Food EU 6 by GDS International

COVER FSEU6 viz4:aug08

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Werner Bauer: “We had to transform even our most basic research facilities into nutrition and health research centres” www.foodsolutions.eu.com • Vol 4 Issue 1

RECIPE FOR SUCCESS With Royal Wessanen CEO Ad Veenhof Page 38

THE APPLIANCE OF

SCIENCE

Werner Bauer explains how a focus on research and development has driven Nestlé’s recent growth Page 30

R&D INNOVATION

RUNNING LIKE CLOCKWORK

RISING FOOD PRICES

General Mills’ Jeff Bellairs on why open innovation works

Inside Swiss food giant Migros, with CEO Herbert Bolliger

The UN’s Jacques Diouf addresses the issues

Page 56

Page 66

Page 144

TO KEEP US COMFORTABLE WE STRONGLY ADVISE YOU TO

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EDITORS NOTE FSEU:aug08

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FROM THE EDITOR

Can science solve the food crisis? Food shortages. Fuel and commodities price increases. Panic buying. Can cutting-edge advances in food technology provide the answer to the industry’s woes?

hether you blame demographic shifts, protectionist policies, climate change or just plain old bad luck, one thing is certain: the current global food system is not working. More than 860 million people around the world suffer from hunger, and of those, about 830 million live in devel-

oping countries. Even the developed economies of Europe and North America are feeling the pinch; where once the EU was flooded with oversupply, today the mountains of butter have gone, the grain silos stand empty and the lakes of milk have been drained. If the truth be told, the current crisis is probably down to a combination of all the above factors – a perfect storm of changing tastes, short-sighted decision-making and poor weather that has been amplified by current global economic pressures and helped to drive demand (and subsequently, prices) up. And it’s not just food shortages that are causing sleepless nights for policy-makers and industry executives alike: the rising obesity epidemic and the requirement for better nutrition also need addressing. Over 145 million people in the WHO European region are obese, while 23 million are undernourished. Science is just one area where significant advances are being made to tackle these issues – and nowhere are the R&D challenges being addressed more impressively than at Nestlé, the world’s largest food company. As Chief Technology Officer, Werner Bauer commands a whopping €1.1 billion budget and is leading some of the most innovative developments in the industry. “The longer we live, the more influence food has on our future health,” he explains. “We now need to take

“The next big advance to reshape the food industry has already been invented, and our goal is to be the first to find it” Jeff Bellairs, Director of External Innovation, General Mills (Page 56)

“More research in agriculture and knowledge building will enhance productivity growth” Marianne Fischer Boel, EU Commissioner for Agriculture (Page 88)

“We must seek sustainable and viable global solutions that will narrow the gap between global food supply and demand”

a much more holistic approach to how food and science inter-relate, looking at how nutrition and lifestyle choices impact upon metabolic health.” Indeed, nutrition is proving to be a hot topic amongst the executives we spoke to for this issue. Ad Veenhof, CEO at Dutch food producer Royal Wessanen, explains how his company is re-focusing on healthy food; while Herbert Bolliger, CEO at Swiss supermarket giant Migros, outlines why nutrition and quality play a key role in maintaining the company’s position as one of the world’s most admired firms. So with science influencing our eating choices for the better in terms of health, what role can it play in solving the issue of chronic food shortages? Many believe it will be critical, whether it be breeding staple crops such as wheat, rice, maize and soy to be more pest and weed-resistant, or genetically manipulating crops to provide boons that nature cannot match.The jury’s still out on such applications, but given the current situation perhaps the theory behind them is worth a second look. Whisper it quietly, but the industry is worried. At the recent United Nations Food Security Summit in Rome, Secretary-General Ban Ki-moon announced the formation of a UN task force to address the problem of mass hunger and food shortages, stressing the need for scientific advances in the long-term. Clearly, technology has a huge role to play in all our futures.

Dr Jacques Diouf, Director-General of the Food and Agriculture Organisation (Page 144) Ben Thompson Senior Editor

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CONTENTS FSEU:fst

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CONTENTS

LEAD FEATURES VOLUME 4 ISSUE 1 Q3 2008 www.foodsolutions.eu.com

38 Planning for healthy growth In just ﬁve years, Ad Veenhof has turned Dutch producer and distributor Royal Wessanen into one of the continent’s business success stories – and he doesn’t plan to stop there. Veenhof is on a mission to become the market leader in quality health food products – and most importantly, to prove to a sceptical public that such foods can be delicious.

44 Coca-Cola’s health kick Danny Strickland, Chief Innovation and Technology Ofﬁcer at The Coca-Cola Company, discusses the strides the world’s largest beverage company is making in the health and wellness arena, as it expands its geographic reach and global portfolio with a newfound health consciousness.

66 Succeeding in tough times In an increasingly competitive and challenging market,

where competitors are slashing prices, food costs are rising and consumers demand more information and choice, surviving in the food retail industry is tough. Herbert Bolliger, CEO of Swiss food giant Migros, explains what it takes to stay at the top.

COVER STORY The appliance of science

Can science help solve the world’s food crisis? Nestlé certainly thinks so. In an exclusive interview with Food Solutions the firm’s Chief Technology Officer Werner Bauer discusses why R&D is changing the face of food research, and how Nestlé is leading the way.

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CONTENTS FSEU:fst

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CONTENTS

FOOD SOLUTIONS EUROPE VOLUME 4 ISSUE 1 Q3 2008 www.foodsolutions.eu.com

48 Lipid Nutrition Meeting the health needs of a growing market

56 Switching on to R&D success Jeff Bellairs looks beyond the traditional boundaries of the enterprise

60 Less acrylamide, same tasty food By Thomas Erik Nilsson

64 The new whey and permeate drying process Henrik Jensen on new drying processes

72 Beating the fraudsters Food Solutions investigates the ﬁght against food fraud

74 Using near infrared spectroscopy By Holger Keller

76 A light at the end of the tunnel Françoise de Goeijen looks at new safety regulations

78 Safe and sound Dr Paul Young on food testing

80 Cold chain management 82 The future of food safety Jorgen Schlundt looks at what can done to open up communications

86 The ultra performance food safety system

ASK THE EXPERT “Our open innovation programme has opened our eyes to the tremendous innovation potential that exists outside the company”

General Mills’ Jeff Bellairs

52 Ferid Haji, Jungbunzlauer 54 Dr KW Quirin, Flavex 104 Ted Dickin, UTO 106 Dr Yuesea Eric Chen, Raycome International Corp

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CONTENTS

FOOD SOLUTIONS EUROPE VOLUME 4 ISSUE 1 Q3 2008 www.foodsolutions.eu.com

COLUMNS 24 Leslie Knudson 142 Rebecca Goozee 88 Agriculture for the 21st century Marianne Fischer Boel outlines agricultural policy challenges

102 Feed the world With Roger Gilbert

108 A fresh perspective Androula Vassiliou on strategies for better food safety

112 Keeping your cool Robert Arendal explains the beneﬁts of an efﬁcient supply chain

114 Dehumidification: the best solution for storing food

By Christine Modla

117 Balanced technologies Q&A with Paul Smits at Fancom

118 Energy management in flour mills 121 Belting solutions By Olaf Heide

124 Moving hygienic belting forward With Ian Hutcheson and Staffan Karlsson

130 Shaping plastic packaging 132 The traceability issue By Marty Kerluk

ROUNDTABLE DISCUSSION 92 Animal health

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CREDITS FSEU6:aug08

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Th soonere registe you more y r, the ou sav e! See www

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UPFRONT

P18 The Burning Issue P20 Issue in Numbers P22 The Five-Minute Executive P24 Comment: Leslie Knudson P28 Around the World in 80 Days

GLOBAL FOOD CRISIS LOOMS

www.foodsolutions.eu.com

he World Bank now believes that some 33 countries are in danger of being destabilised by food price inﬂation, while Ban Ki-Moon, the UN SecretaryGeneral, said that higher food prices risked wiping out progress towards reducing poverty and could harm global growth and security. Speaking at the United Nation’s Food and Agriculture Organisation (FAO) conference in May, Ban said world farm production will need to rise by 50 percent by 2030 to meet growing demand. Meanwhile Jacques Diouf, the FAO’s Director-

General, said that US$30 billion a year is needed to relaunch agriculture in the developing world and avert future threats of food conﬂicts. Even Europe is feeling the pinch. For decades, the industrialised world has enjoyed the luxury of producing far more milk, butter and wheat than its citizens could consume, exporting or even destroying the surplus. Some experts believe this luxury has now come to an end. Europe’s mountains of butter have been depleted, its grain silos emptied and its lakes of milk drained. “The era of overproduction is

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THE RESULTS

75% Increase in global food prices since 2000, according to the latest World Bank figures

25,000 Number of Indian farmers who took their own lives last year as a result of grain shortages and farming debts

73 million Number of people in 78 countries dependent on handouts from the WFP facing reduced rations this year

Three billion Expected increase in the world’s population by 2050; global demand for food will double by 2030

G8 BANQUET HARD TO SWALLOW t was meant to be a meeting to discuss solutions to the global food shortage – but that didn’t stop world leaders sitting down to an 18-course gastronomic extravaganza at the recent G8 summit in Japan. The dinner – plus sixcourse lunch – at the summit of leading industrialised nations on the island of Hokkaido included delicacies such as caviar, milk-fed lamb, sea urchin and tuna, with champagne and wines flown in from

Europe and the US. The extravagance of the menus attracted widespread condemnation. “It is deeply hypocritical that they should be lavishing course after course on world leaders when there is a food crisis and millions cannot afford a decent meal,” said Dominic Nutt of the charity Save the Children. “If the G8 wants to betray the hopes of a generation of children, it is going the right way about it. The food crisis is an emergency and the G8 must treat it as that.”

DINERS TURN TO INTERNET FOR QUALITY AND VALUE Michelle Smith, editor of toptable.com, ew figures released by the CBI said: “In spite of the credit crunch, diners show that dining out has fallen to seem to be continuing to make the most of a seven-year low – but restauwhat the UK’s gastronomic scene has to rants that have embraced online offer. However, there is no hiding from the bookings are bucking the trend, according fact that this is a time of economic instabilito toptable.com. ty and personal finances are becoming more The number of people booking through and more stretched. This toptable.com has soared 100 means we’re seeing a real inThe consumer percent in the last year, decrease in appetite for services spite the credit crunch. The in- services sector has like toptable.com that can fallen sharply, with crease in the profile of TV allow consumers the luxury of a balance of chef’s such as Gordon eating out for less. Ramsay and Jamie Oliver has “Money is undeniably sparked an appetite for good tighter for many diners, so food at affordable prices. The they’re becoming more choosy figures come in contrast to the lowest since about where they eat and how the CBI research, which November 2001 much they pay for it. toptshows that the volume of able.com provides a unique resource for findbusiness for the consumer services sector ing the best restaurants at the best price, and has fallen sharply in the last three months, we’re expecting to see continued demand for with the balance of 44 percent the lowest the service going forward.” since November 2001.

44%

behind us,” says Stephane Delodder, an agricultural specialist with Rabobank in the Dutch city of Utrecht. Indeed, the pressures in global food markets have grown so intense that, for the first time in its history, the United Nation’s World Food Programme is finding it hard to procure supplies of essential commodities. Some countries in the emerging world are now placing so many export controls on items such as wheat to conserve them for their own populations that they have refused to release supplies to the UN. www.foodsolutions.eu.com

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THE BURNING ISSUE

Impact of rising food prices As demand continues to outstrip supply, how can we address the issue of soaring food prices? Three experts at the recent FAO Food Security Summit in Rome provide their views.

Thinking long-term

Shifting focus

Historic opportunity

Mohammed Saeid Noori-Naeini, Independent Chairperson of the FAO Council

Lennart Bage, President of the International Fund for Agricultural Development

Josette Sheeran, Executive Director of the World Food Programme

There can be no doubt that many of the underlying pressures that are contributing to this situation are with us to stay. Indeed we are glad some of them are with us to stay. We are glad that more and more people can afford a more varied and nutritionally balanced diet. We are glad that there is competition for land, for improved housing and improved leisure. But we cannot be glad that in every society, even the richest, there are losers and that many of the poorest countries are overall worse-off and facing a greater challenge in feeding their people. We need more production, we need cheaper food and we need the means for people to obtain food – the most basic of all rights after the right to life itself. All politics are local, but we must think long-term local as well as short-term local. We must think comprehensively, not slogan by slogan, crisis by crisis.

Today, the world is literally paying the price for its past complacency. As we face the prospect of insufﬁcient supply to meet growing demand, and with prices predicted to remain high, the focus needs to shift back on agriculture. Much of the response to meeting increasing demand will come from large commercial farms, mostly in the North, which already enjoy access to ﬁnancial and technical services and markets for inputs and produce. But a major part of this extra production must come from smallholder farmers, who do not yet enjoy such access and must therefore be the focus of governments’ efforts and international support. There are around 450 million smallholder farms worldwide measuring two hectares or less, home to approximately two billion people. These small, family-based farms have tremendous, under-utilised capacity. With help, they can increase their production and productivity, raise their incomes and, at the same time, contribute to greater food security.

The world is producing more food for more people than ever in history. In less than 40 years, the world has cut the proportion of hungry in half, from 37 percent in 1969 to 17 percent in 2002. And I believe the high food prices and increasing demand present a huge, historic opportunity for developing world farmers. By 2050, with growth demand, the world needs to produce twice as much food. This simply cannot be done without huge investment in the world’s poorest farmers by governments, the private sector and the international community. But high food and fuel prices now threaten to short-circuit this potential and undo many of these hard-earned gains. WFP was able to buy 40 percent less food today than we could eight months ago with the same contribution, just because of soaring food and fuel prices. Only by pulling together, in the spirit of global interdependence, can we respond strategically to this challenge.

www.foodsolutions.eu.com

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ISSUE IN NUM8ERS

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8 23

Royal Wessanen’s revenues were

HIGHER QUALITY, LOWER COSTS: TOO GOOD TO BE TRUE?

€1.5 billion T in 2007 (p38)

General Mills has seen a 300% increase in the number of innovation concepts since G-WIN began (p56) The number of Nestlé factories totals

The Cool Chain Association was founded in

480 2003 (p30)

(p112)

Total world feed ouput is around

614million tonnes (p102)

EU12 new member states, agricultural income has risen by 40% since 2003 (p88) In the

he frenetic increase in raw material prices (cereals, maize and sugar) is a cause of concern worldwide, with continuous increases in the price of basic foodstuffs such as bread and pasta. Consumers are dismayed and feel impotent when faced with the speculation that lies behind the phenomenon. The major food industries specialised in the transformation of these products must increase their prices to make up for a drop in production, as well as lower profit margins. The solutions adopted by Agriflex SRL guarantee the same level of quality and reliability, placing particular emphasis on containing the plant’s running costs, thus helping customers limit investment and reduce their operating costs. The Agriflex solution, launched a few years ago, is based on a meticulous policy of corporate costs reduction, creating a more streamlined and thus more efficient production line. The industry is faced with two challenges. How can we contain the increase in production costs when faced with 50, 60 or 100 percent increases in the raw material cost? And how can we do so without lowering the levels of quality, both in terms of food safety and product quality, and in terms of equipment functionality and reliability – especially with regard to regulations, both concerning food and other applications, and the attention to quality and full customer satisfaction? Automation is surely the answer. Thanks to the amazing progress made in this field, Agriflex has developed dedicated software, complex in its structure and development, but simple and user-friendly. Such an investment pays off in the short-term (saving on new installations) as well as in the medium/long-term (drastic reduction in operating costs). Agriflex’s answer is based on 30 years’ experience.

GLOBAL FOOD PRICES TO STAY HIGH

ood prices are likely to stay high for the next two to three years until stocks are replenished, the United Nations’ food agency has said. The Food and Agriculture Organisation (FAO) told politicians in Canada that prices should ease as stocks build again, according to a Reuters report. FAO commodities economist Abdolreza Abbassian said below-average yields and drought had been a more signiﬁcant factor in rising grain prices than corn being diverted to biofuels. Source: just-food.com

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SAINSBURY’S JUMP IN FY PROFITS FUELLING THE RISE IN FOOD PRICES

ncreased sales have led to a jump in annuthe company made when it launched its turnal profits at Sainsbury’s, the UK’s thirdaround strategy – dubbed Making Sainsbury’s largest grocer. The company booked Great Again – in 2004. He said: “We have now underlying pre-tax profit of UK£488m for reported 13 consecutive quarters of like-forthe 12 months to 22 March, up like sales growth and Sainsbury’s 28.4 percent on the year. Including achieved UK£2.7bn additionbooked underlying al sales by March 2008 one-off charges, ranging from pre-tax profits of costs incurred during last year’s against the original stretching aborted takeover of Sainsbury’s target of UK£2.5bn. This is a by Qatar-backed fund Delta Two to great achievement in a chalthe inquiry into price-fixing in the lenging market. Our sales UK dairy sector, pre-tax profit growth is also reflected in inched up 0.4 percent to substantially improved profits UK£479m. Revenue was up 5.8 and operational gearing is percent to UK£19.3bn, with like-for-like sales excoming through. We have good momentum as cluding fuel rising 3.9 percent. we now focus on taking Sainsbury’s from reChief executive Justin King said covery to growth.” Source: just-food.com Sainsbury’s had “fulfilled the commitments”

UK£488

million

Rising fuel prices mean transportation costs now represent

65% of the total expenditure for the largest US emergency food aid programme Last year

25% of the US maize crop was turned into ethanol to fuel vehicles The US supplies more than

NEWSBITES • Retail giant Tesco has announced its intention to develop a wholesale cash-and-carry business in India, with an intital investment of up to UK£60m in the first two years. The business will be based in Mumbai. • Nestlé posted strong sales and earnings growth in the first half of this year. Group sales rose by 3.8 percent, while operating profit was up 6.1 percent. • Kraft Foods has sold its salted snack business in Scandanavia and the Baltic states to a Norwegian private equity fund.

60% of the world’s maize exports The European Union is aiming to make biofuels

10% of all transport fuels by 2020 You could feed a person for

1year from the grain that produces just one tank of fuel for a sports utility vehicle Source: Scottish Sunday Herald

www.foodsolutions.eu.com

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THE FIVE-MINUTE EXECUTIVE

The food sector goes high-tech Neil Cameron, CIO of Unilever, talks about technology, IT spend and the importance of clear architecture with Food Solutions.

Budget pressure is a day-to-day reality. You get it once a year when you set the budget and you get it every quarter when you review your results. Where you spend your time is the best indicator, and I spend the majority of my time building relationships, looking at where our priorities are, where we should focus and why we’re doing what we’re doing. I can’t meet everyone face-to-face – but we’ve certainly got a handle on many new technologies, such as video conferencing, live meeting technology and collaboration software, so you can start to connect with people. And if you cant do that in IT then frankly there’s a big issue. Leadership is lots of things: you have to own the vision, you have to stand for some-

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thing, you have to make it through the tough times when it’s hard, you have to be visible, you have to be accountable. You have to have a clear vision, people have to see what you stand for, trust you and believe in you. IT spend should demonstrate that we’re driving efficiency. If you can demonstrate that to the rest of the organisation then there’s a degree of comfort that the shape of what you’ve got should be about right. We have a mission statement, like everybody else. Ours is very clearly worded about what we’re going to do and how we’re going to do it. Rather than efficiency, we want to move to growth. IT in Unilever has been focused on driving efficiency and taking cost out. We want to shift that focus to growth, which is much harder. If you do it well and are successful it’s much more important.

We don’t want a million different ways of doing something. We want to have a clear architecture and sets of partners that we’re going to work with to get us there. The kinks are about shifting focus into growth and it’ll be gradual but we must start to do that, and we must make what we start to deliver much simpler. Ultimately we don’t invent anything inside Unilever IT anymore. We bring the outside in. I don’t design SAP, I buy SAP and then I conﬁgure it to ﬁt my business. We don’t write anything from scratch anymore. You’ve got to start saying “whose technologies am I going to bring in, and how am I going to make sure I always bring those guys in instead of the 12 others who could be doing it?” Part of that was informed by our view that the world is changing out there, there are going to be fewer and fewer big guys.

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LESLIE KNUDSON

Lessons from retail Or why Wal-Mart sales were up 5.8 percent at the same time that Starbucks hit a new 52-week low.

ough times are always good for revealing who will rise to the occasion – and in the case of today’s recession, the squeeze on the US economy has already begun to separate the men from the boys. Or in this case, the Wal-Marts from the Starbucks. In times of consumer scepticism – when the housing market has taken a dive and gas prices are sky high – businesses have to prove value and gain consumer trust and loyalty. Retailers, in particular, face the brunt of a tight economy, and the natural reflex is discounting. So while Wal-Mart gets to flex its strong foundational model built on discount, Starbucks sits in a fairly precarious position. In a cost-conscious consumer market, the first thing to go are the extras, and any budget-cutting advice columnist will tell you at the top of every list of unnecessary expenditures are those three-euro lattes.

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When the price of a gallon of gas becomes equivalent to a 16 oz. cup of coffee, all of a sudden they’re not so hard to give up. Built on the notion of ‘premium coffee at a premium price’, the specialty coffee drinks offered at Starbucks are meant to be considered a luxury – and a luxury drink simply doesn’t come at a discount price. Today, Starbucks finds itself in a state of underperformance with a dropping share price. And as part of a scrambling turnaround strategy, the company is playing with a string of promotions to improve store traffic, including free coffee and €1 discounts. Of course, Starbucks shot itself in the foot long before it had the economy to blame. Exclusivity doesn’t go well with overavailability and its out-of-control growth across the nation outpaced its own business model. Add to that too many product offerings and a deteriorating store experience and it’s no surprise that Starbucks recently announced the closure of 600 stores and the

laying off of 12,000 employees, impacting all major markets. Quite simply, what made Starbucks work is gone. Its ‘thing’ was that at one time it was a special luxury treat or experience, but its over-saturation makes it no longer a novelty and the rushed convenience-driven environment of the stores doesn’t make it feel special anymore. Its segue into speed and convenience is exactly why places like McDonalds are now giving the higherend coffee retailer a run for its money. It all goes back to business basics, and a recent quote in a media release by Wal-Mart President and CEO Eduardo Castro-Wright says it all: “Our underlying business is strong because of price leadership, clearly defined product offerings and a better store experience that continues to drive customers to our stores.” Starbucks take note. Sticking to its brand identity and continuing to build on its customer loyalty, the discount retailer reported a 58 percent surge in same-store sales for June, beating analyst expectations with an increase of 5.8 percent, and forecasts a two to four percent improvement for July sales. The bottom line is that in today’s cost-conscious consumer environment, value is more important than ever. Value goes deep into brand identity, product offerings, pricing and the kind of in-store experience offered. As of right now, all of these crucial ingredients seem to be in flux for Starbucks. The once-elite specialty coffee retailer is going to have a hard time getting back to its roots of exclusivity and its special customer experience, and until then will have to watch its value erode in the eyes of shareholders and customers alike.

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IMPROVING FEED CONVERSION RATES he cost of feed has increased dramatically in recent times. Since feed cost is the single biggest cost for any grower, this dramatic cost increase has a severe negative influence on the profitability of the grower. Feed conversion ratio (FCR) is all about growing the most kilograms of meat for every kilogram of expensive feed given to the animals. Numerous studies by researchers and the experience of a multitude of growers has proven that there is a direct relation between achieving the best feed conversion ratios possible and being able to apply effective climate control. To gain the greatest advantage from using climate control to improve feed conversion ratios requires the right products and the best application knowledge. Munters aims to be the global leader in providing effective and energy efficient cli-

mate control solutions to growers. As part of this ambition, the company acquired the well-known Danish ventilation specialists Turbovent Agro A/S during 2007. Munters has build up a wealth of climate control expertise and products over the years through extensive research, which has been further enriched with the acquisition of well known industry leaders such as Euroemme, Aerotech and now Turbovent.

CHEESE CHASING

he annual ‘Cheese Rolling’ tournament at Coopers Hill in Gloucestershire, UK, come round again in May with the winner carted off on a stretcher. The unique sporting event finds men and women pitting themselves against a giant rolling cheese down a hill with a gradient of 1:1. The 7.5lb Double Gloucester cheese is released as competitors hurtle down the hill in an attempt to grab it before crossing the finishing line. While organisers claimed the wet weather had softened the ground, 30 volunteers from the St John Ambulance were kept busy with 19 injuries. Christopher Anderson, 19, who won the first race, was carried off on a spinal board after injuring his back.

TRADE FAIR GREAT SUCCESS

1 2 3 4 5 6

The cheese can reach speeds of up to 70mph as it hurtles downhill

3000 competitors and spectators flock to the event from all over the world Since 1988, the cheese has been handmade by Diana Smart of Churcham, Gloucestershire

The race winner is usually allowed to keep the cheese

Post-war food rationing forced organisers to use a wooden cheese before 1954

In 1997, 33 people were injured, the highest toll in recent years

he 18th International Trade Fair Packaging Machinery Packaging Confectionery Machinery was held in Düsseldorf in Germany from 24-30 April this year. Shiner International, China’s market leader in anti-counterfeit and coated plastic films and a US public company, attended this famous exhibition in order to enhance the international brand force of its anticounterfeit and coated films, colour printing services and to further exploit international markets. As one of the most authoritative packaging exhibitions in the world, INTER PACK 2008 attracted around 170,000 visitors from over 110 countries – and Shiner International benefited from this famous trade fair enormously. Over the course of seven days, wholesalers and manufacturers from Western Europe, Eastern Europe, Africa, North America, Middle and South America and the Middle East came to Shiner’s booth to enquire about products and services, capacity of supply and other information for developing a long-term business partnership with Shiner. In addition, many existing customers also attended the exhibition and enjoyed the opportunity to communicate with Shiner face-to-face. Apart from the benefits in knowledge gathering and trust building, some new products were also introduced in detail. PVOH-related coated films are the key new products made by Shiner’s high-tech research centre. Its outstanding oxygen, flavour and aroma barrier is much better than PVDC. In addition, PVOH is non-yellowing, printable for any kind of ink and high yield. Furthermore, PVOH’s sensibility to moisture is reduced through Shiner’s improvement. Shiner International’s next international show will be PACK EXPO 2008 in Chicago in the US from 9-13 November this year. Every famous international trade fair is a stage for Shiner to show its high-tech new product development, capacity and quality of manufacturing, and its increasing international map of marketing.

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EUROPEAN BOTTLED WATER MARKET IS SPARKLING

ising health concerns in Europe have created opportunities within the bottled water market, which has traditionally lagged behind the soft drink sector in terms of popularity. As consumers become increasingly health conscious, they are switching from higher calorie carbonated soft drinks to bottled water. In addition, the European bottled water market benefits from the general reluctance in the population to drink tap water. New analysis from Frost & Sullivan finds that the market earned €24.52 billion in 2006 and is expected to grow at a compound annual growth rate of 2.5 percent in Western Europe and 17.7 percent in Eastern Europe during 2007-2010. Overall, the Eastern European market is likely to outpace the Western market in growth due to its larger untapped potential. While flavoured/enhanced water appears to have the brightest prospects, still water continues to account for the biggest share of market volume. The home and office delivery (HOD) segment also has great potential for growth, as it is a largely unexplored market. Bottled water companies will have to combat the campaigns mounted by municipal utility companies, which accuse bottled water companies of bottling the same water that is freely available via the utilities for a price. The bottled water companies need to initiate public awareness campaigns and publish statistics to counter this point. There are also concerns regarding pollution created by the disposal of non-biodegradable packaging material. Companies have to demonstrate corporate social responsibility by using environmentally safe materials.

Analysis from Frost & Sullivan finds that the market earned

24.52 billion in 2006 It is expected to grow at a compound annual growth rate of

2.5% in Western Europe and

17.7% in Eastern Europe during 2007-2010

NEW WARNING LABELS FOR SWEET FOOD COLOURINGS

FROM THE VAULT

Back in the Q1 2007 issue of Food Solutions, Catherine GeslaineLaneelle, Executive Director of the European Food Safety Authority, outlined how her organisation is tackling the EU-wide public health challenge presented by the obesity epidemic.

weets and other food containing six E-number colourings that increase hyperactivity in children will have to carry a health warning following a new ruling by the European Parliament. A report by the Food Standards Agency on the damaging effects of six dyes – E102, E104, E110, E122, E124 and E129 – formed the basis of the EU’s warning. Firms now have 18 months to put alerts on wrappers. Some of the best-known treats to be hit are Skittles, Revels, M&Ms and Lovehearts, as well as Lucozade Energy.

To read more, go to www.foodsolutions.eu.com and click on “Combating obesity” within issue five.

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COMPANY INDEX Q3 2008

28 3S Packaging Agriflex Agri-Food and Biosciences Institute Anitox Barry Callebaut Bayer Animal Health Büchi Labortechnik AG Buhler AG CDC Cool Chain Association Datamonitor DeLaval Denner Discount DSM DuPont Qualicom European Anti-Fraud Office European Commission European Food Safety Agency European Union Evonik Industries Fancom FDA

Companies in this issue are indexed to the first page of the article in which each is mentioned. 23 20 86 92 51 92 74 118 82 112 30 90 66 76 69 72 52, 88, 108 108 86 92 117 60

Federation of Migros Co-operatives (FMC) 66 FLAVEX Naturextrakte GmbH 54 Food and Agriculture Organisation (FAO) 60, 82, 144 Food Fraud Database 72 Food Fraud Task Force 72 Fort Dodge 92 General Electric 30 General Mills 56 Germanischer Lloyds 112 Habasit 121 Halnan Shiner Industiral Co 25 IARC 60 Illegal Meat Task Force 72 International Feed Industry Federation 102 International Food Safety Authorities Network 82 JECFA 60, 82 JohnsonDiversy 92 Jungbunzlauer 52 Kraft Foods 114 Lipid Nutrition 48 Maxim Integrated Products Inc. 80 Migros 66

Munters 114 Munters Europe AB 25 Nestlé 30 Niro A/S 64 Novozymes 60 PRISYMID 132 Promens 130 Raycome International Corp 106 Royal Philips Electronics 38 Royal Wessanen 38 Saint-Gobain Performance Plastics 124 Sandvik 124 Shell Lubricants 29 Slow Food 134 Subway 136, 138 The Coca-Cola Company 44 UK Food Standards Agency 72 UTO 104 Wal-Mart 24 Waters Corporation 78, 86 World Health Organisation (WHO) 60, 82, 102, 112

AROUND THE WORLD IN

US FARM BILL IGNORES GLOBAL ISSUES

Our guide to the most exciting developments in food and agriculture over the last quarter.

The US Congress has passed a $290 billion farm bill, which will increase subsidies to US farmers and cut international aid programmes. With global food prices skyrocketing and global fears of a potential food shortage growing, the bill sends a disappointing message from the US to the rest of the world and has been widely condemned by the international community.

80DAYS

FS IMPACT RATING:

CHINA READY FOR SAFETY CHALLENGE Health inspectors are maintaining round-the-clock inspection at up to 148 food plants providing meals for the Beijing Olympic Games, according to local media. The inspectors are monitoring production processes and sanitation, while also carefully checking product quality. Chinese-made products were at the centre of a series of global safety scandals last year.

ZIMBABWE FACES FOOD SUPPLY CRISIS Zimbabwe’s official inflation rate has escalated to 2.2 million percent, driving the cost of a loaf of bread to about one-third of a teacher’s monthly salary. Zimbabwe’s economic collapse, combined with drought and crop failures, has left two million people short of food, with aid agencies warning that the figure could rise to five million by January next year. FS IMPACT RATING:

WORLD TRADE TALKS HIT IMPASSE Analysts have said that the collapse of the Doha talks could symbolise an end to multilateral trade agreements. Instead, nations may pursue dual agreements with partner nations, preferring to focus on their own requirements rather than a more common negotiating goal. The talks in Geneva were complicated by recent increases in the price of food and fuel. FS IMPACT RATING:

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FS IMPACT RATING:

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TOP 10 FOODS FOR BETTER HEALTH

CITRUS

VEGETABLES

WHOLE GRAINS

SALMON

hectic lifestyle makes it easy to skip a meal or just grab less-thannutritious food on the run. But a busy day doesn’t have to stand in the way of great health. A multivitamin is great insurance for days when you do miss a meal or two, but real food should always be your primary source of nutrients. Keep these 10 foods on hand at all times, and you’ll be able to whip up a delicious meal or snack that will keep your energy up and your immune system strong.

LEGUMES

NUTS AND SEEDS

LEAN PROTEINS

TEA

OLIVE OIL

PROBIOTIC YOGURT DRINKS DO WORK

robiotic drinks and yoghurts are good for the health, according to a new study. Scientists have claimed buying the drinks is a waste of time because the products contain too few bacteria to make a difference. But the latest research suggests that they have a clear effect on the body. Jeremy Nicholson, who studied the products at Imperial College London, said: “Some argue that probiotics can’t change your gut microﬂora – whilst there are at least a billion bacteria in a pot of yoghurt, there are a hundred trillion in the gut. Our study shows that probiotics can have an effect. We’re still trying to understand

what the changes mean in terms of overall health, but we have established that introducing friendly bacteria can chance the dynamics of the whole population of microbes in the gut.” Earlier research has suggested that probiotics help prevent bowel conditions such as ulcerative colitis, protect children against allergies and may even reduce the risk of colon cancer. They may be particularly beneﬁcial for older people, bolstering levels of friendly bacteria that dwindle with age. The foods may also be useful for those on antibiotics, replacing good bacteria that are killed off by the drugs.

