Beverages & Food Processing Times February 2015 by Advance Info Media

India’s 1st Monthly Newspaper For Beverages, Food & Allied Industries

8th - 9th Oct. 2015, Bangalore

Vol. 7, Issue 9, February 2015, Rs. 20/-

www.agronfoodprocessing.com

Centre wants local manufacturing of food products to be part of “Make In India” campaign

The Foreign Direct Investment has been allowed to 100% in the automatic route for most food products in India, except for items reserved for micro and small enterprises.

t is important to put the local manufacturing of food products under the 'Make in India' campaign of the Government of India, in order to have safe and wholesome food, said Union Minister for Health and Family Welfare J P Nadda.

India's food processing industry accounts for around 32% of Indian food market. The industry, which is largely dominated by the ready-to-eat segment contributed to around 90% of sales of packed foods in India and the industry is primarily export-oriented.

The Union Minister informed that the Ministry, along with the Food Safety and Standard Authority of India (FSSAI), is working to streamline the process for time-bound approval of food products.

In 2013-14, India exported about 135 agri and processed food products, with the total volume of 194088 MT including 16322 MT organic textiles. The organic agri export realization was around $ 403 million.

This will not only clear the approval of several pending proposals for food products, but will also give the much needed push to the domestic f o o d p r o c e s s i n g i n d u s t r y, w h i l e n o t compromising with quality and safety of the food products.

Indian organic agri and food products are majorly exported to US, European Union, Canada, Switzerland, Australia, New Zealand, South East Asian countries, Middle East, South Africa, among others.

The Health Minister further stated that in order to ensure the quality and safety of food products, various issues pertaining to regulation under the FSSAI Act 2006 were discussed at the meeting, including the mechanism for 'product approval'. Present at the meeting were stakeholders from the food processing industries; Secretary, Department of Industrial Policy and

Promotion; Secretary, Department of Food Processing; Chairman & CEO, Food Safety and Standard Authority of India (FSSAI), and

ofﬁcials of the Department of Health and Family Welfare.

Oil seeds – Soybean (70%) lead among the products exported followed by Cereals & Millets other than Basmati (6%), Processed food products (5%), Basmati Rice (4%), Sugar (3%), Tea (2%), Pulses and Lentils (1%), Dry fruits (1%), Spices (1%) and others.

Harsimrat Badal, India to be global leader in food processing by 2020

n i o n minister for f o o d processing i n d u s t r i e s Harsimrat Kaur Badal said that w i t h t h e possibilities available in the ﬁeld of food processing, India would become a global leader by 2020. Speaking at the Vibrant Gujarat Summit in Gandhinagar, Harsimrat said India had the potential, environment and availability of requisite resources to lead the world on the food processing front and the time had come to realise

this dream. She stressed the need to bring down food wastage, besides ensuring safe, nutritional and affordable high quality food to the aam aadmi (common man), which would become a catalyst in curbing food inﬂation. She said the food processing industry was growing rapidly at almost 9% compared to 3.3% for agriculture and 6.6% for manufacturing, which has engaged around 60% of the population directly or indirectly. She added that food processing was contributing 13% to Indian exports despite processing only 10% of the total produce. She said this sector could generate employment, curtail inﬂation, uplift farmers, reduce wastage and provide food and nutritional security, which should be given priority by our peasantry and food industries.

Lov Verma takes charge of FSSAI Chairperson

ov Verma was today g i v e n additional charge of chairperson, Food Safety and Standards Authority of India (FSSAI). Verma, a 1978 batch IAS ofﬁcer of Uttar Pradesh

cadre, is Secretary, Department of Health and Family Welfare. He has been given the additional charge for a period of three months with immediate effect or until further orders, an order issued by the Department of Personnel and Training said. The vacancy has necessitated following superannuation of K Chandramouli, a 1975 batch IAS ofﬁcer of Uttar Pradesh cadre.

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Vol. 7, Issue 09 -February - 2015

DAIRY NEWS

Israel's ICL Food Specialties to acquire Prolactal

ood ingredients provider ICL's food specialties business unit has agreed to acquire the European dairy proteins producer Prolactal and its subsidiary Rovita. Based in Austria and Germany, Prolactal offers a range of functional dairy proteins for beverage, dairy and meat industries to stabilise and improve the nutrition of products processed under a

stability ingredients, including Prolactal and Rovita product lines.

variety of conditions. This new development is expected to help ICL Food Specialties to deliver innovative, valueadded ingredient systems and also open up new market opportunities. In addition, the combined operation will enable ICL to offer a broader selection of texture and

capable of complete fractionation of milk.

We will leverage these capabilities to meet the evolving needs of our existing clients and to enter targeted fast-growing food and nutrition market.” In 2014, Prolactal reported annual revenue of approximately €100m. The transaction is expected to be complete during the ﬁrst quarter of 2015. Prolactal currently employs around 200 people and it operates two plants with the production process technology that is

NABARD makes model scheme to stimulate Dairy sector in Punjab

unjab is the second highest milk producer in the country at 10.01 million metric tonnes per annum (275 lakh litres a day). The total milk production in the state is about 7.58 per cent of the total country's milk production. Focusing on this The National Bank for Agriculture and Rural Development (NABARD) has chalked out a model scheme to be implemented in five districts namely Ludhiana, SBS Nagar, Jalandhar, Hoshiarpur and Amritsarand the proposed intervention would enhance milk production by 10.7 lakh liters a day i order to give impetus to the dairy sector in Punjab. The proposed intervention envisaged in the five districts would enhance milk production by 10.7 lakh litres a day and general level credit by Rs 790.95 crore in three years. It is expected that about 1.60 lakh animals will be financed in addition to various dairy related infrastructure in these districts. According to state (Punjab) focus paper compiled by NABARD, these five districts offer tremendous potential for improvement of the dairy sector through scientific management and provision of necessary linkages. The objectives of the areas based programme (dairy) through the scheme is to enhance production and marketing

of clean milk, capacity building of farmers for undertaking dairy farming and commercial activity, increase income from milk through value addition, scientiﬁc production and management of milk through backward and forward integration, better cost management, increase employment opportunities etc. The state is also targeting to make itself a dairy state during the 12th ﬁve year plan by establishing a large number of commercial hitech dairy farms. Currently, the state has about 10,000 progressive dairy farmers, with farms varying in size from 10 to 500 high-yielding breeds of cows. Also, the daily production of milk by these farms is about 800,000 to one million litres. These farmers have ventured into commercial dairy with 'Punjab Holstein' — a highperformance cross-bred cows that yield up to 10,000 litres of milk per lactation period of ten months. Currently the state has over 25 lakh cross-bred cows which are highest in the country. According to NABARD,the state has huge potential for dairy farming. It can be gauged from the fact the total credit potential for the year 201516 for dairy development in the state has been estimated at Rs 3525 crore.

India to search potentiality of food items export to China

ndia can explore export potential of food products like dairy products, marines, fresh and processed items to China with a view to bridge the widening trade gap, industry. India has expressed concerns over widening trade deficit with China and limited market access to its products due to a host of issues. The trade deficit was $36.21 billion in the last fiscal. The country is keen to engage with the neighboring country on wide range of areas including tourism and food sector, the official

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said. According to China, India can explore export potential in dairy products, buffalo meat, marines, cereals and other fresh food and processed items to China provided the industry is India exports raw materials and imports mostly ﬁnished items. The export of products like engineering goods, pharmaceuticals and farm products is limited due to various issues related to tariff barriers, regulatory and other complexities. Speaking at the event, Chinese Minister and Chief of the Mission Yao Jing said, "Indian companies have strong competition in China. We would like to have more Indian companies in our country." Besides, he sought more efforts from India not only on policy front but also in providing infrastructure and other facilities to Chinese ﬁrms.

Vol. 7, Issue 08 - February- 2015

DAIRY NEWS

Global Cheese Market Will Reach US$105.13 Billion in 2019

heese market was valued at US$79.57 billion in 2012, and is expected to grow to US$105.13 billion in 2019, growing at a CAGR of 4.4% from 2012 to 2019. Cheese is an integral and an indispensible part of not just fast food, but for many, an ingredient in their staple diets too. The many variants of cheese

inclusive of processed and unprocessed cheese are driving the global cheese market to soaring heights. Growth of fast food restaurants, increasing purchasing power with higher disposable incomes, lifestyle changes, and growing urbanization are in emerging markets are some of the obvious factors resulting in proliferation of global cheese market. The other most important growth driver for global cheese market is its high nutritional value. However, the major restraint in faced by the global cheese market is the perishable nature of the product. Product innovation, better packaging and preserving methods, increasing health awareness amongst people, and unique taste are some of the opportunities that global cheese market can tap into.

cheese. These segments on the basis of type also consist of submarkets. Europe dominated the global cheese market in 2012, with North America following closely. However, in the coming future, analysts predict, the emerging economies in the Asia Pacific region are will be the future of the global cheese market. With the rise of fast food restaurants in India and China, the demand for processed cheese will definitely experience a surge. However, the unprocessed cheese segment will witness a rise in regions such as UK, Germany, Canada, and U.S. Easy availability of cheese through distribution channels such as supermarkets, hypermarkets, department stores, and convenience stores. Some of the key players that hold a substantial share in the global cheese market have been profiled in this report. The financial outlooks of Bongrain S.A., Alra Foods Inc., Fromageries Bel S.A., Fonterra Co-operative Group Ltd., GCMMF- Amul, Saputo Inc, Mondelez International Group (earlier Kraft), and Almarai Company Ltd gives a fair look at the future of the global cheese market to the readers. Private label brands are expected to capture substantial market share in North America over next six years, due to its cost effectiven ess. Some o f t h e market leaders across the f o u r geographi es are.

Tata Capital, Motilal Oswal Private Equity team up for a slice of Creamline Dairy

rivate equity company of Tata Group, Tata Capital and Motilal Oswal Private Equity have teamed up to bid for around 60%

stake in Hyderabad-based Creamline Dairy Products and a deal could be struck in the Rs 380crore to Rs 420-crore range, thus valuing the 28year-old diary maker anywhere between Rs 650 crore and Rs 700 crore, three people with direct knowledge of the development said. "The two funds are jointly bidding for a controlling stake in Creamline," says one of the three persons quoted above. "The deal is currently at the due diligence stage." A ﬁnal decision will be taken at a meeting in Hyderabad

The global cheese market is divided across geographies into regions such as North America, Europe, Asia Paciﬁc, and Rest of the World. The global cheese market is also segmented on the basis of type such as processed and unprocessed

Amul all set to start exports to Russia

he Gujarat Cooperative Milk Marketing Federation (GCMMF) would be the ﬁrst dairy major from India to export to Russia. It is waiting for formalities between the Export Inspection Council of India, and its Russian counterparts to complete, so that it could begin exporting to the country.

A senior official of GCMMF which sells dairy products under the Amul brand, said that while Russian authorities had already visited Amul's manufacturing facilities in Gujarat and were satisfied, the formal exports would begin post the formalities are complete. The Export Inspection Council of India (EIC) is the regulatory authority for quality control and pre-shipment inspection of notified export commodities. RS Sodhi, managing director of GCMMF also raised concern about the low prices of dairy commodities in the international market. "We would start exporting to Russia in a while, after the regulatory formalities are complete. However, the prices are not very lucrative in the international market at the moment," he said without wishing to share a more precise time to begin exports to Russia. GCMMF has held talks with Russia's Galactika Group for dairy exports a few months back, after Russia lifted its ban on import of dairy products from India. Russia imports nearly 30 per cent of its dairy products requirement, or around 8-10 lakh tonnes of milk powder and 20 lakh tonnes of cheese per annum. After almost trebling its exports last fiscal (at around Rs 530 crore), Amul has said earlier that this fiscal, exports would be on a slow lane, owing to weak prices in the international market. It could even be less by around 50 per cent. Hence, Amul's focus is more on the domestic market this fiscal, where demand for milk and milk products are growing steadily, and Amul itself is clocking double digit growth rate. At present, Amul exports milk and other dairy products to about 20 countries, including the US, West Asian countries, Philippines, Thailand, Malaysia, Hong Kong, Australia, New Zealand, Japan, Afghanistan, neighbouring Bangladesh, Sri Lanka and Nepal, among others. Import of milk and dairy products rose in Russia because of shortage of raw milk and cheaper import prices.

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scheduled next week between the potential investors and the promoters. Creamline Dairy, with a capacity of more than seven lakh litre of milk processing a day, had revenues of Rs 700 crore for the year-ended 31 March, 2013, as per the company's website. It has operations across southern states such as Andhra Pradesh, Tamil Nadu, Karnataka as well as parts of Maharashtra. The company has 30 milk chilling centres of its own and nine belonging to associates. Its products are sold under the 'Jersey' brand. For Motilal Oswal, this will be its second investment in dairy sector after Parag Foods. The fund is now looking at exiting the company through a planned public offering. The dairy company that sells 'Go' and 'Gowardhan' brand of milk products is being valued at around Rs 3,0003,500 crore, giving Motilal Oswal potential a return seven times its investments.

Vol. 7, Issue 09 -February - 2015

FOOD PROCESSING NEWS

Food Ministry for extending sugar export subsidy for 1.4 million tonnes

Jharkhand to host global investors meet in March

The same was reinstated at Rs 3,300 for JuneJuly before hiking it to Rs 3,371 for AugustSeptember period of last marketing year. Sugar mills exported about 750,000 tonnes of raw sugar in 2013-14 marketing year (OctoberSeptember) with an incentive of about Rs 200 crore.

he Food Ministry is in favour of extending export subsidy for only 1.4 million tonnes of raw sugar in the ongoing 2014-15 marketing year. "A cabinet proposal to extend export subsidy on raw sugar for 2014-15 marketing year (OctoberSeptember) has been sent for inter-ministerial views. The Food Ministry has proposed a cap on quantity at 1.4 million tonnes," sources said. Last year, the Centre had announced a subsidy for exports of raw sugar up to 4 million tonnes in order to help the cash-starved industry clear sugarcane arrears to farmers. The subsidy scheme ended in September 2014. It had reviewed the quantum of subsidy every two months. The Food Ministry had ﬁrst ﬁxed subsidy at Rs 3,300 per tonne for February-March, and later reduced it to Rs 2,277 for April-May.

The sugar industry is seeking extension export subsidy for this year as mills are liquidity crunch to make cane payment wake of depressed local prices due to production in the last few years.

of the facing in the higher

Indian Sugar Mills Association (ISMA) said that domestic sugar prices are substantially below the cost of production and it has become difﬁcult for mills to even pay the cane price to farmers. Sugar production in India -- the world's second biggest producer after Brazil -- has increased by 27.3 percent to 7.46 million tonnes in the ﬁrst three months of the current 2014-15 season, according to the ISMA. ISMA estimates sugar production at 25-25.5 million tonnes for this season, while the government's projection is 25.05 million tonnes for the same period. During 2013-14 season, the country had produced 24.4 million tonnes sugar and exported 2.11 million tonnes.

