Foodmagazine NOVEMBER 11
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Foodmagazine www.foodmag.com.au PUBLISHER – Michelle Graves E: michelle.graves@reedbusiness.com.au EDITOR – Jessica Burke P: 02 9422 2862 F: 02 9422 2722 E: jessica.burke@reedbusiness.com.au
It’s beginning to look a lot like Christmas
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It’s (almost) the happiest time of the year.
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EDITOR: Jessica Burke food@reedbusiness.com.au
he thing with working in magazines is that you’re always so far ahead of yourself. We’re always thinking and planning and talking months in advance of where we actually are. For someone with zero organisational skills, it can be a bit daunting to have to think so far in advance, when I usually find it difficult to plan what I’m doing a week from the present. Right now, I am like an excited little kid with Christmas just around the corner. Because this is our last edition of Food Magazine for the year, so “December” is already a common word around here. To me, December is one of the happiest times of the year, because it’s about so many of my favourite things: sun, sand, delicious food and drinks and spending time with family and friends. As soon as that sun starts peeking out from behind the clouds with a bit of warmth in it, people start emerging from hibernation and everyone,
everywhere seems so much happier and filled with life. For me, I will spend this summer closer to the beach than I ever have in my life, but will of course return home for the traditional family events. Every family does the holidays differently, and that uniqueness is what makes it so special. Every year, my Mum decides my sister and I are too old to have Christmas stockings at the foot of our bed on Christmas Eve, but every year, like clock work, we both pull them out of the cupboard where she hides them, claiming that until we have children ourselves, we are the kids of the house so Santa will come. And every year he does. And so, the best day of the year begins, and it doesn’t end until everyone is in a food coma. Of course, I start the day on a full stomach of chocolate from my stocking, while my sister slowly works her way through hers, usually with some left by Easter!
There’s always ham off the bone – which is only allowed to be carved by my Dad, never anyone else, because there is a ‘technique’- on toast with eggs and fruit for breakfast, some delicious home made treats for morning tea, before lunch rolls around and the smorgasbord of turkey and chicken and lamb and seafood and all the trimmings is laid out. There’s the obligatory game of backyard cricket, with tennis, cricket and ping pong balls flying between neighboring fences, and a child or two being narrowly missed as they run in the middle of the game. By afternoon tea time, the drinks have been flowing awhile, the bellies are full, but we continue to eat. Even when dinnertime rolls around, we still eat. And so it is Christmas. So from everyone here at Food Magazine, we wish an equally jolly and food filled Christmas; be safe and enjoy your holidays and we look forward to an even bigger and better year in 2012.
www.foodmag.com.au | November 11 | Foodmagazine 3
NEWS
Food Magazine’s Q&A I grew up in... Camden, NSW In high school, I was passionate about... Sports. My current role involves... all aspects of marketing including new product development, packaging, advertising, promotions and overseeing all public relations activites. Before my current role, I worked... I have worked at Inghams for just under 8 years. I started working as an Admin Assistant in the marketing department and soon realised Marketing is what I want to do for my career. Prior to this I was in school and working part time at a pizza shop.
Natalie Cameron, Group Product Manager, Ingham Enterprises Limited
Studies/training that has helped me in my current role includes... I completed a Diploma in Marketing in 2008 and have gone on to commence studying a Masters of Marketing in 2009. All going according to plan, this course will be completed in April 2012 with graduation to follow soon after. My work is helping to better the food industry by... providing quality products to various distributors and retailers that meet the needs of end consumers. The most challenging part of my role is... finding the right product for
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the market and the best way to communicate the new product to consumers for a low cost and high quality. Consumers have come to expect chicken as low cost and it always a challenge to develop products which meet the growing trends of the market in terms of convenience and health, while also keeping a low cost for the product. The best part of my role... the large variety of projects I work across and being able to work with so many different people across a variety of industries and trades. The marketing
should be standardised to assist the consumer in deciphering the information. It will lead to less consumer queries for companies to respond to and will allow more time for the development of great tasting products. The current food/brands that we will be eating in 50 years’ time are... Chicken – it is the most cost effective meat for consumers. Private label will continue to grow, further reducing the number of brands available in supermarkets. Strong brands in the grocery area will
Private label will continue to grow, further reducing the number of brands available in supermarkets. team deal with a number of external agencies including advertising, media, PR, digital and packaging designers, as well as photographers and food stylists.
continue to survive, if the current positioning of supermarkets is maintained. There is a strong push for fresh and this is the main area of concern for retailers when it comes to having private label brand available.
My favourite food is... Chocolate. The thing that gets me out of bed in the morning is... my 1 year old little boy. The food industry needs to change... and grow to continue to meet the growing demands of consumers in regard to product labelling. There are many different ways food companies communicate health messages on packs and this
In 50 years, the food industry can look forward to... new technologies that will allow for personalisation of products for individual consumers. Consumers are always looking for new products which meet their specific needs and I feel this demand will grow. At the same time, technologies will develop allowing for this personalisation of product to occur – it will however come at a premium price!
TM
CEOS KNOW GLASS BUILDS POWERFUL BRANDS. “Consumers like to see what they’re getting,” says Edson Auricchio, CEO of OLÉ Foods. “We package quality foods, and glass demonstrates that quality, quite literally. Seeing is believing. I would say that glass is more than packaging for us, it’s a form of advertising.” GlassIsLife.com
makers of strong, bold, clearly different glass packaging
© Owens-Illinois, Inc. Novv /De Nov /D /D De Dec c1 1052 05 0525 052 52 25 5.1 1.1 .1. 1.8 1
WHAT’S HOT ONLINE
W W W. F O O D M AG . C O M . AU BY JESSICA BURKE
Woolies shaking up advertising to keep up with Coles WOOLWORTHS is set to completely overhaul its marketing and advertising, in a bid to overtake arch rival Coles. Recent studies have shown Coles is winning the supermarket wars, in part due to its ‘prices are down’ campaign, as well as aligning itself with hugely successful reality cooking programs Masterchef and My Kitchen Rules. Woolworths met Coles’ advertising idea with their ‘price knock down,’ but have not had the same success in recent times, and are in the process of finding a new creative advertising agency, which would mean a move away from M&CSaatchi, who have held the account since 2002 and were the powerful force behind ‘The Fresh Food People,’ slogan. Each year Woolworths spends $170 million on advertising, $150 million of which is included in the M&CSaatchi’s contract covering print, television, radio, catalogues and internet advertising. The company’s new chief executive, Grant O’Brien, is expected to make the announcement confirming a change in marketing strategy and spending this week.
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The foods we can’t live without There are some foods we can’t seem to live without and are prepared to pay for, no matter the cost. The Rural Research and Development Corporation conducted the study examining ‘demand elasticities’ over 15 food categories in Australia,” Stock & Land reported. The term refers to the degree of reaction on supply and demand when prices are changed. Customers are more likely to absorb the price of staples like milk, bread, fresh produce, but would be less inclined to do so for rice, preserved vegetables and all meat types. RIRDC Managing Director, Craig Burns said to understand the demand elasticities for the 15 key food groups a comprehensive analysis of food prices between 1998/99 and 2003/04 was conducted. The research showed a major increase in food prices over that five year period, yet the sale of some foods did not decrease. “Across the 15 food categories that were looked at, average food prices in Australia rose by 26 percent,
O’Brien told The Financial Review that for the first time since he took over the role in April, he will be focusing on earnings before interest and tax growth. “One of the important things for driving a business like Woolworths is to have the right ambition and I think high single digit and better than that EBIT
growth is the right ambition for the company.” Many industry experts have criticised Woolworths’s marketing strategy, accusing the retail giant of being reactive instead of proactive and lacking innovation. “I can understand that,” O’Brien
told The Financial Review. The focus on fresh food in Woolworths’ advertising has contributed to making it seem more expensive and with the financial strain on Australians getting worse all the time, Coles’ message of keeping prices down has seen more success.
