The Flavors & Fragrances (F&F) business unit of specialty chemicals company LANXESS is increasing prices worldwide for its entire portfolio of preservatives, benzoates, intermediates, aroma chemicals and multifunctionals with immediate effect. Customers will be contacted individually regarding the specifics of the measure as it applies to their products or regions.

The reasons for the adjustments are, in particular, unprecedented challenges with a significant impact on logistics and production. Fragile supply chains, dramatically increased raw material and energy costs – not least as a result of the war in Ukraine with oil and gas prices at record levels – bring significant consequences for the entire supply chain.

Offerings from F&F are primarily used to provide flavour, fragrance, shelf life and essential performance characteristics in a wide variety of consumer products, such as food and beverages.

Omya, a leading global producer of industrial minerals and a worldwide distributor of specialty chemicals, announced the acquisition of Prima Inter-Chem Sdn Bhd, a diversified distributor of Ingredients and Specialty Chemicals in Malaysia and Indonesia.

Omya has acquired the distributor Prima Inter-Chem in Malaysia and Indonesia. With this move, Omya boosts and develops its ingredient and specialty chemicals distribution capability in these countries for the food, pharmaceutical, animal feed and industrial markets. In addition it establishes a platform for growth for the wider region.

Fooditive, a pioneer in developing plant-based ingredients, is gearing up for a game-changer in the industry: a Novel Food licence from the European Food Safety Authority (EFSA) for its sweetener. The Dutch company has developed from a concept to a company worth of 26 million euros in 2022 and is making significant progress. Founded on the belief that sustainability is more than a trend, Fooditive provides innovative and natural ingredients to food and beverage manufacturers.

The company’s unique process allows them to develop a remarkable sweetener, made from side streams of apples and pears. The production process has been enhanced and evolved from batch to continuous fermentation, to be able to deliver on the high demand from the food industry by producing up to 30 tonnes of sweetener per week. For this purpose, 83 tonnes of apples and pears are being upcycled, raw material that is considered as side streams, third-grade by juice manufacturers or simply the “ugly fruit”.

The sweetener – the first of Fooditive’s cutting-edge products – sparked a sugar-free, plant-based revolution. The company hopes to make a ground-breaking step towards establishing the sweetener in the market by forming a successful collaboration with a production partner in the Netherlands.

Fooditive has already been offering the sweetener for research and development purposes to players in the food industry to determine which applications their sweetener performs best in. After three years’ worth of learning and development, feedback, and support from the food industry, the company will submit the sweetener as 5-D-Keto-Fructose in the process of applying for Novel Food certification from the European Food Safety Authority.

Global competitor

Following the recent study by ReportLinker, Fooditive is the only start-up and Dutch company that is considered as one of the global competitors for food sweeteners in the industry competing alongside with several of the leading ingredient market vendors. Fooditive provides an innovative sweetener to companies, for different product applications where it can deliver not only the sweet taste but also the functions of sugar.

The sweetener is developed from the extraction of fructose through fermentation and its conversion to 5-D-Keto-Fructose through bio-refining techniques. Fooditive has accomplished this through its innovative approach to offer solutions by valorizing side-streams and starting from different raw materials, including cherries and bananas, to transform them into valuable, healthy ingredients.

Exciting journey

The Fooditive team is aware that the road ahead will be long and challenging. However, they know that completing its goal of securing EFSA approval for such a unique ingredient comes with a slew of benefits. Investors, venture capitalists, food attorneys, and consultants are invited to join the company’s journey on this effort to deliver this game-changer to the market.

International research into sustainable packaging carried out by global packaging, product, and material test and inspection company Industrial Physics has found that almost half of the 255 global packaging professionals (49 %) surveyed said meeting testing standards was one the biggest challenges they faced in wider adoption of sustainable packaging materials.

The research goes on to reveal that almost three quarters of those surveyed (71 %) reported that they found quality control processes ‘significantly’ or ‘somewhat more difficult’ with sustainable packaging materials.

69 % of respondents cited ‘cost’ as the main supply chain challenge they face in the move to sustainable packaging. Global supply obstacles caused by the pandemic made sourcing more difficult and legacy issues remain, meaning numerous suppliers are often needed rather than one trusted provider. This places additional pressure on quality control processes and greater need for packaging integrity testing.

Full results are revealed in the Industrial Physics Sustainable Packaging Research Report just released.

Jim Neville, CEO at Industrial Physics, said: “Insights from our global network of technical experts provide manufacturers guidance to create innovative and sustainable packaging while ensuring the integrity of their brands and products by proper testing and inspection.”

He added: “Our research highlighted manufacturers face a range of risks. However, these risks can be identified and mitigated by partnering with a packaging testing and integrity solutions partner.”

The Sustainable Packaging Research Survey also revealed that respondents think that new standards (52.5 %) and new legislation/regulatory requirements (41.6 %) will have the most impact on sustainable packaging innovation over the next five years.

These findings come as no surprise to Industrial Physics, as Greg Wright, Global Vice President of Sales & Marketing, explains: “Sustainable packaging involves using completely new materials where there may not be test methods already established. Processes are constantly evolving and our expertise in packaging, product and material integrity testing means we can guide manufacturers through the transition to more sustainable packaging.”

The Survey found that most companies are actively seeking sustainable packaging solutions but, in doing so, they experience a range of additional challenges. These include optimizing material performance to protect goods (53 %), passing increased material costs onto the consumer (50 %), and ability to meet safety and testing standards (49 %).

“Our customers are trying to find the right standards and how to test for those standards,” says Joshua Miller a Product Manager at Industrial Physics. “We can really help customers shape their testing, such as giving them a better way to test a product that gives them better data and still meets internal standards.”

The research offers an insight into the future of sustainable packaging and explores adaptations that manufacturers, and the industry as a whole, will need to make in order to deliver innovation and implementation around sustainable packaging materials.

Sean Kohl, Global Line Product Director for Industrial Physics, adds: “This is what testing is for and why manufacturers must test. It all centers around the idea of being able to confirm that the physical properties, whether it be strength, puncture resistance, life prediction, recyclability, or whatever can meet the performance and durability standards.”

Findings show that paper, paperboard and fiberboard plant-based biodegradable flexible packaging, along with synthetic biodegradable packaging, are the most common materials being used to replace less sustainable alternatives like plastic, paper and foil packaging.

“A lot of new materials mean that we are dealing with limited established test methods,” says Nico Frankhuizen, Manager of Product Management at Industrial Physics. “So, if a customer comes to us thinking they may need a certain type of equipment or test, we may end up advising them that a different tool might be better.”

Results of the in-depth research involved organizations around the world, ranging in size to over £1bn turnover, and follows on the back of Extended Producer Responsibility (EPR) and other legislation in UK, Europe and USA that imposes a tax on plastic packaging items manufactured, imported or imported filled, containing less than 30 % recycled plastic.

Industrial Physics offers a range of packaging, product, and material integrity testing solutions to food and beverage, flexible packaging, medical, pharmaceutical, and coatings markets. The company adopts a collaborative approach with customers to help them work through the challenges of moving to sustainable packaging.

As the battle for superfruit supremacy rages on a new product is set to return the title to the true superfruit. A product that offers an entirely new way to experience a fruit with more nutritional benefits and social mission that provides generational change.

Introducing bevCacao — a radical new beverage loaded with goodness and social responsibility. Armed with the ethos “Good for you. Good for them,” bevCacao stands behind its one-two punch of nutrition and community support.

First, what’s in it for the consumer: Cacao provides three times the antioxidants of pomegranate. Twice as many as acai. Jam-packed with prize-fighting flavanols to deliver a knockout blow to toxins and free radicals. Vegan-friendly immune system support with no added sugars to boot.

Grown in uber nutrient-rich, unfertilised soil along the equator, cacao fruit comes from small family farms. Unlike other fruits, cacao doesn’t grow on branches. It grows on the trunk, meaning farmers must carefully cut the fruit away without damaging the tree. No nutrients are fertilised away — everything says right there in the fruit.

Previously, cacao was only coveted for its seeds — yes, cacao seeds are the base of what becomes chocolate. Farmers would scoop out these seeds, but the pulp of the cacao fruit was a waste product dropped onto the plantation floor. And what a waste indeed, as the pulp makes up roughly 30 percent of the pod and holds much of the nutrients.

Beyond antioxidants, bevCacao is loaded with fiber, promotes a healthy gut and balanced mind-body connection, hydrates on a cellular level, and improves cardio health. Essential minerals like magnesium turn glucose into energy. It’s perfect for an electrolyte boost post-workout or to sip whenever users need a little boost to their day.

On top of everything, bevCacao is sustainably harvested and canned and represents a massive profit boost for farmers who cultivate it. By using this pulp in its juices, bevCacao is creating a life-changing new revenue stream for these hard-working farmers without adding much extra work.

Beyond nutritional value and social impact, another differentiator for bevCacao is the taste.

Given its close connection to cocoa, one might assume that bevCacao will have a chocolate flavour. But while cacao juice offers the same health benefits of chocolate, the taste will come as a surprise to many. Not a hint of chocolate is to be found. Instead, bevCacao is fruity, sweet, and tangy, like the tropics after a storm. Users get notes of banana, white peach, lychee, and a spritz of lemon.

bevCacao is available online at bevCacao.com, Amazon.com and Walmart.com.

Huhtamaki, a key global provider of sustainable packaging solutions, has signed a 12-year Virtual Power Purchase Agreement (VPPA) with a subsidiary of NextEra Energy Resources, LLC. NextEra Energy Resources is the world’s largest generator of renewable energy from the wind and sun. The 42-megawatt agreement for renewable energy covers approximately 30 % of Huhtamaki operations’ current electricity demands in the United States and Mexico, where the company has 18 manufacturing units.

“We believe in protecting food, people and the planet. This agreement marks an important milestone on our journey towards delivering on our ambitious 2030 sustainability agenda. The agreement builds on the European VPPA agreement announced late in 2021, which covers 80 % of our European electricity usage”, says Thomas Guest, Deputy CEO of Huhtamaki.
The renewable energy covered by the agreement will be sourced from a subsidiary of NextEra Energy Resources’ Inertia Wind Energy Center in the Electricity Reliability Council of Texas (ERCOT) North Zone, in Texas. The approximately 300-megawatt project is expected to be operational by the end of 2022 and to save more than 71,000 tons of CO2 emissions annually, equivalent to the average electricity usage of more than 12,000 homes in the United States.*

“We applaud Huhtamaki’s commitment to sustainability and are pleased to be able to support the company’s renewable energy goals. This will also create significant economic stimulus for the local community, creating good jobs and additional tax revenue”, says Matt Handel, Senior Vice President of Development for NextEra Energy Resources.

“We have already taken a series of pioneering steps on our journey to a sustainable future, with the intent to reach carbon-neutral production by 2030 while optimizing usage of resources, including energy, water, and waste. The VPPA enables us to make a significant leap forward in delivering on our ambitious sustainability agenda and Scope 2 emissions reduction target in line with our science-based targets. It also contributes to adding more green electricity into the U.S. energy mix”, says Thomasine Kamerling EVP Sustainability and Communications.

Huhtamaki’s science-based targets were validated and approved by the Science-Based Targets initiative in 2021. The company is committed to limiting the global temperature rise to well below 2°C in its operations and value chain. It will reduce its electricity greenhouse gas emissions by 27.5 % by 2030 and greenhouse gas emissions from its product end-of-life by 13.5 % also by the same timeframe. To achieve these targets, the company has to address its Scope 1, 2 and 3 emissions. Currently, a large portion of Huhtamaki’s Scope 2 emissions relate to purchased electricity and can thus be addressed with further adoption of renewable electricity.

^*Reference: www.epa.gov

All Oranges 41.2 Million Boxes

The 2021-2022 Florida all orange forecast released by the USDA Agricultural Statistics Board is 41.2 million boxes, down
2.30 million boxes from the February forecast. If realized, this will be 22 percent less than last season’s final production. The forecast consists of 18.2 million boxes of non-Valencia oranges (early, mid-season, and Navel varieties) and 23.0 million boxes of Valencia oranges. A 9-year regression has been used for comparison purposes. All references to “average”, “minimum”, and “maximum” refer to the previous 10 seasons, excluding the 2017-2018 season, which was affected by Hurricane Irma. Average fruit per tree includes both regular and first late bloom …

Please download the full citrus crop production forecast: www.nass.usda.gov

In November 2021, Symrise began a three-year research and development collaboration with French company Antofénol based in Plestan, Brittany. The company’s focus are natural solutions for replacing conventional agroextracts obtained by innovative, sustainable eco-extraction using microwave, ultrasound and vacuum technologies. The partners want to work together to develop environmentally friendly products. They will focus primarily on cosmetic ingredients and scents as well as the extraction of valuable compounds from side streams of the Flavor & Nutrition division.

The partners will contribute their specific skill sets and experiences to the collaboration in order to develop jointly unique products. Antofénol’s particular strengths lie in the microwave, ultrasound and vacuum extraction techniques, feasible even in combined mode, of natural raw materials. The technologies provide a number of advantages: They can adapt well to various raw materials, they use fast and effective energy transfer, and they save time compared with conventional processes. Antofénol’s high competency in the selection, sourcing and valuation of natural raw materials is also adding to this. In return, Symrise contributes its expertise in research and product development to the partnership, as well as its knowledge of the market, customers, and consumer demands. Of the Holzminden group, the cosmetic ingredients and scent divisions – both anchored in the Scent & Care segment – and France based Diana Nova from the Flavor & Nutrition segment participate in the collaboration.

