialists in packaging system technologies and innovation, continue to find success in the market. The company focuses on five key areas; case-ready meat, ready meals, snacking on the go, produce, and dairy sectors. By doing so it’s able to source
and develop packaging systems that can be seamlessly transitioned from one sector to another utilising learned experience from one industry and adapting to another. For example, the company’s specialist knowledge on skin packing is used across multiple sectors including Case Ready meats and ready meals. While also creating a more efficient product by limiting the steps in the process. Because of its approach, Select
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Equip has built a reputation as a specialist in packaging systems that are not only innovative and more sustainable, but ‘future proofed’, as James White, sales and marketing director at Select Equip, said. “We are targeted in what we do and everything that we do is integrated together so it can all work seamlessly,” said White. “And because we are targeted in the sectors we work in, it also means we have dedicated systems to those
markets and know them well so we can guide and consult our customers to get the best ROI results for them.” Packaging continues to be a space where manufacturers and producers can reduce on plastic waste, an issue which continues to dominate the industry. “New packaging and packaging equipment technology deliver many benefits, from a reduction in plastics consumption, in some cases up to 50 to 80 per cent, to overall
PACKAGING
operating efficiency and reduction in energy use,” said White. “All our new systems delivered in the past five years have the latest energy-efficient electronics and drives. “Reducing packaging consumption is one piece of the puzzle, but you also need to have system that run on minimum energy.” As the industry continues to move towards new sustainability targets, packaging is proving one area where inroads can be made quickly if the right equipment & processes are adopted early. “New equipment should be designed to meet tomorrow’s needs, not just today’s,” said White. “If you see the speed of change that can happen in some sectors it’s important that large capital equipment is capable of change – to handle different materials, & different pack formats as retailer and end consumer requirements change” This concept is one that Select Equip abides by strictly. The company’s key suppliers have been focused on plastic reduction for the past decade, which has allowed it to keep its clients ahead of the curve by helping them to adopt systems that can adapt to emerging systems and technology. Another emerging innovation that White believes will have an impact on the industry is the use of rigid tray-forming machines coupled with a zero-waste top film system you cannot produce a cheaper rigid pack with less plastic. The Mondini Platformer is one of these rigid tray forming machines, which are designed to create a wide range of tray sizes and shapes. The platfomer when forming reduces plastic waste to only 2-3 per cent,
which means its environmental impact is reduced, compared to incumbent system on the market that produce 10-12 per cent waste as a minimum. It also reduces logistics, storage and double handling of pre-made trays from an external supplier, that has an overall CO2 reduction as well. White also highlighted paperseal technology as a key example of the success of selecting the right capital equipment, which can be easily evolved for emerging packaging systems. Paperseal is a paper-based tray that was designed so that the end product runs with the same level of efficiency and shelf life as a standard preformed plastic tray. Adding to that, paperseal also reduces plastic waste in the base by 80 per cent. “Paperseal when used for fixed weight case ready meat packs also negates the need for additional labelling. This gives a twofold benefit,” said White saving in packaging and reduction in equipment along the line. As a result, the technology was awarded the Australian Institute of Packaging Silver for Sustainable Packaging Design. The Sustainable Packaging category is designed to recognise companies that have developed innovative packaging or processing solutions that incorporate sustainability considerations. The Covid pandemic amongst other things is also causing labour shortages, due to people being unable to work due to illness or simply not enough labour, the opportunity that this is creating is companies need to automate more, White said. “Pre COVID, ROI was generally 12-18 months. Now that’s out the window, as clients need to buy
Advancements in TRAVE tray sealing technology is proving popular.
Paperseal technology was one feature Select Equip highlighted. automated plant as they cannot get the required number of people to run lines, so they are investing in automation regardless of the ROI,” he said. “The end effect for those that can afford it will be more productive and efficient factories post the pandemic.” Paperseal, and a host of other innovations, are being applied to the ready-meals sector, which has seen growth during the pandemic period due to changing consumer trends. Select Equip already has a large presence in the ready-meal sector, with some of the largest producers working with the company. By working with some of the most prolific producers of ready meals in Australia, Select Equip has added insight into the trends and growth opportunities in the sector. “Chilled ready meals, we believe, will continue to grow at 20 plus per cent per annum,” said White. “Due to COVID-19, people are buying more ready meals than ever before, mostly driven by convenience, while working from home or hesitate to go shopping this is particularly prevalent in the aged sector.” Coupled with the consumer’s changing ideas around what ready meals are in 2022, is the opportunity to expand the sector because of new and innovative packaging systems that can extend the shelf life of the product. “The biggest challenges for the chilled ready-meals sector in Australia have been shelf life, distribution distance is an issue, the adoption of skin packing technology has helped, coupled with online B2C sales negates the need to for distribution centres used by large retailers, the result is consumers get meals direct for the kitchen. A direct result of growing
consumer interest in ready meals has also resulted in producers and manufacturers reassessing the viability of investing in the sector. White said online B2C has also helped with that. The rise of people ordering readymeals online, indicates the appeal of breaking into the ready-meals sector without the help of traditional supermarket chains. In most cases a ready meals manufacturer would not see the proceeds from sales in supermarkets until sometime after, a standard practise, but with online the company can connect directly with the consumer for higher margins. And with one of the most critical factors in successful ready meals being packaging systems, Select Equip is experiencing successes parallel to the sector. “We have been successful due to our ability to delivery systems that can be expanded as the client grows and needs more efficiency and productivity,” said White. “We have a range of product filling systems from semi auto to fully automatic with MHW or integration of robotics, so we are capable of coming up with a solution that best suits our client needs today with a clear plan of how to grow the system as their market grows.” White said Select Equip’s expertise in building flexible systems and equipment capable of evolving with new innovations as a critical factor in helping to build a company’s success in the food and beverage sector. An emphasis on long-term thinking, coupled with integrated system designs, can lead to greater efficiency and sustainability and in the current industry climate, efficiency and sustainability are king. F
www.foodmag.com.au | February 2022 | Food&Beverage Industry News 27
TOTAL CONSTRUCTION
Why Australians are falling in love with ready-to-eat meals
The COVID-19 pandemic has had a positive impact on the ready-meals market.
The ready-to-eat meals market has experienced rapid growth in the last two years and Total Construction continues to be well poised to help companies expand operations. Food & Beverage Industry News explains.
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he ready-to-eat meal sector has experienced strong growth over the past two years due to several external and internal factors and Total Construction has been at the contracting forefront of the boom. “Our owner likes to say we are a 10-year overnight success,” said Rob Blythman, general manager, engineering construction group at Total Construction. “The UK basically has a shop on every corner and a lot of people pick up their ready-to-eat meal and head home. “For the longest time Australia had the mentality they were the equivalent of a TV dinner, which is not what ready-to-eat is. “That might have been the biggest hurdle to get over; the past
perceptions of what ready-to-eat meals can be and now are.” Some time ago Total Construction was able to employ the services of ready-to-eat sector expert, Tony Tate, who had observed the sector’s growth in the United Kingdom. “Tony is our general manager of the food and beverage division,” said Blythman. “He worked in the United Kingdom when the ready-to-eat sector was going gangbusters but at the time it never seemed to gain and traction in Australia.” Tate now provides Total Construction with his expertise, including his insights into the readymeals market. “We have been on top of it for the last eight to 10 years and we got Tony
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in for his expertise in the area. We have just been waiting for it to take off and it finally has,” said Blythman. Tate was up to the challenge of helping Total Construction build its presence in the ready meals market. “I came over to Australia 21 years ago to mirror the ready meals format from the UK,” said Tate. “At the time Australia was using more of an American model, which is more about frozen food, mainly because of the logistical challenges presented by Australia’s large size. “Frozen meals were hard to market so the concept was to produce fresh ready meals. The only downside is the price to produce the ready meals at the time was pretty high in comparison to going out for an occasion.”
Tate said the UK’s ready meals market had remained strong because of the ease with which the products could be transported around the country and within a short window of time. “The UK market follows the fresh food model, so no more than a seven-day shelf life and the logistics arm could reach any part of England within five hours total. We could also reach Europe the following morning,” said Tate. “It is a small footprint in the UK, but the ready meals market was, and is, a big one.” Despite its long-term popularity in the UK, Australia only started to experience some noticeable market growth over the past two years, said Blythman.