Indian franchisee of American burger chain Johnny Rockets seeks PE funding

he state food industry is all set to organize a global investors' summit in Jharkhand in March, the ﬁrst of its kind in the state as Jharkhand looks to give its food processing sector a major thrust in coming days. The global summit, which will draw investors from across India and around the world, has been chalked out and awaits ﬁnal approval of the executive committee, due to meet on January 29. Industry director A Muthukumar said the project had already received clearance, but the dates are yet to be decided. "They will tentatively be slotted in March," he said. Food processing in Jharkhand remains an

An e-mail sent to Harvinder Singh, vice president operations with Prime Gourmet Pvt Ltd, to understand the funding plans of Johny Rockets, did not elicit a response at the time of publishing this article. Going ahead, Johnny Rockets plans to expand its footprint in India by setting foot in geographies like Noida, Mumbai, Bangalore, Chennai, Chandigarh, Jaipur, Pune, Hyderabad and Kolkata. Last year Johnny Rockets along with Prime Gourmet Pvt Ltd set up its first restaurant in India in New Delhi. Johnny Rockets had announced its franchise agreement with Prime Gourmet in 2013 and came up with the first outlet six months after. Prime Gourmet is a restaurant company founded by hospitality and finance industry veterans Sachin Goel, Vishal Chaudhry and Gaurav Sharma. With decades of experience, they wish to set up 20 Johny Rockets outlets in India in a few

Earlier in a company release, John Fuller, CEO of Johnny Rockets, said, “With an ever-growing population of over 1.2 billion, second only to China, India provides a huge audience in a rapidly expanding consumer market. A younger population, larger disposable incomes, higher rate of urbanisation and exposure to western lifestyles are factors that point to the success of our unique brand in that country.”

In a statement here SR Ladhar, mission director, Food Processing Department, said Union Cabinet Minister for Food Processing Harsimrat Kaur Badal was trying to give an impetus to the food processing sector in the state. Various schemes had been started to assist the desirous persons, he added. He said under another scheme, for setting up of primary processing centres in rural areas and for development of human resources, an amount of Rs 2.5 crore was being provided by the

However, the market is clearly dominated by McDonald's, which entered India in 1996 and has over 300 outlets now.

He said Punjab was the food bowl of the nation and there was no dearth of raw material for the food processing industry in the state. Grains, vegetables, dals, oilseeds and vegetables were in plenty in the state. Therefore, food processing could be a source of employment for many in the state, he added. He said with the development of the food industry, there would be an increase in the purchase of raw materials from farmers and they would get an opportunity to sell the produce at competitive rates. Ladhar said 25 per cent of the total project cost pertaining to setting up, expansion, upgradation or modernisation of the food processing unit, maximum up to Rs 50 lakh would be contributed by the government. “Similarly, for setting up a cold chain for nonhorticulture products as well as for value addition projects and for preservation infrastructure, an assistance of Rs 5 crore per project can be extended,” he added.

Food processing technology training application invited venture in the food and agroprocessing sector. The training programme will be conducted from Feb 2 to March 14.

Johnny Rockets plans to introduce its signature all-American offerings, with multiple vegie patty options, a focus on chicken breast sandwiches and buffalo tenderloin burgers. While bringing classic American favorites to India, the menu also provides custom items that cater speciﬁcally to the palate of the people in the country. A number of big players are entering the fast food space in India. Recently, the US-based fast food chain Burger King formed a joint venture with private equity ﬁrm Everstone Capital to enter into the Indian market. Jubilant FoodWorks, which runs a franchisee for Domino's Pizza chain in the country, has also entered the burger business as an extension of Dunkin' Donuts brand.

During his visit to the Prabasi Bharati Diwas, the annual NRI conclave and the Vibrant Gujarat Summit that was held in Gandhinagar early this month, chief minister Raghubar Das had appealed to the investors to invest in Jharkhand. "We are moving towards becoming the most preferred investment destination in India through our commitment and effective governance," he had said.

government. Besides, there was a provision of giving Rs 50 lakh for reefer vehicles and economic assistance was also extended for setting up modern abattoirs and meat shops, he added.

years.

Global summit would especially boost the state's milk industry with investors commissioning dairies in milk producing hotspots across Jharkhand. That apart, there is a dearth of storage facilities which in turn will also be addressed.

Schemes to boost food processing launched by Govt.

he state government has invited applications for providing assistance to those entrepreneurs, who are desirous of undertaking food processing and related activities under the National Food Processing Mission.

he American burger chain Johnny Rockets, which entered India last year, is seeking funding of around $4 million (Rs 25 crore) to strengthen its footprint in India. As per the sources, the company has given the mandate for the fundraise to Lodha & Co.

untapped market for investors as a large share of its production incurs damage owing to inadequate preservation and processing units. The state which has 40% of nation's minerals also has an average vegetable yield of two million tonnes fit for export, both nationally and internationally. The state has over 92,000 million tonnes of freshwater fish cultivation and is the third largest producer of peas in India, contributing over 9% of the national output. However, Jharkhand faces a 52% deficit in milk production and imports its requirements from Bihar, Uttar Pradesh and Odisha.

According to a VIT release, the objective of this programme is to expose the participants to the key steps in start-up venturing process and equip them with requisite skills, knowledge and competencies to convert their start-up idea into a viable business entity.

he VIT Technology Business Incubator (VITTBI) has launched a free 6-week nonresidential training programme in Food Processing Technology with the aim of equipping students with adequate knowledge to initiate a

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The last date to apply for the programme is January 23. Graduates and diploma holders in engineering, management or science streams with interest in food processing technologies and planning to start a venture can apply for the programme

Vol. 7, Issue 09 -February - 2015

COMPANY NEWS

Gurgaon-based food tech startup YuMist raises $1 million testing, and through use of food science, we can reproduce the best quality food, using the best ingredients, in the shortest time possible," said Abhimanyu Maheshwari, co-founder and chief operating ofﬁcer at YuMist.

ood technology and delivery start-up YuMist has raised about Rs 6.2 crore ($1 million) from venture capital firm Orios Venture Partners, as investors look to participate in the nascent space increasingly been seen as the next disruptive segment. Three-month-old Gurgaon-based YuMist has been founded by Alok Jain, former chief marketing officer of online restaurant search platform Zomato, will use proceeds to further build its technology platform, expand services and towards marketing. "There are no national players in this space, and that too, in a country which has one of the largest food and beverages markets globally," said Jain. The start-up plans to cover all of Gurgaon and the National Capital Region by the end-2015 and to enter the Metros by early 2016. The early efforts in the space have already caught the attention of India's top venture capital firms, such as SAIF Partners, Accel Partners and Matrix Partners, with a number of deals believed to be on the verge of closing over the next few months. Food technology start-up YuMist raises Rs 6.2 crore from VC firm Orios Venture Partners The YuMist model allows consumers to order food on demand through the venture's mobile app, and the company, via its logistics and supply chainfocused technology platform, will deliver food within 30 minutes or less. "We have a centralized kitchen that can serve an entire city. All our recipes undergo rigorous

Internet-ﬁrst restaurants do not have any retail presence and they serve limited locations through a central kitchen. There are different models, though, with start-ups such as Yumist and India Quotient-backed Frsh employing their own chefs with pre-determined menus, while others like Holachef and Eatlo serve as a marketplace for chefs. The distribution models range from building assembly kitchens, distribution centres or a centralized kitchen. "The space is large, and YuMist understands the value proposition the end consumer is looking for. The quality YuMist offered was extremely appealing to us," said Sumir Singh, venture partner at Orios Venture Partners. The YuMist investment is the latest in a series of transactions made by Orios over the last few months. Founded by Rehan Yar Khan, one of the country's storied a n g e l investors, the $50million VC fund has hit the ground running, investing in a number of ventures across the consumer internet a n d technolog y sectors.

Appeal from India on import of US agri products to WTO board over

ndia has appealed to the Dispute Settlement Board of World Trade Organization for a panel decision on its issues with the US over agricultural imports. WTO Secretariat has received a notice by India announcing its decision to appeal certain issues of law and legal interpretation in the panel report in the case 'India -- Measures concerning the importation of certain agricultural products.

India had in 2012 imposed some prohibitions with regard to importation of various agricultural products from the US because of concerns related to Avian Influenza. This import prohibition is maintained through India's Avian Influenza (AI) measures, mainly, the Indian Livestock Importation Act, 1898. The US contended that India's AI measures amounted to an import prohibition that was not based on the relevant international standard or on a scientific risk assessment. The dispute settlement panel ruled that India's AI measures are inconsistent with the Sanitary and Phytosanitary (SPS) agreement because they are not based on the relevant international standards. India claims that the panel committed several legal errors in its interpretation and application of numerous articles of the SPS agreement.

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Vol. 7, Issue 09 -February - 2015

FRUIT NEWS

Hot water treatment for mangoes before export to EU

he National Plant Protection Organisation (NPPO) has now made it mandatory for mangoes to undergo this treatment before they are given phytosanitary certiﬁcates. Thus Indian mango exporters will now have to give their products 'hot water treatment' before exporting them to the European market.

(RPQS) in Mumbai. According to data provided by the Apeda, around 41,280 tonne of mangoes were exported to the Middle East, South-East Asia and the US. For markets in Japan and New Zealand, mangoes from India have to undergo vaporization treatment, the facility for which is available at Vashi in Mumbai. For export to the US, Indian mangoes have to be irradiated. Both these conditions are not necessary for export to the EU, Sudhanshu said. In value terms, the export of Indian mangoes and vegetables to the EU is only around 10% and runs into only a few hundred crores, but some industry observers felt that the ban may harm the image of Indian mangoes in other countries such as the US where there was a record export from India, about 500 tonne last year.

NPPO is a phytosanitary certification authority authorised by the Centre. According to senior officials at the Agricultural and Processed Food Products Export Development Authority (Apeda), the treatment will be available at two existing facilities at Ratnagiri and Sindhudurg in the Konkan region of Maharashtra. Apeda has also sanctioned a new R2.8 crore facility in Mumbai to be established by the Maharashtra State Agriculture Marketing Board (MSAMB) which is expected to be fully functional before the start of this season, Sudhanshu, head of the western region of Apeda, said. NPPO officials will inspect consignments at the Apeda-approved packhouses before issuing the certificates, he said. Apeda has some 8 registered packhouses in Maharashtra. EU lifted the ban on Indian Alphanso bringing cheer to mango growers in India. Mangoes, eggplant, two types of gourd and the taro plant from India were banned by the European Union following concerns raised about high levels of contamination, mainly from non-European fruit flies. The emergency measure came into effect on May 1, 2014 and the ban was supposed to stay till December 2015. However, it was lifted earlier. Last year, around 310 tonne of mangoes were cleared by the Regional Plant Quarantine Station

Signiﬁcantly, last year, maximum quantity of mangoes went to France, Germany, New Zealand, Switzerland and the UK. Other markets include Saudi Arabia, Oman, Kuwait, Singapore, the UAE, Hong Kong, and Bahrain. Ajit Gogate, chairman, Devgad Taluka Amba Utpadak Sahakari Sanstha, a society of 700 farmers growing Alphonso in Sindhudurg region, said the decision to lift the ban was welcome but a majority of the farmers sent their produce to Mumbai from where exporters lifted their produce. Like last year, this year as well, mango production has been affected by unseasonal rains and this could result in a late start for the mango season in 2015. Estimates say around 30% of the area has been affected.

storage and other facilities for these veggies and certiﬁes that basic standards with regard to health and hygiene are up to the mark. While the government did not specify any time span, the minister indicated that it would happen soon. Lifting of the ban will c h e e r vegetable exporters to t h e European market who had to look at other foreign shores and t h e domestic market to sell their produce.

Commerce minister Nirmala Sitharaman told reporters that the government is hopeful of the ban on the four Indian vegetables being lifted soon. While the government is expecting early developments on this front, a decision from the EU will only come after an expert team of the commission's Food and Veterinary Ofﬁce visits

limate changes such as less snowfall and temperature ﬂuctuations seem to be taking their toll on apple production in Uttarakhand. Apple farmers in the higher reaches of the state are shifting to other fruits such as

needs urgent remedial measures. While geographical and climatic conditions of Uttarakhand are suitable for apple production, adverse weather conditions like inadequate

India produces 1,63,37,400 tonne mango every year and is the largest producer in the world. A recent study said that EU imports over 224 million kg of mangoes with a value of approximately 265 million euros. The Gulf accounts for 20% of the Indian export market. This year onwards, Apeda has also begun online registration of mango orchards wanting to export to overseas markets on the lines of 'Grapenet', a facility that registers grape vineyards for being eligible for exports. Called 'Mangonet' the new facility will register mango orchard owners and till date around 2,000 orchards in Ratnagiri, Raigad, Sindhudurg and Pune have registered.

Indian govt expecting EU to lift ban on four more vegetables

he Indian government is expecting the European Commission to remove the ban on shipments of four vegetables — bitter gourd, brinjal, snake gourd and taro — from India soon after it lifted restrictions on import of mangoes.

Climatic changes make Apple growers to shift to peach, plum in Uttarakhand

The ban was imposed last y e a r, j u s t ahead of the m a n g o season, and was seen as a form of retaliation by the trading bloc to Indian food safety authority's decision to restrict shipment of some consignments of chocolates, wine and scotch as they did not meet the labelling requirements.

peach and plum that require lesser cold conditions. More than 98 per cent of the country's apple is cultivated in the north western region covering the states of Jammu and Kashmir, Himachal Pradesh and Uttarakhand. Though Uttarakhand's contribution to the total apple production in the country is just 3.7 per cent, the state horticulture authorities have been making all efforts to increase the area under apple cultivation, but are facing climate change challenges. In the recent past, it has been observed that due to declining snowfall in many hill districts, apple growers are shifting to cultivation of stone fruits such as peach, plum and apricot that require less chilling. In the apple famous Ramgarh belt of Nainital district, the crop has been successfully replaced by peach, which interestingly is even fetching farmers good prices in the markets of Delhi and Mumbai. At present, 33.76 hectares are under apple cultivation and 90 per cent of this area is rain-fed, which further affects apple productivity. According to a study done by Dr BS Negi, Dr Ratan Kumar and Dr Surbhi Pandey, all from the Uttarakhand Department of Horticulture and Food Processing, climate change is certainly impacting apple production in Uttarakhand and

rainfall, occurrence of hailstorms during flowering and fruit development and temperature fluctuations were hampering the production of apple, leading to financial insecurity among the fruit growers. To mitigate the climate change impact on apple cultivation, the study recommends promotion of small weather stations and a meteorological observatory over 1,500 metre altitude to monitor changes in climate in the apple growing areas. It also suggests horticulture research institutes and universities to focus on the development of suitable varieties and technologies of climate resilient horticulture for a temperate fruit like apple. It also calls for the selection of an apple variety for a place after considering long-term aspects of climate change in the region. It also suggests maintaining apple variety-based performance data to see the extent of damage to a particular variety due to extreme climate changes. Significantly, India stands fifth among the world's top 10 apple producing countries. Jammu and Kashmir contributes 70 per cent of the total apple production of the country and Uttarakhand can contribute a lot more by adopting strategies to reduce the impact of climate change.

Ban on import of mangoes from India lifted by European Union

ndia's Alphonso mangoes will return to European market after the European Commission voted to lift a ban imposed on imports last year. The ban on imports of four

lower prices. For local consumers, the price of the premium variety of mangoes may go up as exports will reduce the availability in the Indian market. The latest decision came after a team of the commission's Food and Veterinary Office visited India in September to inspect pack houses and verify improvement in plant health controls and certification system. Following the unanimous vote lifting the ban on mango imports, it said "there has been significant improvements" in India's mango export system.

vegetables - bitter gourd, brinjal, snake gourd and taro - from India will, however, stay for now. Lifting of the ban will cheer mango exporters who had to look at Gulf countries and the domestic market to sell their produce last year at

Beverages & Food Processing Times

The Food and Veterinary Office, in its report, agreed that India has taken several measures to guarantee safe exports, including enhancement of capacity and number of inspecting staff, improvement in infrastructure and implementation of a standard operating procedure. The ban had been imposed because of "significant shortcomings" in the certification system for such products.