The collaboration started to target the continuous increase in customer and consumer demands for naturalness, environmentally friendly and resources preserving manufacturing conditions. Sustainable and natural products from up-cycling of renewable side streams with good traceability play a decisive role in Symrise’s commercial success. The partnership strengthens the Holzminden Group’s position with regard to natural products in the Scent & Care segment and opens up new application areas in the Flavor & Nutrition segment.

In late February, the large-sized processors in São Paulo made their first purchase proposals for the oranges from the 2022/23 crop. Of the three companies in the state, two of them are interested in closing deals, bidding from BRL 30 – BRL 32.00 per 40.8-kilo box, harvested and delivered. The third processing plant was only renewing existing contracts. However, the number of deals closed is still low, since farmers expect prices to rise higher, due to both firm demand from the industry and, largely, higher production costs.

Indeed, data recently released by CitrusBR show that the volume of orange juice stocked by the end of the current season (in June 2022) will not be enough to supply the international market until the middle of next season. According to CitrusBR, ending stocks of Frozen Concentrate Orange Juice (FCOJ) Equivalent in the 2021/22 season are expected to total 126.574 thousand tons – possibly ranging between 115 and 135 thousand tons. It is important to mention that previous estimates (from September 2021) pointed to stocks between 170 and 190 thousand tons, but bad weather conditions (drought and frosts) reduced processing and hampered fruits development and ripening (influencing industrial yield).

If CitrusBR’s forecasts are confirmed, the volume stocked is expected to be much lower than the strategic level, of 250 thousand tons, scenario that may be observed at least until the end of the 2022/23 season (in June 2023) if the number of oranges produced is not high.

Cepea calculations show that, for stocks to surpass the strategic level by the end of next season, the number of boxes harvested in the citrus belt in São Paulo and the Triângulo Mineiro needs to be over 340 million – and of this total, 300 million need to be allocated to the industry. For these results were considered sales of a million tons (slightly lower than the average) and the average industrial yield of the past five crops.

Although it seems juice supply in Brazil will be tight for at least one more season, agents from processors have not reported any significant valuations for the commodity yet. This would be the major reason why bids for the new season have not been higher. On Feb. 23, the May contract at ICE Futures closed at USD 1,993/ton, 2 % down from that on December 30. However, it is important to mention that values at ICE Futures do not reflect real sales prices of processing plants.

One of the facts that may be constraining juice valuations abroad is the fear of bottling plants as for the negative effects of higher prices in Brazil. In the major destinations for the Brazilian orange juice, the United States and the European Union, demand for the product has been fading for some years, majorly because of the wide variety of other beverages, such as flavoured water, energy drinks and other types of juice, for instance.

Proactive health concerns are at the forefront of purchasing decisions across all generations, according to Kerry, one of the world’s leading taste and nutrition companies.

Kerry research shows that consumers in all age groups are interested in food and beverages with functional benefits – with demand for immune support, joint health and digestive health particularly high.¹

The insights are contained in the company’s new eBook, ‘Functional Health Benefits for Every Generation’, which highlights growing proactivity around nutrition and the expansion in markets for products targeting specific life stages and other demographic categories, such as gender.

It explores the needs of three groups in particular:

• Millennial parents: Millennials, who are now parents to around half of children in the US, are particularly likely to carry out extensive research ahead of purchases.
• Young actives: Focus areas for Generation Z consumers and younger millennials include athletic performance, education and work. They have a holistic approach to wellness and are interested in benefits such as improved sleep.
• Older adults: As consumers enter their 40s and 50s their focus shifts, with greater emphasis on physical and cognitive health.
• The research also found that demographic factors affect demand for benefits in particular applications. For example, for consumers in the older millennial category and upwards, tea and coffee are popular platforms for immune support.²

John Quilter, Kerry’s VP of ProActive Health, said: “Across all age ranges, consumers are now looking for functional benefits from their favorite food and beverages. However, it’s also true that different groups often have different needs, so an understanding of the importance of demographic factors like age and activity level can help manufacturers create on-trend products. For example, manufacturers should use functional ingredients that are supported by research as well as appealing to children’s tastes to win over millennial parents.”

The eBook also highlights the range of value that Kerry offers its customers through collaborative go-to-market support. This includes proprietary market insights, access to a team of more than 1000 scientists, nutritionists, product formulation experts and marketers around the world. It features case studies where partners have formulated with ingredients from the ProActive Health portfolio to create innovative functional products.

Download the eBook by clicking here.

¹Kerry Global Consumer Survey, Digestive, Immune and Joint Health, 2021
²Kerry Global Consumer Survey, Digestive, Immune and Joint Health, 2021

Kayco Beyond announces the debut of Wonder Lemon™, a first-of-its-kind, 100 % organic cold-pressed juice with zero added sugar. Wonder Lemon will have its first debut at Natural Products Expo West 2022 in Anaheim, California, US. With the demand for organic juices on the rise, Wonder Lemon offers the bonus of fresh and delicious citrus flavour, along with the health and wellness benefits of lemon.

Kayco is a family-owned business with humble beginnings in Upstate New York. Starting only with bottles of the now-iconic Kedem Grape Juice in 1948, Kayco worked diligently to create high-quality, affordable products that meet the most rigorous kosher standards. Now producing thousands of products, distributed in over 30 countries around the world, Kayco remains committed to the standards that defined the company nearly 75 years ago and originally made it one of the most recognized and adored brands in the specialty food business.

Wonder Lemon is the latest product to be released under Kayco’s traditionally high standards. Wonder Lemon is crafted with a blend of 100 % cold-pressed fruits and vegetables with zero added sugar and a delightful reduction of the acidity of the citrus. Cold-pressed juice, as opposed to other forms of fruit juices, is made with a hydraulic press, which allows for maximum extraction of the fruit or vegetable’s juices and nutrients. Especially in the wake of the COVID-19 pandemic, consumers have been growingly conscious of health and wellness, often seeking out food and drinks to help boost the immune system. As such, cold-pressed juices have gained a lot of popularity as a healthy and guilt-free treat. Lemon juice is an especially great choice for health-conscious consumers, as lemons are rich in vitamins A and C, as well as calcium, potassium, and beta-carotene, making them helpful for immunity, fatigue, and mood. Wonder Lemon is a delicious and refreshing way for consumers to get all of these health benefits.

Wonder Lemon is available in three refreshing and delightful flavours: Lemon Ginger, Lemon Mint, and Lemon Basil Jalapeño. Each of the lemon blend flavours are made with only five to six ingredients, with less than 110 calories per bottle and made up of 100 % natural fruits and vegetables. With the pairing of tart lemons with other dynamic flavours, Wonder Lemon juices are sweet and thirst-quenching, and customers can feel confident in knowing that they contain no added sugar, artificial flavours, preservatives, additives, or artificial colouring. Wonder Lemon is great for children and adults alike and can even be great for mixing with other beverages for some extra flavour and nutrients.

WAPA, the World Apple and Pear Association, released today the apple and pear stock figures from 1 February 2022. The figures show that in Europe apple stocks increased by 7.2 % compared to 2021 to reach 3,606,980 T, while pear stocks decreased by 30 % to 408,340 T. In the USA, apple stocks as of 1 February 2022 stood at 1,478,180 T (- 0.8 % compared to 2021), while pear stocks reached 149,553 T (31.9 % above 2021).

WAPA, the World Apple and Pear Association, collects every month the stock figures for apples and pears from Europe and the United States. WAPA can reveal that European apple stocks stood at 3,606,980 T as of 1 February 2022, which is 7.2 % above the figure of 2021. This was mainly driven by the increases concerning Red Jonaprince (35.9 % up from 2021), Golden Delicious (+ 22.5 %), Gala (+ 19.9 %), and Jonagold (+ 17.2 %), while several varieties decreased, including Cripps Pink (- 17.3 %) and Granny Smith (- 13.2 %). On the other hand, pear stocks stood at 408,340 on 1 January 2022, 30 % below the volume of 2021, mostly because of the large decrease in Italy (- 83.2 %).

In the USA, apple stocks in January stood at 1,478,180 T (down 0.8 % compared to 2021). The overall stability is due to the fact that Granny Smith’s 26.9 % increase over 2021 compensated for the decrease among several large varieties, such as Fuji (- 19.1 %), Red Delicious (- 12.6 %), and Gala (- 9.3 %). Pears stocks in the USA stood at 149,553 T, which is 31.9 % above last year.

Beviale Moscow, the first holistic trade fair for the Russian beverage market, is being suspended indefinitely in light of current events. It will not take place, as planned, from March 29 to 31, 2022, in Pavilion 57 of the VDNH event center in Moscow.

In its sixth edition, Beviale Moscow was well on its way to building on previous successes. Around 100 exhibitors had registered for Beviale Moscow 2022 and some 5,000 visitors were expected, around two-thirds of them from Russia.

Trade fairs have always stood for the peaceful exchange of goods, services and ideas between different nations. Conversely, peace is a basic prerequisite for trade fairs to take place in the respective countries. Due to the armed conflict and the resulting sanctions, it is currently not possible to hold Beviale Moscow. It is therefore suspended for an indefinite period.

Symrise AG outstandingly capitalized on the economic recovery in 2021 and successfully continued the profitable growth course. The Group once again significantly increased sales and earnings. Symrise grew Group sales in reporting currency by 8.7 % to € 3,826 million (2020: € 3,520 million). Without taking into account portfolio and currency effects, organic growth amounted to 9.6 %. Earnings before interest, taxes, depreciation and amortization (EBITDA) at € 814 million were significantly above the prior-year figure of € 742 million. The Group maintained profitability at a high level with an EBITDA margin of 21.3 % (2020: 21.1 %). Against the backdrop of the positive development, the Executive Board and the Supervisory Board of Symrise AG propose a dividend increase for the 12th year in succession. Shareholders are to participate in the success of the company with a dividend of € 1.02 for the fiscal year 2021.

“2021 was a successful year all round for Symrise. We made good use of the tailwind generated by the global economic recovery and we aligned our sails accordingly. As a consequence, we very successfully continued our course of profitable growth. Additionally, we were also able to realize trailblazing purchases and investments. This allowed us to strategically diversify our know-how and our portfolio, further increase our appeal to customers and differentiate our profile in the market. Since September, Symrise has also been a member of the DAX, Germany’s leading index. As a result, our share has continued to gain a higher profile and enhanced appeal, particularly on the international capital markets. Part of our capital market philosophy is for our shareholders to participate in the successful development of Symrise AG. The Executive Board and Supervisory Board therefore propose the twelfth dividend increase in succession in the amount of € 1.02 for the year 2021,” said Dr. Heinz Jürgen Bertram, CEO of Symrise AG. “For the current fiscal year, we confirm our long-term target to achieve an average increase in sales of between 5 and 7 % (CAGR) and to exceed market growth. Furthermore, we are once again targeting high profitability for 2022 with an EBITDA margin of around 21 %, in spite of the increasing raw materials costs and energy prices.”

Economic recovery drives demand and leads to strong sales growth

The impacts of the coronavirus pandemic significantly diminished in large parts of the world over the course of the year. The behavior of consumers normalized and demand surged. Symrise increased sales in reporting currency by 8.7 % to € 3,826 million (2020: € 3,520 million). Organic sales growth amounted to 9.6 %. Symrise not only exceeded the average growth of the relevant market but also the most recent sales forecast issued in November 2021 of around 9 %. Regarding the regions, Latin America once again recorded the strongest organic growth of 13.5 %, followed by Asia/Pacific with 10.3 %. The regions EAME and North America also delivered very good growth with 8.8 % and 8.5 % respectively.

Significant increase in EBITDA and net income

In fiscal year 2021, Symrise increased earnings before interest, taxes, depreciation and amortization (EBITDA) to an outstanding € 814 million. The Company exceeded the prior-year level by 9.6 % (2020: € 742 million) in spite of the increased raw materials costs and costs of strategic growth initiatives amounting to € 174 million.

The group-wide EBITDA margin rose in the second year of the pandemic to 21.3 % and therefore exceeded the prior-year level (2020: 21.1 %).

Symrise increased net income by € 68 million to € 375 million (2020: € 307 million). Earnings per share rose to € 2.74 (2020: € 2.27). In view of this positive development, the Executive Board and the Supervisory Board will propose to the annual general meeting on 3 May 2022 a dividend increase to € 1.02 per share for the fiscal year 2021 (2020: € 0.97).

Net debt with 2.4 in targeted margin range

As of 31 December 2021, net debt including pension and leasing liabilities decreased to € 1,964 million (2020: € 2,029 million). This corresponds to a ratio of net debt to EBITDA of 2.4.

The business free cash flow amounted to € 486 million (2020: € 564 million).In spite of the increase in earnings, it was defined above all by higher investments, an increase in inventories (strategic stockpiling in order to mitigate the risks due to delays in international supply chains) and a high level of trade receivables as a consequence of the strong growth in sales.