TOTAL CONSTRUCTION
Advancements in ready-meals packaging and manufacturing technology have also helped the sector grow. “Whether that is a result of people not wanting to go out and buy food or go wandering around the shops, we don’t know for sure,” he said. Total Construction has been contracted to build ready-to-eat manufacturing facilities in the past and learned quickly what the critical requirements were, putting them in a good position to take advantage of the growth. “We did one a few years ago and they weren’t doing anywhere near the volume the market is facing now,” said Blythman. “A lot of people had tried to enter the ready-to-eat sector but historically, it just wasn’t taking off in the market.” The capital investment that goes into developing a ready meals facility was also another hurdle for many manufacturers, but one Total Construction knows how to navigate. “You need a fairly bespoke facility to do this because you aren’t just making one product,” said Blythman. “You are making multiple SKUs and that has complexity of its own, just in the amount of different equipment you need to buy. “This sector spends a lot of money on equipment.” One of the most important developments to help the growth of the sector was advancements in packaging technology, extending the shelf life of fresh products, something that was holding the sector back. “That is the key for these operators because you can get a lot of wastage,” said Blythman. “Supermarkets will just send it
back when it hits the expiry date, and they don’t pay for it. Extending shelf life is critical.” Blythman said achieving that goal was a long process but had been achieved recently with successful results. “The hope was seven to 14 days and now it is exceeding that which is great in Australia because at times it could take three days to get the product to certain areas,” he said. Tate said exposure was a key driver behind the growth of the ready meals market, which was suffering from a misconception in Australia. “It has been growing steadily so a lot of the retailers have piggy backed on the success of things like MasterChef.
“They have been working with a lot of chefs to assist in getting into the fresh ready meals market,” he said. Tate also attributed the growth of the market to the impacts of the COVID-19 pandemic. “That growth is also being experienced across multiple brands, showing the popularity of ready meals already,” added Tate. “The young up and coming 20 to 30 years olds are wanting high protein meals, quick, easy, and fast. Companies in that space are doing multi-million-dollar turnovers.” Tate echoed Blythman’s comments about how critical extending the shelf life of ready meals was for the growth of the sector. “Coles and Woolworths were also
wanting to extend the shelf life of the product and retain the quality,” he said. “The maximum now is 10 days and a lot of companies have pasteurised in the pack to achieve 30-day shelf life, so a lot of the products must be value engineered to take that additional re-heating.” Tate said those in the ready meals sector were anticipating continued growth, with one Total Construction client, who can’t be named, looking to develop a facility that can manufacture one million meals every week. “They will likely be at capacity within the next six to 10 months,” said Tate. “Coles and Woolworths are already capable of doing that at their own facilities.” Tate said the major supermarkets were also looking at models for satellite facilities in the western regions of the eastern states and in north Queensland. The idea behind the satellite facilities is twofold – to reduce the cost of freight and to reach further across the country with the product. “The meals would be 60 per cent made up and then the satellite facilities would finish them off before hitting the market,” said Tate. Both Blythman and Tate said innovations to processes, like the satellite facilities, would continue to help drive the ready meals space forward and Total Construction were well positioned to make sure its potential is reached. F
The ready-meals sector is expected to continue to grow in a post-pandemic world.
www.foodmag.com.au | February 2022 | Food&Beverage Industry News 29
INNOVATION
Government incentives help food and beverage take the Industry 4.0 plunge Bürkert can help food and beverage manufacturers innovate the market utilising recent government incentive programs such as the Modern Manufacturing Initiative and Modern Manufacturing Scheme. Food & Beverage Industry News reports.
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t has not been an easy road for the food and beverage industry over the past two years. COVID-19 has impacted the Australian food and beverage industry with lockdowns, export restrictions and supply chain issues. As a result, the federal Government responded in late 2020 with a plan to shape the future of our nation by promoting growth in local F&B manufacturing. When the Federal Government announced the commencement of the Modern Manufacturing Initiative (MMI) in February of 2021, after launching the Modern Manufacturing Scheme (MMS) the previous October, road maps were detailed. The road maps set out a 10-year vision for each of the National Manufacturing Priorities and formed an integral part of the Government’s transformative MMS. In total, six National Manufacturing Priority sectors were named, with food and beverage being one of them. A total of $1.5 billion is being spread across these sectors, helping Australian manufacturers be more competitive, resilient and build scale in the global market. “The other great thing about food and beverage manufacturing is its imprint on regional Australia, both in where many of the factories are located and the support for businesses right along the supply chain,” Minister for Agriculture David Littleproud said in an official statement. Bürkert, experts in fluid control systems, has been supporting its existing F&B customers throughout pandemic and its impacts. Tom Kirby, national sales manager for Bürkert Australia, has first-hand experience with the F&B industry and as such has worked with hundreds of manufacturers, helping them discover
the best ways to evolve and improve their process applications. “In working with the food and beverage industry for over three decades, I’ve seen a lot of changes. However, the pressures of modern manufacturing can sometimes be daunting for producers, especially when considering investment in new technologies,” he said. The MMS aims to scale up sectors, encourage transformation for manufacturers who are looking for ways to bring their product to market faster, maintain high-quality standards and support other Australian Government initiatives of reducing food waste, improving emissions, and overall supporting a green more powerful Australian economy of trade. Through the MMS, the Government wants to support projects from industry that will transform manufacturing in Australia. The Food and Beverage National Manufacturing Priority Road Map outlines investments that both Government and industry will make over the next 10 years. Further funding for larger projects will be provided by The Manufacturing Collaboration Stream for both business-to-business and business-to-research realms, while the Manufacturing Translation Scheme will be applied to helping ideas become commercial realities. And finally, the Manufacturing Integration Scheme applies to the integration of local and international supply chains. Kirby said the government initiatives will drive the industry forward and into newer innovations, possibly at a quicker rate than previously anticipated. “We’re starting to hear Industry 5.0 through the grapevine, whereby there is a refined interaction between humans and machines, AI and the like.
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Burkert is well placed to help the food and beverage manufacturing industry move into the future with expert fit-for-purpose solutions.
Preparing our customers now for the future including innovation that focuses on the interconnectivity of machines and systems, in order to achieve optimum performance, improve efficiencies and productivity, is how we know we can assist the industry for the next chapter of technology,” said Kirby. “For those who are still grappling with Industry 4.0, these schemes and funding are the gateway to taking the plunge so they’re ready for what’s next. “At Bürkert, we’ve got hundreds of experts working with us around the world. Research and development are core to Bürkert’s values. Because of this, we have an array of solutions fit-for-purpose that can support our customer’s vision and goals. Partnering with industry allows us to customise solutions, in turn offering a unique approach to meeting the challenges our customers face.” The specific goals for the Federal Government, when it comes to the food and beverage industry, are three-fold. First, to harness and grow the
sector’s strength and advantages. Second, providing innovative solutions to overcome constraints that limit value creations and third, transforming the sector by developing a high-value reputable, and dynamic food and beverage manufacturing industry. Kirby said Bürkert was in a great position to help drive innovation in the food and beverage industry, as it has been doing for years now. “We invest in designing devices that align perfectly with the government’s initiative, and the global strategy to reduce waste and emissions,” he said. “We want to help Australian manufacturers to adopt these advancements, essentially ‘transform’ in line with this welcomed government enterprise to industry. “Helping our customers do this, whilst perhaps being eligible for a grant through the MMS and other schemes, will take some of the initial investment costs associated out of the picture, and we’re happy to work with manufacturers to achieve this.” F
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TRACEABILITY
Advancements in barcode technology are helping curb food counterfeiting Counterfeit food has been a thorn in the side of the food and beverage industry for some time, but GS1 Australia is stepping up to help combat the problem. Adam McCleery explains.
