Haribo expands its UK business
Food & Drink Business Website:
C o n t e n t s
- 3 M ERGERS & A CQUISITIONS
- 24 & 41 D AIRY
Coverage of British and international deals.
Arla Foods UK embarks on the next phase of its development.
- 5 G ROCERY MARKET
Alan Clark, CO, SABMiller.
Glanbia Ingredients Ireland opens new milk protein plant.
P AGE 13
- 39 B REWING
Philip Hodges, VP, Integrated Supply Chain, Mondelez Europe.
UK beer volumes to rise for first time in five years.
Supermarket price war heaps pressure on food producers as insolvencies jump 28%.
R EGULARS Processing & Manufacturing . . . . . 11, 15-31
- 7 C OVER S TORY Haribo expands its UK business.
Lean Manufacturing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17-25 Compressed Air . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 & 27 Mixing & Blending . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29 & 30
Raanan Zilberman, CEO, Eden Springs.
Peter GiortzCarlsen, CEO, Arla Foods UK.
Quality & Hygiene . . . . . . . . . . . . . . . . 32-38 Hygienic Floors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34-37
Bottling & Packaging. . . . . . . . . . . . . . 43-46 Packaging Innovations back with a Bang . . . . . . . . . . . . . . . . . 43
PAGE 41 Materials & Ingredients . . . . . . . . . . 47 & 48 Olam International to acquire ADM’s global cocoa business for $1.3b. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47
- 10 C ONFECTIONERY & S NACKS
Jim Bergin, CEO, Glanbia Ingredients Ireland.
ProSweets Cologne covers the entire value chain in confectionery production. Managing Director: Colin Murphy Editor: Mike Rohan Group Operations Manager: Sylvia McCarthy
Felix Theato, CEO, Haribo.
- 13 S NACKING
Production Manager: Sylvia McCarthy
Food & Drink Business Europe is published by Premier Publishing Limited, 51 Parkwest Enterprise Centre, Nangor Road, Dublin 12. Tel: + 353 1 612 0880 Fax: + 353 1 612 0881 E-Mail: email@example.com Website: www.fdbusiness.com
Mondelez International invests in sustainable and profitable growth.
Premier Publishing Limited can accept no responsibility for the accuracy of contributors’ articles or statements appearing in this magazine. Any views or opinions expressed are not necessarily those of Premier Publishing and its Directors. No responsibility for loss or distress occasioned to any person acting or refraining from acting as a result of the material in this publication can be accepted by the authors, contributors, editor and publisher. A reader should access separate advice when acting on specific editorial in this publication!
- 17 L EAN M ANUFACTURING Anuga FoodTec 2015 - March 24-27, Cologne - The challenge of automation.
Advertising: John Bent, Ian Stewart & Rachel Howard
Design, Origination and Separations by Fullpoint Design (057) 8680873. (086) 1573510 Printed by W&G Baird.
Herwig Vennekens, MD, Haribo UK.
Annual Subscription (UK and Ireland) £95 Overseas Subscription £115
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
M E E R R G G E E R R S S M The Coca-Cola Company, SABMiller and Coca-Cola Sabco to Form Coca-Cola Beverages Africa The Coca-Cola Company, SABMiller and Gutsche Family Investments (GFI, majority shareholders in Coca-Cola Sabco) have agreed to combine the bottling operations of their non-alcoholic ready-to-drink beverages businesses in Southern and East Africa. The new bottler, Coca-Cola Beverages Africa, will serve 12 highgrowth countries accounting for approximately 40% of all CocaCola beverage volumes in Africa.
Alan Clark, chief executive of SABMiller.
Africa offers significant growth potential in beverages, underpinned by rising personal disposable income, a fast-growing population and increasing per capita consumption. With more than 30 bottling plants and over 14,000 employees, Coca-Cola Beverages Africa will be the largest Coca-Cola bottler on the continent, with the scale, complementary capabilities and resources to capture and accelerate top-line growth. This will also allow the new African bottler to develop best operating practices and invest in production, sales and distribution, and marketing to benefit from growing demand and drive profitability. On full completion of the proposed merger, shareholdings in Coca-Cola Beverages Africa will be SABMiller: 57.0%, Gutsche Family Investments: 31.7% and The Coca-Cola Company: 11.3%. “Soft drinks are an important
A C C Q Q U U II S S II T T II O O N N S S A
element of our growth strategy. This transaction increases our exposure to the total beverage market in Africa. The opportunity is significant, with favourable demographics and economic development pointing to excellent growth prospects,” comments Alan Clark, chief executive of SABMiller. “This also signifies a strengthening of our strategic relationship with The Coca-Cola Company.”
Pivovary Lobkowicz Group Completes Acquisition of Pivovar Rychtar Pivovary Lobkowicz Group, one of the top five brewers in the Czech Republic, has purchased a 30% stake in Pivovar Rychtar to assume complete ownership. Pivovar Rychtar has been a member of the Pivovary Lobkowicz Group since 2008, when the group acquired a 50% share, which increased to 70% in 2011. The option for the acquisition of the remaining 30% was already agreed on the acquisition of the first stake. Pivovary Lobkowicz Group consists of seven regional breweries (Protivín, Uhersky Brod, Jihlava, Rychtar, Klaster, Vysoky Chlumec and Cerna Hora) located throughout Bohemia and Moravia which are centrally managed. The group currently offers 70 beer brands.
ing iconic brands such as Ben & Jerry’s, Breyers, Fruttare, Good Humor , Klondike, Magnum and Popsicle.
Emmi Increases Focus on the Specialty Cheese Business in the US Swiss dairy group Emmi is selling its production facility for aseptic dairy products in the US to the Kansas-based KanPak, a Golden State Foods partnership. The disposal will allow Emmi to dedicate more resources to reinforce its strong US position in the specialty cheese market. Emmi Penn Yan generates revenues of US$30 million. The parties have agreed not to disclose the purchase price. Emmi’s largest international market is the US, where it has recorded solid organic revenue growth for a number of years. Emmi will continue to focus on its specialty cheese activities with Wisconsin based Emmi Roth USA and its award winning cow’s milk cheeses, such as Roth Grand Cru, Buttermilk Blue and Gran Queso as well its cheese imports from Switzerland.
Unilever Expands US Ice Cream Business Unilever has acquired Talenti® Gelato & Sorbetto in the United States. Minneapolisbased Talenti, which was founded in 2003, has grown into the best selling packaged gelato in the US. Talenti is expected to have more than $120 million in turnover in 2014. The terms of the transaction were not disclosed. The Talenti acquisition brings a complementary packaged gelato portfolio to Unilever’s ice cream category, alongside the company’s exist-
Tate & Lyle Expands its Food Systems Business Tate & Lyle has established a new joint venture by acquiring a majority equity interest in Gemacom Tech. Founded in 1990, Gemacom Tech is the leading domestically-owned food systems business in Brazil, operating from two blending facilities and laboratories. Gemacom Tech provides stabilizer systems and ingredient blends for customers across Brazil and some other South American countries, predominantly in the dairy category. The new joint venture will be known as Tate & Lyle Gemacom Tech. Tate & Lyle
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
has an option to acquire the remaining equity interest in Gemacom Tech at a later stage. Gemacom Tech has annual sales of around US$30 million.
Eden Springs Completes Acquisition of Nestlé Waters Direct Businesses in Germany, Portugal and The Netherlands Eden Springs, a leading European provider of office water and coffee solutions, has completed the first step in the acquisition of three of the five Nestlé Waters Direct (NWD) water cooler businesses from Nestlé Waters. The overall acquisition of the five NWD businesses was agreed with Nestlé Waters in early September. The three NWD businesses in Germany, Portugal and the Netherlands have transferred to Eden Springs, marking the first stage in bringing these two organizations together as one team and providing a springboard for future growth. The deal provides a key opportunity for Eden Springs’ ongoing expansion into the provision of water and coffee service solutions across Europe. The deal reflects Eden Springs’ confidence in the longterm potential of the European workplace beverages sector. Eden Springs expects to close the acquisition of the remaining two NWD businesses in Poland and Russia in 2015, subject to customary regulatory and other approvals. When finalised, the total deal is expected to increase Eden’s annual turnover to approximately Eur370 million.
Raanan Zilberman, chief executive of Eden Springs.
I GROCERY MARKET
Supermarket Price War Heaps Pressure on Food Producers as Insolvencies Jump 28% The number of UK companies involved in food production which entered insolvency increased by 28% in the last year, amounting to 146 food producers in 2014 compared to 114 in 2013, according to research by Moore Stephens, the leading accountancy firm. oore Stephens says that the supermarket price war is causing pain throughout the food supply chain, as supermarkets squeeze food producers in order to cut checkout prices and prop up profits. Moore Stephens says that the rise in insolvencies of food producers is in stark contrast to the 8% fall in company liquidations in the economy as a whole over the same period (12 months to September). Whilst over a five year period (2010 – 2014) company liquidations as a whole have fallen, insolvencies amongst food producers have increased. Supermarkets’ tough treatment of suppliers was exposed recently by the accounting scandal at Tesco, which cast light on how supermarket buyers rely on supplier contributions to meet profit targets that trigger big bonuses for the buyers.
Bloodiest Price War Moore Stephens Partner, Duncan Swift, who leads their Food Advisory Group, comments, “The supermarkets are going through the bloodiest price war in nearly two decades and are using food producers as the cannon fodder. Supermarkets have engaged in questionable buying practices for years, but it’s getting worse and clearly wreaking havoc on the UK food produc-
tion sector. The fact that food producer insolvencies are rising so rapidly, while business insolvencies are falling overall, shows just how much pressure the sector is under.” He continues: “UK supermarkets are trying to compete on price with Aldi and Lidl but with profit margins that are far higher than these discount chains. To try and make the maths work, the big supermarkets are putting food producers under so much pressure that we have seen a sharp increase in the number of producers failing. I warned several years ago that the aggressive buying techniques of the supermarkets were going to lead to more food producer insolvencies. It is cold comfort to be proven right and I regret to say this is not the end of it.” Moore Stephens says that the rate of financial failure is even greater than it appears, as most farmers and many horticulturalists operate as sole traders or in simple partnerships which are not recorded at Companies House and cannot be readily researched. The Problem Duncan Swift, states: “The culture of the buying teams at the supermarkets is the big problem. Most supermarkets have bankerstyle trading floors and bonus schemes for their buyers. Supermarket buyers’ bonuses are contingent on securing cash contributions from suppliers, which typically lead to delisting threats, shortnotice cancellation of supplier orders and spurious deductions from monies the suppliers are owed. Supplier contributions cause major cash flow problems for food producers and can tip them into insolvency. It’s a raw deal for food producers who FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
need the supermarkets to reach the public, but who can’t afford the terms of business that the supermarkets foist on them.” Moore Stephens points out that food producers hit by unreasonable behaviour by supermarket buyers feel unable to complain to the Groceries Code Adjudicator, as doing so risks them losing important contracts. Moore Stephens explains that the Adjudicator can only begin an investigation when a supplier makes a formal complaint. Uncertainty Duncan Swift concludes: “The fear of losing business from supermarkets means that food producers rarely – if ever – complain about clear breaches of agreed industry standards. That means there is no check on the highly aggressive buying practices of the supermarkets, which causes great uncertainty that a price agreed by a buyer will actually be paid and more food producer insolvencies is the result.” J 5
Haribo Expands its UK Business Haribo, the German confectionery manufacturer famous for its ‘Gold Bears’, is due to commence production in its second factory in the UK this summer, following a £92 million investment programme.