In a year-on-year comparison, the equity ratio rose from 39.8 % to 49.0 %. Symrise thus has a very solid foundation for continued sustainable growth of its business in the future.

Taste, Nutrition & Health segment

In April 2021, Symrise merged the former two segments Flavor and Nutrition into a new segment and renamed it Taste, Nutrition & Health to reflect the purposefully implemented portfolio expansion. It is intended to align the expanded activities even more closely with customer needs and hence make know-how, technologies and product knowledge a shared asset. Over the course of the year, Symrise strengthened the activities through the acquisition of the Canadian manufacturer Giraffe Foods and invested in a stake of the Swedish animal health company Swedencare. The core business no longer includes the food color application areas which have been sold to Oterra as well as the Drinkstar Velcorin activities. The distribution model with Lanxess was terminated effective 1 January 2022.

Taste, Nutrition & Health increased sales by 8.5 % to € 2,335 million (2020: € 2,151 million). Organic growth even amounted to 10.6 %. The change in behavior in out-of-home leisure activities and the increasing trend of on-the-go consumption resulted in a particular high demand for beverage applications. Furthermore, the segment benefited from very dynamic growth rates in the Pet Food segment.

Taste, Nutrition & Health increased EBITDA to € 531 million (2020: € 471 million). The EBITDA margin at 22.7 % was at an outstanding level and significantly exceeded the prior-year value (2020: 21.9 %).

Symrise confirms long-term growth and profitability targets

According to experts estimates, the global economy will slow down slightly in the current fiscal year after the strong recovery in 2021. Symrise is excellently positioned with its robust business model, the diversified application portfolio and its broadly based regional presence and customer base. The Company therefore confirms its long-term growth and profitability goals. Symrise continues to target above market growth and increase average annual sales by 5 to 7 % (CAGR). This objective also applies to the current financial year 2022, in spite of increasing raw material costs.

Symrise is committed to organic and inorganic growth, which includes the acquisition of the Dutch company Schaffelaarbos in January 2022 and the Chinese Wing Pet Food in February 2022. Furthermore, Symrise will maintain strict cost consciousness and continue the holistic sustainability management in all its divisions.

Profitability is projected to remain at a high level in 2022 with an EBITDA margin of around 21 %. Over the medium term until the end of fiscal year 2025, Symrise has a target of achieving an EBITDA margin in the corridor of 20 to 23 %.

Elopak is deeply concerned by the tragic developments in Ukraine and stands with all those who are suffering at this time. Elopak has wholeheartedly condemned the unprovoked attack by the Government of Russia and supports the resulting economic sanctions implemented by the EU and other actors.

This war has an enormous human cost. As a result of the ongoing and escalating conflict, Elopak is today announcing the suspension of all activities in Russia with immediate effect and until further notice. Elopak’s plant in Fastiv, Ukraine, has already been temporarily closed as we work to protect the safety of our colleagues and their families.

We will continue to pay the salaries of our 336 employees directly affected until further notice. As part of the vital food supply chain, Elopak continues to monitor and evaluate the situation. We are assessing how best we can adapt our operations to support continued access to essential goods across the Eastern European Region.

Our overriding priority remains the personal safety and security of our employees in Ukraine. We are in constant touch with our co-workers in Kyiv and Fastiv and have established a steering group that is working to support them and their loved ones.

The decision is not expected to impact Elopak’s operations outside of Russia, Belarus and Ukraine.

A new study by Oregon State University scientists outlines a key advance in turning apple waste into an environmentally friendly packaging material that could serve as an alternative to plastic.

Recycled newspaper has traditionally been the main ingredient of so-called molded pulp packaging products, which have become increasingly popular because they are compostable. But the supply of recycled newspaper is in decline, creating a market for substitute materials.

Yanyun Zhao, an Oregon State professor who leads a research team focusing on sustainable food packaging and processing, has studied apple pomace and other byproducts from processing fruit and vegetable juice and winemaking as an alternative for recycled newspaper in molded pulp manufacturing. She and the team received a patent for this research.

“Right now, apple pomace is typically just composted or used for animal feed,” said Zhao, whose research aims to reduce food loss and waste across the food supply chain. “We thought why not turn it into an environmentally friendly product that meets an industry need.”

Zhao envisions apple pomace being the main ingredient for molded pulp packing products such as take-out containers, flower pots, beverage cartons and bottles and clamshell packaging used for fruits and vegetables.

She is focused on apple pomace, in part, because it is readily available in the Pacific Northwest. When apples are processed for juice about 70 – 75 % of the apple goes into the juice, leaving the remaining 25 – 30 % as pomace.

One of the key problems to solve in creating pomace and paper-based packaging is improving water resistance so that it could withstand high moisture, liquid food or non-food items and products stored under high humidity conditions.

In a just-published paper in Food and Bioproducts Processing, the team sought to create eco-friendly, bio-based, compostable and cost-effective solutions that would improve the hydrophobicity, or water resistance, of the apple pomace-based molded pulp products.

They used two strategies: incorporating polymers and compounds with characteristics to improve water resistance into the pulp formulation and applying superhydrophobic coatings on the product surface. The polymers and compounds studied include lignin, chitosan and glycerol.

Lignin is a polymer that forms key structural materials in the support tissues of most plants. Rhubarb pomace, which is particularly lignin rich, was used in this study.

Chitosan is a bio-based polymer commonly used in the papermaking industry. A previous study from Zhao’s team found that chitosan reduced water absorption of cellulose nanofiber (CNF) films significantly through adsorption of chitosan onto CNF fibers via hydrogen bonds.

Finally, glycerol is an organic compound often added to a material to make it softer and more flexible. Previous studies had shown that at low levels glycerol decreased water absorption.

The researchers determined the optimal amounts of those polymers and compounds while also adding a small amount of cardboard fiber for stability of the molded pulp packaging products.

Zhao’s team has a long history of studying food coatings as a barrier to water and gases. The team had previously created a two-step preparation of superhydrophobic coating that is heat, cold and water resistant. They applied a simplified, one-step coating on the surface of the apple pomace-based product to enhance water resistance.

They concluded that the study demonstrated the feasibility of using fruit pomace as a new source of fiber in producing molded pulp packaging and effective approaches to enhancing water resistance in those packaging materials.

Co-authors of the paper are Clara Lang, Jooyeoun Jung and Taoran Wang, all of whom are former or current members of the Sustainable Food Packaging and Processing team in the Department of Food Science and Technology in Oregon State’s College of Agricultural Sciences.

The research was supported by the Oregon Department of Agriculture Specialty Crop Block Grant Program. Kerr Concentrates, Inc. of Salem and Hood River Juice Company of Hood River provided fruit pomace for the research.

About the OSU College of Agricultural Sciences:
Through its world-class research on agriculture and food systems, natural resource management, rural economic development and human health, the College provides solutions to Oregon’s most pressing challenges and contributes to a sustainable environment and a prosperous future for Oregonians.

On the occasion of its Annual General Meeting, the World Apple and Pear Association (WAPA) has released the Southern Hemisphere apple and pear crop forecast for the upcoming season. According to the forecast, which consolidates the data from Argentina, Australia, Brazil, Chile, New Zealand, and South Africa, apple and pear production is estimated to decrease by 7 % and 6 % respectively in 2022 compared to the previous year.

On 24 February 2022, on the occasion of its Annual General Meeting, the World Apple and Pear Association (WAPA) has released its 2022 apple and pear crop estimate for the Southern Hemisphere. This report has been compiled with the support of ASOEX (Chile), CAFI (Argentina), ABPM (Brazil), Hortgro (South Africa), APAL (Australia) and New Zealand Apples and Pears, and therefore provides consolidated data from the six leading Southern Hemisphere countries. WAPA’s Secretary General Philippe Binard commented “This forecast is released for the global apples and pears sector on the background of many uncertainties, including the geopolitical tension, the increasing costs for production, the impact of the rise of logistic costs and limited container availability, labour shortage and the increasing concerns of declining consumption due to economic situation”

The 2022 Southern Hemisphere apple crop forecast suggests a decrease of 7 % to a total of 4.864.000 T compared to last year (5.217.000 T), mainly due to the 30 % decrease in Brazil and the 11 % decrease in Argentina. Australia and Chile are also forecasted to decrease their production by 3 % and 2 % respectively. New Zealand and South Africa are the only countries where apple production is expected to increase (15 % and 4 % respectively). Chile is expected to remain the largest Southern Hemisphere apple producer in 2022 (1.455.000 T), followed by South Africa (1.163.000 T), Brazil (900.000 T), New Zealand (590.000 T), Argentina (445.000 T), and Australia (311.000 T). With 1.706.000 T, Gala remains by far the most popular variety, although its production is expected to decrease by 7 % compared to 2021. Despite the decrease in production, exports are forecasted to remain stable overall at 1.744.762 T, with the larger volumes exported by New Zealand (+ 17 %) and South Africa (+ 6 %) compensating for the 65 % decrease in Brazilian apple exports.

Regarding pears, the Southern Hemisphere growers predict a 6 % decrease of the crop, which will drop to 1.229.000 T. This is mainly due to the 13 % decrease in Argentina, the 11 % decrease in Chile, and the 6 % decrease in Australia. New Zealand and South Africa, on the other hand, are expected to increase their production by 31 % and 5 % respectively. Argentina remains the largest producer in the Southern Hemisphere (522.000 T), followed by South Africa (492.000 T), Chile (122.000 T), Australia (81.000 T), and New Zealand (11.000 T). Packham’s Triumph remains the most produced variety (444.000 T, despite a 4 % decrease compared to 2021), followed by Williams’ bon chrétien pears (306.000 T). Export figures are expected to decrease by 6 % compared to 2021 to a total of 641.207 T, mainly because of a 14 % decrease in Argentinian exports.

In the Northern Hemisphere, the stocks in the USA stood at 1.478.180 T (- 1 % compared to last year) for apples and 149.553 T for pears (+ 32 % compared to last year) on the 1st of February. In Europe, apple and pear stocks stood at 3.606.980 T (7 % up from last year) and 408.340 T (30 % down from last year). Philippe Binard commented: “Season developments clearly demonstrate the impact of logistics and costs on international trade also for Northern Hemisphere suppliers, with the USA concentrating sales for apples and pears in North America. European markets continue to be affected by the Belarus embargo, while the recent developments in Ukraine will also impact sales to all the destinations in Eastern Europe, including Russia, for all global apples and pears suppliers. It is important to continue building efforts to stimulate the consumption”. WAPA’s Annual General Meeting also hosted a discussion on CO2 emissions and how apple and pear production can reach carbon neutrality or even have a positive contribution to the environment. WAPA will continue to cooperate on this topic with its members in a dedicated working group based on the input and expertise of the University of Bolzano (Italy).

Finally, the Annual General Meeting also confirmed that Prognosfruit will return as an in-person event in the first half of August 2022 in Belgrade (Serbia). The exact date of the event will soon be announced.

The team behind Schilling Cider, a leading cider producer in the Pacific Northwest in the US, announced the launch of Vida Maté, a new line of low-calorie, non-alcoholic yerba maté beverages that seek to transform the caffeine experience. Crafted to elevate the traditional South American “super beverage” with the craft quality of the Pacific Northwest, Vida Maté is made with real fruit juice and a proprietary blend of adaptogens. The result is a refreshing, delicious alternative to sugary coffee drinks and artificially flavoured caffeine-in-a-can. With operations based in Seattle and Portland, the Schilling team is excited to debut this new plant-powered pick-me-up, made exclusively with naturally occurring caffeine.

Vida Maté fits the gluten-free and vegan-friendly lifestyle, offering a boost in vitality and focus through a functional blend of adaptogens: Vitamin B12 for a power boost, L-Theanine for focus, and GABA for stress relief combine to ensure a clean, jitter-free delivery of caffeine with no unpleasant crashes.

Launching with three flavours – Lemon Mint, Mango Lime, and Blackberry Lemonade – Vida Maté is available in 16 oz. cans at thousands of grocery, convenience, and natural food stores across the Pacific Northwest, since March 1, 2022.

“Innovating in healthful, refreshing beverages is our calling,” says Colin Schilling, CEO and co-Founder of Schilling Cider. “This starts with the same quality and techniques we bring to crafting our fresh-pressed apple cider. It’s exciting to push those boundaries into the yerba maté segment. Consumers are demanding delicious, healthier options made right here in their backyard, and we can’t wait to share Vida Maté with our community.”

While other canned yerba maté drinks depend on a formula that involves non-yerba maté derived and synthetically produced caffeine, Vida Maté’s caffeine occurs naturally and comes 100 % from yerba maté. And because Vida Maté is made from real fruit juice, it’s not overly sweet and it’s lower in calories and sugar.

The team at Schilling has long enjoyed traditional yerba maté drinks, before launching their own. Yerba maté is a plant indigenous to South America. The leaves and twigs are dried, dried over a fire, and then steeped in hot water for an invigorating tea.

WAPA, the World Apple and Pear Association, released the apple and pear stock figures from 1 February 2022. The figures show that in Europe apple stocks increased by 7.2 % compared to 2021 to reach 3,606,980 T, while pear stocks decreased by 30 % to 408,340 T. In the USA, apple stocks as of 1 February 2022 stood at 1,478,180 T (- 0.8 % compared to 2021), while pear stocks reached 149,553 T (31.9 % above 2021).