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ssues around counterfeit food are of growing concern to the food and beverage industry, but advancements in traceability technology are helping to combat this troublesome area. There are two main types of counterfeits in the food sector. First, food fraud, falsification and adulteration, which refers to products made from ingredients that are not of the quality claimed by the manufacturer. Second is the falsification of a brand, protected geographical indication (PGI) or denomination of origin (PDO), which relates to falsified data either on the food or the packaging itself. Peter Carter is the director of Business Development and Innovation at GS1 Australia, a not-for-profit organisation that specialises in developing and maintaining standards for barcodes and traceability. He said the company has developed methods for the industry to track products more accurately and, by extension, mitigate the risk of counterfeiting. “GS1 is stepping up to the plate on this with the introduction of nextgeneration barcodes, like 2D and QR barcodes. GS1 has also introduced new global services around verification,” he said. Two-dimensional (2D) barcodes, unlike their predecessors, can hold more information about the product inside the packaging. QR codes are another version of machine-readable barcodes that can retain a host of information for the consumer, who can scan them with a smartphone. Carter said too many myths revolved around 2D and QR codes; myths he hoped, would be squashed as the
Advancements in barcode technology would help mitigate the rise of counterfeit food.
technology becomes more prolific. “One of the things that we often hear from various angles is that QR codes aren’t safe, and I’d like to kill that myth,” said Carter. “The fact that so many people carry mobile phones now, and QR codes have been so widely accepted, particularly in our major markets in Southeast Asia, is a good sign.” Carter said a key driver behind the adoption of new barcode technology was a trade-off between cost, speed, and effectiveness. “We’ve found that putting identifiers on the product, we have been doing that for 50 years now, is the foundation to provide global traceability and to increasingly tackle issues around fraud and misrepresentation,” said Carter. “As the issue grows globally there’s more sophistication needed
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to combat the issues, particular around organised crime. There are more sophisticated methods for identification of batches and to be sure about the country of origin.” GS1 is uniquely positioned to support the industry with all the features of 2D and QR codes as a means of protecting product and brand quality. “GS1 has a huge role to assist the industry in delivering information directly to the customer and that’s what these 2D codes are making possible and there’s a real transformation occurring,” said Carter. “Customers want and expect this sort of information, but we need to make sure that the brand owners have control of what is delivered to the customer. “There are a lot of parties
sitting in between and brokering information, and there is enormous potential for counterfeiting of information and distorting the facts when they don’t come directly from the brand owner.” In some cases, the distortion of facts is mild, while at other times the distortion can be more sophisticated and damaging. “If there is a high-cost ingredient, let’s say muesli, the packaging might mention blueberries and the customer thinks they are fresh, but the blueberries could be frozen or not natural,” said Carter. “There’s a spectrum of severity and it’s typically done with no regard for quality or safety.” Public safety, even more than brand reputation, is another key driver behind the renewed push to stamp out counterfeit food, according
TRACEABILITY
"One of the things that we often hear from various angles is that QR codes aren’t safe, and I’d like to kill that myth." to Carter, but the implications are still at the front of the mind of industry insiders. “What is concerning to industry is the extent of the substitutions that are occurring,” said Carter. “There is an obvious health and safety issue – and authorities are pretty focused on this – to track down anything that is a major risk through recall systems.”
Consumers concerned with provenance According to Carter’s research, consumers are concerned with the provenance and ingredients of their food more than ever, which has also driven concerns around counterfeit food and the potential impact on the brand itself. For example, consumers are quick to point out any issues around unlisted allergens being found in a product, generally after an allergic reaction, which has led to changes at the point-of-sale with frequent allergen warnings to protect the brand’s reputation through transparency. “When you have falsification and counterfeiting of food in that scenario you end up with a significant longterm issue,” said Carter. He said the Australian industry could learn from global markets and apply that knowledge locally to respond well to this rise in consumer awareness. “The Department of Agriculture has been very proactive and done GS1 is introducing next generation barcodes, such as 2D and QR, for better traceability.
a great job in driving national traceability discussions and we need to get that right,” said Carter. He said getting it right also meant reaching a higher level of transparency with consumers who will inevitably ask the hard questions if they feel they’ve been misled. A key concern is the ease with which packaging can be replicated and then filled with counterfeit food, something the brand itself would have no awareness of, which could lead to negative impacts on its business.
Foundations for product identification “GS1 lays the foundations for product identification to assist with fraud, detection, and prevention but most of those measures are applied extrinsically to the packaging, like a barcode on a box of cheese,” said Carter. Another critical area around counterfeit food is the way in which it is processed. That may also present contamination issues whereby consumers should be made aware. “Anti-microbial resistance is a ‘monster in the cupboard’ and the pandemic has taught us that things can get out of control very quickly. This is one of the areas where, if the supply chain is compromised, we end up with much bigger issues,” said Carter. Some products are more susceptible to counterfeiting than others, Carter said, particularly
Director of business development and innovation at GS1, Peter Carter, said product identification was supremely important. products with a global reputation. “Australian produce is very much prized because of the way we produce it. The extent of counterfeiting is an indication of the demand for the product, for example Australia’s fresh produce,” he said. “High value and fast-moving produce has been significantly impacted by counterfeiting but the huge unknown is the very significant commodities that are homogenous in nature, like grains and sugar. It is easy to co-mingle and substitute good quality ingredients with inferior ones.” The extent of the possible co-mingling hasn’t been quantified yet, but it’s still an area of concern. “The commodities like grains and sugars are a big bottom line for the Australian Gross Domestic Product (GDP), and that is a big challenge. It’s an area where there is still a lot of work required to tackle,” said Carter. “I think the bar has been raised with respect to what customers feel they should and want to have access to. In the future I think we will find manufacturers will be providing more information by default.”
Verified by GS1 One of the many tools GS1 uses to help combat counterfeit food is called Verified by GS1. Verified by GS1 is a tool to get
the product identity correct every time by registering a Global Trade Item Number (GTIN), another GS1 innovation, which is then used to look up product information on a secure database. “Verified by GS1 is building on unique identification and is adding pictures in case the product is being counterfeited at the package level,” said Carter. “Detecting anomalies in the print or labelling is another form of intervention. We also have the means to use sophisticated cryptography for public and private key encryption.” A host of other approaches to mitigating counterfeiting risks include design, trademark and patent protection, tamper-evident packaging, embedded data and forensic scientific identification – all of which GS1 offers. GS1 also provides a structured standard called EPCIS, which captures and shares details of key events that occur during production and throughout the supply chain. The aim of EPCIS is to enable disparate applications to create and share visibility event data. This includes object, aggregation, transformation, transaction, and quantity events, which are combined with serialisation, such as batch and lot numbers, and therefore make counterfeiting difficult. F
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MARKET TRENDS
Looking to the future: key food and beverage trends The pandemic and its impact on the global climate is ever-changing, which means consumer brands and manufacturers must remain agile. Food & Beverage Industry News reports.
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he past two years have been interesting for both manufacturers and consumers as COVID-19 transformed the way people shop and live. Many countries around the world have requested its population curb the amount of social interaction between people and have suggested limits on public gatherings, dining out, out-of-home entertainment and more. As such, consumers have had the ability to turn inward and reflect on their priorities during what some may feel is an isolating time. A large number of consumers have focused on general health and immunity – with hand washing, face masks and social distancing becoming the norm. In terms of COVID-19’s impact on the food and beverage industry, consumers are cooking at home and seeking food and ingredients that support overall health. It’s important to consider how these new behaviours will shape the future of the industry for now and the future. Pall Corporation has looked at four trends and their potential impacts on food and beverage manufacturers.
Plant-proteins go global Plant-based food products are on the way to reaching world phenomenon status as the trend is consistently evolving. Investment firm UBS projects global growth to increase from $6.6 billion in 2018 to $118 billion in 2030, and a recent study from DuPont Nutrition and Health found that 52 per cent of US consumers are eating more plantbased foods because they believe it makes them healthier. Its rising mainstream appeal will drive expansion to different regions and categories, including accelerated demand for new
formats, plant proteins and sophisticated alternatives. This means that manufacturers not only have to build a protein base but must format and flavour it. For some manufacturers, this demand is outpacing the development of plantbased food technologies designed to combat the unique challenges associated with such products. Plant proteins often bring bitterness, making taste modulators an often-necessary addition. They can also be gritty or crumbly, creating a need for ingredients that create smoother and more cohesive formulations. In order to preserve natural functionalities, the production process must minimise potential denaturation effects (thermal, chemical or mechanical) and prevent contamination (suspended solids, bioburden, fat). Manufacturers who master this will be able to grow their product-demand.
