Food Business News - Nov 28, 2006 - 1

FoodBusinessNews
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®

November 28, 2006

NEWS, MARKETS AND ANALYSIS FOR THE FOOD PROCESSING INDUSTRY

PepsiCo
acquires
Naked
Juice Co.

Food industry decries some
trade-offs in W.I.C. proposal

11
I.R.I. projects
private label
expansion

33
Anderson
tapped to lead
Wendy's

55
MARKET WATCH

WASHINGTON - With public comments in
hand, officials of the U.S. Department of Agriculture's Food Nutrition Service were set to finalize
proposed changes to the government's Special
Supplemental Nutrition Program for Women,
Infants and Children (W.I.C.). It will be the first
time since 1980 that food packages provided to
program participants have been updated.
The final changes will take into consideration public comments but will remain based
on recommendations from the National Academies' Institute of Medicine (I.O.M.), with certain modifications to make the changes "cost
neutral." Some foods will be introduced to
W.I.C. food packages for the first time, such as
whole grain bread and fruits and vegetables.
Others will have diminished roles "in order
to be more consistent with the amounts of
these foods recommended in the 2005 Dietary
Guidelines for Americans and W.I.C.'s role
Continued on Page 22

Monthly milk production

billion lbs

23 states
15

2006

2005

2004

14

Culture
clash
Changes take place in the cultured dairy market

13
12

Jan. Mar. May

July Sept. Nov.

Source: U.S. Department of Agriculture

Production has exceeded year-ago
levels for 20 consecutive months.

Cultured dairy products, a market segment that features staples such as cottage
cheese, cream cheese and sour cream, is
experiencing new found growth through
the growing yogurt market. During the
past five years, sales of cream cheese,
cottage cheese and sour cream have remained steady, declined and modestly

increased, respectively. Yogurt sales, in
terms of dollar and unit volumes, on the
other hand, have skyrocketed.
According to ACNielsen's Strategic
Planner, which includes data from U.S.
food, drug and mass merchandisers, excluding Wal-Mart Stores, Inc., dollar sales
of yogurt increased to $3,143,934,146 for
the 52-week period ended Oct. 7, 2006,
from $2,491,694,027 for the 52-week
period ended Oct. 12, 2002. In comparison, sales of cream cheese for the same
period increased to $820,532,168 from
$811,209,049 in 2002.
The growth is part of a trend that
has been developing since 1990. According to the U.S. Department of Agriculture, production of all yogurt products has almost tripled from 1990 to
Continued on Page 29



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Food Business News - Nov 28, 2006

Table of Contents for the Digital Edition of Food Business News - Nov 28, 2006

Contents
Food Business News - Nov 28, 2006 - 1
Food Business News - Nov 28, 2006 - 2
Food Business News - Nov 28, 2006 - 3
Food Business News - Nov 28, 2006 - Contents
Food Business News - Nov 28, 2006 - 5
Food Business News - Nov 28, 2006 - 6
Food Business News - Nov 28, 2006 - 7
Food Business News - Nov 28, 2006 - 8
Food Business News - Nov 28, 2006 - 9
Food Business News - Nov 28, 2006 - 10
Food Business News - Nov 28, 2006 - 11
Food Business News - Nov 28, 2006 - 12
Food Business News - Nov 28, 2006 - 13
Food Business News - Nov 28, 2006 - 14
Food Business News - Nov 28, 2006 - 15
Food Business News - Nov 28, 2006 - 16
Food Business News - Nov 28, 2006 - 17
Food Business News - Nov 28, 2006 - 18
Food Business News - Nov 28, 2006 - 19
Food Business News - Nov 28, 2006 - 20
Food Business News - Nov 28, 2006 - 21
Food Business News - Nov 28, 2006 - 22
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