ased at Castleford in Yorkshire, the new factory will predominantly supply the purpose-built factory will produce UK but will also meet growth in export marmore than 48,000 tonnes of confeckets. tionery a year and employ 286 people. “Over the past few years we have been The new facility will complement Haribo’s exporting to countries such as Japan, North existing factory at Pontefract, also in America and Australia,” points out Herwig Yorkshire, where 540 people are employed. Vennekens. “The new factory, once operaHaribo is the second largest sugar confectional, will have the capacity to supply these tionery producer in the UK (behind Wrigley), An artist’s impression of the new factory at markets as well.” selling about 40,000 tons of products (250 Castleford. The development project includes a million bags 30,700 sq ft three-storey manufacturing unit and a Future Growth Potential of sweets) a four-storey office facility. He identifies significant future growth potenyear. UK tial. “While confectionery is relatively stable, sales totaled more than £150 mil- the segments we are operating in lion in 2013, an increase of 10.5% are growing quite well. There is a on 2012. trend towards soft eating (jelConstruction of the new factory lies).” building, which incorporates Indeed, Jellies have always 30,700 cubic meters of concrete been popular in the UK and and 3,000 tonnes of steel, com- Haribo’s sharing-bag format has menced in October 2013 and is proved popular with children as scheduled for completion in April well as adults, who appreciate the 2015. The development project value offered by larger pack sizes. includes a 30,700 sq ft three- Haribo has also been quick to storey manufacturing unit and a respond to new consumer trends four-storey office facility. The site such as the demand for sour tastwill be powered by a steel-framed ing confectionery and sugar-free energy centre and sub-station. products. Felix Theato, who succeeded Dr Haribo’s ability to appeal to Hans Riegel as chief executive of Strong Demand was founded by both children and adults should Haribo Haribo in 2013. Strong demand for its products, ensure its continued growth in entrepreneurial confectioner Hans including the top selling Starmix the long-term as consumers often Riegel, who invented the ‘dancing and Tangfastics ranges, prompted Haribo’s decision to build a sec- acquire their taste for confec- bear’ – a little bear made out of fruit ond factory, and the company was awarded £6.4 million from the tionery at a young age and carry gum, which would later become known globally as the Haribo Gold Government in 2011 as part of the Regional Growth Fund to help it into later life. Bears. it re-develop the former Pioneer Technologies site in Castleford. This followed six years of double-digit year-on-year sales growth by UK Development Haribo’s UK business. Haribo has been present in the UK since 1972 when it purchased a The reason for this success is Haribo’s stake in Dunhills, a traditional English comstrong brand offering of great tasting, affordpany well known for the regional specialty able and quality treats, according to Herwig ‘Pontefract Cakes’. In 1994, Haribo acquired Vennekens, managing director of Haribo the remaining shares and established the UK. Haribo brand within the UK. Haribo has “Our existing factory is near capacity and successfully introduced new recipes into the so this new site will allow for progressive UK, as well as gelatine manufacturing techexpansion, enabling us to continue to extend nology from Germany, which greatly our offering and to develop new and innovaimproved the quality of the products availtive products,” he explains. “The growth is able. Furthermore, the company also piocoming literally from everywhere – supermarneered the use of PVC drums in the UK. kets, the high street, wholesalers, indepenSuch product and packaging innovation dents etc.” have reinvigorated the entire gums and jellies Continued strong demand could result in Haribo is one of the world’s largest confectionery category in the UK. Haribo’s continual further phases of development at the site but manufacturers with annual sales in the region of investment in bagged confectionery has also capacity is unlikely to be filled by 2016. The Eur2 billion. resulted in Starmix becoming a massive brand FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
worth more than £30 million in the UK. Starmix, Tangfastics and Super Mix are now the three top selling Haribo UK products. Top Advertiser With annual expenditure of £5.1 million, the Haribo brand is the top advertising spender within the sweets category of the UK confectionery market, ahead of Skittles (Wrigley), Werther’s Original (Storck), Herwig Vennekens, managing director of Rowntree’s (Nestle) and Haribo UK. Starburst (Wrigley). About a third of Haribo’s budget is spent on cinema advertising with 57% going on television adverts. According to Herwig Vennekens, Haribo aims to run its adverts throughout the year, unlike many of its rivals. The Riegel Confectionery Dynasty Haribo UK is one of the most important und successful subsidiaries of its German parent group. Established in a small laundry kitchen in a suburb of Bonn in 1920, Haribo has developed into one of the world’s largest confectionery manufacturers with annual sales in the region of Eur2 billion. Specialising in fruit gum products made with natural colours and fruit and plant extracts, the group currently operates 16 factories across Europe, employs 6,000 people and exports to more than 100 countries. The product range
encompasses many flavours including cola, berries, liquorice and tropical fruits. Haribo was founded by entrepreneurial confectioner Hans Riegel, who invented the ‘dancing bear’ – a little bear made out of fruit gum, which would later become known globally as the Haribo Gold Bears. Indeed, the name Haribo is derived from the first two letters of the founder’s first name and surname and his home town (Hans Riegel of Bonn). Haribo is still family-owned. The group was headed for 67 years by the founder’s son, Dr Hans Riegel, who was Germany's oldest serving CEO until his death in October 2013. Dr Hans Riegel and his brother Paul Riegel successfully rebuilt Haribo after the Second World War. Dr Hans Riegel has been succeeded as chief executive by Felix Theato, who was for- Haribo currently operates 16 factories across merly marketing direc- Europe, employs 6,000 people and exports to more than 100 countries. tor at Haribo. J
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
I CONFECTIONERY & SNACKS
ProSweets Cologne Covers the Entire Value Chain in Confectionery Production As the world's only trade fair for confectionery and snacks, from 1 to 4 February 2015 in Cologne, ProSweets Cologne offers manufacturers a precisely tailored information and ordering platform for all matters concerning ingredients, production, packing and logistics for confectionery and snacks. In parallel to the ISM - International Sweets and Biscuits Fair - more than 300 suppliers from about 30 countries will present innovations as well as new solutions and technologies. he range of exhibitors both German and international is diverse, comprehensively covering the entire supply chain. First-time participants include Cargill, Bizerba, Chocal Aluminiumverpackungen and Ilapak Verpackungungsmaschinen. Among others, Crown Packaging Europe, Dometic Waeco, Selmi, Stora Enso and Tanis Confectionery will be participating once again. The complete list of exhibitors is available on the website - www.prosweetscologne.com.
'Speakers' Corner' A well established feature of ProSweets is 'Speakers' Corner', a lecture space in the centre of the fair hall. Every day, industry experts will broach important topics in the areas of production, processing and packaging for both confectionery and snacks. For example, on Monday afternoon (02.02.2015, 03:00 p.m.) experts will reference natural ingredients. All presentations will be held in English and are free of charge for visitors. ‘FutureLab’ ‘FutureLab’, the ‘Open think tank’ of students from the Koln International School of Design will again be working on packing concepts for sweets and snacks. Exhibitors from both ProSweets Cologne and the ISM will be able to submit proposals for topics before the fairs start.
New Product Showcase For the first time, as a special platform, the ‘New Product Showcase ProSweets Cologne’ will be offered as a showcase for products, packing and ingredients. In this showcase exhibition, exhibitors at ProSweets Cologne will be able to present their innovations to the public. By placing the exhibition very close to the New Product Showcase of the ISM, considerable attention is guaranteed, especially from potential customers amongst the exhibitors at the ISM. 10
‘Science Centre’ For the first time, there will be a ‘Science Centre’ in which food technology institutes will be able to introduce themselves and present current research topics. Here - in addition to the chance to make contacts for research, development and services - exhibitors and visitors will also be able to address issues regarding production and packing. ‘Power Fruits’ Furthermore, a special show entitled ‘Power Fruits’ is planned, which will discuss dried fruits as ingredients for sweets and present them in their various FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
facets. ‘Power Fruits’ will broach the subject of the trend towards natural ingredients. Here and around this special show are companies such as Bolasco, Cargill, GNT, Ocean Spray and Dohler, among others. ProSweets Cologne is sponsored by the Federal Association of the German Confectionery Industry (BDSI), Sweets Global Network (SG), the German Agricultural Society (DLG e.V.) and the Central College of the German Confectionery Industry (ZDS). For more information visit www.prosweetscologne.com. J
I PROSWEETS 2015
Advanced Production Technology From Hänsel Processing änsel Processing´s installations and H machines have the most advanced technology available. They are successfully operated world-wide and about 90% of the company’s activities are generated by processing machinery with a focus on any kind of sugar confectionery products: • Hard Candy • Jelly & Fondant • Toffee • Bar. Nearly the whole range needed for the production of confectionery, from single machines to complete processing lines, is offered. At ProSweets 2015, new and known customers as well as interested qualified personnel will be welcome on booth C038/D039 in hall 10.1. Managing directors Frank Temme and Heiko Kühn will gladly be at your service, accompanied by their skilled native-speakers sales team as well as by French partner company Proform. 52. Turbomat® Aerating Machine
The innovative plant TURBOMAT® is
widening the machinery equipment of Hänsel and will be exhibited at the booth. The Hänsel team of skilled engineers, constructors and process technicians used the more than 25 years of experience with aerated masses to develop this new aerating machine - TURBOMAT®. According to the configuration desired by the customer, the PLC-controlled TURBOMAT® is used for a continuous mixing, dispersing and aeration of bar foam, chewy candy or aerated jelly masses, as well as marshmallow. The most important parameters such as air quantity, rotor speed, system pressure and temperature, can be continuously adjusted. As an alternative, aeration is also possible with the TURBOMIX, which is working batchwise. The closed, compact and space-saving TURBOMAT® is designed for one- or for multi-component feed; optionally, it can be delivered with a dosing unit for colouring agent and flavour. The patented shaft seal and the robust, bilateral guide of the dynamic mixer head are
Turbomat® Aerating Machine.
quality features of the TURBOMAT®. TURBOMAT® Technical data: • PLC control with splash water proof operating panel • throughput from 35–2,500 l/h • automatic dosing of all raw materials • air automatic • drive shaft equipped with two roller bearings • dynamic mixing head with three different lengths • CIP or other possibilities of cleaning. For more information visit ProSweets Cologne - Hall 10.1 – Stand C038/D039 - or visit www.haensel-processing.de. J
A.M.P-Rose to Present New Neapolitan Wrapping Machine stablished over 35 years ago, A.M.PE Rose is one of the world's leading suppliers of new, used, and rebuilt machines to the chocolate, confectionery and snack industries. A.M.P-Rose has evolved and developed immensely since its humble beginnings in 1978. It has managed to transform from a small supplier of rebuilt packaging machines for the confectionery industry, to a greatly successful company with interna-
tional renown for both new and rebuilt machinery; nearly 80% of its products being exported to over 80 countries worldwide. This year at the ProSweets exhibition; A.M.P-Rose will be showcasing their brand new Neapolitan NR10 wrapping machine. It is an adjustable high speed automatic Neapolitan wrapping machine for square and rectangle tablets. The machine can be supplied as a hand fed machine, or with an automatic feeding system. The machine has been designed to use either single or double wrappers, with the outer paper taken from a stack of pre-cut labels rather than the more common reel fed systems. By using pre-printed labels, this allows the manufacturer to pack small quantities of product, which is particularly useful for smaller volume clients such as marketing promotions, corporate gifts etc. The machine has been designed for ease FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
of operation, low running costs and flexibility. As a result of its modular construction, the machine can be quickly and easily size-changed at a very reasonable cost. This is the third new machine the company has launched in the last 12 months; the first of these was the ‘700/1000’ chocolate moulding line that was presented at Interpack in May. The other new machine was the ‘X-Pax’ flowrapping machine with a revolutionary infeed, which allows individual product size, number of pieces in the pack, number of product layers, and pack length to all be changed at the touch of a button, with no size change parts. A.M.P-Rose will be at Stand B-030 in Hall 10.1 at the ProSweets exhibition. For further information contact A.M.P-Rose on Tel +44 1427 611 969, Email firstname.lastname@example.org or visit www.amp-rose.com. J 11
Finn technology is used globally to coat almonds, biscuits, brazil nuts, coffee beans, freeze dried products, fondants, ginger, hazlenuts, malt balls, marshmallows, peanuts, raisins, seeds, fruit, toffee balls, wafers and many more centres with white, milk and dark chocolate and yoghurt
Finn Chocolate Belt Coaters and Polishers +44 (0)151 666 1031 Email: email@example.com Email: firstname.lastname@example.org www.dtg-ltd.com
Representing the very highest in design, development and manufacture of confectionery machines. The professional skilled and dedicated team work with clients to deliver the required result and the very best return on investment.
Mondelez International Invests in Sustainable and Profitable Growth Mondelez International is continuing its twin strategy of accelerating investments in emerging markets to deliver sustainable and profitable growth over the long-term and is financing this process primarily by expanding margins in its mature markets of North America and Europe. he US-based snacking and beverages giant is focusing on reduce operating costs through a $3.5 billion restructuring program that is expected to deliver annualised cost savings of at least $1.5 billion by 2018. Lower overheads and accelerated supply chain cost reductions are each expected to generate roughly half of the total incremental savings. Overhead reductions will be driven by both lower headcount and non-headcount costs.
Philip Hodges, senior vice president, Integrated Supply Chain, Mondelez Europe.
The 2014-2018 restructuring program comprises of approximately $2.5 billion in cash costs and $1 billion in non-cash costs. The restructuring program is intended primarily to cover severance as well as asset disposals and other manufacturing-related one-time costs. Mondelez International expects to incur the majority of the program's charges in 2015 and 2016. The $2.2 billion of capital expenditures to support the restructuring program are already included within the company's previous guidance of approximately 5% of net revenues for the next few years. Investment in Europe In Europe, for example, Mondelez
International is investing £75 million on upgrading the Cadbury factory and headquarters at Bournville near Birmingham in the UK. The money will be spent over three years and will entail the installation of new production lines and new equipment. The Bournville factory currently produces some of the company’s most popular chocolate, including Dairy Milk, Creme Eggs and Wispas. According to Mondelez International, the investment will focus on improving capabilities, reducing costs and changes to ways of working that will help to close the competitiveness gap between Bournville and its competitors as well as sister factories in Germany and Western Europe. Since acquiring Cadbury in 2010 for $19.5 billion, Mondelez International has invested more than £130 million in its UK operations. Bournville is home to the company's Global Centre of Excellence for Chocolate research and development site, so every new chocolate product created by the company anywhere in the world starts life at the Birmingham plant. Elsewhere in Europe, Mondelez International has spent $50 million over the past three years in the development of the Székesfehérvár chocolate plant in Hungary and is investing over $100 million in a state-of-the-art biscuit manufacturing plant at its Opava site in the Czech Republic. Three new production lines have been installed producing Milka and Cadbury choco-bakery sandwiches exclusively in the Székesfehérvár plant, mostly for export but more recently for the Hungarian market as well. State-of-the-art Equipment "Mondelez International is investing big to ensure that its power brands are manufactured on state-of-the-art equipment. Our company invested more than $1 billion worldwide in our supply chain capacities since 2012 and we have plans to do even FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
Mondelez International is investing £75 million on upgrading the Cadbury factory and headquarters at Bournville in the UK.
more,” says Philip Hodges, senior vice president, Integrated Supply Chain, Mondelez Europe. “Our Székesfehérvár investment put this plant on the confectionery map of Europe. “ The new biscuit factory in the Czech Republic will manufacture Oreo cookies and belVita breakfast biscuits, sales of which have been growing rapidly in Europe. “This new facility will help us keep up with future demand by creating additional capacity. We've used all of our supply chain and R&D expertise to create a state-of-the-art factory with lines capable of making over a million Oreo biscuits a day.
Mondelez International is investing over $100 million in a state-of-the-art biscuit manufacturing plant at its Opava site in the Czech Republic. The new factory will manufacture Oreo cookies and belVita breakfast biscuits.
Mondelez International Named to Dow Jones Sustainability Index for Tenth Consecutive Year Mondelez International has been named to the Dow Jones Sustainability Index for the tenth year in a row on the North America index and for the ninth year running on the World index. This honour was bestowed after an integrated assessment of the company's performance against economic, environmental and social criteria with a strong focus on long-term value creation for shareholders. Mondelez International achieved scores in the 90th percentile of its industry for its Corporate Governance, Risk & Crisis Management and Environmental Policy/Management System - as well as a perfect 100 score for Waterrelated Risk. For the 2014 assessment, only companies scoring among the top 10 percent per industry were eligible for the World Index, while companies in the top 20 percent per Christine McGrath, vice president, Well-being industry were eligible for and External Affairs at Mondelez International. the North America index. "The Dow Jones Sustainability Index is a gold standard for sustainable business," says Christine McGrath, vice president, Well-being and External Affairs at Mondelez International. "Our business success is directly linked to enhancing the well-being of the people who make and enjoy our products and to supporting the communities where we operate and our ingredients are grown. This belief inspired our Call For Well-being. Our DJSI World Index listing is great recognition of our colleagues' hard work - and an equally great incentive for us to continue our strong performance." The Call For Well-being brings together employees, partners and suppliers to co-ordinate actions in the four key areas that support its global strategy
After it is completed, this plant will be a model in our global supply chain network,” Philip Hodges points out. The development of the Opava factory builds on $240 million investment across Mondelez International’s European biscuits network since 2010, including sites in France, the UK and Central Europe. Beverages Business On the beverages side of its business, Mondelez International is to invest $50 million (£30 million) in its Banbury factory in the UK to build two new lines that will manufacture Tassimo beverage capsules. Tassimo is Europe's fastest growing singleserve system, brewing a wide variety of beverages including Jacobs and Costa coffees and Cadbury hot chocolate. The move is part of Mondelez International's multi-year investment in European manufacturing, under which $1.5 billion has been invested since 2010. “The proposed investment is part of our vision to manufacture our products on state-of-the-art lines that will enable us to meet growing demand while increasing our competitiveness," adds Philip Hodges. 14
to protect the well-being of the planet. Since the company's launch in October 2012 ,Mondelez Internationalhas advanced its well-being efforts by providing consumers with mindful snacking options; securing a sustainable agriculture supply; reducing its environmental Mondelez Interanational has achieved its goal footprint; partnering with to have 100% of palm oil RSPO (Roundtable on communities to promote Sustainable Palm Oil) - two years ahead of its healthy lifestyles; and 2015 commitment. ensuring that the people who make and enjoy the snacks it makes are safe. Last September, Mondelez International issued its first report highlighting the company's progress toward achieving its global well-being goals. It details important steps the company has made to meet key metrics in the areas of mindful snacking, sustainability, communities and safety. For instance, Mondelez International is on target to reach its goals to sustainably source key commodities. In 2013, 10% of cocoa, 56% of coffee and 44% of West European biscuits were sustainably sourced. The group also established third-party verification for the Cocoa Life program that will measure its impact on farmers and their communities. Mondelez Interanational has achieved its goal to have 100% of palm oil RSPO (Roundtable on Sustainable Palm Oil) - two years ahead of its 2015 commitment. It is also on target to reach its global goals to reduce greenhouse gases (GHG) and water use in manufacturing by 2015. In 2013, the snacking and beverage giant reduced water use by 11% and GHG emissions by 9%. Mondelez International has also exceeded its target to reduce manufacturing waste by 15% by 2015, having achieved a 46% reduction during 2013. However, further improvement is needed to reach the goal of reducing energy use in manufacturing by 15% by 2015.