Vol. 7, Issue 09 -February - 2015

BISCUIT & SANACK NEWS

Britannia Industries hits new high

hares of Britannia Industries has rallied nearly 4% to Rs 1,949, also its record high on the National Stock Exchange (NSE), in otherwise subdued market.

The stock has outperformed the market by gaining 16% from its recent low of Rs 1,675 touched on December 17, 2014, after the Union Cabinet cleared the Goods & Services Tax (GST) Amendment Bill. The benchmark CNX Nifty gained 1.4% during the same period.

Meanwhile, analyst at Nirmal Bang expects Britannia Industries to report healthy operating proﬁt and net proﬁt growth for the OctoberDecember quarter (Q3FY15).

Mondelez signs lease for new Bahrain plant

ondelez International now has a lease agreement for a new biscuit factory the company will build in Bahrain, announced originally in October 2014. The initial investment is $90 million, and the

The new Bahrain factory is just one in a series of ongoing measures meant to reinvent the company's supply chain, which also includes a recent plant expansion in Turkey. These efforts will reportedly mean $3 billion in gross productivity savings, $1.5 billion in net savings,

“We expect 13% year-on-year (YoY) increase in consolidated sales to Rs 2,030 crore. Consolidated gross margin increase of around 70bps YoY in Q3FY15 and unusually higher advertising and promotion spending in base quarter 3QFY14 is expected to result in a 84bps YoY consolidated EBITDA margin expansion to 9.7% and 23.6% YoY consolidated EBITDA rise to Rs 198 crore in 3QFY15,” analyst said in a report. Healthy EBITDA growth YoY will lead to healthy net proﬁt as well, which is expected to grow 25.2% to Rs 126 crore, he adds.

Mondelez Adds belVita Bites to Biscuit Lineup

lease agreement includes 250,000 square meters of land in the Salman Industrial City. The factory, which will handle increasing demand in the Middle East and Africa, will begin commercial operations in early 2016 and is estimated to create about 300 jobs.

ondelez International Inc. has rolled out belVita Bites Breakfast Biscuits, which join the existing belVita crunchy lineup in two ﬂavors--chocolate and mixed

berry.

"Mornings are a particularly busy time. The opportunity to enjoy a sit-down meal just isn't there these days," said Mikhail

Chapnik, senior brand manager for belVita. "We are excited to offer our consumers a quick, on-the-go and nutritious breakfast choice that can be enjoyed no matter how busy their schedules. The portability and poppability of belVita Bites Breakfast Biscuits make it simple and fun to enjoy while on-the-go as part of a complete breakfast.” Each 50g serving of belVita Bites Breakfast Biscuits contains 230 calories, 20g of whole grain and 4g fiber2, and should be eaten with a serving of fruit and low-fat or non-fat dairy for a balanced breakfast. belVita Bites are available in retailers nationwide for a suggested retail price of $3.69 per box. The belVita brand introduced its first breakfast biscuits in France more than a decade ago and is now available in more than 40 countries around the world. The crunchy biscuits contain slow-release carbs from wholesome grains to help fuel the body for four hours. They provide 18 to 20 grams of whole grains per 50 gram serving. For those who prefer a soft texture, belVita Soft Baked Breakfast Biscuits provide 20% of the Daily Value of Fiber2 and are made with 11 grams of whole grains per 50g serving. Both varieties of crunchy and soft biscuits contain no highfructose corn syrup, partially hydrogenated oils or artificial flavors or sweeteners. Deerfield, Ill.-based Mondelez International is a global snack company, a world leader in chocolate, biscuits, gum, candy, coffee and powdered beverages, with billion-dollar brands such as Cadbury, Cadbury Dairy Milk and Milka chocolate, Jacobs coffee, LU, Nabisco and Oreo biscuits, Tang powdered beverages and Trident gum.

Beverages & Food Processing Times

and $1 billion in incremental cash over the next three years. Mondelez Integrated Supply Chain executive vice president Daniel Myers said, "We're implementing several such initiatives around the world to capitalize on growing demand, while also reducing costs and improving productivity."

Vol. 7, Issue 09 -February - 2015

AGRO NEWS

Agri Minister goes all for reducing gap between farmer-krishi kendra

nion Agriculture Minister Radha Mohan Singh expressed concern over the “huge” gap between farmers and Krishi Vigyan Kendras (KVKs) and stressed the need to improve infrastructure of kendras.

In a pre-budget meeting with Finance Minister A r u n J a i t l e y, e x p e r t s s o u g h t e a r l y implementation of the BJP's election manifesto promises to ﬁx higher support prices and the setting up of 'Kisan TV' channel.

Tthe Union Minister said youths must be encouraged to takeup agriculture and the scientist selection process be made more effective, while Inaugurating a two-day brainstorming programme on optimising talent search for the national

Some experts also sought a separate "agribudget", establishment up of a debt recovery tribunal for farm loan disputes and scrapping of interest-subvention on farm loans.

agricultural research and education system at NDRI by Agricultural Scientists Recruitment Board (ASRB).

"It's a long list of small things. We advocate small investments that chip away at the rough edges rather than grand gestures that don't amount to much," Bharat Krishak Samaj Chairman Ajay Vi r J a k h a r s a i d i n h i s memorandum of suggestion placed in the meeting.

He said, the Agriculture Ministry would introduce soil health card to farmers to improve production and launch the PM Village Irrigation Scheme to increase availability of water.

Seeking lifting of restrictions on farm exports, he said that there should be maximum import duty on fresh fruit and vegetables, cooking oil and other commodities to protect domestic farmers from price fall.

He said two National Breeding Centres would be set up — one in South India and the other in North India — to augment breeding of dairy animals. He called upon scientists to adopt a village and visit it regularly to update farmers about crops and new technologies for better yield and production.

He also demanded funds for agri research and development to be raised to 1 per cent of the sector's GDP, special focus on fodder and agroforestry besides funds for increasing agri-market yards.

He also announced a Horticulture University for the state and said land for the same would have to be given by the state government. Sanjeev Kumar Balyan, Minister of State, Agriculture, stressed upon the need to attract researchers and scientists of Indian origin working premier foreign laboratories. “The ASRB should frame policies to attract such talent as part of brain gain,” he said. 'Hooda govt wasted Central funds for farmers' in Chandigarh. Union Agriculture Minister Radha Mohan Singh said the previous state government did not spend a large chunk of Central funds released for farmer welfare. Presiding over a meeting of ofﬁcers of the agriculture and allied departments, Radha Mohan urged them to submit reports on funds utilised under various schemes on a daily basis to the Centre to ensure speedy implementation. Reviewing the progress of various schemes, he asked ofﬁcers to update themselves on the utilisation of funds on a daily basis. The Union Minister said a group of 50 farmers should be sent to the National Fisheries Development Board, Hyderabad, for training and skill development. Expressing concern over falling prices of commodities, agriculture experts asked the government to help check cheap imports, provide higher support price and boost investment in the sector.

Putting forth the concerns of coffee, tea and rubber growers at the meeting, the United Planters' Association of Southern India (UPASI) President Vijayan Rajes said he has sought quantitative restrictions or safeguard duties to curb rubber imports, thereby arrest sharp fall in rubber prices. He also demanded some funds to import technological tools for coffee growers in the backdrop of falling arabica coffee variety production. UPASI also asked for concessional duties on farm implement to help plantation growers. The Modi-government is not focusing much on agriculture, Consortium of Indian Farmers Association (CIFA) Secretary General Bojja Dasaratha Rami Reddy told reporters after the meeting. "In the last seven months, the NDA government has done nothing in the area of agriculture. It has not yet implemented 50 per cent proﬁts to farmers on cost of production. It has not yet launched Kisan TV channel. We have asked for early implementation of their promises," he said. The CIFA also recommended a long-term importexport policy, a separate 'agri-budget' and concessional import duties on farm implements.

salinity.

griculture Minister Radha Mohan Singh said, the NDA government is according priority to the farm sector by allocating large funds for its growth and is no way promoting only the industry.

"Since day one, the government's prime focus has been agriculture. Had priority not given to this sector, the government would have not sanctioned higher funds for rainfed areas, established more institutions and central varsities," Singh said when asked whether the current government's focus has been more on industries and not on the agriculture sector. Speaking on the topic: "Challenges and way out to achieve agriculture growth of 8%" at an Assocham event, Singh said, "while some states like Gujarat, Madhya Pradesh and Chhattisgarh have achieved more than 8% annual agri-growth in the last few years, the Centre is taking measures to ensure other states too achieve such levels.” Higher growth in agriculture is possible if bottlenecks are addressed and "more measures would be outlined in the coming Budget" towards

ood Processing Minister Harsimrat Badal has assured the industry that her ministry will try to keep perishable agri products outside the purview of the GST.

Badal who met the industry delegation led by PHD Chamber President Alok B Shriram further said the GST is likely to have minimal impact on the food processing sector. The Ministry of Food Processing Industries has assured that the sector would have the minimum imposition of Goods and Service Tax as and when it is rolled out and it would be its attempt to keep perishable agri

To ensure ample supply of water to farm land, he said the Centre has ﬁnalised the "Pradhan Mantri Krishi Sinchayee Yojana (PM irrigation scheme)" and mostly likely would be launched this month. The government has also set aside funds for improving agriculture marketing and focus would be on setting up e-marketing at mandi levels and also set up buffer stock of horticulture produce to check price rise, he added. Speaking on the occasion, Minister of State for Agriculture, Mohanbhai Kalyanjibhai Kundariya, said that "the agriculture is the growth engine of the overall economy" as more than 50% of the population depend on farm and other allied activities. A major push is being given to issue soil health cards to farmers so that they are aware of the quality of soil and use right fertilisers. "This will not only reduce their cost on fertiliser but also enhance crop productivity," he added. Inviting industry players to invest in his state, Bihar Agriculture Minister Narendra Singh said: "Not to worry, the law and order situation has improved in the state. We will give land, electricity and all other facilities to help you establish here.

products outside the purview of the GST," according to a PHD Chamber statement. A single rate GST will replace central excise, state VAT, entertainment tax, octroi, entry tax, luxury tax and purchase tax on goods and services to ensure seamless transfer of goods. The government had introduced the GST bill on December 19 in the Lok Sabha. In the meeting, the minister also indicated that the government is likely to extend preferred policy options for the food and food processing sector including agri business, the statement added. Meanwhile, the delegation also pressed for its execution as promised by the government by April 2016 and also requested that fair and effective food standards be evolved to ensure its quality and exports.

Monsanto eyes speedy plant breeding, research in works

onsanto announced it is developing a faster plant breeding process. "By 2018 we expect our new hybrid testing should

Because commercial soybean crops are often sensitive to soil salinity, many are lost each year. This research is especially promising for soybean farmers as the amount of agricultural land affected by high soil salinity is predicted to double in the next 35 years. Monsanto is a big name in soybeans, and just last week it announced earnings that topped analysts' predictions, namely due to high sales of soybeans that made up for "a weaker corn market." Monsanto also recently announced that it will begin selling a new breed of GMO soybean seeds in 2016, though some suggest this may not have much of an effect on the food supply.

this direction, he added. Amid constraints to expand water and land resources for agriculture in the country, the Minister said the government has approved Rs 568.54 crore to issue soil health cards to over 14 crore farmers in the next three years.

Harsimrat Badal assures industry to keep perishable agri-products outside GST

Senior ofﬁcials of the ministries of agriculture and ﬁnance were at the meeting that had about two dozen experts, research and farmers bodies.

Soybean gene may make crops more salt-tolerant ustralian and Chinese researchers have uncovered a soybean gene that could make the crop more tolerant of soil

NDA government is according priority to the farm sector says Agri Min

be more than six times our current rate," said Chief Technology Ofﬁcer Robb Fraley. Faster plant breeding means that the company can produce new higher-yielding seeds that need

Beverages & Food Processing Times

fewer acres at a faster rate to beneﬁt farmers. Monsanto also believes this more rapid seed development could lead to more "speciﬁc targeted breeding opportunities," says Fraley, which could mean new seeds that better adapt to their environments and thus can be grown in more places around the world, for example. Just last week, the USDA approved Mons anto's herbicideresistant soybean and cotton seeds, and two weeks ago the company was in the news with higher-than-predicted soybeans sales. But for a long time now, Monsanto has been at the forefront of the GMO debate, the prevention of which has been introduced as possible legislation across the U.S., including Oregon and Hawai.

Vol. 7, Issue 09 -February - 2015

BEVERAGE NEWS

4-5% workforce under its cost-cutting drive by Coca-Cola India

oca-Cola India is expected to lay off 4%-5% of its workforce as part of its Atlanta based parent's move to cut up to 1,800 jobs globally. "We are redesigning our operating model to streamline and simplify our structure and accelerate growth. This redesign work will result in impacts to jobs across our global operations including in India," a company spokesperson said in response to ET's query. Coca-Cola India employs about 250 people. Coca-Cola Company had last week announced plans to cut 1,6001,800 jobs, or about 1% of its global workforce, as part of a drive to cut annual costs by $3 billion in coming years overcome sluggish sales and pressure on profitability. The job cuts will not impact its India bottling arm Hindustan Coca-Cola Beverages, which employs over 12,000 people. Coca-Cola India is involved with functions such as marketing, finance, legal, human resources and communications, besides selling its concentrate to bottling partners. Besides job cuts, the firm is looking at measures such as merging marketing functions of separate verticals such as juices and colas, clubbing teams that deal with restaurants and retailers separately, and merging noncore businesses such as Georgia coffee within existing verticals. At present, there are separate verticals to manage its juices portfolio of Minute Maid and fizzy drinks including Coca-Cola and Thums Up cola, Sprite lemon drink and orange drink Fanta. There are also separate commercial functions for interacting with trade partners such as McDonald's and Subway restaurants that sell Coca-Cola beverages, besides those which service retailers such as Big Bazaar and Spencer's. These may also be combined to synergise operations and trim costs. The company spokesperson said details are still being worked out. "Since we are still working on the redesign, we do not fully know the impact of this process yet. We have, however, committed that we will ensure fair and equitable treatment of our people throughout this process," he said. Coca-Cola India plans to increasingly offload functions like supply chain and interacting with trade partners and bottling partners, while keeping functions such as marketing, HR, finance and legal. Rival PepsiCo had recently divested its bottling functions in North and East India to its bottling partner Ravi Jaipuria to focus on marketing and bring down overhead costs. Coca-Cola chief executive Muhtar Kent had in October announced that the firm will save $3 billion in annual costs. The firm has already told all its officials including those holding the post of VP and above to travel in economy class in domestic flights and bring down the number of offsites.

