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In the Know

February 4, 2006

Playing the Organic

Research compiled by Whole Foods Market reveals more than a quarter of Americans eat organic foods several times per month, and their reasons are diverse. The 2005 Whole Foods Market Organic Trend Tracker finds the top three reasons are: avoidance of pesticides (70.3%), freshness (68.3%) and health and nutrition (67.1%).

More than half report they purchase organic foods to avoid genetically modified foods (55%), with 52.8% saying organic foods are “better for my health” and 52.4% saying they are better for the environment.

While only 7% reported consuming organic foods several times per week in 2004, that number grew to 10% in 2005. In fact, 27% of respondents indicated they consume more organic foods and beverages than they did one year ago. More Americans are starting to notice the USDA's green organic logo and clear organic labeling on the organic products they purchase—increasing to 40% in 2005, from 19% in 2003. A quarter of the respondents buy organic foods at natural food supermarkets, with 18% saying they shop for organics at farmers' markets.

Why do consumers not buy more organic foods and beverages? Some 74.6% indicate price is the main reason for not consuming more, though 46.1% tout the lack of availability and 36.7% proclaim a loyalty to non-organic brands.

A Time to Diet

The new year may bring resolutions promising to shed unwanted weight, but new research by the NPD Group suggests consumers do not really start dieting until a few months later.

NPD's “Eating Patterns in America” and “Dieting Monitor” studies show the peak dieting month is not January, when only 23% of Americans typically diet. Rather, the most dieting is seen in March, when 26% of American adults are dieting. Which diets are preferred? Among branded diets, Weight Watchers is the most popular, but three times as many consumers opt for a diet of their own.

According to Harry Balzer, vice president of the NPD Group, a key difference in consumer thinking occurs in March. “People start off thinking in January that exercise will melt away the pounds, but realize by March that it is much easier to change their food intake than exercise the weight away.”

Nonetheless, it appears the stigma of overweight may be lessening. In 1985, NPD found 55% of adults agreed with the statement “A person who is not overweight is a lot more attractive.” For the 2005 survey, only 24% of respondents agreed with that statement.

For more information on the NPD Group, contact Caryn Portnoy, caryn_portnoy@npd.com or 516-625-2443.

The In Box

For daily industry news updates, see the homepage of www.PreparedFoods.com and www.NutraSolutions.com.

  • Lonza acquired Nutrinova's docosahexaenoic acid (DHA) business, including know-how, patents and registrations in the major global markets.
  • Dairy Management Inc. announced that Tom Suber, Rick Naczi and Greg Miller are expanding their roles with the company. Suber will retain his role as president of the U.S. Dairy Export Council (USDEC) and has accepted the position of executive vice president—international marketing. Miller has been promoted to executive vice president—innovation, and Naczi has accepted the position of executive vice president—U.S. sales and marketing.
  • CP Kelco signed an equity interest transfer agreement to purchase 100% of Shandong Gold Millet Biological Products Company based in Shandong Province, China.
  • Frost & Sullivan's recent analysis of the U.S. Mineral Fortification Market selected Gadot Biochemical Industries (GBI) Ltd. as the recipient of the 2005 Product Differentiation Innovation Award, in recognition of the company's efforts to strengthen its market presence by developing a successful mineral line.
  • LycoRed announced a reorganization of the company and its subsidiaries: Nutriblend, Biodar, Nutriblend International Sàrl, and the latest acquisition, Buckton Scott Nutrition, under the LycoRed name. The reorganization is an integration of all subsidiary companies into one unit, with each region served by a local headquarters. LycoRed formed three regional offices: LycoRed Corp. in the U.S., LycoRed Limited in Europe and LycoRed Ltd. in Israel. Leo Cullen has been appointed president of LycoRed Corp. David Roberton has been named president of LycoRed Limited, the European headquarters, based in the U.K. Peter Gallagher has been appointed managing director of LycoRed Limited. In addition, LycoRed Sàrl in Switzerland serves as the European lycopene technical support center, headed by Joost Overeem.
  • Mary Thompson was named vice president and general manager of Cargill's Dry Corn Ingredients business.
  • Quality Assurance International Inc (QAI) announced the USDA appointment of Joe Smillie, senior vice president, to the department's 15-member National Organic Standards Board (NOSB).
  • Lucks Food Decorating Company announced that Rick Otts has rejoined the Lucks team as national account manager—bakery retail. In addition, the company named Rick Ellison president.
  • Century Foods International has been officially registered by NSF International as complying with current Good Manufacturing Practices (GMPs).
  • Solbar Industries Ltd. restructured its core business activities. Two divisions have been established which will be responsible for all company activities: Commodity division for production, sales and crushing of oil and soybeans in Israel; Specialty division for R&D, production, marketing and sales of isolated and concentrated soy proteins, textured soy proteins and soy isoflavones to the global market. Assaf Gadish assumes responsibilities for the Commodities Soy division. Gidi Landsberger will lead Solbar's Specialty Products Division.
  • Mastertaste Inc. appointed Paul Hood to general manager of its Zesty Smoke team in Crossville, Tenn.
  • Chr. Hansen named Jens Bigum chairman of the board.
  • KGK Synergize Inc. (KGK) announced the achievement of GLP recognition from the Standards Council of Canada.
  • Symrise named Blake Anderson president of North American flavors.
  • Premium Ingredients Group announced an exclusive distribution agreement with The NutraSweet Company to sell aspartame in the U.S. and Canada.
  • ADM named Doug Millar vice president-product and market development, and also acquired Sunlight Foods' mayonnaise, sauces and salad products business to form ADM Sunlight Foods.
  • Chef Solutions announced the merger of Fish House Foods with its Orval Kent division.
  • Tate & Lyle signed agreements to acquire U.S. specialty food ingredients company Continental Custom Ingredients (CCI) and the Italian-based Cesalpinia group of companies.
  • Symrise GmbH & Co. will further expand its Nördlingen production site, which specializes in the development and manufacture of flavorings and raw materials for the beverages industry. Symrise will invest more than €1.5 million ($1.8 million) in new production facilities as well as laboratory and application technology.
  • Shuster Laboratories Inc. announced that its quality management system has achieved compliance with ISO 9001:2000.
  • DSM appointed B. (Ben) van Kooten business group director of the new DSM Resins business group as of March 1, 2006, B.H. (Bob) Hartmayer business group director of DSM Elastomers as of February 1, 2006, E. (Ed) Sheu business group director of DSM Fibre Intermediates as of July 1, 2006, and G. (Gerard) de Reuver business group director of the Anti-Infectives business group as of January 1, 2006.
  • Country Choice Organic named Jocelyne Gregg East Coast regional manager.
  • Grain Processing Corp. promoted Brian Tompoles to vice president of food, pharmaceutical and personal care products and Chad Christensen to director of sales of food, pharmaceutical and personal care products.

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