Indeed, from the start of 2015, Mondelez International is moving to a region category-led operating model worldwide. This model has been successful in Europe and North America, and is now being implemented in Latin America, Asia Pacific and EEMEA (Eastern Europe, Middle East and Africa) to drive growth, streamline decision-making and accelerate speed to market. Snacking Powerhouse Having been created in October 2012 after being separated from Kraft Foods’ North American grocery business, Mondelez International is now in the process of spinning off its coffee business. The coffee portfolio will be combined with DE Master Blenders 1753 to create the world’s leading pure-play coffee company with revenues of $7 billion (Eur5 billion). The new joint venture, Jacobs Douwe Egberts, will be FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
armed with some of the world’s top coffee brands, such as Jacobs, Carte Noire, Gevalia, Kenco, Tassimo and Millicano from Mondelez International, and Douwe Egberts, L'OR, Pilao and Senseo from DE Master Blenders 1753. The new company will hold leading positions in more than two dozen countries and have a strong emerging markets presence in the $81 billion global coffee category. However, the proposed merger is now the subject of an in-depth investigation by the European Union antitrust regulators over concerns that it may reduce competition. A decision on the deal is due by May 6 2015. Assuming the disposal of its coffee operations goes ahead, a streamlined Mondelez International will remain a world leader in chocolate, biscuits, gum and candy with its seven billion-dollar brands - Cadbury, Cadbury Dairy Milk and Milka chocolate, LU, Nabisco and Oreo biscuits, and Trident gum. It will have 2013 pro forma revenues of $31 billion with 85% generated from snacks (including 37% from biscuits, 31% from chocolate and 16% from gum and candy). J
DT&G Ltd – 50 Years of Excellence Looks to a Sustainable Future With Corporate Responsibility T&G Ltd manufactures ‘Finn’ Chocolate many more centres in milk, white, dark energy management, so reducing consumpD Coaters and Polishers at its factory in chocolate and yoghurt. tion and carbon footprints, will ultimately Birkenhead on Merseyside, Great Britain. The company has over 50 years of experience in the design, manufacture and supply of confectionery equipment, and in delivering client success. Indeed, the Finn brand name has come to represent the very highest standards in the coating and polishing of chocolate Dragees, bite sized forms of confectionery that have hard outer shells. Today with hundreds of ‘Finn’ Belt Coaters and Polishers in reliable daily operation globally, DT & G Ltd continues to set the standards in belt coating and polishing technology, increasing production and lowering the man hours from panning environments, putting emphasis on quality production and economical strategy to increase profitability. Finn technology is used globally to chocolate coat almonds, biscuits, brazil nuts, coffee beans, freeze dried products, peanuts, ginger, hazlenuts, maltballs, raisins, seeds and
Liverpool John Moores University Low Carbon Innovation Hub is currently working in partnership with the company to increase sustainability and improve and innovate technology. The focus is to deliver flawless pro-
duction overcoming climate and utility issues, employing a strong corporate strategy to important manufacturers. Investing in research and development to achieve business engagement and change in
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
bring about economic and environmental benefits for businesses and communities and achieve parameters for commercial energy management practice to allow the full production and benefit of advanced engineering. Highly developed recipe automation programming and control achieve ultimate performance. DT&G Ltd has blue chip design, support and supply companies working with clients. DT&G Ltd’s manufacturing and engineering technology meets the most stringent of Food Safety Standards utilising Hygiene Clean Build Technology (HCBT). Other advances include the option for vulcanised triple lip seal and high temperature seal Bearing Units allowing the most intense cleaning. DT&G Ltd ‘Finn’ is proud to supply leading confectioners and be part of the ethics and business culture they promote in a sustainable global community. J
World Class Lean Manufacturing System Optimises Factory Floor Profitability Achieve Performance Optimisation using Harford’s 5 Why: Why? You want Highest Sustainable Production Efficiency Why? You ask us to Automate Line Set-Up to minimise Operator Error Why? You want to Reduce Giveaway and cut down Wastage Why? You ask us to improve Quality Consistency at no extra cost Why? You want us to eliminate your Factory Floor Paperwork Our many Harford users will already know how good this can be. Current non-Harford users have a great opportunity to make us prove our claims.
Best of all, Harford implementation requires No New Money Far more than the investment needed is already being spent within non-optimised processes. Our holistic factory floor integrated solution ensures that you get the very best from what you’ve got. Even if you are already doing some or most of these things, we’ll help you do them more cost effectively, without paper, to improve your bottom line.
Call us today to find out more - it could be the most cost effective phone call you make in 2015.
Tel: +(44) 01225 764461 email@example.com www.harfordcontrol.com
I LEAN MANUFACTURING
Anuga FoodTec 2015 â€“ March 24-27, Cologne â€“ The Challenge of Automation he digitisation of production has set in T motion a comprehensive change in automation that many experts already refer to as the fourth industrial revolution. Where today's food industry plants are centrally controlled, future cyber-physical systems will take command and organize production themselves. Anuga FoodTec visitors can experience how real the convergence of production and enterprise IT already is and the challenges involved for automation between March 24 and 27 2015 in Cologne. Industry 4.0 will be the buzzword in many booths of this international trade fair for food and beverage industry suppliers. Almost 200 companies of more than 1,400 Anuga FoodTec 2015 exhibitors will present solutions in the field of automation at the fair. These include, for example, industry giants such as Siemens, Rockwell, B & R, Endress + Hauser, Festo, Mitsubishi or CSB, but also many small and medium-sized companies with special solutions.
production becomes more flexible and more efficient, machines and products need to communicate with each other like in a social network. The factory of the future will be intelligent and networked. Machines and workpieces mutate into Building Blocks on the Way to Reality
cyber-physical systems that organize production themselves, thanks to sensors, actuators, and small embedded computers across company boundaries. One example of the change in the mindset is robotics. While industrial robots still perform their tasks behind safety barriers, lightweight robots will soon assist humans without a fence and rigid controls. Let Machines Issue Commands
After mechanization with steam power, mass production on assembly lines and digitisation, the fourth industrial revolution is upon us: Industry 4.0. To ensure that
Equipment that is self-organizing is at the heart of Industry 4.0. Its core consists of mechatronic production units - the cyberphysical systems (CPS). For Prof. Dr. Wolfgang Wahlster of the German Center for Artificial Intelligence, the departure from the centrally controlled systems prevalent today is so radical that he speaks of a fourth Industrial Revolution. Others, such as Prof. Dr. Dieter Wegener from Siemens, don't see the Internet of Things as a Big Bang, but as an evolution that will move step by step from vision to reality. On the way to this goal, today's automation specialists are working on practical things for everyday use. Such as image processing technology. It can be used to sort muffins according to their browning level or measure salami slices in three dimensions to then permit an optimum stack height of the slices in the packaging.
The autonomously functioning food factory still lies in the distant future. But the advent and popularity of internet technologies and their associated networked machines cannot be halted. The Internet Protocol IPv6 has laid the foundation for the "Internet of things," where every object could theoretically receive its own IP address. However, Industry 4.0 means much more than providing machines with IP addresses. It's about the convergence of production and enterprise IT, the synchronization of industrial processes, and decisions which the machines autonomously make in real time. Its theoretical foundation is the assumption of an adaptable production which - according to the vision - is freely negotiated between the workpieces and machines. In the future, autonomous shuttles will inquire directly at the silos whether any raw materials are still available. When their contents start to dwindle, they will automatically order more from the inventory management system. FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
The down-to-earth part of Industry 4.0 is already a reality: communication from machine to machine (M2M). M2M is about monitoring, controlling and documenting processes. Even today, plant engineers augment food processing machines with sensors, meters and radio modules. Their data not only help to monitor production and save energy. They also warn of any pump or motor failure. Because the entire batch must often be discarded when a machine breaks down without notice - and that's expensive. Insights into the Digital Cookbook
The dream of the smart factory is accompa-
nied by a revolution in production technology. This goes so far that producers are beginning to start thinking about lot size 1 production again. Researchers all over the world are working on bringing the threedimensional printing process known as Rapid Prototyping onto a level suitable for food production. According to media reports, the Italian food manufacturer Barilla is working on dough cartridges that restaurants can use to produce custom pasta for their guests - freshly pressed rather than cooked fresh. The European research project "PERFORMANCE" indicates the direction we are heading in. Their goal is custom foods adapted to the needs of consumers who have difficulty swallowing. In early June, Weihenstephan-Triesdorf University unveiled the first 3D printing process for the food industry. Conceivable are foods that take advantage of new raw material sources for carbohydrates, fats and proteins. At least this is what Modern Meadow's digital cookbook portends. This US company employs bioprinting to produce meat products that are ethically defensible and cli-
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
mate-friendly. Future-oriented topics are also addressed in Anuga FoodTec's professional program. The DLG will thus address topical issues in 27 short specialist forums. This also includes technologies that are at the threshold of research/development and implementation in industrial practice. For example, the implementation of electronic noses and tongues, the subject Industry 4.0, or visions of future uses of plasma technology and ultrasonic equipment, or the subject of 3D printers. Anuga FoodTec is jointly organised by Koelnmesse GmbH and the German Agricultural Society (DLG). J
I LEAN MANUFACTURING
World Class Lean Manufacturing – When OEE Is Not Enough By Roy Green, Harford Control Ltd here is a lot of airtime given to World T Class Lean Manufacturing, much of which might give the impression that it’s a whole lot easier than it really is - ‘Surely all you need to do is bring in the consultants or install an OEE system, or both, and the job’s done isn’t it?’ If only it were that simple everyone who has had the consultants in or bought a new OEE system would already be in the World Class Lean category. Sadly, whilst there is a lot of money spent in continuous improvement, OEE and TPM, evidence that such investments have led to sustained Lean Manufacturing can be hard to find. The Valley of Death
Don’t get me wrong, I’m not knocking consultants or manufacturers of OEE systems. There are some really good consultants and some good OEE systems but so often the consultants do a great job whilst on site but, when they leave, the improvements are often not sustained and, at worst, drop into ‘The Valley of Death’ creating the need for yet more consultancy. We call this ‘consultancy dependence’. Not All OEE Systems Are the Same
Similarly, not all OEE systems are the same. Most systems have some pretty
impressive graphical displays but lack the granularity to drill down to the root cause, essential for performance improvement. Even the best OEE systems are not enough. Most companies now recognise, even if they are not yet using it, that OEE is a very useful world standard to drive performance improvement and some companies’ gains have been impressive, but generally speaking the actual gains fall a long way short of expectations. Why? As OEE percentage is derived from the multiplication of Availability, Performance and Quality metrics, it can be a force for good as a unifier, bringing together departments involved in purchasing, planning, production, quality and engineering. Though OEE has been around for more than 50 years, since its introduction by Seiichi Nakajima, it is still easy to fudge the end result making OEE look better than it is. For example: adding extra people to the line; artificially lowering the filler strike rate; leaving out product changeover or planned maintenance times; leaving out lunch and tea breaks; failing to include quality rejects or batch rejection. True OEE requires that all these be left in the calculations, simply because when taken out, there’s no incentive to reduce the omitted time periods.