FIRST ISO 21469 ACCREDITATION AWARDED

hell Lubricants have become the very first recipients of the ISO 21469 international standard for food sector lubricants. Shell food grade lubricant products are currently the only ISO 21469 certified products available globally. ISO 21469 is a hygiene standard designed to improve the safety of machinery used in food production and packaging when using food grade lubricants. Attainment of this ISO standard is certification of the end-to-end quality process of Shell’s food grade product formulations and manufacturing. To achieve this standard, Shell Lubricants underwent a four-stage accreditation process, submitting comprehensive product formula and labelling information to the NSF for review. The NSF conducted a thorough physical audit of Shell’s plant in Bern, including checks on hygiene conditions and verification that ingredients used on-site match those recorded in the product formulas already submitted. Samples were also collected for independent chemical testing of food grade lubricants at the NSF laboratory. Finally, Shell Lubricants submitted a risk assessment, demonstrating that every possible measure is taken to ensure that the customer’s food grade lubricants will be manufactured to the correct standard. “Food safety is an important issue and ISO 21469 will help to ensure better standards of lubricant hygiene, offering peace of mind to manufacturers and consumers alike,” commented Shell Lubricants Food Sector Product Application Specialist, Eduard Stempfel. “We believe that the work involved in qualifying for ISO 21469 is very important if it helps to maintain food grade product assurance and high levels of food safety for all. We’re delighted to be the first supplier to achieve official certification.” This accreditation proves that ISO 21469 is achievable and it now sets a benchmark for other food sector lubricant suppliers to follow.

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THE BIG INTERVIEW

The appliance of science Can science help solve the world’s food crisis? Nestlé certainly thinks so. In an exclusive interview with Food Solutions’ Senior Editor Ben Thompson, the firm’s Chief Technology Officer Werner Bauer discusses why R&D is changing the face of food research, and how Nestlé is leading the way.

erner Bauer is a happy man. The night before our interview, his beloved Germany beat Turkey in an epic semi-final at Basel’s St Jakob Park stadium, a game he attended, to reach the final of the Euro 2008 Football Championships in Vienna and send Germans everywhere into a state of rapture. When we meet the next morning, he is still very much high on that winning feeling. “It was a great game, a really fun game to watch,” he says, beaming. “Turkey played really well, but we scored some terrific goals and in the end were probably a bit more clinical. We just know how to win.” He could just as easily be talking about Nestlé itself. The company has a well-deserved reputation for operational excellence, and ever since Henri Nestlé developed the first milk food for infants in 1867 – saving the life of a neighbour’s child in the process – the company has steadily grown to become the world’s largest food firm, employing a busi-

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ness model based around delivering innovative solutions for human health and nutrition. With 2007 revenues of €65.9 billion, it is clear that Nestlé, too, knows how to get results. Much of this success can be put down to the company’s decision a few years ago to refocus its activities on health and concentrate on the nutrition and wellness sector. It’s a transformation that has been heavily reliant on R&D, and as such Bauer has been a key figure in integrating a culture of innovation into the very fabric of Nestlé’s operations – a task made easier by the highregard in which R&D has always been held at the food giant. “This company has always had a very good attitude towards R&D,” he explains. “I remember when I first joined the company 20 years ago, there was a tremendous sense of goodwill towards research and development, a belief that whatever the problem, R&D has the potential to fix it. That attitude has not changed.”

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“When I first joined the company 20 years ago, there was a tremendous sense of goodwill towards R&D, a belief that whatever the problem, R&D could fix it. That attitude has not changed”

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Global headquarters of Nestlé, Vevey, Switzerland

Better understanding

Nonetheless, there were still signiﬁcant hurdles to be overcome for the company to realise its vision. “For me, the greatest challenge in moving from a classical agroconverter company into a nutrition and wellness company was realigning our competency areas,” continues Bauer. “We had to transform our organisation into one where we developed high added value products, which meant we had to build up our R&D capabilities, transforming even our most basic research facilities into nutrition and health research institutions.” Many of the areas in which the company had previously been strong – such as the processing of agricultural bulk work for the development of foodstuffs such as French fries and tomato sauces – were sold off, and investment switched to building out more added-value environments. It was a major shift, involving knowledge acquisition around a whole host of cutting-edge areas, including new technology platforms and evolving research into areas such as enzymatic processes, metabolism and bioavailability. “We needed to find out all about how the body metabolises, and find out how those processes influence your health status,” says Bauer. “This was a new category for us, and it put quite a stress on the R&D organisation. Expertise in all these new areas had to be established before we could drive forwards, so it was quite a heavy change over time.”

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He is in no doubt, however, that the effort has been worth it, with an increased understanding of how nutrition and lifestyle choices impact upon body composition and metabolic health proving to be a valuable tool in new product development. “We have thousands of products, and this new focus has really enabled us to look at the nutritional value of each of those products, based on the latest scientific research,” he says. It’s a key area for Nestlé, informing all of the company’s decisions around the launch of new products. Internally, the firm is guided by what Bauer refers to as “the 60/40 plus” formula, an internal process that requires all R&D, marketing and product development staff worldwide to judge products based on two criteria. “First, in a blind taste test between our product and the competition, our product has to have 60 percent superiority,” he explains. “Ideally, we want to be higher than that, but with a minimum 60 percent superiority we can launch that product. Secondly, we aim to achieve nutritional superiority.” This means that once all the basic criteria have been met (low salt content, sugar adequacy, low-to-nonexistent trans-fatty acids) then the product must be nutritionally superior to competing brands – the ‘plus’ element. “We have over 360 nutritionists in our various R&D centres looking at the continuous nutritional improvement of our products, and the 60/40 plus process provides an internal quality management tool for this.” For Bauer, the key challenge is in translating scientific advances into defined consumer benefits. Take weight management, for instance. “When you understand the mechanisms around satiety, you can build it in to your products and deliver higher satiety with lower calorie intake,” he suggests. “Another area of research is based around the impact of calorie-burning foods. For example, capsicum (found in chilli peppers) has been shown to stimulate the body’s metabolic rate – helping to burn more calories – as well as having antioxident effects. These are both advances that have a clear, defined consumer benefit – that of helping customers to better manage their weight.”

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A further area of interest is the company’s Healthy Recovery programme, which helps patients undergoing treatment for various conditions to improve their diet as a means to combat the negative health effects of therapy. “Cancer treatment, for instance, has a huge impact on both your metabolic and physical status,” explains Bauer. “Part of our work is developing specific nutrition for people undergoing heavy treatment, because we’re seeing that nutrition can be a key factor in preparing the body for the successful application of these therapies. It’s a fascinating area, very much linked to understanding the body’s needs under specific conditions.”

so far that the benefits are generally accepted because the scientific literature behind it has come such a long way.” And although it took more than 10 years to move from basic science to consumer acceptance, Bauer sees this as a positive step. “I think it’s good that there is a reluctance just to jump on the next bandwagon, and instead a desire to understand what happens and why,” he says. “Today we understand the mechanisms behind probiotics, and that allows us to extend the concepts further. For example, once you understand the link between your intestinal constitution and how your skin reacts, then you can influence the status and health of your skin through the use of probiotics, which is something we never could have predicted 10 years ago. Today, we have products on the market that help against sunburn that stem from a probiotic concept. So science has progressed dramatically.” Indeed, Bauer believes the way that food has become an integral part of disease prevention – as opposed to just being thought of as sustenance – provides a huge area of opportunity for Nestlé. “The longer we live, the more influence food has on our future health,” he explains. “We now need to take a much more holistic approach to how food and science interrelate. I remember 20 years ago when we were first starting to talk about functional food, and people thought it sounded like moon-food, real sci-fi stuff. But now people are coming round to the idea that there are certain things that are really good for your long-term health. Actually, we are reverting back to some of the old beliefs our grandparents had about the effects of certain foodstuffs.”

FAST FACTS: NESTLÉ

Global headquarters: Vevey, Switzerland

A more scientific approach

2007 revenues: €65.9 billion

In this respect, he sees the industry moving closer to the model used by the big pharmaceuticals companies in terms of the way it uses scientific research for product improvement. “We have certain responsibilities, and need to maintain strong principles around how we use science,” he says. “Clinical research has to have significant control mechanisms. For example, everything we do worldwide in clinical research goes through a committee that decides on the setup of the study, the outcome of the study, the statistical significance of the study, and so on. A company of our size and reputation could never afford to have a gimmick result used for a legitimate claim.” But with a growing body of scientific research behind it that attests to the health benefits of nutritionally improved food products, Nestlé has no need for such gimmicks. Bauer cites probiotics as a development where the advantages of the product speak for themselves. “Ten years ago when we launched the first probiotic products, it was unbelievably difficult to communicate the benefits,” he says. “Today, the understanding has progressed

Worldwide employees: 276,000 No. of factories: 480

Research in the pipeline It’s yet another example of the way food industry R&D is moving down a similar path to that of the pharmaceuticals sector. Today, scientists un-

TIMELINE: KEY DATES 1918-1938

1866-1905 In 1867, Henri Nestlé developed a food for babies who were unable to breastfeed. His first success was an infant who could not tolerate his mother’s milk or any of the usual substitutes. Soon, Farine Lactée Henri Nestlé was being sold across Europe.

1905-1918 In 1905, Nestlé merged with the Anglo-Swiss Condensed Milk Company. By the early 1900s, the company was operating factories in the US, Britain, Germany and Spain. By the end of World War I, Nestlé’s production had more than doubled.

After the war, government contracts dried up and consumers switched back to fresh milk. However, Nestlé’s management responded quickly: the 1920s saw Nestlé’s first expansion into new products, with chocolate Nestlé’s second most important activity.

1938-1944 Profits dropped from US$20 million in 1938 to US$6 million in 1939. Ironically, the war helped with the introduction of the company’s newest product, Nescafé, a staple drink of the US military. Nestlé’s production and sales rose in the wartime economy.

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derstand much more about genomics and the reasons why some people are more predisposed to certain illnesses than others, and much of this research is being transposed across to the food industry. For Bauer, this means the dawning of a new age of personalised nutrition. “The more we know about human genetics and nutrition, and how they interact, the more we are able to help people make decisions about what they should eat, how much they should eat, when they should eat, and so on. We are increasingly seeing that what works for one person will be different for another.” And with the idea of personalised nutrition mirroring – conceptually, at least – pharma’s advances in personalised medicine and targeted treatments, Bauer is excited by the possibilities it offers. “This more customised approach to nutrition will be beneﬁcial for future generations, for sure,” he enthuses, “and it’s something we’re really focusing on. We’ve actually been able to take a number of best practices from the pharma industry to help drive this. For instance, for many years now we have employed the pipeline

“The more we know about human genetics and nutrition, and how they interact, the more we are able to help people make decisions about what they should eat, how much they should eat, when they should eat”

approach to our R&D, which means we have a constant flow of innovation in specific categories – such as infant formula and clinical nutrition, for instance – and are able to look at that research in terms of what the project will be worth in future values.” The other key area is diagnostics. “If you could measure whether you were salt-sensitive or not in a simple way, you could immediately adapt your nutritional intake to reflect this,” Bauer says. “In this regard, diagnostics will play a clear role in the future, especially non-invasive diagnos-

tics – people who want to change their lifestyle and nutritional behaviour don’t necessarily want to undergo heavy invasive diagnostics. In fact, we are currently working on a partnership with General Electric to develop noninvasive diagnostic tools to help meet this demand.”

The value of partnerships Further partnerships will certainly be key for the company going forward. And while the rapid developments in the application of science and

1975-1981

1981-1995

2003+

Nestlé’s growth in the developing world partially offset a slowdown in the company’s traditional markets. Nestlé made its second venture outside the food industry by acquiring Alcon Laboratories Inc.

Nestlé divested a number of businesses1980/1984. In 1984, Nestlé’s improved bottom line allowed the company to launch a new round of acquisitions, the most important being American food giant Carnation in 1985.

2003 started with the acquisition of Mövenpick Ice Cream. In 2006, Jenny Craig and Uncle Toby’s were added to the portfolio and 2007 saw Novartis Medical Nutrition, Gerber and Henniez join the company.

1996-2002 1944-1975 Growth accelerated. In 1947 came the merger with Maggi seasonings and soups. Crosse & Blackwell followed in 1960, as did Findus (1963), Libby’s (1971) and Stouffer’s (1973). Diversification came with a shareholding in L’Oréal in 1974.

Since 1996 acquisitions have included San Pellegrino (1997), Spillers Petfoods (1998) and Ralston Purina (2002). In 2002, Nestlé merged its US ice cream business into Dreyer’s, followed by a US$2.6 billion acquisition of Chef America, Inc

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technology are undoubtedly having a positive impact on the food industry, Bauer concedes that they do pose some organisational challenges. “You cannot have all competencies and capabilities available, all the time, within the four walls of your organisation,” he says. “The speed of change is far higher than the speed at which you could adapt all your resources to keep up.” As a result, Nestlé has developed a number of partnerships with universities in order to help get ahead of the game, with around 200 major contracts in place – for example, to help with basic research work into proteins and their value to the healthcare side of the business. The company has also created a venture capital fund to benefit from the brilliant ideas being formulated at the many start-up companies within the sector; since 2002, Nestlé has invested in 80 start-up companies investigating new ideas in areas such as immunity, triggering and allergy prevention. The final element of the strategy involves improving collaboration with the company’s various supply partners in order to take advantage of those firms’ own substantial R&D capabilities. “We decided to create an innovation partnership model with those companies, and it is one of the most efficient tools we have put in place over the past few years – highly efficient, highly focused and with a high level of trust established,” explains Bauer. “We now have 15 such R&D partnerships in place.” It’s clearly an approach that works well, and Nestlé was recently cited in a Datamonitor study as having one of the most holistic approaches to open innovation systems in the industry. For Bauer, this success is all about setting the rules of engagement at an early stage of the game. “To build the right level of trust, you need to have clear contracts. For each of these partnerships, we have the same frame contract, which makes clear who owns which patents and the IP behind them. We set these guidelines before we even start working together, which is a very efficient way of working.”

Challenging times And it needs to be. The food industry is entering a period of sustained pressure, with more demand, less supply, ill-judged agricultural policies and the rise of biofuels all contributing to rising prices in what Nestlé CEO Paul Bulcke has referred to as “a perfect storm”. Add to this the fact that much of the developing world is still suffering from food shortages and malnutrition and it is clear that these are challenging times for food industry executives. So what does Bauer see as the key trends over the coming years? “For me, the biggest driver of change is the demographic changes currently taking place,” he says. “What are the speciﬁc nutritional needs of a population in which a major proportion is aged 65 or over? That’s a much bigger focus for us now than it was 20 years ago. We also clearly need to invest in more R&D behind obesity issues.” Lifestyle change is the next big driver of change in the food industry, something Bauer believes is very much triggered by urbanisation. “Around 80 percent of the population today already live in urban environments, so this has led to totally different feeding behaviours,” he explains. “For instance, fewer people take their breakfast at home anymore, but rather in the ofﬁce environ-

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NEW NUTRITION FACILITY In April this year, Werner Bauer inaugurated a Nestlé Nutrition facility in Konolfingen, Switzerland, to produce new-generation probiotic infant formula under the NAN brand and enable Nestlé Nutrition to meet the growing needs of consumers in over 90 countries. The inauguration marks the first stage in a series of investments totalling around €109 million over the next three years, strengthening Konolfingen’s position as a global manufacturing site for highly-specialised infant formula and healthcare nutrition. The new Nestlé Nutrition industrial site will benefit from synergies with Nestlé’s Product Technology Centre, also based in Konolfingen. The establishment of the new Nestlé Nutrition plant is a further sign that Nestlé sees the nutrition business as one of its key strategic areas with above-average growth and profit potential over the coming years. Nestlé Nutrition is today the world leader in specialised nutrition with annualised sales of about €6.7 billion in 2007.

ment or on their way to the office. These kinds of things clearly have an impact on what you deliver to the consumer in terms of products.” Management of key resources will also be critical. “Scarcity of good water. Scarcity of good agricultural land. Scarcity of certain raw materials. Scarcity of oil. All these factors will lead to the necessity to rethink food production and distribution, how it’s transported and over what distances. We could see a return to the values of local production and consumption.” The good news is that the final driver for change cited by Bauer is the pace of technological development. “Science and technology is progressing ever faster, so hopefully we will have even better solutions to some of the three first challenges,” he says. “As a company very heavily involved in R&D, Nestlé will be at the forefront of these rethinks in terms of how we currently do things. It’s an exciting time.”

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CEO PERSPECTIVE

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PLANNING FOR HEALTHY

GROWTH In just five years, Ad Veenhof has turned Dutch producer and distributor Royal Wessanen into one of the continent’s business success stories – and he doesn’t plan to stop there. Veenhof is on a mission to become the market leader in quality health food products – and most importantly, to prove to a sceptical public that such foods can be delicious. By Rebecca Goozee

ealth food has traditionally suffered from something of an image problem. Think of healthy eating, and images of brown rice, lentils and pulses most likely spring to mind: undoubtedly good for you, but tasty? Forget about it. Most of us would rather have our teeth pulled than sit down to a dinner of alfalfa sprouts and wholewheat pasta. But is this an outdated stereotype? Ad Veenhof’s Royal Wessanen certainly thinks so, and aims to change that perception by providing healthy alternatives that are both nutritious and tasty. “The common factor that characterises all of our products is authenticity,” explains Veenhof. “This is driven by a firm belief that our customers want, above all, food that is true to its origins, either in terms of its ethnicity or the purity of its ingredients. We believe that Wessanen brands can differentiate themselves in the marketplace by adhering to true authenticity – not just in terms of the product itself, but also in the way each product is marketed and through packaging and promotion.” Wessanen has a long heritage in the food business, reaching back to 1765 when it first began trading in mustard, canary and other seeds. Today, the company has a fully diversified global sales market, producing and distributing natural and organic products as

well as quality food products. In recent years, under the guidance of Veenhof, the company has experienced redesign, restructure and rebuilding to create a highly efficient and cost-effective method of getting products to the marketplace, using state-of-the-art logistics and marketing techniques. Distribution operations have been benefiting from Wessanen’s Smart Assortment service, for example, as well as several other value-added services. In 2004, after detailed consumer and market research, Veenhof’s team identified two groups of food products that they felt offered the best opportunities for growth: pure, natural and organic foods, and ethnic specialties from around the world. “We called them Health and Premium Taste,” he says. Now, with a focus on these products, Wessanen is ready to launch its Health and Premium Taste brands in both the European and North American markets. Due to the significant potential of the health and gourmet market – particularly with increasing numbers of consumers becoming more aware of what they eat – Wessanen, with Veenhof at the helm, is preparing to become the market leader in this area. “We aim to differentiate from mainstream health categories by offering an attractive portfolio of great-tasting natural and organic products for the socalled conscious consumers,” he says.

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SUSTAINABILITY STRATEGY Over the next five years Wessanen is embedding a culture of sustainability into the company through: • The involvement of top management on the Sustainability Board • Continuous improvement of sustainability performances by setting SMART targets, using the Plan-Do-Check-Act cycle and promoting a factbased approach • Maintaining transparency by providing internal and external stakeholders with a fair representation of activities and goals • Taking an integral approach towards sustainability – products, planet, people and profits – and integrating these in existing management systems and processes • Focusing on its direct sphere of influence and thus creating the foundation to widen the scope of the sustainability strategy in the future to include indirect impacts up and down the supply chain

Health food There has undoubtedly been growth across the spectrum of the health food market in the last decade, and despite rising food prices, this trend looks set to continue. Veenhof believes that today’s consumers are increasingly better informed through a mixture of media, marketing and globalisation, resulting in an increased awareness of environmental and health issues. This awareness triggers a desire to eat more healthily and pay attention to their food with regard to food safety and production methods, says Veenhof. On the whole, more and more consumers study product labels for information about the origin of the food they purchase, as origin reﬂects quality and authenticity. “Supportive trends in the past couple of years have been healthy eating on-the-go, such as fruit drinks, smoothies and breakfast beverages,” he suggests. “There has also been a growing popularity in natural and healthy herbals and botanicals, such as herbal energy drinks and energy bars.” Wessanen’s focus on health foods concerns healthy and authentic food products that are cultivated in an organic manner, containing no artiﬁcial additives or that have undergone no processing, or are exclusively vegetarian.

“Our health food range comprises of a rather broad portfolio of products and brands, varying from organic breakfast cereals to multigrain chips, herbal teas and vegetarian spreads.” Target consumers are principle-conscious, who are critical about their social and natural environment. “These consumers shop at neighbourhood natural food stores and general grocery stores, where our brands command trust and respect thanks to our reputation for purity and authenticity,” says Veenhof. Wessanen also have a Premium Taste portfolio, aimed at speciﬁc segments and categories, such as authentic Asian foods, Mediterranean specialties and French gourmet products. “Target consumers are adventure-conscious, and have an international orientation, taking pleasure in exploring new ﬂavours. These consumers shop for our authentic premium-quality products in specialist ethnic stores or in the international aisle of the general grocery store.”

Food safety As customers become better informed they will increasingly insist on quality and safety in the food chain, and companies will have to be more creative in how they source products to meet the growing needs of an expanding and diversifying population base. Food safety is a top priority, says Veenhof. “For one, all our production facilities comply with BSC, IFS and in the near future the new ISO 22000. And in addition to this, the Wessanen Food Safety Plus (WSF+) standard goes beyond the legal requirements and builds on HACCP and the new ISO 22000 standard regarding food safety.” Reaching beyond ISO 22000, the WSF+ includes additional requirements in the field of contamination risks, transport, training, purchasing, traceability and new product development. In the future, Veenhof aims to incorporate external audits on issues such as food safety, product responsibility, social and ethical indicators.

“The common factor that characterises all of our products is authenticity. This is driven by a firm belief that our customers want, above all, food that is true to its origins, either in terms of its ethnicity or the purity of its ingredients.

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Along with food safety, transparency and traceability are two key issues in the food industry that are essential for operations to run smoothly. In 2007, Wessanen made a general analysis of all possible sustainability issues in the food supply chain. This analysis resulted in the Wessanen Identified Social and Ecological issues (WISE) list. Next, a Wessanen team identified the 10 most used ingredients in their branded products portfolio and established a sustainability risk profile for each of them. “In order to make a direct link between our products and supply chain responsibility, we will integrate criteria for sustainability into the lead buyers and new product development processes by the

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SEVEN STRATEGIC THEMES ■ TRANSPARENCY AND ACCOUNTABILITY: Being honest, clear, open and timely about performance, business activities and products. ■ SUPPLY CHAIN RESPONSIBILITY: Striving to optimise the supply chain by co-operating with supply chain partners. Important elements of this are the pursuit of transparency, a controlled supply chain and a constantly improving supply chain. ■ GOVERNANCE: Honest stewardship and good management is vital for a company to be successful. ■ ENVIRONMENT: Minimising the negative impact of products and processes on the environment, from both the perspective of internal environmental care and supply chain orientated environmental care. ■ EMPLOYEES: Wessanen guarantees the conditions for its employees to make sure they are engaged, motivated and involved in business processes. ■ HUMAN RIGHTS: Wessanen respects and supports the human rights of its employees and all other parties affected by its business. ■ PRODUCT RESPONSIBILITY: We have a responsibility in guarding and contributing to the health of people. Honest, explanatory information about food is part of this responsibility.

end of 2008,” says Veenhof. “By disclosing the origins of our products we are able to fulfil our promise of authenticity. In this process, we achieve transparency and create internal and external pressure to become more sustainable.”

Sustainability Indeed, Wessanen is committed to making a contribution to sustainable development in all of it’s businesses. Veenhof claims that Wessanen products are bought by discerning consumers for whom social, environmental and ethical issues are important. “These consumers want to be sure that the ingredients are pure and natural, and that the supply chain carrying the product from ﬁeld to table is environmentally, ethically and socially responsible,” says Veenhof. “It is therefore essential to show that we are

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passionate about maintaining a business approach that is built on purity, fairness, safety and environmental responsibility.” Veenhof has been systematic in his approach to sustainability, creating a framework that enables the company to monitor social, environmental and financial performance across the organisation as a whole. Waste volumes, carbon footprint and cooling agent consumption have all been monitored, as well as the number of employee training hours, injury frequency and severity. Data is gathered annually and published in the company’s Sustainability Report, which measures and monitors the impacts and responsibilities of the supply chain, giving insight into responsibilities with regard to products, people, planet and proﬁts. Along with Wessanen’s Sustainability Report, the company’s sustainability policy also includes several themes. “Since we want to think of sustainability as a core element of our organisation, we integrated this concept in our business principles, which describe our responsibilities and commitments towards our stakeholders.” Based on these business principles, seven themes have emerged, namely: transparency and accountability, supply chain responsibility, governance, environment, employees, human rights and product responsibility.

Product responsibility One element of this themed policy means that Wessanen maintains product responsibility, which for Veenhof means that besides being safe and bona ﬁde, products have a pureness of taste, contribute to balanced nutrition or are based on recipe heritage. “We carry a large assortment of health products, including organic, natural, vegetarian and dietetic,” explains Veenhof. “The key to our success in this area is marketing, and in particular consumer information. A number of our brands have helpdesks in place, offering personal advice with regard to the use of our products. Furthermore, we make sure the health claims on our products are valid and assessed on a regular basis.” Veenhof is keen to point out that product packaging plays a key role in the development of new products in terms of marketing, as aside from its protective function it is also a chance to convey the correct message in terms of marketing (being attractive and authentic), and consumer information (containing the correct labelling and health claims). As well as this responsibility, Veenhof is also keen to look at improving other areas in the coming months – for example, a number of frozen snacks will be awarded the ‘Il kies bewust’ or ‘conscious choice’ logo, informing consumers that these particular products conform to a number of health criteria in that particular product segment and, as such, are a healthier option.

Profits Total revenue for Wessanen’s first quarter of 2008 was an impressive €384.6 million. Veenhof believes this can be attributed to good performances in all four businesses, across both Europe and North America. “Growth in our branded operations was mainly the result of increased brand quality, strong innovation and intensified marketing ef-

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forts,” says Veenhof. He goes on to explain that European business contributed to approximately 50 percent of the growth. Organic sales growth was 5.1 percent in the ﬁrst quarter, excluding currency variation, and Veenhof is committed to growing European revenue by a further ﬁve to seven percent and American revenue by six to eight percent, with both branded divisions predicted to reach higher margins of 10 to 12 percent. But how does Veenhof plan to reach these targets and overcome today’s tight budgets? Product innovation and cross-border expansion have been, and continue to be, key strands in Wessanen’s

says Veenhof. On the distribution side, Veenhof is striving to enrich the quality of retail relationships by achieving an exceptional level of product, market and consumer expertise. “We will also look for further opportunities to exploit buying synergies in Europe, and to build partnerships with our suppliers. Within this process we will remain mindful of ﬁnancial implications and the constant need to measure activity by its cost-effectiveness.”

€1.5 BILLION ROYAL WESSANEN’S 2007 REVENUES

growth strategy, explains Veenhof. Specialist European Category Innovation Managers are employed to generate ideas for new products in key categories, and once an idea has been accepted by the board, a project team is assembled to ensure all-inclusive and speedy product development. “This innovation process has been very successful for us,” says Veenhof, “leading to the creation of products such as SOjuicY, the soy-based beverage range that has recently been rolled across the Netherlands, Belgium, France and the UK.”

Future focus “Our strategic focus for the future is on generating more organic growth by fulﬁlling the increasing demand for food that is natural, wholesome and authentic. We will continue to develop our key brands, reﬁne our innovation pipeline and create opportunities for multi-country product launches,”

After 32 years at Royal Philips Electronics, working his way through the ranks, from Management Development Officer to CEO of Domestic Appliances and Personal Care, Ad Veenhof joined Royal Wessanen in 2003 as President and CEO. Since then he has successfully turned the company around, substantially strengthened the overall financial position and is now in the process of embarking on growth in all four division: Europe Branded, Europe Distribution, North America Branded and North America Distribution.

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INNOVATION FOCUS

Coca-Cola’s

health kick

Danny Strickland, Chief Innovation and Technology Officer at The CocaCola Company, discusses the strides the world’s largest beverage company is making in the health and wellness arena, as it expands its geographic reach and global portfolio with a newfound health consciousness.

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oca-Cola is still all about refreshment – but these days it’s just as much about health and wellness. The company, once primarily known for its classic, syrupy-sweet carbonated beverages, is now talking about brain food and cholesterollowering agents as it aims to make further inroads into health conscious consumer-driven markets. The renewed focus on wellbeing has resulted in a healthy share price for the €18.5 billion company. New ventures into the lucrative enhanced and functional beverage markets thanks to the recent acquisitions of glaceau, Fuze and Jugos del Valle, along with strong geographic growth in key markets is piquing investor interest. Since Chairman and CEO Neville Isdell took the reins nearly four years ago, the company has been on a fast track for growth with bigger, riskier projects, heavy marketing efforts and an eye on acquisitions. Worldwide sparkling beverage volumes increased four percent and still beverages increased 12 percent. The impressive growth and earnings speak to the level of continued innovation that has carried the company above and beyond their standard platforms through new product offerings across a range of beverage categories – energy drinks, juices/juice drinks, soft drinks, sports drinks, tea and coffee and water – while injecting an array of health benefits into the portfolio. Decisions around such innovation largely fall on the shoulders of Danny Strickland, who wears the innovation hat at Coca-Cola and is responsible for orchestrating innovation initiatives across R&D, technical stewardship (including items such as regulatory, water, environment, etc.) and flavour manufacturing. “Great innovation is the convergence of three things,” Strickland says. “It’s understanding the fundamental consumer need that you’re trying to satisfy, having the capability to satisfy that need through a robust and sustainable solution, and making sure it fits from a business standpoint in terms of the right strategy and economics. So, it’s consumer, technology and business fit.” While many different streams of innovation come across Strickland’s radar, he narrows his innovation focus down to three main components. At the top are the most significant projects that are carried out on a larger scale across many diverse markets. “The big bets are the convergence between consumer needs, technology and business fit, but on a much larger scale,” he elaborates. “We call them big bets because they have a potentially significant impact, they take more resources and they’re more challenging, but the payoff is bigger when you succeed.”

Danny L. Strickland is Senior Vice President and Chief Innovation and Technology Officer for The Coca-Cola Company. Strickland leads the company’s worldwide innovation and research and development efforts and helps develop new products, packages and technologies to meet the demanding needs of consumers.

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THE LATEST COCA-COLA PRODUCTS Coca-Cola is the world’s largest beverage company and posseses the world’s most recognised brand. It markets four of the world’s top five soft drink brands including Diet Coke, Fanta and Sprite, and a wide range of other beverages, including diet and light beverages, waters, juices and juice drinks, teas, coffees, energy and sports drinks. Through the world’s largest beverage distribution system, consumers in more than 200 countries enjoy the company's beverages at a rate exceeding 1.4 billion servings each day. Below are the most recent additions to Coca-Cola’s refreshment portfolio: April 2007 Minute Maid introduces enhanced orange juices for healthconscious consumers: New varieties include Minute Maid Multi-Vitamin and Minute Maid Active. May 2007 DASANI launches new DASANI Plus enhanced water beverages: The line, with zero calories per serving, comes in three varieties: Refresh + Revive, Cleanse + Restore, and Defend + Protect. May 2007 The Coca-Cola Company acquires glacéau, maker of vitaminwater, for $4.1 billion: glacéau, the creator and leader of the enhanced water category, is also the maker of fruitwater, smartwater and vitaminenergy. May 2007 Simply Orange Juice Company keeps it simple for on-the-go consumers with new single-serve carafes: Simply Orange Juice Company is expanding its flourishing portfolio of refreshing, not-from-concentrate chilled juices and juice drinks with the introduction of new 13.5 fl. oz. single serve carafes. August 2007 Simply Orange Juice Company expands offerings to include Simply Apple and Simply Grapefruit. The juices offer consumers a “closest to freshsqueezed taste experience.” August 2007 Coca-Cola North America and Caribou Coffee launch new premium ready-to-drink iced coffee in US. Caribou Iced Coffee will be available in three delicious flavours: Regular, Espresso and Vanilla, and will be packaged in a unique 12 oz. reclosable Alumi-Tek aluminum bottle from Ball Corporation. March 2008 Ilko Coffee International Premium ready-to-drink expresso-based coffee beverages: The Coca-Cola Company and illycaffè SpA have finalised their global joint venture and will be introducing three premium ready-to-drink coffee products in several European countries in April 2008.

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Typically the big bets lead to a platform – the perfect example being Diet Coke, which has branched off into Diet Coke Cherry, Diet Coke with Lemon, Diet Coke Caffeine-Free, etc. In addition to big bets, another focus of the innovation process entails locally driven initiatives that possess more of a degree of granularity related to a particular customer or market, and are driven by a local understanding of needs based on a certain demographic.

“Innovation is understanding the fundamental consumer need, having the capability to satisfy that need, and making sure it fits from a business standpoint” The third stream of innovation Strickland cites as critical for success is reapplication – identifying what works well and then applying those successes elsewhere, whether in another product or a different market, such as with Coca-Cola’s On-the-Go bottle. “The On-theGo bottle was a package that started in China and is significant because it was a great example of us managing innovation differently around the world, finding potential success stories and then moving them around very quickly,” he adds. Most importantly, underlying every innovation decision is a deep understanding of consumer needs. Coca-Cola has applied extensive consumer research around the globe through a number of techniques and customer interactions, and then applied their findings to identify what Strickland calls the different “need states” of a consumer when in need or want of a beverage. Of the 20-25 different consumer need states, Strickland‘s team identified approximately 18 related to health and wellness, a realisation that prompted their work to capitalise on the vast potential of health-related needs and led to the current focus today.

A big focus on health Understanding the array of health needs has pushed Coca-Cola heavily into the health and wellness arena to produce products that deliver a tangible added benefit. “One of the directions that we have been going in for the past several years that’s bearing more and more fruit is a focus on health,” Strickland elaborates. “We know that consumers are looking for more. They still want it to taste great, but they’re looking for additional value-added benefits, and health and wellness is something that many people are looking for.” In turn, Coca-Cola has taken a broad approach to health and wellness, looking at elements such as disease prevention and the various consumer states of need such as energy, recovery, alertness or refreshment. The more significant aspects of wellness have required the application of clinical studies to demonstrate the added benefit. Minute Maid Heart Wise is an early example of one such product that incorporated more weighty health benefits. “Minute Maid Heart Wise is a Minute Maid Juice that contains something called plant sterols, which actually reduce your cholesterol,” Strickland says. “We added to that a vitamin version, a joint health version, which has glucosamine and chondroitin in it.”