NEWS
which is well above the 17 percent increase in the CPI over the same five year period,” he said. “The largest increase in food prices was seen in mutton and lamb, with a 64 percent increase, while the lowest increase in prices was in sugar and jam with a 3.6 percent increase. “The study also found that when compared to other nations our inelastic demand for bread, milk and especially fresh vegetables was close to that seen in the USA, Canada and Japan. “However, Australian meat demand appeared to be uniformly more elastic than that seen in other countries, meaning people overseas are more likely than Aussies to keep buying a particular type of meat if its price rises Aussies are more likely to reduce the amount of meat purchased or substitute one meat type for another if the price of their preferred choice goes up.” Burns believes the research will give governments and policy makers the ability to make better decisions about the finances and health of Australians. “Because food expenditure is such a crucial part of total household expenditure, being able to evaluate a consumer’s response to policies that impact on the financial wellbeing of their household is important.
Aussies buying more products with Fair Trade label AUSTRALIANS are more concerned with how farmers and workers in developing countries are treated, and are more likely to buy certified free trade products, a global poll has revealed. More Australians not only recognise the FAIRTRADE Label, but are also actively looking for it when making purchases. Of the 17 000 consumers Fairtrade surveyed from 24 different countries, over half said they believed buying certified free trade would help farmers in developing countries. Over six in ten surveyed said they trust the FAIRTRADE Label and use it to make decisions. Aussies were found to be more concerned about the welfare of those in developing nations, with almost 95 per cent of people saying companies dealing with farmers and workers in poor countries should pay them fairly, as compared to the global average of 85 per cent.
The number of FAIRTRADE purchases in Australia and New Zealand reflected this attitude, up 200 per cent as compared to 28 per cent around the rest of the world. Over 80 per cent believe the only way to ensure they are purchasing Freetrade products is by having an independent third-party assess products. Fairtrade ANZ CEO Stephen Knapp said the survey showed Aussie consumers have great concern about where the products they buy every day come from and that the farmers and workers at the end of the supply chain are getting a fair deal for their hard work. “Aussie shoppers know that by choosing a product with the FAIRTRADE Label, they are directly helping to create a fairer world for all and are increasingly expecting companies to provide them more opportunities to make the fair and ethical choice at the checkout,” he said.
Food manufacturers need more compensation: Australian Food and Grocery Council THE Australian Food and Grocery Council (AFGC) is calling for more compensation for food manufacturers, after the carbon tax was passed in the Lower House in October. Speaking to the ABC’s AM program, AFGC chief executive Kate Carnell said the council has conducted modeling based on
the carbon tax that shows profit for its members will fall by over 4 per cent from mid 2012. “What this modelling shows is that the average effect on food and grocery manufacturers in Australia is a 4.4 per cent reduction in operating profits before tax for
the sector,” Carnell told the ABC. “But there are a couple of sectors that do particularly badly in this space and they're areas like the dairy product manufacturing which will see an 11.5 per cent reduction in operating profit before tax and the meat sector - meat
manufacturing - which is 11.6 per cent. “So what we'll see here is quite a significant reduction in operating profits for a lot of companies.” Carnell said it is too soon to tell if the fall in profits will lead to higher prices at the checkout for shoppers.
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Platinum Sponsor 2012 Food Challenge Awards
Platinum Sponsors of the Food Challenge Awards since 2006
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Setting the standard
It’s that time again! The 8th Annual Food Magazine Awards are already gearing up to recognise and reward those making differences in the food manufacturing, packaging and beverage sectors.
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t doesn’t seem like long ago that we held our most successful Food Challenge Awards yet, and already we’re preparing for the next! Held on the final day of Foodpro, the largest food and beverage manufacturing expo in Australia, the 2011 Food Challenge Awards recognised the creative and clever companies making a difference in the food manufacturing, packaging and beverage industries. The event was the most successful in Food Magazine’s history, with over 90 finalists and more than 350 guests on the night. A new initiative unveiled in 2010 which saw increased success this year were the product tables which allowed companies to showcase their
products and was a contributing factor in the awards being labeled a ‘mini FoodPro’ by a number of guests. The ‘Chaser Boys,’ Craig Reucassel and Chris Taylor acting as MC’s ensured the night was a fun and lively affair for all quests. Here at Food Magazine, we are working hard to make the 2012 awards the best yet, starting by making everything simpler and easier. We have revised our award categories to make it easier to know where a product or service fits, and avoid any confusion, but of course, if you have any queries you can contact us anytime. To further simplify things, we have dropped the ‘Challenge’ part from the name, so the event will now be known as the Food Magazine Awards.
This will make sure everyone knows exactly who is putting on this event and how to get in contact. We are looking forward to bringing you the 8th annual Food Magazine Awards on 25 July 2012, a night that has become a must for all facets of the industry. In the coming months our judges will begin the long process of examining the best Australian and New Zealand food, beverage and manufacturing has to offer, because the Food Magazine Awards don’t have just one focus, it is spread across the food manufacturing, beverage and packaging industries. Our six independent judges are looking for everything from the greatest combination of ingredients for a meal you can just toss in the microwave or
www.foodmag.com.au | November 11 | Foodmagazine 9
HACCP Australia Sponsor: HACCP Australia Category: Food Safety and Innovation in Non-Food HACCP Australia is a leading food science organisation specialising in the HACCP food safety methodology and its application within the food and related, non-food industries. Companies throughout Australia benefit from the organisation’s depth of expertise and its practical, systematic and common sense approach which are central to the success of the organisation. Through the development, implementation and ongoing operation of comprehensive, HACCP based Food Safety Programmes, we assist clients throughout the food industry to identify and manage food safety hazards. These programmes are tailored to the particular needs of each individual and group enterprise. Suppliers to the food industry can have their products
oven to a machine that reduces carbon footprints, with the latest in healthier organic food and newfound beverages in between. Anyone interested in entering can do so via phone, post or online, where nomination forms are available, as well as the opportunity to upload images with the submission. Nominations will close May 2012, but get in early and provide as much detail as possible to ensure your entry catches the eyes – or mouths – of our judges. The Food Magazine Awards offer prestige and unmatched industry recognition for finalists and winners and are a unique event in the market. We would like to extend a very warm welcome back to our repeating sponsors and look forward to seeing some well known faces, as well as some knew ones, at our 2012 Food Magazine Awards.
Tronics Sponsor: Tronics Category: Dairy Tronics, Australasia’s largest supplier of label application machinery, are the delighted sponsors of the 2012 Dairy awards. Serving numerous industries across Australasia since 1985, Tronics manufactures and distributes efficient, cost-effective, high-tech machines that apply professional labelling, decorating, coding and identification marking to almost any container. Tronics also offer filling and capping equipment for liquids and powders, dairy and aseptic filling. The company is the sole authorised distributor for Videojet products for Australia and New Zealand and Serac filling and capping equipment for Australia. Proudly Australian-owned, Tronics operate a modern well-equipped manufacturing plant and a research and development facility in Thomastown, Victoria. The company also maintain sales and service offices in Melbourne, Brisbane, Sydney, Adelaide, Perth and Shepparton. All Tronics machines are designed and built in-house and accept a broad range of containers, materials and label shapes.
Tronics 03 9464 2400 sales@tronics.com.au www.tronics.com.au 10 Foodmagazine | November 11 | www.foodmag.com.au
certified as food safe according to HACCP Australia guidelines, providing a strong marketing platform to the food safety conscious sector of the industry. HACCP Australia’s Certificate of Conformance verifies a non-food product’s ability to support the integrity and safety of food as demanded by industry expectations. The HACCP Australia certification mark is a widely recognised symbol of excellence in applied food safety carried by leading food products and food-safe equipment, materials and consumables that support the industry. HACCP Australia is headquartered in North Sydney and has operations and technical staff Australia wide as well as in key international markets in Europe and Asia.