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
OEE is Only One Metric
Even when done well, OEE is still only one composite metric, but it’s by no means a panacea as it doesn’t include, for example, such vitally important metrics as labour or materials utilisation, both of which are essential for lean manufacturing. After all, manufacturing is basically a conversion process whereby raw materials are delivered in order to make and dispatch consistently high quality products as quickly as possible. Though some of these processes might be quite simple, most are increasingly complex, especially within food and drink manufacturing, where producers are driven (often by supermarket demands) towards an increased product portfolio, total compliance, shorter batch runs, special offers, more frequent changeovers, short delivery times and tightly controlled delivery windows. Failure to meet any one of these objectives can radically increase costs, cause 19
batch rejection for non-compliance and even incur fines. Retailer Price Wars
But supermarkets don’t want (can’t afford) to pay more for these increased demands, especially with the new round of price wars between the ‘big four’and the discounters. All manufacturers however will be only too aware that they are often forced to accept, higher prices for raw materials, energy usage and labour. Inward Focus on Performance Improvement
So how can producers meet these demands and still show a profit or even increase profits? Through recognising that they have only two things that all their controls and improvements can affect: raw materials (including energy usage) and labour utilisation so, in addition to the much heralded OEE, they will need at least to report upon ‘units per man/hour produced’ ‘packs per litre/kilogram’, overfilling and overproduction; comparing these with predetermined target levels and even raising those targets from time to time. This can only be achieved through a more holistic inward focus geared to achieving total compliance but at reduced conversion cost, including; automated coding and labelling compliance, automated line set-up, automated short interval con-
trol, quality assurance, materials and labour utilisation, all in real time without paper, but still with instant visibility, analysis, prioritisation and distribution of information to those who most need it. Ease of traceability to prove due diligence on demand and for trending, is also important as unannounced audits are becoming increasingly commonplace. High visibility of current production status, integrated and automatically generated to maintain objectivity, is
essential to drive and sustain consistently high performance. Many of our users have already increased profits, by significantly more than expected, through such internal focus and instant visibility, even without increasing sales turnover. To find out more, and even arrange a free on site evaluation of how we could help you meet your objectives, call Harford Control on +44 (0)1225 764461. J
Leading Lean Improvement Teams ust as the performance of sports teams J owes much to the competence of the team coach, experience shows that delivering gains from Lean Manufacturing also depends on the skills of the Lean coach. Traditional lean training skips over the essential lean team leadership principles, techniques and underpinning processes needed to deliver lasting gains and outstanding performance. That can mean that despite
having a good understanding of Lean techniques such as Visual Management, 5S or Value Stream Mapping, these powerful levers for improvement have a limited impact on bottom line results. They survive only through regular re launching of lean initiatives. The evidence of this are lean programmes that create pockets of improvement, visual management window dressing or 5S audits that fail to deliver a better way of working. Two new training workshops for 2015 fill this gap to harness the potential of lean teams as a vehicle to deliver year on year improvement. Lean Improvement Coach covers how to transform the shop floor reality through front line teams. Over 3 days participants learn how to help operational improvement leaders engage the organisation with Lean break out of the current state FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
and engage their direct reports in the delivery of a proactive improvement culture. Manufacturing Project Management covers the engagement of cross functional teams with sharing knowledge and collaborating to deliver lasting gains from projects such as new assets, IT systems or products and services. As with all DAK courses this includes development of a practical 100 day plan to support the transfer of lessons learned to the workplace. For further details, contact firstname.lastname@example.org or call +44 1491 845504. Visit www.dakacademy.com to view all DAK courses and download course brochures. J
I LEAN MANUFACTURING
Operational Excellence - The Key to Sustainable Competitive Advantage and Profitability n today’s highly competitive market many lined operation can drive sustainable competiIsure manufacturing plants are under intense pres- tive advantage and deliver benefits straight to to produce high quality product and the bottom line.
Manufacturing Intelligence From QiSOFT
deliver exceptional service, at lower costs and without sacrificing customer value. But with rising raw material prices and ever demanding customers this can be a daunting challenge.
This requires a fact-based understanding of operational performance, where IT plays a vital strategic role. Creating an operationally driven IT architecture based on integrated software solutions can unify operations and create visibility and transparency across the enterprise. The More Data We Understand - The More Answers We Find
The key is to focus on the ‘right things’ that provide differentiated value to customers and help deliver continuous improvement over the long term. A highly efficient and stream-
There is a growing need for tools that enable both management and operators alike to collect, connect, analyse and act on all the realtime time manufacturing data available. Value is provided through tools that visualise the data, in ways it can be readily understood, then delivered to where it can support decision making and ultimately drive continuous improvement.
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
For over 25 years QiSOFT has been working with customers across various industries in their drive for product and process excellence. Leading food manufacturers across the world trust in QIS to ensure and certify the quality of key brands and identify opportunities to save money across their operations. QIS is delivered in an out-of-the box, integrated suite allowing customers to analyse quality data, machine behaviour and raw material performance in real-time and instantly translate this into actionable quality and process improvements. By pre-empting quality failures and improving process capability in real-time, QIS’s unique software helps customers protect their profit by reducing waste, rework, downtime and raw material costs. J
I LEAN MANUFACTURING
Zero Loss Manufacturing By John Tobin, CEO of Orbis MES anufacturing processes at their most M basic involve the input of raw materials and energy, processing and the creation of finished product. In theory this should be a bound and lossless system with mass, volume and energy balances but in practice losses do occur at almost every stage of the process. It’s as if a hidden or shadow factory operates to prevent ZLM. The intrinsic losses that occur are below the surface, typically hidden and are multifaceted:
gy, product and capacity losses are enormous and an essential part of any lean manufacturing program.
Mass Balance Yield Accounting Loss Monitoring Dashboards
Orbis MES adopts a 4 step approach for ZLM as follows: 1. Measure Losses 2. Identify Root Causes 3. Eliminate Root Causes 4. Sustain performance. Measurement
As product flows through the process from stage to stage we continuously measure in real time everything about that product including where it came from (Transfers), how it was processed (Batch Records), its quality characteristics (Batch Records), the equipment used (Unit Records), The Energy consumed (Utility Records) etc. This information is stored in a large Database called the Operational Data Store.
Product Losses Performance Losses Capacity Losses Quality Losses Availability Losses Capability Losses Energy Losses Yield Losses Orbis MES provides solutions and technology to enable our customers to tackle losses and target Zero Loss Manufacturing with the resultant improvement in performance and repeatable excellence.
• • • •
1. 2. 3. 4. 5. 6. 7. 8.
Elimination of losses involves dealing with the big offenders and low hanging fruit on the 1st pass and thereafter consistently pursuing smaller and smaller causes while tending towards ZLM. Frequently elimination of root causes will require process changes or changes in operational tactics but fundamental to any change is the ability to benchmark before and after the change. Sustain
Having implemented changes it is imperative to lock in the new gains and the changes as part of the standard operating conditions. Orbis has developed a module which allows process manufactures to define a set of ZLM KPI’s. These KPI’s are mapped in dashboards and provide multiple levels of abstraction from unit to process to Plant to Site. These KPI’s are designed to embed ZLM performance measures at all levels within the organization and they provide a set of tramlines to guide the operation.
We then use a suite of analytics to operate on the data sets within the Data Store to identify areas where losses are occurring. These analytics include: • Trends • Graphs • Track & Trace • OEE • KPI
Using these KPI’s it is possible to apply SPC and Statistical techniques to provide Look Forward Analytics and predict under or poor performance before it actually happens. J
This is a worthwhile exercise as the savings to be made through reduction in enerFOOD & DRINK BUSINESS EUROPE, JANUARY 2015
Arla Foods UK Embarks on the Next Phase of its Development aving invested over £650 million in its H UK business since 2007 to create a solid operational platform, including its
ty’s waste management and energy efficiency regime.
merger with Milk Link, opening the world’s largest fresh milk facility at Aylesbury and building a much improved supply chain, Arla Foods is now embarking on the next stage of its development to add value and bring innovation to the UK dairy sector as well as meet future competition in what remains a challenging trading environment. Arla Foods UK now plans to further tighten its organisation through a restructure so that it can further invest in its commercial and marketing areas as well as become more agile, efficient and competitive. The UK’s largest dairy company is proposing to cut its workforce by about 100 people. Peter Giortz-Carlsen, executive vice president of Arla Foods UK, says: “I know that there are many more opportunities open for us to drive dairy further and that we can make it even more exciting for our customers and consumers. The changes that we have announced will enable us to dialup our innovation and use the inherent healthy credentials that dairy has to offer.”
Arla Foods UK has ambitious plans for 2015 including further investment in the Arla brand and launching a range of new products in both current and new categories. The plans will leave the company “better placed to remain the strongest and best performing dairy company in the future,” he adds. In line with its co-operative philosophy of delivering the highest possible returns
Peter Giortz-Carlsen, executive vice president of Arla Foods UK.
to its farmers, Arla Foods UK has invested £150 million to establish a new one billion litres fresh milk dairy at Aylesbury, near London, which is the most efficient, fresh milk processing facility of its kind in the world. Opened last year, the new dairy is the first zero carbon milk processing facility in the world and incorporates the most advanced process and renewable energy technologies. It is designed to support Arla’s ambitious UK growth strategy by providing milk to retailers across the South East of England. The entire production process, incorporating milk intake and storage, pasteurization, making the bottles on site, packaging and refrigeration prior to dispatch, has been optimized to minimise energy use. Water usage at the plant – a litre of water is normally required to process a litre of milk – has been reduced through the introduction of rainwater harvesting and water reclamation to significantly raise water efficiency well above the industrial average. Anaerobic digestion (AD) and combined heat and power (CHP) technologies are key features of the new facili-
In addition to setting new standards of efficiency in milk processing and renewable energy technology, Arla Foods UK is also leading the way in sustainability, particularly in regard to optimising both its packaging and the performance of its transport and logistics activities. Arla Foods Foods UK has been steadily reducing the amount of plastic in its packaging. Packaging – Arla Foods UK uses around 800 million plastic bottles every year – is responsible for approximately 30% of the total annual CO2 emissions of the business. Arla Foods UK has also been minimizing fuel consumption and optimizing the performance of its transport and logistics activities. For example, it has developed a
trailer that incorporates a raw milk tanker along with a refrigerated section for carrying finished dairy products. This allows finished products to be distributed by the vehicle which can then collect milk on the return journey to the dairy. J
Helping to Drive Arla’s Impressive Lean Performance Improvement Processes SUSTAINABLY! Selected Champion Providers of Lean/Food Manufacturing Excellence for
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
I LEAN MANUFACTURING
Immediate, Quantifiable, Bottom Line Savings With Idhammar OEE, CMMS and World Class Manufacturing Systems verall Equipment Effectiveness (OEE) is O a powerful industry standard measure that multiplies plant availability, performance and output quality, to identify all inefficiencies in your production process. Idhammar OEE enables drill down analysis to quantify even the smallest opportunities to help you make every second count, steer operational improvement agendas and ensure your resources are effectively deployed.
Leading food and drink manufacturers, from Chivas Brothers and Premier Foods to British Bakeries and 2 Sisters Food group, are already driving financial benefits using Idhammar OEE. Karen Hurst, Operational Business Systems Manager at 2 Sisters Food Group, says: “Before using Idhammar OEE, it was very difficult to monitor line activity, however we now have scientific evidence to show
exactly how the line is performing, rather than anecdo¬tal educated guesses. With the Idhammar OEE system, I am able to produce analyses which will prove vital for future strategy and production choices.” For further information contact Idhammer on Tel +44 (0)117 920 9400, E-mail email@example.com or visit www.idhammarsystems.com. J
New Service to Reduce Environmental Impact etra Pak has launched a new Environmental T Benchmarking Service to help food and beverage companies assess the environmental performance of their production operations, and to identify opportunities for improvement. The service provides an audit of the entire plant, including both the processing and packaging lines, assessing performance in areas such as water efficiency, waste water treatment, ener-
gy efficiency, product yield and waste, and carbon footprint. Based on this audit, the Tetra Pak Technical Service team will then provide specific recommendations on opportunities for improvement, helping customers not only to reduce their environmental impact, but also to lower cost. Pilot projects have been carried out in the US and in Europe, delivering average costs savings of around 20%. J
Sustainable, Results Driven Training QM Training & Consultancy Ltd have been established for C over 20 years and have earned a reputation for delivering enhanced performance from their Lean Continuous Improvement process and Management Development programmes – CQM Training & Consultancy absolutely guarantee it! Thorntons recently partly attributed their impressive 60% increase in profits to CQM T&C’s development of their operations teams – just one of many success stories in food manufacturing. Offering innovative bespoke training and development, CQM T&C’s tailored programmes respond directly to the needs of your workforce and business. CQM T&C take time to understand and analyse your current KPIs to ensure they accurately measure and achieve the improvements you are looking for. Everyone involved in the training will produce and implement improvement projects within the workplace linking directly back to EBITDA, hence CQM T&C’s guarantee. CQM T&C’s sustainable approaches to training and consultancy will be embedded across your workforce bringing real behavioural changes that are locked in long-term, not simply ill conceived interim measures that have no lasting benefit. Speak to CQM T&C today and discover how they can improve your business performance. Email CQM T&C’s MD if you want to know more Peter.firstname.lastname@example.org. Visit www.cqmltd.co.uk to read more impressive client case studies and CQM T&C’s current news stories. J FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
I COMPRESSED AIR
Energy Efficient Food Grade Compressed Air From Kerr Compressor Engineers nergy Efficiency in compressed air is often E discussed in terms of the Compressor, and is generally overlooked when considering the Ancillary Equipment. However, with the Food & Drink Industry the quality of the air is a major consideration, and it is essential that this is met to the correct standard efficiently. There are many options available in the market place for Filtration & Drying equipment. Kerr Compressor Engineers (EK) Ltd recommend the use of Parker Domnick Hunter ‘Evolution’ Filtration & Parker Hiross Antares Twin Technology Air Dryers. The ‘Evolution’ style filtration is designed
to minimise pressure drop in the air system whilst ensuring optimum filtration is achieved during the course of the elements life. Yearly changes of the element ensures the system operates efficiently at all times. Additionally, the ‘Oil Vapour Removal’ units are ideal for the complete removal of Oil Vapour to less than 0.003 mg/m3 which exceeds the guidelines as recommended by the BRC. Utilising Cartridges filled with Carbon as opposed to loose carbon, they are cleaner and easier to maintain and as such require less downtime to change. However it is Compressed Air Drying equipment which holds the major key to Energy Efficiency for the Ancillary
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
Equipment. Parker Hiross have recently introduced the Antares Twin Technology Dryer unit. This dryer is a combination of a Refrigerant & Desiccant Dryer contained within One Package. As a result of its unique packaging and design, the desiccant dryer unit has a reduced operating cost compared with Heat-Less Desiccant Dryers. With a reduction of purge air requirements of more than 12% and only a small external heater, payback of less than Two Years is easily achieved in all cases. For further information on how to improve your Compressed Air Ancillary Equipment Efficiency and meet Food & Drink Quality Standards, please visit www.kerrcompressors.co.uk. J
I COMPRESSED AIR
Atlas Copco’s Advanced SF Range Provides Oil-free Air From a Compact Unit tlas Copco has updated its SF compact, A oil-free scroll compressors. The new SF Mono 1-6 and SF+ 2-6 ranges are complete compressor packages that unite the element, drive motor, aftercooler and starter in a super silent acoustic enclosure to provide 100% oil-free air for critical applications such as R&D laboratories, hospitals, and food and beverage manufacturing. The distinguishing feature of these new compressors is the near silent operation – the slow speed of the air-cooled scroll compression elements ensures that the SF compressors are exceptionally quiet, enabling units to be installed close to the point of
use. This proximity helps minimise the size of the air distribution system, reducing pressure loss and any potential for leakage. The new SF Mono features a ‘cool canopy’, designed for optimal ventilation and sound insulation - down to 53 dB(A). It provides more breathing space for core components and better cooling flow, which results in lower outlet and element temperatures for improved operational lifetime. Other major features include a totally enclosed air-cooled IP55 Class F insulated motor, complying with IE3 premium efficiency standards and capable of coping with the harshest of operational conditions.