WAPA, the World Apple and Pear Association, collects every month the stock figures for apples and pears from Europe and the United States. WAPA can reveal that European apple stocks stood at 3,606,980 T as of 1 February 2022, which is 7.2 % above the figure of 2021. This was mainly driven by the increases concerning Red Jonaprince (35.9 % up from 2021), Golden Delicious (+ 22.5 %), Gala (+ 19.9 %), and Jonagold (+ 17.2 %), while several varieties decreased, including Cripps Pink (- 17.3 %) and Granny Smith (- 13.2 %). On the other hand, pear stocks stood at 408,340 on 1 January 2022, 30 % below the volume of 2021, mostly because of the large decrease in Italy (- 83.2 %).

In the USA, apple stocks in January stood at 1,478,180 T (down 0.8 % compared to 2021). The overall stability is due to the fact that Granny Smith’s 26.9 % increase over 2021 compensated for the decrease among several large varieties, such as Fuji (- 19.1 %), Red Delicious (- 12.6 %), and Gala (- 9.3 %). Pears stocks in the USA stood at 149,553 T, which is 31.9 % above last year.

Investment to grow critical infrastructure of leading global beverage solutions provider

Refresco Group B.V., one of the largest independent beverage contract manufacturers in the world, and KKR, a leading global investment firm, announced that KKR has signed a definitive agreement to acquire a majority stake in Refresco, with Refresco’s existing investors, PAI Partners and British Columbia Investment Management Corporation (“BCI”), maintaining a significant minority position. Terms of the transaction, which is subject to closing conditions, were not disclosed.

Founded in 1999, Refresco is a global independent beverage solutions provider for retailers and branded beverage companies with pan-regional coverage in Europe and North America through its network of bottling, warehousing, logistics and other operational assets. The Company’s production platform includes over 70 majority-owned manufacturing sites in Europe, the U.S., Canada and Mexico, providing customers with close proximity and a reliable service across geographies. Refresco has built long-standing relationships with its customers by partnering to support material planning, procurement, manufacturing, warehousing, fulfillment, and distribution.

KKR will support Refresco as it expands its global and strategically located footprint to better serve existing and new customers through a range of formats and channels. The Company will build on its ability to manufacture high quality products that meet the growing demand for sustainable beverage solutions, with a focus on sustainable sourcing, responsible production and environmentally friendly operations.

“We are very pleased to welcome KKR, one of the world’s most prominent investment firms, as our new majority owner. We are proud that PAI and BCI will continue as shareholders, which is a testament to our successful value creation,” said Hans Roelofs, CEO of Refresco. “To support further growth, we have explored the various alternatives available to us and believe that the investment by KKR is an incredibly positive development for the Company. Like our existing shareholders, KKR is supportive of our strategy and will bring operational expertise, access to capital and a well-established network to support us in our growth, innovation and M&A strategy. Our focus of growing alongside our customers, combined with expanding into new categories and geographies, remains unchanged. I look forward to this new chapter, and for all our employees and customers to capitalize on the opportunities ahead of us.”

“Refresco has established itself as an industry leader supporting the global beverage industry with a blue-chip global customer base, an experienced and highly regarded management team, and an impressive network of assets that provides compelling value to customers. The Company also has a strong commitment to sustainability, which is an important differentiator for its customers,” said James Cunningham, Partner at KKR. “We look forward to leveraging our operational expertise from across the KKR platform to support the Company’s continued growth and further advance the sustainability of its value chain.”

“We are proud to have been instrumental in Refresco’s growth since we initiated our investment with BCI in 2018,” said Frédéric Stévenin, Managing Partner of PAI Partners. “We are even more excited about the prospect of continuing to stay a part of Refresco’s strong growth trajectory alongside KKR. We are convinced of Refresco’s unique value-add capabilities, its growth initiatives and a proven M&A track record, and we look forward to the next phase of this journey.”

“As an institutional investor with a long-term perspective, supporting strong management teams and market leading companies is core to our private equity program. We are in full agreement with Frédéric’s comments and are very happy to continue this partnership with management, PAI and KKR,” said Julian Remedios, Senior Managing Director, Private Equity, BCI.

KKR is making this investment primarily through its Global Infrastructure strategy, which was established in 2008. Since that time, KKR has been one of the most active infrastructure investors around the world with a team of more than 70 dedicated investment professionals. The firm currently oversees approximately $ 40 billion in infrastructure assets and has made over 60 infrastructure investments across a range of sub-sectors and geographies.

About KKR
KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries.

Elopak and Nippon Paper Industries sign Memorandum of Understanding (MoU) to strengthen partnership and advance collaborative efforts in the field of liquid-paper packaging.

Elopak ASA and Nippon Paper Industries Co., Ltd have signed a comprehensive Memorandum of Understanding (MoU). The agreement covers further collaboration between the two companies, looking at how potential business can be jointly developed and organised given their respective expertise, assets and networks.

Nippon Paper Industries, the largest liquid packaging player in Japan, is concentrating efforts in the field of paper packaging with the goal of contributing to the enrichment of people’s lives and the development of culture under the slogan of “Pioneering the future together with trees.” Based on the slogan “What can be done with paper,” Nippon Paper pursues the potential of paper packaging born from wood, a renewable resource, and offers a variety of proposals.

Elopak, a leading global supplier of carton packaging and filling equipment, offers sustainable packaging solutions that provide a natural and convenient alternative to plastic bottles. The MoU aligns with Elopak’s ambitions to meet the rising demand for sustainable packaging solutions by pursuing a growth strategy centered on investment in innovation; the pursuit of new business opportunities in existing and new markets across both fresh and aseptic markets; and driving the plastic to carton conversion.

The two companies have worked closely together for many years. In March 2016 they signed a product licensing agreement that allows Nippon Paper to manufacture and sell certain Pure-Pak® cartons in Japan. When Elopak listed on the Oslo Stock Exchange in June 2021, Nippon Paper entered into a cornerstone agreement to acquire shares equivalent to 5.0 % of the share capital.

Under the MoU a Steering Committee will be established, tasked with selecting and implementing collaborative themes that leverage the strengths of both companies, while increasing competitiveness and expanding sales of paper packaging to accelerate the move toward a low carbon circular economy.

Collaboration between Nippon and Elopak is built on the companies’ shared commitment to sustainability and innovation. Both companies are members of the United Nations Global Compact and incorporate the UN’s Sustainable Development Goals (SDGs) into their development strategies. They also have a shared dedication to sustainable forest management and improved recycling of their paper products.

Commenting on the MoU Elopak CEO Thomas Körmendi stated, “We are delighted to be exploring the opportunities that exist for Elopak and Nippon to collaborate further. Building on our strong track record of working together to deliver for customers, we are excited by the opportunity to leverage our relative strengths and areas of expertise to drive the adoption of sustainable packaging solutions.”

Commenting on the MoU Nippon Managing Executive Officer and General Manager of Paper-Pak Sales Division Yasuhito Obayashi noted, “We are really excited by this opportunity to grow our strong relationship with Elopak and are looking forward to collaborative value creation based on both companies’ deep expertise and strength that delivers sustainable packaging solutions to market.”

Bright, modern, and colourful design captures the brand’s mission to make soda both a fun and smart choice with ingredients that benefit the brain-gut connection and offer functional benefits with every sip

HERE Originals reintroduces its groundbreaking prebiotic soda, VINA in the US. Reformulated with an essential, proprietary blend of prebiotics, trace minerals, plant fibers and organic ingredients, VINA is expertly crafted to directly benefit the brain-gut connection. On a mission to recalibrate the soda category and functional cold box with a smarter choice, VINA unveils a line-up of flavours that taste great, are delightfully effervescent and expertly formulated to be both fun and smart to drink.

The revamped brand identity and packaging design follows a period of strategic repositioning of VINA’s functional benefits centered on the brain-gut connection. As functional soda becomes a fast-growing subcategory of the greater functional beverage space, the demand for healthier soda alternatives has rapidly increased. VINA’s unique formula that prioritizes brain and gut performance will invigorate consumer demand and add incremental value to this exciting new category with multifunctional benefits to both mind and body.

“Historically, soda hasn’t been considered a healthy choice, packed with sugars and toxins, despite the fun nature of the flavourful beverage. We saw a need to preserve what we all love about soda while completely reconstructing it to be both a naturally delicious and smart choice,” said Founder and CEO, Alex Matthews. “We challenged ourselves to cram what we call ‘The Smarts’ (plant fiber, trace minerals, prebiotics) into our formula for unprecedented functionality and of course, quality taste.”

Connected by millions of nerves and chemicals called neurotransmitters, the brain and gut are a package deal. Operating in a symbiotic relationship, when one is in distress, the other suffers. And, when one is balanced and thriving, the other reaps the rewards. VINA’s formula and ingredient selection are designed to address not one or the other in isolation, but both for optimal wellness.

According to VINA’s Chief Smarts Officer and mind-body expert, Dr. Cynthia Kerson, “The neurotransmitters bidirectionally linked between the brain and gut impact the very core of emotional wellbeing. Stress and anxiety in the mind caused by anything from external factors to deficiencies from essential nutrients can make its way down to the gut and lead to issues ranging from mild discomfort to GI tract issues. Alternatively, serotonin (the stuff that keeps our spirits high) is largely produced in the gut by millions of microbes in a healthy digestive ecosystem. VINA is ‘smart’ because it’s both multifaceted and hyperfunctional as it addresses mind-body wellness at its very core.”

VINA aims to delight both the pop purist and the functional beverage drinker with both taste and nutritional benefits. Crisp, fruity and crafted with an undertone of citrus to keep things balanced and bright, VINA comes in five flavours: Ginger Fizz, Cherry Pop, Grapefruit, Lime Lemon and Pomegranate. All blends are 5 g of sugar or less, 25 calories or less, certified USDA Organic, gluten-free, vegan and made with all natural ingredients.

VINA is the second beverage line out of HERE Originals, following De La Calle, a spin on the Mexican fermented pineapple beverage Tepache that won Best New Products and Best Packaging Design from BevNet’s Best of 2021 Awards.

VINA Prebiotic Soda is available in the US via drinkvina.com. Purchase one case of 12 cans (12 fluid ounces) for $33.99 MSRP or a monthly subscription for $28.89 per case, a 15 % discount.

Royal DSM, a global purpose-led science-based company, reveals its new integrated Food & Beverage operating structure which unifies three areas of DSM’s nutrition business – Food Specialties, Hydrocolloids and part of its Nutritional Products group – to closely align with emerging customer and market needs. The new business group combines the company’s full range of food and beverage ingredients, expertise and science-based solutions that improve the taste and texture of foods, as well as support healthier lives and a healthier planet. The new Food & Beverage organization will focus on helping consumers ‘enjoy it all’ without having to choose between taste, texture and health. This differentiating message will be the cornerstone of a new campaign.

The global food and beverage market is set to continue its upward trajectory as the world’s population grows, placing new pressures on producers in an already competitive space to innovate and get to market quickly. At the same time, the industry is converging with the health and wellness space, and increasingly aligning with consumer expectations for delicious products that support their health alongside environmental and social aspirations. DSM’s strategy aims to support this market advancement through the creation of one Food & Beverage business group that encompasses the ingredients, global and local expertise and solutions provided by its previously distinct Food Specialties, Hydrocolloids and Nutritional Products business areas.

This simplified structure represents the activation of DSM’s announcement in September 2021 that the company will become a fully-focused Health, Nutrition & Bioscience company. By establishing a ‘one-stop-shop’ of ingredients, solutions and end-to-end capabilities, DSM will help food and beverage manufacturers worldwide fast-track product development and achieve efficient production. As a leading provider of vitamins, minerals and other micronutrients, an innovator in enzyme solutions, and a frontrunner in dairy cultures, DSM has unrivalled nutritional science expertise and deep application knowledge which is paired with prominent advocacy for healthier and more sustainable food systems. This is supported by a number of recent acquisitions – including DSM’s acquisition of First Choice Ingredients, a leading supplier of dairy-based savory flavorings – which have enabled DSM to further elevate its taste, texture and health offering for customers. DSM is therefore uniquely placed to help manufacturers overcome the friction that must be navigated to deliver delicious, nutritious and sustainable food and beverage products, so customers and consumers can ‘enjoy it all’.

As an advocate and leader in enabling a healthier and more sustainable food system, DSM’s solutions help boost process efficiencies, reduce food loss and waste and lower the environmental impact of production and consumption – while also enhancing food’s nutritional profile. As part of this, DSM is taking strategic steps in developing specialty proteins that are produced within planetary boundaries, including CanolaPRO®, and supporting producers to be at the forefront of this protein diversification towards a healthier future. DSM’s recent acquisition of Vestkorn Milling, a supplier of pea- and bean-derived proteins, starches and dietary fibers, will also complement and further accelerate this growth. These efforts are part of DSM’s commitment to reach 150 million people with plant-based protein foods by 2030, in alignment with our recently announced series of quantifiable food system commitments.

