The

Food Mood SPRING 2019

ContentsSmoke 3-6BBQ 7-9Grill 10Bacon 11-13Chicken 14-15Cooking Methods 16Flavor Trends 17-19Trends 20-26Restaurant Trends 27-29New Products - Retail 30-31Beef 32

Breakfast 33Frozen 34In the News 35Meal Kits 36Pork 37Poultry 38-39Protein 40Sauces 41-42Snacks 43-46Sustainability 47Vegan 48-49Changing Demographics 50-52

* Please note that the information herein

does not denote items containing or not

containing Red Arrow products.

international@redarrowusa.com

Smoke

3

The smoke is what makes barbecue so iconic. While any type of wood works to infuse smoke flavor into your food, each type adds a unique flavor and aromatic element to your food. Not all smoke is created equally, and some smokes are better suited for certain meats and big game.

Smoking wood plays a role in the flavor and the color of the meat. It also forms a bark, or crust, on the meat. In general, mild woods are good for fish and poultry, medium fruit woods are best for poultry, or pork, and strong woods hold up against dark red meat flavors.

Which Kind of Wood Should You Use for Smoking Meat?Lindsay Mattison, wideopenmeats.com, March 27, 2018

Hardwoods (also known as deciduous trees) include fruit and nut woods. Their cell structures are compact, making them ideal for being a smoking woo. Softwoods (evergreen or coniferous trees) include pine, spruce, fir, hemlock, redwood, and cypress. These are airy woods that have more sap, making them pungent and burn fast. They're not recommended for cooking.

Mild WoodsAlderMaple

Medium WoodsAppleCherry

OakPeach & Pear

Strong WoodsPecan Walnut

StrongestMesquite

Smoke

4

Look East: Middle Eastern and African FlavorsFoodingredientsfirst.com, January2019

Sealord Smokey Harissa Tuna (New Zealand). What makes our tuna pockets taste so good, its’ the fusion of real ingredients. So you get to savor the spices of North Africa with tuna, smoked paprika, cumin and chili. All gently and slowly cooked to lock in the flavor.

Smoke

5

Acme Smoked Fish Corp. Introduces New Protein BowlsDeena Siegelbaum, specialtyfood.com, 1-13-19

Acme Smoked Fish Corporation is pleased to introduce its new Smoke Roasted Salmon Protein Bowl in two varieties, New England Lemon Dill and Moroccan Harissa.

Acme is a family-owned and operated producer of smoked seafood specialties found in preferred stores, restaurants and delicatessens throughout the United States. Last year, the company introduced ready-to-eat Poke Bowls featuring Smoked Salmon and Smoked Ahi Tuna.

Their new innovative Protein Bowl is the next step in the company’s expansion into healthy ready-to-eat meals featuring smoked fish. The bowls will soon be found in the refrigerated aisles of stores around the country under Acme’s brand Blue Hill Bay.

Smoke

6

News Briefs: SodexoMeatingplace.com, 1-4-19

Sodexo, which provides foodservice and facilities management services to more than 600 U.S. colleges and independent schools, said it will roll out Firehouse Subs options in select university locations during the 2019-2020 school year.

Firehouse Subs specializes in hot and cold sandwiches, including its No. 1-selling Hook & Ladder Sub with smoked turkey breast and Virginia honey ham and the Smokehouse Beef & Cheddar Brisket.

New on the menuMeatpoultry.com

Bruegger’s Bagels is debuting a duo of new sandwiches.

The Skinny Bacon, Avocado & Tomato Egg White Sandwich features peppered bacon.

The Supernova Sandwich features smoked Nova lox salmon, smashed avocado, tomato, cucumber, red onion, capers and onion chive cream cheese.