The air circuit comprises an oversized cooler for improved performance, aluminium pipework and a vertically oversized check valve to ensure a reliable delivery of high quality compressed air. Unloaded power consumption is eliminated thanks to the simple automatic stop that operates when the required working pressure is reached, thereby avoiding unnecessary energy costs. For further information visit www.atlascopco.co.uk. J
I PRODUCT PROTECTION New Sensors For the Nairns Oatcakes Installs METPOINT® Measurement Technology Second Loma Combination Checkweigher and Metal easurement technology makes M the purity of compressed air visible and points out the optimisaDetection System tion potentials in the system. The measurement instrumentation from BEKO TECHNOLOGIES provides a reliable data base for the assessment and assurance of the compressed-air quality and for the identification of hidden cost drivers. The METPOINT sensor technology continuously records all the relevant parameters at the critical control points of compressed air – reliably and precisely - in order to implement energy management, for example in accordance with ISO 50001, or to meet the demanding HACCP or GMP requirements. The METPOINT PRM detects the relative pressure (gauge pressure) in gaseous media and transforms this pressure into a linear output signal. The pressure transmitter with a precise, long-term stable stainless steel thin-film sensor technology boasts high measuring accuracy (< 0,5% pu) and a high burst pressure. The stationary dew point transmitter with a polymer sensor measures the temperature, relative humidity, and dew point, and is dew resistant. Its application focus lies between -60 and 40 C tdf. The determined data can optionally be indicated on a display and stored in a data logger. J
hen quality manufacturer of oatcakes and oat biscuits, Nairns W Oatcakes, needed to further increase the capacity of its latest stateof-the-art production line, while continuing to ensure high levels of product protection and brand integrity, it chose a second, well proven CW3 Combination Checkweigher and Metal Detection unit from Loma Systems. Edinburgh-based Nairns Oatcakes recently commissioned a new, fully automated line dedicated to the production of its popular oat biscuit products. Prior to this, the company had introduced cutting edge robotics into its cartoning and case packing areas to boost capacity of its oatcakes. At the same time, it also invested in a first Loma CW3 Combination Checkweigher and Metal detector to help link these now highly efficient functions. Nairns Oatcakes’ Gavin Love comments: “Nairns Oatcakes continues to expand rapidly. As a result, it is vital that we only use best of breed packaging and processing equipment geared to improving production efficiencies and boosting capacity. Ensuring high levels of product protection and brand integrity is especially important to us and the first Loma CW3 Combination Checkweigher and Metal Detection system more than met these requirements. It made perfect business sense to choose the same model for our new production line.” J
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
I MIXING & BLENDING
Admix – Your Sanitary Mixing Technology Partner ince 1989, Admix has been recognized as S a leader in Advanced Mixing Technologies for high performance, high efficiency sanitary mixing systems and for its commitment to innovation and high quality.
Mixing is at the heart of the food and beverage industries and is crucial to every production facility. From stirring cream in to the first coffee in the morning to the “last call” for blended frozen bar drinks at night, it is difficult to find a beverage that does not employ mixing. The same is true for a majority of prepared food products. Almost every processing plant has a “dry” room where large quantities of powders are handled every day. Processors are continually looking for new ways to incorporate and mix these powders into their food & beverage products. Let Admix Customize a Solution That's Right For You
Admix understands your mixing application and provides you with the best solutions to your toughest mixing challenges. Admix has the field service experience to assist you with
your formulation, improve productivity, and lower formulation costs with its high performance mixing equipment. Admix’s applications and ingredient experience has led the company to develop a diverse product line to meet any mixing challenge — with a special focus on adding powders into liquid. Admix offers a full range of products for bottom mount dispersing and emulsifying, inline mixing and milling, powder conveying and induction, as well as in-tank batch processing. Admix specializes in the manufacture of sanitary high shear mixers, high shear emulsifiers, inline emulsifiers and wet mills, sanitary static mixers and blenders, low speed stainless batch mixers and vacuum conveying and powder delivery mix stations.
up process formulas. Schedule a demonstration of your mixing application and let Admix work out solutions to your toughest mixing challenges. Each application receives personal attention from an experienced engineer, a creative design staff, and Admix’s quality-conscious production team to ensure absolute customer satisfaction and includes Admix’s process assurance. In-Plant Trial
An in-plant trial is the ultimate opportunity for you to witness first-hand the superior mixing, milling and powder induction capa-
Commitment to Quality
Admix has put safety and cleanliness first in all its designs for over 25 years. Admix guarantees that its products are designed to meet or exceed the newest and toughest hygienic and safety standards for the industry. Its equipment conforms to the legal stipulations regarding health and safety, product labeling, product traceability, and good manufacturing practices of the Directive (EC) 1935/2004 of the European Parliament. The Admix Advantage
Food and Beverage ingredients have become more challenging with the increase of sport, nutraceutical and other "health" products. These products are difficult to produce economically using conventional mixing technology. That’s where Admix can help. It is Admix's mission to improve your production capabilities with more effective mixing, reduced horsepower and optimized capital costs. Admix strives to provide all customers with a payback of one year or less through the use of new technologies that will outperform your current equipment. Put Admix’s Lab to the Test
Partnering with Admix provides customers complete access to the company’s fully equipped pilot lab. The Admix Lab and Pilot Plant offer a variety of mixers and tanks to test samples for customers and to demonstrate Admix’s comprehensive scaleFOOD & DRINK BUSINESS EUROPE, JANUARY 2015
bilities of Admix sanitary stainless equipment on your own products. Admix’s comprehensive trial program offers a full range of equipment for you to utilize in your plant on your products. With Admix’s standard trial agreement, Admix will ship the equipment to your facility for 14-days and you can run as many tests on as many formulations as you want. Employee Owned, Customer Focused
Admix is proud to be a shared ownership company. Admix is confident that when you communicate with any of its employee owners, you will sense the commitment to ensure that your experience will be positive and truly beyond your expectations. For further information contact Admix, Inc – Europe - Hejrevang 21A, 3450 Allerod, Denmark, Tel +45 3213 8743, Email email@example.com or visit www.admix.com. J 29
I MIXING & BLENDING
Vacuum and Under Pressure Mixing By Alain Lebail, Professor at ONIRIS, & José Cheio, VMI R&D Manager MI has been working in collaboration V with the Agrofood College ONIRIS to develop dough reduced in salt, sugar and saturated fat. The concept of the project is rather process oriented than in the simple substitution of ingredient. This study showed that the cohesiveness and rheological properties of dough can be adjusted by controlling the gas pressure which interacts with oxygen consumption during mixing. Experiments have been carried out in a VMI prototype spiral mixer with pressure
and vacuum control. During mixing, gas is entrained and also disentrained out of the dough. Models developed by Chin and al. (2004) permit to model these phenomena and to predict the final dough aeration when pressure changes are applied during
mixing Two fields of application have been covered; pizza dough (non yeasted) with the objective of having no dough aeration and sliced bread. In the case of sliced bread, an experimental design has been used to assess the impact of pressure change during mixing on dough aeration and final bread volumeshowing the importance of controlling the timing of pressure change during mixing. For further information visit www.vmimixer.com. J
Industrial Mixers and Blenders For the Process Industry ased at Bellshill in Scotland, Morton B Mixers & Blenders has been a leading supplier of industrial mixers and blending technology since 1859. The strength of Morton Mixers & Blenders is its commitment to the core business of developing the technology and design to apply to its mixers and blenders to solve customers’ problems. Morton has gained a reputation for manufacturing equipment of quality and reliability. Whether you mix powders, pastes, creams, doughs, batters, slurries, sludges or granules, Morton can supply the mixer or blender designed to match your application. All mixers are manufactured to comply with ISO 9001:2008 Quality Standard. Morton Mixers & Blenders can also offer a full range of used and reconditioned mix-
ers with units offered at competitive prices. Morton Mixers & Blenders can offer customers the use of Test Facilities for test work using any of the machine types manufactured such as: Multi-Mixers, Ribbon Blenders, Duplex Mixers (Z-Blades), Gridlaps, Air Pressure Whisks, Batter Whisks and Mixer Granulators. All aspects of test work are carefully monitored and recorded in order that the customer’s process can be scaled up to the required production machine. As many customer products are new or in development, complete confidentiality is guaranteed by Morton Mixers & Blenders. Where it is essential that test work takes place on the customer’s premises, machines can be supplied for on-site test work with the assistance of Morton Mixers &
Blenders’ experienced personnel. For further information contact Morton Mixers & Blenders, Grovewood Business Centre, Strathclyde Business Park, Bellshill ML4 3NQ, Scotland, Tel +44 (0)845 2770939, Fax +44 (0)845 2770949 or visit www.morton-mixers.co.uk. J
I INFANT FORMULA
GEA Builds New Dairy Powder Plant EA Process Engineering in New G Zealand has built a complete process plant for infant formula and goat milk pow-
der for its long-term customer Dairy Goat Co-operative (DGC) in Hamilton. Working closely with DGC, GEA has used its experience in plant design to develop a highly innovative plant that provides multiple benefits including: improved product quality, reduced energy costs and reduced water consumption. GEA has been a long-term partner with the Dairy Goat Co-operative since 2003 when it built the company’s original infant formula drying plant in Hamilton. The fundamental understanding of the company and its processes has helped GEA take a highly innovative, tailored approach to the design of Dryer 2. Despite the challenges of FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
a tailored design, the project was completed in under 12 months. The DGC plant produces 2.3 tonnes of highly formulated infant formula, and 2.7 tonnes of formulated base powders and goat milk powder per hour. The process includes milk reception from farms in New Zealand’s central North Island followed by heat treatment, separation and dosing of vegetable oils, powders, vitamins and minerals; concentration using falling film evaporators; spray drying; and packing into bulk bins and, once quality is assessed, packing into retail cans. The system also filters exhaust air to remove particles before releasing it into the environment. J
I WIRELESS TEMPERATURE MONITORING
When Temperature Matters – TME’s MM7000 ThermoBar Scan ood and drink manufacturers looking for the latest wireless temF perature monitoring technology for the best value should consider taking a look at TME’s MM7000 ThermoBar Scan. UK manufacturer TM Electronics (TME) developed the MM7000, a handheld thermometer with inbuilt Barcode Reader, to deliver paperless, wireless temperature records at a fraction of the cost of a datalogging system. Harnessing the potential of barcode technology, the MM7000 allows manufacturers to keep track of the temperature, time and date of each test, as well as the unique identity of what has been tested. This function is paired with inbuilt Bluetooth technology to enable paperless, wireless downloads to PC, PDA or smartphone.
Thermo King Wins Temperature Controlled Storage & Distribution Award
The MM7000 includes a new visual alarm feature, indicating problem temperatures as soon as they occur, not after the event. The thermometer is highly accurate and compatible with TME’s 3-second response Thermasprint needle probes, so you can rely on a perfect reading – every time. “Combining barcode technology with high accuracy temperature testing is definitely the way forward,” argues, MD, Tom Sensier. “Among the many benefits for business and industry are improved flexibility, speed of measurement and data integrity.” For further information contact TME on Tel +44 (0) 1903 700 651, E-mail firstname.lastname@example.org or visit www.tmelectronics .co.uk. J
hermo King, a manufacturer of transport temperature control T solutions for a variety of mobile applications and a brand of Ingersoll Rand, won the 2014 Original Equipment Manufacturer (OEM) of the Year category at the recent Temperature Controlled Storage & Distribution (TCS&D) Awards. The TCS&D Awards reward excellence in the perishable supply chain. The awards recognized Thermo King for its leadership in the transport refrigeration industry, its wide range of products and services for a diverse customer base, and a robust, highly skilled mobile service support network. Stephen Williams, UK sales manager for Thermo King, says: “Thermo King takes its responsibility to help customers with challenges they face today seriously, such as delivering perishable cargo at the right temperature while in transport, reducing environmental impact, decreasing noise and increasing the efficiency and reliability of their operations. Thermo King is committed to helping its customers through these challenges, which I believe is one of the reasons we earned this award.” More than 75 years ago, Thermo King shaped the transport refrigeration industry with the development of the first successful mechanical transport refrigeration unit. Even though the industry has changed since, Thermo King continues to provide high-quality refrigerated transport solutions with low noise and exhaust emissions. Thermo King backs its customers with an unrivalled global network of certified dealer service technicians committed to keep them running and increase their uptime. A global system of more than 900 factory-authorized and certified sales and service centers is the most reliable and skilled dealer service network in the industry. J FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
EHEDG Publishes New Hygienic Building Guidelines For Food Production he European Hygienic Engineering & T Design Group (EHEDG) has released a new set of guidelines on hygienic design principles for food factories. In recent years, the focus on hygiene in buildings has accelerated. Examples of listeria and other bacteria spread through condensate, HVAC and drainage systems have made hygiene in buildings an essential issue in food safety. The new guidelines were created in a cooperation between the members of EHEDG. BLÜCHER, a manufacturer of stainless steel drainage systems, was part of the working group behind the new guidelines.