Hard seltzer still maintaining popularity Non-alcoholic and alcoholic drinks are starting to converge as consumers continue to look at ways to live healthier. According to FoodDive, in 2019, sales of hard seltzer increased by 193 per cent and malt-based cocktails increased by 574 per cent. As such, diversification is occurring as brands add maltbased beverages to their portfolio. For example, ABInBev acquired SpikedSeltzer back in 2016 and Constellation Brands acquired minority stake in Press premium Hard Seltzer. Generation Z and Millennials love “the claws,” often leveraging hashtags on social media to share their growing obsession with the WhiteClaw brand. Other brands such as Bon and Viv, Truly and High Noon are also gaining notoriety amongst health-
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conscious consumers. To keep up with this consumer trend and remain competitive, beer and liquor producers must consider acquiring or creating a hard seltzer.
room for error. Being able to stay on top of these new trends also means overcoming technological limitations and improving systems and processes for better quality and efficiency.
Unique flavours continue to dominate the market
Move over coconut oil - olive oil is making a comeback
People around the world have been under orders to stay at-home or quarantine, therefore many are taking this time to channel their inner-chef and cooking meals at home to ensure that they stay healthy. Consumers are expressing interest in healthier, immunityboosting foods that are low in sugar. Immunity is one of the most talked about things right now given the current climate and flavours and ingredients such as turmeric, elderberry, echinacea and citrus are performing well. Functional ingredients are also popular, such as botanicals, spices, and healing herbs such as turmeric, ginger, lavender, and honey. These are ingredients consumers use as a quick way to instantly improve their diets. On the flip side, there are some not interested in cooking, and those with a penchant for dining-out are relying on easy-to-prepare meals or packaged goods to alleviate some of pressures associated with the current COVID climate. During stressful times, comfort food is a common indulgence for many. Right now, consumers are looking for products that influence the way they feel, boosting nostalgic and comfort food flavours that resonate with them. This includes such products as chocolate, ice cream, cereal, cookie dough and macaroni and cheese. For manufacturers, the colour, aroma, and taste of their flavours must be exact and there is little
When health-conscious consumers began cooking with alternatives to canola and vegetable oil, the oil market became ripe for disruption, with coconut and avocado oil entering the market. Paleo and keto diet trends have also grown in popularity, and as such, many consumers have started cooking again with real butter. However, there has been a debate on whether or not medium-chain triglycerides (MCT)-rich products and flavoured butter are as healthy as consumers have been led to believe. Although there is no clear evidence on whether they are good or bad, there is one fat backed with scientific evidence that it is good for your health: extra-virgin olive oil. The compounds found in it, including Tyrosol and Elenolide, help to protect the body against neurodegenerative diseases and can also assist in lowering blood pressure. Regardless of where consumers stand on the subject of which fats are healthier, olive oil has become, and will continue to be, a common pantry staple. According to ReportLinker. com the global olive oil market is estimated to reach $19.2 billion by 2027. As the pandemic continues, many consumers are limiting their shopping excursions, making them consider products that have a longer shelf life. That said, manufacturers producing olive oil must ensure that the product maintains its flavour and consistency, as well as shelf-stability to be more attractive to consumers. F
MARKET TRENDS
It’s important to consider how changes in consumer spending during the COVID-19 pandemic will impact the future of the food and beverage industry. www.foodmag.com.au | February 2022 | Food&Beverage Industry News 35
LOGISTICS
AGVs maximise performance, safety, and operational resilience for Mars Wrigley Dematic has supplied industry solutions for more than 200 years and a recent project with the Toll Group and Mars Wrigley showcased the company’s expertise. Food & Beverage Industry News reports.
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ransportation and logistics company, Toll Group, has recently opened the doors to its new, highly automated, and purposebuilt food distribution centre (DC) in Melbourne’s west, for its customer Mars Wrigley Australia. The DC is now the main Mars Wrigley national supply chain facility. Working alongside intralogistics innovator Dematic, Toll has built a facility to manage all its national storage, dispatch and replenishment operations. It has been designed to optimise warehouse operations in a resilient and robust way, as well as to accommodate for current and forecast future demand growth. Peter Stokes, Global Logistics president at Toll, said that the new DC represents the future of supply chain and logistics in Australia, with its advanced integration of automated technology, including Automated Guided Vehicles (AGVs). “When designing the facility, we took Mars Wrigley’s strategic needs into account and our partnership with them has been particularly important in doing this,” said Stokes. “The facility is designed and purpose-built for Mars Wrigley to support its national distribution – serving as a multi-chamber, multitemperature facility, now heavily automated with the use of AGVs. “Mars Wrigley’s definitive direction for this project was to provide a platform for efficiency, safety, and performance for both our customers and the business,” said Chris Georgiou Mars Wrigley’s supply chain director. The after effects created by the COVID-19 pandemic also played a critical role in Mars Wrigley signing off on the new facility. “After the unprecedented levels of demand experienced during the
pandemic, on top of the already surging demands on the grocery sector in general, it was clear that we needed to make the most out of this new facility, which is why we chose to optimise the use of automation,” said Georgiou. “This transition has helped us to not only boost efficiency in the current term, but to match our ambitions for future growth.”
Streamlining DC operations The 17 Dematic AGVs work as driverless forklifts that are integrated with the existing Warehouse Management System (WMS) to be loaded with data before setting off on daily tasks. “AGVs are an intelligent solution that operate at a faster rate than any palletisation activity done with a manual forklift, with the end result being to eliminate all manual activity completely,” said Tony Raggio, general manager of sales, AGVs, Dematic. “The entire fleet of AGVs work cohesively with each other, offering a completely automated picking, receiving, and transporting cycle within the DC.” The AGVs at the Melbourne facility are purpose-built to operate across different areas of the DC. Thirteen Dematic High-Reach AGVs work to store and retrieve pallets of product in pallet racking, operating up to 10.5 metres high in double-deep racking. The remaining four Dematic Counterbalance AGVs take care of pallet transportation tasks. The AGV Manage System (AGVM) communicates directly with Mars Wrigley’s existing WMS, Programmable Logic Controllers (PLCs), manual forklifts, and all AGVs operating within the warehouse. The AGVs navigate the facility with a laser-guidance system, steer
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and speed encoders, and on-board hazard detection to avoid collisions, enabling optimal and safe movement around the facility. By using encoder and laser feedback, the AGVs have a repeatable accuracy of +/- 5mm. Additionally, the AGVs are powered by Lithium-Ion batteries and can drive themselves onto charging floor plates at times of inactivity to be fully charged in just two hours.
Automated Guided Vehicles (AGV) operate faster than any other palletisation process.
Features of the AGV solution For Toll and Mars Wrigley, being able to partner on an investment in a new DC that features automation technology optimised to meet high growth now and into the future has been the biggest benefit overall. The AGV deployment has provided an increased capacity for holding goods in the warehouse, which can store an additional 31,000 pallets – equivalent to 730 million Mars Bars – accommodating for future growth of up to 50,000 total pallets. This will support Mars Wrigley’s growth ambitions in the market. “Since implementing the AGVs, we have already seen a significant boost in productivity by switching from manual to automated operations. Likewise, the introduction of smart technology and automation will support our ambition to grow as a business,” said Georgiou. With such a high level of autonomy, AGVs provide the backbone for a 24/7 operation to maximise service levels, which would otherwise be costly to maintain. AGV systems can naturally grow with the addition of vehicles as volumes increase, and being exchangeable, they provide a good level of system redundancy. The design of the AGVs also means they can withstand the typically challenging environment of a
warehouse, all while providing a 360° safety field of protection. This enables the AGVs to effectively and safely co-work with operators and any other warehouse machinery or vehicles. “With the safety of DC workers being our top priority, this use of automation with the AGVs creates a safer workplace and minimises mistakes, which can lead to damaged products,” said Stokes. “This provides a better outcome for Mars Wrigley’s safety standards, while also ensuring its products arrive on supermarket shelves on time and in peak condition.”
What is Dematic? Dematic has been supplying performance-leading solutions to multiple industries for 200 years. The company specialises in innovation, solutions expertise, compliance, and leadership with its product ranges. The design, manufacture, installation, and commissioning of an automated logistics system requires a particular level of expertise and know-how and Dematic provides that for its customers. F
Scientific Laboratory Services Providing Technical Guidance and Support in the Food & Beverage Industry
In today’s demanding environment, Pall’s Scientific Laboratory Services (SLS) team is your partner in safeguarding your product quality while helping to optimise filtration/separation performance. As an independent global technical organisation, SLS consists of a network of specialists in disciplines including food science, brewing, oenology, chemistry, biology and process engineering.