HACCP Australia 02 9956 6911 www.haccp.com.au info@haccp.com.au
Flavour Makers
Newly Weds Foods
Sponsor: Flavour Makers Category: Prepared Foods Category: Organics & All Natural
Sponsor: Newly Weds Foods Category: Meat & Small goods
Flavour Makers are proud to be the sponsors of two exciting awards again this year: Prepared Foods and Organic & All Natural. Established in 1993 from small but passionate beginnings, the love for food and anextensive history in the retail,poultry and prepared food industries, Flavour Makers have grown to be a leading supplier.The team of chefs andtechnologists at Flavour Makersare committed to developing successful new food and beverage products as well as improving existing ones. The company’s goal is a simple one: to create flavours that taste great. Today Flavour Makers is at the forefront of Australia’s food industry. It’s delicious range of products are available around the globe and the company is proudly 100 per cent Aussie owned. Flavour Makers occupies 17,000 square metres of state-of-the-art facilities in the South Eastern suburbs of Melbourne. Spread across four sites are three production facilities, incorporating dry blending, liquid processing and a retort plant, four warehouses, as well as a first of its kind product development and culinary facility. As consumer demand for natural prepared foods that taste as good as homemade increases, Flavour Makers remains committed to creating authentic great tasting food and food ingredients systems.
Flavour Makers 03 9580 3344 www.flavourmakers.com.au
Established as a joint venture by Newly Weds Food (USA) and George Weston Foods (Australia) in 1983, today’s Newly Weds Foods Asia Pacific consists of three state-of-the-arts facilities located in Sydney, Bangkok and Manila. Attached to each facility are R&D centres which provide an immediate response to customers’ inquiries for new product development and online technical support. Through a focus on technology and innovation, Newly Weds Foods Asia Pacific offers a broad range of high quality coatings and seasoning systems suitable for fish, seafood, chicken, turkey, pork, beef and vegetable, many of which are adapted to meet specific customer requirements. Supported by an enthusiastic and skilled team of sales professionals and food scientists, Newly Weds Foods Asia Pacific provides technical support, customer service and confidentiality. With over 25 years experience and with access to the global resources of Newly Weds Foods, Newly Weds Foods Asia Pacific is well placed to keep abreast with the latest food trends, regulatory wishes and the ever changing needs of local customers and those in the end-markets all around the world.
Newly Weds Foods Asia Pacific 02 9426 9300 www.nwfap.com
SNACK FOODS
Snacking in the Whether it’s a traditional spread or more modern cuisines, Christmas is the time for eating, as Jessica Burke writes.
C
an you feel that? That warmth, those smells, that happiness in the air? It’s warming up, alright, and what better way to celebrate living in the luckiest country in the world than to share some delicious food and refreshing
drinks with your nearest or dearest (or that weirdo neighbour who just keeps popping up…who cares, its summer, the more the merrier!) Here in Australia we are so lucky that all those fun, fantastic holidays and events occur when the weather is
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(usually) so hot and sunny and joyous. And what better way to celebrate than with some fantastic food to go with your favourite summer drink? We all know Christmas lunch has traditionally been a huge hot meal in the middle of the day with all the family gathered around the table. But as we move further away from eating three big meals on a daily basis and veer towards smaller meals and more snacking, the same is being done on celebratory days too. “Its not so much the big dinner in one hit, people will be happy to have essentially three or four courses but again littler serves and more powerful and fresher flavours,” Wine Selectors’ wine educator Chris Barnes explained. “People might have seafood and then something like a sausage, but these days it’s a bit fancier. “Rather than the traditional beef sausage as a meal, it might be a nice delicate pork sausage or a little chorizo you’ve made at home. “People might have meat too, but they’re lighter serves and more leaner cuts.” Barnes also believes the traditional Aussie tradition of a backyard Barbie is changing, particularly around Christmas. “People are using barbeques like slow cookers these days,” he told Food Magazine. “Rather than throwing a big slab of meat on a high heat, it’s a lower setting and it’s closed and it created more gourmet snacks and meals.” Bakers Delight’s Kate Adamson agrees
that the traditional family smorgasbord is not the only way people celebrate in Australia anymore. “Many people are moving further away from the traditional lunch, but there is also that yearning at Christmas and Easter for something traditional, that something you used to have growing up with your grandparents,” she told Food Magazine. “I think it’s that time of the year when you gather that family and friends and so something a bit special and a bit our of the ordinary. “Aussies love getting together and giving some food and a chat and if there can be more time doing that than spending endless time in the kitchen, that’s great.” To provide for the different ways people choose to spend their Christmas, Bakers Delight has created some traditional and not-so-traditional options, including fruit cake and lemon tarts. “When you think of Chrissie the first thing that comes to mind is fruit cake so we focused on one that was dense and moist and was really traditional and something you could cook at home,” Adamson said. “You could almost get away with saying you made it yourself. “And for something a little less traditional, and for people who don’t like fruit cake, the lemon tarts are a great fresh option for summer.” Barnes also believes that as a nation, we are evolving and moving towards different cuisines and traditions, but there will always be an element of the old way things were done.
SNACK FOODS
silly season
“I think it’s still very much fifty-fifty between what people call the full toast catastrophe and the more modern affair. “It’s part of the old family tradition, of gathering family and all eating a long meal together for many people. “Then there’s about half who want to almost rebel against that and only have cold foods and only eat at the beach or the park or anything that is not the traditional family dinner table.” The changes to the nuclear family is also a contributing factor to change in traditional events, with government statistics showing just under half of all marriages in Australia end in divorce, meaning more people than
“This means that, each year, around 50,000 such children experience the divorce of their parents.” Barnes believes multiculturalism also plays an important part in the changing cuisines on traditional days. “What’s changing with food and wine in Australia is that people are becoming more adventurous and they want variety,” he said. “Whether its variety in sense of cuisine or cooking, or when it comes to wine, a new grape variety. “New doesn’t mean they’ve been created in a labratory but are types that haven’t been grown much in Australia
“I think it’s still very much fifty-fifty between what people call the full toast catastrophe and the more modern affair.” ever are dividing their days, including Christmas and other holidays, between different locations. “The rise in the divorce rate during the second half of the 20th century, especially after the introduction of the Family Law Act 1975, represents one of the most spectacular changes in family relationships in Australia,” the Australian Institute of Family Studies states. “The Act allowed for "no-fault" divorce based on just one ground - "irretrievable breakdown" - as measured by at least 12 months of separation. Current trends suggest that one in three marriages will end in divorce. “It is also worth noting that just under half of all divorces occur among couples with children under 18 years old.
7HERE RELIABILITY COMES AS STANDARD
before. “They are now coming from Italy Spain, Portugal and even others here and Pinot Grigio is the best example of that. “The cuisine generally is getting lighter, and we need styles of wine that suit that.” And what lighter or better food to enjoy with your drinks during the day than the traditional Australian cherry? It’s just not summer without cherries, as Simon Boughey from Cherry Growers Australia told Food Magazine. “I think they’re vital,” he said. “Our figures on the consumption of cherries show that a week or so before Chrissie, it goes through the roof. “But the season lasts 100 days and we really want to encourage people to keep
eating them through January. “They are a fantastic Christmas fruit, but they can also be enjoyed through other parts of the warmer months. Even when it comes to fruit, it seems people are moving towards smaller, snack-sized offerings, which Boughey said the industry is working to accommodate. “People are looking at different packaging techniques, they want kilo or half kilo boxes these days. “Plenty of people still prefer them the way they are in the bigger packages, but it is good to cater to different needs. “So we will see supermarkets using different options for packaging and also some will be sold without stems. “It’s about new ways people want to eat their cherries, while also catering to the more traditional preferences.” www.foodmag.com.au | November 11 | Foodmagazine 13
BEVERAGES
Summer lovin’
As the weather heats up, Aussies love to cool down with a refreshing drink…or three. More than ever, we know exactly what we want in our summer drinks, as Jessica Burke reports.