EHEDG is an organisation founded in 1989 with the aim to promote hygiene during the processing and packing of food products. The group is a consortium of equipment manufacturers, food industries, research institutes as well as public health authorities. The members of EHEDG work together to promote food safety by improving hygienic engineering and design in all I
aspects of food manufacture. Originally, the group focused its efforts on the improvement of hygiene in food processing equipment. However, in recent years, EHEDG has turned its attention to viewing the entire food production facility as a whole. The work on the new guidelines started in 2012 and the result is to be a tool for all parties involved in the design, construction and maintenance of food production facilities. By adhering to the hygienic design principles, food factories can guard themselves against a number of internal and external factors as well as provide security against contamination and contribute to the maintenance of hygienic conditions. Best practice in the facilities of some of the world’s leading brands have provided the basis for the guidelines. “Hygiene is essential in all aspects of the design of food production equipment and facilities,” says , Palle Madsbjerg, Key Account Manager at BLÜCHER. He was part of the working group behind the new guidelines. “We have taken part in the work
in EHEDG for years and share the knowledge of our product research to contribute to the group’s work,” Palle Madsbjerg adds. BLÜCHER’s client list includes a number of multinational companies and the company has contributed to the development of best practice in relation to their clients’ drainage systems. “Earlier the drain might not have been considered important in relation to hygiene. However, a poorly designed drain can harbour bacteria and be a source of contamination if it is not properly cleaned,” Palle Madsbjerg says. He continues: “In our view, the EHEDG guidelines contribute to HACCP by focusing on hygienic design. This tool gives the HACCP responsible a possibility to evaluate if the hygienic level is sufficient when changes and expansions are made in the food processing areas. So we are sure that the EHEDG guidelines will contribute to a better building hygiene in production facilities where drainage is essential.” The EHEDG guidelines are available to order as download via www.ehedg.org. J
SKF Food Grade Lubricants Enhance Safety and Reliability KF has launched a range of food grade S lubricants that may increase reliability and safety of applications in the food and beverage industry. The specially developed products are NSF/H1, Kosher and Halal approved. The food industry requires lubricants that not only offer standard lubricating properties to resist wear, friction, corrosion and oxidation but are also food grade, internationally approved and offer the ability to perform under the stringent conditions of the manufacturing environments. SKF’s expanded range of food grade lubricants has been specially developed to 32
perform reliably in the typical application conditions of the food and beverage industry and meet the needs of producers to provide safe products. “Good lubrication management practices are vital for our food and beverage customers,” says Jean Christophe Brossard, Global Manager, Food & Beverage Segment, SKF. “Lubrication influences efficiency of assets and energy consumption whilst inappropriate practices can impact food safety. Launching these lubricants is strengthening SKF's ability to support customers with food grade lubricants plant wide, in line with HACCP (Hazard FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
Analysis and Critical Control Point) processes. Combined with our lubrication systems, re-lubrication free solutions and lubrication management knowledge, this gives our customers many options for optimising lubrication management on site.” J
Protection For Food Processing n demanding food processing environments where constant Imaintaining pedestrian and vehicular traffic and equipment passes through, a hardworking and efficient factory is very important. One of the main elements in the food processing industry is the construction and protection of the building. Having inappropriate or non-existent protection to the facility can be very costly in the long term. With light and heavy equipment and machinery being moved throughout the premises there are occasional collisions into the walls, columns or doors ways, or in worst cases the operatives working in the factory. The constant wear of the factory will therefore significantly increase if there is not sufficient protection installed. The increase of wear and dents to a factoryâ€™s hygienic surfaces can lead to an increase in bacteria build-up in the processing rooms making the cleaning regime harder and possible product contamination occur. Recently, ASPEN Stainless has been working with a well-known food processing company by assisting with the construction of their new facility by manufacturing and installing wall kerb, low and high level bump rail and wall cladding from their durable, stainless steel product range. The stainless steel wall kerb was installed to assist the construction of the various processing and packaging rooms while low level bump rail sits firmly in front to protect the wall kerb and walls against moving vehicular traffic and equipment. In the food production areas, high level bump rail was installed to protect the walls and columns from the food racking trollies, which also doubled up as a storage location for the racking when it is not in use. Stainless steel 304/316 provides the ideal protection against constant impacts in hygienic conditions. The stainless steel surface has excellent cleanability and provides a maintenance free solution to any industry looking to improve their facilities. Aspen Stainless manufactures their full range of stainless steel products at their manufacturing site in Nottingham, UK and has their own installation teams working throughout the UK and internationally. ASPEN Stainless has their full product range available online at aspen.gb.com with full product technical data available to download. To discuss your stainless steel requirements for your food and drink environment, contact the technical sales team today - +44 (0)115 986 6321, email@example.com. J FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
HYGIENIC FLOORS & DRAINAGE SOLUTIONS
The Advantages of Resin Floors in Food and Beverage Facilities he durable, customisable and hygienic T properties of resin floors means that they can provide food and beverage facilities with a wide range of advantages that help site managers to optimise the working environment. A common attribute of all resin floors is that they create a seamless and impermeable surface. Combining this hygienic finish with stainless steel drainage is a highly effective way to minimise the risk of contami-
nants, such as bacteria, fungi, mould and mildew, collecting in hard to clean gaps or being absorbed into the surface. Instead the site’s cleaning regime is able to quickly and easily remove grime from the area. Food and beverage facilities also require a floor that is robust enough to cope with the rigours of a production environment, which could include heavy impacts, thermal shock, wear from frequent cleaning and exposure to harsh chemicals such as sanitizers, acids, lubricants and the foodstuffs themselves. Resin floors are available that can withstand the abusive conditions within the most intensive industrial settings. The monolithic nature of a resin floor also means that the concrete substrate will be protected from substances that would otherwise damage this crucial aspect of the building’s structure. To further enhance a facility’s hygienic
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
credentials, the owners of food production and processing sites can specify systems tailored to the specific needs of their environment. For example floors with an antimicrobial additive homogenously distributed throughout the resin matrix can be installed to provide a finish that will actively target bacteria. The safety of a plant can also be improved by installing an anti slip finish that enhances traction underfoot. This can be advantageous for many food and beverage sites where spillages and slippery floors are an unavoidable workplace hazard. To talk to a resin flooring expert about the benefits and practicalities of installing a resin floor, contact Flowcrete UK on 01270 753000. J
FLOORS, WALLS & CEILINGS
Durable Flooring for Pie Manufacturing n food production it is vital that the correct flooring is chosen for maximum safety and efficiency around the workplace. The main flooring Irequirements in the food industry are a balance of durability, cleanability and an anti-slip profile, which all contribute to a safe and hygienic environment. Recently John Lord was commissioned to manufacture and install a suitable anti-slip flooring system throughout a pie manufacturer’s facility. The processing and packaging facilities involved different cleaning regimes requiring some areas to become very wet while cleaning waste. Taking into consideration the food manufacturing process, John Lord decided the best flooring to use was their Uragard HT62W. The polyurethane resin floor was installed and then back-rolled creating a sufficient compromise between a high grade, anti-slip profile for safety under foot and the cleanability of the floor. A vibrant terracotta colour was the chosen resin colour range to help highlight dark waste food on the floor. The John Lord resin flooring product range is British manufactured and installed throughout the UK and internationally. In particular, the Uragard polyurethane resin flooring range is ideal for the food processing industry. Each product in the Uragard range has a different attribute offering a floor solution for any factory environment. In environments where meat, fat and grease is present, the most aggressive anti-slip grade floor is ideal and provides the vital safety under foot to all operatives in the area. In environments where dry processing and packaging is present, a lower grade of anti-slip is preferred improving cleanability times and providing excellent abrasion resistance for high volumes of pedestrian and vehicular traffic. John Lord takes a ‘Total Responsibility’ on every project involving their exclusive resin flooring range. From floor design, manufacture and substrate preparation, through to installation and after sales support, John Lord is committed to meeting your flooring requirements. For advice on the best flooring system for your business, contact the technical sales team today - +44 (0)161 764 4617, firstname.lastname@example.org, www.john-lord.com. J
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
HYGIENIC FLOORS & DRAINAGE SOLUTIONS
FloorTech® at the Forefront of Flooring Technology loorTech® specialise in Trazcon® F PMMA seamless resin flooring systems and are intimately familiar with the specific everyday challenges that the food and beverage industry is faced with. Being a HACCP Compliant company having served this industry for over 20 years, FloorTech® understands the paramount importance of hygiene, food safety regulations and litigation. They work closely with a panel of experts from Ireland’s food and beverage industry to continually advance their processes and application methods and their highly skilled installation teams receive regular training to minimize risk within food and beverage environments.
FloorTech® has over time implemented a range of critical control measures to ensure compliance with industry standards, such as: • Methodical sterilization of equipment and machinery following entry/exit of site to prevent cross contamination • Foreign objects and foodstuffs to be kept off site • On site equipment register • Improved techniques prohibiting the migrations of particles • Increased awareness of food safely legislation. 2014 has seen FloorTech® open its first Northern Ireland Office (Tel +44 (0)28 9073 5877), based at The Mount Business Centre, Belfast. FloorTech® decided to expand its operations into Northern Ireland following an increase in market share within the food and drink sector. This new Northern office will cater for the significant increase in demand for Trazcon® hygienic flooring systems in Northern Ireland and bordering counties. Since its official opening FloorTech® has won significant contracts with key industry players including Kerry Foods and Karro Food Group.
Recent Projects Danone Nutricia: The primary activity in these facilities is the production of base powder that goes into every Danone babynutrition formula. It was imperative to the client that a sterile and safe environment was created. The Trazcon? Decór system 1 was the ideal solution due to its advanced hygienic, non porous, easily cleaned properties. The project involved adding a third processing and packing line, the construction of a major warehouse and facilities extension. Over 10,000 sq m was installed throughout both Danone Nutrcia Ireland production sites. Pepsi Project Evolve 2.0: Having worked closely with Pepsico over the past 20 years, FloorTech® were once again nominated to carry out works to a new manufacturing powder blending facility in Little Island, Cork. FloorTech® liaised with PJ Hegarty & Sons throughout the construction phase to ensure timelines were met during the tight building programme. 3600 sq m of Trazcon® Décor® systems were installed over two floors, including changing facilities, production, clean rooms and warehouses.
Liffey Meats, County Cavan: Liffey Meats chose FloorTech®’s Trazcon® Décor System 3 due to its superb hygienic properties, exceptional durability and rapid one hour cure time. The client required a floorFOOD & DRINK BUSINESS EUROPE, JANUARY 2015
ing upgrade to their main boning hall to meet and perform to BRC Standards. FloorTech® installed a high profile finish certified for Slip Resistance and Food Conformity. The entire installation of 600 sq m was completed over one weekend and the plant was back in production immediately thereafter.
Developments For 2015 Indoor air quality has now become a significant issue at EU level within the work place. Poor air quality is known to contribute to illnesses such as “sick building syndrome”. Industry standards have now set required standards of 2004/42, “The maximum allowable VOC content in flooring systems must not exceed 500grm/litre”. Flooring systems such as laminates and vinyl can contain high VOC emissions. Companies and new building projects are now combating this problem by using more environmentally friendly low emitting materials. FloorTech® offers VOC free flooring systems that contribute towards the improvement of indoor air quality and carry the German AgBB certification. CL28 Deep Cleaning Floor Degreaser FloorTech® now offer their own brand of environmentally friendly, solvent free, alkaline industrial floor cleaner and degreaser. BRC global standards now require regular deep cleaning to floors in food manufacturing plants. FloorTech®’s CL28 floor cleaner is specifically designed for The food and beverage industry, excelling in the breakdown of fats and acids which are common in most food industries. J 37
Pennine Foods Invests in High Efficiency Washdown System 2 washdown systems are now under great demand from food Q manufacturers striving for maximum efficiency. Q2 has a range of cleaning and disinfection systems providing high efficiency washdown to clients including sites within 2 Sisters Food Group, Tulip Ltd, Kerry Group and Cranswick plc. Steve Castledine, Hygiene Manager for Pennine Foods, Sheffield (2 Sisters), comments: “Using our Q2 System definitely makes our clean far easier and faster, and the system has reduced each gun’s water usage by 64%. The transition from our previous system was easy, and there have been no issues to date. From start to finish, the backup and support was just great!” Pennine Foods’ water, power and chemical usage has decreased majorly since the Q2 System was installed, along with a more effi-
cient medium pressure rinse method. Overall, savings made were greater than Pennine Foods had anticipated. One key reason for Pennine’s chemical savings is The ChemFlow Centre. the ChemFlow Centre, which doses chemical and water according to demand, helping Pennine use no more chemical than needed, at the most accurate dosage possible. For further information on Q2 Systems call +44 (0) 1522 703703, Email email@example.com or visit www.q2systems.eu. J
ULMA Packaging’s New TFS Thermoformers Make Cleaning Easy LMA Packaging’s new generation of TFS U Thermoformers are the most hygienic on the market thanks to an innovative design, which provides easy access for deep cleaning to help food manufacturers meet and even surpass the most exacting regulatory standards demanded by today’s industry. Especially suitable for ready meals, fresh meat, processed meat, fish, poultry, cheese and pates, ULMA’S thermoformers provide protective packaging that fits around the product like a second skin to extend shelf
life. Other key benefits include moisture retention, the ability to customise pack shape and dimensions – and the option to display the pack vertically. Following substantial development work this versatile equipment’s exceptionally hygienic and anti-bacterial characteristics, both inside and out, provides important sanitation benefits for food sectors as well as boosting production by reducing downtime associated with cleaning regimes. A major plus of the TFS is that there are no edges that can retain liquids or product remnants. Equipped with chain guides, operating elements and mechanical systems that allow a vertical flow of liquids, the internal elements are designed to support a high degree of resistance to water and dust with an IP rating of 67 and 69. These attributes make the equipment ideal for deep cleaning using high water pressure
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
and meet the criteria and recommendations of the worldwide food safety standards ISO 14159, EN 1672, 3A and EHEDG. All packaging machinery providers must respond to demands from customers for equipment that meet regulatory sanitation standards or recommendations. However, ULMA is confident that there is no packaging machine available that offers a better design for trouble-free deep cleaning than its new generation of TFS Thermoformers. ULMA’S product manager, Alastair Cook, says: “The less downtime for cleaning means more profit for the customer. The TFS Thermoforming machines have been designed in such a way that they are easily cleaned. Attention has been given to the type of material used in the construction, such as replacing some components made of anodised aluminium with stainless steel.” J
UK Beer Volumes to Rise For First Time in Five Years The post-recession years have been challenging for the UK beer market, with sales dropping by over 500 million litres between 2009 and 2013 alone. owever after five consecutive years of decline, new research from Mintel has found that overall volume sales of beer are expected to rebound in 2014, increasing by 1.3% to an estimated 4.24 billion litres. Mintel’s research shows that it is Britain’s love of lager that continues to drive the market, with volume sales of the beverage rising by an estimated 1.7% in 2014, up to a predicted 3.17 billion litres. While ale sales have also been ascending, up from 885 million litres in 2013 to an estimated 891 million litres in 2014, stout sales continue to slide, predicted to fall to 183 million litres in 2014. Chris Wisson, Senior Drinks Analyst at Mintel, says: “Pressures on household finances, health concerns and competition from other markets have led to significant volume sales decline over the past five years for the beer market. However, 2014 has seen volume sales finally bounce back into growth, buoyed by a warm summer and the football World Cup. Whilst much of the market’s recent value growth has been driven by inflation and the now-defunct beer tax escalator, successive 1p cuts on the tax on pints and the slowdown in the cider market bode well for beer’s improving fortunes.”
Despite the significant recent growth of the cider category, volume sales are surprisingly estimated to dip slightly in 2014.