All Oranges 43.5 Million Boxes

The 2021-2022 Florida all orange forecast released by the USDA Agricultural Statistics Board is 43.5 million boxes, down 2 percent from the January forecast. If realized, this will be 18 percent less than last season’s final production. The forecast consists of 17.5 million boxes of non-Valencia oranges (early, mid-season, and Navel varieties) and 26.0 million boxes of Valencia oranges. A 9-year regression has been used for comparison purposes. All references to “average”, “minimum”, and “maximum” refer to the previous 10 seasons, excluding the 2017-2018 season, which was affected by Hurricane Irma. Average fruit per tree includes both regular and first late bloom …

Please download the full citrus crop production forecast: www.nass.usda.gov

Leading branded soft drinks business, Britvic is joining forces with University of Cambridge-backed tech company Xampla in a GBP 1 million packaging innovation partnership.

After 15 years of Cambridge research, Xampla has developed the world’s first plant protein material for commercial use. This revolutionary material uses pea protein to make microscopic capsules that protect vitamins within liquid, stopping them from being broken down by sunlight.

Xampla’s work has seen the company secure GBP 1 million in funding from the UK Government’s innovation agency, Innovate UK, to scale up the technology and material processing.

The innovation is critical to delivering drinks fortified with vitamins in clear plastic bottles. Clear plastic bottles are considered a positive by consumers, with Britvic’s research showing that people are 40 % more likely to recycle clear bottles over coloured ones. However, the downside of clear bottles is that they let more UV rays in, losing the necessary protection for vitamin D.

Simon Hombersley, CEO of Xampla, said: “We are delighted to be partnering with Britvic to deliver innovation that will revolutionise the drinks industry and it is extremely exciting to see what our material can do at scale. Xampla works with businesses to help solve their biggest problems while also enabling customers to meet their sustainability goals.

“Britvic has a proud history of fortifying its products with vitamins and seeking sustainability in its packaging. Our partnership is about helping to do both even more effectively. We can’t wait to get started.”

Last year, major Britvic brands Fruit Shoot and 7UP made the shift to clear bottles to drive up recycling rates and Britvic has started to add vitamins B, C and D to Robinsons Fruit & Barley.

Meanwhile, leading Irish squash brand MiWadi 0 % Sugar contains vitamins B, D and zinc and children’s favourite Fruit Shoot has been fortified with multivitamins since 2016. Added vitamins C and D help support the immune system and the growth of strong bones, while B vitamins contribute to energy release.

Sarah Webster, Director of Sustainable Business at Britvic, said: “Our work with Xampla supports our Healthier People, Healthier Planet strategy.

“By agreeing this GBP 1 million partnership with each other, we have shown the power of collaboration between established players and cutting-edge innovators to deliver Healthier People and Healthier Planet.

“Xampla technology has the makings of a ‘win-win’, enabling delivery of greater nutritional value in the drinks people love, while ensuring that more products can come to market in clear, recyclable bottles.”

Britvic has a long history of fortifying drinks with vitamins. The FTSE 250 company started life in 1845 as The British Vitamin Product Company, with a mission to provide customers with an affordable source of nutrition. The company is committed to a programme to reduce unnecessary plastic and is working with Xampla through an Innovate UK-backed grant to develop new formats for delivery of soft drinks and nutrients within drinks.

News of the Britvic partnership follows a successful Xampla world first product launch with meal kit manufacturer Gousto last year, where Xampla created an edible film to be used as wrapping for stock cubes. The trial kits – for making an Indian Spiced Carrot & Lentil soup recipe – sold out within one hour of going on sale.

About Xampla
Xampla is a spin-out from the University of Cambridge. Its Supramolecular Engineered Protein has been developed over the past 15 years. It has created the world’s first plant protein material for commercial use. Its material performs like synthetic polymers, but decomposes naturally and fully without harming the environment. Xampla is the first UK University spin-out to be awarded B Corp status.

State-of-the-Art Ohio (U.S.) facility helps processors accelerate product rollout

Following its recent re-entry into the high pressure processing (HPP) market, Quintus Technologies is opening a state-of- the-art Application Center in Columbus, OH (U.S.). Under the leadership of Ngoc Phan, globally recognized as one of the world’s most experienced HPP application experts, the Center will assist food and beverage processors with the development of the preservative-free, ‘good-for-you’ products demanded by today’s consumers.

“Despite thousands of commercial HPP products currently available around the globe, one source of continued frustration to more food companies is the time involved in the realization of their new HPP products market rollouts,” observes Ed Williams, General Manager – Americas, Quintus Technologies. “A key objective of our new Application Center is to reduce those delays by putting our internal and external HPP expertise to work.”

The Center’s menu of services spans the entire HPP development process, from optimized product formulations and packaging to in-house pathogen validation, shelf-life studies, and assistance with HACCP implementation and regulatory compliance. In both scope and pace, evaluation and support offerings are geared to accelerate the speed at which processors bring new HPP products to market.

The new Application Center, part of a 5,200-sf demonstration suite, features a commercial size Quintus QIF 150L HPP modular system. Reflecting the company’s leadership role in high pressure for nearly three-quarters of a century, the press incorporates new mechanical and digital solutions such as an integrated pumping system, frequency-controlled motor drives, new smart-press functionality, and AI algorithm-based condition monitoring, all advances that improve efficiency and productivity.

The facility is also equipped with a test kitchen, microbiology laboratory, analytical laboratory, vacuum packaging machine, walk-in cooler, and freezer.

Application Center services are available to any food or beverage company wanting to advance the commercial growth of HPP foods. Processors interested in investing directly in a Quintus Technologies food system receive additional benefits through Quintus^® Care, a comprehensive program of application know-how and best-in-class aftermarket technical support, designed for industry 4.0 and factory-of-the-future connectivity.

“We are very excited about the opportunities to help the food industry address global sustainability challenges such as food waste, product recalls, and related foodborne illnesses through the HPP technology we pioneered,” says Jan Söderström, CEO and President of Quintus Technologies. “We look forward to welcoming processors to our Application Center open house planned for late April 2022.”

Top 4 megatrends shaping global beverages in the year ahead

TREATT take a look at the top 4 megatrends set to shape the future of the beverage industry, sharing the latest global data and insights.

For each megatrend TREATT get closer to the key drivers affecting consumer behaviour, what this means for beverages across the world and helps to answer your questions around consumer trends.

The megatrends are:

1. Health and wellbeing

Health and wellbeing has morphed from a trend to a way of life but remains a key motivator of consumer behaviour globally. From the silent generation to Gen Z, all are embracing both a preventative and curative approach to health in a holistic and more personalised way than ever before. Across the CPG landscape TREATT is witnessing a rapid evolution of this megatrend.

2. Sustainability and ethics

The health of the planet is now the top consumer concern. There is a mounting awareness and concern surrounding the scale, complexity, and interdependence of shared social and environmental challenges globally. As the pandemic continues to highlight global inequalities, sustainability and ethical consumption concerns will only increase in significance and further impact consumer purchasing behaviours.

3. Sensory and indulgence

Consumers are seeking enjoyment beyond tangible products themselves. They are becoming more “experience-driven” and are willing to pay more for an enhanced brand experience. It is therefore becoming increasingly important for brands to perform at an experiential level, and offer varied, novel, and complex sensations for optimal enjoyment.

4. Digital lifestyles

Shopping and consumption patterns continue to evolve at a rapid pace in our digital world. In a hyper-connected, technology-enabled society, consumers seamlessly integrate the use of multiple technologies into their lives an d buying behaviour.

Please access the full Global Beverage Megatrends Report under: https://www.treatt.com/resources/top-4-mega-trends

Orange prices increased in the Brazilian in natura market in the first fortnight of February. According to Cepea collaborators, frequent rains in the citrus belt (São Paulo State) favoured the quality (majorly the size) of oranges, making them suitable for sale in the in natura segment and allowing farmers to raise asking prices. Besides, rainfall also hampered the harvesting, limiting supply. In that scenario, values remained firm.

Usually, orange availability is not high in February – a month that may even be considered offseason –, however, as the 2021/22 season is late, supply is currently higher. Still, there is not an orange surplus in the domestic market, since processing at industries has been faster than usual this month.

So far, the number of early varieties to be harvested is not high – activities are expected to step up only from March onwards. However, supply may be constrained by the low flower set in the first blooming. Thus, the oranges currently available in the in natura market are mostly late varieties and pear oranges out of the ideal period.

TAHITI LIME – The production of tahiti lime is also being favoured by rains, however, farmers reported difficulties to harvest the fruits, which underpinned prices in the first fortnight of February, although it is currently the peak of harvest for tahiti lime in Brazil.

Despite the recent valuations for oranges and tahiti lime, Cepea collaborators have reported that the current economic scenario in Brazil is still constraining higher price rises. With high unemployment and inflation rates and lower income, the purchase power of many consumers is weak.

ESTIMATES – Although rains have favoured the quality of part of the fruits in orchards, they have not been enough to reverse all the damages caused by the drought to the oranges from the 2021/22 season.

According to data from Fundecitrus released on Feb. 10, the orange output (São Paulo + Triângulo Mineiro) in the 2021/22 season is still estimated at 264.14 million boxes of 40.8 kilograms, the same as that estimated in December, but 10 % below that forecast at the beginning of the season.

According to Somar/Climatempo (weather forecast agency), rainfall in SP between May/21 and Jan/22 was 25 % below the average for the period. In the Triângulo Mineiro, rains were 5 % higher than the average. Thus, orange growth was hampered, and the average fruit weight decreased. However, it is important to consider that the oranges harvested in February and in March 2022 are expected to be slightly larger, since they have been favoured by recent rains.

The volume harvested is still enough to replenish ending stocks at the processing plants in SP. According to CitrusBR, by the end of the 2021/22 season (in June 2022), the volume of Frozen Concentrate Orange Juice (Equivalent) stocked is expected to total 170 – 190 thousand tons, lower than the strategic level (250 thousand tons). It is important to consider that new estimates are supposed to be released until the end of February.

In this scenario, the harvest in 2022/23 needs to be large enough to raise stocks at least to the strategic level and thus prevent a world shortage of orange juice. Cepea calculations show that the orange output next season needs to total, at least, 330 million boxes in order to raise juice stocks to 250 thousand tons.

PROGRESS OF THE 2021/22 HARVESTING – According to Fundecitrus’ report, 82 % of the orange orchards had been harvested by mid-January/22, similar to that in the same period last season (81 %).

One of the circular economy agriculture leaders Alvinesa Natural Ingredients has announced the acquisition of Cades Penedes, a leading Catalonian manufacturer of grape-derived sustainable ingredients. The company is based in Penedes, one of Spain’s best wine-producing regions and among the most ancient viticultural areas in Europe.

Alvinesa Natural Ingredients upcycles and transforms plant-based coproducts into valuable natural ingredients that promote healthy living. Alvinesa sells an extensive range of natural ingredients made from wine grape pomace for use in the food, beverage, nutrition, animal nutrition and wine-making industries. The acquisition of Cades Penedes provides Alvinesa access to an excellent source of grape-based raw material that is organic produced and contains higher than average levels of polyphenols (micronutrients with antioxidant activity). These ingredient characteristics are in high demand from dietary supplement, food and beverage consumer product-makers.

Alvinesa controls a sustainable, traceable, and waste prevention supply chain. Cades Penedes will provide important supply chain diversification for Alvinesa, complementing the grape coproducts currently sourced from Spain’s abundant Castilla-La Mancha wine region. With its excellent “terroir” and conducive climate, the Penedes region produces wine grapes of outstanding quality that require little to no use of pesticides. Penedes is better-known for its Cava (sparkling wine) production and while white grape varieties predominate, the region also produces some highly regarded oak-aged red wines. Cades Penedes has supply agreements with bodegas (wineries) across the region, and its manufacturing facility will increase Alvinesa’s production capacity by up to 20 %. This will reinforce Alvinesa’s industry-leading ability to scale production to meet the growth requirements of customers.

South-Central Florida experienced a bout of extremely cold weather during the last few days of January, resulting in frost and icing throughout many Floridian orange groves. In the immediate aftermath of this event, farmers initially reported that the damage to their groves was minimal. However, more recent estimations paint a clearer picture of the frost’s effects, with certain grove locations recording temperatures as low as ~20 degrees Fahrenheit lasting for upwards of two days. Such sustained conditions of frost have not been observed in Florida for over five years. Temperatures below 30 degrees often lead to bloom damage on citrus trees, which can drastically affect the quality of their subsequent harvests.

Fruit droppage rates also appear to be a major issue for many Florida citrus growers post-freeze. As temperatures drop for sustained periods of time, the juices contained within citrus fruits become frozen, resulting in premature fruits dropping from their branches. This can happen in as little as 6 hours after exposure to substantial freezing temperatures; Florida’s freeze lasted for two days. As such, it will be difficult for farmers to fully assess the damage dealt to their groves until temperatures warm up to regularity once again. Other conditions expected to affect citrus trees in the region are wood injury and external fruit damage, both of which will reduce harvest levels.

Florida has already weathered a challenging orange season up to this point, with fruit estimates falling from 47 million boxes to just 44.5 million midway through January. These shifting numbers represented a 13 % reduction in harvest size when compared to Florida’s previous orange season, and it seems as though the difference between the two will only continue to grow from the effects of the freeze.