A
ustralian summers are a beautiful and unique affair. The traditional furry red outfits with fluffy white trims are a world –or half a world - away from the beautiful sunny days spent outside with a cold drink in one hand and a cricket bat in the other. Of course, sometimes that cricket bat is substituted for a piece of wood found down the side of the house or a plastic tennis racket found after rummaging through the piles of unused toys in the shed. These substitutions usually go down just fine, minus the dog getting tripped over as someone does their best Don Bradman dash for the stumps or poor Aunt Marg who misses the ball and ends up with an egg on her head. But the thing in the other hand? Well, according to almost 90 percent of Australians, there is no substitute. We want our drinks in glass packaging, because it keeps the liquid gold cold and makes us feel like it’s a little bit fancier than that tinned stuff. Almost 90 per cent believe glass packaging represents high quality food products, and over three quarters would rather buy products in glass packaging than anything else. The same number also said it was the most eye-catching on the shelf and they believe it is less likely to change a products taste. So while the reasons we prefer glass packaging vary, there is no denying we love it, and Brian Slingsby, General Manager of O-I Glass, who conducted the research, said
“This provides a real opportunity for brand owners to use more glass packaging to create point-of-difference and appeal in competitive market segments such as packaged fruits and vegetables” Further on the point of what Australian consumers want, particularly with their beverages, was discussed at length when London-based SABMiller bought Aussie brewer Foster’s.
We want our drinks in glass packaging, because it keeps the liquid gold cold and makes us feel like it’s a little bit fancier than that tinned stuff. more companies would benefit from embracing the love for glass when considering packaging products. “The research clearly reveals that glass packaging is preferred by customers across multiple categories, beating other forms of packaging on a number of important attributes including recyclability, transparency and the ability of glass to preserve the flavour of foods and beverages,” he said. “Packaged products available on the supermarket shelves do not necessarily reflect what Australian consumers want.
SABMiller bought Foster’s following a three month process of opposition and denials from Australia’s largest brewer that it needed help. Just the week before the approved bid, the company chairman urged shareholders to reject the company’s bid. SABMiller’s chief executive Graham Mackay did not even set foot in Australia before making the purchase, but rather, Mackay and Fosters Group Chairman David Crawford did the deal at a conference in Istanbul the week prior, according to Bloomberg.
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Crawford had been rejecting the takeover since June, saying SABMiller’s offer of $4.90 per share undervalued the company. The sale has drawn criticism from other Australian beverage manufacturers, with Coca-Cola Amital (CCA) Boss Terry Davis claiming the company had to sell up because it lacked innovation. Davis made the comments at the American Chamber of Commerce, and also claimed the Australian government does not fully grasp the devastating impact the high Australian dollar has on the economy. Davis said when he recently travelled overseas he experienced something he had not before: people discussing “sovereign risk” in Australia. He is adamant CCA will not follow in Foster’s footsteps and sell to foreign buyers, because the company remains committed to innovation. The Foster’s sale leaves Coopers as the largest Australian brewer, and managing director Tim Cooper said the company will not be following in the footsteps of Foster’s and will remain Australian owned and made. Coopers will enter its 150th year of manufacturing Australian beer next year
and Tim Cooper said the company is proud to still be Australian. “Being the largest Australian-owned brewer is a badge of honour we will wear with pride,” he said. “This represents the reward for 150 years of hard work in brewing by the Cooper family. “Coopers currently has 4 per cent of the Australian beer market, but we see the fact that we remain Australian-owned will provide us with strong marketing opportunities in the future.” He said Coopers will resist any foreign ownership and maintain its independence for the Australian public who want locallymade products. “We will continue to maintain a longterm view on our performance and position in the market,” he said. “This determination was underlined in 2005 when Coopers withstood a takeover bid by Lion Nathan.” So this summer, be safe, be merry, consider local versus imported products for your festivities, and remember, you don’t want to be the person who drops the six-pack. We all know what happens to them.
MATERIALS
One stop shop It’s now easier to provide vision inspection in the food manufacturing industry in ‘one language with one quote.’
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The advantages are clear. “Take a large company with plants across several states: the benefit for them is that they’re dealing with one company. “That means from the very start point to the end, they have consistency — even including terminology, which, previously, would have been completely different. This is how the iQVision’s harmonised vision inspection system is explained by Rob Campbell, southern region sales manager for Omron. “What this also means for these multistate companies, is that when we solve a production problem or quality issue, we can go to every site of theirs and replicate that,” he explained to Food Magazine. “The replicating company is the same one, so there’s most likely going to be a cost saving to that manufacturer because Omron and iQVision have not had to reinvent the wheel.” A new solution providing a one-stop shop for vision inspection in the manufacturing industries is proving very successful. iQVision is Australia’s first dedicated national vision-inspection solutions company. Launched at the beginning of July, the company brings together Australian Machine Vision’s (AMV), and Matthews Intelligent Identification’s systems-integration capabilities and project-management. It provides reliable, robust, vision-
inspection solutions to Australian manufacturing industries, establishing then automating objective quality processes, the company told Food Magazine. “Up until now, machine vision inspection has been done by state-based companies. Manufacturers who have sites across multiple states are looking for consistency. Consistency of the installation and consistency of support,” head of Mathews’ iDS Group, Mark Dingley explained. “This reduces rework and wastage, making the packaging process leaner and more reliable, hence optimises profits for manufacturers,” Ken Razga, iQVision’s MD, said. Lester Nichol, Matthews’ MD is also pleased with the success of the harmonisation solution, saying it will change the marketplace for the better. “iQVision has the unique advantage of delivering vision solutions coupled with iDSnet as the controlling software,” he said. “So it not only checks code presence, formation, label position and so on, but can ensure error-free coding as well as performance and efficiency reporting via iDSnet Manager.” “iQVision is the only company that can deliver vision solutions integrated with PCM [Package Code Management] software to service and support customers Australia wide.
“This is a huge advantage for manufacturers with plants in more than one state.” The Matthews-affiliated company works closely with Matthews on projects where vision inspection is needed, and also operates directly with customers when required. “iQVision is not about selling a box, it’s about providing a solution, which is exactly what Mathews is about,” Ragza said. “The company sits very well with our
project methodologies, how we deliver our projects to our customers and our software integration skills with iDSnet. Razga explained that the solution is suitable for various companies in the industry, regardless of size. “It’s about offering customers additional value-add products to help them optimise profitability. “Developments in the technology have now made it accessible to small and medium-sized businesses,” he said.
www.foodmag.com.au | November 11 | Foodmagazine 15
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SAFETY
Food manufacturing “not getting there” on safety The death of a man at a dairy factory in Victoria is further proof the industry needs to improve its safety standards, as Jessica Burke reports
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Victorian manufacturer of dairy products was found guilty over the death of a man at a cheese factory, who was killed when a one tonne bag of salt fell on his head. Fonterra Australia plead guilty in the Melbourne County Court to one charge of unsafe storage practises and was fined $300 000 for the death at its Stanhorpe cheese factory in September 2009. WorkSafe investigated the matter and found the man, a forklift driver, was killed when the salt fell on him. Judge Frank Gucciardo said the system for stacking bags at Stanhope was unsafe and it was not until after the man’s death that a safe racking system was put in place and a written procedure developed. Fonterra’s early guilty plea prevented it from being fined $400,000, the judge said. It has also since implemented a number of safety measures. Lisa Sturzenegger, general manager for operations at WorkSafe, said the incident highlighted a need to ensure the safest workplaces possible. “It’s extraordinary how quickly things can change in the workplace so it’s important that regular reviews are carried out and ensure people stay up-to-date,” she said. “When disaster strikes, there’s no going back.