Beer Preferences When it comes to beer preferences, over half (54%) of Brits drank lager in the six months to September 2014, whilst a quar-
ter (26%) opted for ale and one in five (21%) drank bitter. Moreover, one in five Brits (20%) have drunk craft beer in the past six months, rising to almost a third (31%) of 25-34s and 24% of 18-24s. Indeed, craft still seems to be driving premiumisation in the category as a third (34%) of beer drinkers say they would be prepared to pay more for craft beers, rising to 43% among 2534s. However, Mintel’s research also shows that over a third (36%) are unsure what the term ‘craft beer’ actually means. It does however seem that there is scope for education, as 31% say they would like to understand more about beer, for instance how to serve it and the ingredi- Overall volume sales of beer are expected to rebound in 2014, increasing by 1.3% to an estimated 4.24 billion litres. ents which are used. “Whilst craft beer is often defined on grounds of volume production, October 2014, with more than two in five the segment has instead come to encapsu- (44%) drinking apple, 31% pear, and 29% late an ethos and benchmark for producing fruit-flavoured cider. The craft segment is high-quality or different types of beers. considerably less developed in cider than it Rather than just stating that they are a craft is in beer, but 14% of Brits still reported to beer, brewers should clearly state how they have drunk a craft cider within the last year. justify this positioning, for example via their Chris Wisson continues: “Despite the sigsmall production batches or use of unique nificant recent growth of the cider category, or interesting ingredients,” Chris Wisson volume sales are surprisingly estimated to comments. dip slightly in 2014. Some of cider’s momentum appears to have been lost to a Fall in Cider Sales rejuvenated beer category, which is seeing However, while 2014 might have seen a strong growth from various segments such hop in the beer sector’s step, sales of cider as craft and world/global beers.” were less fruitful. Indeed, volume sales of Furthermore, whilst retail value sales of cider are surprisingly expected to fall by apple cider are expected to dip by 1% in 0.8% to 949 million litres in 2014, down 2014, pear is estimated to have plummeted from 957 million litres in 2013. Further to by 29%. In contrast, fruit-flavoured ciders this, value sales are expected to grow by just have soared, rising by just over a third in 1% in 2014, rising to £3.05 billion. This is value. in stark contrast to the robust growth the “Fruit-flavoured cider benefits from category has experienced in previous years, being seen as a fashionable and innovative with value sales rising by 10% in 2012 and segment of the market, two attributes which have been key in driving growth by 6% in 2013. Mintel’s research shows that 57% of UK appealing to Millennials in particular,” he consumers drank cider in the 12 months to concludes. J FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
Glanbia Ingredients Ireland Opens New Milk Protein Plant Glanbia Ingredients Ireland, which is Ireland’s leading dairy ingredients company, has launched a new milk protein facility at its site in Virginia, County Cavan, as part of its €200 million investment programme to increase processing capacity in preparation for the abolition of EU milk quotas. he expansion of the Virginia facility, which processes milk from surrounding counties, and employs 100 people, is specifically designed to meet the exacting technical standards of the clinical and lifestyle nutrition market, a business which is growing worldwide and is predicted to expand by double digits over the next ten years. Over Eur7.8 million has been invested in the Virginia plant to build the new milk protein unit, which will more than double current milk protein capacity from 4,000 to 10,000 tonnes. It is a significant boost for the Virginia facility, which will also continue its extensive production of enriched milk powders for export markets as well as the exclusive supply of the cream base for Baileys, Diageo’s global liqueur brand (see Panel).
Advanced Milk Protein Powders GII first launched its range of advanced milk protein powders under the Solmiko brand in 2008 and has since had much success with their application in the The new facility at Virginia was officially opened by representatives from the Governments of clinical nutrition and sports nutrition industries, making the Republic of Ireland and Northern Ireland - Heather Humphreys, Minister for Arts, Heritage it one of the leading suppliers of milk proteins globally. and the Gaeltacht, and Arlene Foster, NI Minister for Enterprise, Trade and Investment. These industries are worth Eur16 billion and are cur- Pictured (left to right): Liam Herlihy, chairman of Glanbia Ingredients Ireland; Heather rently growing at greater than 6% per annum. The new Humphreys; Arlene Foster; and Jim Bergin, chief executive of Glanbia Ingredients Ireland. SolmikoHD and SolagoHD variants have higher bulk density and good dispersibility making them easily incorporated Global Player into customer formulations using existing processing equipment. GII processes1.6 billion litres of milk annually or 30% of Ireland’s The new facility in Virginia reinforces GII’s credentials on sus- milk pool into a range of dairy ingredients for export to more than tainability and conservation, and uses additional membrane tech- 50 countries. GII supplies a range of ingredients to the infant fornology that polishes and removes all remaining solids from the mula market and exports enriched milk powder to markets includwater extracted from the process, making it re-usable so no addi- ing West Africa, Middle East and Asia in consumer-ready formats. tional water is required for the new plant. It also sells a range of dairy proteins into the clinical and sports nutrition sectors. GII is also one of the key Irish dairy processors supplying cheese and butter to the Irish Dairy Board (which is sold under the Kerrygold brand). GII currently employs 668 people and has market bases in Ireland, Germany, the US, Dubai and Senegal. GII is a joint venture between Glanbia plc, the global nutritional solutions and cheese group, and Glanbia Co-operative Society, which is the main shareholder in Glanbia plc. GII is 60% owned by the Glanbia Co-operative Society and 40% owned by Glanbia plc. Glanbia Co-operative Society has an option to buy Glanbia’s 40% stake within six years. In the process of forming the joint venture, Glanbia Co-operative Society reduced its shareholding in Glanbia plc from 51.4% to 41.4%.
Artist’s impression of the Belview plant.
€200 Million Investment GII has ambitious plans for growth and is currently investing Eur200 million in value adding facilities with support from Enterprise Ireland. This investment programme, one of the largest ever undertaken by an indigenous Irish company, will facilitate FOOD & DRINK BUSINESS EUROPE, JAMUARY 2015
Cream of Irish Business Win at 2014 Responsible Business Awards Glanbia Ingredients Ireland and Diageo recently won the ‘Best Business to Business Partnership’ category at the annual Responsible Business Awards for their ‘Sustainable Cream initiative’. Over 400 European companies entered the awards, of which there were 91 finalists shortlisted and 13 overall category winners. Glanbia Ingredients Ireland and Diageo were recognised for jointly creating a benchmark sustainability programme, for the entire process chain from the fresh milk supplied by Glanbia’s farmers, all the way to the final product - Baileys Irish Cream liqueur. Glanbia Ingredients Ireland is the sole supplier of cream to Baileys – a partnership which is in existence since 1974.
Joseph Maguire, global sustainability manager, Diageo; Luis Rangel, global head of Commodities and Raw Materials, Diageo; Audrey O’Shea, sustainability manager, Glanbia Ingredients Ireland (GII); Sean Molloy, director of strategy, GII; and Jim Bergin, chief executive of GII.
farmers and customers in expanding their businesses, particularly as the abolition of EU milk quotas in 2015 provides dairy farmers with an opportunity to expand production for the first time in 30 years. Jim Bergin, chief executive of Glanbia Ingredients Ireland, says: “GII has a strong investment programme of over Eur200 million which is designed to position the business for future growth. While we are conscious of current fluctuations in commodity pricing, the long range outlook for the business and for suppliers is positive - with a growing demand from customers for the high quality milk proteins we will be producing in Virginia. The opening of our new plant ensures that both GII and our farmer suppliers will be able to capitalise on the generational opportunity that
Jim Bergin, chief executive of Glanbia Ingredients Ireland, says: “It is a huge achievement for both Diageo and Glanbia Ingredients Ireland to be internationally recognised for our B2B partnership, the ‘Sustainable Cream initiative’. The success of the initiative has demonstrated that an uncompromising focus on sustainability can have long-term commercial benefits.” Over the course of the Sustainable Cream Initiative, Diageo and Glanbia Ingredients Ireland have worked together to deliver a truly transformational programme resulting in best practice guidelines contributing to a reduction in the environmental footprint of the industry.
is provided by the ending of milk quotas. We are proud to have been operating in Virginia since 1974 and look forward to continuing to invest in the business with this latest investment confirming our commitment to the plant and the local area.” In preparation for an expected a 60% increase in milk production by Glanbia Co-operative Society members by 2020 in the wake of the abolition of the EU quota regime, GII is substantially increasing its overall processing capacity. In addition to the investment at Virginia, GII is also expanding and upgrading its site at Ballyragget in County Kilkenny, as well as constructing a new Eur150 million greenfield dairy processing site located in the company’s supplier heartland at Belview, also in County Kilkenny. J
I CONTROL & AUTOMATION
Tamaki Control Offers Full Range of Industrial Automation Engineering Services rom consultancy F and design to programming and imple-
From consultancy and design to programming and implementation, Tamaki Control are seasoned providers of a full range of industrial automation engineering services. 10 Dargan Crescent Belfast BT3 9JP Phone : +44 2890 777939 www.tamaki.co.nz
mentation, Tamaki Control are seasoned providers of a full range of industrial automation engineering services. Tamaki has over 20 years of experience in the dairy industry, completing numerous projects in product drying, cheese making and membrane plants and is proud of a lengthy association with Glanbia which has recently culminated in the complete automation of the new MPC plant at Glanbia Virginia. In addition to dairy, Tamaki provides automation services in a number of other industries such as oil and gas, pulp and paper and power generation and is accomplished in the design, building and commissioning of a range of automation solutions utilising products and equipment from a wide variety of manufacturers including Rockwell, Siemens, Schneider and Honeywell. With a Belfast based branch capable of tackling projects in the UK, Ireland and mainland Europe and international branches in the United States and New Zealand, Tamaki can meet any new build or re-automation challenges. J
FOOD & DRINK BUSINESS EUROPE, JAMUARY 2015
Packaging Innovations Back With a Bang Packaging Innovations, the UK’s leading packaging event, returns to the NEC, Birmingham on 25 and 26 February 2015. The two day show will focus on the latest trends and innovations in packaging materials, designs and concepts, with dedicated Ecopack and Contract Pack areas. lison Church, Event Director for easyFairs’ UK packaging A events, says: “It’s amazing to think this coming February’s edition of the Packaging Innovations will be our tenth show. Since opening its doors in 2006, the show has tripled in size with over 350 exhibitors. It has become the key calendar event for the packaging industry. All different types of companies that supply into the packaging industry are here, and if you really want to know what’s going on in the industry, you need to be here.” International Presence Major names from territories such as Germany, Austria, Poland, Italy, France and The Netherlands have been quick to sign up for the 2015 show, including GMUND, Sabert Europe Corporation, STÖLZLE-OBERGLAS GmbH, Schur Star Systems and Weidenhammer Packaging Group. The show also extends its reach beyond mainland Europe. For instance Bedford Industries, from Canada and Ever Rich International, from Hong Kong have also confirmed that they will be showcasing their latest products and services. Amongst the exhibitors will be Future Pak, launching its ‘HOT FILL PET’ for Thermoforming, which enables material to be filled with liquid or solids of up to 95 degrees centigrade. Perfect for jams, sources, candles, soaps and medical purposes just to name a few. For those looking to sparkle, Seufert Transparente will be unveiling its new PET promotional packaging with light effects for the drinks market. It combines packaging made of a coloured, transparent PET film together with an LED module. When the packaging is picked up, approximately 80 light-points light up in a pre-set sequence of red, white and yellow. Must Attend Event Thomas Pfaff, Sales & Marketing Director at Seufert Transparente
explains why the company is exhibiting: “For our company, Packaging Innovations is the must attend event, in order to meet new customers. Guaranteed to meet brand managers, marketing specialists and packaging consultants looking for inspiring new ideas in packaging, making it the perfect environment to network.” Measom Freer will be launching its Swithland bottle range. Distinctive plastic bottles which are conical and cylindrical in shape, versatile in material, size and colour, providing great shelf presence for a wide range of product sectors. Anne Freer, Marketing Director at Measom Freer details the reasons for returning to the show: “We have been exhibiting at Packaging Innovations for many years and have always found it a great platform to launch new products; it’s professional, well publicised with a good variety of quality visitors.” First Time Exhibitors First time exhibitor, Bech Packaging, will be showcasing its specialised range of plastic packaging, designed for the cosmetic, food and pharmaceutical industries. Also making its show debut is the GABRIEL-CHEMIE Group who will be exhibiting its latest packaging solutions, such as oxygen scavengers to actively help keep food fresh, and colour indicators to show consumers when food is no longer fresh. Whilst Sirane will be showing Siralon, its range of top-quality nylon food packaging materials that can be oven-cooked, microwaved and cooked sousvide. The show will host an array of show floor entertainment including the launch of three new features – The Drinks Symposium, The Pharmaceutical Symposium and The Retail Symposium. The BIG Print Debate and Lions’ Lair will be returning, along with a full learnShops programme addressing hot industry trends and issues. For further information visit www.easyFairs.com/PIUK or contact +44 (0)20 8843 8800. J
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
I CODING, MARKING & LABELLING
Installation of Allen Coding Thermal Jet Printers Proves a Cunning Move for Fox’s Biscuits ox’s Biscuits has replaced old, costly and F messy case coders with 14 robust and reliable TJ500 thermal jet printers from leading marking and coding specialist, Allen Coding. Installed at the UK biscuit manufacturer’s plant in West Yorkshire, the cost effective TJ500 was chosen for its clean operation, low maintenance, minimal operator involvement and consistent print quality. Allen Coding’s TJ500 thermal jet printers are being used by Fox’s Biscuits to apply a variety of date formats, such as selfcalculating time Julian and calendar date codes, on to both outer cases and primary product cartons. The units, which are primarily fitted to Endoline case sealers in this instance, are operating at speeds up to 20 ppm (packs per minute) on the case code application and 120 ppm on the primary packs. Stephen Hannan, Print Manager at Fox’s Biscuits, comments: “Our previous
case coders were getting old and costly to run, as well as becoming very messy due to ink spillage. We chose Allen as it is a long established business offering reliable support and service, whilst the TJ500 thermal jet printers provided the high levels of cleanliness and hygiene required by food manufacturers.” He continues: “Every time we replace an ink cartridge a new print head is fitted which helps us maintain optimum print quality. The ability to automatically update
date fields with minimal operator input once the format has been designed and loaded was a big plus as it ensures date integrity by eliminating the risk of the wrong information being inputted.” Allen Coding installed the first TJ500 printer but the following 13 systems were fitted by Fox’s Biscuits’ engineers after they received training from the Hertfordshirebased company. Allen Coding’s TJ500 thermal jet printer features an easy-to-change ink cartridge which offers high quality 300dpi vertical and horizontal print resolution on both porous and non-porous substrates. Completely self-contained, with speed and product detection adjusted using internal sensors, or expandable with the optional extras hub, the TJ500 is capable of printing up to five lines of text. For further information contact Allen Coding on Tel +44 (0)1438 347 770 or visit www.allencoding.com. J
Successful ICE Vulcan Installation at Real Yorkshire Pudding Company oding specialist Interactive Coding C Equipment (ICE) is helping the Real Yorkshire Pudding Company to increase its production line efficiencies following the UK-first installation of the company’s new ICE Vulcan print and apply labeller. The Vulcan continues a history of ICE installations at the Real Yorkshire Pudding Company that spans 13 years. The company was also the first customer for ICE’s revolutionary Zodiac thermal transfer printer when it was launched in 2001 and its equipment portfolio now comprises four Zodiacs as well as the new Vulcan. Based in Thorne, the Real Yorkshire Pudding Company supplies chilled and frozen Yorkshire puddings to leading retailers, including Waitrose, Tesco and Morrisons. With around 1.5 million Yorkshire puddings coming off the line each week the company needed a printer applicator machine to improve productivity at the 44
final packing stage. Replacing manual labelling on its secondary packaging line, the Vulcan prints and applies onto the company’s outer cases. This has resulted in significant savings of around 4 to 5 hours in production time and is also enabling The Real Yorkshire Pudding Company to achieve significant waste reductions as it now prints only the labels it needs in real time. In addition, the new system allows the use-by date to be incorporated into the product barcode, enabling more information to be added to the outer box. The ICE Vulcan print and apply labeller is the first of its type to print and directly apply the label to a pack – both traded unit boxes and shrinkwrap packs – in one continuous action without the need for a tamp applicator or compressed air. This means the machine can print at the speed of the line, even when packs are very closely FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
spaced, without ever missing a pack, achieving speeds that are up to three times faster than traditional print and apply labellers. Like all ICE equipment, the Vulcan uses the company’s Clarity intelligent and intuitive interface, which offers ease of set-up and operation and simple integration into factory systems. For further information contact Interactive Coding Equipment (ICE) on Tel +44 (0)1159 640144 or visit www.interactivecoding.co.uk. J
I CODING, MARKING & LABELLING
The Ink in LEIBINGER Inkjet Printers Does Not Dry Out arking and coding specialist Paul LEIBINGER is presenting its series M JET3 and JET2neo of industrial inkjet printers with integrated automated "Sealtronic" nozzle seal at the Anuga FoodTec trade show in Cologne from March 24 to 27, 2015. This unique technology prevents the ink in a printer from drying out even during prolonged breaks in production and allows Paul
LEIBINGER inkjet printers mark any conceivable products such as cans, carton, plastic or glass, no matter whether the surfaces are flat, rough or convex.
