Food Business News - Aug 31, 2010 - (Page 1)

August 31, 2010 FOODBUSINESS NEWS NEWS, MARKETS AND ANALYSIS FOR THE FOOD PROCESSING INDUSTRY Egg markets in turmoil after recall KANSAS CITY - Markets for one of the most basic protein sources and food ingredients - eggs and egg products - are in a major state of turmoil affecting prices and supplies after the recall of 550 million eggs due to Salmonella contamination. The Salmonella instigated recall of eggs from two Iowa farms, Wright County Egg and Hillandale Farms of Iowa, which appears traced to chicken feed (see related below), has garnered significant press and sent prices for graded or shell eggs, those sold at retail, skyrocketing. But prices for breaking eggs, those used dried or liquid in food processing either whole, blended or separated into yolks and whites, also were affected Continued on Page 18 Egg recall may be due to contaminated feed KANSAS CITY - Investigators from the Food and Drug Administration have confirmed through testing and DNA fingerprinting that the strain of Salmonella enteritidis that has caused over a thousand illnesses around the United States matches the strain identified at Wright County Egg of Galt, Iowa, and prompted the recall of hundreds of millions of shell eggs. Investigators also have found the same strain in feed from a feed mill at a Wright County Egg farm. What remains unclear is how the feed became contaminated. "I want to make clear we do not Continued on Page 12 Story on Page 19 Line extensions setting the pace Companies are using niche product innovation to improve category performance P roduct innovation is the most frequently cited way food and beverage executives say their company will drive revenue growth during the coming years, according to a survey released in July by the consulting firm KPMG L.L.P., New York. But research also suggests this has not been easy in the current economic environment and innovation today is much more niche-oriented. "We do see manufacturers are looking to drive growth through innovation," said Susan Viamari, editor of Times & Trends, a newsletter published by the SymphonyIRI Group, a Chicago-based research firm. "That was not super easy to do this year as consumers were very conscientious and a little bit more hesitant about buying new products." Ms. Viamari said SymphonyIRI research shows 46% of consumers tried new products in 2009. But that percentage reflects net new products, and consumers are much more likely to try line extensions than a completely new product because there is some Continued on Page 23

Table of Contents for the Digital Edition of Food Business News - Aug 31, 2010


Food Business News - Aug 31, 2010