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“Fixing issues after the event is not the solution. “Incidents like this one hit families, businesses and communities hard. They have long-term-effects. Worksafe's Michael Birt says the situation could have been prevented. WorkSafe’s investigation found the practice of stacking bulk salt bags at Stanhope was unsafe as the tops of lower bags may not be sufficiently level to safely accommodate those on top.
because it isn’t getting there. “We’re running a campaign this year targeting eight high risk industries and food manufacturing is one of the eight, along with other related industries road transport and warehousing and storage. “So of the eight bad industries, three of them are associated with the food industry. He said WorkSafe is clamping down on companies not ensuring the safety of workers, with forklifts and incorrect stacking
It was reported that if the surface of a bag was not level, even a small disturbing force could cause the stack to topple. Birt told Food Magazine the food industry is a major hotspot for injuries and accidents. “The food manufacturing industry is one of the targeted industries in 2010, 11 and 12
the main causes of injuries, accidents and death in the workplace. “This year we are going out very hard and very targeted on operations and we will enforce the law and we will prosecute,” Birns told Food Magazine. “What they can do to prevent this is get their act together,
because of the 7000-odd injuries in those industries, more than 2000 are caused by the most basic of things like preventing slips, trips and falls and moving and lifting materials. “We are not talking about complicated things, they are things that can e prevented.” The cost of a serious injury or fatality takes a huge toll on a company in various ways, Birns explained. “People are often talking about too much paperwork but you can reduce that greatly by not getting people hurt. “A relatively small fine would be better spent initially on preventative measures. “In this case, $300 000 could buy a lot of proper racks. “And then having to implement the improvements since that, the cost of management dealing with the issue, lost time, lost moral and the cost of media coverage, all that money could have bought a lot better outcomes. “In the long run a small investment in safety would have saved money for the company and the shareholders. “These things do have a bottom line, whether your looking at the human cost or the financial. “Companies are trying to concentrate on what they do best, make and sell a product, they don’t need these distractions.”
PACKAGING
Standing out from the crowd
Amid a sea of new packaging ideas and concepts, how can companies and advertisers make sure they stand out? Pierre Pienaar, National President of the Australian Institute of Packaging shares his ideas.
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s a packaging consultant I would love the opportunity to be able to consult a reliable crystal ball to see what lies ahead for this very important industry we represent. Reaching consumers these days is difficult. No longer do traditional methods of advertising and marketing warrant the attention of consumers or their dollars. Business owners and advertisers alike, struggle to come up with creative ways to grab even the smallest bit of attention for their products. Creating an effective package design is one of the simplest and most cost effective ways to do this but requires originality, creativity, and the ability to connect with consumers. Originality Generally consumers are not readily open to changing their purchasing habits or experimenting with new products. Why fix it, if it is not broken? When introducing your product to consumers one needs to display
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originality in your packaging design. Consumers look for packaging that is visually pleasing and representative of the actual product. The package should demonstrate the company’s ability to uniquely display the product through colour, size, and/or logos. Point of difference As with people, packages that are different tend to stand out. Using unusual colours, containers, and catchy phrase are all
however, that creative packaging is no substitute for a great product. Connecting with consumers Therefore, your package design must demonstrate a fulfillment of a need of some sort, as well as the benefits of choosing your particular product. Consumers will purchase products because of a perceived need for them. Your package should elicit emotion from your consumer, whether it is happiness, serenity, or even hunger. If there
Sustainability continues to be a buzz word and has become a major factor affecting operations in packaging. effective ways to attract consumer’s attention. You can reap substantial rewards by using packaging design to market the same product to multiple target groups. Product packaging can give new meaning to the same product for different consumers. It is important to note
isn’t a feeling of excitement or necessity, the product will not sell. Consumers like to feel that a company is in touch with their specific needs and offers them something special. You must connect with your target audience. Effective package design keeps the
PACKAGING
consumer’s needs at the forefront while still remaining effective in demonstrating the product and its benefits. For better or for worse your packaging design will be a significant deciding factor in whether or not your product is purchased. Sustainability Sustainability continues to be a buzz word and has become a major factor affecting operations in packaging. Considerations in this area are now a fact of life with bioplastics and renewable resources such as sugar cane being serious participants in the event. But, it seems consumers still require greater clarity around what sustainable really is. We are increasingly interested in their personal impact on the environment and are demanding more from manufacturers; more from you and from me. There is a need, therefore, for ongoing discussions about codes, about standards and specific requirements.
of a packaging material for a less expensive one may not be a true reduction and vice versa. The question to be asked is, “How will the change affect the entire packaging system, and ultimately increase, or decrease, sales and/or profits?” Use custom packagers for new products A well trained custom packaging operation can offer speed, economy and versatility. Prior to full scale commercialisation, a new product can be test-marketed at minimal packaging investment. During the determination of a package’s feasibility, studies can be made of the purchase of high speed machinery. Do not buy solely on price In all industries, some companies seem to specialise in offering immediate cost reduction by means of ‘price-cutting’. It is unwise and very short-sighted to
It is unwise and very short-sighted to purchase packaging materials only on price. Australia’s packaging industry needs to participate seriously in coordinated and cooperative efforts around global packaging sustainability and to develop some honest measurement tools for the manufacturing industry to consider. While we wait for strong leadership in this field to come to the fore, I challenge individuals to make sustainability a serious consideration; no matter the area of packaging in which you are involved. I challenge you to ask your company what its stance is on sustainability and what its policy on this matter may be. In the mean time we need to continue designing with the 3-R’s in mind, namely reduce, re-use, recycle. Reduction ought to be considered in terms of lightweighting and downgauging. Re-use refers mainly to domestic reuse for a range of purposes. Recycle in terms of using both recycled materials for packaging end products and regularly using materials that are recyclable. Guidelines for Cost Effective Packaging There is probably no other area of packaging that has been less understood than cost. Although many organisations calculate the cost of the package material itself as the total cost, the true cost is in reality the total cost of the entire packaging system involved. A simple replacement of one component
purchase packaging materials only on price. Suppliers should be selected on their ability to provide a wide range of services. Future production capacity and dependability are important earmarks by which to gauge a reputable supplier. Over packaging As a rule, it is usually best to use a safer specification for introduction of a new product. Only after the history of the package is known can the material be reduced with safety. Good packaging should always be as simple as possible and as inexpensive as is consistent with the desired performance. Calipers of each ply The thinnest material possible should be used for each ply. If 40um film will do the job then it is unnecessary to use 70um film. Substitute materials with caution It is rarely possible to simply substitute any packaging medium with another. A new package must be devised by adhering to basic packaging requirements. Standardise whenever possible All incoming packaging materials and outgoing finished packages should where possible be standardised. If a multiplant operation is involved, standards are an absolute necessity. If standards are changed then clearance should come through a central authority. www.foodmag.com.au | November 11 | Foodmagazine 21
PACKAGING
Ahead of the pack Designing the packaging for something people use daily is exciting and always changing, but often overlooked as an obvious career path, as Jessica Burke reports