LEIBINGER GmbH & Co. KG to meet the highest standards of reliability for industrial inkjet printers. In addition to the "Sealtronic" nozzle seal, professional visitors at the LEIBINGER trade show booth can learn about the specific benefits small character inkjet printers can provide for the food and beverage industry. The LEIBINGER JET3pro is rated with the IP65 protection class and the perfect marking solution for wet, dusty and harsh production environments. Moreover, Paul LEIBINGER offers two MEK-free inks in red and blue and two inks that meet the strict requirements of the US Food and Drug Administration (FDA). The LEIBINGER camera system LKS 5 adds a versatile verification system to the line of industrial inkjet printers. This system reads and decodes fixed and variable data, text segments or 1D/2D barcodes on the fly. For further information visit www.leibinger-group.com. J
Advanced Dynamics’ Automated Labelling Solutions Remove RSI Risk leading supplier of automated, high A quality labelling systems is offering food and beverage manufacturers the opportunity for reducing the risk of increased claims from staff for repetitive strain injury (RSI). Advanced Dynamics Ltd, the sole UK distributor of the Pack Leader range of label applicators, is offering a free audit for food companies looking to replace manual intervention with automatic labelling systems. Automating repetitive processes can save time, money and significantly boost output without making much of a dent in a company’s capital budget. In addition to offering a range of systems for applying labels efficiently and accurately every time – freeing staff for more productive tasks – Advanced Dynamics is also launching new affordable technology for the de-stacking of pots and tubs for filling of soups, stews and sauces. This latest machine development ensures a fast, uninterrupted flow of containers that are always in the correct posi-
tion, whether for filling of viscous or semi-viscous products, delivering significant production benefits for food to go and ready meal companies amongst others, while meeting stringent food preparation and labelling regulations. Pack Leader’s accurate and robust fully-automated label applicators cater for a variety of container sizes, cartons and bottle shapes, whether glass or plastic, and can reliably label the full range of package configurations to suit individual budgets, operating conditions and prod-
FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
Gordian Strapping Supplies Pallet Ring Wrapper For PinguinLutosa ordian Strapping has provided a system G solution for PinguinLutosa at its facility in King’s Lynn. PinguinLutosa, a leading frozen vegetable processor boasts some of the best automated packing facilities in Europe. The Kings Lynn site is a state-ofthe-art production and packing site with capacity to produce over 120,000 tonnes of product per annum. Gordian has integrated a Sirioautomatic pallet ring wrapper into Pinguin’s packaging line. The machine replaced an ageing rotary arm wrapper and is part of a programme of upgrades to the automated packaging facility at Kings Lynn. It was essential that the Ring Wrapper matched the footprint of the old machine and was compatible with the
existing conveyor and safety systems. It was also vital for the new machine to overcome the costly issue of loose film tails which can lead to rejection of pallets by automated warehousing systems. Rapid installation over a weekend was critical to ensure minimum disruption to the freezing of fresh vegetable produce. PinguinLutosa has Sirio Ring Wrappers in operation at their site in Belgium and had no hesitation in installing another machine in the UK. With 13 engineers strategically placed across the UK, and over 75 years’ experience in end-of-line packaging systems, Gordian Strapping was the ideal partner to install and maintain the machine. J
Loma Service Hits Over 90% First Time Fix Rate oma System’s unrivalled service delivery continues to help food companies to minimise LFurther unplanned downtime and significantly reduce operating costs. underlining its position at the forefront of inspection equipment for the global food industry, Loma Systems’ service delivery continues to lead the market. The company is attributing its unrivalled 91% first time fix rate to the powerful remote diagnostics tools now available with its range of high performance metal detectors, checkweighers and X-ray units, backed by a dedicated service team, guaranteed next-day response and bespoke preventative maintenance agreements. At a time of year when maintaining uptime is more critical than ever, food packers and processors running automated integrated production lines are aware that any single in-line component failing can stop all production. A lack of regular maintenance will inevitably lead to an increased risk of downtime as components wear out. As a result, access to a reputable after sales and service team is essential. The company measures two key elements of its service delivery, Response Time and First Time Fix Rate. On average, across all service call outs in the UK, Loma is achieving more than nine out of ten problems fixed, within one working day from the time the problem is first reported. J
Pearlfisher Partners With Mondelez International to Create Cadbury Glow ondelez International, in collaboration M with Pearlfisher, Air Innovation and Multi Packaging Solutions, has created Cadbury Glow, a new premium gifting range. Pearlfisher’s work spans brand strategy, brand architecture, brand identity and graphic packaging design. With a brand like Cadbury, that has an emotional, approachable and warm relationship with consumers, Mondelez International saw a clear opportunity to reframe the category by developing a new proposition and pack design for thoughtful givers. Rory Fegan, Pearlfisher Brand Strategy Director, comments: “Cadbury is an iconic 46
brand full of generosity, playfulness, optimism and pioneering spirit. As a brand that shares so many attributes with the wider gifting category, their opportunity was to create a gifting concept and a new range that would assert the brand’s position as the creator of premium gifting chocolate.” He continues: “Whilst the competition was all about giving gifts to impress, we understood that the thoughtful gifters Cadbury were trying to attract were those who seek to enrich the lives they touch, choosing gifts to reveal something of themselves and what their loved ones mean to them.” Debuting first in India, Cadbury Glow is FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
an all year round gift that first launched to coincide with Diwali. J
Olam International to Acquire ADM’s Global Cocoa Business For $1.3 Billion ingapore-based Olam International, a S leading agri-business operating across the value chain in 65 countries, has agreed to acquire the global cocoa business of Archer Daniels Midland Company at an enterprise value on a cash and debt free basis of $1.3 billion. One of the world’s largest processors and suppliers of cocoa liquor, powder and butter, ADM’s worldwide cocoa business (ADM Cocoa) comprises cocoa processing assets made up of eight factories with total capacity of 600,000 MT, 10 warehouses, two usines, four innovation centres, the iconic deZaan® brand and its 2,150 plus customer franchise, and a marketing network across 16 countries. The acquired business does not include assets under ADM’s global chocolate business. Over 1,500 ADM Cocoa employees including 30 R&D professionals will join the combined cocoa entity as part of the transaction.
Sunny Verghese, Olam’s co-founder, group managing director and chief executive, says: “With Cocoa being a prioritised platform for investment, this proposed acquisition represents a transformational opportunity for Olam Cocoa to become an integrated global leader in a market with attractive growth prospects.” One of the world’s largest suppliers of cocoa beans, Olam’s Cocoa business (Olam Cocoa) is one of six prioritised platforms
identified ‘to invest and grow’ in its strategic plan. With farm-gate origination, sustainability programmes, trading and export presence in all major cocoa origins, except Brazil, in recent years, Olam Cocoa has integrated its supply chain by investing in origin processing in Côte d’Ivoire and Nigeria, and in value-added processing facilities in Spain and the UK. The proposed acquisition will transforms Olam Cocoa into a market leading global integrated player with an origination footprint in all key producing origins, including Brazil, making it one of the world’s top three cocoa processors. The combined capacity will be approximately 700,000 MT as eight midstream processing facilities from ADM Cocoa in the Netherlands, Germany, Brazil, Singapore, Ghana, Côte d’Ivoire and Canada are added to Olam Cocoa’s existing midstream processing portfolio. J
Cargill Opens First Cocoa Processing Facility in Asia ood and beverage manufacturers seeking F to meet the growing demand amongst Asian consumers for chocolate and cocoa products will benefit from a greater availability of high quality cocoa powders following the inauguration of Cargill’s cocoa processing facility in Gresik, Indonesia.
Creating over 300 new jobs, the $100 million facility will have a 70,000-metricton processing capacity and will produce Cargill’s premium brand Gerkens® cocoa powders, as well as high quality cocoa liquor and butter. Its blending capability will leverage the company’s broad and indepth cocoa knowledge to enable customers to benefit from superior, consistent and tai-
lor-made solutions that meet Asian consumers’ taste profiles. “Our customers expect us to keep innovating and adding value to their products, and this investment focuses on delivering for their success,” says by Jos de Loor, president of Cargill’s cocoa & chocolate business in Europe Middle-East, Africa and Asia. “We have been sourcing cocoa in Indonesia since 1995, and we are committed to supporting sustainable agricultural production and a responsible cocoa supply in the country. We work with governments, communities and partners to help build a vibrant Indonesian cocoa industry with a long-term future.” The cocoa beans processed at the Gresik plant will be supplied primarily from Sulawesi, where cocoa farming is the principal income for hundreds of thousands of families and where Cargill has been sourcing cocoa since 1995. The company is strengthening activities to support sustainable cocoa production in Indonesia as part of the Cargill Cocoa Promise, the company’s global commitment to improving the livelihoods of farmers, their families and FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
Cargill’s new state-of-the-art facility in the East Java region was officially opened in the presence of Indonesian Minister of Industry Saleh Husin and David MacLennan, Cargill’s president and chief executive officer. The ceremony also was attended by Jos de Loor, president of Cargill’s cocoa & chocolate business in Europe Middle-East, Africa and Asia, local dignitaries and customers.
their communities. Cargill plans to train 4,500 cocoa farmers in newly created Farmer Field Schools in the Bone and Soppeng regencies, and aims to enable 2,000 of them to gain independent sustainable certification. The new facility and the expanded sourcing operations in Indonesia will complement Cargill’s existing global network of cocoa sourcing operations and processing facilities. J 47
Sensient® Colors Develops Breakthrough Purification Technologies That Achieve More Vibrant Natural Colour Shades ensient® Colors, a division of Sensient Technologies is introducing a new line of naturS al colours under the Pure-S™ brand. These innovative new natural colourants open up the possibility of employing some of the most vibrant botanical shades nature has to offer. Previously, the use of natural colour derived from sources such as red radish, red cabbage, and paprika was limited in most food and beverage applications. Despite the attractive colour shades attainable with these extracts, their viability was limited due to undesirable flavour and odour off-notes. As a result, food brands have either settled for less appealing colour shades or postponed plans to transition formulations from synthetic to natural. After two years of work, a global team of Sensient scientists from R&D centres in Germany, Italy and the United States has developed a unique set of new technologies to purify a range of natural colour extracts from botanical sources. Sensient’s new Pure-S™ Naturals are an important development for food brands that want to achieve vivid colour shades without the use of synthetic colours or non-Kosher natural options. “These technical breakthroughs in natural colour purification open up a wide range of possibilities for the food industry. Pure-S™ Strawberry Antho, for example, offers a bright strawberry red shade that can be used as a replacement for carmine or as an alternative to Allura Red” explains Dr Roland Beck, Managing Director of Sensient Food Colors Europe. “Natural food colours have always presented a complex set of challenges for product developers and a few years ago we launched an R&D initiative to eliminate the performance and cost gap between synthetic and naturally derived colours. I am very proud that three of our leading global R&D centres, working collaboratively, were able to achieve an important milestone towards reaching that goal,” states Michael Geraghty, President of Sensient Colors LLC. The new Pure-S™ colour range is ideal for use in many food applications, notably for the confection and beverage markets. J
PureCircle Launches New High Purity Stevia Product – Sigma-D orn from PureCircle’s highly successful B Stevia 3.0TM platform, Sigma-D is the latest PureCircle stevia product to be launched by the leading global producer and marketer of high-quality stevia products. Sigma-D is targeted specifically at successful sugar reduction within the dairy category, performing at parity to sugar on key attributes while providing superior taste performance. Stevia adoption rates have been on the rise in recent years, and many manufacturers are now realizing the opportunity to offer mid-calorie products to their consumers with natural origin sweetness. Sigma-D is a response to this continuing trend and designed to unlock the dairy category, which has traditionally presented more complex challenges for formulators looking to reduce sugar while maintaining 48
texture, indulgence and mouth feel. The new, high purity product provides a combination of steviol glycosides to optimize taste and has been developed through PureCircle’s well-established experimental design and predictive modelling capabilities. “PureCircle's highly successful Stevia FOOD & DRINK BUSINESS EUROPE, JANUARY 2015
3.0™ approach is leading the industry and the latest developments have led to Matrix Solutions that can bring category specific benefits,” says John Martin, PureCircle’s Global Director of Technical Development and Innovation. “What works in a carbonated soft drink is not necessarily going to be the right solution for an acidified or sweet dairy product. By understanding the sensory contribution of the different glycosides and how they interact in different product matrixes we can help select the best solution for the formulation goal and the result is continued innovation within our proprietary portfolio of high purity stevia sweeteners.” Sigma-D will be the first category specific launch from the PureCircle innovation pipeline. For more information, visit www.purecircle.com. J
52 page magazine