BBQ

7

Harvest Snaps New Flavorscsnews.com

New from Harvest Snaps, Southern Style BBQ Black Bean Snack Crisps and White Cheddar Green Pea Snack Crisps will join the Original Lightly Salted Green Pea Snack Crisps in updated 10-ounce packaging. Made with farm-direct vegetables as the first ingredient, each variety features the same baked — never fried — crunch and irresistible taste consumers love, according to the brand. With 30 percent to 60 percent less fat than regular potato chips and only 130 calories per 22 crisps, the veggie-first snacks are made with high-quality ingredients and completely free of artificial flavors, colors, cholesterol and common allergens such as soy, nuts, wheat and eggs

BBQ

8

We thought this would be a good time to shine a light on the umami-rich sauces and condiments the Asian continent has contributed to the happiness of grill masters and mistresses everywhere, from Japan’s soy sauce-based tare (commonly known as teriyaki in North America) to Thailand’s addictive peanut satay sauce.

Make Asian Barbecue Sauces with Pantry IngredientsNancy Loseke, barbecuebible.com,

• Fresh ginger • Soy sauce• Sesame oil• Garlic• Scallions• Limes or lime juice• Sugar• Sesame seeds• Rice vinegar• Hoisin sauce

(fermented soy bean paste commonly used in Chinese cooking)

• Rice wine, sake, or dry sherry

• Cilantro• Sriracha• Hot red pepper flakes

or fresh green or red chiles

Their distinctive flavor profiles often depend on some of the same ingredients, but are combined in a way that makes them unique. You probably have most of them in your pantry or could buy them with a quick trip to your local supermarket:

BBQ

9

Seasoning Collections Offer Selection of Popular Spice BlendsAngie Niehoff, specialtyfood.com, 1-12-19

The Spice Lab has created three Seasoning Collections featuring some of their most popular premium spice blends. Each set includes a themed selection of four seasonings in shaker jars packaged in a gift box. These careful-crafted seasonings are all natural, OU Kosher and most are gluten-free.

Seasoning collections include: Taste of America, Mediterranean and Barbecue.

Barbecue Seasoning Collection – Some of our best BBQ rubs

Bad to the Bone – Savory and sweet with a touch of lemon, for ribs, steak and chicken.

Smoky Pecan Seasoning - Mild blend of sweet pecan smoke and savory flavors.

Sweet Rib Rub - A sweet and smoky blend that works great with beef, pork or chicken.

Ancho Chili + Coffee Rub – Sweet and smoky mix of dried Poblano peppers, coffee and other spices.

Grill

10

Bring the Heat -Grilling techniques heat up menu offerings, mentions.Amanda Topper, Preparedfoods.com, January 2019

Grilled preparations can also create complex and sophisticated smoky and charred flavor profiles with fewer additional ingredients – something the majority of consumers are interested in. In fact, 56% of diners are interested in smoky flavors in particular, according to Mintel research on flavor innovation on U.S. menus.

With grilling on the rise on menus across the country, specific types of grilled preparations are growing as well.

Some foodservice operators are focusing on the details by describing the flavors or ingredients used in the grilling technique, such as herb-grilled, while other preparations include a nod to international cuisines, as is the case with a la plancha grilled.

Fastest Growing Grilled Preparations on US Menus,

Q2 2015-1018

Bacon

11

Coming to McDonald’s – shorter drive-thru times, more baconMonica Watrous, Foodbusinessnews.net, 1-31-19

McDonald’s Corp. is betting on bacon to bring more diners through the door. The fast-food chain’s latest promotion, featuring the addition of bacon on Big Mac and Quarter Pounder sandwiches and loaded cheese fries, was launched to increase customer visits to McDonald’s restaurants in the United States, building on recent momentum, said Stephen J. Easterbrook, president and chief executive officer.

“Customers rewarded us with more visits again last year, resulting in back-to-back years of global guest count growth for the first time since 2012,” Mr. Easterbrook said during a Jan. 30 earnings call. “This achievement is even more notable at a time when informal eating out traffic growth has been muted.”

Actions undertaken in the past year at McDonald’s U.S. restaurants include the launch of cooked-to-order fresh beef and the accelerated roll-out of delivery through a partnership with Uber Eats.