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It’s not seen as the cool, sexy, fun industry. “But it is. These creations are part of how we live every day.” Mathew Cormack is passionate about the packaging industry, and he wants students to get just as inspired. “The packaging industry is often overlooked as a career area,” he explained to Food Magazine. “If you look at industrial design students and ask them about their career paths, it’s nearly always furniture, automotive, those industries that are very sexy and changing all the time.” Cormack is the Managing Director of Australian company Cormack Packaging and he is always pushing to have more attention and credibility given to the packaging industry. “Sometimes people forget that the biggest sellers and the most changing is the packaging of food and other household items,” he said.” “It’s the stuff we use every single day but don’t notice. So students don’t
The winning design solves the messy flour dilemma know there’s a career there.” Cormack is trying to change that, through its Packaging Innovation Awards, now it its tenth year, that recognises the best ideas and creations by university students. The awards have continued to grow from strength to strength each year, and the current judging panel even has a previous winner of an Innovation award. Frag Woodall won the 2005 Cormack Packaging competition with a clever redesign of the closure system for a sports water bottle, which sparked interest from global giant Coca Cola. On the night, comedian Anh Do, better known for inducing laughter with his performances on Thank God You’re Here and stand-up performances, brought many in the audience closer to tears. He told the heart-wrenching story of his family’s involvement in the Vietnam war and run in with pirates as almost 40 people crammed onto a nine metre fishing boat. Interjected with the hilarious stories and funny one liners he is best known for, the
“So just do it,” he encouraged the audience. “If you want to achieve a goal, attach a really compelling reason.” And for the hopeful finalists sitting in the audience, there were some very compelling reasons, besides the prestige of winning an award and being recognized for the hard work, the winner received a cash prize, as well as a 3 month paid internship at Cormack. The students were given the extremely difficult task of redesigning iconic packaging, with finalists tackling everything from the annoying presence of Milo in the rim around the tin to an easier way to apply sunscreen. Ahead of the third place prize awarded to University of New South Wales’ Gleb Labazine for his Moro Oil design was Harrison Reid from the University of Technology with his Redeheads matches design. First place was taken our by Linden Evans, for his Twist and Sift design, which eliminates the need for a measuring cup
“If you want to achieve a goal, attach a really compelling reason.” story of his struggles emigrating to Australia and living poor in a western Sydney suburb served a timely purpose for the audience. The point of his anecdotes, both the funny and not-so-funny, was to demonstrate to the room full of final year university students, that with hard work and perseverance, and the ability to see the positive in all situations, is the best path to success. He referred to a quote used frequently by his father, which loosely translated means “There are two times in life: there’s now, and there’s too late.” 22 Foodmagazine | November 11 | www.foodmag.com.au
and sifting flour when cooking as these features are built into the pack with a clever measuring device and sift built into the lid. The judges felt that this was a very innovative design to solve the common issues associated with using flour with an extremely practical outcome and concluded that the product could also be easily evolved into a manufacturable product. Cormack believes it is this fresh way of seeing things that makes students some of the most important additions to the packaging industry. “It is a completely false assumption that the only person that can come up with
PACKAGING
BEVERAGE & PACKAGING EQUIPMENT SPECIALISTS
Mathew Cormack with winner Linden Evans, runner up Harrison Reid and second runner up Gleb Labazine great ideas is seven years out of a degree,” he told Food Magazine. “It’s ridiculous! “Often they’ve been in the industry too long and have that group mentality and don’t understand what consumers want anymore.” And it’s not just students whose eyes Cormack wants fresh and uninhibited, it’s with his own staff too. The company often seeks to deliberately make staff ‘uncomfortable’ to inspire and encourage new ideas and thinking on their feet. “One of the things about our industry, packaging supply and the food industry, is that we talk about innovation a lot, but we don’t always create opportunities for actual innovation. “It’s about looking at things with fresh eyes and solving needs and problems that exist in the market place in creative ways. “We’ve chosen to disrupt and make out people a little uncomfortable and engage people who don’t suffer from group think.” Cormack’s way of making employees ‘uncomfortable’ is not about pin cushions in seats or forcing really tall men into tiny cars, but rather getting employees from IT, for example, to lead a tour of the factory floor. Often, he explains, people think they don’t know such information, but when they’re thrown in the deep end, they find they know more than they give themselves credit for and by discovering newfound knowledge, are inspired and gain more confidence. “With half a day put in an uncomfortable position, you walk away with a better understanding of your industry. Its about
AIP scholarship winner Sino Vedjdani with National president Pierre Pienaar and Mathew Cormack
giving people the confidence to share what they have. “People don’t innovate if they don’t have the courage to step out and say this is a good idea. Often, Cormack says, young people are not given the credit they observe, as they are often the brains behind the most innovative developments because they have not been in the industry for a long period. “Young people should not be overlooked,” he said. “Twenty-year-old kids are very smart, they’re observant, and they see things with fresh eyes.” The fresh eyes of Sino Vodjdani for juggling his charity work with his university work design also caught the attention of the Australian Institute of Packaging, with national president Pierre Pienaar awarding a him the Certificate in Packaging Scholarship worth $5000 on the night. Along with the other judges, Pienaar
• PET Bottle Production • Beverage Processing & Filling • Packaging • Labelling • Handling Machinery
ned Anh Do kept the audience entertai on the night noted the extremely high caliber of entrants in the awards, saying younger people are very adaptable to the changing marketplace. ‘We will be looking to designs to attract online shoppers,” he said, explaining that as internet shopping starts to dominate the way Australians purchase goods, packaging will no longer be designed with three dimensional on-the-shelf displays in mind and rather, will be focused on the two dimensional appearance on a screen.
Ph: +61 2 8814 3100 sales@hbm.com.au www.hbm.com.au
www.foodmag.com.au | November 11 | Foodmagazine 23
MEAT
Meat-ing
The increase in the number of fast-food restaurants, supermarkets, and restaurants, and the rising trend of eating meals away from home, present a global challenge to ensure that food is appealing and safe, Wouber Moorman, Market Unit (Food Division) Purac Asia Pacific writes.
H
ealth is a key trend that is here to stay, and the meat industry is no exception to the rule. Customers in the west are increasingly conscious of health issues; numerous studies have linked healthy nutrition to improved health today, as well as improved prospects to live a longer and healthier life. So are consumers actually taking the advice and improving their diets? As demand for natural products such as organic foods and free-range meats suggest, consumers are aware of what they want and even more so of what they don’t. They favour meat products free from antibiotics, artificial ingredients, chemicals and fillers. Fresh local products that are minimally processed and minimally packaged are also in trend particularly in western countries. Product safety is at the top of shoppers' minds, as is animal welfare. Consumers worldwide are voicing their demand for products sourced from healthy, well-treated animals. According to the International Feed
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Industry Federation, consumers in developing countries are increasing their consumption of meat as their incomes rise. Most of the world’s population (more than 5 billion) live on a monthly income of less than US$3,000. For every one percent increase in income in this segment, families are spending two percent more on food. This translates to a demand of 252 million tones of meat a year by 2030 for developing countries as reported by the Food Agricultural Organization. Despite their lower incomes, healthconscious consumers in developing countries such as China, Brazil and Vietnam are demanding safe, healthy meat products just like those in the west. And as incomes rise, so too will the demand for natural, ethical and convenient products.
Consumer Meat Demands As much as health remains a key driver in consumer selection, food safety is an important consideration that cannot be ignored.