Craft and fusion are next steps for cider brands

hile the cider market has undergone a revolution over the last two decades, consumers still see cider as a b e v e r a g e t h e y o n l y t u r n t o o c c a s i o n a l l y. Manufacturers need to do more to enhance the appeal of cider in the UK – and craft production and sensory fusion is the way to success. A total of 19% of UK consumers have drunk cider in the last six months, but 57% of those cider drinkers only do so occasionally, a new consumer survey by Canadean reveals. The key challenge for manufacturers is to enhance the premium and experiential credentials of cider to make the beverage more compelling. The survey shows that, despite the UK cider market being worth £4.0 billion in 2014 (up from £3.2 billion in 2010), more can be done to further increase sales by offering artisanal or mixed ciders. Two-thirds (62%) of cider drinkers say that they would be interested in craft ciders, with the desire for such products highest among younger adults. Raquel Perez-Lopez, analyst at Canadean, says: “The concept of craft cider refers to artisanal brands that are positioned around purity, high quality ingredients and extra care in the production process. Attributes such as authenticity, craftsmanship and quality appeal to consumers who are looking for something extra in their beverages – and cider is no exception here.” Another option for the cider market is to enhance sensory appeal by fusing cider with other alcoholic beverages such as wine and spirits. A total of 41% of cider drinkers say that they are interested in fusion products, again especially younger adults. Perez-Lopez says: “Fusion cider offers something new and exciting and appeals to the trendsetting consumers. Long gone is the perception that cider is a low cost, high ABV beverage and instead it is now seen as a trendy drink.”

Beverages & Food Processing Times

Vol. 7, Issue 09 -February - 2015

FOOD SAFETY NEWS

USDA approves Monsanto's new GMO soybeans and cotton seeds

grochemicals ﬁrm Monsanto has received approval from the US Department of Agriculture (USDA) for its new soybean and cotton seeds that are resistant to a broader range of herbicides.

from the Environmental Protection Agency to use the herbicide. "The pesticide treadmill spins on, and that's great news for Monsanto.” In addition, Monsanto is also waiting for Chinese regulators' approval to import new soybeans. Recently, Monsanto chief technology ofﬁcer Robb Fraley told analysts that the company is expecting to have Chinese approval in time for a commercial launch in 2016, Reuters said.

FDA to implement food safety rule

he US Food and Drug Administration is set to implement new food safety legislation across the country. FDA's Seattle district compliance director Miriam Burbach said that this will see the phase two implementation of the Food Safety Modernization Act, Capital Press reported.

Meanwhile, environmental and consumer groups have opposed this, saying the use of more herbicides on weeds will only increase weedresistance over the long-term. According to USDA's Animal and Plant Health Inspection Service (APHIS), these genetically modiﬁed plants are granted 'non-regulated' status, Reuters reported.

Food issue research group US Right to Know executive director Gary Ruskin was quoted by the news agency as saying: "The pesticide treadmill spins on, and that's great news for Monsanto.

The new seeds have been developed to resist a new herbicide that combines dicamba and glyphosate, a weed killer marketed by Monsanto under the Roundup brand. These seeds claim to combat the millions of acres of weeds that have grown resistant to Monsanto's glyphosate-based Roundup.

"This is just the latest in an endless string of favors from our federal government to Monsanto." In November, Monsanto reached a settlement with the soft white wheat farmers in the Paciﬁc Northwest who sued the company after discovering the unapproved genetically-modiﬁed wheat on a farm in Eastern Oregon.

FDA said this law will ensure the safety of US food supply by shifting the focus from packaging, abnormal coloring and odors, bruising and, in the case of seafood, adding water to make responding to contamination to preventing it. the ﬁsh appear to weigh more than it does.

“We really see the agriculture community as a primary constituency, a collaborative partner."

suggest.

China has experienced a string of stomachchurning food scandals in recent years. The most high-proﬁle recent case involved a U.S.owned meat factory operating in China that was accused of selling out-of-date and tainted meat to clients including McDonald's, Starbucks, KFC and Pizza Hut chains. "We see awareness growing but we don't see on the ground a concrete improvement yet -- it will come," Labasse said. Labasse said the extremely fragmented nature of China's food chain -- the country has 500,000 food production and processing companies, 70% of which have fewer than 10 employees -- made it very difﬁcult for authorities to control and foreign buyers to understand.

Labasse, AsiaInspection's vice president. "We ﬁnd factories that just have no basic idea about hygiene standards. People that handle the food, they have no gloves, nothing.” Labasse said there was a host of reasons for the failings. In some cases, laboratory tests found abnormal levels of pesticides, antibiotics, heavy metals, bacteria or viruses that could put consumers at risk. Other transgressions included mislabeling

As part of the process, companies will receive 'regulatory incentives' to comply with the rules, while farmers are expected to get at least one year to comply with the ﬁnal regulations after they are published. Taylor was quoted by Feedstuffs as saying: "Our operating assumption is that most people want to do the right thing. We'll get a bigger public health bang for our buck if we're working together with stakeholders on implementation.

Why Chinese food safety is so bad

Quality control specialist AsiaInspection said 48% of the "several thousand" inspections, audits and tests it conducted in China last year failed to meet the requirements stipulated by some of its clients -Western food trading companies and retailers. “There are horror stories, obviously," Mathieu

According to FDA Deputy Commissioner Mike Taylor, the agency will be focusing on three broad themes such as the farm-to-table approach, practical common standards, and holding imports to the same standards as domestically produced foods, Feedstuffs said.

US President Barack Obama signed the FDA Food Safety Modernization Act (FSMA) into law in January 2011. This is claimed to be the most sweeping reform of country's food safety laws in more than 70 years.

However, the company is yet to get ﬁnal approval

lmost half of Chinese food-processing plants fail to meet internationally acceptable standards, new ﬁgures

"We'll get a bigger public health bang for our buck if we're working together with stakeholders on implementation.”

Japanese ﬁrm recalls baby food after insect found inside

sahi Holdings subsidiary Wakodo has recalled thousands of baby food pouches in Japan after a customer found a cricket inside one.

unlikely to have occurred during the manufacturing. The company has not experienced similar incidents at its factory over the past year.

The news comes a day after a human tooth was discovered in some McDonald's French fries elsewhere in Japan.

Wakodo also said that it was also unlikely for a cricket to be cooked and remain in complete form inside the pouch considering the heating and mixing procedures. In a separate incident, supermarket chain operator Sendo in Chiba said that they recalled minced meat after a customer found a piece of metal in the product.

"Companies like McDonald's or KFC are dealing with their suppliers at arm's length. So they know well the people they communicate with on a daily basis but they don't know what's going on behind the scenes," said Labasse. "The buyers are focusing their efforts on the people they signed a contract with but they should take the extra step and take control of the full supply chain and going as far as the third or fourth level of supplies.

The company said that it had not received any reports of injury from the piece of metal that was a part of its mincer.

Government and FSSAI working together to reorganize process for approval of food items

h e Union Health Ministry along with the Food Safety and Standard Authority is working to streamline the process for time-bound approval of food products. "This will not only clear the approval of several pending proposals for food products but will also give the much needed push to the domestic food processing industry," Union Health Minister J P Nadda said while stressing that there should not be any compromise with quality and safety of the food products.

Nadda also emphasised that manufacturing process adheres to standards and procedures under the mandate of the Food Safety and Standard Authority (FSSA) Act 2006 to ensure that the food that is consumed is safe, healthy and wholesome. Various issues pertaining to regulation under the FSSAI Act 2006, including the mechanism for 'product approval were discussed at a review meeting, where stakeholders from the food processing industries, Secretary, Department of Food Processing, Chairman & CEO, FSSAI and ofﬁcials of Union Health Ministry were present, according to a statement issued by the Ministry.

Wakodo apologied for the incident and announced it would be recalling an estimated 120,000 bags of the meat-and-potatoes mix. The company received the complaint last month from a customer who purchased a pouch in Tochigi, north-east of Tokyo. "Wakodo apologied for the incident and announced it would be recalling an estimated 120,000 bags of the meat-and-potatoes mix.” It added that it could not determine how the cricket got inside the package, but that it was

Nadda also stressed on the need to have safe and wholesome food, and local manufacturing of food products under the 'Make in India' campaign of Indian government.

Beverages & Food Processing Times

There were also reports of a 1.2cm nail being found inside a package meal delivered by Watami Takushoku, a group company of Watami, in October. A spokesman for Watami was reported by the Wall Street Journal as saying that the bento box the nail was found in was made at a factory in Niigata prefecture, but the nail did not come from any of the machinery there. The company said it had not been able to determine how the nail got inside the product, and had not ruled out tampering by a third-party.

Vol. 7, Issue 09 -February - 2015

Beverages & Food Processing Times

Vol. 7, Issue 09 -February - 2015

COLD CHAIN

CURRENT AND FUTURE TRENDS IN 1.INTRODUCTION Compared to many other industries, the industrial refrigeration industry, is often claimed to be “old fashioned”. Compared to some industries, the development within industrial refrigeration moves slowly, however, taking a look back, many new applications, product and methods has been implemented over the last years.

Dear readers, every month I come up with fresh news regarding the food processing industry, my basic motive is to enlighten you about the status, achievement and development of this novel industry that is fast becoming one of the top notch industries in India. With Obama's visit on the republic day along with many promises of investment I think food processing industry is all set to gain from the “Make in India” crusade. The United States President Barack Obama said. “These investments are is just the beginning”, hope fully the end will be too good to believe. Nevertheless, today with all the furor created by the American President's visit, I thought I need to focus my editorial on the Indo-US rapport and business association.. President Barack Obama's visit to India has helped in formation of a new commercial relationship between India and America. The conclave of Indian and American CEOs has shown a strong confidence about India. The desire of American businesses to invest in India has increased manifold. With the American economy growing stronger, US corporate are flush with funds looking to invest elsewhere and of course India seems to be high on their schema. Indian Prime Minister Narendra Modi and Obama met business honchos from both sides, during the US president's three-day visit to India Jan 25-27. Both internal and external factors favour India. The United States is undoubtedly the principal engine of global economic growth. Its growth rate is moving up. Brazil, South Africa and Europe are facing challenges. China has realistically accepted that 7 per cent growth rate is their new normal. The IMF (International Monetary Fund) considers this figure as more than normal. Most competing economies are facing serious challenges; India is promising to accelerate its growth. Hope has revisited India and we should not allow obstacle or contentment to squander this opportunity. Amid all this forward looking and friendship certain logjam seem to linger also, as disagreements flared up between the US and India at the first informal meeting to find a permanent solution on public stockholding for food security in developing countries. The G-33 countries led by India and including China want public stockholding for food security purposes to come under the "Green Box" -- domestic support for agriculture that causes minimal or no trade distortion.

HISTORICAL ASPECT OF INDUSTRIAL REFRIGERATION

A historical analysis of the major changes in the industrial refrigeration industry shows that several changes have taken place over the last years. 2.1 Increased safety requirements In the mid-nineties, al lot of new safety requirements was introduced, mainly in Europe. One of the reasons for these activities was that the world has been witness to a number of major accidents on chemical installations. One of these accidents was the Seveso accident in 1976 in Italy. The European Union initiated a lot of activities, in order to avoid similar accidents. The ﬁrst visible evidence was the Directive 82/501/EC, which was a law aimed to improve the safety IIR Ammonia Refrigeration Conference – Ohrid 2013 of sites containing large quantities of dangerous substances. It is also known as the Seveso Directive. This directive has later been replaced by the Seveso II Directive. For the refrigeration industry these safety initiatives has led to a number of safety regulation. The PED (Pressure Equipment Directive 97/23/EC), is the most important EU standard for the design and fabrication of pressure equipment. When products are in compliance with the PED, it also ensures the free movement of pressure equipment across the European countries. A number of harmonized standards, supporting standards, with speciﬁc focus have furthermore been developed, to ensure that all parts of refrigeration systems meet all safety requirements. The requirements in the PED have caused several changes of the equipment used within the refrigeration industry. Before the PED was brought into force, it was

During a number of years, a lot of refrigeration contracting companies have been merged into larger companies. Global refrigeration companies have been founded. In order to be able to serve all these different companies, the requirements to the equipment and component manufactures has also been changed in the same period. Global contractors require global products, and global support, in order to be effective globally. 2.3 Increased focus on “Total Cost of Ownership” (TCO) Increased efﬁciency is a very broad issue, and consists of many different elements. First cost First cost is not just the price of equipment and products; it is the total cost for all activities required, incl. indirect cost related to the project, from project start to up to the system is operational. The unit cost for the equipment and products is one of the elements; however this is not the only one. − The cost of the right solution for the application. − The cost to select the right components. − The cost to bring the product on site and install and adjust it. − Cost of waiting time. − Getting the permission to build project − Etc. Short delivery time and complete deliveries The refrigeration system in a new cold store or slaughter house is not the most important in a new project, however the total cost of the project is important. As a consequence of that, it is very important that equipment for complete installations can be delivered with short notice and that the installation time can be minimized. With global customers, this put the equipment and component manufactures under increased pressure, to fulﬁll the customer requirements worldwide. Operation cost With increased focus on energy consumption, operation cost is an important issue. Several factors are affecting the running cost of large

Under current WTO rules, developing countries are subject to only minimal disciplines on agriculture subsidies. Other countries, including the US and Australia contend that price support is by deﬁnition market distorting. The US said that "members cannot create a loophole in discipline" and are disappointed that the G-33 -- a group of developing countries that coordinate on trade and economic issues -- resubmitted a proposal that was rejected. India, on its part, argued that the proposal was never rejected. The EU said there are "legitimate concerns" both of food security and trade distorting impact. The main element of the G-33 proposal is that acquisition of stocks of foodstuff by developing nations with an objective of supporting low-income producers should not be included in the calculation of Aggregate Measurement of Support (AMS), or the so-called "trade distorting domestic support." Even though developing countries are allowed agricultural subsidies, another major area of concern has been the calculation of the AMS-- the difference between procurement price and the external reference price is treated as a subsidy to the farmer and included in the AMS. The external reference price is still calculated on the 1986-88 prices. Since food prices domestically and internationally have dramatically risen since the time, it effectively limits the government's capability to provide schemes for their small farmers. India had caused much commotion among developed nations last year when it blocked the Trade Facilitation Agreement- for cutting down red tape in global trade-- so its food security programme will not be challenged under WTO rules. India's Rs 12-billion food security programme, which is binding by law, is a key welfare measure aimed at delivering millions out of poverty by providing subsidies to consumers through the PDS, and the producers of food grains and also through subsidizing through inputs like electricity. The blockage was broken by an interim peace clause in November 2014 that legally protected existing stockholding programmes of developing countries if purchases at government- set prices take the countries' above the limits they have agreed for trade-distorting domestic support. Well that is all I can think right now to discuss about the peculiar relationship between India and America, which seems to be quite tangled, while you see the head of both nations hugging each other , we also witness both countries disagreeing on other issues. But for now I need to go and tackle other issues…..till we meet again.

common to manufacture valves in cast iron, but with the new requirements, this is not possible anymore. All these increased safety requirements has mainly affected equipment for refrigerants which are toxic and/or flammable. In particular Ammonia equipment has been affected, due to the fact that Ammonia is classified as toxic and moderately flammable, and due to the facts it is used for large size installations, the most demanding requirements are requested. Safety requirements for operation of refrigeration systems are generally covered by national legislation, however with the development of European Standards, like EN 378, a very comprehensive set of requirements and recommendations has been implemented, and accepted by several national authorities. 2.2 From local to global

Beverages & Food Processing Times

industrial refrigeration system. One of the most important factors is the system design: − 1 or 2 stage Ammonia system − Ammonia/CO2 cascade system − Ammonia brine system − Other When the system design is selected, there is still several different ways to control the system. Selecting the wrong solution may result in extensive additional running cost compared to an optimized solution. High pressure losses in suction lines, due to wrong selection or inadequate control method, are just a couple of examples which may result in increased energy consumption during operation. Maintenance cost Maintenance cost is normally not the most

Vol. 7, Issue 09 -February - 2015

COLD CHAIN

AMMONIA REFRIGERATION SYSTEMS AND CONTROL COMPONENTS For Europe the European Union have setup an ambitious climate and energy target for 2020, known as the "20-20-20" targets.

important in the design phase of a new installation, however a robust and reliable products with minimum maintenance is important. The most important is not the maintenance itself, but reduction of downtime of the installation. One element that supports this target is the introduction of modular and integrated valve solutions. 2.4 “New” refrigerants New refrigerants within industrial refrigeration are not very common, but a couple of “old” refrigerants have been re-introduced. e.g. CO2 and Hydro Carbons The number of industrial refrigeration system with CO2 has increased considerable over the last 10 years. Ammonia is generally a well-proven and effective refrigerant, but unfortunately it also has a couple of negative features. Due to Ammonias classiﬁcation as toxic, there are a number of restrictions which is important when designing Ammonia systems. − Generally it is favorable to limit the Ammonia charge in the system, in order to minimize the safety precautions. Due to the low density of Ammonia, the efﬁciency of Ammonia systems becomes less attractive at low temperature, compared to e.g. Ammonia/CO2 cascade system.