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THE BEVERAGE INSTITUTE FOR HEALTH & WELLNESS

Even more recently, the latest version of the Minute Maid Juice has included DHA – the proprietary source of preferred Omega-3 acid, an ingredient that can be found in fish oils and is often associated with claims of enhancing brain function. Also commonly found in baby formulas to aid in early development, Coca-Cola is now applying its heralded benefits to adults. While the idea of Coca-Cola experimenting with plant sterols and conducting clinical trials to understand true health benefits may sound like a significant departure from its early days, Strickland is quick to emphasise that Coca-Cola products have always been based on great science – and will continue to be. One of the foundational items created to ensure this continued focus on health benefits is The Beverage Institute For Health and Wellness. This entity is composed of individuals specifically chosen for their health and wellness backgrounds to further promote Coca-Cola’s commitment in this arena and to bring together an external advisory panel. Together with a team of nutrition scientists and registered dieticians, the institute is responsible for the company’s clinical research programmes and serves as a resource for anyone interested in the science of beverages and their role in health and wellbeing. “The thinking behind creating the institute was twofold,” Strickland says. “One was to make sure we had a real understanding of the health issues that our consumers faced; the second was to provide guidance to our fundamental development work around that and how we should approach understanding and developing those products.” Whether it’s health-related or not, one thing’s for sure: under Strickland, innovation is a rigorous, championed process deeply integrated into the company’s backbone, involving welcoming ideas of every sort from individuals across the organisation. He points out how innovation begins with a simple idea or project concept, before being refined. For example, heart health and weight management were easy targets to identify as obvious health concerns, and so the company turned to sterols to aid with promoting heart health. Though the innovation process itself at Coca-Cola is not exactly linear or simple, it’s obviously something the company is an ace at. One prime example of recent innovation success is Diet Coke Plus – something Strickland calls out as a “real signal to people” that Coca-Cola had broken the mould. “When we began to put nutrients in Diet Coke, we crossed an important line,” Strickland says. “You are now beginning to have a positive impact on health, and that’s changed how people have felt about Coke, the same way that the Minute Maid Health Line has changed the way that people think about Minute Maid because now people understand that they have choices.” Choices is a light way of putting it – today the entire Minute Maid portfolio consists of more than 100 different flavours and varieties of beverages. While Coca-Cola has definitely underpinned its expanded range with great science, it’s also evident that the company continues to do what it knows best: great taste. Nowhere has this been more evident than in the success of Coke Zero – one of the most successful launches in company history, which accounted for nearly one-third of Trademark Coca-Cola growth in 2006. Today the brand is available in over 50 countries. “Underpinning Coke Zero is a level of formulation skill around flavour and sweeteners, and those are two fundamental strengths of the company,” Strickland notes. “If you think about what Coca-Cola is able to do bet-

The Beverage Institute For Health & Wellness supports nutrition research, education and outreach, with a primary focus on beverages. The Beverage Institute is responsible for evaluating emerging wellness trends and ingredients on behalf of The Coca-Cola Company, conducting clinical research in support of Company brands and establishing research programmes that lay the foundation for the development of new beverages to meet the nutritional and wellness needs of consumers. ■ R&D: Research programmes lay the foundation for the development of new beverages to meet the nutritional and wellness needs of consumers. Research interests cover a wide variety of beverage-related nutrition topics, including hydration, weight management, fortification, functional ingredients, and the potential for delivering the natural goodness of whole fruits and vegetables through beverages. ■ Experts: Research direction is determined through a co-ordinated effort of our team of nutrition, medical and technical scientists and our external Scientific Advisory Council, which includes scientists and physicians affiliated with some of the world's most prestigious research organisations. ■ Contributions: The Beverage Institute is dedicated to helping consumers and health professionals understand the role that hydration, beverage ingredients and personal choice play in a healthy lifestyle.

ter than anybody in the world – and always has been – it is offering beverages that taste great. With Coke Zero, we’ve reﬁned those skills yet further – in this case to taste more like coke, and to get the sweetness proﬁle just right for a very broad number of people.” Because a good chunk of focus in placed on sustaining the pipeline, Strickland is already talking about how the innovation know-how acquired from the experience with Coke Zero will be applied to other beverages in the portfolio. With solid fundamentals in place around taste and science, a deep understanding of consumer needs and one of the most robust innovation approaches, it’s safe to say Coca-Cola is set for long-term sustainability. “When you think about a pipeline, you really have to think about this as a dynamic process and the bar continuously gets higher,” Strickland points out. “There’s a lot of talk about sustainability from an environmental standpoint, but we have to think about sustainability from an innovation standpoint as well because consumer’s expectations continue to evolve. We have to be able to sustain an expanding pipeline, and you can really only do that by doing the fundamentals right.”

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HEALTH FOCUS

Food Solutions takes a look at one solution and the growing threat of an obesity epidemic. t’s an unfortunate but undeniable fact that more people are now overweight than ever before. Being overweight can cause issues with one’s self-image, but more importantly it also poses a considerable health risk. Obesity is actually set to replace smoking as the most important cause of heart disease today. It also increases the risks of a whole range of other serious health problems, including type two diabetes, stroke, kidney failure, gallbladder disease, hypertension and cancer. In the face of this threat to an increasing number of people’s health, there is a signiﬁcant and rapidly growing market for food products that help tackle this problem. Currently, the weight loss segment is already one of the largest health condition markets in the United States, with expected market growth of almost ﬁve percent. Appetite suppressants now account for 13 percent of the US slimming aids market.

Meeting the health needs of a growing market

Influencing your appetite PinnoThin, a unique ingredient developed and patented by Lipid Nutrition is a 100 percent natural, vegetable-based product, that works by targeting weight gain at the source. By promoting a feeling of fullness, it can help to reduce food consumption. PinnoThin can be taken as an appetite suppressant either before a meal or in-between meals to help to prevent the urge to snack. But it can also be used to create food products that can actually play an active role in weight management. High pinolenic acid pine nut oil is a product that comes from a natural plant source. It is based on pine nut oil derived from the nuts of the native Korean pine tree, Pinus koraiensis. This tree grows in Korea, Japan, Siberia and China (Manchuria). China is the world’s largest producer and exporter of nuts of Pinus koraiensis to Europe and the USA. The oil of these speciﬁc nuts contains more than 92 percent of poly- and monounsaturated fatty acids. It is especially rich in very long chain fatty acids, such as pinolenic

acid. Pinolenic acid is an omega-6 fatty acid (C18:3 - 5,9,12) which has double bonds in the cis conﬁguration. Korean pine nuts contain about 40 times more pinolenic acid than for example Italian stone pine nuts.

How does it work? Appetite is a complex mechanism, controlled by many different factors. One of the

most important factors is the role played by hormones. These send messages to our brains, either triggering or reducing feelings of hunger. PinnoThin works by stimulating the release of the hunger-suppressing peptide hormone, CCK (cholecystokinin). This hormone sends signals of satiation to the brain, which can help to reduce prospective food intake.

EXAMPLES OF FOOD PRODUCTS ENRICHED WITH PINNOTHIN Food product

Serving size (g)

Enrichment PinnoThin (%)

Amount of PinnoThin) / serving (g)

Percentage of 3g dosage

Yogurt

200

1.5

3.0

100%

Yogurt drink One-Shot

4.6

3.0

100%

Fruit emulsion

3.0

100%

Bar

5.1

3.0

100%

Demonstration prototypes have been developed by Lipid Nutrition. Recipes can be obtained on request.

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PINNOTHIN STUDIES CONFIRM SATIETY BENEFITS New studies demonstrate PinnoThin’s ability to suppress appetite and reduce food intake. Research into the appetite-suppressing dynamics of functional ingredients is relatively new, so scientific information is still somewhat limited. However, two new studies on PinnoThin are now emerging with data concluding that it increases the release of the satiety hormone cholecystokinin (CCK). These studies also showed that PinnoThin FFA, the form PinnoThin TG is broken down into after consumption, increased the release of another satiety hormone, glucagon-like peptide1 (GLP1). Both hormones send signals of satiety to the brain and are essential in regulating food intake.

Study results The two studies, Pasman et al., 2008 and Hughes et al., 2008, tested the effects of PinnoThin’s active ingredient, the Korean pine nut oil (Pinus Koraiensis), on satiety hormones and food intake. Both studies evaluated the effects of PinnoThin FFA, PinnoThin TG and a placebo. Visual Analogue Scales (VAS) were used to measure participants’ degree of hunger, desire to eat, perception of how much they thought they could eat, fullness and satiety. The results from both studies confirm PinnoThin’s appetitesuppressing benefits. In the Pasman study, three grams of PinnoThin were administered to 18 women after a small breakfast. CCK, GLP1 release and VAS scores were then measured over the next four hours. A significant CCK increase was observed after consumption of both PinnoThin FFA and PinnoThin TG. GLP1 increased considerably after PinnoThin FFA. Prospective food intake decreased after PinnoThin FFA administration. In the Hughes study, which lasted a full day, 42 women were given Korean pine nut oil 30 minutes before lunch. Food/calorie intake was then measured at lunch and dinner. Participants given PinnoThin FFA reduced food intake by nine percent and caloric intake by seven percent.

Promising results encourage further research More research is needed on appetite-suppressing functional ingredients to fully understand their effect on satiety so that we can determine optimal delivery forms and administration times. Comparative data on PinnoThin FFA and TG forms suggests that the TG form has a delayed hormone-release response. Since the amount of time it takes for TG to break down into FFA form in the human gut and influence satiety is not yet certain, Lipid Nutrition is continuing research on this as well as on PinnoThin’s unique satiety benefits.

The beneﬁcial effects of PinnoThin have been demonstrated at a dosage of three grams. The intake can be offered to consumers as so-called ‘one-shot’ concepts in which the total intake is given in one small serving.

for liquid food products like ﬂavoured milk, yoghurt and beverages, and for products like dressings and fat spreads. It has also been successfully applied to bakery products like cookies and nutritional bars.

Portfolio

Technical aspects

PinnoThin is available as an oil and powder, which means it is suitable for a wide variety of applications, from dietary supplements to foods. It is recommended

Incorporating PinnoThin in food products can be done by replacing or by mixing the existing fat phase with PinnoThin. Mixing the ingredient with other oils is easy and will

not cause any problems. PinnoThin can also be added to a non-fat product like skimmed milk or yogurt.

Food applications PinnoThin has been successfully applied to a wide range of food products and at relevant concentrations such as: • Dairy products, like milk, ﬂ avored milk, yoghurt and yoghurt drinks. • Beverages. • Bakery products (bread, cake, cookies). • Spreadable fats. • Nutritional bars. • Fruit emulsions (ready-to-consume).

Summary PinnoThin is an unique appetite suppressant – no other appetite suppressant on the market today stimulates the production of CCK, which is an objective parameters for satiety – and it is protected by several international patents for specific uses in food, food supplements, pharmaceuticals and as a health component. PinnoThin can help to: • Promote a feeling of satiety. • Suppress appetite. • Reduce meal size. • Reduce the urge to snack. • Increase satiety value of PinnoThin fortified foods. Lipid Nutrition innovates and markets scientifically sound lipid ingredients from natural origin, which improves and maintains health and well-being. The current product range comprises: • PinnoThin: The appetite suppressant. • Clarinol: Concentrated CLA for weight management. • Marinol: Fish oil concentrates (EPA/DHA) for heart health and brain development. • Betapol: Mimics the structure of human milk fat for infant formula.

Lipid Nutrition B.V., Hogeweg 1,1520 AA Wormerveer, The Netherlands Phone:+31 (0) 75 629 29 11 E-mail:info@lipidnutrition.com www.lipidnutrition.com www.Clarinol.com www.PinnoThin.com

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ASK THE EXPERT

Nutritional benefit and natural - two sides of erythritol Jungbunzlauer’s erythritol, recently approved all over Europe, is a sugar alcohol that is low in calories, very tolerable in its digestion and all-natural in addition, a very low glycemic index makes it a unique product. motic effects would normally cause gastric distress. Based on the scientiﬁc evidence available, an exemption for the laxative warning (mandatory for foods containing more than 10 percent of polyols) is justiﬁed and Jungbunzlauer dedicates effort to achieve a change in the current legislation.

All natural FERID HAJI s a sugar alcohol (also called polyol) erythritol has to be labelled with 2.4 kcal/g according to the most recent approval. The true calorie load of erythritol, however, lies far below the standard polyol value of 2.4 kcal/g. Actually it is close to zero. First proposals from the Commission Directive proposals to change this are available, which is backed up by scientiﬁc literature and the opinion of the European Commission’s Scientiﬁc Committee on Food. The results of stakeholder discussions are awaited with suspense. Once passed, the new regulation will herald the formation of a new group of sweeteners, currently consisting of only erythritol: all-natural and delivering no calories.

Alongside health, ‘natural’ products are one of the main trends we see in the modern food industry. Consumers are not only interested in the ‘health factor’ of their foods – mainly with regard to calorie and sugar content – but are increasingly concerned about how natural their food is and where it comes from.

High digestive tolerance The metabolic behaviour based on the small molecule size is what distinguishes erythritol from other polyols. Beside the much lower calorie level this has also another major advantage: while all other polyols have the distinct disadvantage of causing digestive distress, erythritol is well-tolerated. Scientiﬁ c studies show that at typical consumption levels, erythritol has no laxative effect. Its small molecular size is the key factor since this allows it to be absorbed quickly in the upper digestive tract, so that very small amounts reach the lower tract – where degradation of polyols and os-

Erythritol, a naturally-occurring sugar alcohol, has been commonly used as food ingredient in the US and Japan for many years. Since the middle of February this year, it has also been fully approved across Europe for use in food products. Currently, erythritol is the only low calorie, natural sweetener anywhere in the world enjoying this regulatory status. Erythritol is derived via a natural fermentation process, rather than from catalytic hydrogenation. On an industrial scale, erythritol is obtained from microbial yeast

fermentation. Based on non-GMO natural plant carbohydrates such as sugar or glucose, fermentation of erythritol is completely natural. This provides erythritol with an outstanding position amongst other sugar replacers on the market. In nature, erythritol occurs in items such as grapes, soy sauce, wine, honey and even cheese. This means that consumers are physically used to it and that the likelihood of allergies is low. Beside highly beneficial and physiological benefi ts such as a zero GI and non cariogenicity, it is important to stress that erythritol is not only a valuable sugar replacement based on nutritional facts, the taste qualifies it. Erythritol has a clean sweet taste and a sensory profile very similar to that of sucrose. With a sweetening power of about 70 percent of sucrose, it is sweeter than most other polyols. Thus in many applications, erythritol can stand alone as a single sweetener. In addition, it is also a very good blending partner. Either as single sweetener or in blends Jungbunzlauer’s erythritol is suitable for a wide variety of applications. Amongst these are sugar-free chewing gum, table top sweeteners, cereal bars and even sugarfree/sugar-reduced chocolate. Furthermore, it provides a healthy, low-calorie method of sweetening dairy products such as ice creams and yogurts. Ferid Haji is Product Manager Sweeteners, Jungbunzlauer International AG. Tel. +41 61 2955 279, email ferid.haji@jungbunzlauer.com or for more information please visit www.jungbunzlauer.com

Ferid Haji graduated in 2000 as food technologist at the Technical University, Berlin. He joined Jungbunzlauer in 2001 as Technical Service Manager and was assigned to Product Manager Sweeteners in 2005. His main responsibility is the development of the European erythritol market.

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ASK THE EXPERT

New regulation of flavourings in certified organic products n June 12, 2007, the agricultural ministers of the European Union adopted a new regulation, no. 334/2007 on organic production and labelling, which will become effective on January 1, 2009. This will replace the well known organic regulation 2092/91/EEC and should be connected to the introduction of a new bio-logo replacing the old EU organic label. However, the new label is delayed until January 1, 2010 since the intended one has been withdrawn after protest from a supermarket chain. Here, one aspect will be considered, namely the addition of flavourings to organic products. According to Annex VI only natural fl avourings and fl avour extracts are allowed in organic products as long as they meet the fl avour directive 88/388/EEC which is under revision as well. The fl avour directive describes the production, declaration and quality of food fl avours regulating, for example, the content of so-called active principles and limiting contaminants like mycotoxins, heavy metals and so on.

Dr. K.W. Quirin is a chemist and received his PhD in 1984 from the University of Saarland, Institute of Pharmacognosy and Analytical Phytochemistry. For 22 years he has worked as CEO of FLAVEX Naturextrakte GmbH, a company producing specialty botanical extracts for cosmetics, food and food supplements on the base of supercritical CO2-extraction.

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This means non-organic natural flavours were allowed in certified organic products. For example, conventional herb and spice extracts, which are mostly minor constituents in finished products, could be used in certified organic food. At the time there was no real need or justification for organic herb and spice extracts for flavouring purposes before. Meanwhile, a more restrictive view has been established. All components of flavour formulations must be certified organic and meet Annex VI of the EEC organic regulation. Giving aroma to organic products needs the addition of organic flavours in the future. Since a bottleneck for certified organic spice extracts is expected based on the coming regulation, transitional periods will be conceded. However, inspection bodies are already obliged to establish a timetable clearly demonstrating the date, from which organic flavours have to be used in organic products.

Supercritical CO2-extraction meets organic criteria and is perfectly suitable for herb and spice extracts. The versatile method can produce essential oils (selective extracts)

“Giving aroma to organic products needs the addition of organic flavours in the future” as well as concretes (total extracts) under gentle conditions with high grade authentic composition. CO2-extracts derived from botanical materials coming from organic farming are certiﬁed organic if the production is controlled by an organic auditing body. FLAVEX Naturextrakte GmbH has already launched a broad range of certiﬁed organic CO2-extracts. Sage and rosemary antioxidants retarding oxidation and having

anti-microbial property at the same time are part of the organic program, as are herb and spice extracts, allspice, caraway, cardamom, cinnamon, chili, cumin, ginger and turmeric. Certified vanilla extracts are also available with different vanillin content and other products will be coming soon as there is a general trend towards certified organic products. All these extracts are powerful tools for fl avourists and food technologists to create premium fl avour qualities. In the food supplement segment we have recently successfully put on market CO2extracts of seabuckthorn, evening primrose or rosehip with high concentrations of unsaturated fatty acids, as well as specialty extracts of amaranth, millet and pomegranate seeds. Rounding up the program there is a newly launched organic paprika CO2-extract, which can also be used as a colorant. Expand your organic products with exciting new flavours and colours composed of organic CO2-extracts with their fresh and authentic flavour profiles.

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INNOVATION FOCUS

ith annual net sales of $14.9 billion, including the comany’s $1.2 billion proportionate share of joint venture net sales, General Mills is one of the world’s leading global manufacturers and marketers of consumer food products. Based in Minneapolis, the US food giant has a huge presence in Europe, where its Haagen-Dazs ice cream products, Old El Paso Mexican food and Green Giant vegetables are amongst the most well known brands on the continent. With the company recently celebrating the ﬁrst anniversary of its Worldwide Innovation Network (G-WIN) initiative, Food Solutions caught up with programme director Jeff Bellairs to ﬁnd out how G-WIN is helping General Mills improve its approach to new product development.

FS. First of all, could you tell us a little bit more about the idea behind General Mills Worldwide Innovation Network? For instance, what were the key drivers behind the launch of your initiative? JB. Actually it was our Senior Vice President of Innovation and Technology, Peter Erickson, who created a dedicated group to work on open innovation, and that happened about three years ago. He set aside some resources, put a team together and asked us to put together a comprehensive programme that would allow us to reach out and find new partners on the outside with new capabilities – perhaps a new process, a new package, new ingredients or a new product. In other words, things we could bring in and plug into our innovation pipeline

SWITCHING ON TO R&D SUCCESS Jeff Bellairs, General Mills’ Director of External Innovation, explains why looking beyond the traditional boundaries of the enterprise is proving a fertile breeding ground for new product innovation.

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here to accelerate some of the innovation initiatives already taking place within the company. So we formed the group about three years ago, and it was just over a year ago that we added the General Mills Worldwide Innovation Network (G-WIN) moniker. The first couple of years were really spent trying to figure out how to most effectively put together an open innovation programme given our organisational culture. FS. It’s not the easiest thing to do. Where did you look for potential partners? JB. We’ve done three different things. We’ve created a web portal that’s on the General Mills home page so that people can approach us with technologies that are patented or patent-pending. We’re trying to get the word out that we’re interested in new technologies, and if people think they have something that might benefit one of our businesses,

300% Increase in the number of innovation concepts submitted to General Mills since G-WIN began there’s now a way for them to start a dialog with us. We’re also working with some innovation intermediaries – companies like NineSigma and YourEncore – that can help us go out and find expertise. We’re always looking for people who might have a technology or the ability to help us solve the big technical problems that are challenging our businesses. So that’s the second way, working with the innovation intermediaries. Finally, I have a dedicated team that spends an awful lot of time answering the phone and also getting out and travelling from place-to-place, really trying to find innovation where it’s occurring. So we’re travelling to different countries, we’re going to innovation fairs, food fairs – anyplace where we think there is a likelihood that there is a partner out there working to create some new product or process that could benefit one of our businesses.

G-WIN SUCCESS STORIES n its first year, the G-WIN team at General Mills received more than 200 concept submissions. Because of its efforts to drive open innovation, the G-WIN team was able to generate major new product introductions, as well as important technology advancements and key industry partnerships. 2007 innovation highlights include:

Fiber One Chewy Bars: General Mills teamed with an exclusive partner on a fibre ingredient to develop a delicious snack bar with nine grams of fibre per bar. Fiber One Chewy Bars have far exceeded performance expectations. Within months of the product launch, Fiber One bars were among the top 10 best-selling grain bars on the market. Progresso Reduced Sodium soups: Through a new proprietary partnership with an external company with considerable expertise in healthy foods, General Mills was able to source a greattasting new lowersodium ingredient for its Progresso Reduced Sodium soups. The new reduced-sodium soups are performing very well, and are also bringing new consumers to the brand. Around 50 percent of sales for lower-sodium Progresso soups introduced in 2007 came from consumers who weren’t previously buying Progresso. In the first year on the market, sales of Progresso Reduced Sodium soups ranked in the top third of the ready-to-serve soup category. Based on this success, additional soup flavours were added to the line later in 2007. Yoplait Go-Gurt Fizzix yogurts: General Mills also facilitated the launch of Yoplait Go-Gurt Fizzix, a first-of-its-kind carbonated yogurt that General Mills produced after licensing a product and process patent from Brigham Young University, and the Pillsbury Cooler, a stateof-the-art, environmentally friendly mobile cooler technology created through a partnership with a refrigeration company. In addition, General Mills’ efforts helped create a new food science division within YourEncore, an innovation services company helping organisations accelerate innovation by leveraging the expertise of retired scientists and engineers.

FS. You recently celebrated the ﬁrst anniversary of the GWIN project. So what impact has that initiative had on General Mills’ R&D efforts since its launch? JB. I think it’s opened our eyes to the tremendous amount of resources out there – the creativity and innovation potential that does exist outside the company. So we have examples at this point where we’ve brought in products that are ready-to-go and have proved that there is a market out there

for them. When married with General Mills’ scale and one of our brands, the belief is we can create a bigger business that benefits both General Mills and the new partner. So we’ve brought in finished products, we’ve licensed technology that has enabled us to create a new platform of consumer benefits in our Go-gurt Fizzix product, and we have partnered much more closely with a number of our key suppliers to develop some very innovative

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KEY LEARNINGS Jeff Bellairs provides his key lessons from the G-WIN programme. Get some wins on the board early: A number of the things that we did initially weren’t necessarily the biggest projects or the biggest ideas, but we wanted to demonstrate to General Mills’ leadership what an open innovation programme looked like for us as a company. Every company has a unique culture, unique capabilities, and so you really need to demonstrate what open innovation could bring to your business.” Move from serendipity to strategy: “Serendipity gets you started, it’ll always be a part of our programme, but we want to spend more time really focused on finding those global leaders who have technologies of products that match up directly with our business needs. Sooner or later, you need to focus on what you are doing in a much more strategic way.” Keep your eyes (and mind) open: “It’s really opened our eyes to how much potential there is out there. We will continue to focus resources in this area to try and be the first company to find that next big technology that may exist out there in someone’s lab or their garage or some foreign market. You never know where the next big technology shift will come from.”

FS. It’s certainly been a busy year. Have there been any unexpected benefits to come out of G-WIN so far? Anything you didn’t foresee that has maybe improved operations or improved the way you conduct your research? JB. We’ve found that one of the great benefits of open innovation is its ability to leverage the combined experience of General Mills and our external partners to reduce risk. The ultimate goal of any open innovation programme is to find ready-to-go products that have already established a pedigree in the marketplace. A focus on open innovation has been a critical competitive advantage for General Mills. We believe the next big advance, which may reshape the food industry, has already been invented by someone outside the company, and our goal is to be the first to find it. FS. You mentioned a couple of products that have been launched in the US, but I know that this is a global initiative, isn’t it? What sort of impact are you having in terms of collaboration in terms of the rest of the world, Europe in particular? JB. This has largely been a US effort. We do, however, have a partnership with a company in France to produce refrigerated Mexican meals under the Old El Paso brand, and so that’s an example of where we’re reaching outside and leveraging somebody else’s capabilities and expertise to help us create a new business. Those products are currently in tests there. FS. So do you see those type of collaborations increasing over the next couple of years? JB. Certainly. We think the pace of innovation in this industry is increasing, and one of the ways that we can be more nimble as a large food company is to partner with people on the outside who have that unique expertise.

FS. Are there any particular products you can talk about in greater detail? JB. To generate big ideas for new consumer solutions in the area of weight management, General Mills created a cross-functional team to

FS. Are there any challenges inherent in this type of collaboration – for instance, in managing intellectual property rights and protecting sensitive information, those types of things? What challenges are there in running an open innovation programme such as this? JB. One of the things we’ve found is that it is critical to develop a relationship based upon trust, and it takes a signiﬁcant amount of time spent faceto-face with potential partners to develop that level of trust. I think that’s

leverage research and expertise from across the company. Among other ideas, the team suggested that Progresso develop a ‘light’ soup that could qualify for a ‘zero points’ value per serving with Weight Watchers. Progresso tested the idea, developed the product and then leveraged the General Mills’ strategic sourcing team to create an external partnership. In collaboration with Weight Watchers, General Mills then launched Progresso Light, the first consumer packaged product in any grocery category to carry the Weight Watchers endorsement with zero points value per serving.

one of the things that has been a signiﬁcant learning for my group – that there are only so many of these relationships that you can physically pursue because of the time element. That’s causing us to be more strategic in the types of relationships we’re pursuing. When we began the initiative a couple of years ago, we were largely following leads wherever they came from. It was something of a serendipitous process, but now we’re stepping back and trying to scan the globe to really ﬁnd out who are the global leaders in certain areas of technology and then proactively building relationships with them. So it’s a matter of mov-

proprietary ingredients that are being used in a number of our new products, such as Fiber One bars and Progresso Reduced Sodium soup.

The results are impressive. All five flavours of Progresso Light deliver just 60 calories, with four grams of fibre and a full serving of vegetables per serving, and all five quickly moved into the Top 20 of the best-selling products in the ready-to-serve soup category.

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JB. I think open innovation is one of those things that’s a real buzzword right now, and I think there are lots of companies who are looking at the success of other industries, of other companies, and wondering if it’s gonna work for them. I personally travel to a lot of the conferences focused on open innovation, and we do see a lot of our food company peers in attendance and very interested in the programmes that we’re pursuing as well as what other people are doing. I think that when you start one of these programmes, you quickly realise that it is something that is a bit of a cultural change. They’re asking scientists to play a different role in the innovation process, so rather than being the sole creator, we’re now ask-

“I think it’s opened our eyes to the tremendous amount of resources out there – the creativity and innovation potential that does exist outside the company” ing them to be an orchestrator, to ﬁnd interesting pieces of technology that are on the outside, to work to bring them in and connect them with pieces on the inside. So for some of our scientists, it’s a different role, and I think for General Mills it’s Jeff Bellairs a different way of working. We have to focus and build parting from serendipity to strategy, and one of the things driving that is the renerships; certainly for some of the smaller companies we are working with, source intensity needed to build solid relationships. there is some concern in working with a big company, and again, we have to spend the time to really be upfront with the potential partner and explain FS. Do you have systems in place to manage the handling of sensitive into them the deal structures and the beneﬁts that they could receive by purformation and intellectual property? suing a relationship with General Mills. JB. From a General Mills standpoint, owning the intellectual property is not critical. What we’re looking for is some kind of clear advantage in the FS. I know health and nutrition is a key area for companies in the food secmarketplace, and so it may be that the ownership of the IP remains with tor right now. Have you made many advances in health and nutrition as a the other partner, but we get a marketplace advantage through exclusivresult of this programme? ity for a product category or for a geography, or perhaps some kind of a JB. We have a number of different initiatives. Some of them are collaboheadstart in the marketplace before that technology can be used by our rations with key suppliers, some of them are consortiums that we joined competitors. or are working to form, so there are a number of transformational techThese intellectual property concerns are also the reason that at our nologies that are in our pipeline right now. I think if you look at some of website we say that we only will accept patented or patent-pending techthe things that have already hit the market – the Fiber One bars that are nologies. So we’re not looking for ideas; we’re looking for things that are doing extremely well in this country, for instance – their success is due in more advanced, and there is some intellectual property protection affordlarge part to our collaboration with a supplier that gave us a unique ined to people who have applied for a patent or have actually gotten the gredient. We also have a very successful line of Progresso reduced sodipatent and have it in place. um soups, and one of the key ingredients that allowed us to reduce the FS. Why do you think this type of collaborative approach is proving so successful in nurturing a culture of innovation at General Mills, and do you expect this type of relationship to be adopted by your competitors?

sodium without sacrificing flavour came through a very close collaboration with a supplier to develop a new ingredient. So a couple of things have hit the market, but there are a number of larger initiatives that are still in the developmental pipeline.

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INDUSTRY INSIGHT

lect the data needed to make an informed evaluation. Until more results are available, JECFA, the joint FAO/WHO Expert Committee on Food Additives, has recommended that appropriate efforts should be made to reduce the concentration of acrylamide in food.

The science behind the problem The main mechanism for acrylamide formation in starchy foods involves two common components of these foods: reducing sugars and the amino acid asparagine. The sugars react with asparagine when the food is baked or fried at high temperatures and through a cascade of reactions coverts the side chain of asparagine to acrylamide. These reactions are part of the usually heat-induced Maillard reactions, which also produce the brown colour and characteristic tasty flavour of baked, fried and toasted foods.

Natural solutions for tasty food Bioinnovative enzymes can substantially reduce acrylamide in several food products without changing their look, feel, or flavour. The enzyme asparaginase has been proven to reduce acrylamide levels by up to 90 percent in a broad range of foods, such as biscuits, crisp bread, crackers, snacks and tortilla chips. By Thomas Erik Nilsson.

he appeal with enzyme technology is that it is a natural solution that does not inﬂuence the product’s taste or appearance a double bonus for food manufacturers that are looking for acrylamide-reducing solutions and worry about the continued appeal of their products to consumers.

The natural problem Acrylamide is naturally formed when starchy foods, such as biscuits, crackers, snacks, French fries and crisp bread are baked or fried at high temperatures – a discovery made by Swedish researchers in 2002.

Acrylamide is classiﬁed as “probably carcinogenic to humans”, based on studies conducted in mice and rats by the International Agency for Research on Cancer (IARC). Studies carried out at the WHO and the FDA, as well as other research using food consumption data from several countries and data from the IARC European Prospective Investigation into Cancer and Nutrition (EPIC) study have estimated an acrylamide exposure of 0.3 to 0.8 μg/kg body weight per day. The potential risk posed to humans by this dietary exposure to acrylamide is not yet known, but numerous studies are currently in progress on an international level to col-

In search of a solution Intensive research is being carried out to investigate ways to prevent acrylamide formation in foods by optimising thermal input during baking or frying, and changing recipes and raw ingredients. For potato-based products, the main focus is on the reduction of sugar levels as this is a major factor in acrylamide formation. This includes the selection of potato varieties with low reducing sugars levels, controlling storage conditions from farm to factory and breeding new potato varieties with lower reducing sugar levels. Further research has examined other potential methods, including the decrease in cooking temperatures, addition of amino acids and alternative frying techniques. In cereal food products, process and recipe changes that have been made to decrease the acrylamide formation include the reduction of time and temperature during baking, pH reduction, replacement of inverted sugar syrup with sucrose solution, addition of competing amino acids and choice of baking powder. However, the methods described above may limit not only acrylamide formation but also the formation of desired Maillard products. Taste, appearance and other sensory characteristics like crispiness may also be affected.

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The natural solution One very effective means of reducing acrylamide formation without affecting taste or appearance is the enzymatic removal of the amino acid asparagine by converting it into aspartic acid. The enzyme type responsible for this action is called an asparaginase. Novozymes’ acrylamide-reducing solution, Acrylaway, lowers acrylamide levels by up to 90 percent in a broad range of foods such as biscuits, crisp bread, crackers, snacks and tortilla chips without influencing product taste or appearance. The process that gives the delicious brown crust and fried or baked flavour also causes acrylamide. Use of Acrylaway converts the asparaging enabling the other ingredients stay part of the Maillard reaction. So the crust and taste remain while reducing the acrylamide. In addition to acrylamide determination, samples of semi-sweet biscuits, crackers, crisp bread and pretzels have been analysed at an external laboratory for their fingerprint of volatile aroma components. The fingerprint showed that the same aroma components are present in the control sample as well as the sample where Acrylaway had been added. In the area of potato-based products, Novozymes believes it has the technical solution that reduces acrylamide by 50-60 percent in the industrial production of French fries. The implementation in the industry has shown that cost-in-use still needs to be fine-tuned. However, we expect to finalise this work together with the industry, so that cost-efficient acrylamide reduction is also possible with French fries.

the purpose of the Toolbox is to offer the most efficient solutions for acrylamide reduction to the industry. The Toolbox is a combination of suggestions for changes in raw materials, processes and recipes. However, it is also stated that it is of utmost importance that the brand-specific customer acceptance of the final products is not impacted. In this context, Acrylaway is a superior solution.