MEAT
safety standards
It is the number one priority in the minds of manufacturers and consumers alike. Extensive media coverage on food pathogen outbreaks has cast a new spotlight on the quality of food safety in the food industry. The meat industry faces the biggest challenge when it comes to food safety as meat is a highly perishable product and has a relatively short shelf-life. Because of its unique biological and chemical nature, this causes meat to undergo progressive deterioration from the time of slaughter to consumption. Behind the scenes, each product has unique requirements to maintain safety and quality throughout its shelf life. Manufacturers have been creative in their quest to offer solutions to extend the shelf life of meats. Food scientists have long maintained that the preservative effect of lactic-acid bacteria during the manufacture and subsequent storage of fermented foods was due solely to the acidic conditions created during fermentation, which converts carbohydrates into organic acids. However, researchers have discovered there is more to the preservation process than simply a pH drop. Lactic-acid bacteria produce and excrete a variety of inhibitory substances other than lactic and acetic acids, including ethanol, hydrogen peroxide, diacetyl, free fatty acids, benzoate, antibiotics and bacteriocins. In addition, some beneficial microorganisms inhibit pathogen growth
by consuming the resources that pathogens need to survive and proliferate. Lactates are also most often added to meat products to help inhibit microbial growth and food borne pathogens. The EFSA (European Food Safety Authority) panel on Biological Hazards recently declared that treatments for decontamination of beef surfaces consisting of using 2-5% lactic acid,
identify foods high in salt, only one-third are likely to avoid these foods. Its association with hypertension and cardiovascular disease isn’t enough to encourage consumers to search for healthier alternatives. Common perception that the foods won't taste as good is a clear barrier in limiting consumer’s choices for low sodium products. Reducing sodium chloride content in both meat and poultry products is not a simple as it may seem. Salt plays a key functional role in yield, flavour, texture and shelf life. Cutting back on salt levels will have a detrimental effect to meat quality, while sodium reducing alternatives such as potassium chloride often result in bitter off flavours. Manufacturers face the tough task of balancing what consumers what and what is good for them; delicious processed meats that are healthy and safe to eat. While salt contributes to flavour, it also plays a role in determining the texture of meat. Salt helps to increase protein solubility. When salt is reduced in processed meats, the elasticity of the meat decreases as well. The use of lactates has also been shown to increase meat juiciness as well as improve meat tenderness.
colour that stabilises with storage. The all-round functionality of lactates could hold the key to solving food manufacturers’ dilemma of slashing salt levels without adversely affecting the physio-chemical, microbiological and sensory characteristics of meats.
Clean, Natural Solutions The path meat takes to arrive on your table is one that is not well known. However, that is set to change as people have a greater access to information with the advent of technology. People increasingly want to be informed about the food they eat. More importantly, they want to know where their meat comes from. As conscientious consumers across all demographics take a closer look at food labels, they are rejecting traditional methods of food preservation that include adding high concentrations of sugar, salt
Manufacturers have been creative in their quest to offer solutions to extend the shelf life of meats. applied either by spraying or misting, are safe for consumption. Several studies reported significant reductions in microbial loads (e.g. E. coli) compared to water treated or untreated carcasses. Consumers around the world expect and demand safe food, no matter its source and close cooperation with food manufacturers ensures that their expectations are met,.
Drop the Salt The benefits of lactates extend beyond its shelf-life extension properties. The focus on all things healthy and natural has stirred an increased awareness of the negative health impacts of the excessive consumption of sodium chloride, more commonly known as salt. Most shoppers say they are interested in purchasing lower sodium products. Even if they are able to correctly
This is the result of an increase in cook yield when used in combination with low salt brines and the humectant properties of lactates. Its use has also been associated with increasing meat pH that results in increased water-holding capacity and less cook losses. The resultant meat would expectantly be more tender. Lactates and organic ferments, help to improve the overall colour, the stabilisation of the colour of the meat during storage. Meat spoilage is not always evident and consumers would agree that discolouration is one of the main qualitative criteria for meat rejection. The use of lactates also increases the length of time for colour to be maintained during storage. Certain combinations of lactates and acetate have shown to increase the meat pH resulting in a darker
and unrecognizable chemicals and, more than ever, demanding natural, ready-toeat meat products that have fresh, justprepared characteristics without the use of artificial preservatives. Processors want to meet the ongoing consumer demand for these clean-label products, but at the same time realise the urgency and need to do it without compromising shelf life or food safety. Lactates and lactic acid offers manufacturers label-friendly solutions without compromising food safety or sacrificing the texture, taste and flavour of the product.
www.foodmag.com.au | November 11 | Foodmagazine 25
QUEENSLAND
Keep it local: Australian food manufacturers take steps to stay on shore With the high Australian dollar, the threat of off-shoring, and the looming carbon tax, local manufacturers of food and domestic products are taking steps to ensure they stay viable and competitive, as Angela Welsh reports.
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rade in processed foods has grown considerably over the last decade, according to the Federal Government’s Australian Trade Commission. The sector also accounts for around 18 per cent of employment in the manufacturing sector. However, with increasing global competition, and particularly the strong Australian dollar, many food manufacturers have chosen to manufacture goods off-shore where labour and production costs are low. To stay competitive, the industry has had to respond quickly to consumer demands and trends, which of late has been for more convenient, healthier, fresher, less processed foods, with minimal storage time. By developing new food processing, separation and packaging technologies, Australia has been fighting to stay at the forefront of the food industry worldwide, in the face of tough challenges.
Bikkie giant vows to stay Australian made Earlier this year biscuit giant Campbell Arnott’s announced plans to invest $67 million in upgrading its Virginia bakery in Queensland. The move brings the company’s total investment in the site to more than $100 million over the past two years. The Virginia bakery currently produces more than 40 per cent of all Arnott’s biscuits
found in Australian homes, including Shapes, Cruskits, Monte Carlo, Scotch Finger, Shortbread Cream and Family Assorted. The investment aims to ensure the firm’s Queensland manufacturing site stays competitive in future years. Campbell Arnott’s also says the move also signals the company’s ongoing commitment to manufacturing in Australia. The company will allocate around one third of the total investment to installing a new
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biscuit production line that will be operational by 2012. Under the plan, the remainder of the $67 million investment will be used to automate sections of some existing lines, which will improve efficiencies, enhance product quality and introduce safer handling procedures on site. Campbell Arnott’s vice president supply chain Asia Pacific, Craig Funnel, says the company’s Virginia bakery sources around 25,000 tonnes of flour and 10,000 tonnes of sugar from Queensland producers. The biscuit giant also sources around 125 million biscuit trays and cartons from Queensland-based companies. “The flow-on benefits to the State of an investment of this magnitude are significant,” Funnell said. The company confirmed that while the decision had no immediate impact on the 900 full-time workers employed at Virginia, there will be a reduction in the number of roles on site. In a year’s time, as the automation component becomes operational, there will be a direct impact on around 140 full-time and 50 casual roles over the period December 2012 to June 2013, Funnell said.
(FSA), the dairy industry through the Dairy Cooperative Research Centre, and the wine industry through the Australian Wine Research Institute (AWRI). These capabilities are reinforced by successful spin-offs from universities. R&D in food processing is also being conducted by companies and through private research organisations.
The biscuit giant also sources around 125 million biscuit trays and cartons from Queensland-based companies. Funnell acknowledged that potential redundancies made automation a difficult decision to make, but stood by the move. “Around 99 per cent of all Arnott’s biscuits we sell in Australia are made in Australia. To keep it that way, we have to continue to find ways to compete more effectively in the marketplace, especially against cheaper imported products.”
Industry and government initiatives The Australian Trade Commission stresses that industry and government have been working collaboratively to provide solutions that compete more effectively with overseas producers. Opportunities for Australian processed foods exist in every market – with Japan the number one market, followed by the USA, Korea, Indonesia and New Zealand. To ensure the industry’s export success in future, Australia has a few key attributes on its side. The nation’s sustainable safety credentials, as well as its disease-free status, are backed by a strong regulatory framework as well as innovations in traceability, quality assurance and supply chains. Australia has research and development (R&D) capabilities in food processing including at Food Science Australia
Companies providing value-added products in food processing are supported by Australia’s export focused, agricultural industry. The wine sector has demonstrated both strong leadership with its 2020 strategy and an ability to take up new technology. The sugar industry, with its Cooperative Research Centre for Sugar Innovation through Biotechnology, is developing new health foods, including the use of fibres from bagasse. In the dairy industry, value-adding initiatives include the extraction and purification of proteins, peptides and colostrum from milk.