2.5 New applications The increased focus on energy cost has brought more attention on re-use of energy, in particular within industrial processes, this has increased the focus on Ammonia heat pumps, operating at high pressure. Applications with Ammonia for high temperature has been limited, due to the lack of suitable components, but recently components with higher pressure and higher temperature ratings has been made available on the market.

2.6 Environmental requirements The increased focus on reducing t h e u s e o f refrigerants with an environmental impact, has led to an increased focus on tightness on refrigeration components. This trend has been spread, so it today c o v e r s a l l refrigerants. In the past most i n d u s t r i a l refrigeration components were mounted with ﬂange connections, but over the last years, there is a trend towards direct welded valves, in order to minimize the leakage potential.

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− Raising the share of EU energy consumption produced from renewable resources to 20%; − A 20% improvement in the EU's energy efﬁciency.

Components for 90 bar are attractive in CO2 systems, due to the fact, that this would ensure that the system pressure during stand-still will not increase above the maximum working pressure, and thus backup cooling system would not be needed. However it is not likely, that the larger refrigeration valves and components will be available for 90 bar, in the near future. Increasing the pressure above 65

− Motorized Valves can be conﬁgured and control to match load requirements. − Motorized Valves provide their own source of power and do not rely on system pressure or pressure differential to function. − On suction lines, traditional piloted control

3. TRENDS IN INDUSTRIAL REFRIGERATION The change in the industrial refrigeration has not stopped, and will not stop. New technologies will be implemented, and new targets have to be met. In this section, the major trends which will develop the industrial refrigeration will be described. 3.1 Safety and environmental requirements Safety and environmental requirements are deﬁnitely a must for industrial refrigeration systems! - Manufacturers simply need to follow the requirements and insure compliance. 

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Safety requirements can be divided into two groups: Safety requirements for products, and safety requirements for operation of refrigeration systems. The safety requirements laid down in Europe is seen to be “state of the art”. The global trend is clearly moving towards similar requirements, as the present level in Europe. There are several indications that the global requirements are slowly changing e.g. in China.

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In the past Ammonia was exclusively used on large scale installations, but with new environmental requirements on traditional large commercial systems, several of these are today made with Ammonia. E.g. large food retail installations (hypermarkets) are installing Ammonia/CO2 systems. Small Ammonia DX systems are not widely used yet, mainly due to lack of the proper components. This is still one of the challenges for the industry.

− Minimizing or eliminating pressure surges which frequently lead to compressor loading. − Minimizing or eliminating transient conditions

− A 20% reduction in EU greenhouse gas emissions from 1990 levels;

Ammonia/CO2 cascade system is a unique way to combine the benefit of two natural refrigerants. Typically the Ammonia charge can be reduced to approx. 1/10 of a traditional Ammonia system, which minimizes the safety requirements. Ammonia/CO2 cascade system has an attractive efficiency at low temperature, compared to traditional Ammonia systems. Ammonia/brine system is another way to reduce the Ammonia charge, but compared to the Ammonia/CO2 cascade system, the brine system has a less attractive efficiency.

Working pressure for different type of applications

Environmental requirements laid down in Europe, is seen to be “state of the art”. For components and system manufacturers, leak requirements are an essential issue in being in compliance with the environmental requirements. Increased focus on tightness is a global trend. This means that components and systems need to be tight, and therefore, all possible leak potentials need to be eliminated/minimized. Flanged, screwed and similar joints have a higher leak potential, than permanent joints, and therefore it is obvious to eliminate these, where possible. The global trend for safety and environmental requirements is supported by the international standards for refrigeration systems. ISO 5149 and ISO 14903 are two new international standards for refrigeration systems, which will be released shortly. Both standards are based on the existing European standards (EN 378 and EN 16084) 3.2 Design pressure of components The need for components suitable for h i g h e r p re s s u re i s d e ﬁ n i t e l y increasing!

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bar will require a complete new platform, which will lead to dramatic investments for the component and equipment manufactures, and the additional cost will most likely not be ﬁnancial attractive.  

Few components are available today for 140 bar. 140 bar is needed for transcritical CO2 systems. The largest valve size today is DN 25. It is not expected that the potential for larger valves will grow signiﬁcant over the next years

3.3 Higher requirements for components: Lower tolerance for leaks! Eliminate flanged valves, and all parts/components with leak potential. Valves must be suitable for several types of refrigerants/oils and be able to operate in an increased operating range! Only qualified low temperature steel/stainless steel is acceptable valve for housings/bonnets. Refrigerant neutral sealing elements are preferable. 3.4 Cost effective solutions (System efficiency) Higher demand for high performance valves! Low pressure drop Higher demand for valves with enhanced control performance! Increased use of electronic components Control strategies - “tighter” temperatures

The refrigeration industry is relative small industry (niche market), and the different manufacturers need to have a strategy, for which market / application they want to serve.

Flexible control strategies - ensuring optimum operation conditions at full / part load.

Looking into the actual need for valves with PS 65 bar for Ammonia heat pumps, the

Increased focus on system efﬁciency with electronic controls and motorized valves! When properly designed and coupled to electronic controls, motorized valves can provide optimum and precise response from control signals to control ﬂow and/or pressure (and, indirectly, temperature) by:

potential is very limited, however if this potential is combined with the need for high pressure CO2 valves, then it could be attractive to design valves for this pressure rating.

Beverages & Food Processing Times

valves require a minimum 0.2 bar of pressure differential to fully open. 

The effect of additional pressure drop becomes particularly noticeable in low temperature applications. An additional pressure drop at e.g. 0.05 bar in a suction line of an Ammonia system with an evaporating temperature at -40 Deg. C correspond to a temperature drop on approx. 1.5 K. Calculations made on JCI screw compressor with Ammonia operating with evaporating temperatures at -40 , -30 and -20 Deg. C, and having a condensing temperature at +30 Deg. C, shows that the compressor energy increase between 2 – 6%, when the pressure drop

in the suction line increased with 0.05 bar 3.5 Cost effective solutions (first cost and maintenance cost) Fast and effective plant construction is requested! Easy maintenance is a benefit! 3.6 Refrigerant and applications 4. CONCLUSION The refrigeration industry has changed a lot during the last years; however there is still a major potential to improve on efficiency and sustainability. The use of natural refrigerants will continue to grow, and the development of new refrigeration systems, where the benefits of the natural refrigerants are utilized, will continue. This development can only be reached by close cooperation between universities, end users, contractors and components suppliers. Only in this way the potential in the natural refrigerants can be effectively utilized. Even when new solutions/technologies are available, the final test is very much depended on the end-user willingness to try out these new solutions/technologies. Valves and controls must be suitable for all the required applications and refrigerants, have high efficiency, support the required energy saving and environmental targets.

Vol. 7, Issue 09 -February - 2015

MB Sugars the only company registered under USDMF

B has world class expertise in manufacturing Sucrose, an excipient to pharmaceutical companies. Registered under Drug License, MB is the only company in the world registered under USDMF. MB also holds US FDA, KOSHER and HALAL certiﬁcations.

COMPANY PROFILE

Rajesh Gandhi leading Adinath Agro from the front in Maharashtra

dinath Agro Processed Foods Pvt Ltd a privately held company was incorporated in the year 1995. The company is primarily involved in processing, marketing and exporting of various Mr. Rajesh Gandhi processed food products in the country. Rajesh Gandhi, the Promoter of Adinath Agro had started their ﬁrst venture into food processing in 1989 in the name of Adinath Food Industries, which is running successfully. Adinath Agro's Winn &Surabi are among leading brands in Processed Fruit & Vegetable products in Western India. The company is planning to take these brands globally with a wide range of superior quality products. Adinath Agro is engaged in processing and manufacturing of various food products such as Tomato Ketchup and Sauces, Chinese Sauces, Continental Sauces & Dips, Fruit Jams & Crushes, Pickles, Canned food among others. These products are marketed under the brand Surabhi & Winn. The company operates through its manufacturing plants located in Jejuri, Dist. Pune, Maharashtra.

MB offers the largest range of Specialty Sugar like Double reﬁned sugar, sugar cube, light brown sugar, demerara sugar,castor sugar,icing sugar ,candy sugar and many more. Now for the ﬁrst time in India, MB introduces FONDANT ICING SUGAR.

Adinath Agro operates with a workforce of 186 people spread across both rural and urban area. To ensure strict quality controls, the company follows quality checks at every stage of operations. Adinath Agro is an ISO 22000:2005 certiﬁed company enabling it to meet the quality speciﬁcation. Adinath Agro's total installed capacity of major food items stood at 4000 MT of Tomato Ketchup,

4000 MT of Chinese sauce, 1000 MT of canned food, 500 MT of fruit jam, 300 MT of pickles, 600 MT of Papad and nearly 500 MT of other food items. Adinath Agro is currently increasing its capacity of Tomato Ketchup & Sauces line by three fold. This will be achieved by setting up a automatic plant of 4 MT per hour at new location near existing plant at Jejuri for which Adinath Agro have acquired 33 acres of land. The company is also setting up an additional capacity for tomato Paste having a processing capacity of 6 MT/Hr. Which will be operational by February 2015 and This capacity expansion will enable company to spread its marketing network in other regions of India & also company will focus on export. The company offers a following products Fruits Mango: Juice, Jam, Syrup, Crush( Toppings) Pineapple: slices, tit bits, juice, jam, syrup, crush (toppings) Red cherry: whole cherry in syrup Strawberry: jam, syrup, crush (toppings ) Orange: marmalade, syrup, crush (toppings) Pears: pear halves in syrup Peaches: peach halves in syrup

Fondant Icing Sugar is a free flowing, super fine, white powder which is very easy to dissolve in water with no lumps. It is finer than regular icing sugar. MB Fondant Icing Sugar is perfect for giving a soft and glossy finish to sponge cake, French fancies and it is also excellent for sugar modeling. It is ideal for making cream centers, caramels, cordials, fudge, and glazes. For industrial food manufacturing, fondant icing sugar is used in products including:  icings  sauces  frostings  coatings  beverages  chocolates  decoration ... and numerous baking applications, especially because it can dissolve quickly. MB Fondant icing sugar is available in various grades of fineness (3x, 6x, 10X, 12x) ranging from 100 to 325 mesh. It can be customized to suit the needs of the buyer. The more X's, the more finely powdered the sugar is. Use MB Fondant Icing Sugar in your preparations for a smoother, glossier, soft finish. Another new feather in MB's product basket is MB Calcon. For calorie conscious and diabetic people, MB offers this healthier alternative to sugar. MB Cal-con contains Sucralose which is a new molecule made from sugar but has no calories. It is ideal low calorie substitute which gives you taste of sugar without any calories. It can be used in place of sugar in beverages like tea, coffee, juice, lassi etc and in preparation of various sweets ,desserts & cakes. So enjoy the sweetness. Don't worry about calories and remain healthy and fit.

Beverages & Food Processing Times

Fruit cocktail: different variety of fruit pieces in syrup Mixed fruit: jam, syrup, crush (toppings) Vegetables Tomato: ketchups, sauces, puree, juice, paste Corn: baby corn, sweet corn cream style, whole corn kernels Beans: baked beans in tomato sauce Cut and cleaned vegetables canned i n b r i n e o f following varieties. capsicum * green peas * cauliﬂower * carrot * tinda * bringal * drum sticks * lady's ﬁnger * bitter gourd * ridge gourd * snake gourd * cluster beans Chinese sauces: schezwan chutney-sauce, green chilli sauce, red chilli sauce, dark soy sauce, garlic-chilli sauce, chilli sauce, chilly vinegar. Indian ethnic variety: variety of murabba's, pani-puri paste, date & tamrind chutney, raw mango chundo and many more varieties. Continental sauces & dips: 8 to 9 cooking sauce, french mustard, English mustard, veg. Mayonnaise, thousand island, veg. Pizza sauce, Worchester sauce and many more varieties. Ready to eat vegetables: sarson da saag and Curried vegetables. Papad: Udad, Moong, Punjabi Masala, Garlic-Green Chilli, Disco

Vol. 7, Issue 09 -February - 2015

MEAT & POULTRY NEWS

US meat safety labelling implementation pushed to 2018

he amendment of US Food Safety and Inspection Service (FSIS) for the labelling of raw meat and poultry products will not

products with speciﬁc cooking instructions. As the labelling rule was not ﬁnalised by 31 December 2014, it will now not take effect before 2018 according to FSIS requirements.

China prevents US poultry, eggs imports, citing avian ﬂu

he USDA reports that China has banned U.S. chicken and eggs imports, citing concerns about avian ﬂu contamination. The ban follows news that two strains of avian ﬂu

"As the labelling rule was not ﬁnalised by 31 December 2014, it will now not take effect before 2018." Had the deadline been met, the rule could have been implemented as early as next year.

be implemented for at least the next three years due to the government missing its deadline. The US Department of Agriculture (USDA) has been working on new mandatory labels for beef that is mechanically tenderised. Tenderisation is a process that softens meat with tools and devices. Unsoftened meat is often susceptible to pathogens that can lead to foodborne illnesses. The suggestion for the amendment was initially proposed in mid-2013. According to the proposal, manufacturers would require to label their meat

Recently, the US experienced a series of foodborne illnesses that have been connected to mechanically tenderised beef, including the 2012 outbreak of E coli O157:H7 in Canada from XL Foods, which led to the largest beef recall in Canadian history. However, the meat industry has been opposing the amendment, claiming that that meat does not pose a signiﬁcant risk and that special cooking instructions are not required. North American Meat Institute senior vicepresident and general counsel Mark Dopp was quoted by Agri-Pulse as saying: "We have long believed and communicated to USDA that the proposed rule is unnecessary. This is a solution in search of a problem because the industry has taken steps to address concerns that may have existed several years ago.