A new future beckons Today’s consumers are conscious and cautious about what they eat. Health and food quality are major drivers for the market right now and food safety is a key consumer concern. It is a fundamental need for society that our food is safe and healthy. With enzyme solutions like Acrylaway, food manufacturers can now offer end-consumers food products with reduced worries regarding acrylamide.

Rethinking tomorrow made enzyme solutions like Acrylaway possible — and gave food manufacturers a natural solution to a natural problem.

Novozymes is the world leader in bioinnovation. Together with customers across a broad array of industries we create tomorrow’s industrial biosolutions, improving our customers’ business and the use of our planet’s resources. Read more at www.novozymes.com.

“The main mechanism for acrylamide formation in starchy foods involves two common components of these foods: reducing sugars and the amino acid asparagines”

Rethinking invites recognition Novozymes received Generally Regarded as Safe (GRAS) notice from the US Federal Drug Administration for Acrylaway in November 2006, being the first product of its kind to receive that notice. And in June 2007, Acrylaway received regulatory approval from the Danish authorities and is the first asparaginase to receive regulatory approval from an EU body. Acrylaway also received a positive evaluation at the JECFA meeting in June 2007. In December 2007, asparaginases were officially added to the so-called CIAA acrylamide reduction Toolbox. CIAA is the Confederation of the Food and Drink Industries of the EU, and

Thomas Erik Nilsson is a Global Product Launch Manager at Novozymes, and is responsible for launching new bioinnovative solutions to the Food and Beverage industries worldwide. Thomas holds a MSc. degree from the Danish Technical University. Since graduation, he has worked for 18 years at Novozymes, focusing on marketing across a wide range of industries.

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INDUSTRY INSIGHT

The new whey and permeate drying process problems of low capacity, high energy costs, high capital investment in large plants and potentially high environmental costs. The new TIXOTHERM process from Niro, however, is much more efficient. The challenge is to create a free-flowing, non-caking powder from the liquid whey or permeate. This is difficult because these dried whey products tend to be hygroscopic and thermoplastic. They will tend to absorb water from the surrounding atmosphere and become sticky, making powder rock solid – even in sealed bag.

o say that the dairy industry is awash with whey and milk permeate to be processed is no exaggeration. Booming cheese and WPC production has left the dairy industry with increasing amounts of whey and whey permeate to be processed. Meanwhile, the demand for whey solids has increased, partly being used for lactose manufacture, but a considerable amount is being evaporated, pre-crystallised and spray dried. The traditional drying processes for permeate are high in energy consumption and, as the world becomes ever more environmentally aware, the need to reduce energy consumption wherever possible is high on the list of requirements for all dairy processing plants. A new breakthrough from Niro has made the processing of crystallised and non-caking whey and permeate powder much easier, more efﬁcient, less expensive and more environmentally acceptable. Whey and permeate powder is in demand all over the world as a valuable food, particularly for sports enthusiasts. However, manufacturing a dry powder from the liquid has always been difﬁcult. Traditional permeate drying technology methods have inherent

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“The need to reduce energy consumption wherever possible is high on the list of priorities” The four-stage TIXOTHERM process, however, converts the liquid whey into a free-ﬂowing, non-caking powder. The water content of the whey or permeate is initially decreased in an Agitated Film Concentrator, resulting in a water content of just 15 percent. High sheer rates within the concentrator keep the viscosity of the product paste low owing to its thixotropic nature. The product passes to a Mixing Crystalliser that increases the dry mater content, encourages further lactose crystallisation and creates a semi-hard crystallinic paste with a friable texture, easy to particulate. Final drying is performed in an Agitated Fluid Bed and a VIBRO-FLUIDIZER at high temperature to inhibit the growth of micro-organisms. Process

air is cleaned in a SANICIP bag ﬁlter and the retained powder returned to the process. The whole plant is very compact saving approximately 50 percent in building size with the consequential savings in building costs. Comparisons have shown that the TIXO-THERM process consumes only 70 percent of the energy of the traditional ‘wet process’.

The TIXOTHERM pilot plant A TIXOTHERM pilot plant is now available in the Niro test facility in Copenhagen. This provides customers with the opportunity to try the TIXOTHERM process with their own product and optimise the process before making a decision to buy. When the process is proven for their special application they can invest conﬁdently knowing that they can be in full production straight away.

Henrik JT Jensen is Area Sales Manager at Niro A/S. With a BSc in Food Technology, Jensen has spent many years selling process solutions for the food industry, including Niro drying technology for the diary industry – in particular, to high quality baby food, whey and milk powder plants.

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SUCCEEDING IN TOUGH TIMES With competitors slashing prices, food costs rising and consumers demanding more information and choice, surviving in the food retail industry is tough. Herbert Bolliger, CEO of Swiss food giant Migros, explains what it takes to stay at the top.

By Rebecca Goozee igros is one of Switzerland’s largest enterprises and its leading retail organisation. Consistently growing year on year, the company recorded an impressive 6.2 percent growth between 2006 and 2007, despite the current challenges in the retail and food markets. Nevertheless, Herbert Bolliger, the firm’s charismatic CEO, concedes there are significant challenges ahead. The biggest test the firm faces is the rising price of food, and maintaining the difficult balancing act between offering value for money while at the same time retaining the company’s reputation for quality. Bolliger is committed to facing this challenge head on, and wants to continue delivering top products to consumers as well as making a profit. “Our customers tell us that they get the best value and quality for their money at Migros,” he says, “and I’m convinced that our economic success is based on products and services that offer distinct added value.” As a co-operative company, Migros has grown steadily over the years to become Switzerland’s largest supermarket chain and its biggest employer. Founded in 1925 in Zürich as a private enterprise by Gottlieb Duttweiler, the company has come a long way from the days of selling only coffee, rice, sugar, noodles, coconut oil and soap from trucks that went from one village or hamlet to another. Today, the company is a community of regional co-operatives and a number of subsidiaries, combining a number of elements such as retail, tourism, culture, education and sport. “We are very proud of our co-operatives – and grateful to them,” says Bolliger. “Our charismatic founder, Gottlieb Duttweiler, gave his firm to the Swiss people and we now have over two million members. This means that Migros is deeply embedded in Switzerland’s culture and has a special place in the hearts of the Swiss population.”

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“Migros is deeply embedded in Switzerland’s culture and has a special place in the hearts of the Swiss population”

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The company’s unique structure consists of 10 regional cooperatives, whose main task lies in ensuring the distribution of high-quality, inexpensive products. “Our co-operatives permit direct contact to our regional suppliers on the one hand, and also ensure the active and emotional participation of the co-operative members,” explains Bolliger. “Thus the co-operative form has vast advantages that overweigh the slightly longer decision-making process. Of course we have to be as ﬁt as any company listed on the stock market, but we can reinvest our proﬁts to reduce prices and raise the quality of our products at the same time.”

Rising costs Indeed, with food prices rising across the continent, keeping costs to a minimum is crucial to maintaining a favourable market position. While Bolliger acknowledges that high food prices are becoming a major problem for the industry, he is adamant that the company is working hard to keep costs low. More importantly, it’s not making any concessions on the quality side. “We have adapted to the changing needs of consumers and are aiming at innovations that bring added value – whether it be in the functionality, the pleasure experience or the environmental beneﬁt of the product,” says Bolliger. “We’ve been developing our assortment according to different price ranges, distinguishing more clearly between the simple and the more sophisticated requirements.”

But the challenges don’t stop there. The retail trade today is characterised by increasing globalisation and the opening up of both domestic and international markets, which has led to the arrival of competitors offering hard discounts. “These competitors from abroad have arrived to a very modestly growing Swiss market and brought with them heightened competition,” says Bolliger. Despite this, he feels his company is well placed to compete, and has reacted to this changing market through a partnership with Denner Discount, Switzerland’s leading food discounter. Bolliger explains that this has given Migros a share in the growing discount market, with all of its supplementary product ranges. “A large part of our growth is down to this partnership,” he explains. “Large purchasing volumes are necessary to achieve more favourable prices, as well as more uniform product quality, lower administrative costs and simpliﬁed procedures.” All of which ultimately beneﬁts the consumer, enabling Migros to offer low prices and keep its customers happy.

Quality and safety Today’s consumers are more interested than ever in the products that they eat and drink, and as such they are extremely well informed, interested and critical, concerned with health claims, labelling and the origin of the products they consume. In order to make sure that his customers are well informed and happy, Bolliger established an M-Infoline,

KEEPING THE CUSTOMER SATISFIED

n its annual sustainability report Migros sets out its economic, ecological and social activities. As part of its ecological focus for the future Migros has been concentrating on a number of factors:

• Monitoring energy consumption, as it has done for over 30 years • Recycling 64 percent of operational waste • Taking back 13,000 tonnes of customer waste • Membership of the WWF Climate Group • Inclusion of Globus, Interio and Fitness packs into Migros’ climate protection goals • Carrying out a pilot experiment on refrigerant switch over in the Dietlikon store • Opening of Minergie points of sale in Schwarzenburg BE and Buchs SG • Use of biodiesel in eight regional Migros co-operatives • Carbon offsetting of all business flights for Migros employees • Participation of over 1000 employees in the ‘bike to work’ campaign

A consultant that evaluates corporate reputations has named Migros as one of the world’s most respected companies. The New York-based Reputation Institute recently ranked the Swiss supermarket chain in 10th place in a list of 200 companies, headed by Japanese firm Toyota. The auto giant is globally ranked Number 1, ahead of Google, the US internet company, and Ikea, the Swedish furniture retailer under the annual Global Pulse survey. The rankings were based on standardised scores of one to 100 based on online interviews with consumers in February and March about the reputations of more than 1000 high-profile companies in 27 countries. The survey measures the perceptions of consumers

familiar with the companies, through indicators of trust, esteem, admiration and good feeling. In Swiss rankings, Migros maintained its fi rst place position among the country’s 10 bestknown companies, increasing its score from last year to 81.5 from 75.2. Migros was followed by Vevey-based food giant Nestlé (75.8), pharmaceutical company Novartis (68.4) and engineering firm ABB (65.5) as the companies most respected in Switzerland, all them marking better scores than the previous year. Moneylosing bank UBS ranked the worst in the country, plunging 13.8 points to 53.5 amid financial problems, bad investments in the US subprime market and plummeting share prices.

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However, it is not just being able to voice their views that is important, but rather having the right products, following the right processes at the right time, with an effective supply chain. An effective supply chain needs to have full traceability, both from an operational and a compliance perspective. “Full traceability of a product and its ingredients is our highest priority,” says Bolliger. “It is incredibly important for us that we have precise and trustworthy information on the ecological and social production conditions.” At all stages of the supply chain, Migros relies on uniform standards, from the agricultural primary production, via processing, to the ready-forsale product in the shop. As a result, all fruit and vegetables are produced according to the worldwide standard Global-GAP (Global Good Agricultural Practice). Global-GAP ensures that all producers comply with the same regulations with regard to food safety, fertilisation, industrial safety and environmental protection. The Swiss-GAP Association has adapted the global standard to the conditions in Switzerland with its smallholders. Over 10 years ago, Migros elaborated a code of conduct called the Business Social Compliance Initiative (BSCI) Codex, obliging all nonfood suppliers to comply with social working conditions – such as a living wage or a safe working environment. Two years ago, food suppliers were also asked to acknowledge the Codex and by the end of 2007, 98 percent of Migros food suppliers, excluding fresh produce, have undertaken to comply with the principles of the Codex and submit independent audits. “Last year, we initiated the Global Social Compliance Program (GSCP) in collaboration with internationally operating wholesale distributors,” says Bolliger, “to much success.”

With approximately 600 stores throughout the country, Migros sells almost 25% of Switzerland’s food, employs around 83,000 people and has annual sales of more than 12.3 BILLION where customers can find information about products and services, or can offer ideas, suggestions or complaints, six days a week, by phone, email or letter. “Every day Migros serves about 1.4 million costumers – that means that we are constantly in direct contact with them. Customers’ enquiries are answered individually and passed on to the appropriate offices within Migros,” he says. “We have a website, an internet portal and an in-house customer magazine, and also interview 100,000 customers and passes-by every year to find out how we can improve our services.”

MILESTONES

The 20s

The 40s

The 50s

1925 Migros founded with five car sales 1926 First store opened in Zürich

1941 The M-Aktiengeseillschaft is converted into regional co-operatives 1944 Migros Club Schools founded 1946 The Dutti-Park was founded 1948 The first self-service shop opened in Switzerland

1951 First sale of non-food items 1952 First MM with restaurants are founded in Zurich 1954 Gasoline and heating oil company Migrol, established 1956 Language school (Eurocentre) founded 1957 Migros Bank established 1958 Secura insurance company established

The 30s 1933 First Migros co-operative founded in Ticino 1938 First issue of the Migros weekly newspaper, Azione

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Labelling As the expanding and diversifying population grows, so too do their needs, wants and demands, particularly regarding safety issues. So how does Migros plan on handling this product safety challenge? Primarily through the company’s labelling, answers Bolliger. “We play a leading role in the introduction and propagation of label products and ensure that comprehensive background information on the products is obtained from the manufacturer or the supplier. Trustworthiness is the key: we make ourselves trustworthy by checking, and having others check, that we really deliver what we promise.” He goes on to explain that Migros has their own engagement labels, including a ecological and/or social value-added, and an expanding range of sustainable products. At present, Bolliger is focused on speciﬁcally developing the assortment of climate-friendly products and foodstuffs geared towards a balanced nutrition. “Labelling is an issue but we are faced with complex – and not always consistent – laws, and also with the task of informing consumers without confusing them. There is a limited amount of space on a label, and everybody should be able to read the information without having to carry a magnifying glass and an encyclopaedia in their shopping bag,” he jokes.

Sustainability In addition to this are challenges specific to Switzerland in regard to spatial planning and worldwide concerns regarding the protection of the environment and sustainability issues. “Migros has always been very much involved in respecting and protecting the environment,” explains Bolliger. “We have a comprehensive environmental management team, which is co-ordinated by the ecology and energy departments in the Federation of Migros Co-operatives.” Bolliger has set the company binding goals in order to increase energy efficiency and reduce carbon dioxide emissions, convinced that the key culprit in the firm’s environmental pollution is its energy consumption. Bolliger claims that it will be possible to cut carbon dioxide emissions by 16 percent by 2010, an ambitious goal; however, he is confident that the company will be able to meet these goals, and has taken numerous measures to ensure that they will be achieved.

For a start, all new supermarkets are energy-efficient; the supermarket in Eschenbach, Switzerland, recently switched to 100 percent LED lighting throughout the entire store – in the refrigerated compartments, overhead and accenting the selection of products on offer – through which it hopes to reduce energy use by 80 percent, including lower air conditioning costs due to the low waste heat generation of light emitting diodes. In addition, Migros has a new detergent, which cleans at a 20-degree wash, thus saving energy and CO2; and is also a key player in the use of climate-friendly fuels, flying employees CO2 neutral on business trips and successfully operating the largest takeback system in the Swiss retail trade. “Migros has always endeavoured to offer good and reasonably priced products, but also to assume its social responsibility by manufacturing, processing and distributing such products without causing harm to the environment,” says Bolliger. It is one reason why Migros joined the Global Compact of the United Nations, a voluntary framework for businesses that are committed to aligning their operations and strategies with 10 universally accepted principles in the areas of human rights, labour, the environment and anti-corruption. “Last year, the independent energy rating firm Oekom Research scrutinised the performance of the largest retail enterprises, and found that Migros was the most sustainable retailer in the world. It is a title we are extremely proud to hold.”

Future As Migros continues to grow, so too does Bolliger’s job. For the ﬁrst time, he has developed a group strategy in order to provide a framework for the future orientation of Migros’ strategic business units. “We are geared to improving the quality of life for our customers and employees. We are predicting stronger growth abroad, with the intention of strengthening the existing business units and the Migros Group,” he says. “And for our group as a whole, we aim for proﬁtable growth.” By adapting to the changing needs of consumers, and by focusing on innovations that bring added value, it seems Migros has every chance of succeeding in its goals and overcoming the current challenges in the industry.

The 60s and 70s

The 80s and 90s

2000

1963 Gottlieb Duttweiler Institute opened 1967 Introduction of Migros data 1970 First MMM

1986 First leisure centre opened 1992 Green light for foreign branches on the border 1993 First shopping centre opened on the border 1993 Migros engaged in Austria 1997 Introduction of the customer loyalty programme, M-Cumulus 1998 Introduction of online shopping 1998 Migros decides on a co-operation with OBI, a DIY store

2000 Migros celebrates its 75th anniversary 2001 Migros achieves a turnover of over 20 billion francs for the first time 2002 Introduction of corporate governance structures 2003 New umbrella label for products with social and environmental value introduced 2007 Migros own a 70 percent stake in Denner Discount

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BEATING THE FRAUDSTERS In the fight against food fraud, greater intelligence sharing amongst food agencies will be key to ensuring standards are met and rule-breakers brought to justice. icture the scene. It is London in 1820. Bakers are mixing dough with chalk and plaster to make loaves whiter and heavier. Brewers are using strychnine to make beer taste bitter. Confectioners are using poisonous lead and mercury salts to make sweets brightly coloured and more attractive to children. It’s a great time to be an enterprising food producer with questionable scruples, but probably not such a pleasurable period for the poor consumers subjected to hazardous substances on a daily basis. Fast-forward two centuries and things have, thankfully, changed for the better. Standards have done much to improve the quality of the food we eat, ensuring there are no nasty surprises hidden away in the ingredients cupboard; and swift prosecution of transgressions has led to increased conﬁdence in the safety (and legitimacy) of the food chain. Organisations such as the Food Standards Agency in the UK and the European Food Safety Authority have worked tirelessly in this regard. Nevertheless, food fraud does still exist – recent high-proﬁle cases include vodka being diluted with industrial methylated spirits and problems with the supply of rotten poultry to certain supermarkets – and stopping such illegal practices is critical to minimising public health risks and ensuring consumers get what they are paying for.

The Food Fraud Task Force, an independent body set up to address this issue, defines food fraud as deliberately placing on the market, for financial gain, foods that are falsely described or otherwise intended to deceive the consumer. And while Reynolds believes this description actually covers a multitude of sins, he sees cases of food fraud falling into two broad groups. “The first is selling food not fit for human consumption or recycling animal byproducts back into the food chain,” he explains. “Recent UK examples include condemned, diseased poultry being bleached and diverted back into the food chain and, more recently, a case in Northern Ireland where beef and poultry of unknown origin were illegally repackaged and placed on the market for human consumption. The second type of fraud is deliberate misdescription, resulting in consumers not receiving what they expected – such as farmed fish being sold as wild or non-organic food sold as organic.” In the past, a number of high profile food frauds have centred on the meat sector, which reflects the substantial profits that can be made. “Here in the UK, we’ve had several large-scale food frauds in recent

“Our authenticity programme is one of the leaders in Europe in developing state-of-the-art methods to detect food fraud and misdescription in a wide range of foods” Dr Ian Reynolds is Deputy Chair of the UK Food Standards Agency, and takes the issue of food fraud very seriously. “Our authenticity programme is one of the leaders in Europe in developing state-of-theart methods to detect food fraud and misdescription in a wide range of foods, from DNA to biochemical markers,” he says. “We work hard with local authorities to uncover cases where the consumer has been misled, whether deliberately or unintentionally, and take swift action to stop illegal activity.”

Ian Reynolds

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CONSUMER TIPS years that have resulted in successful prosecutions,” continues Reynolds. “One prosecution resulted in the ringleader of a major poultry fraud beginning his six-year sentence last year. Another case involved tonnes of condemned poultry meat, originally intended for pet food, being diverted back into the human food chain as well as other illegal meat products being targeted at UK ethnic communities. A past misdescription case, where a restaurant sold non-organic food instead of the organic food stated on its menu, also resulted in prosecution.” One of the major challenges in tackling such activity is that, because of its illicit nature, food fraud can only be recorded once detected – meaning it is not always easy to accurately determine the true extent of the problem. To assist with these detection efforts, the Food Standards Agency has embraced a number of key initiatives to help sniff out the fraudsters. Among the dedicated resources are the Illegal Meat Task Force, a UK/Ireland network of food investigators who assist local enforcement authorities in detecting and investigating meat frauds; and the Food Fraud Database, which uses specialist intelligence software to detect emerging patterns of fraudulent activity. Intelligence is based on enforcement officer reports of suspected or known fraud. In addition, the agency provides additional resources to assist local enforcement authorities facing resource-intensive investigations into suspected food fraud. “Typically, we’ve funded covert surveillance, the storage and destruction of food, and computer forensics,” says Reynolds. “The Food Fraud Task Force also encourages whistle-blowers to inform the authorities to known or suspected incidents of food fraud. All food businesses are required to provide relevant documentation to food enforcement officers upon request, to ensure adequate traceability throughout the food chain, and missing or incomplete documentation is another way in which food fraud can be detected.” The UK has certainly done much to clamp down on instances of food fraud, and Reynolds is proud of the fact that individual cases – in the UK at least – are currently few and far between. Nonetheless, he is well aware of the need for constant vigilance. More important still is the necessity to share information on a Europe-wide basis to ensure standards are constantly met and enforcement consistently applied. “Protecting product identity is vital, otherwise legitimate trade and reputations of genuine producers are damaged,” he insists. “Member states need to work closely together to deal with potential food frauds and enforcement officers must work closely with legitimate traders and enforcement bodies, such as the European Anti-Fraud Office, and use their intelligence effectively.” In terms of challenges for the future, Reynolds sees a number of key trends being important. “First, I sincerely believe we need to share timely intelligence to deal with fraud both within the EU and imports into the EU from third countries,” he says. “We also need to be ready to deal with fraud emerging in new markets – such as misleading advertising of food on the internet. By educating consumers, traders and enforcers we’ll reduce risks to public health. More awareness denies opportunities for fraud, but we do need the infrastructure to do this – a food fraud network could be part of this, to increase international co-operation.”

The detection of food fraud is not easy, although it is sometimes possible to identify products where fake packaging and labelling have been used, particularly where the originals may have been poorly counterfeited. The public should also be conscientious when purchasing food and may be right to be suspicious if they are offered a product that appears far too cheap to be true – the price may well reflect the quality and history of the food.

PREVENTING FRAUD “We know some products are substituted or adulterated with cheaper products,” says Reynolds. “At the Agency we take food authenticity very seriously and so we’ve developed methods to authenticate food to ensure what is on the label is in the packet.” Using science, the FSA is able to: • Verify the geographic origin of beef using isotopic methods • Check if poultry sold as ‘fresh’ has been previously frozen, using enzyme-based methods • Detect the presence of meat in vegetarian products, using chemical analyses “In addition, we are helping food analysts invest in new lab-on-a-chip technology,” continues Reynolds. “This technology is fast, safe, cheap, and easy-to-use. And we train analysts on a range of DNA methods we’ve developed specifically for this platform. They can, for example, determine species of fish and exotic meats or detect adulteration of Basmati rice with cheaper varieties.”

FOOD FRAUD DATABASE In 2006, the Food Standards Agency (FSA) established a national food fraud database. This central intelligence system uses a specialist intelligence management program that is used by many other law enforcement agencies, including the Welsh Food Fraud Co-ordination Unit. In addition to having powerful searching capabilities, it is used to detect emerging patterns of fraudulent activity. The database is an important resource for local authorities that may be seeking additional information to assist with their investigations into food fraud incidents. Intelligence is received from a variety of sources, including consumers, industry, government departments and other enforcement bodies, but particularly from local authorities. It is important that local authorities share all intelligence they become aware of in relation to known or even suspected food fraud incidents, including historical cases, with the agency. This intelligence can then be used to populate the database along with data from all other sources.

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TECHNICAL INSIGHT

Using near infrared spectroscopy in the food industry Dr Holger Keller, Product Manager NIR at Büchi Labortechnik AG, outlines the use of the Cluster ID method for distinct identification of quality aspects in the food industry. esting raw materials or finished products using near inthe quality of a raw material or finished product in the food industry is frared (NIR) spectroscopy is a common procedure in the traditionally defined by a set of chemical or physical parameters, which chemical and pharmaceutical industry. The main focus is are quantified using suitable analytical technology. the identification and qualification of, in most cases, pure Companies specialising in industrial bread production have a high chemical substances or formulations with well-defined demand for ready-to-use bread baking mixtures. The market for bread mixtures at retail stores for use in consumer households is growing matrices. Pharmaceutical and chemical companies rely on NIR techcontinuously as well. The following case study will demonstrate that nology because of its speed and the proven specificity to not only quality verification of this kind of mixture can be done not only with identify and qualify chemicals, but also because of important physia single measurement using NIR spectroscopy to acquire quantitative cal parameters. results, but also to establish an easy-to-use, distinct identification/ Besides the speed, the possibility to perform non-invasive qualification method using Cluster ID. analytics is a major advantage of the NIR technique founded on the Bread mixtures are much more than just flour, water and yeast. properties of NIR radiation, or to be more precise, on the physical They are very complex formulas containing various components in nature of the excited vibrational transitions. The wavelength region different ratios such as wheat flour, rye flour, cereal flakes, seeds, between 10,000 and 4000 cm-1 is characterised by a weak degree of absorption. Thus, a high ratio of the incident light is reflected from the whole grain, malt, salt, spices, yeast and additives to enhance the solid surface after interaction with the sample and can be collected baking result. and analysed in the so-called reflectance mode. To analyse the resultThe development of these complex formulas requires intensive ing spectral information, various chemometric methods are used with know-how and time consuming tests in which the relevant quality parespect to identity control. The Cluster-ID method, a classification rameters are evaluated and optimised. The identified critical quality method based on principal component analysis (PCA), combines difparameters need to be monitored closely before shipment to ensure ferent advantages of other algorithms such as spectral comparison or a satisfying result at an industrial bakery or in the family home. In SIMCA. As a result, the operator of such an analytical tool will receive the following study, the parameters protein, starch, fat and salt were clear and easy-to-interpret information: ‘Identity OK’ or ‘Identity not OK’. This FIGURE 1: SCORE PLOT OF EIGHT DIFFERENT BREAD MIXTURES allows its use outside of an analytical laboratory where qualified analytical Bread mix 1 personnel are not present (e.g. directly All quantitative results Bread mix 2 in the warehouse to perform quality Bread mix 3 control checks of raw materials or on Bread mix 4 the production floor to verify the quality

Bread mix 5 Bread mix 6 Bread mix7

PC2

of finished products before shipping). Testing the quality of raw materials or finished products is also an important issue for the food industry. In contrast to the chemical and pharmaceutical industry, the majority of raw materials and finished products in the food industry are highly complex materials from plant material or animals that show seasonal, geographical and species variation. Next to sensory and visual inspections,

Bread mix 8

PC1

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analysed and calibrated with the use of NIR spectroscopy for a total of eight different bread mixtures. Different bread mixtures show large differences within the critical parameters but within different batches of the same bread mixture the parameters remain in a narrow band. Therefore it is possible, in a quantitative way, to identify certain composition patterns, which can be analysed with chemometric methods as well. Figure 1 shows that classification of the eight different bread mixtures based on the data acquired from the reference analysis methods is possible. Because the relevant quantitative information can be calibrated based on the NIR spectral data and correlated with the classification of the different bread mixtures, a classification model based on the spectral data can be derived directly (Figure 2). The results show that there is more than one way to determine the quality of different bread mixtures. The more traditional quantitative approach delivers a number of quantitative results with a single NIR measurement. These results need to be interpreted in order to link them to a quality related pattern. Cluster analysis is an elegant way to merge a traditional quantitative approach with direct examination of spectral information. This delivers a classification of different bread mixtures with a clear message, which leaves no room for interpretation. The results are distinctive: identity conforms or identity does not conform.

FIGURE 2: THE CLASSIFICATION OF DIFFERENT BREAD MIXTURES Bread mix 1

Bread mix 5

Bread mix 2

Bread mix 6

Bread mix 3

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Bread mix 4

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CASE STUDY

Near Infrared (NIR) Spectroscopy is a well known and established method for the identification and qualification of raw materials in the chemical and pharmaceutical industry. Testing the quality of raw materials is an important issue for food production, especially in the bakery industry for example. Wheat flour can be produced in several kinds of different qualities. This is obtained by milling together different types of wheat and by using the same mixture in different ratios. Each different quality is produced for a specific purpose. Depending on the quality, the flour will be used for bread production, cakes, biscuits or other bakery products. To ensure the quality of the finished products it is necessary to monitor the characteristics of the flour very closely. This is usually done by determining a set of chemical and rheological parameters such as moisture, protein, water absorption, stability, dough development time, baking strength of dough or the ratio between dough strength and extensibility, in a quantitative way. Interpretation of the results is necessary in order to determine whether all quantitative results are in the allowed tolerance range for the expected flour quality or not. The overall quality aspect is therefore characterised as a combination of the different quantitative chemical, alveographic and farinographic results. This study was developed to evaluate the capability of NIR technology to identify and qualify a certain flour quality with the use of PLS Analysis. For each quantitative parameter a number of samples, ranging from about 150 to 500 samples, were collected. The samples represent six different wheat flour qualities and were collected over a period of approximately 10 months. The study was carried out by Barilla G. & R. Fratelli Spa company R&D. The results show that with the use of a BUCHI NIRFlex N-500 FT-NIR spectrometer it is possible to develop quantitative PLS calibration models that allow the clear identification of different flour qualities by a non-destructive analysis, which avoids labour intensive, traditional, alveographic and farinographic reference measurements. Now the correct identity of every batch of flour can be immediately verified against an established pattern of several different quantitative parameters immediately after its arrival to the bakery plant.

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FOOD SAFETY FOCUS

A light at the end of the tunnel Despite regulations across Europe being tightened in order to provide a greater degree of safety assurance, problems that further erode consumer confidence still arise with predictable regularity. Now new solutions are becoming available and gaining acceptance on a global scale. By Françoise de Goeijen. almonella is one of the most stubborn and regularly occurring problems in the food chain and has been the focus of food safety for many years. This contamination can cause intestinal discomfort, fever and even death in weak and elderly people. And each year millions of people contract Salmonellosis with an economic impact running into billions of Euros. Many Salmonella reduction programmes exist, but a workable solution has proved evasive for various reasons, including insufficient disinfection to analytical inaccuracy. One notable flaw has been the inability to trace the contamination accurately to its origins. Salmonella contamination can occur anywhere in the food chain; on farms and in rearing units, in factories where agricultural products are processed into feed ingredients, or complete animal feed, or anywhere bacteria have a chance to grow. In order to trace contamination accurately, specialised skill is required, so specialised laboratories are often involved where the feedback of results is very slow, or serotyping is left out of the programme completely. However, there are 2000 Salmonella subtypes or serotypes. Different Salmonella contaminations are often caused by different serotypes. Classical serological methods require well trained and experienced staff and full serotypes identification can take up to two weeks and longer. But routine serotype-identification is important for two main reasons: first, recent EU and national requirements demand more detailed serotype-identification when positive Salmonella contamination is found. Second, routine serotype- identification enables each specific cause of Salmonella con-

tamination in the food chain to be pinpointed, thus reducing Salmonella contamination by taking speciﬁc appropriate sanitary measures in the speciﬁc part of the production chain, like broiler house, feed mill or hatchery.

Successful approach As has been demonstrated in the Netherlands, excellent results have been achieved with a serotyping approach, which is particularly significant in fighting the problem because it not only offers a speedy detection method, it also enables an exact tab to be put on the bacteria. More significantly, it enables the source of the problem to be traced back to the hatchery, breeder flock, feed mill, grow-out farm or processing plant where the problem arose. In addition to strict monitoring, cleaning and disinfection regimes, the Dutch approach includes preventative measures such as the successful monitoring of breeder houses, which owes much to the regular analysis and rapid serotyping of Salmonella positive samples. To avoid contamination of separate lots from other breeder houses, a special regime involving meticulous segregation has been introduced. Similar strict monitoring measures have been introduced in grow-out

houses and on farms, while processing plants are subjected to strict segregation and cleaning regimes. To support this approach DSM introduces a new product, the PremiTest Salmonella, to pinpoint the serotype in the food chain. PremiTest Salmonella is a combined detection and identiﬁcation method for Salmonella. PremiTest Salmonella is a rapid, robust and easy to perform test and it recognises more than 70 of the most important Salmonella serotypes. It will support integrators to further decrease the Salmonella contamination in the chain.

Faster and reliable screening A fast and effective antibiotic residuescreening test for antimicrobial substances in fresh meat, fish and eggs is also available in the form of PremiTest. This is not only easy to use and cost-effective, it offers meat, fish and egg integrators a significant improvement for their on-site screening regimes. It can also be used to test animal urine, giving farmers, breeders and veterinarians a quick and inexpensive way to reliably screen livestock before sending them to the abattoir, as well as to test animal feed for anti-microbial substances before being fed to livestock.

Global usage increasing Françoise de Goeijen graduated from the Agriculture University of Wageningen as an Agriculture Engineer in 1985. In 2001, she joined DSM first being responsible for Meat Ingredients and later moving to DSM Nutritional Products as Global Business Development Manager Food Safety.

Spearheaded by Europe, which has pioneered the validation and usage of PremiTest, many countries throughout the world are showing their eagerness to embrace the new tests. Salmonella serotyping is now regarded as the primary solution for salmonella contamination throughout the food chain.