NZ milk maker chooses Sydney Earlier this year, New Zealand’s A2 Corporation chose Sydney to expand its milk processing operations. In July the company began construction on a A$7.5 million processing plant in south-western Sydney. The plant is expected to be operational by January 2012. The plant will initially be geared to process up to 10 million litres of milk per year. The company says the move is part of a growth strategy that has seen it transform its intellectual property into a
commercially viable fast-moving consumer goods (FMCG) business. “Our a2 Milk™ business in Australia continues to grow rapidly and the development of our own processing facility will allow for the continued expansion of the business. Sales growth has exceeded expectations in the six months to 30 June 2011,” A2’s Chairman Cliff Cook says.
Food packaging initiatives The role of packaging in keeping the food supply safe will always remain an essential part of the industry. Packaging maintains the quality of food after processing is completed, enabling it to be sent long distances from its point of origin. The design and construction of packaging also influences shelf life as well as aesthetic appeal. Traditional materials used in packaging include glass, metals, plastics, paper and paperboards. A wider variety of plastics are now available both in rigid and flexible forms and today's food packaging often combines several materials. In balancing today's heightened social and environmental consciousness and stricter regulations on pollutants and disposal of solid waste, many companies are turning towards more biodegradable packaging options that have less environmental impact, the Australian Trade Commission notes.
pushing sustainability as a point of difference. Queensland manufacturer of green household products - Orange Power and Actizyme - Aware Environmental, says with supermarket shelves increasingly loaded with products made overseas, consumers should question the quality of their purchases. The company’s managing director, Andrew Chaney, says Australian-made environmentally-friendly products present that point of difference to consumers. “We have Australian-made ecoresponsible products that have no associated ‘carbon miles’ and questionable raw materials,” Chaney said. The company recently eliminated plan oil ingredients from its products to prove its reputation as a ‘green’ brand, he added. But Chaney laments, “Unless consumers continue to support us and purchase Australian made products the shelves will eventually fill with private label offers and be dominated by one or two multinational brands.”
Domestic brands urge consumers to buy local As small Australian manufacturers come under increasing pressure to maintain their presence in supermarkets, local brands are www.foodmag.com.au | November 11 | Foodmagazine 27
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Modified Atmosphere Packaging and Barrier Materials training course November 24 Viewpoint Centre, St Kilda, Victoria
Introduction to plastics and advanced packaging courses November 14-15 BNZ Highbrook Partner Centre, East Tamaki, New Zealand
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PRODUCT SHOWCASE
Humidity hazards PRYDE has released a new way of recording humidity data in shipping, production, storage, testing facilities and other areas with its Rotronic data loggers. Once logged, the temperature and humidity data can be evaluated statistically, providing valuable information on conditions that can have an influence on people, materials and objects. Rotronic data loggers fulfil the requirements of FDA 21 CFR Part 11 and GAMP 4. They have are highly accurate and easy to use, with data able to be shown in graph or table form. A large range of interchangeable probes means simple maintenance and flexibility in different applications, and loggers are available in a range configurations to suit most uses. The loggers feature flash card data memory, a real-time clock and options of traditional battery or rechargeable battery. Up to 47 000 data records can be saved on each MB card. The data is retrievable by card reader, PDA, PC, with HW4 or docking station and has logging interval selections from five seconds to 24 hours. Pryde Measurement Pty Ltd 03 9567 0700 www.pryde.com.au
The easy liquid solution PLASDENE Glass Pak has launched a new alternative to standard IBC with its EasyLiquid solution. The product changes the handling of bulk liquids, with pallets no longer required. EasyLiquid can be used on one-way or multi-trip reusable full solution for liquids. It’s a complete economic logistic solution, is flexible and collapsible/foldable and offers the possibility of value branded visibility. The liquid does not require storage space for large empty bins and is 100 per cent recyclable plastic.
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www.foodmag.com.au | November 11 | Foodmagazine 29
ON THE
Simple snacking bars
SHELF
Product: Uncle Tobys Simply fruit bars (sultanas, dates, apple & cinnamon)
Manufacturer: Nestle Ingredients: sultanas, dried dates, oats, dried apple, sunflower oil (soy), cinnamon, preservative (sulphur dioxide) Shelf Life: 7 months Packaging: Passport Product Manager: Jane Stabler- The PR Shop Website: www.uncletobys.com.au
The good kind of wobble Product: Aeroplane Wobbly Manufacturer: McCormick Ingredients: Sugar, gelatine (beef origin), flavour, cocoa powder (2.5%), acidity regulator (331), colours (150C) Shelf life: Two years. Packaging: SO brandesign. Product Manager: Linsey MacIntosh, McCormick. Website: www.aeroplanejelly.com.au
Non-naughty nibbles Product: Uncle Tobys Simply nibbles (apple, raspberry & lime)
Manufacturer: Nestle Ingredients: concentrated apple puree, concentrated apple juice, raspberry puree, concentrated lime juice, wheat fibre, concentrated lemon juice, concentrated elderberry juice, gelling agent (pectin), flavour Shelf Life: 7 months Packaging: Passport Product Manager: Jane Stabler- The PR Shop Website: www.uncletobys.com.au
Berry nice Product: Eclipse Berry Mints Manufacturer: Wrigley’s Ingredients: Sorbitol, food acids (296, 330), anticaking agent (470), flavour, sweeteners (950, 951), colour (129).
Shelf Life: 12 months Packaging: n/a Product Manager: Annabel Badilla Website: Wrigley.com.au
30 Foodmagazine | November 11 | www.foodmag.com.au
The fancier side of pasta Product Name: San Remo sfoglia Angus beef and mushroom ravioli
Manufacturer: San Remo pasta company Ingredients: Durum wheat semolina, filling (angus beef (23%) semolina (contains wheat), onion, breadcrumbs, carrot, flavour, (contains yeast extract, colour (E150d), wheat starch, flavour enhancers (E621, E635), soy sauce powder, modified starch (E1450), salt, pepper, dried mushrooms (0,5%), garlic powder, flavour enhancers (E627, E631)), water, egg, salt, acidity regulator (E270), colours (E160b, E100) May contain traces of milk, peanuts, trea nuts, sesame, custacea and fish. Shelf Life: 90 days Packaging: Zynke Design. Product Manager: Claudia Lordao, 8261 0555, CLordao@sanremo.com.au Website: www.sanremo.com.au, www.facebook.com/sanremopasta
Entries ARE NOW OPEN for the 8th Annual Food Magazine Awards These prestigious awards recognise best practice and innovation in the Australian and New Zealand food and beverage manufacturing and packaging industries. Submit your entry and you can see your success and hard work rewarded at a glamorous gala event in Sydney 25 July 2012.
Why nominate?
• Exposure and publicity • Recognition for your hard-working team members • Valuable networking opportunities with key industry leaders
Download the Nomination Kit www.foodmag.com.au/awards Contact the editor 02 9422 2909 food@reedbusiness.com.au sponsorship opportunities Contact Mark Ryu T: +61 (0)2 9422 2151 E: mark.ryu@reedbusiness.com.au 2012 Categories • Alcoholic Beverages • Baked Goods • Confectionery • Dairy • Food Safety and Innovation in Non-Food PLATINUM SPONSOR
• Health & Wellness • Meat & Small Goods • Ingredient Innovation • Non-Alcoholic Beverages • Organic & All Natural
PROUDLY SPONSORED BY
• Packaging Design • Prepared Food • Ready Meals • Snack Foods • Sustainable Manufacturing