We closely collaborate with customers by providing custom tailored solutions to your unique situation and include the following: n n n n n n
Fluid characterisation/analytical testing Process monitoring/optimisation Plant surveys & product studies Problem solving solutions Filtration best practice training Heat pasteurisation replacement
To schedule testing or to find out more, visit pall.com/food-beverage/technical-support.
HYGIENE
Hoses promise high transfer and washdown performance Continental makes hoses with the Microban Antimicrobial Protection compounded into the cover, providing a cleaner way to do business. Food & Beverage Industry News reports.
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icroban antimicrobial technology is becoming more popular within the food and beverage industry because of its ability to protect products during the manufacturing and washdown process. It extends the life cycle of the hoses and limits the risk of failure and contamination in the manufacturing process. Continental is a company that specialises in the development of industrial hoses for food and beverage transfer and washdown processes. The company also helps develop solutions to create the best results for its customers. As part of this ethos Continental uses Microban technology in its industrial hoses. Microban technology is designed to protect products from the growth of bacteria, mould, and mildew, all of which can cause a range of issues in the production process if not carefully managed. As industry standards continue to evolve towards more sustainability and stronger food safety processes, Continental’s Food & Beverage Industrial Hoses range offers a solid solution to strengthen the link in the manufacturing chain. The company’s hoses for the foodstuffs industry are subject to stringent hygiene regulations and numerous standards to ensure quality. As a result, they are suitable for wine, beer, strong alcoholic beverages, and fruit juice plus many other industry applications. They feature a smooth, plasticiserfree lining that doesn’t leave any odour or taste. Suitable for all common connecting systems, Continental’s hoses are resistant to cleaning in place (CIP) and all harsh cleaning processes in the beverage industry. “The conveyance of fluids throughout the manufacturing process requires products that meet and/ or exceed industry standards. We at Continental strive to support industry
Microban antimicrobial protection promises longer lasting industrial hoses. with the best products possible.” said Scott Weston, national business manager, Continental Industrial Fluid Solutions. “Obviously if a product fails through that cycle, you can’t move the fluid, which means production stops. Straight away you are suffering not just from a replacement cost, which is minimal in the overall production process, but productivity ceases and you’re most likely scrapping all of that product batch.” Accordingto Continental’s laboratory testing regime, the use of built-in antimicrobial protection in the hoses offered, can reduce the growth of bacteria by as much as 99 per cent. The biggest advantage to built-in antimicrobial product protection is that the technology works continuously to limit bacterial growth on the hose for the entire life of the product. To further enhance the product performance Continental builds its rubber transfer hoses on chrome mandrels to prevent tube imperfections that create conditions perfect for bacterial growth. Other features of the rubber transfer hoses include braiding with extruded liners and spiral reinforcements. Focusses for the company during the continued development of Continental’s industrial hoses for the food and beverage industry are safety, hygiene, and reliability.
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The two offerings best suited to the food and beverage industry are the transfer hoses and washdown hoses. The key products include ExtremeFlex Beverage, Vintner Reserve And Fortress Washdown. ExtremeFlex is suited to applications that require flexibility for the hoses, including to fit tight bend connections for restricted spaces. The lightweight and flexible hose has a chlorobutyl tube, which doesn’t cause any taste or smell contamination, making it suitable for beer, wine, distillery, and beverage transfer processing facilities. “The key feature for ExtremeFlex beverage is that is has an easy clean cover,” said Weston. “When we talk about the industry itself and food regulations, it is imperative to keep the production facilities clean and clear of contaminants. This also provides confidence for auditors and regulatory bodies that may carry out inspections. You can wash this hose down and it looks like brand new. So, from an aesthetic point of view, it is a good selling point. This type of hose is best suited to breweries.” Meanwhile, the Vintner is a crushresistant hose that is an alternative to more traditional hoses. Because of its design, the Vintner can reform its shape after being crushed during the manufacturing
process, which makes it suitable for in-plant or tank truck transfer of beverages like wine, beer, and other non-oily food stuff. Common occurrences of damage to hoses are when they are crushed by forklifts or kinked by overbending or placement in tight spaced. The use of a monofilament reinforcement means that the hose can remain in service. Continental also has another seven low-pressure hoses and four high-pressure hoses that are suited to the food and beverage industry with pressure points from 300 PSI to as much as 4,000 PSI. Continental also has a material and product development program that includes compounding capabilities, environmentally friendly technologies, and a quicker time to market. The development and incorporation of Microban antimicrobial technology is one development of the 150 compounds used across Continental’s industrial hose range. “Essentially, the products we produce are very high-quality products from the material compounding, development, and testing. The quality and life cycles of our products are appealing for clients,” said Weston. “It is known that bacteria build up inside and outside of a hose occurs over time, because of the compounds used. This was something we at Continental wanted to avoid.” F
SOFTWARE
The benefits of product lifecycle management Product lifecycle management software, a specialty of Centric Software, has a digitised database system that streamlines product development and compliance. Adam McCleery explains.
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oftware company Centric Software main focus is to help its food and beverage industry customers develop and adopt new practices for product development with a series of software tools. The company’s offerings to industry include a range of events and webinars that inform stakeholders about the benefits of its product lifecycle management (PLM) software solutions by tackling the operational challenges the industry faces every day. Identifying the operational challenges that face the food and beverage industry is a critical step to working on viable solutions for any stakeholders. Some of those key operational challenges include range management and performance optimisation, compliance, labelling, traceability and recall management, and supplier communication and vendor management, among others. The most recent webinar from the software company that focused on the food and beverage industry was titled Design. Prototype. Formulate: Ensure Food and Beverage quality compliance while maintaining business performance. In the webinar, sales director EMEA F&B and retail for Centric Software, Adam Lower, and global CPG industry expert at Centric Software, Sidi Ragi, detailed how stakeholders could protect their business performance and maintain top-level quality compliance and assurance through the use of PLM software solutions. Centric PLM software solutions are purpose-built to record all the product development data in one easy-to-use digital space. The main areas of focus in the webinar – which can be viewed through Centric Software’s website – were data-driven and efficient product development, not necessarily starting with a brief, launching on
Use of product lifecycle management software has become increasingly important in a digitiased world.
time, seamless product portfolio management, more creativity, and ensuring compliance while building consumer trust. The software provides a centralised digital location that allows users to track and manage all product-related data in real time, cutting back on lost labour hours usually spent on admin data entry individually, which some companies are stuck doing. The webinar shows stakeholders the benefits of being able to manage and trace product development from the prototype stages right up to packaging, labelling and sales. Lower and Ragi also shared their expertise about how to ensure productdevelopment is both data-driven and efficient. Lower said some of the critical aspects to product lifecycle management systems were centred around planning and how to provide accurate and timely briefs with company benchmarks, guidelines etc, to stakeholders. He said if a brief isn’t fuelled by trustworthy, centralised, and up-to-date data driven performance, then the odds of success shorten. “The more analysis up the front,
the more you increase chances of success,” said Lower. This process, Lower continued, helps with the odds of success because it ensures the launch of industrycompliant and well-performing products, which are more likely to make a customer happy. “How do you do that?’ said Lower. “The goal is to consolidate different strategic plans for the company.” Essentially, through this software solution, all product-related data will be stored in one ‘single version of truth’ platform. By doing so, it streamlines product development, which leads to increased efficiency. There are also a range of digital features that create a strong foundation for successful remote work. PLM is designed to manage the complete lifecycle, unlike traditional spreadsheets. A PLM software system is a viable option for companies of any size and can easily adapt when the company experiences growth, while also allowing timely responses to shifting market trends. Centric’s business model, when it comes to the food and beverage industry, has been to empower food
manufacturers and brand customers to accelerate and optimise product development while helping discover ways to drive down costs, boost innovative technology and speed up time-to-market windows. Full compliance and safety are other features of Centric’s PLM systems, which connect to compliance databases around the world, including such agencies as the USDA, SR Legacy, CIQUAL, and others. The software is also suitable for the current shifts being seen in the packaging sector as industry standards and sustainability targets evolve. The streamlining of product briefs will help speed up the packaging development or selection process by supplying a library of templates. Those include material types, dimensions, symbol images, and colours. The webinar covers all the benefits to product lifecycle management in less than one hour, while showcasing Centric’s own PLM software solutions. Digitalisation and traceability continue to see advancement due to the exponential growth of digital technology, and software solution companies like Centric are helping drive the awareness. F
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THINKFOOD LIVE
thinkfood LIVE – where food innovation meets brand curation In 2022, the industry will welcome thinkfood LIVE, presented by foodpro, a new event highlighting technologies that will shape the future of the industry. Food & Beverage Industry News reports.