Bacon

12

Suji’s Brings Authentic Korean Cuisine to American ConsumersRefrigerated & Frozen Foods, December 2018

Suji’s offers a full line of Korean-style frozen entrees, known as Bentos, in Beef Bulgogi Over Rice, Chicken Bulgogi Over Rice and Kimchi Bacon Rice options.

“They are 2-compartment meals that include a main entrée over rice and a side of Japchae noodles,” says Suji Park, founder of Suji’s. “This product is a great choice for the busy professional or college student who enjoys exciting flavors and convenience.

Sujiskorean.com

Bacon

13

McDonald’s and Wendy’s Bulk up for Bacon Giveaway BattleAlyssa Newcomb, January 29th, 2019, fortune.com

Wendy’s customers will have a little more time to enjoy their free bacon, but they’ll have to order it through delivery service DoorDash. For every $10 Wendy’s order, delivery customers can get a free Baconator cheeseburger with the code FREEBACONATOR.

So why all the free bacon? It seems McDonald’s idea for a Bacon Hour might have ticked off Wendy’s, which has bragging rights as the No. 1 seller of bacon cheeseburgers, according to a report by the NPD Group.

Kurt Kane, Wendy’s executive vice president, said in a statement that Wendy’s has “always owned bacon and that’s not changing because our competitors are throwing a happy hour to celebrate its importance.”

He added: “Bacon is at the core of what we do at Wendy’s, and we aren’t afraid to throw down the gauntlet.”

McDonald’s and Wendy’s are ready to give away the whole hog.

The fast food giants are both squealing to be the first to give customers free bacon. Thankfully, there’s enough to go around for everyone. From 4 to 5 p.m. local time on Tuesday, McDonald’s will offer customers free bacon during the aptly-named “Bacon Hour.” Customers can throw their two free slices of Applewood smoked bacon on anything their heart desires, not just burgers.

Chicken

14

Monga Fried Chicken London: Taiwanese restaurant favourite opens in ChinatownAilis Brennan, standard.co.uk/go/london

Popular Taiwanese fried chicken shop Monga is set to open its first London restaurant in Chinatown at the end of the month.

The Asian fast food favourite is reportedly due to open a 30-cover site in Macclesfield Street on January 27. The restaurant will be the first European location for the Taiwanese snack connoisseurs, who boast nearly 40 sites across Taiwan and two in North America – one in Toronto and another in Texas.

Monga, which is named after the Taipei cultural district Wanhua, is famed for its unique fried chicken recipe, which sees the flattened chicken cutlets first marinated in honey, before being coated in a batter (rather than dry flour) for maximum crispiness.

Monga joins an influx of Asian-based restaurant chains to have opened in the capital in recent months, including dumpling sensation Din Tai Fung, katsu curry chain CoCo Ichibanya and Filipino fried chicken favourite Jollibees.

Chicken

15

Pelicina Chicken – Korean Fried Chicken in the U.S. Datassential’s International Concepts: Fast Casual December 2018

Hee Kwon Yang, founder of Pelicana Chicken, is credited with developing yangnyeon chicken, the spicy-sweet, gochujang-coated fried chicken variety that most Americans picture when they think of Korean fried chicken.

Over a fourth of U.S. consumers are familiar with Korean fried chicken, and over half say they’re likely to purchase it either at retail or from a restaurant. Operators can take inspiration from Pelicana Chicken, whose first U.S. outlet was declared to have “the finest Korean fried chicken in New York” by Eater and one of the best sandwiches in the city by Gothamist.

Pelicana’s Korean outlets offer seven different types of seasonings ranging from spicy gochujang to soy to wasabi to cheese.

Founded in 1982 in Daejean, South Korea.

Over 1,000 locations including Malaysia, Mongolia, New York.

Cooking Methods

16

Salt-Roasting Isn’t Just for FishA.A.Newton, Tastecooking.com, 2-7-19

With a few handfuls of cheap salt and an egg white, you can make your vegetables taste richer, juicier, and even more like themselves.