The global orange market is quite volatile currently, with prices rising on a regular basis due to an ongoing drought in Mexico and a difficult growing season for Brazil (frost has also been an issue there). As such, it seems likely that orange oil and its derivatives will continue to rise in price as availability of new materials reduces.

The acquisition strengthens ADM’s flavour capabilities and reach, expanding ADM’s footprint in the high growth African market

Global nutrition leader, ADM, announced that it has completed its acquisition of Comhan, a leading South African flavour distributor. ADM has worked together with the local business for a number of years, with the formal acquisition now giving new and current customers more direct access to ADM’s extensive portfolio and network of experts.

“This acquisition marks a very exciting moment for ADM, as we continue to develop our Nutrition business in key growth markets including Africa. I am confident that this acquisition will open up opportunities for our customers in the region and build on the capabilities of our existing offices in Nigeria and Kenya.” said Calvin McEvoy, President Global Beverages ADM.

“At ADM we believe it is critical to invest in flavour creation assets globally to extend production and supply chains, making it easier to get unique and consumer-preferred flavours to local customers. The acquisition of Comhan means we can bring together our 80 years’ experience in the flavour industry and Comhan’s unique market insight to generate innovative products which cater to local tastes and interests. Comhan’s business is currently focused on beverages but through this new partnership we plan to grow the distribution capabilities to include food and savoury products.” added McEvoy.

Welcoming Comhan into ADM’s portfolio comes together with other recent investments in alternative flavour production, including the company’s recent state-of-the-art facilities in Pinghu, China and Berlin, Germany.

The acquisition strengthens ADM’s flavour capabilities and reach, expanding ADM’s footprint in the high growth African market

Global nutrition leader, ADM, announced that it has completed its acquisition of Comhan, a leading South African flavour distributor. ADM has worked together with the local business for a number of years, with the formal acquisition now giving new and current customers more direct access to ADM’s extensive portfolio and network of experts.

“This acquisition marks a very exciting moment for ADM, as we continue to develop our Nutrition business in key growth markets including Africa. I am confident that this acquisition will open up opportunities for our customers in the region and build on the capabilities of our existing offices in Nigeria and Kenya.” said Calvin McEvoy, President Global Beverages ADM.

“At ADM we believe it is critical to invest in flavour creation assets globally to extend production and supply chains, making it easier to get unique and consumer-preferred flavours to local customers. The acquisition of Comhan means we can bring together our 80 years’ experience in the flavour industry and Comhan’s unique market insight to generate innovative products which cater to local tastes and interests. Comhan’s business is currently focused on beverages but through this new partnership we plan to grow the distribution capabilities to include food and savoury products.” added McEvoy.

Welcoming Comhan into ADM’s portfolio comes together with other recent investments in alternative flavour production, including the company’s recent state-of-the-art facilities in Pinghu, China and Berlin, Germany.

The acquisition strengthens ADM’s flavour capabilities and reach, expanding ADM’s footprint in the high growth African market

Global nutrition leader, ADM, announced that it has completed its acquisition of Comhan, a leading South African flavour distributor. ADM has worked together with the local business for a number of years, with the formal acquisition now giving new and current customers more direct access to ADM’s extensive portfolio and network of experts.

“This acquisition marks a very exciting moment for ADM, as we continue to develop our Nutrition business in key growth markets including Africa. I am confident that this acquisition will open up opportunities for our customers in the region and build on the capabilities of our existing offices in Nigeria and Kenya.” said Calvin McEvoy, President Global Beverages ADM.

“At ADM we believe it is critical to invest in flavour creation assets globally to extend production and supply chains, making it easier to get unique and consumer-preferred flavours to local customers. The acquisition of Comhan means we can bring together our 80 years’ experience in the flavour industry and Comhan’s unique market insight to generate innovative products which cater to local tastes and interests. Comhan’s business is currently focused on beverages but through this new partnership we plan to grow the distribution capabilities to include food and savoury products.” added McEvoy.

Welcoming Comhan into ADM’s portfolio comes together with other recent investments in alternative flavour production, including the company’s recent state-of-the-art facilities in Pinghu, China and Berlin, Germany.

This year, VOG Products, an innovative fruit processing company from Trentino-South Tyrol (Italy), produced a base for apple vinegar (cider) for the first time. After all, a current development in the market shows that the trend is moving from balsamic vinegar towards apple vinegar. For apple vinegar, the company has special tanks for fermentation. Concentrate and juice from high-quality raw goods are used as base for the cider that is further processed by the vinegar industry.

Another new addition to the VOG Products assortment: apple flour and dried apples in the form of rings or cubes – as our customers wish – from various apple varieties. With these products, VOG Products primarily targets the baked goods and sweets industries, as well as granola producers and suppliers of fruit preparations.

The continuous availability of premium raw goods, traceability and the highest quality and safety standards are important components of VOG Products’ recipe for success. At the same time, the fruit processing company established in 1967 values innovation and further development highly. VOG Products now belongs to 4 producers’ organisations from South Tyrol and Trentino plus 18 cooperatives from South Tyrol with a total of around 10,000 members.

SIG opens next round of SIGCUBATOR applications

With start-up companies already benefitting from SIG’s SIGCUBATOR accelerator program, SIG is once again offering new food and beverage innovators an amazing no-strings opportunity to get their exciting new product idea to market. Interested start-ups can apply now at no cost via www.sigcubator.com until 28 February 2022.

This is the fourth time SIG has opened-up its SIGCUBATOR accelerator program to forward-thinking food and drink start-ups and small businesses, eager to partner with SIG at no cost or obligation, to help launch their products. It is these small entrepreneurial start-ups who are increasingly driving industry innovation and value creation. However, many don’t have the volume to produce big batches with co-packers or the expertise and financial ability to invest in their own production plant. This is where SIG can offer an incredible opportunity.

SIGCUBATOR takes innovative start-up ideas on a ‘consumer-centric’ journey, from testing prototypes in SIG’s test centre in Germany, through to a successful launch to market. SIG is there to help at every step, giving expert advice, consumer-focused insights, and access to its extensive global network within the food and beverage industry.

SIG partnering with start-ups and co-manufacturers brings opportunities to all three parties: SIG’s expertise, filling capabilities, and industry network help talented start-ups launch innovative concepts, which can then be commercially filled at one of SIG’s co-packing partners. This creates space for further innovation to assure a speedy launch to market. For co-packers, such partnerships help them enter and experience new and attractive beverage categories and grow these innovative segments in the future. For SIG, working together with forward-thinking food and beverage start-ups is key to driving innovation and value creation.

Food and drink start-ups can apply now at www.sigcubator.com. All ideas are welcome – as the famous saying goes “mighty oaks from little acorns grow”. SIG can also be contacted directly at sigcubator@sig.biz after the closing date.

WAPA, the World Apple and Pear Association, released the first apple and pear stock figures of 2022. The figures show that in Europe apple stocks increased by 5.1 % compared to 2021 to reach 4,308,683 T, while pear stocks decreased by 18.2 % to 661,587 T. In the USA, apple stocks as of 1 January 2022 stood at 1,674,042 T (- 2.7 % compared to 2021), while pear stocks reached 190,192 T (24.8 % above 2021).

WAPA, the World Apple and Pear Association, collects every month the stock figures for apples and pears from Europe and the United States. WAPA can reveal that European apple stocks stood at 4,308,683 T as of 1 January 2022, which is 5.1 % above the figure of 2021. This increase was mainly driven by Golden Delicious (up 19.5 % from 2021), Jonagold (+ 15.8 %), and Gala (+ 15.7 %), which compensated for the decrease in several varieties, most notably Granny Smith (- 12.5 %) and Cripps Pink (- 11 %). On the other hand, pear stocks stood at 661,587 on 1 January 2022, 18.2 % below the volume of 2021, mostly because of the large decrease in Italy.

In the USA, apple stocks in January stood at 1,674,042 T, down 2.7 % compared to 2021. This is due to a decrease among the largest varieties, such as Fuji (- 19.6 %), Honeycrisp (- 15.5 %), Red Delicious (- 12.5 %), and Gala (- 8.3 %), and despite significant increases for Cosmic Crisp (+ 147 %) and Pink Lady (+ 17.4 %). Pears stocks in the USA stood at 190,192 T, which is 24.8 % above last year.

Koia announces Thomas DeLauer, world-renowned ketogenic lifestyle expert, will collaborate with Koia on product development for the keto lifestyle and today, introduces the new limited-edition Koia Keto Raspberry Lava Cake. DeLauer, who has been an avid fan and supporter of Koia’s Keto line, will collaborate with the brand on new plant-based keto innovations and nutrition education.

This plant-forward keto innovation challenges critical believe around the keto lifestyle, showcasing that one can, in fact, reach ketosis healthfully while leading a partial or fully plant-based diet. Koia, being one of the only nutrition shakes on the market to deliver all the 9 essential amino acids needed to replace animal-based protein, provides an ideal solution for those looking to include more plant-based options into their keto regimen. This launch, and investment in the keto space, is a testament to the brand’s continued commitment and mission of making the plant-based lifestyle more accessible for everyone.

When working together on this product, Koia and DeLauer wanted something that tasted indulgent and comforting, so they selected Koia Keto Raspberry Lava Cake as the signature flavour, inspired by DeLauer’s favourite keto-friendly dessert that his wife makes – Chocolate Lava Cake with a raspberry sauce. Raspberries are one of DeLauer’s go-to keto friendly fruits and a key ingredient in his wife’s recipe. The raspberry tartness balances the richness of the chocolate for a delicious flavour that Koia and DeLauer worked closely to capture in this product, with DeLauer tasting many formulations until they landed on the perfect taste.

“Everything we do at Koia is about health, function and taste, so collaborating with Thomas DeLauer is a natural alignment with our brand,” says Chris Hunter, Co-founder and CEO of Koia. “He keeps up with all the latest research in the keto space and really understands ingredients and their functionality. Plus, the fact that the Raspberry Lava Cake is based on his favourite dessert that his wife makes at home, gives the product extra heart.”

Raspberry Lava Cake delivers ideal macro ratios with two high-performing, functional ingredients: macadamia nut milk and pumpkin seed protein. Macadamia nut milk is known to provide a significant amount of palmitoleic acid and is an ideal fat-to-protein ratio (2:1) for enhanced keto support. Pumpkin seed protein is a healthy clean protein source high in zinc, which can support the keto process and recovery. Raspberry Lava Cake contains 3 g net carbs, 8 g C8 MCT oil, 10 g protein, and 0 g added sugar per bottle, the ideal nutrition profile to accelerate ketosis.

Koia’s 100 % plant-based Keto shake line also includes other dessert-inspired flavours like Chocolate Brownie, Caramel Crème, Cookies ‘N Cream and Cake Batter. Consumers can purchase Koia Keto Raspberry Lava Cake, priced at USD 3.99 per bottle, for a limited time at drinkkoia.com.

Firmenich, one of the world’s largest privately-owned fragrance and taste companies, and Finlays, a leading supplier of tea, coffee and botanical solutions, have entered an agreement giving Firmenich full sales rights to Finlays’ European tea and coffee extracts portfolio in Europe, effective immediately.

As a part of this new agreement, Firmenich will focus on commercializing two core parts of Finlays’ extracts business in Europe: its world-leading Cold Brew Coffee portfolio and its Tea Extract portfolio. The Cold Brew Coffee portfolio serves a rapidly growing segment within the European region, and is crafted using a proprietary process which delivers a distinctly smooth, rich flavor experience. Finlays’ Tea Extract portfolio includes The Wellbeing Collection, a range of premium, all-natural tea extracts which are rich in bioactive compounds associated with various health benefits. These extracts are sustainably sourced from Finlays’ own tea farms, with on-site extraction facilities that enable tea leaves to be harvested and extracted on the same day, thereby preserving their fresh flavor and natural bioactive composition.

Under the new agreement, Firmenich is responsible for the full sales process, from commercial relationship to brief management, supported by the Finlays team. The partnership focuses exclusively on Finlays’ ranges of tea and coffee extracts, and covers European markets only.

SIG has entered into an agreement to acquire 100 % of Scholle IPN, a privately held company, for an enterprise value of EUR 1.36¹ billion and an equity value of EUR 1.05 billion. The transaction will be funded through 33.75 million SIG shares issued from existing authorised capital and EUR 370 million cash; the existing debt of Scholle IPN will be refinanced at closing. The transaction is expected to close before the end of the third quarter of 2022 subject to customary closing conditions.

This acquisition diversifies SIG’s exposure to growing and resilient end-markets. SIG’s portfolio of market-leading sustainable food and beverage carton solutions will be expanded into bag-in-box and spouted pouches for retail, institutional and industrial customers. SIG and Scholle IPN have many similarities and are highly complementary businesses in terms of systems and product offering. The combination will unlock significant growth opportunities and value.

Founded in 1945, Scholle IPN is a leading innovator in sustainable packaging with a systems offering. It is the inventor of and global leader in bag-in-box (2 l –1,500 l capacity) and the number two in spouted pouches (50 ml – 500 ml capacity). The acquisition will therefore expand SIG’s portfolio into both larger and smaller formats. Scholle IPN is headquartered in the USA and has approximately 2,100 employees globally. Revenue in the twelve months to 31 December 2021 was EUR 474 million with adjusted EBITDA of EUR 90 million (adjusted EBITDA margin c.19 %)². The USA accounts for around 55 % of revenue and the acquisition will significantly increase SIG’s presence in this large and attractive market. It will also enable the expansion of the Scholle IPN portfolio into the emerging markets of Asia Pacific, Latin America and Middle East Africa, where SIG has a well-established presence.