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ew products are launched every month in Australian food retail stores. It’s time to welcome an event that showcases the best services and technology that enable those new creations. Australians are increasing their expenditure on groceries. Even in these uncertain times, consumers are moving beyond the standard pantry items – they are looking to explore new tastes, and with an increase in food demand and variety, comes the need for innovation. In order to compete, grocery retailers are constantly looking for new products to differentiate themselves from their competitors and drive basket value. New food and beverage products will be sought if manufacturers look to answer consumer demand and deliver in taste and performance. thinkfood LIVE has been designed as the epicentre of a 360-product solution that will help food professionals take product ideas to the next level and transform them into market realities with the help of food industry suppliers. thinkfood LIVE is presented by foodpro, the longest running and largest event for food and beverage manufacturing in Australia.
Explore a brand-new event offering Whatever stage of new product development, thinkfood LIVE is here to cover the process and bring everything the industry needs to stay ahead of the latest market trends. A product may be in its first steps of ideation, such as pinpointing the target market, or the final stages of choosing the best sustainable packaging to make a positive impact on supermarket shelves. Thinkfood LIVE aims to cater to each step of ideation and creation. The show floor covers: • Market research – get the results
to make the best decisions for success, find the best in consumer research to scope out what’s needed in today’s competitive consumer market. • Food science and technology – the science behind new products; test and make sure a product is ready to hit the market. • Ingredients and flavours – new ingredients, flavours, fragrances, and everything in-between to make a product match the producer’s vision. • Logistics and supply chain – check out the best ways to streamline a business’ needs, such as supply chain tracking technologies. • Packaging design – meet with the best design agencies in the business and see a product become a next best seller. • Packaging solutions – eco-friendly, sustainable, and innovative products. Don’t miss out on everything that pops in food and drink packaging to entice people to taste what is within. This is an event where both visitors in the creative and technical side of food and beverage manufacturing can discover solutions to make the most of product development process.
Bridge the gap between insights, ideas, and execution Taking place across two days at Carriageworks in Sydney, this exhibition space reflects the creative nature of the food industry. The event features both an exhibition floor and accompanying conference. Attendees will have the opportunity to explore product solutions and chat with suppliers on the show floor, as well as hear from experts in food innovation during daily content streams. The event is partnering with the Australian Institute of Food Science & Technology (AIFST) and the Australian Institute of Packaging
40 Food&Beverage Industry News | February 2022 | www.foodmag.com.au
The inaugural thinkfood LIVE aims to bring food professionals and suppliers together to drive innovation. (AIP) to curate content that focuses on the topics of commercial, science and technology, and design and creative, with the aim of bridging the gap between New Product Development (NPD) ideas and NPD execution, featuring consumer insights and trends that will help inform NPD for food industry professionals.
Benefits of live events for the industry Live trade events in this industry have taken a hit during the pandemic, with most food industry events either having to cancel or reschedule. The pandemic may not be behind us, but with restrictions having been eased, Australia has reopened, which means the industry can look forward to a return to the exhibitor show floor. Events such as thinkfood LIVE allow the industry to reunite with peers and create strong business relationships that are formed with face-to-face conversation. Diversified Communications Australia, event organisers for thinkfood LIVE and foodpro, recently conducted research with its event visitor database to gauge the sentiment towards live events and the importance for the industry. They discovered an overwhelming support, with 94 per cent of
respondents saying that attending trade exhibitions was important for their business and 77 per cent preferring to attend a face-to-face format event. This level of results demonstrates the value that live events have for the industry. Online hasn’t replaced the experience of seeing products and speaking with suppliers face-to-face. Further to this, 85 per cent of respondents would attend events the same amount or more frequently in the future showing that confidence in the market continues to build.
Getting involved in 2022 Exhibitors can expect to meet the brightest minds in FMCGs, food and beverage manufacturing and product development. thinkfood LIVE is an opportunity to be at the heart of product creation, where brands are placed in front of Australia’s top food professionals. Becoming an exhibitor in 2022 will position companies among industry professionals, generate new business and offer access to marketing and networking benefits – from food science and ingredient testing through to enabling technologies and packaging design. thinkfood LIVE takes place on 9-10 November 2022, Carriageworks, Sydney. Registration to attend the event will open later this year. F
ANZ Packaging with Post Consumer Recyclate stands out globally Recent data has indicated that 39 per cent of all packaging used and sold in Australia is currently made from at least 50 per cent recycled content as 2025 sustainable packaging targets near. Author
O
Nerida Kelton MAIP, Executive Director, Australian Institute of Packaging (AIP), vice president Sustainability & Save Food – WPO
ne of the 2025 National Packaging Targets is that all packaging that is made, used and sold in Australia needs to incorporate 50 per cent recycled content. In the latest data report entitled Australian Packaging Consumption and Recycling Data 2019–20 it indicates that 39 per cent of the packaging on the market in our region now incorporates recycled content. While it is encouraging to see how many companies across the region have been working hard to meet the 50 per cent recycled content target, it is more pleasing to see that two have been recognised for their efforts by receiving 2022 WorldStar Packaging Awards. The Collective and Squeezepak squeezy sauce bottle are outstanding technical examples of how to incorporate Post-Consumer Recyclate (PCR) into food and beverage packaging. Incorporating post-consumer recycled content is an important piece of the circular design puzzle as it means brands can reduce the percentage of virgin materials used in their packaging. This in turn will see less burden on natural resources and reductions in packaging going to landfill, land pollution and marine litter. Packaging that is circular by design also reduces carbon emissions and pollutants in the environment.
The Collective drinking yoghurt The Collective is an innovative New Zealand business that creates yoghurt. The company wanted to launch the first drinking yoghurt bottle in the region, which incorporated 100 per cent PCR base resin rPET in its packaging. The Collective challenged its packaging partner, the Pact Group, to maximise the use of recycled content in its packs; all the while achieving the same structural performances of virgin
material. To do this, the Pact Group assembled a cross-functional team that included material scientists, technical engineers, industrial designers and packaging specialists to run trials and develop the perfect solution. By using 100 per cent base resin rPET and light weighting the packaging by 27 per cent, 34.5 tonnes of virgin PET will be saved per annum and The Collective will re-purpose 25.12 tonnes of PCR per annum. A PIQET (Packaging Impact Quick Evaluation Tool) for The Collective revealed that transitioning from virgin PET to 100 per cent base resin rPET and light weighting by 27 per cent resulted in a reduction in CO2 emissions – saving 98.26 tonnes of CO2 emissions per year - the equivalent to planting 148 trees per year. There were savings of 3.3 million litres of water – the equivalent to 1.35 Olympic size swimming pools – and solid waste savings of 19.97 tonnes per year – the equivalent to the weight of 4.5 African elephants. The result is The Collective’s 700ml drinkable yoghurt bottle range, across five SKUs, is now made from 100 per cent PCR base resin rPET.