Salt roasting is one of those slightly showy, old-school techniques that’s only trotted out once in a while. Despite this reputation, the cooking method is pretty simple: a whole, skin-on ingredient—vegetables or proteins, like a carrot or branzino—is completely encased in salt and roasted in a hot oven. As it roasts, the salt hardens into a golden-brown crust, which is cracked open right at the table to reveal billowing steam and succulent meat or tender vegetables. Simply for showstopping impact, it’s hard to beat, but salt roasting has more to offer than presentation theatrics.

Since the salt crust creates some insulation against intense heat, the usual candidates for salt roasting are easily overcooked (and very expensive) meats, like beef tenderloin or whole fish. But giving this treatment to root vegetables like potatoes, carrots, and beets is a way to trap in a lot of flavor and moisture. This is because salt roasting isn’t really about the salt, but the cooking environment that it creates. A watertight salt crust absorbs surface moisture but traps the rest inside—cooking the ingredient gently in its own juices. Sure, the outermost layers get an aggressive dose of salt, but everything underneath is the juiciest, moistest, most flavorful version of that ingredient you’ve ever had in your life.

Flavor Trends

17

Look East: Middle Eastern and African FlavorsFoodingredientsfirst.com, January2019

The “Adventurous Consumer” is pegged to be 2019’s biggest trend by Innova Market Insights, driving food operators and suppliers to launch new, exciting ethnic product varieties. African and Middle Eastern flavors are predicted to have a bright future as they offer fresh, wholesome and aromatic notes. Herbs & spices are the stars of the show from cumin to chili to sumac. Koikeya Potato Chips with

Hot and Sour Harissa Beef Flavor (Japan)

Just Spices In Minutes Hey Babibi Ras El Hanout Chicken with Vegetables (Germany) Ras el hanout is one of the most complex spice blends of North African cuisine. Open the bag, mix in and go. Turmeric and ginger give Arabic-exotic flavor.

Enjoy Life Lentil Chips with Moroccan-Style Spice (Canada). Lentil chips with Moroccan-style spice, in a plastic packet. This aromatic chip has a touch of warm sweetness and bold Moroccan spices will send your tastebuds on an exotic adventure.

Flavor Trends

18

McCormick turns to artificial intelligence to spice up product developmentChristopher Doering, Fooddive.com, Feb.5, 2019

McCormick said Monday it is partnering with technology giant IBM to use artificial intelligence to mine 40 years of data it has amassed on consumers, taste palates and product attributes. The company had previously developed new products by tapping into an estimated 4,000 ingredients in its database. Those items were extensively tested before heading to market. A single product could be tweaked between 50 and 150 times before the right flavor was identified.

McCormick expects to launch its first three AI-enabled products in the late spring: recipe mix flavors of Tuscan Chicken, Bourbon Pork Tenderloin and New Orleans Sausage.

"The No. 1 challenge is how to create a product that will stay in the market for a long period of time. New products usually disappear within three, four or five years," Hamed Faridi, McCormick chief science officer, told Food Dive. "With this amazing compatibility, you can tap into 40-years-plus experience. ... We have a very good chance to create a product that becomes the next icons, either for us or for our customers, and stays on the market for 10, 20, 30, 50 years.“

Faridi said artificial intelligence could make the process of developing new products up to 70% faster. A product developer simply presses a button, starting computer algorithms that minutes later generate a dozen new recipe formulation ideas.

Flavor Trends

19

Mark Our Words: You’re Going to See These 19 Food Trends EVERYWHERE in 2019Sarah Weinberg, delish.com, 12-7-18

Za’atar Will Spice Up Your Life

Za'atar is a popular Middle Eastern spice mix consisting of oregano, thyme, sumac, ground sesame seeds, and salt—and you're going to see a lot more of it on menus at restaurants across the country. Beyond that, retailers are making room for the stuff on their shelves: There's Zesty Z, a spread that can be drizzled on top of grain bowls or used on baked chicken. Harvest Stone's new Sprouted Hummus Crackers offer a "taste of za'atar." And Sur la Table sells a special Marrakesh Za'atar Seasoning Mix.