India to tighten norms for import of US chicken legs

ndia is set to make the norms for imports of American chicken legs stringent by proposing to keep out frozen chicken older than six

months and those that have consumed hormones or genetically modified feed as the country prepares to contest a WTO order to lift a ban on purchases of US poultry. The new standards, which may kick in within six months, could offer some protection to the growing domestic poultry industry from competitively priced American chicken legs. While the Indian industry will also have to meet these food safety norms, being brought in as part of the government's quality initiative, it has an advantage since it largely consists of fresh poultry and does not rely on GM feed. The World Trade Organization asked India in October to lift a ban on American chicken, imposed on account of avian influenza in 2007, calling it 'unscientific' and non-compliant with the global trade body's rules. India will challenge the WTO order in the appellate body in a couple of days, citing domestic food safety concerns. The new import norms are being prepared by the Food Safety and Standards Authority of India in consultation with the department of commerce and the department of animal husbandry, dairying & fisheries.

"We are working out standards for poultry and are discussing banning the sale of chicken older than six months. Also, poultry must not be fed with genetically modified feed, growth hormones and antibiotics," a government official said. US frozen chicken legs are stored for about four to five years and its poultry consume growth hormones and GM feed, a significant concern in India. FSSAI has put out a draft order for meat and poultry products, inviting public comments. It has proposed that poultry birds should not be given feed containing meat, bone and blood. Besides, the use of antibiotics in feed and growth hormones will not be allowed.

were found in the U.S., specifically Washington and Oregon. No U.S. commercial poultry has been identified as carrying either strain, and no human cases associated with the two avian flu strains have been reported.

The FSSAI will work with the department of animal husbandry to modify health certificates for meat and poultry sold to India."It will require competent authority of the exporting country to provide certifications to India in compliance with requirements to allow for placing of meat and poultry in Indian market," it said in the draft order. More than 20 countries, including members of the EU, South Korea and South Africa, have imposed curbs on poultry from certain US states or the entire country. China halted imports of US poultry and eggs after an avian flu strain was detected in the Pacific Northwest. The EU banned US chicken on account of chlorine treatment.

This is just the latest in a string of announcements by 30 different countries, all of whom have restricted U.S. poultry exports from Oregon and Washington. China's new ban echoes a previous halt of poultry imports from Arkansas and a few other states in 2012.

India Challenges WTO Ruling On US Poultry

ndia has challenged a WTO panel's ruling that the country's ban on American poultry product imports was inconsistent with global norms. India has appealed to the Dispute Settlement

WTO against the ban on imports of US farm products, including poultry meat and eggs. In its ruling on October 14 last year, the WTO panel had said that India's measures are "arbitrarily and unjustiﬁably discriminate between Members where identical or similar conditions prevail and are applied in a manner which constitutes a disguised restriction on international trade". India is one of the potential markets for the US which is one of the world's largest exporters of chicken meat. According to a report, India's broiler meat consumption is increasing and may touch 3.72 million tonnes in 2014 from 3.45 million tonnes in 2013.

Board of the World Trade Organization (WTO). The WTO Secretariat has received a notice by India announcing its decision "to appeal certain issues of law and legal interpretation in the panel report in the case." A senior government ofﬁcial also said India has approached the WTO's appellate authority against the order of the dispute panel on the poultry issue.

The US had contended that India's Avian Inﬂuenza measures amounted to an import prohibition that was not based on the relevant international standard or on a scientiﬁc risk assessment. India has claimed that the panel committed several legal errors in its interpretation and application of numerous articles of the SPS agreement.

India had banned imports of various agriculture products from the US in 2007 as a precautionary measure to prevent outbreaks of bird ﬂu. In March 2012, the US had dragged India to the

Parties to a dispute can appeal a panel's ruling. Appeals have to be based on points of law, such as legal interpretation. They, however, cannot reopen factual ﬁndings made by the panel.

Vannamei Shrimp Propels India's Seafood Exports

annamei shrimp is leading India’s aquaculture shrimp production and seafood exports which is expected to touch $6billion this ﬁnancial year.The Indian seafood export sector, which is today a $5 billion industry, has set a target of $10 billion by 2020.

It also said that slaughtering or processing of bovine meat will be prohibited where poultry meat is produced for human consumption. "The order will come into effect from July 2015," FSSAI said in the draft order. US consumers prefer chicken breasts and the lessfavoured legs are frozen for export to other markets at highly competitive prices. Chicken legs, which are popular in India, are priced locally at about Rs 150-170 per kg, while the US sells them at Rs 40-50 per kg.

China has banned poultry livestock as well, including live chicks and hatching eggs, so this move could actually negatively affect the country's domestic poultry industry as well. According to CEO of Global AgriTrends Brett Stuart, "This move is somewhat hypocritical as there have been zero findings of high pathogenic avian influenza in a commercial poultry flock in the U.S. and, China already has a variety of avian influenza strains.”

The main exports in the seafood basket were vannamei shrimp, which grew to 175,071 tonnes from 91,171 tonnes the previous year. The export of vannamei shrimp recorded a growth of 92 per cent in quantity terms and 173 per cent in dollar terms in the last ﬁnancial year, according to A J Tharakan, president of Seafood Exporters Association of India. This year, aquaculture shrimp production is likely to be 375,000 tonnes, from which the exports of processed aquaculture shrimp is expected to be 250,000 tonnes, compared to last year’s 175,000 tonnes. In comparison to vannamei, the export of farmed Black Tiger Shrimps came down from 61,177 mt to 34,133 mt. Aquaculture shrimps have been the primary contributors to the seafood industry’s growth,

Beverages & Food Processing Times

contributing 47 per cent of the total exports. Shrimp exports were $3.2 billion in 2013-14, which was 64 per cent of total exports, of which aquaculture shrimp alone was worth $2.3 billion. Shrimp exports from capture fisheries contributed only 27 per cent of total exports with a value of $900 million. Vannamei shrimp was introduced on a trial basis in 2009 when India lagged behind nations like Vietnam and Thailand. After convincing the government to introduce its cultivation, today the country leads in vannamei culture and are among the top exporters to the US, said industry officials. Experts said the main reason for the quantum leap of vannamei was the ease with which domestication could be done to eliminate all possible viruses; give farmers selective pathogen free (SPF) broodstock, which could cater for almost entire needs of the world markets. This domestication that started in a small way in the US caught the interest of China and Thailand, and subsequently spread to other Latin American and Asian farming countries. India was one of the last countries to accept and allow import of vannamei broodstock into the country. But the late entry turned out to be a blessing as several early starters are struggling with new problems, like Infectious Myonecrosis Virus, Early Mortality Syndrome etc. The pond farm gate prices were so phenomenally high for the Indian farmers that the entire industry went overboard with large-scale expansion in a short span of time - be it hatcheries, farms, feed mills or processing plants, said industry officials.

Vol. 7, Issue 09 -February - 2015

Beverages & Food Processing Times

Vol. 7, Issue 09 -February - 2015

FOOD INGREDIENTS NEWS

Blendhub Corp. launches its ﬁrst Equality Plan

New ingredients shape future of ready meals market

ore consumers are feeling time-scarce and view cooking as a chore, turning to convenient ready meals to free up more time for themselves. But to survive in an increasingly health-conscious society, ready meal manufacturers must innovate with new ingredients and premium products.

Busy urbanites look for convenient products According to a new Canadean report, consumers seek products that suit their hectic lifestyles, inﬂuencing US$314 billion of food and beverages consumption in 2013. Parents, those with busy jobs and young urbanites without traditional cooking skills are most likely to look for fast and convenient food preparation. Urban males between the age of 16 and 35 alone are responsible for 16.7% of food and beverage consumption by volume in 2013. Kirsty Nolan,

New challenges ahead for microwavable food The report shows that the search for convenience is one of the key factors why microwavable food continues to be a huge trend – despite consumers growing increasingly aware of healthy eating. Nolan says: “Since its initial launch in the late 60s, the countertop microwave oven has become an essential in modern kitchens globally. The challenge for ready meal manufacturers in the coming years will be to come up with new, innovative products that are positioned around premium quality.” Ingredients manufacturers such as Budenheim will help to bring microwavable innovations to the market. Budenheim launched Budal MW500 – a new ingredient that keeps microwavable snacks, such as baked goods, crispy on the outside. This allows food manufacturers to further expand their microwavable cuisine range to include croissants and pastries, which previously have not fared well during microwave preparation. Nolan adds: “Such innovations are making traditional cooking skills obsolete, providing busy consumers with the opportunity to spend time on other activities.”

BENEO-Institute: The right choice of functional ingredients contributes to a balanced blood sugar level

icole Kellow, Monash University & Baker IDI Heart & Diabetes Institute, Melbourne, Australia speaking at the Asian Paciﬁc Conference on Clinical Nutrition 2015. Kellow shared with the audience the

benefits of prebiotic inulin-type fructans for blood glucose management in line with this year's theme for the conference, which is 'prevention and management of diseases through the life cycle: the role of nutrition and physical activity'. The 9th Asia Pacific Conference on Clinical Nutrition (26 – 29 January 2015) is now on in Kuala Lumpur, Malaysia. Nutrition experts congregated at the event to share on the latest in food and nutrition research. Several international speakers spoke about how certain food can impact blood sugar management, focusing on the short and long-term health benefits of specific carbohydrate and dietary fibre choices. Presenting under the lunch symposium “Blood Sugar Management” sponsored by the BENEOInstitute Professor IMG_2261_adjustJeyakumar Henry from Singapore Institute for Clinical Science, Singapore and Nicole Kellow from Monash University & Baker IDI Heart & Diabetes Institute, Melbourne, Australia discussed how low glycaemic carbohydrates and dietary fibres help to manage blood sugar levels but also contribute to satiety and fat oxidation. Nicole Kellow, Monash University & Baker IDI Heart & Diabetes Institute, Melbourne, Australia:

have only 92 entities in Spain. The ﬁrst Blendhub Corp.'s Equality Plan was a turning point in the company's internal documentation to ensure that all the documents generated include non-sexist or discriminatory language and establish procedures and protocols to ensure equality conditions in their workplaces. Within these measures for instance, a “Protocol of prevention and action for cases of sexual harassment and cases of gender-based discrimination” has been developed.

analyst at Canadean, says: “People want to free up some time on their busy schedules and are actively looking for convenient products to reduce the time they spend on food preparation.”

“Inulin-type fructans such as inulin, oligofructose and fructo-oligosaccharide are plant fibres with an established prebiotic effect. A meta-analysis of randomised controlled trials involving prebiotic supplementation in human subjects revealed that dietary inulin-type fructans significantly increased self-reported feelings of reduced post-prandial glucose concentrations and reduced insulin concentrations in trial participants. These findings support the use of inulin-type fructans as a potential glucose management strategy for individuals with diabetes.” Within the main programme Professor Glenn Gibson from Professor David Benton from Swansea University, Swansea, Wales, United Kingdom, speaking at the Asian Pacific Conference on Clinical Nutrition 2015. Professor Benton presented the effects of using BENEO's Palatinose™ in breakfast meals on children's cognition and mood.University of Reading, United Kingdom, presented recent scientific data supporting the beneficial effects of the prebiotic fibre inulin and oligofructose on digestive health, weight management and bone health. Professor David Benton from Swansea University, Wales, United Kingdom, shared recent research findings that the slow, prolonged and low glycaemic benefits of Palatinose™ (isomaltulose) positively influence children's cognition and mood: “Recent studies showed that lowering the glycaemic load of breakfasts by using Palatinose™ triggered a better mood and cognitive function in children as compared to using glucose. This exemplifies the impact of the glycaemic properties of a meal, rather than the energy provided, or the nature of the macronutrients.” BENEO is committed to the highest quality science related to prebiotic fibres from chicory (inulin, oligofructose), and functional carbohydrates (Palatinose™, Isomalt), which make the difference to food composition and open new doors to healthy eating. Consequently, diets including the right ingredients contribute to a healthy metabolism.

nsuring equal treatment on the grounds of gender, race, religion, and equitable conditions and working environment.

Murcia, Spain, 8th January, 2015 - Blendhub Corp. has implemented its ﬁrst Equality Plan that ensures equal conditions for their workers, including issues aside from gender aspects, but also all those that deal with diversity, such as race or religion. Blendhub Corp., integrated by the companies Premium Ingredients, PPB and Allfoodexperts, is headquartered in Murcia, Spain, and present in India, Mexico and United Arab Emirates, having workers of different nationalities and cultures. For that reason, it has been considered essential to create this tool, whose operational capability will be validated in 2015 with the distinctive “Equality in the company”, that provides the Ministry of Health, Social Issues and Equality of the Spanish Government, and which currently

Blendhub Corp. has also incorporated a blind mechanism in their processes of recruitment. This way, the responsible for the department which is offering the job would not know the sex of an applicant until the candidate is interviewed. This ensures equal conditions, between men and women, in access to employment within the group companies. Likewise, new criteria for collaboration have been established with educational centers to encourage the development of internships performed by women in male-oriented job positions and, by men, in those traditionally feminized. The Blendhub Corp's Equality Plan also includes guarantees on practices that were already present in the group's companies, such as equal access to career advancement or measures to promote work-life balance. On this front, even facilitating family conciliation far beyond what is legally established, by helping employees deal with difﬁcult personal situations, such as those of the illness of a relative.

Packaged Facts: 5 Key Functional Food Ingredients to Know for 2015

oday's consumers want and expect more than great taste and belly-ﬁlling from the foods and beverages they consume. Ninety percent of Americans believe that certain

foods offer health benefits beyond basic nutrition, according to research published in Packaged Facts' Functional Foods: Key Trends & Developments in Ingredients. Baby Boomers and Millennials are looking for products offering positive nutrition to help them optimize health and avoid chronic and, potentially, lifethreatening illness. A 2013 survey found that about one-third of consumers indicated using functional foods to replace some medicine in the context of their overall health approach. As a result of ingredient innovation, enhanced ingredient understanding and recent and proposed regulatory changes, functional food marketers are now able to target a wider range of consumers and their more diverse and pressing nutritional and health needs in 2015. Some of the key nutrients and ingredients sure to be in the spotlight are:  protein  omega 3 fatty acids  vitamin D  magnesium  microalgae Consumers and marketers continue to focus on protein to address hunger control, long lasting energy, weight loss and management, sports recovery, and maintaining muscle mass with aging. Although protein consumption is generally considered excessive in the United States, reflected in the 78% of consumers who believe they get enough, one estimate indicates that 15% to 38% of adult men and 41% of adult women fail to consume the recommended amount. There is now much greater interest in plant protein sources, as more attention is paid to sustainability, avoiding known allergens and the needs of vegetarians and vegans, perhaps contributing to the 54% of consumers who indicate they want more protein in their diets. Wider recognition of the benefits of omega-3

Beverages & Food Processing Times

fatty acids in relation to heart health, cognitive and brain health and immunity, and knowledge that most Americans don't consume enough, keeps this dietary component in the news, despite lower consumer interest. Within the food industry, omega-3 fatty acids are of concern because marine sources are regarded as unsustainable with prices on the rise while the development of more algal sources is underway. While 68% of consumers think they get enough vitamin D from food and supplements, 53% want more. In reality, only 32% actually get enough. Primarily known for its role in bone health and osteoporosis prevention, proposed changes to the nutrition facts panel, if approved, will call attention to vitamin D and more marketers can be expected to contemplate the addition of this nutrient where allowed, especially in dairy products and cereals. Magnesium if critical for converting vitamin D to its active form along with playing a role in over 300 enzyme systems to regulate numerous biochemical reactions in the body. As such, it is important in bone and joint health, including osteoporosis, and research shows it is beneficial in type 2 diabetes and insulin resistance, inflammation, hypertension, asthma, colon cancer and promoting brain health. It is estimated that only 60% to 80% of Americans get enough magnesium despite its general abundance in the food supply, especially in nuts, providing an important opportunity for manufacturers to flag it on labels of products that provide a good source. One of the most exciting ingredient developments showing great promise is microalgae. Food ingredients sourced from microalgae are just starting to make their way onto the marketplace. This entirely new class of whole food ingredient gives functional food and beverage manufacturers the opportunity to offer traditional, fat laden foods with significantly reduced fat, cholesterol and saturated fat while adding protein, micronutrients and antioxidants, facilitating inherently shorter ingredient declarations, without introducing GMOs or allergens. Coverage of each ingredient topic featured in F u n c t i o n a l F o o d s : K e y Tr e n d s & Developments in Ingredients Functional Foods: Key Trends & Developments in Ingredients includes understanding of the latest science related to health and wellness, innovation and new developments in ingredient technology, recent new product launches featuring these ingredients, consumer awareness and interest in these ingredients, when available, and identification of market opportunities.