With this acquisition, SIG will be able to offer the most sustainable packaging solutions across a wide range of categories and product sizes. Growth in bag-in-box is being driven by the shift from rigid to flexible packaging which significantly reduces the amount of material needed to package the product. Scholle IPN has a longstanding focus on sustainability and on the light-weighting of both packaging and fitments. It is a pioneer in the development of mono-materials which are designed for recycling. Joining together the R&D capabilities of the two companies will deliver more value to customers by advancing the development of material and aseptic technology to reduce carbon emissions and food waste.

Around 70 % of Scholle IPN revenues are in food and beverages which will underpin the resilience already demonstrated by SIG’s business. The acquisition will enable SIG to build on its core strength in aseptic technology and to expand its use in both pouches and bag-in-box. It will also drive SIG’s expansion into new categories such as wine and water. Like SIG, Scholle IPN has developed long-standing customer relationships and the acquisition brings multiple cross-selling opportunities, as well as potential for an enhanced service offering for the combined customer base. In addition, run-rate cost synergies of EUR 17 million will be generated in areas such as procurement and manufacturing efficiencies.

¹At current USD/EUR exchange rate
²Unaudited. At 2021 average USD/EUR exchange rate

Mexico orange production continues to recover from 2019/20 drought

Mexico orange production is forecast at 4.3 million tons, up 3 percent from the previous year due to a return to normal weather conditions in Veracruz. The 2019/20 drought affected orange production more than other citrus, as many orange trees are old and require more energy to produce fruit. Mexico produces three main orange varieties: Valencia, which is favorable for juice production; Lane Late, which is mainly consumed fresh; and Navelina, which is consumed fresh and is also used for juice production. Oranges are harvested mainly from November to May.

Please download the full report under https://apps.fas.usda.gov/psdonline/circulars/citrus.pdf

The processing of the oranges from the 2021/22 season has been high in the major processors in São Paulo State. Although activities usually slow down in January, the orange harvesting is late in the current season – because of the higher share of fruits from the second, third and fourth flowerings.

In January, seven plants of the large-sized processors in SP were in operation, receiving majorly late varieties and early pear oranges. However, activities slowed down last month compared to that in December, due to the end of processing at the plant located in Uchôa. In February, the plant in Conchal is supposed to end activities for the season too – then, there will be only two plants of each one of the large-sized processors in operation.

Despite the fast processing pace, the quality of the oranges is below the expected. Industrial yield (number of orange boxes necessary to produce a ton of concentrated juice), which had been favoured by the lack of rains along the season, is now being reduced by excessive and frequent precipitation – higher moisture favours fruits growth, but raises the volume of water within the oranges, which is not desired by processors.

PRICES – Two large-sized processors purchased oranges in the Brazilian spot market in January, paying from BRL 28 to BRL 30.00 per 40.8-kilo box, harvested and delivered to processor. At smaller-sized processors, prices hit BRL 32/box. Some plants were also processing tahiti lime, paying from BRL 18 to BRL 21.00 per 27-kilo box.

Tetra Pak, in partnership with Elvir, a subsidiary of Savencia Fromage & Dairy – a world leading milk processor – has become the first carton packaging player in the food and beverage industry to launch a cap using certified recycled polymers.

This move marks a key step in both companies’ progress towards circularity. By helping to find an economically sound use for plastic waste and responsibly sourcing raw materials, Tetra Pak and Elvir continue to minimise their dependency on virgin, fossil-based resources.

Elle & Vire chose the HeliCap^™ 23 cap solution to complement its cream products, which are distributed in Tetra Brik^® Aseptic 1 l Slim carton packages. This one-step resealable screwcap is manufactured at Tetra Pak’s Châteaubriant plant in Loire-Atlantique, France – a site that has been awarded the Roundtable on Sustainable Biomaterials (RSB) Advanced Products certification and boosted by a EUR 100 million investment to accelerate the transition to the production of tethered caps. The HeliCap^™ 23 cap offers consumers ease of opening and features a clearly visible tamper evidence ring, providing reassurance that the product hasn’t been opened before.

The new caps using attributed recycled polymers are manufactured under the RSB chain of custody attribution method. This means that the plastics are made of a mix of recycled and non-recycled materials, with the corresponding mass of recycled materials tracked throughout the Tetra Pak supply chain. This is verified by a third-party auditor according to the RSB Chain of Custody Procedure, which forms part of the RSB Advanced Products certification.

A new study published by the Centers for Disease Control and Prevention (CDC) found that on average only 12 percent of U.S. adults meet fruit intake and only 10 percent meet vegetable intake recommendations as outlined in the 2020-2025 Dietary Guidelines for Americans (DGA). Low intakes may put Americans at increased risk for chronic diseases such as cardiovascular disease and diabetes.

When looking at this data on the state level,¹ the average percentage of adults meeting fruit intake recommendations ranged from 8.4 percent to 16.1 percent, and for vegetables ranged from 5.6 percent to 16.0 percent. The DGAs recommend 1.5 to 2 cup-equivalents of fruit daily for most adults. Although data differed by state, those with Hispanic ethnicity and women were more likely overall to meet fruit intake recommendations.

Low fruit and 100 % fruit juice intake may lead to lower intakes of key nutrients including vitamin C, potassium, and folate, as well as phytonutrients (naturally occurring plant compounds). These nutrients are essential in supporting immune system health and are associated with reduced risk for some chronic conditions. Intake of vitamin C declined 23 percent between 1999 and 2018, driven by decreases in consumption of 100 % fruit juice.² While whole fruit is recommended, adding just one 8-ounce glass of 100 % orange juice to the daily diet can help fill nutrient and fruit intake gaps while overcoming many of the barriers to fruit intake, including availability, cost, and access. Orange juice and other 100 % fruit juices are readily available year-round and are a cost-effective and convenient way for Americans to move the needle closer to meeting fruit intake recommendations.³

The current analysis by the CDC included data from 294,566 adults aged 18 and older collected as part of the 2019 Behavioral Risk Factor Surveillance system (BRFSS). Data were reported for 49 states and the District of Columbia. Respondents reported their intake per day, week, or month of vegetables and fruit, including 100 % fruit juice, over the previous 30 days.

¹Lee et al. MMWR Morb Mortal Wkly Rep. 2022;71(1):1-9
²Brauchla et al. Nutrients. 2021;13(2):420
³Brauchla et al. Public Health Nutrition. 2021; Feb 8;1-7

Capsoil Foodtech’s innovative platform converts bioactive oils into water-soluble powders

Product developers can now create new categories of functional foods and beverages thanks to Prodalim Resources, Ltd.’s new Capsoil Foodtech. The company advanced the capacity for mixing oil and water by developing ultra-fine, water-soluble powders out of natural oils. This breakthrough presents new possibilities for integrating beneficial nutritional oils, fat-soluble vitamins, and lipid-based nutrients into a broadened range of functional foods and beverages, as well as in new supplement formats.

The market for functional foods and beverages has grown exponentially as health and wellness have taken central stage, especially in the wake of the pandemic era. Concurrently, growing “pill fatigue” has consumers seeking their daily nutrient boosts more naturally through foods and beverages. However, beneficial oils such as omega fatty acids, MCT’s (medium-chain triglycerides) and fat-soluble vitamins A, D, E and K, have traditionally been confined to a narrow scope of food and supplement applications due to their lipophilic nature. Such nutrients also suffered from stability issues.

“Oil and water cannot mingle according to the laws of nature,” explains Itay Shafat, PhD, Scientific Director for Capsoil. “In Capsoil, we found a way of overcoming this barrier and created an advanced method for incorporating oil-based nutrients into water-based products. This opens the doors to products such as juices enriched with MCTs or ice pops fortified with omega fatty acids. Even hot drinks can get a ‘better-for-you’ upgrade by infusing them with beneficial oils, such as vitamins A, D, E, and K, or hemp oils. The possibilities are endless.”

Capsoil’s proprietary technology takes any oil compound and converts it to a self-emulsifying powder. Unlike conventional powders, this novel process results in a dry, free-flowing powder that dissolves easily in either hot or cold liquids.

Capsoil’s advanced production technology does not apply any form of extraction, solvent, or heat process, nor does it alter the nutrient profile of the oil. Capsoil powders contain from 30 % to 60 % of the oil and its bioactive compounds, and the emulsion’s nanostructured particles possess a large surface area, enhancing bioaccessibility and absorption of the encapsulated oil, leading to improved bioavailability. This can also translates into lower dose requirements.

“We are working with food and beverage companies to help them tailor new food and beverage applications, or find new novel delivery methods, for desired food oils or key fat-soluble nutrients,” adds Shafat.

Capsoil’s tech also targets the dietary supplement space, giving the formulators new capabilities for incorporating lipid-based ingredients such as omega 3 into dry pill, capsule, or sachet formats rather than as an oil or softgel.

“Many consumers find it difficult to ingest omega fatty acids in oil form, or they dislike the texture of soft gels,” states Nir Ilani, CEO of Capsoil. “Consuming high amounts of MCT’s, a key component of the keto diet, is also burdensome for many consumers. Our tech allows for oil-based ingredients to be enjoyed in low, manageable doses and easy-to-digest formats.”

“We trialed a broad spectrum of Capsoil powdered oils in various water-based applications, assessing such key parameters as bioavailability and stability of the actives with very encouraging results,” adds Shafat. “Further clinical trials are in the pipeline that will allow our innovative powdered formats to open the doors to new advances in functional product diversity.”

Capsoil FoodTech was established by Prodalim Group, one of the world’s leading producers of natural fruit extracts and concentrates (NFCs), as well as other natural ingredients for the F&B industry. Nir Ilani, who previously worked for Unilever, Frutarom, and IFF, along with Itay Shafat, PhD—a seasoned veteran of the dietary supplement market—were recruited to lead the new venture. The company’s R&D center is based in Israel, with production facilities in the US.

Refresco, a global independent beverage solutions provider for A-brands and retailers in Europe and North America, announced it has completed the acquisition of HANSA-HEEMANN, following the receipt of regulatory approval from competition authorities.

Refresco announced that it had entered into an agreement with HANSA-HEEMANN, a family-owned independent beverage manufacturer, to acquire its five production sites in Germany. Now that the acquisition has been completed, Refresco has nine bottling facilities strategically located in Germany, resulting in national coverage to serve customers’ demands. With this acquisition, Refresco also further enhances its position in terms of product and brand portfolio.

Hans Roelofs, CEO Refresco Group: “I am very pleased to add HANSA-HEEMANN to the Refresco Group, as it further diversifies and strengthens our business in Germany, which will benefit our customers. Through this acquisition, we significantly expand our offering in mineral water and soft drinks, and we are going to accelerate our operational excellence through HANSA-HEEMANN’s know-how in the water category. In addition, we will be able to improve transport efficiencies and leverage our global scale to further drive change in improving the sustainable use of resources.”

In the first three quarters of the 2021/22 financial year (the nine months ended 30 November 2021), AGRANA, the fruit, starch and sugar company, generated an operating profit (EBIT) of EUR 76.0 million (Q1-Q3 prior year: EUR 84.3 million). Revenue was EUR 2,169.6 million (Q1-Q3 prior year: EUR 1,965.3 million).

AGRANA Chief Executive Officer Markus Mühleisen says: “Since the beginning of the financial year we have been forecasting that, after a weaker first six months of 2021/22, earnings in the second half of the year would be better than one year earlier. This outlook was confirmed in the third quarter with quarterly EBIT of EUR 31.2 million (Q3 prior year: EUR 28.5 million). Following this positive trend in Q3, we also expect a very significant year-on-year improvement in EBIT in the fourth quarter. We therefore remain optimistic that, for the full financial year, we will exceed the prior year’s EBIT significantly, i.e., by at least 10 %. Getting there has, however, become much more difficult in the past few months amid a very strong rise in raw material and energy prices.”

Results in each business segment

Fruit segment

Fruit segment revenue in the first three quarters grew to EUR 939.1 million, a moderate increase of 5.3 %. The fruit preparations business saw revenue growth stemming mostly from higher sales prices. Revenue in the fruit juice concentrate activities declined slightly for volume reasons. Segment EBIT in the first nine months was EUR 36.2 million, off 12.3 % from one year earlier. The principal reason for the deterioration lay in weaker sales of fruit juice concentrates from the 2020 crop, which were marked by reduced delivery volumes in combination with lower contribution margins of apple juice concentrates in the first half of 2021/22.

Starch segment

Revenue in the Starch segment in the first three quarters of 2021/22 was EUR 737.8 million, or a significant 18.8 % more than a year ago. Higher volumes of core products and by-products were demanded than in the same period of the prior year. In the ethanol business, Platts quotations reached historic highs in the third quarter and averaged 24 % stronger in the first three quarters of 2021/22 than in the prior-year comparable period. Segment EBIT in the first nine months, at EUR 53.5 million, eased by 8.5 % from the year-earlier level. The main reason was a significant year-on-year increase in prices for raw materials (wheat and corn/maize) and energy, which could not yet be fully offset by adjusting product prices.