SqueezePak squeezy sauce bottle The SqueezePak squeezy sauce bottle with 100 per cent food-grade recycled PE is believed to be a first of its kind in the region and is part of Wellman Packaging’s over-arching strategy to becoming ‘better than carbon neutral’ and convert all feedstocks to 100 per cent recycled or renewable content by 2025. While designing the new SqueezePak sauce bottle, Wellman Packaging addressed other bottle performance improvements, features and processes to deliver multiple technical benefits to the finished
packaging design. The SqueezePak sauce bottle has improved hot filling performance and bottle stability due to a proprietaryreinforced convex base design resulting in reduced panelling of side walls due to negative internal pressures after filling. The design offers a 12 per cent increased top load strength, a 10 per cent larger brimful volume for easier filling – especially when hot filling – and a 7 per cent larger label panel area for improved on-shelf presence. Due to the design features, the SqueezePak squeezy sauce bottle weight can be reduced by 9 per cent, or maintained at existing weights for an improved top load performance, depending on customer requirements. For companies who prefer the coloured bottle, the consumption of pigments (delivered by masterbatch additives), has been reduced by 50 per cent because of the concentration of pigment into the outer layer of the extruded bottle, and by the application of multi-layer extrusion technology. The SqueezePak sauce bottle can also be produced in a translucent format with reasonable contact clarity bottle, i.e.: without colourant, to expand the reuse of recovered raw materials. The AIP encourages companies that are meeting the 50 per cent recycled content targets to communicate this to customers on and off-pack. Marketing departments need to communicate how much material has been reduced through light weighting, how much virgin material has been saved through the new design, what percentage of PCR content has been incorporated into the pack, and whether the PCR is locally sourced. Customers want to see that the packaging they purchase is circular by design and the brands they are loyal to are lowering their environmental
Recent data has shown that 39 per cent of packaging in the region incorporates the use of recycled products.
AIP uses the SqueezePak squeezy sauce bottle as an example of how to best utilise Post-Consumer Recyclate (PCR). impacts wherever possible. Next time you are wandering down a supermarket aisle have a look for brands that effectively communicate on, and off pack, how much recycled content is used and what messaging they offer consumers around the overall sustainability objectives of the business. These are the brands that are working hard to meet the 2025 National Packaging Targets, to minimise their environmental footprint across all areas of their business and to make sure that their customers understand the milestones they have reached along the way, as well as the next milestones to come. F
www.foodmag.com.au | February 2022 | Food&Beverage Industry News 41
AFCCC
Get serious about food wastage – the Pact is the perfect forum The Australian Food Pact is one of the most significant moves in the ongoing battle against food waste and the 17.5 millions tonnes of CO2 it produces each year. The AFCCC’s Mark Mitchell explains why. The Australian Food Pact encourages producers to collaborate on food waste solutions.
T
he recent launch of the Australian Food Pact by the Australian Government will go down as one of the most significant steps yet taken to attack the country’s food waste problem. The Pact is a commitment by organisations involved in the food business to forget about competition for a while and collaborate in a number of solutions that will make the food system more sustainable and resilient. Boiling it all down, it is simply about spreading good practice across Australia. If everyone followed good practice, we wouldn’t have such a large food waste problem in the first place. But it is the scale of bad practice that should make everyone in the food business sit up and take notice – every year, 7.6 million tonnes of food, enough to fill the Melbourne Cricket Ground to the brim almost nine times, never make it to a table. The cost of this is $36.6 billion every year. If that’s not bad enough, the
impact of this food wastage on the environment is huge, amounting to 17.5 million tonnes of CO2 annually. The AFCCC’s role in the fight against food wastage may be small, but for the Australian food cold chain, it is significant. The extent of bad practice in the handling and transport of our cold food contributes substantially to the figures mentioned above. The AFCCC is working on programs that will introduce uniform standards in cold chain systems. The Food Pact is doing the same thing on a much larger scale. The Pact has a target of signing up 50 signatories to help deliver the country’s food target of halving food waste by 2030. It is symptomatic of our food chain that only eight companies have signed up so far. Certainly, they are the big guys, like the two major food retail chains, and that is encouraging. Many companies spend lots of advertising dollars skiting about their environmental credentials, but
42 Food&Beverage Industry News | February 2022 | www.foodmag.com.au
if you dig deep enough, you find that many of their claims are lip service. Having companies sign up to the Pact in a visible and transparent way is the best plan to have them commit to a range of solutions and help them identify food waste hotspots and root causes. It is the food industry’s inbred reluctance to collaborate that is stifling so many worthwhile initiatives. The AFCCC saw this at first hand with its release of the first of a series of cold food codes dealing with thermometers and their role in cold chain compliance. A world standard training program that we released to support the code has not exactly been mobbed. All of us in the cold chain collectively have to lift our game. We need to sign up every cold chain practitioner from every loading dock, every transport and every cold room in the country to higher levels of training.
I would appeal to food industry companies at all levels of the chain, including the cold chain, to seriously consider signing up to the Australian Food Pact, to show that we understand the seriousness of the problem, and that we are prepared to do something about it.
How can we lose? By being involved, you will have access to the best brains in the land to help you move to a more financially and environmentally sustainable business model, allowing you to provide products more efficiently. If that’s not enough, the average return on investment ratio for food waste prevention initiatives is seven to one – for every dollar invested you get seven dollars back. In the hospitality and food service sector, the return is expected to be as high as ten to one. F Mark Mitchell is chairman of the Australian Food Cold Chain Council (AFCCC).
MARKETWATCH
Strong finish to 2021 Corporate activity in the food and beverage industry in November and December 2021 continued to be strong. Seven transactions were announced over the two-month period.
A
SX-listed Lark Distilling Co acquired Tasmanian whiskey maker, Shene Distillery for $40 million. Shene Distiller is based at Pontville, north of Hobart. The Peter Rowland Group acquired the retail operations of Melbourne speciality coffee brand, Sensory Lab, from Salvatore Malatesta, the owner of the St. Ali coffee brand. Two non-alcoholic beverage brands announced successful capital raises during the period. Non-alcoholic spirits brand Lyre’s Spirit raised $37 million from investors with the capital raise led by D Squared Capital and Morgan Creek Capital. Heaps Normal, a non-alcoholic beer brand raised $8.5 million in Series A funding from new investors including Simon Griffiths, Bec Milgrom and Matt de Boer. Superior Food Services acquired Brisbane-based Quality Food & Beverages (QFB). QFB is a broadline foodservice distributor with a footprint across Southeast Queensland and a strong presence in the school canteen market. Earlier in December, Superior
Date
Target Name
Acquirer
Sector
18 Oct
Shene Distillery
Lark Distilling Co
Alcoholic beverages
22 Oct
Sensory Lab (retail operations)
Peter Rowland Group
Alcoholic Beverages
4 Nov
Paramount and Brunswick brands
Tempo Group
Packaged foods
19 Nov
Lyre’s Spirit ($37m capital raise)
Several investors
Non-alcoholic beverages
29 Nov
Heaps Normal ($8.5m capital raise)
Several investors
Non-alcoholic beverages
9 Dec
Quality Food & Beverages
Superior Food Services
Foodservice distribution
15 Dec
ProForm Foods (minority stake)
Harvest Road
Plant based meat
Food Services also announced the acquisition of three hospitality businesses: Zone Bowling, Kingpin and Timezone Group International. Harvest Road, a subsidiary of Andrew Forrest-backed Tattarang, acquired a minority shareholding in plant-based meat producer, ProForm Foods. ProForm Foods is an Australian innovator in plant-based meat production. ProForm Foods has invested more than $20 million in developing the taste and texture of plant-based meat to create products
that replicate the experience of eating animal meat. ProForm Food will use the investment to accelerate growth and expand its existing production facilities in North Sydney. It looks like 2022 is shaping up
to be a dynamic year across the food and beverage industry with a positive outlook for the industry, driving investor interest in the arena from both trade investors and financial investors. F Ben van der Westhuizen and David Baveystock are directors of Comet Line Consulting, an advisory business that specialises in acquisitions and divestments within the Australian food & beverage industry. For more information visit www .cometlineconsulting.com.au.
Commodity Outlook WHEAT – The world wheat indicator price is forecast to average US$330 a tonne in 2021–22, an increase of 23 per cent from the previous year. COARSE GRAINS – The world indicator price for barley is forecast to increase by 13 per cent to US$254 per tonne in 2021–22. OILSEEDS – World canola supply has contracted sharply, with production forecast to decrease by 7% to 68 million tonnes in 2021–22
BEEF AND VEAL – Australian cattle prices are expected to climb by 11 per cent, to 758 Ac/kg, in 2021-22. SHEEP MEAT – Lamb saleyard prices to increase by nine per cent, to 850 Ac/kg, in 2021-22. DAIRY – Milk prices to increase by six per cent, to 56 Ac/L, in 2021-22. Source: Department of Agriculture and Water Resources (ABARES), Agricultural Commodities, December Quarter 2021
www.foodmag.com.au | February 2022 | Food&Beverage Industry News 43
DAIRY
Global dairy commodity update for January 2022
It’s expected that total global milk output will stay in decline for at least the first quarter of 2022.