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EXECUTIVE INTERVIEW

SAFE AND SOUND Food testing is paramount if you want to avoid a potentially devastating safety scare, says Dr Paul Young, Senior Manager for Business Development at Waters Corporation. FS. Safety scares are driving demand for better food testing and traceability technologies. How is your company involved in this aspect of the food chain? PY. From a food producer’s point of view, food safety is about managing the risk to consumers whilst at the same time protecting brand in a timely, cost-effective manner. At Waters, we are working with customers worldwide to ensure that our technological innovations deliver both scientific and business advantages. For example, by utilising the high throughput of ACQUITY UPLC combined with purposefully designed, complementary detection systems, customers are realising improvements in efficiency by covering a broader range of contaminants in each measurement than has been previously possible. Additionally, they are increasing throughput in an environmentally friendly way through simultaneously reducing solvent usage and protecting their business by generating unambiguous results the first time. Laboratories should not merely be tasked with generating results, but need to

be considered as a key source of business information. Waters informatics products, like the NuGenesis Scientific Data Management System (SDMS), are designed to allow compliance-ready data tracking and information sharing throughout an organisation across multiple geographies. FS. In your opinion, what are the key factors to be taken into consideration when considering a food testing solution? And what are the key features companies should look out for? PY. The single most important consideration must be one of efficacy. Results must be unambiguous, protecting both the consumers and the company. Solutions therefore need to be both robust and comprehensive. With food production, spoilage is an important consideration, so turnaround times must also be minimised to avoid costly waste. Companies should look for versatility in their solutions, with the aim to increase the scope of the analytical methods. In short, robust, rapid, unambiguous methods can generate significant return on investment savings.

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FS. What challenges do food producers face in addressing the issue of traceability – both from an operational and a compliance perspective? PY. Effective traceability is essential for the management of hazards when they are identified. From an operational perspective, companies need to be able to identify ingredients and production lots to as minute levels of detail as is practical, in order to reduce or even prevent significant waste when an issue is detected. Under European law, traceability through all stages of the production is a regulatory requirement and it is expected that such a requirement is likely to be enacted in US food law in the future. International trade has been significantly disrupted in the past as a result of confusion involving laboratory analyses and export certificates. Therefore, in addition to addressing their own business needs, food producers are obliged to demonstrate due diligence by putting in place robust traceability procedures that will stand up to regulatory scrutiny.

“Accurate results are only meaningful if they can be attributed to the correct sample”

FS. The greatest threat to public safety in the event of a food recall is that traceability information is not timely. How can laboratory information management systems help drive greater traceability into the food production process? PY. Laboratory information management systems play a key role in managing risks, since accurate results are only meaningful if they can be attributed to the correct sample. At Waters, we are extending the access to laboratory information beyond the lab into all areas of the business through the development of a suite of complementary informatics products, designed to increase

productivity by collating and making widely available laboratory information from diverse data sources. FS. What will be the key trends in traceability and testing over the next few years? Are there any developments you are particularly excited/concerned by? PY. In previous times it was uncommon to encounter techniques capable of detecting more than a handful of analytes simultaneously. Recently, however, Waters scientists described a UPLC-MSMS method, developed on the Waters TQD, which is capable of detecting more than 400 pesticide residues in an eight-minute chromatographic separation. Whilst MSMS detection is likely to remain the gold standard for quantitative analysis, many scientists are starting to employ the versatil-

Prior to joining Waters in 2007, Dr Young was employed by the Department of Agriculture and Rural Development in Northern Ireland for more than 25 years, involved in development of mass spectrometric methods for food safety analysis. Additionally, he has frequently delivered food safety training on behalf of international bodies.

ity and accurate mass capabilities of Time of Flight MS detection to develop detection systems of almost limitless scope. The challenge this creates is one of management of the vast quantities of data generated by these systems. At Waters, we have and continue to address this through targeted development of our informatics suite of software. I expect that we will continue to see advances in throughput, in the applicability of methods and in the ease of use of the instruments themselves.

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INDUSTRY INSIGHT

Cold chain management Malcolm Mackay looks at cutting-edge solutions for temperature and humidity logging. limaStats is a web-based cold chain management solution for temperature and humidity logging, using devices capable of recording secure electronic data for the entire duration of a process or to accompany temperature sensitive products throughout their cold chain lifecycle. ClimaStats has been designed to offer companies a user-friendly system to control and manage product quality assurance documents, tracking/tracing information and reporting records. The solution takes advantage of industry-leading technology in temperature and humidity logging devices by supporting Maxim Integrated Products’ widely acclaimed iButton product line. These data-logging products include the industry’s smallest, smartest and most robust packages to suit applications between -40°C to +125°C. The modular design allows the system to cater for various needs, no matter how big or small the cold chain management requirements, and is offered in ﬁ ve different formats. ClimaStats Micro Device (CSMD) is an entry-level option providing support to download, reconﬁgure and produce reports and offers users full control over our range of temperature and/or humidity data loggers. The CSMD solution is suitable for

single users who require simple conﬁguring and report data, ideally suited for analytical and educational applications. The user can access an executive summary of the mission details; view the data logger readings and view a comprehensive exception report of alarm conditions, as well as a customisable graphing utility. Reports can be printed or saved as PDF, CSV or exported to a word processor or spreadsheet. ClimaStats Elite (CSE) inherits all the features of CSMD but adds a powerful data management module for the user to manage higher volume logs and data loggers. The data management module in CSE allows users to retain data in its original form and view when required. A user password is required at login and data is stored in a secure database. ClimaStats Micro View (CSMV) is more of a data management tool used in conjunction with CSE and CSP deployed editions, allowing the user to view the logger data in both the remote web service database as well as the local machine database. The CSMV solution is targeted more at management level users who wish to only view the data logger readings and exceptions and to view or print reports. ClimaStats Professional (CSP) inherits all of the features of the Elite package together with the Security Manager module

IBUTTON DATA LOGGER PRODUCTS SELECTION GUIDE

Temperature sensor

Temperature data loggers

Temperature/humidity data logger

PART

DESCRIPTION

DS 1920-F5

Enable Enable User To Collect Current Temperature Upon Contact With A Reader. Digital Therometer, ±0.5 °C Accurancy (-55°C To 100°C).

PART

OPERATING RANGE

MAX ACCURANCY

DATALOG SIZE

DS1921G-F5

-40°C to +85°C

± 1°C (-30°C to 70°C) ± 1°C

2K points

DS1921H-F5

+15°C to +46°C

±1°C

2K points

DS19121Z-F5

-5°C to 26°C

±0.5°C (-10°C to +65°C)

2K points

DS1922L-F5

-40°C to +85°C

± 0.5°C (+20°C to +100°C)

4k/8k points

DS1922T-F5

0°C to +125°C

DS1923L-F5

-20°C to +85°C

±0.5 °C (-10°C to+65°C)

8k points (temp)

0%RH to 100% RH

5%RH

4k points (temp/RH)

4k/8k points

Malcolm Mackay has 17 years’ extensive experience in system design, manufacture, marketing and sales of Electronic Data Collection Products. He joined Fairbridge Technologies in 2004 as a Product Specialist for Maxim Integrated Products.

used to create user groups and assign speciﬁc functionality and devices to these users. It is suitable for international trade web service connectivity and corporate groups with separate operating divisions. During transportation and storage it is imperative pharmaceutical, export/import fruit and food companies manage and monitor temperature sensitive valuable products. The CSP package allows for important data to be retrieved, managed and shared with business partners in a proactive nature. ClimaStats Mobile (CSM) can run on a handheld PDA and a smart phone running Windows Mobile. CSM supports auto start and stop modes,and allows the user to view readings and send data direct to ClimaStats web service via GPRS or WiFi if supported by the handheld. Another handy function is the ability to pair handheld devices with a portable Bluetooth printer to print summary mission statistics and/or graphs, immediately to receiving bays to accept or reject paper copy of log. iButton is a registered trademark of Maxim Integrated Products. Windows Mobile is a registered trademark of Microsoft Corp. Bluetooth is a registered trademark of Bluetooth Sig, Inc.

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FOOD SAFETY FOCUS

The future of food safety communication Jørgen Schlundt, Director of the Department of Food Safety, Zoonoses and Foodborne Diseases for the World Health Organisation, outlines the current food safety burden and suggests what can be done to open up communications. he estimated disease burden caused by unsafe food is significant in all countries around the world. Most consumers have heard of Bovine Spongiform Encephalopathy (BSE) in the United Kingdom, Dioxin in Belgium or the spread of Highly Pathogenic Avian Influenza (HPAI) from Asia. Nevertheless, food safety authorities in many countries often like to point out that these events – highly publicized as they might be – do not really reflect the food safety reality, and have in effect caused very little disease burden even at the global level. The same authorities often use similar statements when national outbreaks caused by Salmonella, Escherichia coli O 157 or Listeria occur because of contaminated eggs, produce or ready-to-eat foods. These authorities are right – all of the issues mentioned above have caused a relatively low disease burden when compared to the general dramatic disease burden that affects consumers in all countries continuously from unsafe food. The best estimate we have of a more comprehensive foodborne disease burden comes from the US: in 1999 a group lead by Dr Mead from the CDC published a major study estimating that one-third of the US population contracts a case of foodborne illness every year – and this estimate was only related to disease caused by micro-organisms (Mead et al., 1999). The facts related to the true disease burden are seldom published by authorities. We therefore appear to have a situation in many countries where the authorities correctly point out to the public, that these outbreaks are few and often result in only limited

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disease burden. Many of these same authorities, however, do not always seem to make serious efforts to estimate and/or publicise the true burden of foodborne disease. This true burden stems from the cases happening every day all over the world, involves almost all types of food and results not only in diarrhoea, but also other serious affections such as kidney and liver failure, brain and neural disorders, long-term complications, such as reactive arthritis, and cancer as well as death from any of these other conditions. Many of these cases are occurring in situations where they are not or cannot be linked to other single cases and are referred to as sporadic cases, even though together they constitute the majority of foodborne disease cases.

portant foodborne diseases in a population of approximately 250 million in the range of $6.6 billion to $37.1 billion (Buzby and Roberts, 1996). Estimates of the economic consequences of food contamination events or foodborne disease outbreaks through altered conditions affecting national food exports are not forthcoming, and only a few examples are typically presented, mostly without a clear description of the methodology used for the estimation. However, in several major single incidents the total health bill has been measured in hundreds of millions of US dollars. When there are more accurate estimations of the real disease burden related to unsafe food, which will hopefully be in the near future, there will most likely also be calls for political interventions of a different nature as a response. But it will not be only the better estimations that will deﬁne a new situation. We will most likely also experience an increase in the reported number of foodborne disease outbreaks.

1/3

of the US population contracts a case of foodborne illness every year

Sporadic cases A major source of international variability in reporting of foodborne diseases relates to the number of sporadic cases. Some countries report the total number of cases of a foodborne disease, including sporadic cases, while others mainly collect information on the number of outbreaks and the number of cases involved in the outbreaks. For most foodborne diseases the major part of cases are sporadic, for some diseases (e.g. disease caused by Campylobacter spp.) the disease incidence relates almost exclusively to sporadic cases. Deeply concerned by a potentially growing foodborne disease burden, in May 2000, at the 53rd World Health Assembly, the governing body of the WHO, adopted a resolution calling upon the WHO and its member states to recognise food safety as an essential public health function. The resolution also called for the development of systems to enable a reduction of the burden of foodborne disease. Still concerned that our estimations of this burden is very poor, the WHO has, from 2006, initiated a broad estimation of the global burden of foodborne disease, a major, long-term initiative supported by many international experts. Such estimations will enable not only a more realistic communication of the problems, but also a prioritisation of problems, as well as a science-based evaluation of the effect of different types of intervention to lower the foodborne disease burden. Therefore, these estimates will enable efﬁcient action to lower the burden and thereby contribute signiﬁcantly to the achievement of the Millennium Development Goals, especially in relation to child health.

Economic burden Of course foodborne diseases not only significantly affect people’s health and well-being, but they also have economic consequences for individuals, families, communities, businesses and countries. These diseases impose a substantial burden on healthcare systems and markedly reduce economic productivity. The loss of income due to foodborne disease perpetuates the cycle of poverty in poor settings. Estimating direct as well as indirect costs of foodborne disease is difficult. An estimate in the US from 1996 placed the medical costs and productivity losses of seven im-

CHEMICAL SUBSTANCES major problem in the estimation of disease burden relates to the burden of disease caused by chemical substances in food. In many cases it is significantly more difficult to link foodborne disease to a specific chemical hazard because it is difficult to detect the chemical in the patient, often we will only detect the effect. Two examples of relevant chemical substances related to food consumption are aflatoxins and acrylamide. Aflatoxins are toxic substances produced by certain species of fungi, from the Aspergillus family. One of the toxins causes a very significant number of human cancers globally every year, but acute exposure can also result in disease, such outbreaks have been registered in East Africa over recent years. Aflatoxin contamination of food is often related to poor storage conditions. The greatest risk for health exists in developing countries and food insufficiency can compound the problems. The significant associated health effects pervade the developing world despite the fact that these effects could be mitigated or prevented with the current state of agricultural knowledge and public health practice. Acrylamide is a chemical that is found in certain foods that have been cooked and processed at high temperatures – above 120 degrees Celsius. Such foods include potato chips, french fries, bread, coffee etc. In 2005, JECFA (a Joint FAO/WHO Expert Committee on Food Additives and contaminants) suggested that the level of acrylamide exposure in ordinary diets may indicate a human health concern, since the compound is estimated to be genotoxic and carcinogenic. JECFA indicated that the Margin of Exposure (margin between levels consumed through food and levels causing disease in animals) is one of the lowest known for potential carcinogens in food. Therefore, appropriate efforts to reduce acrylamide concentrations in foodstuffs are essential.

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Communication

FIVE KEYS TO SAFER FOOD Foodborne illness is almost 100 percent preventable. The five keys to safer food at home are:

1. USE SAFE WATER AND RAW MATERIALS

Use safe water or treat it to make it safe; select fresh and wholesome foods; choose foods processed for safety; wash fruit and vegetables. 2. KEEP CLEAN Wash hands before and during food preparation; clean all surfaces and equipment used for food preparation; protect kitchen areas from insects and rodents.

3. COOK FOOD THOROUGHLY

Cook food thoroughly, especially meat, poultry, eggs and seafood; bring foods such as soup and stews to boiling point to make sure they reach 70 degrees; for poultry and meat, make sure that juices are clear not pink.

4. KEEP FOOD AT SAFE TEMPERATURES Do not leave cooked food at room temperature for more than two hours; refrigerate all cooked and perishable food below five degrees; keep cooked food piping hot until served; do not thaw frozen food at room temperature.

5. SEPARATE RAW AND COOKED

Separate raw meat, poultry and seafood from other foods; use separate equipment and utensils, such as knives and cutting boards for handling raw foods; store food in containers to avoid contact between raw and prepared foods.

Outbreaks such as these are most likely not new. They have been happening regularly, but were never registered as outbreaks, only as single, sporadic cases. This is most likely, but of course we will only know for sure when we are able to reliably assess the true disease burden. However, the pertinent point is that we will most likely experience more documented outbreaks – a certain fraction of what was earlier called sporadic cases will be realised as part of more widespread outbreaks in the future. But, maybe even more importantly: are we ready to communicate this new situation to consumers at large? Judging from previous risk communication experience, we are often lacking in food safety risk communication. Going back 10-20 years (before BSE) the usual food safety authority response would be an ‘authoritative’ response, something you would have to believe in simply because you heard it from the authority and they were clearly the ones to know best. Now, one of the problems with this approach is that whenever something goes wrong, the authority will loose credibility if it is not seen to be able to explain to people what really happened – if it continues to maintain that all is well, when obviously it is not, for example. Therefore, as a result of several communication disasters, the new focus in food safety communication is to continuously work with the public to ‘restore the publics trust’. In many cases the message from expert communicators has been: make sure you maintain the trust, be open and transparent and report immediately when something goes wrong.

“It is significantly more difficult to link foodborne disease to a specific chemical hazard because it is difficult to detect the chemical in the patient, often we will only detect the effect”

Over the last couple of years we have seen a number of major outbreaks of foodborne disease caused by Salmonella and E. coli (especially O157) in different food vehicles. Some of the major reported outbreaks have been in the US. Many, will remember the large outbreak related to spinach a couple of years ago, and just now the US are reporting an outbreak that might be related to other vegetable foods. While the occurrence of these outbreaks might signal a change caused by changing food production systems, the more likely explanation to why, is that we now know how to detect these outbreaks in new and better ways by linking bacterial isolates and thereby linking human cases and their food sources together. Genetic fingerprinting (especially Pulsed Field Gel Electrophoresis) has been known for some time, but the systems to consistently use this technique to scan the outbreak landscape is relatively new. In the US the Pulse-Net network has been instrumental in defining some of these recent outbreaks.

Jørgen Schlundt

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focus our efforts towards the real risks in the population. Any system to prevent efﬁciently foodborne disease problems should be based upon a solid evidence base. Therefore the data-gathering efforts related to food contamination and foodborne disease need to be co-ordinated. Likewise monitoring, surveillance and control efforts should be geared towards common goals. This co-ordination is missing in many food safety systems presently, leading to a very weak evidence base, potentially leading to un-informed decisions and poor political support. An important prerequisite for efficiency in most areas of work is the setting of realistic targets for risk reduction and the monitoring of success/failure. In the past food safety efforts have, in most cases, not been linked directly to foodborne disease risk. Compliance with existing regulation has often been the only measure of success. The lack of clearly communicated targets for disease reduction is still a major draw-back of existing food safety systems, although some countries are now initiating major risk-based, target driven efforts to improve food safety, e.g. national plans to lower the prevalence of Salmonella in food or maybe regional plans to lower the level of acrylamide in certain foods. Most food safety authorities acknowledge that ensuring food safety must be tackled both at national and international level. At the international level, the WHO in co-operation with the FAO, has recently developed the International Food Safety Authorities Network (INFOSAN) to promote the exchange of food safety information, including information about emergencies. This development stems from serious concern expressed by the World Health Assembly in May 2002, about health emergencies posed by natural, accidental and intentional contamination of food. Therefore, the development should also be seen in light of the revised International Health Regulations of WHO, regulations that oblige every member country to provide information about public health events of international concern to WHO without delay.

While openness, transparency and maintaining trust are clearly very important components of any communication strategy, I would suggest that this will no longer be enough in the future. When people see a clearer picture of the real disease burden, openness and transparency will no longer do the job. People, including politicians, will want to know what we are doing to tackle the problems, how will we lower the risk and when? Luckily, food safety authorities all over the world have already started work in this area some time ago. So, what can be done? There are several major issues at the core of improving food safety and food safety systems in most parts of the world, thereby decreasing the foodborne disease risk. The most important are that the prevention of problems have to integrate the full food production chain: From Farm to Fork, or from Boat to Throat, for example, recognising that the critical point for efﬁcient prevention might be at the farm for some problems or at the retail level for others. Most present food safety systems are not built according to this important principle. Such incoherence of the systems have led to inconsistency and in some cases inefﬁciency of food safety systems. While prevention of foodborne disease of course has to be based on good general hygienic practices, it is important to

INFOSAN now has more than 150 participating countries and more information about this network can be found at: http://www.who.int/foodsafety/fs_management/infosan_archives/en/index.html For more information Jørgon Schlundt can be reached at: World Health Organization, 20 Avenue Appia, CH-1211 Geneva 27, Switzerland Phone: +41 22 791 34 45 Email: schlundtj@who.int

THE WHO Food safety is an important prerequisite for everyone’s health and wellbeing. Therefore, the WHO focuses on food safety as part of a broader human health agenda. In the realm of food safety the WHO focuses on four major areas: • providing the best, internationally agreed scientific advice • developing international standards and guidelines based on the best science • supporting countries in building technical capacity to deal with food safety efficiently • formulating and advocating information to consumers in collaboration with multiple countries

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INDUSTRY INSIGHT

The ultra performance food safety system How a food safety lab has increased the speed of LC/MS analysis by five times – tripling overall output. arm-raised poultry and livestock regularly receive drugs, both licensed and illegal, to protect them from disease and spur their growth. Through ignorance, carelessness or deceit on the part of growers, poultry and livestock prepared for export often contains banned substances or legal drugs at concentrations that exceed maximum allowable European Union levels. The Chemical Surveillance Department (Veterninary Sciences Division) of the Agri-Food and Biosciences Institute (AFBI), a UK-based organisation, tests food of animal origin for residues of both banned substances and licensed veterinary drugs. The department is staffed by approximately 60 scientists analysing around 35,000 samples annually. EU legislation dictates the identification criteria for confirming the presence of a veterinary drug residue, including the number of transition ions that must be monitored along with tolerances for acceptable ion ratios. The lab presently uses a mix of traditional HPLC instruments configured with a variety of Waters mass spectrometers.

Challenges As a confirmatory laboratory, speed, sensitivity and accuracy are critically important to the client. The average run time for an HPLC/ MS confirmatory method is about 25 minutes. Despite the relatively small number of samples it tests in each batch, the lab must analyse up to 20 standards and quality assurance (QA) samples to confirm the presence or absence of a certain drug. In total, it can take between seven and nine hours to obtain one analytical result. Performing all the requisite QA tests consumes valuable instrument time and makes scheduling difficult and inefficient. The lab also performs surveillance testing. When the lab suspects that a farmer is using veterinary drugs improperly, it has the authority to detain a shipment of marketable product until the tests have been

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completed. For these samples, results must be delivered within fi ve days. If a test takes more than fi ve days, and the results come back negative – and the carcass spoils – the grower can sue the laboratory for economic damages. If the lab knows it won’t meet the deadline, the only alternative would be but to release the shipment and allow potential health risks into the food supply. At times the backlog on an instrument can exceed 10 days, from which, the lab manager admits, it can be very difficult to recover. Nothing is as infuriating as to be sitting on a bunch of samples coming up to their deadline, and knowing that you’re not going to be able to get them analysed in time.

The solution In 2005, the lab acquired a Waters ACQUITY UltraPerformance LC (UPLC) system that was installed on the front end of a Waters Quattro Premier XE tandem quadrupole mass spectrometer. The lab manager said it took him about three hours to transfer the 24-minute nitrofuran HPLC separation to a four-and-a-half minute UPLC separation – one that he says gives him “much better resolution”. The speed of the ACQUITY UPLC System, combined with the Quattro Premier XE’s exceptionally fast scanning and rapid

switching between ionisation modes, allows the lab to complete runs in less time – and to expand the scope of its multi-residue testing by being able to detect a much larger number of drugs per analytical run.

Business benefit The laboratory took a 25-minute LC/ MS run down to four to fi ve minutes, a fi vefold improvement in overall run time. The lab manager can now schedule two or three batches of samples in an eight-hour period – tripling the lab’s output. Probably the largest benefit is in methods development. In developing any HPLC method, a typical reversedphase HPLC gradient method tends to take anywhere from 25 to 30 minutes. The lab manager says: “If UPLC runs are four to five minutes, essentially you don’t have time for a cup of tea before you know whether your run worked or not and you are ready to do your next injection. At least with UPLC, you know very quickly. What we’ve found is that methods development is much more rapid with UPLC than with traditional HPLC.” UPLC also scores very high when it comes to retention time repeatability. In an overlay of 16 injections over an eight-hour period, this lab manager has seen “absolutely no drift in retention time to speak of”.

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Agriculture for the 21st century Marianne Fischer Boel, EU Commissioner for Agriculture and Rural Development, outlines the agricultural policy challenges facing Europe’s food producers. proverb familiar in many languages tells us to ‘look before you leap’. In the years leading up to 2004, many were taking a hard look at the possible agriculture-related difﬁculties of enlargement and wondering whether we could all really make that leap. They were wondering about the system of direct payments – about ﬁtting into it, about administering it and about its cost. They were wondering about the challenges of meeting European food safety standards. They were wondering about the possible effects of enlargement on the European Union’s internal market, and on national markets. And they were wondering about the implications of differences in farm sector structure. Yes, there was a lot to wonder about. But we made the political decision that accession was going to happen, we all took the leap – and we made it. In fact, for those who were predicting disaster, the whole business of accession in 2004 was something of an anti-climax. Certainly, in terms of agriculture, the process of integrating a large number of new entrants into the European Union – and from the other side, the process of joining the Union – has not happened all by itself. A huge amount of political and administrative work has been necessary on all sides, for which credit is due. Restructuring has been moving forwards quickly – and this process has sometimes felt uncomfortable.

And of course, before 2004 and since then, there have been differences of opinion on elements of policy. Good examples include the phasing-in of direct payments, and the size of production quotas. I believe that it was the right decision to phase in direct payments on the one hand, but on the other hand to make more money available through rural development to restructure the farm sectors in the countries that joined the Union in 2004. This was the most logical way of targeting money from the European budget at restructuring. With regard to quotas, ﬁxing these was always going to be difﬁcult, but the issue should become less and less relevant in the years ahead. I'll come back to this later. But let’s look at what has actually been achieved since 2004 in the agri-food sector. Fundamentally, the entrants of 2004 are basically ‘in the system’. Payments are being made, standards are being respected, the CAP budget has not exploded and the internal market is working smoothly. These are huge achievements. At the level of the farmer, there has been very good news. In the EU12, agricultural income has risen by around 40 percent since 2003 thanks to direct payments, restructuring, higher prices and access to a larger market. That’s 36 percentage points more than in the EU15. And agricultural income is expected to grow further. We forecast that between 2006 and 2014, real incomes will grow by another 40 percent in the entrant countries.

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AGRICULTURE FOR TOMORROW Commissioner Fischer Boel’s vision for 21st century agriculture includes: PRODUCTIVE AGRICULTURE “First, I want to see a system that feeds us, clothes us and gives us energy” RESPONSIBLE AGRICULTURE “I also want to see agriculture that plays its part in taking care of the natural world” RELEVANT AGRICULTURE “Finally, I want to see an agriculture embedded in living, developing rural economies and societies” Furthermore, agricultural trade has clearly benefited. Between 2004 and 2007, agricultural exports from the EU10 to other member states grew by 81 percent. Exports to third countries grew by 99 percent. That proves two things. First, the extra room for expansion provided by membership of a large internal market was well exploited. Second, the adjustment of both farms and the food industry to high European standards did not take a toll on export performance – on the contrary, it opened the doors to new markets. This is confirmed by the fact that the gross value added of the food industry has been rising in many new member states. And as we all know, diversifying products and emphasising quality and origin are the main ways of moving up the value chain. I therefore also think it’s significant that groups in new member states have shown plenty of interest in geographical indications. There are currently 18 registered Protected Designations of Origin or Protected Geographical Indications in the new member states, and 68 applications pending from these countries. I am pleased to see that the European Union’s quality policy is giving producers in these countries a chance to reassert the distinctive identities of their products. All of this has been happening over the last four years – or of course, over the last year for Bulgaria and Romania. But now we all have to move forwards together, as the Common Agricultural Policy (CAP) continues to develop to keep pace with the needs of the European Union and the wider world. Producing more to meet the growing demand for food around the globe is one need – and these days perhaps it’s the one that is uppermost in our minds. Ensuring food security on our continent is another – which in my view is best achieved, not only by producing more, but also by trading more. Finally, agriculture is also at the centre of the debate when it comes to climate change and sustainable development. I firmly believe that European agriculture and our Common Agricultural Policy are part of the solution, not part of the problem.

At this juncture, it is crucial to not lose direction. Many are confused, both about the origins of the food price increases and in particular about the policy response. We have to keep the compass steady and build on the reforms already undertaken. The principles of the 2003 reform, the one-year abolition of set-aside, the steady increase in milk quotas and the lowering to zero of cereal import duties – all these steps are part of the answer. Therefore, the next stop in facing up to the challenge is the CAP Health Check. I firmly believe that, fundamentally, all member states of the European Union are in the same boat with regard to the Health Check. We need the same things. All our farmers need a system of market tools that does not hold them back from responding energetically to demand, but which gives them a safety net for times of real crisis. All our farmers need a Single Payment Scheme (or, for the time being, a Single Area Payment Scheme), which works as simply as possible. And all our farmers need support to face developing challenges such as the need to fight climate change, manage water better and make the most of bioenergy. For instance, it must surely be good news to many that we’re mapping out a route to the end of the milk quota system. For many new entrants to the Union, milk quotas have felt like a very heavy burden to carry. And certainly, the milk quota system has no place in the future – a future of greater market-orientation and probably of firm demand. Long gone are the days of desperately trying to control over-supply. The key task is to wind up the system in an orderly way. On the one hand, we must allow our dairy producers to respond now to the global boom in demand – before others get a headstart. On the other hand, we must not cut the legs from under our healthy market. This means that any increases to quotas before 2015 must be well judged.

“In the EU12, agricultural income has risen by around 40 percent since 2003”

Marianne Fischer Boel

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With regard to decoupled payments, we must stick to the principle that the Single Area Payment Scheme is a transitional system. It was never designed to be anything else. And according to Commission studies, it channels more of the value of direct payments into land prices than any other system for making decoupled payments. Nevertheless, I’m open to further extending the period during which the Single Area Payment Scheme may be applied. I also want to give member states using the Single Payment Scheme the opportunity to flatten out the differences between direct payments to individual farmers on their territory. But such a step would be optional, and it certainly would not mean that a flat rate across the European Union would be around the corner. I know there are concerns over the Commission’s original ideas about reducing very high direct payments. These ideas are a response to very strong signals from the public. Nevertheless, I have no intention of imposing what could be seen as a penalty on large farms – of which there are many in parts of Central and Eastern Europe. I’m sure that a compromise solution will be in reach within the Health Check. This will probably involve somewhat higher rates of modulation for larger farms, which would in this way contribute a little more than smaller entities to dealing with new challenges. I find that politically justified. By the way, all the money from further modulation should stay in the member state where it was levied.

“It is mainly through rural development policy that we can best address those needs of European farmers that are more diverse and specific” Some new member states have asked to be allowed to use measures under what we currently call Article 69. This article allows a government to top-slice a direct payment ceiling for a given sector and spend the money on special objectives in that sector. I’m in favour of allowing new member states to do this, and I also want to make Article 69 more flexible in a number of ways. On the other hand, this should in no way be taken as a signal to turn back the clock on simplification of the CAP. The CAP can bear a certain amount of diversity. But one of its pillars must remain a relatively simple system of decoupled payments – backed up only in specific circumstances and under strict conditions by more targeted instruments. It is mainly through rural development policy that we can best address those needs of European farmers that are more diverse and specific. The process of planning spending and matching it to those needs is not always easy, but I think the public appreciates the efforts that we make to spend this money in a targeted way. Overall, I feel very positive about what has happened over the last four years in the agri-food sector for all of the European Union. The leap of enlargement went so well that we have hardly looked back. We should not break our stride. Now is the time to move ahead confidently.

WHO WILL FEED THE WORLD? 850 million people in the world are under-nourished, a number that has hardly changed since 1990. To bring this terrifying figure down is the real millennium development goal, argues Mariann Fischer Boel. s we are witnessing, higher prices can have an immediate and dramatic impact on the world’s poorest populations, putting years of development progress at risk. But in the longer term, rising prices could be an opportunity to help rural communities in developing countries out of poverty. In my view, the coin therefore has two sides. Both should be at the centre of today’s discussion: how do we address the crisis here and now while avoiding wrong policy choices that could jeopardise development in the longer term. After all, higher prices also provide a window of opportunity to stimulate agricultural production in many developing countries that have great potential, but where structural bottlenecks and low prices have left the potential untapped. A number of complex causes lie behind the evolution of commodity prices. As the European Commission set out in a recent communication, it is a mix of short-term and long-term factors that have seriously disturbed the balance between supply and demand. Since the underlying causes are complex, the European Union is responding on several fronts. In the first instance, we need to mitigate the immediate effects of the food price shock. The EU is therefore scaling up its contribution to relieving the impact of high food prices on poor people around the world. In parallel, we need to boost agricultural supply in developing countries in the short term – and we need to act now to increase the harvests over the next seasons. I have proposed to use some of the money saved on our traditional CAP market instruments to meet this challenge. If European farmers effectively give a helping hand to developing countries’ farmers to get access to seed and fertilizer, this would be a clear sign of international solidarity and would – in the interest of us all – increase production and help to stabilise the markets. This immediate response should go hand in hand with longterm policies to strengthen agricultural production in developing countries. More research in agriculture and knowledge building will enhance productivity growth. New crop varieties, improved cropping systems, more efficient use of water and greater resistance to diseases and environmental stress are amongst the ways forward to put global agriculture on a sustainable footing.

This term ‘new member states’ will continue to be used for analytical reasons for the time being. But we should not be too concerned about analytical labels. Any member state – whether new, old or even future – has a clear stake in the health of the European Union’s agri-food sector and rural areas. Therefore, I know that all member states will continue to make very positive contributions to the ongoing discussions about the CAP for the period until 2013 and beyond.

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ROUNDTABLE DISCUSSION

Food Solutions. What are the most challenging issues in animal health right now? Thomas Kaufmann. The most challenging issue is that we are in the feedto-food chain so everything we do is ultimately judged by the consumer in terms of behaviour and buying decisions. In the developed countries at least, more people have less knowledge about modern animal production and farming practices. This makes it increasingly difficult for the industry to convince through facts and figures alone. Open and better communication about what the industry does – that it is good for animal welfare and of no harm for the consumers – should be a major issue for individual companies and industry associations alike. More specifically, the current food crisis calls for more efficient production, therefore, prevention instead of curing must be issue number one to prevent any performance drop.

THE PANEL Dr Peter Street is Technical Director at Anitox, responsible for technical, regulatory and R&D matters in EMEA and Asia Lykele van der Broek is Head of Bayer HealthCare’s Animal Health Division and a member of the Bayer HealthCare Executive Committee Dr Thomas Kaufmann is VP Marketing of the Health and Nutrition Business Unit at Evonik Industries Dr Gabriel Varga is Director of Marketing for the EMEA region at Fort Dodge Animal Health

Addressing animal health challenges Food Solutions asks a panel of experts for their thoughts on the current hot topics in the feed-to-food chain.