Sugar segment

The Sugar segment’s revenue in the first three quarters of 2021/22 grew to EUR 492.7 million, up 8.8 % from one year earlier. In addition to renewed high sales volumes with resellers, there was also a recovery in the industrial customer segment, where more sugar was sold than in the same period last year. While the EBIT result in the first three quarters of 2021/22 was better than in the year-ago period, it remained negative at the nine-month mark, at a deficit of EUR 13.7 million. This still reflected the fact that AGRANA’s own sugar production had been below average after the pest-related small 2020 harvest, with a resulting lower margin from the necessary compensatory reselling and refining of sugar.

Outlook

For the full 2021/22 financial year, AGRANA continues to expect significant growth in Group EBIT, in other words, an EBIT increase of at least 10 %. Group revenue is projected to show moderate growth. It should be noted, however, that due to the extreme volatility in commodity and energy prices and a once again more acute COVID-19 situation – the fourth wave in combination with the advent of the new Omicron variant – the forecast for the full year is subject to a very high degree of uncertainty.

In the 2021/22 financial year, the AGRANA Group is investing EUR 92 million, an amount significantly less than the budgeted depreciation of about EUR 120 million.

Plastipak, a global leader in the design, manufacture and recycling of plastic containers has completed a major investment to significantly expand its PET recycling capacity at its manufacturing site in Bascharage, Luxembourg.

The original PET recycling facility in Luxembourg opened in 2008 and this new expansion increases annual production capacity by 136 %. The installation and commissioning of the expansion took 12 months and has officially opened.

The recycling facility is co-located with Plastipak’s flagship preform and container manufacturing facility and converts washed rPET flakes originating from post-consumer bottles into food-grade recycled PET (rPET) pellets.

The rPET produced at the site is converted into new preforms and containers produced at the Bascharage facility, which principally serves the German and Benelux food and beverage markets. The expansion complements Plastipak’s existing recycling facilities in France, UK and USA, and follows the recent announcement of a new recycling facility at its plant in Toledo, Spain.

“This latest investment to increase our capacity in rPET production actively demonstrates Plastipak’s long-term commitment to bottle-to-bottle recycling and our leadership in the PET circular economy” explained Pedro Martins, Executive Managing Director of Plastipak’s European division. “Plastipak is the leading producer of food-grade rPET in Europe, with the majority of the post-consumer recycled material we use in Europe produced in-house”.

“Plastipak began producing post-consumer recycled resins for packaging customers in 1989, and has had many expansions in North America and Europe since then. We are excited to continue supporting our global packaging customers in achieving their sustainability goals” said Dave Stajninger, Plastipak’s Global recycling Business Manager.

Plastipak is a major convertor of recycled PET, which represents 27 % of the total resin consumed in Plastipak’s European sites in 2020. At the site of this latest rPET expansion, Bascharage, the proportion of recycled resin consumed in 2020 was 45.3 %.

Oterra, one of the world’s leading suppliers of natural colours, with one of the widest portfolios in the industry, announced the launch of the industry’s best natural alternative to Red40/Allura Red for beverage – Hansen Sweet Potato FruitMax^® Red 116 WS.

In 2019, Oterra, at that time known as Chr. Hansen Natural Colors, launched its Hansen Sweet Potato^™ range. The result of nearly a decade of ground-breaking research and development, the range quickly became an award-winning industry favourite, scooping up prizes in three continents: Europe, North America, and South America. The new vegetable variety was an instant hit for its stable, vibrant, and natural red alternative.

Driven by innovation and the desire to provide exceptional solutions for the industry, Oterra’s scientists went back to work after launching the original range to develop the next must-have solution for the beverage market. The result, FruitMax^® Red 116 WS, is designed specifically for beverage manufacturers. It addresses the high complexity this industry faces when using anthocyanins, including fortification, high water-activity, carbonisation, off-flavour, and colour stability.

FruitMax^® Red 116 WS provides manufacturers with a unique clean label, minimally processed, and GMO-free fire-engine red shade for beverage, making it the industry’s best natural alternative to RED40 or Allura Red.

FruitMax^® Red 116 WS is recommended for alcoholic beverages, carbonated soft drinks, cordials, energy drinks, juice-based drinks and near waters.

All Oranges 44.5 million boxes

The 2021-2022 Florida all orange forecast released by the USDA Agricultural Statistics Board is 44.5 million boxes, down 1.50 million boxes from the December forecast. If realized, this will be 16 percent less than last season’s final production. The forecast consists of 17.5 million boxes of non-Valencia oranges (early, mid-season, and Navel varieties) and 27.0 million boxes of Valencia oranges. A 9-year regression has been used for comparison purposes. All references to “average”, “minimum”, and “maximum” refer to the previous 10 seasons, excluding the 2017-2018 season, which was affected by Hurricane Irma. Average fruit per tree includes both regular and first late bloom. …

Please download the full citrus crop production forecast: www.nass.usda.gov

Following its announcement on 12 August 2021, Coca-Cola HBC AG (“Coca-Cola HBC”) announced the completion of the acquisition by its wholly-owned subsidiary, Coca-Cola HBC Holdings BV (“CCH Holdings”), of approximately 52.7 % of Coca-Cola Bottling Company of Egypt S.A.E. (“CCBCE”) from MAC Beverages Limited (“MBL”) and certain of its affiliated parties for cash consideration of US$304 million, subject to certain balance sheet adjustments. An additional earnout amount may be payable based on CCBCE’s financial performance in 2021. Mr. Abdul Galil Besher, the current executive chairman of CCBCE, will remain as non-executive chairman of CCBCE. The transaction with MBL also involves the potential acquisition by CCH Holdings, at the same price per share to be paid to MBL, of another approximately 2.8 % stake from certain other minority shareholders pursuant to agreements to be entered into in due course.

In addition, a convertible loan issued to a wholly-owned affiliate of The Coca-Cola Company (the “TCCC Seller”) by CCBCE, convertible into new CCBCE shares, has been transferred to CCH Holdings for a cash consideration of approximately US$22 million (which is equal to its outstanding principal amount and unpaid interest).

Completion of the acquisition by CCH Holdings of approximately 42 % of CCBCE from the TCCC Seller, also announced on 12 August 2021, is expected to occur later this month, bringing CCH Holdings’ total ownership in CCBCE to 94.7 %.

The acquisition gives Coca-Cola HBC access to the second-largest non-alcoholic ready-to-drink (“NARTD”) market in Africa by volume, building on existing scale in Africa and increasing Coca-Cola HBC’s exposure to high growth geographies. There is a significant opportunity to leverage Coca-Cola HBC’s proven route-to-market capabilities and 70 years of experience operating in emerging markets to increase penetration of The Coca-Cola Company’s brand portfolio and drive category leadership.

Tate & Lyle PLC, a leading global provider of food and beverage ingredients and solutions, and Nuestros Pequeños Hermanos Mexico (NPH; Spanish for “Our Little Brothers and Sisters”), a charitable organization that provides a home for thousands of orphaned, abandoned and vulnerable children across Mexico, Central and South America, are embarking on a partnership to expand the sustainable production of fresh fruit and vegetables in greenhouses at the charity’s residences in the state of Morelos, Mexico which house over 650 children.

Through corporate funding, pro-bono expertise, and volunteer services, Tate & Lyle will work alongside NPH staff and its residents to help enable the production of fresh fruits and vegetables to be used in the children’s meals. The partnership will also provide nutrition and agriculture education to support student health and well-being and improve the growing practices used.

A number of online and in-person mentorship courses and talks will be run by female employees from Tate & Lyle’s local office, to strengthen and empower the girls of NPH in their own educational development. Using its extensive knowledge of nutrition, Tate & Lyle will also offer training to NPH staff and volunteers, and the children they serve, in the areas of food safety, improving nutrition and quality processes.

This partnership perfectly aligns with Tate & Lyle’s purpose of Improving Lives for Generations by supporting healthy living, building thriving communities and caring for our planet.

About Nuestros Pequeños Hermanos

Nuestros Pequeños Hermanos, transforms the lives of thousands of children and families throughout Latin America and the Caribbean. With the help of people across the world, we provide homes, health services, and educational programs in a safe and loving environment — giving children the best chance for success to become leaders in their own communities.



NPH creates life-changing opportunities for disadvantaged, vulnerable, and disabled children and youth living in extreme conditions. Through a comprehensive approach that embraces the whole child, NPH supports children to become independent, caring adults who give back to their communities—shaping better futures for themselves, their families, and their world.

Strategic, asset-light expansion into functional beverages increases Halo’s addressable market and near-term revenue opportunity

Halo Collective Inc. announced that it is strategically expanding into the functional beverage market with a proposed stock-based acquisition of private company operating as H2C Beverages and the entering into of a distribution and manufacturing agreement with Elegance Brands Inc. Pursuant to the terms of the Distribution Agreement, Elegance has agreed to purchase USD30 million of Halo’s H2C and Hushrooms™ branded products during the 24-month period following the launch of the products and to distribute these products to retail outlets in respective legal states across the United States.

Kiran Sidhu, Halo’s Chief Executive Officer, commented, “Nootropic nutraceuticals is a relatively new health category that we believe is poised for robust growth. Our strategic acquisition of H2C Beverages will bolster Halo’s growth opportunities, even as the recreational cannabis industry faces over-supply issues in our California and Oregon markets. Elegance Brands is the perfect partner to manage and distribute H2C and our functional mushroom brand Hushrooms to mainstream consumers.”

Added Raj Beri, Elegance’s CEO and Founder, “Elegance has successfully established a distribution network with a potential reach to tens of thousands of outlets nationwide that uniquely positions for the significant growth expected in the beverages and functional mushroom markets. We believe that Halo’s innovative line of products will be strong sellers alongside our portfolio of brands all built around innovation, and we are excited to offer them to our expanding distribution customers.”

Acquisition of H2C Beverages

Halo has signed a definitive agreement to acquire 1285826 B.C. Ltd., a company focused on cannabinoids and non-psychotropic mushroom functional beverages. The H2C acquisition is expected to provide Halo with a toehold in one of the fastest growing sectors of the cannabidiol market, estimated to account for USD16 billion in U.S. sales by 2025, according to Brightfield Research¹, as well as to directly participate in rising consumer consciousness toward the health benefits of consuming small doses of cannabinoids and functional mushroom extracts paired with adaptogens. H2C’s product portfolio includes a line of premium flavoured waters that are nano emulsified to maximize absorption and other plant-based beverages infused with cannabinoids, functional mushroom extracts with fulvic and humic minerals from the Rocky Mountains.

In consideration for all the issued and outstanding shares of H2C, Halo has agreed to issue 7,538,462 common shares in the capital of Halo. Closing of the H2C Acquisition is subject to the satisfaction of customary closing conditions, including, among others, the approval of the Neo Exchange Inc. The Company expects the H2C Acquisition to close in January 2022. Halo has also agreed to issue 603,077 Common Shares to an arm’s length finder in connection with the H2C Acquisition.

Distribution and manufacturing agreement with Elegance Brands

Halo has also expanded its collaborative relationship with Elegance by entering into the Distribution Agreement to propel the national distribution of beverages, capsules, and topical supplements under H2C and Halo’s functional mushroom brand, Hushrooms. This new category of functional supplements, nootropic nutraceuticals, will be marketed under three subcategories: active, relax and focus.

Under the Distribution Agreement, Elegance has agreed to purchase USD30 million of H2C and Hushrooms branded products during the 24-month Launch Period and to distribute these products to retail outlets in respective legal states across the United States. Elegance shall purchase the products at a price of up to 130 % of manufactured costs (including all direct costs, both third party and internal) incurred by the Company. All prices are exclusive of applicable taxes, including without limitation, sales, excise, use and property taxes, which shall be paid by Elegance. The Distribution Agreement is expected to deliver up to USD9 million of profit (before tax) during the 24-month Launch Period.

During the period from the effective date of the Distribution Agreement until the Launch Period, which is expected to last up to six months, Elegance will provide certain consulting services to Halo including with respect to the development of branding, marketing, and manufacturing best practices, product development, and sales strategies through to launch. Pursuant to the Distribution Agreement, Halo has agreed to issue USD2.5 million of Common Shares (the “Elegance Shares”) to Elegance in consideration for the consulting services to be provided by Elegance in connection with the branding, development, manufacturing, and distribution of the H2C and Hushrooms product lines. The Elegance Shares will be issuable in four equal monthly tranches of USD625,000 per tranche. The number of Elegance Shares to be issuable under each tranche will be equal to the quotient of USD625,000 (converted into Canadian dollars using the prevailing Bank of Canada exchange rate), divided by the greater of: (I) the volume weighted average price of the Common Shares on the NEO (or such other exchange on which the Common Shares are principally traded) for the twenty (20) trading days prior to the issuance of such Elegance Shares; and (II) the minimum price permitted by the NEO. The issuance of such Elegance Shares is subject to, among other things, the approval of the NEO.

¹https://blog.brightfieldgroup.com/hemp-cbd-market-size#A-Look-Back