Snack time Will Experience A Sea Change

Surely you've had roasted seaweed, but have you ever heard of salmon skins? How about kelp jerky? Or puffed water lily seeds? There's a rapidly growing market for these from-the-water snacks, Whole Foods notes. The impetus: They're healthier substitutes for popular snacks—meat-heavy or carbo-loaded ones—that already exist.

Trends

20

Bold, Adventurous, Cause-Driven – 2019 TrendsCarolyn Schierhorn, Food Processing, January 2019

Throughout 2019, one overarching trend will influence not just food & beverage formulations, but also ingredient sourcing, packaging, marketing strategies and commitment to corporate social responsibility. “There continues to be a rise in conscious consumption; this is something we see as being a very lasting trend,” observes Melissa Abbott of The Hartman Group.

Conscious consumption extends beyond health to sustainability and farm-level distinctions and it spans all generations, says Abbott, who is vice president of culinary insights for Bellevue, Wash., research firm (www. Hartman-group.com).

“Consumers expect food manufacturers to do good and be good, and there has to be ultimate transparency,” she emphasizes.

Trends

21

FAPC’s top 10 food trends for 2019Tori Lock, The National Provisioner, January 2019

Top 10 trends according to Oklahoma State University’s Robert M. Kerr Food and Agricultural Products Center (FAPC).

1. Regional flavors – consumers will see a growing number of their favorite products influenced by local, regional and global tastes

2. Gut-healthy options3. Meats and more –more environmentally sustainable meat and protein alternatives;

good old-fashioned steak cuts still making an appearance4. No waste5. Transparency6. Buggy cuisines – insects and insect powder are low in fat and rich in protein7. Convenience cooking – subscription boxes, more delivery options8. Super powders – maca root, cocoa and turmeric powders, among other roots and

herbs9. Less sugar and more flavors 10. Snap, crackle and puffed foods – other than the typical French fries, consumers

crave more puffed, crispy and popped foods.

Trends

22

Bold, Adventurous, Cause-Driven – 2019 TrendsCarolyn Schierhorn, Food Processing, January 2019

Strong but nuanced flavors will remain a hot trend n 2019, points out David Kamen, asst. dir. of the Culinary Institute of America’s consulting division. “Big, bold flavors are still all the rage, and we’re going to continue seeing spicier food becoming more mainstream. But we’re now seeing fermented flavors adding to that element of bold.”

Kamen notes how spicy food has evolved in the U.S. from the traditional Tabasco sauce to more flavorful sauces and dishes such as sriracha and sambol. “These are spicy but also have elements of garlic and smoke and sweet.”

-Whole Foods recognizes “Pacific Rim Flavors” as the topmost food trend for 2019. Ingredients like longganisa (a Filipino pork sausage), dried shrimp, cuttlefish and shrimp paste are on restaurant and home menus.

-Besides lesser-known Asian foods and ingredients, Middle Eastern cuisine “is going to hit its stride in 2019,” said Maeve Webster, president of Menu Matters. “As part of that, modern Israeli (cuisine) will grow as an influence.”

Trends

23

New Year, New TastesWhole Foods Market unveils top 10 food trends for 2019Prepared Foods, January 2019

1) Pacific Rim Flavors2) Shelf-stable probiotics3) Phat Fats4) Next Level Hemp5) Faux Meat Snacks6) Eco-Conscious Packaging7) Trailblazing Frozen Treats8) Marine Munchies, Beyond Seaweed9) Snack Time: Upgraded 10) Purchases that Empower

Trends

24

Yellow and Orange colors will dominate in 2019, GNT saysCathy Siegner, fooddive.com, 1-10-19

Color is a key factor in attracting consumers to certain foods and beverages, so it's not surprising that optimism, positivity and bright colors are expected to appeal to Gen Z and other demographic groups this year. The "sunshine spectrum" from bright yellow to deep orange lends itself to citrus flavors and could become the younger generation's preferred shades as it previously has been for "millennial pink.“

Besides the visual appeal, colors also tease anticipated flavors to consumers. Research has found 90% of shoppers make up their minds about buying a product from its color and perceived taste. If the color is appealing, they're more likely to buy it — so there could be more citrus-flavored foods this year.