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David Aveyard heads up JohnsonDiversey’s European Agriculture Business, and has been with the company for 22 years

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Peter Street. The extremely high cost of feed, or the lack of it in certain countries, is currently the greatest challenge in the area of animal health. Poorquality feed or compound rations, in which expensive nutrients are pared to the bone, will compromise animal health in any species. The animal’s immune system can be stressed, leading to increased susceptibility to common diseases such as Colibacillosis, Pasteurella, Clostridia and Salmonella. Poor-quality feed ingredients also carry a higher degree of risk, with high enterobacter counts increasing the possibility of contamination and Salmonella being of particular concern. The feed industry is struggling to deal with the world shortage of high-quality feedstocks and their availability. This is leading it to put pressure on EU authorities to relax the laws on feed ingredients such as meat and bone meal to allow greater ﬂexibility in formulations. These ingredients can often be highly contaminated with pathogenic bacteria, which pose a serious threat to the consumer. The feed industry is now making progress in cleaning up contaminated feedstocks in a variety of ways, including chemical and heat treatment, or a combination of both. In addition, legislation is increasing to limit the pathogenic outbreak severity and promote safer, cleaner feed and food.

Whilst drug companies are continually developing new vaccines to help prevent the spread of major disease outbreaks, it is increasingly important that all farms adopt best practices and also undertake risk assessments to identify and prevent potential problems.

Gabriel Varga. The emergence and spread of new diseases, such as Bluetongue and potentially now West Nile Virus and African Horse Sickness, are by far the most challenging issues we face. As pharDR PETER STREET maceutical companies we are required to develop new vaccines in ever-shorter timeframes – a challenge that only the strongest companies with the brightest brains and heaviest investment in R&D are equipped to meet. Overall, I believe our industry is responding well. Huge investments, both human and financial, in fast-track R&D have ensured that a Bluetongue vaccine has been developed in record time and the European vaccination programme is well underway. At the same time, we are also all working to maximise our production capacity to deliver the 600 million doses of the Bluetongue vaccine required in Europe this year and to educate clients, farmers and the public at large about this and other emerging diseases. Finally with disease prevention in mind, we are continuing to invest heavily in Lykele van der Broek. There are numerous trends R&D, not just internally but also in universities and challenges that drive our business: the inand research institutes, to develop a range of dicreasing human-animal bond and the longer lifespan of pets enhance the agnostic tools and techniques to help veterinarians and farmers to proneed for innovative, effective and high-quality products. In the farm animal tect their livestock and to identify potential disease outbreaks at the sector, there is a growing demand for animal protein, driven primarily by earliest possible stage. population growth and the increasing income in so-called developing countries. Furthermore, the rising awareness for food safety and traceability as FS. How serious is the threat from diseases such as avian flu, foot and well as the environmental impact of food production provides opportunimouth and BSE? Is enough being done in terms of the production of new ties for innovative solutions. As a research-driven animal health company, treatments and the development of innovative farming techniques to rewe see many opportunities for growth in these developments. duce risk? And does there need to be greater leadership from government or industry in tackling outbreaks of disease? David Aveyard. In today’s world where we are seeing population grow by DA. The threat from outbreaks of diseases such as avian flu and foot and around 1.3 percent annually – 78 million more people on the planet every mouth remains constant. The lesson learned from the 2001 F&M outbreak,

“The feed industry is struggling to deal with the world shortage of high-quality feedstocks and their availability”

year – it is no surprise that governments and large global organisations have sustainable solutions at the top of their agendas. There are many issues facing today’s livestock farmer, not least the increased costs of operating and maintaining a viable business. In recent times we have seen unprecedented volatility in the cost of feed, fertiliser, oil, energy and other costs. If we consider this commercial challenge alongside the increase in demand for food supplies, then one could easily conclude that more intensive livestock farming will be integral to providing sustainable food supplies. In turn, the need to have in place the highest standards and procedures to take care of animal health and hygiene issues is paramount to prevent the spread of diseases that can have a devastating effect, both on the farm and on the wider community.

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which cost the UK an estimated UK£9 billion, proved to be invaluable in the handling of the 2007 outbreak, which saw the industry and government agencies respond collectively to help prevent a repeat. The risks attached to the highly pathogenic avian inﬂuenza A (H5N1) remain one of the biggest threats we face from the spread of disease. Infected migrating birds are the most likely carriers, and there is little we can do to prevent bird migration. We can take measures to help prevent the spread of the disease. Clearly any confirmed outbreak would lead to a culling; however, there is no substitute for having in place good biosecurity practices that include effective cleaning and disinfection regimes that use a proven viruscidal product such as JohnsonDiversey’s VirAgri Plus.

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TK. The most serious threat on a global scale is avian flu, especially in the event of pandemic fever scenarios developing. To tackle this threat, governments have invested massively in improving the conditions in which poultry are reared and have increased their focus on the link between animal and human diseases. There is also progress on updating international health regulations when faced by major health crises. Although some countries such as Indonesia, Vietnam, Bangladesh, India, Egypt and India are facing continuing and significant outbreaks of bird flu, the situation in the rest of the world is improving because of major efforts by national governments. On a global scale, I consider FMD and BSE not to be a major threat as they are not pandemic and can be contained more easily. As in any crisis, these diseases have a major impact on the industry structure, meaning that those animal producers who invest in innovative farming techniques grow and come out even stronger than before.

“With the enlargement of the European Union, the new member states are facing new regulatory requirements that will have a major impact on the market situation” LYKELE VAN DER BROEK PS. The threat from pandemic infectious diseases, such as avian ﬂu and foot and mouth, will always be present throughout the world as the trade in feedstocks, breeding stock and animal products becomes increasingly global. With avian ﬂu, for example, the emphasis on free-range poultry production actually increases the risk of exposure due to contact with, or exposure to, migratory wild birds. The lessons learned from the last major outbreak of foot and mouth have led to new restrictions on animal movements, while innovative new measures such as ring vaccination are now in place to help manage an epidemic. BSE is a much-reduced threat due to the ‘breaking of the chain’ by eliminating the risk from feeding infected material back to cattle. These measures have been successful and should be continued. Meanwhile, the biggest problem with BSE is public education, political football and a sensation-starved press. Allowing the use of meat and bone meal that has been properly manufactured from clean stock, with the added precaution of removing the brain and spinal cord, has proven safe in the US for many years.

GV. We can never know exactly what disease is going to emerge next or where, but contingency plans are now in place for most eventualities. A good example is the vaccine banks now being held against a possible outbreak of avian flu. The effective handling of the Bluetongue outbreak in Europe demonstrates that the EU is generally well prepared to handle disease outbreaks but, of course, an even greater threat lies ahead in the form of emerging zoonotic diseases. West Nile Virus is an obvious example, given its potential for deadly transmission to humans. There is no room for complacency and we will continue to play our part in ensuring that the EU is as well prepared as it can be for all eventualities. In fact, I’m delighted to say that Fort Dodge licensed the first vaccine for West Nile Virus in the US and has great experience in the fight against this dangerous disease.

LvdB. Innovative pharmaceutical products are a precondition for healthy animals. Considering zoonotic diseases and food safety issues, they also contribute to human health. Furthermore, innovation is a key factor in preventing and treating new diseases. But innovation needs certain framework conditions: well-trained and highly motivated employees as well as science-driven companies that strive to develop new active ingredients, formulations and applications – in short, companies that are willing to make considerable efforts in research and development. Innovation also relies on certain political requirements: we are facing increasing difﬁculties in bringing new products to the markets. There are growing constraints in the registration process of European countries. The decisions of the responsible authorities are often not based on scientiﬁc data alone; more often political or even populist arguments are a factor. Therefore it is our task to enhance mutual understanding and promote the importance of innovation for anDR THOMAS KAUFMANN imal and human health.

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“Open and better communication about what the industry does – should be a major issue for individual companies and industry associations alike”

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FS. Concerns over antibiotic use in farm animals continue to be raised by consumer groups. What do you say to such objections? And what are companies such as yours doing to ensure food safety from farm to fork? PS. Consumer groups keep raising the issue of antibiotic use in farm animals, but a lot of that is scaremongering. Most livestock producers are obliged by law to use therapeutic antibiotics carefully, judiciously and under veterinary direction, and to adhere to speciﬁed withdrawal times. The last thing they want is to be accused of having antibiotic residues in their meat or dairy products. Our company specialises in preventing Salmonella, as well as other bacteria and moulds, in animal feed. We do not use antibiotics to prevent or treat disease. Our goal is to prevent contaminated feed from reaching the animal in the ﬁrst place, with no risk to the consumer from residues or fear of animal-borne human diseases such as Salmonella. As feed prices escalate and ingredient quality drops, our customers increasingly see this approach as good insurance.

DR GABRIEL VARGA

“With disease prevention in mind, we are continuing to invest heavily in R&D, not just internally but also in universities and research institutes”

GV. We must all ensure that antibiotics are administered according to agreed best practice guidelines. If this is done, there is no risk. In the meantime, we are continuing to put substantial R&D efforts into researching new molecules to reduce the risk of resistance developing to existing antibiotics. We would also advocate the wider use of vaccines for food chain protection, such as Salmonella and others.

DA. Antibiotics are an essential tool in the treatment of disease and infection in livestock. However, the public are right to have concerns regarding their overuse. Prevention of disease is always more effective than a cure, and more can be done to prevent infections occurring, negating the need for use of antibiotics. In this respect, suppliers have a key role in assisting farmers with advice and support on how to reduce the risk of infections. Today’s leading hygiene solutions providers are doing more than ever to provide farmers with advice and information on how to manage risk and put in place measures that reduce or eliminate spread of disease. Technology is also helping the speed at which risk assessments can be undertaken and reports produced, a qualiﬁed and experienced person with a handheld tool can undertake a farm audit and have a report produced within hours of the farm visit. LvdB. It is our ﬁrm belief that there is a legitimate need in veterinary medicine for innovative antimicrobials. Used properly, they eliminate bacterial infections, hasten recovery and improve animal welfare. They can also prevent the spread of infection from animal-to-animal as well as from animalto-man. As one of the world’s leading research-based animal health

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providers it is our first concern to ensure that our products offer the highest standards in terms of quality, efficacy and safety. This entails extensive efforts in research and development, utmost care throughout the production process and constant vigilance during marketing. In addition, we strongly support international monitoring-surveys and we go to great lengths to educate veterinarians and end-users on the appropriate and responsible use of our products. These efforts are especially important to ensure consumer and environmental safety, to prevent the risk of antimicrobial resistance, thereby safeguarding the benefits of our products. With our Prudent Use Guideline we have established a clear framework of requirements and recommendations to ensure that the use of our quinolone-based antimicrobial is controlled and will provide maximum benefit to animal health and welfare without compromising human health.

TK. This is another example of how difﬁcult it is to communicate. In the EU at least, consumer concerns and consumer protection issues have led to the ban of AGPs as a feed additive since January 2006, and they are only allowed for therapeutic applications. Obviously, not all people know that, as you can see in many media reports and in such frequent objections. We at Evonik are only borderline involved in that discussion, as we focus on additives with a proven nutritive and physiological value such as amino acids. So topics like residues and development of resistances are of no issue for us. On the other hand, we are part of the feed-to-food chain, and we are conscious about it. In our mission statement we state our desire to “act responsibly to protect consumers and their health, knowing that out products are part of the food chain”. It is one of our guiding principles, to systematically analyse risks during production, storage and transportation of our feed additives in an adequate way in order to minimise the potential risk to consumers and their health. For that, we apply HACCP methods and are FAMI-QS certified. Consequently, we continuously undertake internal and external audits. FS. For many in the food production chain, the emerging markets of Central and Eastern Europe represent signiﬁcant potential for future growth – along

with a number of challenges. How important is the CEE region for you? DA. Ever since the ‘Iron Curtain’ came down, Central and Eastern Europe has provided companies with increased opportunities. As the old economies of the East are gradually being replaced with more Westernstyle economies, international companies continue to expand their businesses into Eastern and Central Europe. JohnsonDiversey is no exception; CEE represents signiﬁcant growth opportunities that are being matched with signiﬁcant investment in resources and facilities in this fast developing region. As with any opportunity there are challenges that need to be

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“There is no substitute for having in place good bio-security practices that include effective cleaning and disinfection regimes that use a proven viruscidal product” DAVID AVEYARD met, not least of which is the regulatory challenge. Selling medicines and disinfectants can require compliance with local legislation, and unfortunately as the EU is still working through common directives, there is no real quick-ﬁx alternative. LvdB. Central and Eastern Europe is an important region for us, with many of the countries growing well above the international average. In the farm animal sector we are especially successful in Poland, Hungary and the countries of the Adriatic region such as Croatia and Slovenia. And we see great opportunities in the EU accession of Romania. With the enlargement of the European Union, the new member states are facing new regulatory requirements that will have a major impact on the market situation. We expect rising quality standards for animal health products in Eastern Europe. This beneﬁts animal health in general and it provides great opportunities for us as a research-driven provider of high-quality pharmaceutical products. GV. The emerging markets of the CEE region represent a colossal opportunity and one that we have hardly even begun to exploit. These markets are growing by the day as people’s quality of life and expectations rise. The huge opportunity these exciting markets offer – if we can attract the best

people and establish a strong presence in them – makes it our number one priority. PS. The emerging markets in Central and Eastern Europe are, for us, an area of major interest and

growth. Together with many of our existing multinational customers – from feed compounders to primary breeding stock producers – moving into CEE is a rewarding opportunity, with a number of challenges including regulatory, logistical and educational issues. As the CEE market grows in importance as the food larder of the EU, so must the level of vigilance in terms of keeping the end products that are produced there acceptable to consumers and healthy to eat. The best place to start this process is by maintaining pathogen-free feed. TK. On an absolute scale, CEE represents only a minor part of our total turnover compared to regions like NAFTA, EU or Asia Paciﬁc. On a relative scale, however, we experienced comparatively high growth in the last few years in this region and see this continuing in the years ahead. The opportunity, therefore, is to capture a major part of this growth by early positioning. We have two plants for threonine and for tryptophan in Slovakia and Hungary; the one in Slovakia has been in operation since 1994, and the Hungary facility since 2004. We have built up a competent sales and technical service team in all of the CEE countries who deliver on our promise “Amino acids and more” by creating value for our customers through integrated product and service solutions. Generally, the biggest challenge in the region is to get and retain talented people. On the operational side, risk management is a major issue. In countries outside the EU, red tape bureaucracy in regulatory and customs affairs is difficult to handle and a real challenge, especially as we have to strictly adhere to the Evonik Code of Conduct of Business Ethics.

INDUSTRY FACTS ■ More than 85 percent of global animal

health sales are generated in 15 major markets ■ The US is the dominant market in the

sector, generating 36 percent of the entire global total; no other national market is responsible for a share of more than seven percent ■ The structure of individual markets varies widely, reflecting a combination of factors such as climate, the prevalence of particular animal diseases and the relative importance of individual species to national livestock agriculture ■ Products for use in companion animals are responsible for over half of all sales

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in some developed markets such as the US and UK, but generate less than five percent of sales in emerging markets such as China and India ■ Global market growth is forecast at a compound annual rate of 4.5 percent during the second half of this decade, driving sales up to almost US$21.7 billion in 2010 ■ Sales in China will rise at a CAGR of eight percent during the forecast period, while market value in Brazil will increase by six percent a year ■ Most developed markets will be considerably more subdued, however, with growth in Japan, Australia and most

major European countries forecast at rates well below the global average ■ The US will remain the animal health industry’s main growth engine, with sales there forecast to rise at a compound annual rate of five percent ■ The US will be responsible for 40 percent of global market growth, and will reach a value of US$8 billion by 2010 ■ China will cement its position as the world’s second largest market for animal health products, while Brazil will replace France as the sector’s third biggest market Source: Research and Markets

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EXECUTIVE INSIGHT

Feed the world According to the WHO Food and Agriculture Organisation there are several factors that will drive the global animal feed industry, including population growth, feed grain prices, environmental concerns and health and food safety issues. Food Solutions asks Roger Gilbert, Secretary General for the International Feed Industry Federation (IFIF), for his opinions on the challenges facing the industry.

FS. What is the current situation regarding protein sources for the animal feed industry? RG. The variety of protein sources available to the feed industry is diverse, however, those that provide the volume we need are limited. Soybeans, ﬁshmeal and animal by-products are the most important in terms of their protein concentration and provide us the bulk of our protein requirement. However, we need to look to other protein sources, either on a regional or local basis or globally, to help feed manufacturers reduce costs. The latter could include protein from other oilseeds such as rapeseed or from new ﬁsh resources, such as krill.

been different in different countries and regions. In the EU for example, all animal by-products ROGER GILBERT have been removed from the feed/food chain under the EU’s Feed Ban while the feeding of by-products from any species to the same species has been outlawed entirely. Elsewhere, governments have handled the management of the BSE risk differently based on their own in-country risk analysis. It is important to note that animal by-products are an important source of protein and energy in livestock feed where there is no BSE to be found or authorities are confident that “We need to look FS. What are the challenges in this area and how are you there is no risk from transmission. to other protein tackling them? The international feed industry defends the use of sources, either RG. The overall objective must be to reduce the cost of animal protein and animal by-products in livestock feeds on a regional or livestock production in order to provide more affordable based on sound science. local basis or animal protein products for consumers, particularly those BSE led to the Codex Alimentarius – the United globally, to help in emerging economies and in developing countries. Nation’s organisation responsible for safety in foodstuffs feed manufacturers Their food prices are relatively high due to higher raw matraded across borders and for encouraging trade in foodreduce costs” terial costs (protein sources are often imported) and the stuffs – setting up an ad hoc Task Force on Feed to produce efficiency in feed production. The following three steps an internationally binding standard (the Code of Practice of could help reduce food prices in developing countries: reducing protein Good Animal Feeding) for feed manufacturers. The Code ensures food prodcosts (and energy costs) to the feed manufacturer is key a first step, enucts produced are safe with regard to the feed livestock have consumed resuring the most effective use – through better feed formulation based on gardless of whether they have been fed commercially-prepared feed or feed animo acid profiles – is a second step and ensuring the resulting, accurately made on farms. The Codex Code took five years to develop and was adopted formulated ration are delivered to the livestock producer in the best condiin July 2004 by the 170-plus member governments of the Codex Commission. tion is the third. Obviously, all three factors have been and are continually Feed manufacturers must conform to the standards within the Code and are being reviewed in the developed world. doing so. Codex member countries are incorporating the requirements of the Code within their national feed laws where they exist. FS. Feed suppliers have had to cope with increasing safety concerns, epitoThe feed industry, through the IFIF and FAO (the United Nation’s Food mised by the BSE crisis – what demands are these safety concerns placing on and Agriculture Organisation) and supported by STDF (the Standards and the feed suppliers and how is this situation being dealt with? Trade Development Facility run by the World Trade Organisation), have deRG. The impact of BSE and the response to the disease by the feed industry has veloped a Feed Manual which will be available in late August 2008 to ex-

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KEY OBJECTIVES plain in feed manufacturing terms the application of the Code of Practice of Good Animal Feeding. Food safety begins with feed safety where milk, meat, fish and eggs are concerned. Our Federation is keen to ensure that all feed manufacturers are in compliance with the terms and conditions of the Codex Code. FS. What are your thoughts about transparency in the animal food chain? How can transparency help improve the food security and supply better protein feed provision? RG. To my mind transparency equates to traceability. Traceability gives us the transparency we need in order to eliminate risk from the food chain beginning with the raw material we use. Our legal requirement – under the terms of the Codex Code of Practice for Animal Feeding – only requires us to trace one step back and one step forward. Many countries do this successfully already. It means feed industry suppliers are fully aware that we need to know the bona fides of the materials they are supplying. We also need to know where the finished products we make are going and how they are being used. Our labels describe what’s in the product and include information on their safe use.

The principle objectives of the IFIF are to: • Bring together compound feed manufacturers and their partners • Represent and promote the interests of the world’s feed industry • Foster the activities of national and regional associations • Examine and advise on common problems • Collect and disseminate appropriate information • Collect and disseminate feed production statistics • Assist in organising meetings to promote the animal feed industry • Identify international sources of expertise for the assistance of associations and their members • Assist management of national and regional associations, when requested

FS. It is clear that the feed industry must continue to look for alternative RG. IFIF, through its European member FAFAC, is participating in the Round Table on Sustainable Soybean Production. This is one initiative the industry and enhanced sources of protein for animal feeds – what are the alternative and enhanced options? In your opinion, what are the best options? is involved with to help ensure that the industry’s environmental impact is RG. Alternative sources of protein for use in animal reduced. We clearly see that providing more milk, feeds include krill, bio-proteins, distillers grains from meat and eggs through greater feeding efficiency as FEED FACTS the production of corn-based ethanol and geneticallybeing key to reducing the impact of industry on the modified cereals and oilseeds. There are lots of other environment. • TOTAL WORLD FEED OUTPUT potential sources of protein, but these are the signifiWe would also claim that the feed industry has a IS AROUND 614 MILLION cant ones. significant positive impact on the environment. We use TONNES All in the above list could be seen as controvermany by-products that would otherwise go to waste. sial to a greater or lesser degree: krill is in plentiful supWe also use many crop and food industry by-products • FOUR COUNTRIES PRODUCE ply in the southern oceans and has been a largely that people would not or could not consume them430 MILLION TONNES, OR overlooked source of high-quality protein which would selves, yet are good quality feed ingredients. We don’t 70 PERCENT, OF THE be especially useful for inclusion in aquatic feeds; Biohave to use food-grade ingredients if there are cost-efWORLD’S INDUSTRIAL FEED proteins produced through a controlled fermentation fective alternatives available. OUTPUT process is a developed technology that uses natural gas as its feedstock but has not yet been exploited; disFS. What are your hopes for the future of protein • SOME 3800 FEEDMILLS PRODUCE OVER 80 PERtillers grains from the ethanol process needs further sources for the animal feed industry? CENT OF ALL COMPOUND processing to provide our industry with a highly diRG. Time is of the essence. We delay development of FEED PRODUCED gestible and uniform protein source and genetic modsustainable and an expanded protein base at our ification should be captialised upon to provide protein peril. The world’s communities are demanding • THE 10 LARGEST COMPAcompositions that allow us to maximise the production safer, higher quality and more foodstuffs, particuNIES GLOBALLY PRODUCE efficiency of our feeding systems. larly with regard to livestock products. While cur65 MILLION TONNES All of these have their individual drawbacks as rent food price increases may be a result of record well and only tailored research and development oil prices, crop output that has fallen short of dework can address their constraints successfully. The mand in recent years and investors speculating in removal of undesirable substances and inhibitors from these materials are the commodities markets, demand for food among emerging economies two areas that require attention in all of the above sources. This work needs and developing countries is putting added pressure on our livestock proto be undertaken with greater urgency and requires government support duction systems. and involvement. Protein is the foundation of that production. The world’s population will increase 50 percent to nine billion people by 2050. We expect deFS. What are the environmental issues and challenges regarding promand for animal protein products to treble over that same time period. tein sources for the animal feed industry and how are these issues Feed manufacturers will be expected to play their part is satisfying that demand at prices people can afford without compromising safety. being tackled?

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ASK THE EXPERT

Why organic is important

crobial challenges. A new plant health improvement range, based on calcified seaweed extract, which restores vigour without chemically damaging the environment, will extend the UTO catalogue this summer. Typical results on maize trials at two separate farms gave respectively 16 and 13 percent yield improvements per hectare.

Environmental care

he growth in the UK of organic foods, reﬂects the public’s concern over the many food safety issues of the last 20 years, most notably salmonella in eggs (1988) and BSE (1996). GM crops and E.coli 0157, added to the perception that organic food was not only a safe haven, but better for the environment and human nutrition. These are contentious issues openly debated by leading scientists. What is absolutely certain is that the organic movement has changed society’s thinking about the food chain and led people to ask whether human health could partly depend on the care we take of animals, crops and the environment.

Plant healthcare

Finally, the UTO team is actively developing an ecological cleaning range based on organic ingredients. The Envirocyte cleaning and sanitising products, based on natural plant extract bioflavonoids, have application to the agri-food sector, which is still very heavily dependent on chemical-based disinfection. These will be kinder to the environment and to people. They are both anti-microbial and nonbiocumulative. They are stable, easy-to-use and should be available this autumn, once trials involving DEFRA and CCFRA have been concluded. They comply with the EU Biocide Products Directive and are attracting interest from leading retailers. Typical microbiological results (at two percent conc. for ﬁve minutes contact time) are as follows: Listeria monocyt. (challenged at 3.0 x log eight) gave a 7.0 log kill; Salmonella typhi. a 7.1 log kill; Aspergillus niger a 6.5 log kill; and likewise for cultures of other signiﬁcant pathogenic and spoilage organisms. These ranges effectively provide a more natural care of the food chain and environment, without the use of chemicals potentially detrimental to human health.

As with livestock, experts recognise that stress, dietary imbalance and a weakened immune system all expose plants to pest and mi-

Contact UTO Ltd at uncle.ted@btconnect.com or call +44 (0)1422 349118

chicks have shown a reduction in FCR from 1.845 to 1.755 and mortality from 5.35 to 3.7 percent. Gross margin gained 18.4 percent. Similar work on breeders improved hen performance by an extra 8.6 chicks. Herban, a digestive enhancer based on herb extracts, was trialled on a paired comparison of two groups of 4000 young turkeys. At 13 weeks, the trial group produced a 55 percent reduction in mortality and 15 percent gain in growth.

Poultry healthcare Long before these issues became so relevant, UT Organics Ltd, under Ted Dickin, was working with farmers and vets on understanding how livestock health could be improved naturally. Poultry was of particular focus. Dickin worked on improving bird health and performance, initially identifying metabolic indicators such as vitamin and mineral status, later supported by many on-farm trials and millions of chick samples. Orgamin, a mineral supplement has been used to replace meat and bone meal (post BSE) with remarkable results. Tests on 7.5 million

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“The organic movement has changed society’s thinking about the food chain” Ted Dickin

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Happy animals mean better meat Dr Yuesea Eric Chen, President at Raycome International Corp, explains why organic feed could make a difference to the lives of animals and the quality of meat.

an human beings fulfil animals’ basic needs? The answer is no in most parts of the world. Antibiotics and chemical stimulants are abused at many farms, which mean that animals are under great threat of virus attack. Europe is one of the most populated areas of the world and fortunately most Europeans are aware of protecting the only earth we have. It is the first area that has abandoned the antibiotics regularly put on animal feed because they are aware that once avian influenza breaks out there will be no cure. Instead of relying so much on antibiotics, the alternative ways include the usage of bacteria, enzymes, trace elements, antioxidants, vitamins and hormones. Genetically modified animals or chemical stimulants are not an option and instead the European trend is to choose and use natural organic materials to satisfy both human and animal needs.

Test results Due to a global food shortage, minimising feed waste is the only solution in the livestock industry. Raycome’s six-year study of one of the organic substances from Alberta, Canada used in animal farms reveals marvellous results. The results show that not only more than 30 percent of the feed can be saved, but also that the environmental impacts are close to zero. The organic substance from the residue of Canadian glacier pathways is enriched with natural macro-organic polyelectrolytes in complexion with primary, secondary, tertiary and trace minerals without any chemical manipulation. Raycome calls this substance Polyelectrolyte Oxygen Detoxiﬁer, or POD. The residue carries oxygen, instantly neutralising toxic-free radicals, cheating minerals and vitamins into the living organisms and also serving as strong antioxidants. All trials showed that almost all test animals survived, comparing with an average of 20 percent lost in the control group. Almost 90 percent of foul gas has now gone at test farms, which means that in general people cannot smell any ammonia gas. Because the ani-

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“Due to a global food shortage, minimising feed waste is the only solution in the livestock industry” mals are living in a good conditions they are living a happier life. A happy animal’s return is the best quality of meat, which is soft and tender because it has lived without stress. Additionally, at least 30 percent of the feed cost can be saved, not to mention the value of the meat improvement and the tremendous saving of the labour cost.

Outside Europe Virus and disease are so rampant in Asia that there is a high death rate of the animals, often from unexpected causes. The greatest challenge in the region is getting past the longstanding adaptation of antibiotics as the elixir at the test sites here. Animal farm owners could not believe that a natural organic product could substantiate such a huge difference. After many years of studies, one of the largest pig farms in

Asia has finally accepted POD as their primary feed additive. Antibiotics, toxin absorbents, food preservatives and excessive minerals have all been withdrawn from their animal feed. We at Raycome remain humble of learning from the Mother Nature, by using its gifts to solve the problems we created. POD is one of those most rare and precious gifts. My hope is that not only humans but also all other living creatures on earth shall live symbiotically. All humans on the earth are responsible for cleaning up the mess we created, thereafter improving the quality of life. Raycome is committed to continuing the challenge of finding the gifts of the Mother Nature, exploring their intrinsic attributes and acquiring the science and technology for their efficient and effective applications for the betterment of ecology.

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HEALTH FOCUS

A fresh perspective As the Commissioner for Health and Consumer Protection, Androula Vassiliou covers three broad areas: public health, feed and food safety and animal health and welfare. Food Solutions caught up with her to ask about her strategies to ensure better food safety in Europe.

he European Commission is on a mission: to ensure better food safety in Europe. And although Androula Vassiliou, the new Commissioner for Health and Consumer Protection, is pleased with the Commission’s current record in food safety, she maintains that there is no room for complacency; vigilance at all times will be critical to maintaining standards. “We have to work with the member states, with NGOs, with the European Food Safety Agency – which gives us independent scientiﬁc advice – and with our international trading partners. The sole goal of this collective effort is to ensure that we maintain and improve the safety of food for our consumers,” she says. In terms of moving forward, Vassiliou is keen to stress her goals. “Firstly,” she says, “we are constantly updating our legislation to ensure that it provides the best possible framework for our

food safety activities.” Secondly, the Commission will take the necessary practical steps to ensure that the legislation is properly applied by the EU member states and that equivalent measures are in place in the third party countries imported from. “Vital components of this activity are the inspections carried out on the ground by our Food and Veterinary Ofﬁce (FVO). This year we expect to carry out around 260 inspections throughout the world.” If these inspections reveal threats to the consumer, decisive action is taken. “If there are hygiene problems in a meat plant, for example, we can insist that production be stopped until the problems are rectiﬁed,” says Vassiliou. If necessary, the trade of a suspect food product can be stopped within the EU or imports can be suspended from third party countries. Vassiliou also highlights the variety of tools at her disposal to help make sure that the food products that circulate in the EU market are safe. The Rapid Alert System for Food and Feed is one such tool, as is the training programme Better Training for Safer Food.

Androula Vassiliou

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Inspections This year, the FVO is rolling out a new, more integrated audit approach to review the overall effectiveness of food safety control systems in the member states. This will be facilitated by the fact that all member states must now have their own comprehensive national control plan. The FVO’s annual inspection programme covers both the member states and third party countries. It is risk-based, takes account of the latest information on possible threats to the consumer and is prepared in co-operation with the experts in the member states so that the inspection resources are used to the best possible effect. “An important element in the risk assessment is the information we receive constantly on possible threats through our rapid alert network,” explains Vassiliou. “This means that the FVO plan must be ﬂexible enough to enable us to deal with possible problem situations that may arise in the course of the year.”

greater focus on precautionary measures, disease surveillance, controls and research, in order to reduce the incidence of animal disease and to minimise the impact of outbreaks should they occur. “The EU’s animal health strategy is based on the principle that prevention is better than cure. Therefore our strategies focus on measures to prevent the occurrence of disease outbreaks,” says Vassiliou. These measures include enhanced animal disease surveillance and biosecurity measures at farm level, such as the isolation of animals to help keep diseases out of animal populations, or to limit the spread of diseases within a herd. In addition, threat prevention and crisis management are aided by mechanisms such as the EU’s traceability system to minimise the risks linked to imports and the intra-Community trade of products of animal origin and live animals. However, the strategy encompasses much more than just policies concerning the control of animal diseases. “It

“Food information is central to health”

Prevention Given the devastating impact that serious disease outbreaks can have on farmers, society and the economy, the Commission have come up with a new animal health strategy for 2007-2013 entitled Prevention is Better than Cure. The new EU animal health strategy aims to put a

also focuses on policy areas, which are inextricably linked to animal health, such as public health, food safety, animal welfare, sustainable development and research,” says Vassiliou. One of the main aims of the strategy is to replace the existing complex series of interrelated policy actions relating to

PREVENTION BETTER THAN CURE The new Community Animal Health Policy 2007-2013 provides the framework for animal health and welfare measures over the next five years. Based on the results of an extensive evaluation and a large stakeholders consultation, the aim of the strategy is to put greater focus on precautionary measures, disease surveillance, controls and research in order to reduce the incidence of animal disease and minimise the impact of outbreaks when they do occur. The main objectives of the strategy include: • To ensure a high level of public health and food safety by reducing the risks that problems with animal health can pose to humans • To promote animal health by preventing or reducing the incidence of animal diseases, and in doing so, protect farming and the rural economy • To improve economic growth, cohesion and competitiveness in animal-related sectors • To support the EU Sustainable Development Strategy by promoting farming and animal welfare practices which prevent threats to animal health and minimise the environmental impact of raising animals

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THE RAPID ALERT SYSTEM FOR FOOD AND FEED The Rapid Alert System for Food and Feed (RASFF) was put in place to provide food and feed control authorities with an effective tool to exchange information about measures taken responding to serious risks detected in relation to food or feed. This exchange helps member states to act more rapidly and in a co-ordinated manner in response to a health threat. Essentially it consists of clearly identified contact points in the Commission and at national level in member countries, exchanging information in a clear and structured way. The member states shall immediately notify the Commission under the rapid alert system of: ■ Any measure they adopt which is aimed at restricting the placing on the market or forcing the withdrawal from the market or the recall of food or feed in order to protect human health and requiring rapid action; ■ Any recommendation or agreement with professional operators which is aimed, on a voluntary or obligatory basis, at preventing, limiting or imposing specific conditions on the placing on the market, or eventual use of food or feed on account of a serious risk to human health requiring rapid action; ■ Any rejection, related to a direct or indirect risk to human health, of a batch, container or cargo of food or feed by a competent authority at a border post within the EU.

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animal health and welfare with a single simpliﬁed regulatory framework, converging as much as possible with other international standards. “The result will be an EU animal health policy that is robust, efﬁcient and effective,” she continues. Nevertheless, the strategy can only bring about real change if everyone involved in animal health works together. For this reason, Vassiliou has strengthened the capability to communicate with stakeholders in an effective way, setting up an Animal Health Advisory Committee, which includes representatives from non-governmental organisations across the animal health sector, and that will provide strategic guidance.