Vol. 7, Issue 09 -February - 2015

DAIRY NEWS

Sabar Dairy's starts operation at its new plant at Rohtak in Haryana

immatnagar-based Sabarkantha District Co-operative Milk Producers Union Limited (SDCMPUL), popularly known as Sabar Dairy, started operations at its new plant at Rohtak in Haryana. The Rohtak plant with a processing capacity of 10

lakh litres of milk per day (LLPD) is Sabar Dairy's ďŹ rst plant outside Gujarat. Apart from milk, the plant will also produce butter milk, curd and ice-cream. It has been set up with an investment of around Rs 200 crore by

Sabar Dairy, a member union of the Gujarat Cooperative Milk Marketing Federation (GCMMF) that markets the brand Amul.

member unions. Out of the three plants, two are managed by Mehsana's Dudhsagar Dairy at Manesar and Dharuhera and while the third one is based at Rohtak.

With this, Amul family will be catering to the Delhi-NCR market through three plants of its

Banas Dairy, another member union of GCMMF, is setting up a 15 LLPD plant at Faridabad with an investment of Rs 300 crore. The Faridabad plant which is likely to be operational after six months, will be the fourth plant started by a GCMMF member union in Haryana. Amul which had entered the Delhi market in the year 2003, currently supplies 28 LLPD of pouched milk in the Delhi-NCR region. "Our member unions have so far invested Rs 1,200 crore for setting up plants in Haryana," GCMMF's managing director R S Sodhi told, adding that the federation is expanding its network and capacity to have pan-India presence. Recently, the dairy giant had entered South India's milk market by launching Amul milk in Hyderabad. The Rohtak plant has come up at Haryana State Industrial Corporation estate and is strategically located three kilometers away from Rohtak city. By 2020, Amul is targeting sales of around 65 LLPD in Delhi-NCR region when the packaged milk market is expected to expand to one crore litres a day from the present 50 LLPD.

Beverages & Food Processing Times

Vol. 7, Issue 09 -February - 2015

PACKAGINGPACKAGING & CORPORATE NEWS NEWS

Nutrition labelling systems: the simpler the better, researchers say

he current nutrition labelling system is the least user-friendly option available, McGill University researchers have found. The labelling is difﬁcult to use and results in

Building loyal$137 consumer base Nestle plans investment is very important in Egypt's food sector four years are the kind of vision that Rajiv Mitra (Govind Milk) we would have for this market also

Countries such as Denmark, Sweden and Canada use labels that certify some foods as nutritious, but not others. While these enabled consumers to make a decision quickly, they didn't increase nutritious choices.

going forward.” "Certainly the kind of investments we have made over the last three to four years are the kind of vision that we would have for this market also going forward.”

“Such certification labels are not sufficiently discriminating to produce consistently better nutrition. They also create controversies about exactly where to draw the line between nutritious and harmful foods,” said co-author Thomas Schultz, Professor of Psychology and Computer Science at McGill. consumers making nutrition choices similar to those made by chance. A labelling system that gives each food product a single score out of 100 for nutrition was found to be the most effective and easy to use of a range of systems examined. “Food shoppers typically have a limited amount of time to make each food choice, and they find the Nutrition Facts labels to be confusing and difficult to use,” said Peter Helfer, lead author of the study and PhD student in Psychology and Neuroscience at McGill. “One product may be low in fat, but high in sugar, while another product may be just the opposite. Nutrition Facts labels can highlight nutrition conflicts but fail to resolve them. Even educated and motivated shoppers have difficulty picking out the most nutritious product with these labels.” The UK's Traffic Light system allowed for slightly better nutrition choices than pure chance, the researchers found, but it took more time to use as the colours of several traffic lights need to be counted and compared.

In contrast, the NuVal labelling system enables consumers to make fast and nutritious choices, the researchers say. The NuVal system uses a shelf sticker that indicates the overall nutritional value of each food item with a number from one to 100. The NuVal scores are calculated by nutrition experts at several prominent US universities such as Yale and Harvard. The researchers say that assigning each product with a single number, the NuVal labels resolve conﬂicts between the positive and negative nutritional aspects of each food. The researchers say the widespread availability of low-nutrition, high-calorie food is a major cause of an epidemic of obesity and associated diseases throughout the world. “Empowering consumers to make healthier food choices with valid and useful nutrition labelling could help to stem this epidemic. If consumers have the information to make nutritious choices, this could nudge food sellers and producers to improve their products,” said Schultz.

3G Capital looking to acquire food and beverage ﬁrms

razilian investment ﬁrm 3G Capital Partners LP is looking to acquire new food and beverage ﬁrms as part of its $5bn takeover fund that is backed by various investors. The Wall Street Journal disclosed that the details of 3G's potential targets are not yet clear but sources familiar with the matter said the company is exploring the possibility of acquiring $14bn

Tim Hortons combined, 3G might pursue only parts of PepsiCo or collaborate with brewing ﬁrm Anheuser-Busch InBev.

This new development follows recent initiatives of the Abdel Fattah al-Sisi led Egyptian Government to make the country investor-friendly. Egypt is expected to introduce a new investment law by March, in order to create a one-stop shop for foreign companies frustrated by bureaucracy, Reuters said.

wiss multinational food and beverage company Nestle is planning to invest approximately EGP1bn ($137.93m) in Egypt over the next few years to capitalise on growing demand. Citing Nestle North East Africa Region CEO Suresh Narayanan, Reuters reported that the company will be investing in manufacturing, new products and the nutrition and health industries. Narayanan said, "Certainly the kind of investments we have made over the last three to

ata Chemicals Ltd, part of $100 billion plus Tata Group, is expected to invest around Rs 150 crore into setting up a nutraceutical manufacturing facility in Sriperumbudur, near Chennai in next three years.

Speculation is also mounting for 3G being interested in acquiring Kellogg Co and Kraft Foods, which both have more than $20bn in stock-market value.

Campbell Soup or PepsiCo that has a stockmarket value of $140bn. Sources further added that since PepsiCo deal is estimated to be four times as large as Heinz and

The deals are also ranked as the second and ﬁfthlargest takeovers in the consumer and retail sectors respectively since the start of 2013, according to Dealogic

Kellogg's eyes East Africa, Kenya for expansion country's newly attained middle-income economy status," according to VenturesAfrica. Kellogg's believes that Kenya can act as a central avenue to aid its eventual expansion to other parts of East Africa.

ellogg's is making a move for the East African market, starting with Kenya.

The company is pursuing Kenya in particular due to the region's "demand for ready-to-eat cereals [which] has been on a relative increase with the

Amati Banati, Kellogg's president in charge of Asia Paciﬁc, said, “The real opportunity is in the growing wealth in Africa, especially the middle class and the changing lifestyles that make our products attractive.” Rumors claim that the company is currently going through regulatory approvals before making any ofﬁcial announcement.

As well as Nestle, food and beverage ﬁrms such as Coca-Cola Co, PepsiCo and Saudi Arabia's Almarai have also announced their investment plans in Egypt. Kellogg's recently acquired Egyptian cake and biscuit maker Bisco Misr after a competitive bidding process with Private equity ﬁrm Abraaj Group.

Tata Chemicals to endow Rs 150 crore in nutraceutical plant near Chennai

While Campbell and InBev declined to comment on the matter, sources at Pepsico close to 3G say that no decision has been made yet as it is a time consuming process.

3G has made a name for itself with the acquisitions of big-ticket ﬁrms in the past as Heinz and Tim Hortons for a combined $36bn. Wa r r e n B u f f e t ' s B e r k s h i r e H a t h a w a y collaborated with 3G in both deals by providing ﬁnance.

Narayanan said: "I believe the steps that are being talked about in terms of improving the investment laws, improving the laws of labor, improving the overall friendliness that the country has towards investments, all augurs well.”

The company is expecting its branded and noncommodity business, which is currently at 22 per cent of the turnover, to to up to 50 per cent in next seven years. The company is in talks with various players in various parts of the world for exports of nutraceutical products and it would be primarily to the European and other Asian countries. Pharmaceutical companies are the buyers for these products. The facility is manufacturing Fructooligosaccharides (FOS), a probiotic product, as a beginning and would have more products in future. The initial capacity of 1,000 tonnes was set up with an investment of Rs 50 crore and it is expected to be scaled up to 5,000 tonne in next three years and the total investment would be around Rs 150 crore. The plant, at its full capacity could generate a revenue of around Rs 300 crore in three years, he added. Commenting on the company's strategy, he said that it will be focusing on the farm solutions and food products business. "Our current portfolio of branded and noncommodity business is 22 per cent. We would

Beverages & Food Processing Times

ideally want these products to go to at least 50 per cent in the next seven years," he said. Around Rs 4,500 crore of the company's Rs 7,000 crore business is in fertilizers at present. It has set up the Pune research facility with an idea to change from a chemical based c o m p a n y t o biochemical and nanotech based company, he added. The company, which has been selling salt across the country, has started selling pulses and dal to currently 40,000 stores mainly in North India and plans are to increase it to 1,00,000 stores by the year end and later bring it to the South Indian market. It is selling Chilli, Turmeric and Coriander along with other products under the Tata i-Shakti brand. The business of dal is currently at around Rs 100 crore, which would grow to over Rs 200 crore this year, while the seeds business under its subsidiary Metahelix Life sciences is growing almost 80 per cent. The company entered into the business as part of its Grow More Pulses programme, when the farmers said that they don't have a market sell the products. It is working with farmers in almost 87 per cent of the water scarce locations across the country. Besides pulses, it is also working with farmers to bring grapes, pomegranate, turmeric and ginger to the customers. When asked whether the company would look at setting up a fertiliser facility in South India, especially Tamil Nadu, he said that the company does not see any opportunity for it, as the feed stock is not available and the company also decided not to go where there is a lots of subsidy. If the situation changes, the company would look at the options, he added. He said that for the customized fertiliser, from the company, there is an increase in demand this year, compared to previous years.

Vol. 7, Issue 09 -February - 2015

BEVERAGE NEWS

CCI cleared PepsiCo India's to sell its bottling to franchisee Varun beverages

CI, saying the deal does not raise anticompetitive concerns gave PepsiCo the clearance to sell of its plants in North India to Varun Beverages. Under the proposed deal, PepsiCo India's franchisee bottler Varun Beverages would acquire the beverage maker's four bottling plants in Haryana, Himachal Pradesh, Uttarakhand and Uttar Pradesh, as going concern on a slump sale basis.

Varun Beverages, which is an arm of RJ Corp, would also have the rights to distribute and sell "Pepsi" products in the territory of Chandigarh. Additionally, Varun Beverages would buy an undertaking in Punjab from Aradhana Drinks and Beverages Private Ltd -- a group company of PepsiCo India -- on a going concern on a slump sale basis. he fair trade regulator noted that PepsiCo India

and Varun Beverages "are not competitors but have an existing vertical relationship with each other". "The proposed combination involves transfer of ownership of the bottling plants/factories, certain distribution rights and an undertaking to an existing bottler/ franchisee (Varun Beverages)," CCI observed in the order. "Post combination, PepsiCo India will continue to own, maintain and promote the Pepsi brand in India," it said adding that "there will be no signiďŹ cant change in the market structure as a result of the proposed combination". Varun Beverages is PepsiCo's largest independent bottler in India. It currently operates PepsiCo bottling operations across parts of Haryana, Uttar Pradesh, Madhya Pradesh and Rajasthan, North East, Goa, West Bengal and Delhi with nine plants in India. It also handles PepsiCo bottling operations in Nepal, Sri Lanka, Zambia, Morocco and Mozambique. The concerned parities had entered into the deal on November, 15, 2014 following which they had approached CCI for its approval.

We are also promoting organic farming by educating and encouraging farmers to use organic fertilizers and insecticides. International quality norms as per HACCP ( Hazard Analysis Critical Control Points) and ISO standards are strictly maintained. High standards for procurement and processing of raw materials. Automated production process mathods, produced by human hands during production. Modern laboratory facility for quality check, for research and development. we also undertake job work for reputed companies. Our factory is well-equipped with the most modern equipment and is strategically located near farms. This means reliable availability of fresh raw materials.

Plot No. A-14-18 M.I.D.C., Patan, Dist. Satara - 415206., Maharashtra Phone: +91-2372-206574 / 206575 Fax: +91-2372-282585 Website: www.koyanaagro.net

Beverages & Food Processing Times

Vol. 7, Issue 09 -February - 2015

FOOD PROCESSING NEWS

Technology integration imperative in agri, food business

xperts at the ongoing Amaethon 2015, the food and agribusiness summit organised by students of Indian Institute of Management, Ahmedabad, say that, amidst

said Balwant Singh, Director, Seedbuzz as one of the panellists in the 'ICT Dialogue' panel discussion during Amaethon. The three-day event witnessed several sessions including panel discussions on various issues like ICT, venture space and development agenda through agriculture, among others.

Adding value to sugarExciting avours and product innovation

hen buying sugar the majority of hot drinks consumers are vastly motivated by price. To avoid a race to the bottom, manufacturers need to come up with new ways to

In her keynote address, Mohini Datt, Research Analyst, World Bank, highlighted the need for cooperation that countries of South Asia should think of in view of their shared geography. growing challenges and changing food habits in the agri and food business, technology integration has become imperative. "Growing challenges in the agri business and food business has made use of technology and its integration imperative in the current scenario,"

As part of the panel discussion on 'Food Dialogue', panellists spoke of the need of food security and suggested various ways like efﬁcient PDS, introduction and commercialisation of GM food crops, extrapolating the growth and success strategy of dairy in other sectors of agriculture etc. to ensure food security.

add value, such as ﬂavoured sugar and sugar on wands. Canadean asked UK consumers how they take

The Odisha government would soon go to Centre for allocation of more funds for food processing units

81 of such centres.

About 60 industrial units are taken up under the NMFP. The units promoted under the programme include processing units for poultry, tamarind, rice, cashew among others. Under the programme, subsidies have been disbursed to 25 industrial units while 35 more food units are in the pipeline.

he Odisha government will approach the Centre for allocation of more funds under the National Mission on Food Processing (NMFP) with the rising demand for assistance from the entrepreneurs. The Chief Minister will soon write to the prime minister for allocation of funds under NMFP as the allocations to the state have already been exhausted. The state government has spent about Rs 10 crore allocated to it under the mission mode programme.

