Food Business News - Oct 28, 2008 - (Page 1)

FoodBusinessNews ® October 28, 2008 NEWS, MARKETS AND ANALYSIS FOR THE FOOD PROCESSING INDUSTRY Department of Justice seeks to halt JBS, National Beef deal Canada bans B.P.A. in baby bottles 17 Dairy COOL on the horizon? 28 Bakers bring functionality to bread market 46 MARKET WATC WATCH 2007 - 08 potato utilization Total production 447 million cwts French fries 38% Table 25% Source: U.S. Department of Agriculture Processors used 62% of potatoes iin 2007 2007-08. 08 Acquisition of Smithfield's Beef Group is not challenged WASHINGTON - A civil antitrust lawsuit was filed Oct. 20 by the U.S. Department of Justice (D.O.J.) in U.S. District Court in Chicago to block the proposed acquisition by JBS S.A., currently the third-largest U.S. beef slaughterer and processor, of National Beef Packing Company L.L.C., the fourthlargest U.S. beef processor. Brazil-based JBS is also in the process of acquiring Smithfield Beef Group Inc. from Smithfield Foods Inc., but the D.O.J. is not challenging that acquisition. JBS also bought Colorado-based Swift Foods Co. in 2007. National operates two beef packing plants in Liberal and Dodge City, Kas., and one plant in Brawley, Calif. National's annual beef sales are approximately $5 billion. "We are disappointed that the D.O.J. does not recognize that this transaction is pro-competitive, and we plan to vigorously contest the D.O.J.'s attempt to block it," said Steve Hunt, chief executive officer of U.S. Premium Beef L.L.C. The U.S.P.B. is majority owner of National Beef Packing Co. In explaining its lawsuit, the department charged Continued on Page 16 Chips 12% Dehydrated 11% Other 14% C.D.C. study shows incidence of food allergies in children on the rise ATLANTA - Approximately 3 million children in the United States under the age of 18 were reported to have a food or digestive allergy in the previous 12 months, according to a new study released by the Centers for Disease Control and Prevention on Oct. 23. The study, "Food allergy among U.S. children: Trends in prevalence and hospitalizations," revealed that between 1997 and 2007 the number of young people who had a food allergy increased 18%. Eight types of foods accounted for 90% of all food allergies: milk, eggs, peanuts, tree nuts, fish, shellfish, soy and wheat. The study also showed that hospitalizations of children due to food allergy reactions in the United States have significantly increased since 1998, with an average of 9,537 hospitalizations per year. In addition, the C.D.C. report noted children with a Continued on Page 8

Table of Contents for the Digital Edition of Food Business News - Oct 28, 2008


Food Business News - Oct 28, 2008