“Traceability is key for food safety” Disease outbreaks Despite the prevention strategies in place, outbreaks of disease are still possible, with avian inﬂuenza, foot-and-mouth disease (FMD) and other threats all posing a real risk to the food supply chain. “Should an emergency occur, our ability to take rapid decisions is of high importance in limiting and controlling animal-related threats at EU level,” says Vassiliou. “We have put in place measures such as the establishment of a rapid response network, crisis management units and an EU veterinary rapid response team, as well as reinforced EU antigen and vaccine banks, which will help combat outbreaks should they occur.” One of the animal diseases with the highest economic impact is foot and mouth disease. The control measures for FMD have been harmonised

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at community level since 1985. However, following the 2001 FMD outbreaks in the UK, the 1985 Council Directive was replaced by a new Directive (2003/85/EC), which sets out detailed measures to rapidly control and eradicate FMD and laid down provisions for disease preparedness, including national contingency plans. It also sets the framework for the possible use of emergency vaccination as part of the control measures in an outbreak. “Thanks largely to the strengthening of our response capacities through Community legislation, the 2007 FMD outbreaks in the UK and Cyprus were quickly controlled,” says Vassiliou.

Food labelling

As these discussions are still at an early stage, it is difﬁcult to predict when the new rules would come into force, but it could be within one or two years. For the rules on nutrition labelling, however, the proposal foresees a transitional period for their application of three years, and ﬁve years for small businesses.

Transparency and traceability

Traceability is key for food safety. It is a very important tool, which enables the food control authorities in Member States to identify all food products potentially concerned with a safety problem, and to withdraw them, if necessary, from the food FOOD AND FEED chain, in case of contamination by pathogens or SAFETY FOCUS by a chemical substance, for example. Traceability Vassiliou’s main focus is on is a general obligation, which was introduced in maintaining a high standard of the EU Food Law in 2002. “It means that all food safety and ensuring quick business operators shall put in place systems and reactions to any threats that do procedures in order to be able to identify and comarise, examples include: municate to the competent authorities, for any product, the information on the business from • The implementation of the which they have obtained the product, and on the Hygiene Package and the one that they have supplied it to,” says Vassiliou. Official Food and Feed Controls “It is also a general obligation for national control Regulation authorities to check that all food business opera• New rules on Health Claims and tors on their territory comply with the traceability Fortified Foods obligation.” • Concrete actions to reduce Transparency is also a key principle of Food Salmonella at farm-level Law, which states that public information shall • The reveision of the legislation be ensured appropriately in case there are reaon pesticides sonable grounds to suspect that a certain food or • New rules on food labelling feed may present a risk for human or animal and updating the measures for health. “In its role of ensuring that Community novel foods Law is implemented adequately and in the same way in the whole EU, the Commission is constantly ready to co-ordinate, if necessary, what national authorities are doing in these areas, and to take any action, in accordance with the provisions of the Treaty, in cases where Member State overlooked their obligations.”

Food information is central to health and consumer policy. In January 2008, the commission adopted a proposal to make food labels clearer and more relevant to the needs of EU consumers. “Labelling is one of the most effective tools of communication since it accompanies the product. The proposed regulation on the provision of food information to consumers aims to simplify, modernise and clarify the food labelling rules, in line with the Commission’s goal of better regulation,” explains Vassiliou. The main changes that will be introduced are mandatory nutrition labelling on the front of the pack to provide information on elements, such as energy, fat, saturated fat, carbohydrates and speciﬁc reference to sugars and salt on nearly all processed foods. One of the major targets of Vassiliou’s proposal is to ensure that labels are legible. “Consumers are often complaining about lack of clarity, in particular due to the small text size, and this puts them off reading the labels,” she says. “To improve the legibility of the information provided on labels we propose to include a minimum print size for all mandatory information. This should address the most urgent consumer need for clearer information and make it easier for businesses to comply with the general requirement for readable and clear labels.” Another important target of the proposal is to ensure consumers get better and more comprehensive information about the presence of allergens in the food they consume, in particular by making the provision of information on allergens mandatory. To ensure that voluntary information on the origin of food does not mislead the consumer, the proposal describes clearly defined criteria that should apply. “This should simplify the current situation where due to uncertainty there is a proliferation of potentially misleading voluntary indications of origin,” she says. “Our proposal is under discussion in the European Parliament and the Council. Once it is agreed and adopted it will come into effect.”

Future focus The ultimate goal for Vassiliou remains ensuring that food in the EU is safe. In order to achieve this goal over the next couple of years, particular emphasis will be placed on preserving the efﬁciency of controls. “The FVOs draft inspection programme for 2009 is in preparation and it comprises some 270 inspections with a geographical balance of roughly 65 percent in member states and 35 percent in other countries,” explains Vassiliou. “We will also work to keep the RASFF system efﬁcient as timely information is paramount for the early detection of potential problems in the food chain. Then there is a series of other areas such as, the evaluation of seed legislation, food information to consumers, the food improvement package and so on, that will be in the forefront of our activity and of our efforts to ensure food safety in the EU.”

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GREEN FOCUS

Keeping your cool Robert Arendal, Chairman of the Cool Chain Association, explains the potential environmental benefits of an efficient supply chain. FAST FACTS THE COOL CHAIN ASSOCIATION 1. Was founded in 2003 2. Aims to represent all members of the cool chain, even competitors 3. International membership includes DHL Global Forwarding and FedEx 4. Published the CCQI 5. The aim of the CCA is to make the CCQI Standard a part of the selection criteria for retailers and brand owners

uring the last few years, the international media has continuously directed our attention towards global warming. Although man-made contribution to climate change is only a small part of the total negative impact on the world’s climate, we have been alerted to the importance of finding solutions in order to reverse the global temperature increase. Consequently, we need to change our way of life and fi nd ways to cut the CO2 emissions, greenhouse gas (GHG) footprint and the pollution that we infl ict on our world. But getting to that conclusion was the easy part; how to go about cutting CO2 and GHG emission is far more difficult. Partly because it will severely change our way of life while at the same time we are far from sure of the results of the proposed changes. Needless to say, the world’s scientific view is highly respected and if anyone will be able to guide us towards the right undertakings to reverse global warming, surely our leading scientists are. Yet even scientists do not always agree on the methods of how to tackle this gigantic task. And complicating this undertaking is that in order to succeed, it must be a global effort. On the other hand, this is no excuse not to move ahead and take the necessary actions and measures to start the road towards cutting pollution and improving the environment. The present Kyoto convention did not get us very far, because part of the western world did not join nor even wholeheartedly support the convention. Furthermore it can be debated that the present Kyoto convention includes the right ingredients and methods to reach the targeted results, at least in a successful and economical way. Instead however, many scientists say that we should spend the allocated funds on battling the world’s poverty or the supply of water and food to those in true need, not to mention human health issues in many parts of the world; the list of which is almost endless. Yet we are told that if we do not undertake serious action to combat global warming, the other urgent issues mentioned above might have little effect anyhow, as the planet’s climate shall make it difficult for humanity to survive at all. This might sound like a doomsday vision, yet it is not an impossible scenario.

Action There is no doubt that we must take serious action to combat global warming while at the same time raise the quality of life for a large part of the world’s underprivileged population. The action in both categories is necessary to bring reasonably fast results within affordable economic and socially acceptable terms. And it must be universal, which is the real challenge. To replace our present dependence on fossil fuel as our major supplier of energy, we need to develop new technologies for sustainable energy from sun, wind, hydro, nuclear and other forms of energy

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supply, mainly for electricity. We will also need to develop biofuels and other forms of sustainable energy for part of our transport needs. All must be zero CO2 emission (or at least an emission that can be ‘absorbed’ or neutralised by nature itself), and non-polluting. I am extremely optimistic that we shall ﬁnd the solutions. But the short supply of food and water is another matter. Firstly, they go hand in hand – no food without water. While two-thirds of our planet is made up of water, fresh water is not in unlimited supply. Although we can generate fresh water from salt water, we need to better utilise the limited supply of fresh water, and we have to ensure that the entire world population has access to fresh water. Not only for survival, but also to grow or make food; another necessity for survival. Nature is very, very generous. But nature also has its limits. While we can improve the technique on how to grow crops, there are limits for ‘acceptable’ levels of the use of fertilisers; the soil cannot accept endless amount of fertilisers and we are polluting ground water that in turn will contaminate our fresh water and our health. But as certain food supplies are in abundance, others are becoming scarce and food prices rise. As a consequence, we need to develop new ways to meet the ever-increasing demand for food, but especially we require better use and management of our present food resources. And we shall have to cut the waste of food. In the developed world we waste up to 30 percent of food we have produced, maybe even more. A good

KYOTO PROTOCOL Adopted on 11 December 1997 by the 3rd Conference of the Parties, The Kyoto Protocol is a protocol to the International Framework Convention on Climate Change with the objective of reducing greenhouse gases (GHGs) that cause climate change. As of May 2008, 182 parties have ratified the protocol. Of these, 36 developed countries are required to reduce greenhouse gas emissions to levels specified for each of them in the treaty. The 137 developing countries have no obligation beyond monitoring and reporting emissions. THE PROTOCOL ESTABLISHED THE FOLLOWING PRINCIPLES: • It is underwritten by governments and governed by global legalisation enacted under the UN’s aegis • Governments are separated by two general categories: developed countries, referred to as Annex 1 countries (who accept reduction obligations and submit an annual greenhouse gas inventory), and developing countries, referred to as Non-Annex 1 countries (who have no reduction obligations) • Any Annex 1 country that fails to meet its obligation will be penalised by having to submit 1.3 emission allowances in a second commitment period for every ton of GHG emissions they exceed their cap • As of January 2008, and running through to 2012, Annex 1 countries have to reduce their GHG emissions by a collective average of five percent below their 1990 levels • ‘Flexible mechanisms’ allow Annex 1 countries to meet their GHG emission limitation by purchasing GHG emission reductions from elsewhere

part of that waste is in the supply chain. We have grown, produced and harvested the food, but we waste it in transporting and delivering it to consumers. And while we have insufﬁcient information of the waste in the non-developed parts of the world, partly because they do not even have sufﬁcient food supply, we can – and must – do much better in taking care of the food we have in our hands. Needless to say that we have today new and improved methods on how to handle and transport fresh, frozen, canned and dried food; much better handling and transporting than we ever had before. But if the records prove that we waste up to 30 percent in handling and transportation, we clearly have a challenge to improve the end results – and reduce that waste. To do so, we need to better manage the food supply chain; for fresh products that includes the ‘unbroken cool chain’. To achieve such improvements is far from an impossible task, but it requires that we set our mind to achieve the improvements we need.

Cool supply chain That was the reason for developing the Cool Chain Quality Indicator (CCQIs), a master table for improving the quality of handling and transporting perishable and temperature sensitive products (PTSP). The CCQIs, developed in a co-operation between the Cool Chain Association and Germanischer Lloyds, is an intelligent solution to improve the quality of fresh products and as such is a recognised solution to improve shelf-life, food quality, cut waste and in general achieve an unbroken cool chain. The Cool Chain Association, a non-proﬁt association working in co-operation with the World Health Organisation as well as other institutions, is composed of a membership from a wide selection of companies on a global basis, each involved in the food chain in one way or the other. The membership of the CCA ranges from airlines, forwarders, trucking and handling companies to manufacturers of equipment as well as many other sections of the PTSP industry. Furthermore, supermarkets and retailers have expressed interest in adopting the CCQIs to further improve their local distribution and handling of fresh products in order to meet increasing customer demand for quality. In the long-term perspective, the CCA objective is to make the CCQIs a global standard that aims to cut waste in the food supply chain, reduce the CO2 emission from the PTSP industry and improve the quality of distribution as well as the supply of fresh food.

Robert Arendal

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INDUSTRY INSIGHT

Dehumidification – the best solution for storing food By Christine Modla.

ost foodstuffs deteriorate when exposed to high humidity, however, most materials are preserved and unaffected if humidity levels fall below 50 percent relevant humidity (RH). For more than 60 years Munters have provided solutions for safe and energy efﬁcient storage ensuring reliable protection using desiccant dehumidiﬁcation.

Desiccant dehumidification

Bacterial growth Storing food or raw materials leads to high hygienic demands. Most manufacturers require humidity levels below 40 percent RH to avoid growth of bacteria. Most foodstuffs are preserved and unaffected at humidity levels below 50 percent RH. For reliable protection, irrespective of external weather conditions, dry air produced by a desiccant dehumidifier is the best storage solution.

Temperature ˚C

Heating is a common method for trying to control the humidity in Energy efficient storage stores. The relative humidity in a heated store will often fluctuate between With desiccant dehumidification air is 20-70 percent RH, exposing goods to humidity RATE OF MOULD GROWTH blown though the rotor (drying wheel) and the levels critical to quality and shelf life. This humidity in the air is absorbed by the hygromethod can be both ineffective and costly as the 50 Growth rate scopic desiccant silica gel. The air leaves the energy cost for heating a store will typically be mm per day rotor as dry air. In a separate sector, regeneratwice the cost compared to desiccant dehumidtion air is blown through the rotor to remove the ification. Keeping in mind that stored materials accumulated moisture. The resulting wet air in a heated store will often not even be effi(which contains the removed moisture) is exciently protected, heating ends up being a cost3 hausted outside the production or storage area. ly, ineffective method. 25 Further optimisation developments for enIn a desiccant dehumidified store the rela2 ergy savings from Munters means desiccant detive humidity can be controlled and constant humidifiers can now incorporate the latest throughout the year – completely independent 1 patented Powerpurge rotor technology, which of outdoor variations, thus ensuring the stored 0.1 reduces energy consumption even further. materials keep their high quality, meaning less waste/loss and a constant and protective environment.

0 0

All foods have their ‘comfort zones’ securing a high quality and a longer shelf life. When exposed to too high relative humidity, food products will absorb the water in the ambient air or suffer due to condensation related problems.

Mould, mildew and insects At humidity levels above 70 percent RH mould, mildew and fungus appears as the conditions are optimised for propagation affecting raw materials, food, seeds, grain etc.

Silos

Storage tents When in need of a simple, inexpensive, method of storage, the giant tent building made from non-water permeable fabric is a perfect low cost solution. Using desiccant dehumidiﬁcation for protecting the stored articles, the storage needs no insulation, just a proper air-tight con-

Softening of packaging Above 55 percent RH cardboard packaging absorbs moisture and starts to soften resulting in collapsing boxes. Storage and packing at Munters www.foodsolutions.eu.com

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Storing raw materials like sugar, cocoa, salt etc. in silos often causes problems. Due to the ﬂuctuations in the outdoor temperature condensation is created on the internal silo walls, creating a basis for bacterial growth. Hygroscopic materials absorb moisture and cause the materials to lump together, creating handling difﬁculties and require frequent cleaning. By keeping the relative humidity in the silo at a low and safe level, these problems are avoided.

Energy efficient dry air

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struction. Whether storing raw materials or ﬁnished food, desiccant dehumidiﬁcation ensures the optimal climate, keeping the high product quality at the lowest energy possible.

Breweries and cellars Storing fluids like beer in tanks and wine in cellars, often leads to condensation on the outside of the tanks and bottles. Constantly wet surfaces form the perfect environment for bacterial growth and compromises HACCP regulations. By dehumidifying the tank room or cellar with a desiccant dehumidifier, the dewpoint of the air will be decreased so condensation no longer occurs. Building structures benefit from the drier climate, the need of maintenance work will be reduced and labels remain intact on bottle surfaces. In addition, the climate for employees will become more comfortable and healthy.

Chilled and cold stores Stores containing food require strict control of not only humidity but also temperature. Many goods require storage at a humidity as low as 20 percent RH and a temperature of max 5°C to protect against product deterioration. When it comes to stores where doors are frequently opened, the high water content in the ambient air creates severe and dangerous problems such as fog, slippery ﬂoors, ice build-up etc. By dehumidifying the air at the entrance to these stores, the source of the problem moisture ingress

is eliminated as condensation no longer occurs. While ice and frost disappears, the efficiency of chillers and evaporators is improved, leading to energy savings. The need for defrosting will be significantly reduced, as will the need for cleaning. Both activities save costly manpower and avoid close down of storage. Hygiene issues like the formation of mould on products and structures will be solved as bacterial growth is significantly reduced at relative humidity levels below 50 percent RH, providing greater fulfilment of the HACCP regulations. Expert advice for the dimensioning of the optimal desiccant dehumidification solution means taking advantage of supplier data programmes which incorporate climate data and calculate energy consumption based on customers information on building structure, moisture load etc to determine the most energy efficient solution. Compared to heating, the energy savings by desiccant dehumidifaction will typically amount to a 30-70 percent reduction. Food producers face a battle to prevent costly quality, hygiene and wastage issues arising during storage. Controlling high humidity in the store as part of the HACCP assessment can increase product safety, shelf life and provide greater security. Christine Modla is in charge of Munters European marketing. Munters has offices in 30 countries and when it comes to desiccant dehumidification technology are the global market leader. Munters is concerned with air conditioning using green air treatment systems, for further information contact your local office at www.munters.com or email DHEurope@munters.co.uk.

CASE STUDY: KRAFT FOODS SECURE PRODUCT QUALITY Back in 1984 at Marabou in Sweden, Kraft Foods installed a desiccant dehumidifer to secure the high quality of their confectionery products in an automated chill store. After 24 years of impeccable functioning an energy audit highlighted that replacing the old dehumidifier with a new

generation desiccant dehumidifier could cut the running cost by up to 32 percent. Comparing different solutions, independent energy consultants found that the Munters desiccant solution showed the most energy efficient solution. The latest desiccant dehumidifier is now 3 installed and keeps the condition in the 50,000m chilled store strictly at +5°C/50 percent RH all around the year – totally independent of outdoor fluctuations in temperature and humidity. By controlling the humidity Kraft Foods experience: • Prevention of condensation • No mould growth • No chocolate blooming • Packaging protected against softening

Munters MCD desiccant dehumidifier at the Kraft Foods plant in Marabou, Sweden

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Jonny Hagenbjörk, responsible for constructions and energy at Krafts chocolate factory in Marabou, Sweden: “To our big satisfaction Munters took care of all details, from the difficult cut-up and removal of the old unit to completing all ductings and power installations. Life was made a great deal easier for us, only having to deal with one supplier. We now look forward to taking advantage of the new MCD dehumidifier and feel confident that our products will be perfectly preserved, as the dehumidifier helps us meet hygienic demands, such as the HACCP regulations.”

EXECUTIVE INTERVIEW

Balanced technologies Food Solutions catches up with Paul Smits at Fancom in order to understand the current state of data management in the agricultural sector.

FS. What challenges do agricultural producers face today? PS. With spiralling feed costs, rising energy prices and consumers who increasingly demand that the production methods used by the agri business are sustainable and responsible, the profitability of the production chain is experiencing pressure. Greater insight into the production costs should lead to the fact that the higher investments in animal welfare remain profitable. FS. How can data management infrastructure support animal monitoring, and what benefits does it offer? PS. The computerised processes in a house are a source of information about the environment the animals are raised in, their feed and water intake and, using Fancom’s biometric solutions, data relating to animal behaviour. By extracting this data using a data management infrastructure, combining it and presenting the end result in a clear structure, animal producers are offered an insight into the performance of their animals, the operational processes, the financial consequences and possibilities to make improvements and initiate actions aimed at optimising the results. This method also allows producers to show the chain of how the animals are raised in order to safeguard their license to supply.

to understand graphs and dashboard applications. By connecting with the customary key performance indicators used in business the user can directly relate the value of this information to his experiences.

Graduating as a mechanical engineer at Twente University, Paul Smits started in an industrial environment, building experience in plant layouts and pilot productions. Since 2001, Smits has lead the innovation and marketing group at Fancom. His focus from this year has shifted to marketing to ensure gains in marketshare and develop new business.

FS. Ease of use is a concern. How do you ensure the technology meets individual requirements? PS. Fancom has invested a huge amount of time in creating supremely user-friendly software for its animal husbandry systems. The control computers feature a large display and use clearly recognisable graphic symbols. The ‘what you see is what you get’ principle is a particularly important improvement. This means that the operation is geared to the user’s actual situation; elements of the system that are unused do not appear on the display. Automatic data collection is also a tool that simpliﬁes how the system is used. No paper and data entry but data that is always sampled straight from the source, arranged in an orderly way at house, farm or central ofﬁce level and clearly presented in easy

FS. Cost is also an important factor. Why does it pay off to invest in a computerised system? PS. In order to be able to manage costs, insight into the cost drivers is essential. Investing in systems provides a real-time insight into the costs and opens the way for improvements. At Fancom we also offer the possibility to limit the key performance indicators, so that users can see immediately if the production process is making a proﬁt or whether action needs to be taken. In addition, a properly controlled climate and feeding process improves animal performance. By cutting costs on the one hand, and improving the technical results on the other, our computerised systems have a short earn back time.

FS. What role will technological innovations play for the industry in the years to come? And which technologies will stand out? PS. Firstly, the developments in sensor technology enable an increasing number of facets of animal behaviour to be monitored. This will place us in a better position to measure the actual comfort level of animals and to maintain these levels using biometric control algorythms. Secondly, there are developments in ICT that allow data sharing in the chain. In the future we should be able to use business intelligence solutions to directly convert this data into actions and the structures will be a part of the existing enterprise software solutions. Fancom is therefore investing in this technology, biometric sensor applications and business intelligence as we are convinced that the industry will require these methods for healthy proﬁts and in order to continue complying with the demands of today’s critical consumers.

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INDUSTRY INSIGHT

Energy management in flour mills Global energy price increases are once again sensitising the grain processing industry to the issue of power consumption in its value-adding processes, says Urs Dübendorfer. ince energy consumption accounts for up to six percent of the total cost of flour milling, flour and semolina producers are interested in finding new solutions to reducing power requirements. In order to obtain an integral view, the issue will be dealt with here from different perspectives. Before this, we will analyse the energy requirements within the process chain. The purpose is to show where investments for cutting power consumption will pay off and in which plant sections energy consumption is only of marginal significance. The article details analytical approaches and possible measures to conserve energy. Its primary goal is to contribute to the power consumption discussion. It will also show well-known and proven procedures to optimise energy usage.

Cost structure in industrial flour production In a competitive business environment, much attention is paid to the operating costs of the entire production chain. It is safe to assume that most commercial ﬂour producers have already streamlined their processes in terms of manpower requirements. This means that the potential for further cost re-

ductions in this area is low. The focus must therefore be on energy prices, which are a substantial production cost factor. As a result of utility price increases already made or still to be expected, monthly electricity bills have become a permanent issue in many companies. Figure 1 shows an example of energy consumption in the various process operations of ﬂour milling.

Monitoring/fine-tuning of power consumption through the process control system In order to ﬁne-tune power consumption in industrial processes, the ﬁrst thing to do is to get a clear idea of the current situation. For this purpose, a plant will ideally be divided into plant sections or sub-processes that are detailed as accurately as possible. The energy requirements of these sub-processes can then be accurately determined by integral power measurements. This will provide an overview as a function of time over the energy used by the individual sub-processes at any given point of time. By dividing the contract with the energy utility into different time frames, it may be possible to move energy-intensive processes to periods with lower rates. It is need-

FIGURE 1: TYPICAL ENERGY REQUIREMENTS OF INDIVIDUAL PROCESS OPERATIONS IN A FLOUR MILL

Total Plant 75.2kwh/t Infrastructure

80.0 KWH

Warehouse

70.0 KWH

Auxilliary (compressor, air make up) Flour packing/palletizing

ENERGY PER TON

60.0 KWH Wheat feed, germs and screenings

50.0 KWH

Flour handling mill

40.0 KWH

Rebolting and bin filling mill Mill 750 t /24h

30.0 KWH

2nd cleaning 31.4 t/h

20.0 KWH

1st cleaning 40 t/h Intake pre-cleaning 200 t/h

10.0 KWH 49.7k Wh/t 0.0 KWH

TOTAL PLANT

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less to say that in ﬂour mills this will only be possible for a small number of sub-processes. These include, for example, grinding of the byproducts from grain cleaning, bran pelleting, raw wheat transfer from the storage bins to the blending bins, etc. Another possibility is to analyse plant sections that operate simultaneously. As power rates often depend on peak power consumption, this may allow ﬁne-tuning of power usage. Power measurements are also a suitable instrument for pinpointing process operations with high power consumption. This means that any investments made should focus on sections where a fast return on the investment is ensured.

“As a result of utility price increases already made or still to be expected, monthly electricity bills have become a permanent issue in many companies”

Power distribution/infrastructure Before considering the processes in detail, we will brieﬂy discuss the power supply system and the related electrical equipment used. Whenever possible, transformers should be installed as near as possible to the equipment that uses the power. The longer the cable routes, the higher the power losses. This is especially important today, since the current high copper prices will generate high costs if cable cross-sections are oversized. Another important factor is the selection of the electric motors. In the recent past, most manufacturers of induction (asynchronous) motors have substantially improved the efﬁciency of their products. As a rule of thumb, the cost value of new motors should never be below 0.9.

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Characteristics of motors Not only must the quality of the motors but also their starting characteristics be considered in the context of energy consumption reduction. Depending on the service hours, specific functions and power consumption of drive motors, their circuitry may have an appreciable impact on power usage. It is therefore important in each application to determine whether it is worth the cost to buy a somewhat higher-priced system in order to conserve energy over a certain time. The reliability of frequency converters has improved over the past years while their prices have dropped. It may therefore be worth the trouble to contemplate their use in applications where their cost was considered too high until recently. Besides optimising the starting characteristics of motors, frequency converters also improve motor efficiency up to almost 1.0 because they prevent phase shifts in the motor windings. On the one hand, improved power efficiency of the overall plant will reduce costs for power factor compensation with regard to the capacitor bank. In consequence, it will cut the cost of the reactive (wattless) power itself.

Plant design and engineering The design of a plant, and especially its ﬂow of materials, has an impact on its energy consumption. Sophisticated plant engineering solutions allow energy to be saved. As a basic rule, the plant layout should minimise material conveying distances. Pneumatic lifts should only be applied if they offer true added value in the form of higher sanitation or ﬂexibility. By adhering to this principle, solutions may be found which have been considered rather

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Urs Dübendorfer started his professional career as a miller in 1984 and worked in various milling companies within Switzerland as a Shift Miller and Headmiller assistance. Since 1991 he has worked with Buhler initially as a start-up engineer for Flour Mills business. He is currently Product Manager for the Grain Milling business unit.

exotic up to now. For example, some flour mills already have the first breaks located above the plansifters, eliminating the need for elevating the intermediate products. This somewhat lower user-friendliness is offset by the advantage of reduced energy consumption. Another excellent example is final flour sifting. Whenever possible, plant engineers should select gravity feeding for the flour screws. This will eliminate the need for elevating all the flour at the end of grinding for final sifting (rebolting) and weighing. Additional potential exists in the design of the pneumatic intermediate mill stock lifts in

the grinding system. Improved sizing of suction lines may reduce the air volume requirement by up to 25 percent and the pressure loss by up to 10 percent. We all know that even minor energy savings at many points may add up to a respectable total reduction of power consumption. Thus, it may be possible to apply only a single motor to power the two superposed roll passes of eight-roller mills. On the one hand, this will cut the installation costs. In addition, a single drive will operate in a higher-efficiency range and therefore have a direct positive impact on the operating expenses. The consumption peaks during starting and stopping of motors is also often underestimated. This means that more attention must be paid to continuous operation of equipment. Prime examples of this are the compressors that generate dust filter cleaning air or compressed air for the in-plant network. Pressure monitoring and speed variation by frequency converters may slash the electric power consumption of such auxiliary equipment by as much as 40 percent. This is on top of the lower installation costs, since – for example– the need for pressure vessels is eliminated. As mentioned above, minimising conveying distances is one of the most effective ways to reduce power consumption. This applies in particular to the handling of the finished products. An analysis of the finished products of a flour mill may reveal that more of them could be made on the grinding system itself and therefore would not have to pass through the flour blending section. This is a classic example of a reduction in conveying distance with an immediate impact on the power bill.

Advantage

Disadvantage

Heat recovery

Direct start

Lowest investment Simple installation

High start current (7x) Loading of transformer Norm/voltage collapse

Star/Delta

Lowest investment Known technology

High start current (4x) Loading of transformer Norm/voltage collapse

Soft start

Simple installation Minimum additional cost

High start current (3x) Transformer breaker lowed Voltage collapse/over waves

Frequency converter

Low start current Cos phi 1 (0.95-1) No voltage collapse

Investment Space requirement Turning motor & installation (EMV)

Since we also use energy in our latitudes to heat buildings or recycled air, we must also brieﬂy point to the possibility of energy recovery. In the grain processing industry, energy in the form of heat is generated in various sub-processes. Instead of exhausting this thermal energy into the atmosphere, it may be worthwhile to consider recovering it. Recovered thermal energy can be used to preheat the fresh air introduced into buildings during the cold season, or for preheating the process air used in thermal processes.

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INDUSTRY INSIGHT

Belting solutions made in Switzerland Habasit reinforces its lead in global belting technology through innovation combined with outstanding service. Customers do not get products ‘off the rack’, but tailor-made solutions, unparalleled consultancy and support. By Olaf Heide.

ounded in 1946, Habasit has been setting the standards in the belting industry for more than half a century. Excellent knowledge of processes and needs have led to innumerable innovations over the years. And constant improvement of the supply, service and support provided to customers make Habasit the world’s number one partner when it comes to belting.

Up and running Efﬁciencies inherent in conveyor belt systems are widely recognised in manufacturing and general materials handling operations where a product moves through processing steps leading to packaging and shipment. But damage and loss can occur when delicate and/or small footprint products are transferred between conveyor systems. It occurs when such products become pinched, fall between or sag into the clearance space between adjoining belts or accumulate, bumping together, on dead plates. In the latter instance, there is also loss of controlled spacing, which can adversely impact sorting, counting and packaging.

The solution has a name Leading the world of belts for food processing, Habasit products stand every ground. Take the most recent innovation as an example: HabasitLINK M0870 Micropitch Flat Top 0.3 inch, the new unique plastic modular belt. Especially designed to ensure stability of delicate products, the Micropitch provides the world’s smallest pitch. With its small nosebar diameter, the processing of fresh or ﬂash-frozen seafood, meat and poultry, small fruits and vegetables, confectioneries, unbaked and baked goods enters a whole new league. Amongst general conveying lines, the Micropitch belt is also applicable to labelling machines and check weighers.

A new design Until recently, nose-to-nose clearance with plastic modular belts has been limited by belt design and the diameter of the nosebars. Typically, modular belts 0.5in. (12.7 mm) pitch require a nosebar diameter of 0.75inch (19mm), which means a minimal clearance between nosebars of 0.87in. (22 mm). Now by combining a new belt design and a nosebar diameter of 0.28in. (7 mm) spacing between belts can

be reduced to 0.55in. (14mm). Because the pitch of this belt is reduced to 0.315in. (8 mm) the potentially damaging polygon effect is likewise greatly reduced. This new design provides beneﬁts to the manufacturing process by enabling smooth and tight transfer, improved tracking and product stability while allowing smooth running and smallest gap.

Better performance HabasitLINK plastic modular belts provide multiple advantages. In addition to increased productivity, less waste and higher level of operator safety, customers also beneﬁt from the following advantages: • Smooth surface, stable transfer: Best grip top modules on the market and the strongest connection between module and rubber, thanks to an innovative mould solution (patented). • Reliable product transfer, especially for incline/decline applications: Small nosebars allow narrow gap transfers between differnet conveyor modules. • High temperature sustainable belts: Only suitable plastic modular belts for use in

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shrink tunnel applications, thereby avoiding black specks and heavy dead weight of wire mesh conveyors. • Strongest belts on the market: Suitability for pallet handling, high reliability and a high factor of safety. • Full range of roller top belts: Accumulation, transversal loading. • Fast and easy repair and thus downtime reduction.

Silicone-coated processing belts Habasit recently launched a new product line of silicone-coated belts, especially designed for high duty and delicate food applications. The silicone coating fulﬁls highest needs concerning abrasion resistance, release properties and assures an extended belt life and a good cost efﬁciency. It features a high-quality food grade silicone coating, applied in a vulcanisation process on proven one ply or two ply carcasses.

“One way of extending the life of conveyor belts – and thereby reducing costs, while ensuring high standards of hygiene – is the use of new, innovative materials” There are two different types of surface ﬁnish. A super adhesive one that facilitates an excellent product indexing and is suitable for steep incline and decline applications. The ﬁne textile structured surface on the other hand has improved release properties and is visually less delicate – forgiving scratches and small wear damages. Three different belt compositions enable use in a wide area of applications within the food processing industry. The belts bear temperature conditions of up to 180°C, allowing a wide area of application, like food processing lines with sticky products such as caramel, toffee and licorice. The adhesive silicone surface facilitates an excellent product indexing and the suitabil-

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ity for steep inclines and decline applications. The improved joint strength reduces premature belt failure and thus maintenance costs.

Setting the standards One way of extending the life of conveyor belts – and thereby reducing costs, while ensuring high standards of hygiene – is the use of new, innovative materials. Habasit’s Cleanline conveyor belts are coated with a modified Polyolefin. A key feature of this material is its outstanding release properties. This ensures that fewer product residues remain on the belt, and so reduces waste and cleaning times. An added benefit is that Cleanline products are extremely resistant to aggressive detergents. Habasit HyGUARD (EU) and HabaGUARD (USA/Canada/Asia) conveyor belts contain an antimicrobial additive, providing an additional hurdle to the development of micro-organisms and biofilms. This is a safety bonus for any production area subject to extremely demanding hygiene standards. However, it is important to be aware that these products don’t replace but complement established hygiene measures. HyGUARD food conveyor belts conform with FDA and applicable regulations in the European markets. HabaGUARD was developed for the North American and Asian markets and the additive is registered with the EPA (Environmental Protection Agency, US) and in compliance with FDA and USDA regulations. Food packaging encompasses a wide variety of diverse applications for conveyor and processing belts. Habasit has the right answer for just about every need.