T
he outlook for market fundamentals has further tightened on the supply side in the past month with peak production in NZ remaining weaker than expected and continued downward pressure on EU milk production. The rapid slowing in US herd numbers eased a little in latest data for October while cash margins will improve slightly, which may stabilise output. Total global milk output is expected to stay in decline for at least the first quarter of 2022.
The outlook for milk collections won’t get better unless excellent pasture conditions develop in the European spring, while US milk will likely remain slightly below the prior year. In the meantime, farm input cost pressures will remain intense through winter and likely have a further impact on the spring flush in Europe, as farmers protect cashflows by limiting expensive fertiliser applications. High beef prices meanwhile will still be tempting for quick cash relief. Weather will also play an
44 Food&Beverage Industry News | February 2022 | www.foodmag.com.au
important part in NZ possibly lifting pasture growth with warmer summer weather. A near-NZ$9/kg milk price is now expected, which will ensure a strong focus on per-cow yields using bought in feed. On the demand side, there has been some weakening in EU fat prices post-festival buying but domestic demand is good. Uncertainty for the food service market lingers in some regions but retail has been more than supportive. China’s demand through the peak shipping period into Q1-2022 remains critical but indicators from
that market do not suggest a rapid weakening. Higher dairy commodity prices may increase the caution in some markets, especially with a higher US dollar. Buying in some regions is close to trend but handto-mouth behaviour will continue with ongoing mobility and macro uncertainty – not made any better by the discovery of the Omicron variant of COVID. The outlook sees a slowing in trade but that won’t alter the tension in the ingredients’ market given the limits on supply. F
NEW PRODUCTS
New gateway enables communication through Ethernet network ICP Australia is proud to introduce ICP DAS’s GW-2212i Modbus/TCP to RTU/ASCII gateway with two-port Ethernet switch and one-port isolated RS-232. The GW-2221i is a Modbus TCP to RTU/ASCII gateway that enables a Modbus/TCP host to communicate with serial Modbus RTU/ASCII devices through an Ethernet network and eliminates the cable length limitation of legacy serial communication devices. The module can be used to create a pair-connection application (as well as serial-bridge or serial tunnel application), and can then route data over TCP/IP between two serial Modbus RTU/ASCII devices, which is useful when connecting mainframe computers, servers, or other serial devices that use Modbus RTU/ASCII protocols and do not themselves have Ethernet capability. The GW-2212i module features a powerful 32-bit MCU to enable efficient handling of network traffic and also has a built-in web server that provides an intuitive web management interface that allows users to modify the configuration of the module, including the DHCP/Static IP, the gateway/mask settings and the serial port settings.
Key features: • • • • • •
Supports Modbus TCP/UDP master and slave. Supports Modbus RTU/ASCII master and slave. Max. TCP connections (masters) per serial port: 32. Read-cache ensures faster Modbus TCP/UDP response. Supports UDP responder for device discovery (UDP Search). Static IP or DHCP network configuration.
• • • •
Easy firmware update via the Ethernet (BOOTP, TFTP). Built-in web server (HTTP). Two-port ethernet switch (LAN bypass) for daisy-chain wiring. Includes redundant power inputs: PoE (IEEE 802.3af, Class 1) and DC supply.
ICP Electronics Australia (02) 9457 6011 www.icp-australia.com.au
Backplane Systems Technology’s new network appliance is suitable for security applications Backplane Systems Technology has released iBase’s INA7600 network appliance, which is based on two 3rd Gen Intel Xeon scalable processors (codenamed Ice Lake). The iBase INA7600 utilises Intel server-class XeonSP CPUs to provide unparalleled computing power, which is most suitable for carrier or enterprise-level network security applications, such as nextgeneration firewalls, IPS, DDoS, and DPI. In addition, Intel’s QuickAssist Technology on the Intel Xeon-based platform enhances crypto and compression/decompression calculations through hardware acceleration. The system has a modular design that allows customers to flexibly configure network ports to suit their requirements. It supports up to eight network modules to accommodate up to 64 GbE ports (with or without bypass) in copper or optical fibre cable. To achieve high availability, the INA7600 is equipped with redundant power supplies and four hotswappable fans. An optional IPMI 2.0 module provides direct access to server management functions and remote monitoring capabilities. The INA7600 is available in two variants: INA7600-NIC and INA7600SHQ, supporting a maximum of 66GbE ports and 34 GbE ports respectively. Measuring 438(W) x 660(D) x 88(H) mm, it has 16 DDR4 RDIMM slots that can take up to 512GB. Standard I/O connectivity and expansion slots include a PCIe x16 slot, an M.2 (M-key) socket for SATA 3.0 or PCIe, an RJ45 serial console, two USB 2.0, and two MGMT ports.
Key features: • • • • • •
Dual 3rd Gen Intel Xeon scalable processors (ICL-SP). 16x DDR4 RDIMM, max. 512GB. 8x or 4x NIC modules, Max. 64 GbE ports. 1x PCI-E x16 expansion slot. Optional IPMI 2.0 module. 1200-Watt redundant power supply.
Backplane Systems Technology (02) 9457 6400 www.backplane.com.au
www.foodmag.com.au | February 2022 | Food&Beverage Industry News 45
NEW PRODUCTS
Eliminating flow disturbances due to crowded equipment conditions With its flow profile and anti-swirl tab design, the Vortab process flow conditioners correct fluid disturbances to mimic adequate pipe straight run and produce a repeatable, symmetrical flow profile. Vortab flow conditioners are proven to be the industry’s lowest pressure-drop, flow-conditioning technology, which reduces energy costs and minimises process design considerations. Their use also eliminates the extra pipe cost and technician labour for additional lengths of pipe straight run and/or moving equipment around to accommodate new pumps. In long lengths of straight pipe, swirl reduction and velocity profile correction occur naturally due to diffusion, friction and turbulent mixing. The device’s anti-swirl and inclined vortex generating profile correction tabs, projecting from the inside pipe surface, generate vortices that accelerate these natural pipe effects to create a uniform, non-swirling, symmetrical flow profile in a much shorter section of pipe. The simple, flexible designs of the Vortab Insertion Plate (Model VIP), Vortab Elbow (Model VEL) and the Vortab Insertion Sleeve (Model VIS) configurations provide a cost-effective, easy-to-install solution that supports proper pump installation. They can be made from carbon steel, 316L stainless steel or Hastelloy C-276 and in almost any pipe size. A variety of process connections are also available – ANSI flanges, male NPT threads, butt welded preps or retaining wafers.
AMS Instrumentation & Calibration (03) 9017 8225 www.ams-ic.com.au
New Alfa Laval CM Connect leverages digitalisation to optimise hygienic processing As Industry 4.0 evolves, the CM Connect is a natural next step on the customer digitalisation journey, expanding the Alfa Laval range of condition monitoring solutions. With complete visibility of all connected assets, plant operators can detect issues that impact future performance, prevent unplanned downtime, and improve asset management. Acting as a gateway communicating via Bluetooth, the CM Connect can link up to 10 Alfa Laval CM wireless vibration monitors launched recently. It then transmits the data over a 4G cellular network to the cloud for review and analysis on an intuitive, user-friendly dashboard. Advanced vibration analysis enables detection of any deviation from pre-set equipment threshold values. Should deviations occur, an SMS or e-mail notifies users who can take action in real time based on data analysis. Besides linking the CM wireless vibration monitors, the CM Connect can also act as a sensor. It measures vibration, inboard temperature, and total runtime when mounted on Alfa Laval LKH, SRU, SX and DuraCirc pumps, or other rotating machines, such as agitators or mixers. As part of the company’s commitment to digital transformation in hygienic industries, Alfa Laval explores and develops Industry 4.0 solutions to advance competitive advantage for customers.
46 Food&Beverage Industry News | February 2022 | www.foodmag.com.au
Alfa Laval (02) 8822 2700 www.alfalaval.com.au
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W I L L N OW TA K E P L AC E F R O M
24-26 AUGUST
I B I T I O N
One of the first trade expos post-COVID, MEGATRANS is the critical event for the freight and logistics supply chain to get your brand in front of customers again.
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