Kellogg's closes Bisco Misr acquisition

ellogg's has completed the acquisition process for a majority stake in Egyptian cake and biscuit maker Bisco Misr, in a deal worth $125m. Headquartered in Cairo, Bisco Misr employs 3,300 people and offers its products under various brands such as Bisco Luxe, Chico Chico and Bisco Wafers. BiscoMisr owns three main facilities, one in Cairo and two in Alexandria, where it produces and distributes plain biscuit Luxe, alongside BiscoMisr's range of cakes and wafers. “Kellogg's has agreed to pay £89.86 per share for 85.93% of total outstanding Bisco Misr shares.” Kellogg's has agreed to pay £89.86 per share for 85.93% of total outstanding Bisco Misr shares. Commenting on the acquisition, Kellogg's chairman and CEO John Bryant said: "Bisco Misr is an excellent strategic ﬁt for Kellogg, and Egypt is a growing market with a strong economy. "A number of Kellogg's cereals and snacks are already offered in the market and the combination of the powerful Bisco Misr brands with Kellogg's iconic brands provides a tremendous opportunity for growth.” The acquisition will be ﬁnanced through debt. Bisco Misr generated close to $70m in annual sales during 2013. However, Kellogg will now consolidate Bisco Misr's results into its own as it has majority ownership in the cake maker.

The state hopes that a proposal put forth by Odisha Industrial Infrastructure Development Corporation (Idco) to set up a sea food park at Deras in Khurda district is likely to be approved by the Centre under the Mega Food Park Scheme. The sea food park has been planned on an area of 100 acres at an estimated cost of Rs 116.43 crore, inclusive of the land cost. The park, if approved, will fulﬁl the long standing demands of exporters and other stakeholders.

Veronika Zhupanova, analyst at Canadean, says: “The desire for better price means that manufacturers who want to charge more have to make sure they convey clearly why consumers should pay extra.”

India to get 50 food processing centres in two years

It may be noted that the chief secretary has already written to the Union ministry of food processing for allocation Rs 20 crore, but the Centre is yet to allocate the money. "Odisha is the only state which has spent the allocations.

The state government has identiﬁed processing of perishable goods as the focus area.

their hot drinks – a market valued at £2.0 billion in the UK in 2014 – and found that 30% of consumers add sugar to their tea, coffee or hot chocolate. The survey shows that a low price is by far the most inﬂuential criteria when buying sugar, with 60% of consumers saying they are price-driven. By comparison, quality – the second biggest criteria –– is only important to 31%. Packaging design and health beneﬁts are the least important to consumers, with only 1% and 6%, respectively, saying that these are deciding factors when purchasing sugar.

ndia is to see the creation of as many as 50 food processing centres in the next two years, according to Indian Council of Agriculture Research (ICAR) deputy director-general (agricultural engineering) K Alagusundaram. The New Indian Express (NIE) reported Alagusundaram as saying that the central government will provide 50% funding on equipment and 35% on infrastructure to private players to set-up such centres and also bear 100% of the funds for these centres. India currently has

Close to Rs132cr has been already been invested by ICAR on post-harvest technology research. "At present, 20% (harvest) is lost in food processing, which amounts to Rs44,000 cr annually. By 2020, this should be reduced to 4%." Alagusundaram also stressed on the need for developing technology to suit farmers as approximately 27 million tonnes of food grain gets wasted post-harvest. Although there has been research on crop production, very little has been done on post-harvest and its processing technology. ICAR assistant director-general (project engineer) Kanchan Singh said that the country's food processing system is an Rs8tn industry, which is expected to reach Rs12tn by the end of 2015. Stressing on the need for research in food processing, Singh cited the example of China that imports animal cartilage from India and exports it back in the form of gel that is used in the food industry.

India’s Ist Monthly Newspaper For Beverages, Food & Allied Industries

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Beverages & Food Processing Times

Vol. 7, Issue 09 -February - 2015

Beverages & Food Processing Times

Vol. 7, Issue 09 -February - 2015

CHOCOLATE NEWS

Ghana's dry winds could slash cocoa production by up to 9%

hana, the world's second-largest cocoa producer, is expecting up to a 9% drop in cocoa crop output this year due to the dry season's hot, dusty winds, known as the Harmattan.

continue until 2018. Ghana's cocoa crops, which with Ivory Coast make up 70% of the global cocoa market, have taken a beating this year leading up to this most recent announcement. The country saw a slow start to the cocoa season, reporting a 62% drop in purchases in the ﬁrst three weeks of the season. This was in part blamed on outbreaks of fungal black pod disease, also known as frosty pod, which has wiped out between 30-40% of the world's cocoa production, according to the International Cocoa Organization.

The latest estimate of Ghana's current output is approximately 820,000 metric tons, as compared to a November estimate of 850,000 to 900,000 tons.

In December, central and northern Ghana received as little as 10% of the expected rainfall, and in addition to less rain, the Harmattan may lead to cocoa trees' loss of their ﬂowers, which turn into cocoa pods. Also, about 30% of Ghana's cocoa crops are comprised of older trees, which produce fewer beans, and it can take about three years for a new tree to start producing beans.

in the year leading up to October 2014, the world consumed 70,000 metric tons more cocoa than was produced, and that deﬁcit is expected to

The Chocolate Market: Global Industry Analysis and Forecast to 2020 report sheds light on the current and future state of the cocoa industry.

UK chocolates to disappear in US due to Hershey trademark dispute

ollowing a trademark dispute between Hershey and Let's Buy British Imports, L.B.B. Imports has agreed to no longer import all Cadbury's chocolate and a few other

Hershey had the right to sell in the U.S., some of which had packaging that resembled Hershey's own products. L.B.B. agreed to stop selling the forbidden chocolates, and Hershey dropped the lawsuit. British chocolate lovers and vendors in the U.S. are upset about the decision, as the ingredients used in American-made versus British-made chocolates differ in many instances. This discrepancy was especially clear when Cadbury stopped using Dairy Milk in its Creme Eggs, announced earlier this month, which caused an uproar among Cadbury fans.

brands made overseas. Hershey argued that L.B.B. imported U.K. chocolates that only

While some may be angered about this situation, it's worth nothing that the fate of chocolate in general could be up in the air.

PARSHWANATH Colour Chem

The colour of food is an integral part of our culture and enjoyment of life. Even early civilizations such as the Romans recognized that people "eat with their eyes" as well as their palates. Saffron and other spices were often used to provide a rich yellow colour to various foods. Butter has been coloured yellow as far back as the 1300's. We provide Food Dye. Today, all food colour additives are carefully regulated by authorities to ensure that foods are safe to eat and accurately labeled.

PARSHWANATH GROUP OF INDUSTRIES 1-5617, Phase-II, Vatva, G.I.D.C.Ahmedabad -382 445, Gujarat (India) Phone:+(91)-(79)-40083231/40083230 40085400 Mobail : 09825005234 Email : pabitra.mishra@parshwadyes.com

Beverages & Food Processing Times

Vol. 7, Issue 09 -February - 2015

TRADE NEWS

Our machines are easy to use & delivers excellent performance Sandeep J Sarfare

anjivan Industries is a reputed Food Processing Products Manufacturer and Supplier in India. The company offers a wide range of Sweets Making Machines, Kalakand Kadai, Boiling Kettles, Namkeen Making Machines, Namkeen Plant,

Food Processing Machines and Dal Frying Kadai. Since inception in 1996, the company has gained great appreciation in the Food Processing Industry, owing to its superlative products. Other than the "Quality" aspect, total customer satisfaction is their main area of concern. The company strictly works according to its ethical business practices. Team of experts put in their best efforts to accomplish the company's goals that include timely delivery and customer

satisfaction. Ensuring the clients about their product helps in maximizing their profitability by i n c r e a s i n g t h e i r p r o d u c t i o n e ffi c i e n c y. Highly Efficient Food Processing Products can be availed from us. Products are precisely fabricated by the experts, after conducting thorough research work. The raw materials used in the manufacturing process are procured from the well-known vendors in the market.

“We are one of the leading manufacturers of a wide range Dairy and Food Processing Machinery. Our range of machines are easy to use and delivers excellent performance." says S a n d e e p J S a r f a r e . “ We a r e l e a d i n g manufacturers and exporters of industrial food processing machines and dairy equipment. Our range includes Indian Sweets, Namkeen and Snacks making machine, Steam boiler, Coating pan, Fruit pulpier etc, he adds."

India now top buffalo meat exporter, rice export declines

ndia exported

buffalo meat

worth Rs 16,083 crore ($2,660 million), in the period between April and October 2014, , a rise of nearly 16 per cent over the same period last year, showed data f r o m t h e Agricultural and Processed Food Products Export Development A u t h o r i t y (Apeda). In the same period, Basmati rice export was worth Rs 15,789 crore ($2,621 mn), a rise of close to two per cent over the yearago period. Lower demand for Indian B a s m a t i , particularly in Iran, has led to decline in rice exports. In terms of quantity, the total buffalo meat export was 817,844 tonnes in April-October, a rise of 14 per cent over the same period last year. However, experts say, in the last one month, the Brazilian

Beverages & Food Processing Times

currency h a s depreciat ed almost 20 per c e n t , while the Indian currency has not. Thus, India lost the price advantage in the Gulf and North Africa, where it is competing with Brazil's export. This will result in meat exports declining and it is showing from December. Russia has allowed import of buffalo meat from India and has approved a few factories but exports have not yet begun because of a sharp fall in rouble rates against the dollar. Two factors have contributed to the rise in buffalo meat export during the year till November. One is the newly standardised slaughter house norms, which have made Indian meat more acceptable abroad. The other is high demand for buffalo meat in China. It is the only country that imports buffalo offal (liver, tongue, heart, tail, etc) from India. Buffalo offal is not consumed in India. Nearly 45 per cent of India's total buffalo meat export is now to China, routed through Vietnam, as China is yet to open its door for direct import of buffalo meat from India. In 2013, India and China signed a pact for direct export of buffalo meat but it is yet to be implemented. Buffalo meat export to Vietnam was Rs 7,152 crore ($1,181 mn) in April-October, a nearly 37 per cent increase in value over the same period last year.

Vol. 7, Issue 09 -February - 2015

MEAT NEWS

AMUL targeting Russia for dairy products exports

mul, the country's largest dairy brand, is likely to beneﬁt the most from Russia's decision to lift restrictions on the import of milk, cheese and other dairy products from India.

Russia had to open its market to countries like India as it had imposed a one-year ban, in August, on a wide range of food products, including beef, pork, poultry, ﬁsh, fruit, vegetables, cheese, milk and other dairy products, from the US, Canada, the European Union, Norway and Australia. The move came in a response to penalties imposed on Russia over the crisis in Ukraine. Amul, a dairy brand owned by Gujarat Cooperative Milk Marketing Federation (GCMMF), is in talks with Galactika Group of Russia for exporting milk, cheese and other dairy products. “A team from Russia has also inspected our facilities earlier this month. We expect this to be sealed within the next couple of months,” R S Sodhi, managing director, GCMMF, told. Beside milk, Amul might export cheese, dried milk and other dairy products to Russia. However, Sodhi said the price of milk in the international market was a concern, and export at the moment might not be beneﬁcial for Indian companies. “We are looking into certain things,

including the prices, before taking a final call,” he added. “The talks are still on. There has been no movement during the visit as commercial terms have not been finalised,” a senior government official told. At present, Amul exports milk and other dairy products to about 20 countries, including the US, West Asian countries, Philippines, Thailand, Malaysia, Hong Kong, Australia, New Zealand, Japan, Afghanistan, neighbouring Bangladesh, Sri Lanka and Nepal, among others. According to media reports, Galactika, part of FoodLine Holding, has about three per cent share in Russia's milk market. According to data with the Russian Federal Customs Service, import of milk and products made from Western countries to Russia rose 10.4 per cent in the first quarter of 2014 to 1,423 million tonnes on a year-on-year basis. Import of milk and dairy products rose in Russia because of shortage of raw milk and cheaper import prices. India's exports to Russia stood at about $2.15 billion in financial year ended March. This was a fraction of Russia's total import of $318 billion. Of this, about $40 billion was spent to import food items from Western countries. Experts have estimated India could export about $400 million worth of dairy products to Russia in the first year itself.

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Beverages & Food Processing Times

Vol. 7, Issue 09 -February - 2015

BACK PAGE

Maha wastes 30 of fruits & veggies due to lack of processing facilities

lmost 30 per cent of the fruits and vegetables produced by farmers is wasted following lack of food processing units across Maharashtra. The state with a processing capacity of one lakh metric tonnes has failed to exploit the surplus vegetables and fruits produced in local markets following infrastructure shortage namely cold storage and processing units and up-gradation of technical knowhow to enhance the varieties of white onion, tomatoes and winery grapes.

cauliﬂower etc. Sources in the ministry of ﬁnance admitted, “ While there is a massive market for food processing in Maharashtra the primary concern relates to investment. As fruits and vegetables are perishable items the returns have been low which often dissuades the private players in the sector.”

The chief minister has assured that state will avail the centre's scheme which has huge budgetary provision under various schemes to promote food processing unit. The centre has spelled out the plans for mega-food parks. Currently, the state has planned ﬁve food parks worth Rs 406 crore . However, government reckons there are some

A senior officer in the ministry of agriculture revealed to Indian Express, “Chief Minister Devendra Fadnavis held a meeting with officials of NABARD and agriculture and horticulture departments to work out a concrete plan to promote the food processing sector in state.” The state is all set to make additional provisions to promote the public-private-partnership model to boost food processing and marketing sectors across state. Fadnavis said, “We will make a coordinated effort to promote the food processing industry which has a major potential to generate employment through small scale sectors. The emphasise on value chain is also to ensure farmers get better remuneration and also benefits the consumers.” According to the data furnished by government only 1.2 per cent of the fruits and vegetables are processed. While 70 per cent of the fruits and vegetables are consumed which are marketed as fresh there is a huge wastage of 30 per cent. The bulk of vegetables and fruits which goes as waste has the potential to provide for the food processing sector. The main crops that are available in state for primary and secondary processing includes grapes, pomegranates, cashew and mangoes, oranges. Sources revealed, “While discussing the state's road map ahead for 2015-16, pertaining to food processing industry, stress was laid on upgrading the technical know-how to the farmers to encourage them to produce variety of fruits and vegetables which are essential for processing industry and withstand the competitive market in the sector.” It was suggested that fruits, pulp juice and concentrate units can be set up in MIDC industrial areas. It is felt there is a potential for setting up of processing units for tomato, onion, cabbage okra,

Acceleration of Agri GDP growth in 11th plan

griculture GDP growth has accelerated in the 11th plan, to an average rate of 3.3 per cent, compared to 2.4 per cent in the 10th and 2.5 per cent in the 9th plan. The percentage of the population below the poverty line declined at the rate of 1.5 percentage points per year during 2004-05 to 2009-10, twice the rate at which it declined in the previous period 1993-94 to 2004-05 and rural real wages increased by 6.8 per cent annually in the 11th,. India's food grain production has more than doubled over the decades that followed colonial rule to a record 264 million tonnes in ﬁscal year 2014. But, to feed the fast growing population, with more than a quarter of them still estimated to be below the poverty line, the country needs to produce more. Even as the country has progressed in laying out the basic framework to take the economy to high growth path by building roads and ports and ramping up foodgrain production, a fast growing population and infrastructure woes demand more work to be done on multiple fronts.

Beverages & Food Processing Times

serious shortcomings which have been detrimental for boosting the processing sector and corrective steps needs to be taken urgently. While recognising that the investment in the sector should be on PPP model, it admits green houses, cold storage and ware house facilities cannot be overlooked.