Broad range of belting products Standing at the very top of the belting industry, Habasit has got what it takes to make the decisive difference: a worldwide network of partners and specialists that provide supplies and service within the shortest time possible, reducing downtime to a mere minimum; constant innovation and process improvement; minimal waste; and highest life expectancy. Habasit cares for the productivity and needs of its customers because together is where everyone can be strong. The best products are nothing without comprehensive consultation and support.

Olaf Heide is a mechanical engineer with 15 years’ experience in sales and marketing functions at Habasit. He is currently Industry Segment Manager for Food and Tobacco.

There are Habasit affiliated companies not only in Europe, but also in North America, Asia and Oceania. For high-tech products Habasit has devised a network of local fabrication centres, based on its own affiliated companies. Habasit currently has 34 affiliated companies, as well as numerous service centres around the globe, thus allowing the company proximity to its customers. 3500 employees provide customers with expert advice, products of highest quality and the entire range of tailor-made solutions. Habasit is a family-owned joint stock corporation and was formed in 1946. In 2006, it increased turnover by almost 14 percent to CHF 711 million €452 million) while investment rose by 304 percent to CHF 155 million € 96.5 million). We at Habasit care for improvement. A running system is one thing. Tailor-made belting products by Habasit go further. To provide all-in-one solutions that work even better. Habasit means best products, optimal processing and a global network of over 300 partners to ensure the fastest support and service you could wish for.

For further information, please visit us on www.habasit.com or send an email to media.relations@habasit.com.

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TALKING WITH...

Moving hygienic belting forward Food Solutions asks Ian Hutcheson, Marketing & Development Manager at Saint-Gobain Performance Plastics, and Staffan Karlsson, Service & Marketing Manager at Sandvik, about new technologies, key developments and improving profitability in the hygienic conveyors and belting sector. FS. Demands on hygienic conveyors and belting in the food industry are rising, and the focus is increasingly aimed at clean design and operation. How has this changed the needs of companies when it comes to their processing and packaging lines and how have you responded to these trends in your offerings? IH. The key drivers in our experience have been threefold. Firstly, food processors are increasingly looking for high-temperature, non-stick easy-release process conveyor belts or release sheets that minimise the build-up of any food contamination and do not support bacterial growth. Secondly, processors want products that are easily cleaned and suitable for use in a wide range of cooking conditions and processes. Thirdly, they want products that are robust and economical but can be replaced easily and at reasonable cost if mechanically damaged. While Saint-Gobain’s traditional expertise has been in PTFEcoated fabrics that work up to continuous temperatures of 260°C, we have developed unique PTFE-ﬁlm fabric laminates that ensure superior non-stick performance, easier cleaning and avoid build-up of food residues on the belt surface. Saint-Gobain has also expanded its range to include high strength PTFE-fabrics that are extremely durable in steam and moist environments. SK. Stainless steel has always been the best choice for hygienic and safe handling of bacteria sensitive products in both medical and foodrelated applications. Our focus has always been – and remains – on enabling fast, easy cleaning of conveying belts and associated equipment.

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FS. In what ways have new technologies been incorporated into the operation and management of processing and packaging lines, and what advantages has this development brought? IH. The use of PTFE-fabrics as high-temperature, non-stick food process conveyor belts has been a relatively recent phenomenon and the extent of their usage has increased significantly over the last 10 years. This reflects on the increased availability and use of simple electronic guiding systems that ensure the belts are tracking smoothly and mechanical damage is avoided. Secondly, the versatility of PTFE-fabrics in terms of their ability to work in different cooking processes –ranging from contact grilling using radiant heat, to steam cookers and microwave or hot air drying tunnels–has allowed, in certain cases, for these technologies to be combined in the one machine and facilitated higher productivity, better quality and more appealing food products. SK. The most significant development in recent years has been the use of pre-welded endless belts, making processing cleaner, safer and faster. We work closely with OEMs in this sector to get across to endusers the unique hygienic benefits of stainless steel, and the development of pre-welded endless belts has only served to strengthen the case for stainless. FS. Improving profitability is an ongoing aim for business in general, and especially so in this competitive market. How can the right production line technologies help companies to achieve such an aim?

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“The most significant development in recent years has been the use of pre-welded endless belts, making processing cleaner, safer and faster” Staffan Karlsson IH. The key benefit of any process conveyor belt and cooking system is that it facilitates continuous production and hereby increases productivity, as well as making it easier to establish and maintain the same processing parameters in ongoing production. We have worked with OEMs, food processors and major quick service restaurants to turn batch toasting, grilling, baking and vacuum drying operations into continuous processes where the product is processed with a minimum of handling and conditions are kept at pre-determined settings to ensure it is properly cooked. Our CHEMFAB laminated belting products have good steam resistance and this facilitates their use with continuous hot water cleaning systems for a more hygienic environment. Our work with the Swedish based OEM, Formcook, wich has developed continuous contact grilling lines for meat, fish and vegetable cooking, has allowed many processors to improve their output and profits significantly since we first started our co-operation 20 years ago. SK. The safe production and transportation of sensitive foodstuffs is central to a business’s survival as well as its profitability; the fact that a company can point to its processes and demonstrate its impeccable standards of hygiene is a powerful marketing tool. Furthermore, our worldwide presence and service means we’re able to provide a rapid response to service calls and therefore maximise uptime, productivity and, ultimately, bottom line profitability. FS. Reducing downtime and adhering to tougher sanitation and hygiene standards have caused many companies to upgrade their processing lines. How do you see the industry evolving to meet these and other challenges? What will be the key developments over the next couple of years? IH. It is clear that the standards will become more demanding over time. I see three major changes. Firstly, the industry will increasingly demand confirmation that all materials being used in contact with food comply with the most demanding regulations and standards. Secondly, there will be an increased emphasis on regular cleaning and materials that are easyto-clean and still retain their various physical properties throughout their lifetime. Thirdly, there will be an ongoing shift to continuous processing lines with increased levels of process control to ensure that the desired

recipe and processes are followed exactly and consistently. This also means taking raw food ingredients through the preparation, cooking and cooling processes and onto the packing stations with a minimum of interruption and manual intervention. In Saint-Gobain’s case, we are working to develop products with even better non-stick properties and with improved abrasion resistance so that the useful lifetimes are further improved.

SK. A move to stainless steel belts for food processing or transporting delivers an immediate upgrade from the point of view of sanitation. Add in the benefits of greater system availability due to lower maintenance requirements and faster, easier cleaning–plus of course the much longer working life–and it’s not difficult to see where the industry is going. And, it has to be said, increasing concern over diseases such as BSE and avian influenza is only going to accelerate the move to stainless steel-based processing. FS. How do your belting solutions reduce the areas where bacteria can hibernate and grow? IH. Saint-Gobain CHEMFAB belts have a number of unique advantages as they are constructed from PTFE-fabric (Teflon) laminates, where the fabric that gives the conveyor belt the necessary mechanical robustness is fully encapsulated in a multilayer cast PTFE film that ensures a crack-free and non-stick surface. Therefore, the belt surface will not support bacterial growth and there are no micro-cracks or pores where build-up can occur. The non-stick, low co-efficient of friction surface also means that it is very easy to clean any food residues after processing is complete or when products and recipes are changed. With the cleaned belt, one avoids any concerns of bacterial contamination and any negative impact on taste. Finally, CHEMFAB high performance belts are suitable for continuous use up to temperatures of 260°C, and obviously at these temperatures it is easy to ensure that all bacteria present in the raw material food ingredients have been fully destroyed. SK. That’s an easy one to answer: a prewelded solid steel belt has no joints in which bacteria can develop and no fibres in which germs can collect.

“We are working to develop products with even better non-stick properties and with improved abrasion resistance so that the useful lifetimes are further improved” Ian Hutcheson

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INDUSTRY INSIGHT

Shaping plastic packaging By Wim-Henk Stoppkotte, European Director of Sales and Marketing, Materials Handling Products, Promens.

ver the years, the technical properties of plastics have developed and become increasingly more suitable for use with food. Meanwhile, many other materials like glass, tin and paper have been replaced by plastic, especially in consumer packaging. Plastic foils, cups, ﬂasks and trays are meanwhile well accepted as consumer packaging in combination with food. But the development of plastics has also had positive effects for other applications within the food supply chain. Different technical developments resulted in a wide range of plastic grades, each with their own speciﬁc set of properties. The possible applications have been broadened by improving, for instance, impact resistance, temperature resistance, chemical resistance, different types of rigidity, transparency and approval for contact with food. Furthermore, application of certain additives has improved characteristics of the plastic material such as detect ability or conductivity and made them more suitable for the food industry.

Rotational moulding Rotational moulding is a process in which plastic is converted into hollow shaped products without any seam or welding. Seamless products are less likely to leak and easier to clean. The process allows the plastic to be transformed into various shapes without any internal stress in the product. Products will therefore be more impact resistant and have a longer lifetime. Double walled products can be created with an internal layer of insulation material. Moreover, the rotational moulding process creates a smoother surface on the inside of the product that makes it easier to empty the product and reduces the residues. And with that, cleaning cost will also be reduced. Under certain conditions it is even possible to clean

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the container at 120 degrees Celsius, a true advantage for certain food applications. And, if desired, rotational moulding can create relatively thick walls to make a product stronger or able to carry loads. Therefore multi-trip applications are common ﬁelds of usage for rotomoulded products with a long lifetime. And given the combination of material and production process, the result is likely to outperform other materials, such as stainless steel or textiles (Big Bags) in many ways.

“Frequent introduction of new products is essential to maintain our leading position in the market” Materials handling products The Materials Handling Products division of Promens has proven for over 45 years that combining rotational moulding and plastics can lead to products with amazing product features. Next to a wide range of storage and transport products for the chemical industry, Promens has also developed materials handling products for several segments in the food industry. Their products are applied in the fishing industry and slaughterhouses. Many different types of food and food ingredients are transported such as mustard and mayonnaise, cereals and coffee but also yeast and flour. For every type of product there is a container that fits.

The Hopper The Hopper is an example of what can be created by rotomoulding plastic. The design facilitates not only the use of the con-

tainer but also supports the company image through its design and choice of colour. The coned outlet of 60 degrees allows even difficult flowing solids to be emptied swiftly. The choice of outlet sizes (50 and 80mm horizontally and 300mm vertically) sets no limits to the viscosity of the contents of the container. The 1000 and 1800-litre versions allow for optimal use of transport, dosing or storage capacity. And the all-plastic construction of this container is easy to clean, non-corrosive and light in weight. A dissipative version was introduced earlier this year for use in ATEX regulated areas. Frequent introduction of new products is essential to maintain our leading position in the market. Later this year we will introduce a new 300-litre container on wheels. This container allows suppliers to serve customers efficiently with smaller quantities than the usual 500-600 litre quantities without having to handle a large quantity of cans or buckets. Customers of that size often do not work with fork lift trucks and therefore this new Cruzer will come in handy.

Wim-Henk Stoppkotte is Director of Sales & Marketing for Promens’ Materials Handling Products business unit in Europe, and has been with the company for 12 years. Prior to joining Promens, he was engaged with Verosol and Curver in international management roles. He started with Promens (previously Bonar Plastics) with responsibility for the BeNeLux area, a role that has developed within the group into the European territory, and includes all product development work.

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INDUSTRY INSIGHT

The traceability issue By Marty Kerluk, New Business Development Manager at PRISYMID.

ost food processors and manufacturers are well aware of the EU regulation 178/2002, which lays down to member states the general principles and requirements for food law. Article 18 of this regulation covers the vital area of ‘traceability’, which states: “The traceability of food, feed, food-producing animals and any other substances intended to be, or expected to be, incorporated into food or feed shall be established at all stages of production, processing and distribution.” This places a legal responsibility on food business operators to have systems and procedures in place to identify who has supplied what product, ingredient and even packaging to them and when. One need only look back to recent food safety incidents – the widely reported Sudan 1 incident among many others affecting even the largest brands – to realise that a situation requiring a food company to quickly trace individual ingredients through batch processing and delivery can happen to anyone at anytime.

Living up to expectations As well as the legal onus on companies, high street operators are also driving the move to traceability. Retailers are keen to ensure that they have the necessary systems and controls in place to minimise the likelihood of food safety incidents and ensure they are able to retain consumer confidence in the event of an incident. Total traceability of ingredients, products and batches may be required to target affected batches and enable instant, accurate and complete product recalls.

Time to respond With traceability clearly a priority for retailers when it comes to reviewing potential product lines and awarding contracts to suppliers, the food production and processing industry must respond to ensure compliance and stay competitive. The alternatives are clear – inaction could, in the event of an incident, lead to

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“Traceability systems are simply joined-up record keeping systems”

termination of contracts and loss of reputation, not to mention punitive legal action. Faced with issues such as the increasing complexity of ingredients and the need to identify individual batches, plus the requirement for real-time information, there are usually ample grounds to cost-justify the move or upgrade to an IT-enabled system.

Benefits Over 20 years of operating experience from the pharmaceutical industry have highlighted three main roles for traceability systems: to provide information to assist in process control and management (e.g. stock control, material usage, quality control, meeting regulatory demands); to help when problems may arise (e.g. processing issues or product recalls); and to provide hard evidence about products in cases of consumer concerns and to support claims for your products. There are knock on beneﬁts for customers too as improved identiﬁcation and labelling

SUDAN 1 In February 2005, Sudan 1 became a prominent news topic, particularly in the UK. A Worcester Sauce produced by Premier Foods was found to be contaminated by the carcinogenic dye. The contamination led to over 400 products being taken off supermarket shelves, including readymade meals and pizzas.

leads to reduced picking errors and returned deliveries, faster despatch and a more efﬁcient stock management system.

Getting started Traceability systems are simply joined-up record keeping systems, which ideally, should fit easily into the current working practices of the business – including integrating smoothly into existing MRP and ERP systems to reduce manual processes. Compatibility between the software for barcode label printing or RFID tag coding and the hardware for recording and reading the information is vital. Suppliers that can point to proven experience implementing complete solutions in other critical industries such as pharmaceuticals or automotive have obvious advantages. A good solutions provider should be able to offer software that can be operated on a wide range of Wi-Fi or narrow band RF data capture devices as well as mobile devices should you require it. The cost involved may be less than you think, but the beneﬁts all-round could have very positive effects on your business and on your competitiveness. For further information on PRISYMID Limited’s products and services, please call tel: +44 (0)118 936 4400 or email info@prisymid.com. Alternatively, visit www.prisymid.com

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Farmers Marker Ed P134-136:aug08

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LIFESTYLE The rise of Slow Food

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Although Slow Food, a philosophy around good, clean and fair food, has been around since the 1980s, it is getting increasingly recognised as a way of life. Roberto Burdese, speaks to Food Solutions about the popularity of the movement and his vision for the future of food.

FOOD FOR THOUGHT

P134 The Rise of Slow Food P136 A Healthy Choice P138 Taste Test

he Slow Food Movement was started in the 1980s because of a belief that food should taste good, be produced in a clean way that does not harm the environment and be fair to the producers who provide the food. “It’s very important that we choose this kind of food because it has an impact on different aspects of our life, namely the quality of our life and the quality of our environment,” says Roberto Burdese, President of Slow Food Italy, the home of Slow Food. There has been an increase in people interested in eating Slow Food over the past few years and Burdese believes that this is down to a change in the availability of high quality food. “Around 20 years ago, when Slow Food was born, we were eating better in Italy and around the world, and I’m not talking about restaurant food but the food that we would eat every day. However, due to globalisation, the industrialisation of food and agriculture has moved so fast that we now see and taste less quality in our food.” With consumers realising that using chemicals in agriculture is dangerous, for both the environment and health, they are looking for organic food, which has less impact on the environment and is a healthier option for them.

Food crisis “We are currently facing a food crisis around the world,” says Burdese. “And with food prices rising it’s harder to have good food and know where it comes from. People feel unsafe if they don’t know something about their food, so they are looking for new models of distribution.” And one part of that model is the farmers market, as it allows consumers to be a part of the food they eat and relate with the producer. “In our earth market project, the management of the market is made by an alliance, which includes all of the people involved, from the producer and consumer to the local institution.” Another element to consider in the ﬁght against the food crisis is changing the system of distribution in supermarkets, says Burdese. “Supermarkets need to change their philosophy and start buying food at a more local level, at least in terms of fresh food. Hospital, school and work places will all have to change in the future too. There are areas that we can change, and although it will be hard we need to start changing now because if we wait too much longer it will be too late.”

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P140 In Review P142 Rebecca Goozee P144 Final Word

EARTH MARKETS Earth Markets are one of the most recent and ambitious Slow Food projects. The aim is to build a global network of farmers’ markets to create a viable economy in both developing and developed parts of the world, whilst respecting the earth, local culture and diversity and acknowledging the importance of food. The pledge to create a system of national farmers’ markets was undertaken in 2006 at the Slow Food Italy Congress in Sanremo, and since then it has been international in scope. The first markets were launched in 2007 in El Mina, near Tripoli, in Lebanon, and Bamako in Mali. Slow Food has set itself a goal to open 20 markets over the next 12 months in Italy, as well as others around the world.

“ “Slow Food has set itself a goal to open 20 markets over the next 12 months in Italy”

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Future

“

“It’s very important that we choose this kind of food because it has an impact on different aspects of our life, namely the quality of our life and the quality of our environment”

For Burdese the future is about people eating with responsibility, paying attention to the food that they eat. Slow Food is not about a recipe or an exclusive club, but more about embracing a way of life. “It is my greatest hope to arrive at the moment when we can close Slow Food, because all food will be slow. At the very least I hope that people will eat with attention and responsibility – if you choose to eat junk food, then you know what it means to eat it but decide that junk food is not a problem for you.” The problem today, continues Burdese, is that many people want to eat natural, good, clean and fair food, but they do not know how to do it because the food is too expensive, unavailable or hard to ﬁnd. “I do believe that more and more people will turn to Slow Food as more junk food, chemical and artiﬁcial food becomes available around the world.”

REAL FOOD FESTIVAL

Q&A with Philip Lowry, Festival Director for the Real Food Festival, the largest food festival in the UK, held at Earls Court, London in April 2008. FS. What was the inspiration behind the Real Food Festival? PL. The main inspiration is the Slow Food movement. Secondly, we have organised some very successful taste festivals in the past and noticed a common theme among them was that the people, producers and exhibitors were a core of the same people, mainly because that are a bit bigger and more successful and have worked out that they need to do them to get noticed and publicity. But that misses the thousands of smaller producers who never get a chance to go to an event because of the money and resources it takes to actually attend as a producer. What we wanted to do with the Real Food Festival was create an event that was about selecting the very best producers regardless of their size and then subsidise them if the producer is small. For this festival we subsidised around 400 of the 500 producers who came to the show. FS. Are you featuring solely British producers? And, of so, why? PL. This year was around 85 percent British with around 15 percent being international. Although this may fluctuate slightly we will always be predominantly British because I think we should think about food from our own country. There

are some potentially big issues around food security in this country in the next 10 to 20 years. We are seeing many headlines about how the world will be unable to feed the population and we need to hang on to our producers in order that we don’t have to rely on international imports in the future. FS. There has undoubtedly been a rise in gourmet and organic food in the UK, what are your opinions on the reasons behind this? PL. Without doubt it is linked to concern about the environment, sustainability and global warming. If you go back even as recently as two years ago you were probably considered a bit of a hippy if you were concerned about those issues, yet nowadays, a couple of years later, everyone is taking it seriously.

Clearly in the UK we still have a long way to go and while there has been a big rise in organic food and still only around 10 percent of the population buy their food in this way. But while we have a long way to go it is exciting that it is being talked about a lot and more people are buying into the idea that this is important, that this is a way of thinking about and eating food. FS. What are your hopes and projections for the future of farmer’s markets in the UK and across Europe? PL. Farmers markets have a great future because more and more consumers are interested in engaging directly with the people who produce their foods and that is what farmer’s markets do. Markets like the Real Food Festival promote an engagement with the producer and consumers want to see that passion and enthusiasm.

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A HEALTHY CHOICE

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The subliminal sandwich empire How a focus on providing a healthy alternative to the traditional burger-and-fries fast food option has helped Subway become a ubiquitous presence on our high streets.

he franchise business model has been SUBWAY FACTS a great success in recent years, and no-where is it better illustrated than at Subway. Don Fertman is the Director of ■ NUMBER OF RESTAURANTS Development at the sandwich giant. When he WORLDWIDE: first joined, the restaurant chain had 166 29,661 in 87 countries branches; today it has 29,661 franchises in 87 countries and territories worldwide, and ■ NUMBER OF SANDWICHES Fertman has played a big role in this rapid exMADE PER YEAR: pansion. “I’ve seen all kinds of developments An estimated two billion over the past 25 years,” he says with a smile. sandwiches are served per year Much of the company’s marketing focus■ ANNUAL REVENUES: es on health as a selling point. Although this Worldwide sales for 2007 are strategy is increasingly used in fast food out€7.6 billion lets around the world today, it was unique when the business started out. The decision to concentrate on ‘healthy eating’ has meant actly the way they want them, and that has made a real impact on a lot Subway has escaped much of the obesity-related media swiping that of folks. Even if someone goes into Subway and orders a full fat sandhas happened to its competitors. But was it a deliberate marketing wich they can still feel a little bit better about themselves than if they’d ploy? “We’ve never specifically used the term ‘health’ but we’ve used just walked out of McDonald’s with a burger and fries.” With obesity the word ‘fresh’ quite a bit,” says Fertman. “Many years ago, we would being such a hot topic at the moment, this will clearly be a key driver for call ourselves the fresh alternative because we always saw ourselves future growth, and is something that Fertman will be keeping an eye on. as an alternative to the greasy burgers, fries and other fast foodstuffs Looking to the future, Subway is set to expand worldwide. Fertman that were clogging people’s arteries.” anticipates that by 2010 it should have 30,000 stores open, with about In hindsight it looks like a shrewd move, with healthy eating and 7500 of those being outside the home markets of restaurant hygiene proving to be the top concerns the US and Canada. “We’re looking to concentrate for restaurant and fast-food consumers according to “We always saw ourselves heavily on our international expansion,” he says. a recent Zagat.com poll. Over 93 percent of people as an alternative to the “As we look at our domestic growth we’re looking to reported being concerned with the fat and calorie greasy burgers, fries grow primarily with our existing franchisees, while content of fast food, and when asked how the banand other fast foodstuffs still bringing some new blood into the system. We ning of trans fats in fast food restaurants would afthat were clogging want to look at places that traditionally have been fect them, 96 percent of those surveyed said they people’s arteries” difficult to penetrate with fast food.” would eat out the same amount or more. Those So there’s no room for complacency on this polled chose Subway as the best bet for a healthymenu? “Never ever, ever!” says Fertman. “We wrote the book on suboptions meal. The survey found the biggest irritants associated with marine sandwiches, but competition is now growing in this category as fast food dining was the lack of cleanliness, followed by nutrition conpeople recognise there is a lot of money to be made in serving healthy, sequences, food quality, service and noise. tasty, consumer-friendly products. We’ve seen existing competitors Fertman believes these health concerns have played a big part in growing and new competitors springing up on a global basis. We need the firm’s success, and is confident they have a great product that apto keep an eye on competitors and keep one step ahead. We have bropeals to a wide range of consumers. “If a consumer wants to limit their ken some incredible records, but every time we break a record it seems fat intake or calories, they can choose from our low fat menu; or if they like we get about five minutes to sit down and pop the champagne and want full flavour and full fat, they can order a double-meat BMT with then it’s on to the next thing.” Business as usual for Subway, then. double cheese. Our customers get those sandwiches custom-made, ex-

“

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TASTE TEST

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Food on the move Food Solutions puts three popular fastfood choices to the test and investigates the nutritional value of each.

Big Mac

Italian BMT

Variety Pack

The McDonald’s Big Mac comprises of two 100 percent beef patties and a little salt and pepper seasoning, with an unbeatable sauce, lettuce, onion, pickle and cheese in a sesame seed bun.

Subway offers made-to-order sandwiches and salads on various breads. The Italian BMT is one of the most popular sandwiches and is made up of salami, pepperoni, ham, cheese, lettuce, tomatoes, pickles, green peppers, olives and onions on white, Italian bread.

KFC’s Variety Pack offers one piece of Original Recipe chicken, two hot wings and a portion of regular fries.

Energy: 495 KCals Protein: 29 grams Carbohydrates: Total 41 grams; of which sugars 9 grams Fat: Total 24 grams; of which saturated 9 grams Fibre: 5 grams Salt: 2 grams

Energy: 429 KCals Protein: 24 grams Carbohydrates: Total 39 grams; of which sugars 3.1 grams Fat: Total 21.2 grams; of which saturates 9.8 grams Fibre: 4 grams Salt: 4.3 grams

Energy: 710 Kcals Protein: 45.5 grams Carbohydrates: Total 51.2 grams; of which sugars 0.92 grams Fat: Total 38.5 grams; of which saturates 8.6 grams Fibre: N/A Salt: 2.4 grams

Verdict: The healthiest option is Subway’s Italian BMT, but keep an eye on your salt intake – this sandwich contains more than two-thirds of the daily recommended allowance.

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Book Review Ed P140:aug08

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IN REVIEW

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Responsible reads There is no shortage of people out there with advice on how to solve the world’s inter-related food, climate and energy crises. So what do the best of this quarter’s business book releases have to offer?

Hot, Flat and Crowded Why the World Needs a Green Revolution, by Thomas L. Friedman Thomas Friedman’s bestseller The World Is Flat has helped millions of readers to see globalisation in a new way. Now Friedman brings a fresh outlook to the crises of destabilising climate change and rising competition for energy – both of which could poison our world if we do not act quickly and collectively. Friedman proposes that an ambitious strategy (which he calls Geo-Greenism) is not only what we need to save the planet from overheating; it is what we need to make us all healthier, richer, more innovative, more productive and more secure.

Food Solutions says: Hot, Flat and Crowded is classic Friedman – fearless, incisive, forward-looking and rich in surprising common sense about the world we live in today. Friedman assesses the state of the world environment and what we should be doing to stop it getting much, much worse.

Trust Unwrapped A Story of Ethics, Integrity and Chocolate, by Dan Collins and David Thompson Using the time-tested technique of storytelling to illustrate complicated concepts, half of Trust Unwrapped (the right-hand pages) is devoted to the story of corporate go-getter and entrepreneur Laura Anderson, whose attempt to launch a reasonably priced, competitive and ethical chocolate bar leads her on a journey to find the value of trust and integrity in both her personal relationships and her business career. The left-hand pages of the book feature quotes, case studies, statistics and research to illustrate the lessons Laura learns on her journey.

Food Solutions says: The innovative left-hand/right-hand page format means that the parable part of the book can be read in its entirety in just a few hours – making it ideal for a business flight – or it can be used as a tool and dipped into for short but valuable nuggets of information.

Stuffed and Starved Markets, Power and the Hidden Battle for the World Food System, by Raj Patel In case you missed it first time around, now is a great time to catch up with Raj Patel’s Stuffed and Starved. Having worked with international policy-makers, visited local farming collectives in Brazil and Mexico, investigated the all-powerful distribution networks, and gone behind the scenes in the kitchens of Europe’s McDonald’s restaurants, Patel is uniquely placed to take a long and wide view of food production and tell the story of commercial greed and helpless hunger that lies behind every meal we eat.

Food Solutions says: From farm to fork, this is the first book to look at the entire global food chain, revealing the hidden complexities and terrifying simplicities of a planet squeezing itself dry in order to make half its citizens obese and the other half malnourished.

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REBECCA GOOZEE Is GM the answer?

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Controversies have long dogged GM foods and crops, but could GM offer a way out of the current food crisis?

like now might be a good time to evaluate our options. And GM foods look like a pretty good option to me. Firstly, staggering crop losses from pests result in devastating financial loss for farmers, and further starvation in developing countries. While farmers typically use tons of pesticide chemicals annually, consumers are wary of potential health hazards and causing further harm to the environment. GM foods can help eliminate pesticides and reduce the likelihood of crop failure. Secondly, as we experience the effects of climate change, whether it is colder, hotter, drier or wetter, it seems GM foods could be useful in many circumstances where crops are at the mercy of extreme conditions. For example, while an unexpected frost can destroy young seedlings, an anti-freeze gene from coldwater fish has been introduced into some plants that enables them to withstand cold temperatures that would normally kill unmodified crops. And as the population grows and more land is utilised for housing or biofuels over food production, creating plants that can withstand long periods of drought or high salt content will help people to grow crops in formerly inhospitable places. Finally, malnutrition is common in developing countries where people rely on a single crop, such as rice, as a main staple in their diet. he first commercially grown modified whole food crop was However, such crops do not always contain adequate amounts of the the tomato, which was made more resistant to rotting. necessary nutrients to help prevent malnutrition. Back in 2000, reCalgene, the company that developed the tomato, released searchers at the Swiss Federal Institute of Technology Institute for the products on to the market in 1994 and they were welPlant Sciences created a strain of ‘golden’ rice containing a high concomed by consumers willing to pay up to five times the price of regtent of beta-carotene or vitamin A, to help fight against conditions ular tomatoes. Even though production problems meant that the fruit such as blindness caused by a lack of vitamin A. Almost a decade was ultimately unprofitable, the future for GM initially looked healthy. later, the promise of golden rice remains unfulfilled; however, the first But since the success of that first tomato, field trials of golden rice started in Asia this year, GM foods have been blighted with a poor, often “Research into GM foods and the project is now backed by funding from the unjustified, reputation. Labelled ‘Frankenfoods’ is now seen as scientists Bill and Melinda Gates Foundation, meaning that by critics who claim that they are an environmenit could yet see widespread adoption. Fingers playing God and vilified tal hazard, causing unintended harm to other orcrossed. by experts and the ganisms, and a potential human health hazard, As well as increased resistance to disease and research into GM foods is now seen as scientists pests, new products and increased nutrients, there general public alike” playing God and vilified by experts and the genare many other potential benefits to GM products, eral public alike. namely more efficient processing and enhanced However, given that the world is currently in the grip of a food criquality – and perhaps most importantly, increased food security for sis that is increasingly seeing demand outstrip supply, could GM ride the growing population. to the rescue and provide a viable strategy for addressing food shortWithout doubt there are challenges ahead for GM foods, espeages? The global population has topped 6.6 billion and is predicted cially with regard to safety testing and regulations – not to mention to rise to nine billion by 2050; ensuring an adequate food supply for winning over a sceptical public – but can we really afford to ignore a the booming population is going to be a major challenge, particulartechnology that has such potential for enormous benefits, particuly with poor harvests and increasing weather problems, and it looks larly in the face of a food crisis? I’m not sure we can.

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CATALOGUE PAGE FS:aug08

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Final Word Ed P144:aug08

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FINAL WORD

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Why food insecurity is a political issue Dr Jacques Diouf, Director-General of the Food and Agriculture Organisation of the United Nations, says blame for the current food crisis lies with governments.

novative and imaginative solutions, besides aid for development. Partnership agreements are needed between countries that have ﬁnancial resources, management capabilities and technologies and countries that have land, water and human resources. Only in this way will it be possible to assure balanced international relationships for sustainable agricultural development.

Dr Jacques Diouf

he current food crisis goes beyond the traditional humanitarian dimension, which has an eminently ethical foundation. This time it also affects the developed countries. Rising inflation is 40 to 50 percent the result of higher food prices. In a context of high and accelerated growth of gross domestic product of the emerging countries, we must seek sustainable and viable global solutions that will narrow the gap between global food supply and demand. If we do not urgently take the courageous decisions that are required in the present circumstances, the restrictive measures taken by producer countries to meet the needs of their populations, the impact of climate change and speculation on futures markets will place the world in a dangerous situation. Whatever the extent of their financial reserves, some countries might not find food to buy. The structural solution to the problem of food security in the world lies in increasing production and productivity in the low-income food-deficit countries. That calls for in-

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The challenges of climate change, bioenergy, transboundary animal and plant diseases and agricultural commodity prices can only be met through frank dialogue based on objective analysis devoid of partisan and short-term interests. Yet, obligation to truth already compels me to note certain facts. Nobody understands how a carbon market of US$64 billion can be created in the developed countries to offset global warming but that no funds can be found to prevent the annual deforestation of 13 million hectares, especially in the developing countries whose tropical forest ecosystems act as carbon sinks for some 190 giga tonnes. Nobody understands how US$11-12 billion dollars in subsidies in 2006 and protective tariff policies have had the effect of diverting 100 million tonnes of cereals from human consumption, mostly to satisfy a thirst for fuel for vehicles. Nobody understands how in a time of globalisation of trade that, with the notable exception of avian influenza that could lead us to human calamity, there has been no significant investment in the prevention of Newcastle disease, foot-and-mouth disease, Rift Valley Fever, contagious bovine pleuropneumonia, the pest of small ruminants, bluetongue disease, African swine fever, tropical bont tick and the New World Screw-worm, but also wheat stem rust that since 1999 has spread from Uganda to Iran and could reach India, Pakistan and China, the fruit fly and finally desert locusts, a scourge familiar since the time of the Pharaohs. But above all, nobody understands how the OECD countries have created a distortion

of world markets with the US$372 billion spent in 2006 on supporting their agriculture; that in a single country food wastage can amount to US$100 billion annually; that the excess consumption by the world’s obese costs US$20 billion annually (to which must be added indirect costs of US$100 billion resulting from premature death and related diseases); and finally that in 2006 the world spent US$1200 billion on the purchase of arms. Against that backdrop, how can we explain to people of good sense and good faith that it was not possible to find US$30 billion a year to enable 862 million hungry people to enjoy the most fundamental of human rights: the right to food, and thus the right to life? It is resources of this order of magnitude that would make it

“In fact, the problem of food insecurity is a political one. It is a question of priorities in the face of the most fundamental of human needs”

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possible definitively to lay to rest the spectre of conflicts over food that are looming on the horizon. In fact, the problem of food insecurity is a political one. It is a question of priorities in the face of the most fundamental of human needs. And it is the choices made by Governments that determine the allocation of resources.

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