When it comes to citrus colors, they also tend to convey more upbeat and positive emotions, GNT said, and may even encourage feelings of happiness and joy. Such aspects are hard to beat, so it's likely that more manufacturers will adapt those color elements for their products in order to tap into the trend. While this optimistic viewpoint may not carry over to other realms of life, a positive and cheerful attitude might help to bolster the food and beverage industry.

Trends

25

Trends

26

Mintel: Social Awareness, Innovation Shape Top Four Foodservice Trends for 2019Csnews.com, 1-22-19

YOU ARE WHERE

YOU EAT

Restaurants are showcasing more of their personalities in the form of branded merchandise, etc.

Four trends in particular are likely to have a notable impact on the U.S. restaurant industry this year.

SERVING THE EARTH

Consumers are aiming to incorporate more environmentally responsible practices into their lives and they expect the same from businesses.

RESTAURANTS FOR GOOD

In 2019, restaurants will find more creative ways to attract and retain top talent, and in turn, will build loyalty in their communities by supporting causes that matter most to their customers.

TECH IN BALANCE

Restaurants are rolling out innovative technology that allows consumers to have quicker transactions, shorter wait times and meals delivered straight to their door.

Restaurant Trends

27

America’s Favorite ChainsNewsfeed.com, February 2019

Eating at home is on the rise – blame Netflix, blame hygge, blame comfort, but the numbers don’t lie. There’s been a 2 percent increase in food service meals eaten at home across segments, and that’s not expected to drop anytime soon.

Restaurant Trends

28

Restaurant Trends

29

America’s Favorite ChainsRestaurant Business, January 2019

Quick Service

1. Chick-fil-A2. Tropical Smoothie Café3. Culver’s4. In-N-Out Burger5. Papa Murphy’s Pizza

Full Service: Top 5 Family Dining

1. Cracker Barrel2. First Watch3. Bob Evans4. Shoney’s5. Perkin’s Restaurant and Bakery

Full Service: Top 5 Casual/Upscale Dining

1. Fleming’s Prime Steakhouse2. Seasons 523. Maggiano’s Little Italy4. The Capital Grille5. Brio Tuscan Grille

Fast Casual

1. Newk’s Eatery2. Firehouse Subs3. Raising Cane’s Chicken Fingers4. Jason’s Deli5. McAlister’s Deli

New Products | Retail

30

FoodBusinessNews: New on the shelves Rebekah Schouten, 2-8-19, Foodbusinessnews.net

Dietz & Watson is expanding its snacking portfolio with new Dietz Nuts. The snack consists of bite-size honey maple smoked sausage chunks that have been dried and cured.

Lee Kum Kee is launching a new line of Panda Brand Grilling and Dipping Sauces. The line features: lemon pepper, sweet and spicy, black pepper and triple citrus which features a blend of orange, lemon and lime.

New Products | Retail

31

Favorite Products: December 2018Prepared Foods readers select Green Giant Harvest Protein Bowls as their favorite new product launch from December 2018February 5th, 2019, preparedfoods.com

Protein and convenience appear to be a winning combination.Prepared Foods readers named Green Giant Harvest Protein Bowls as their favorite new product launch from December 2018 by a wide margin. The product took away 62% of the vote. Kellogg's Honey Nut Frosted Flakes finished second with 12% of reader confidence, while Grow Raw Organic Lacto Fermented Juices rounded out the field with 9% of the vote.

Beef

32

Continued strength in beef prices in 2018 and regular consumer visits to the meat case helped continue beef demand’s rise – to 15 percent since 2012, the National Cattlemen’s Beef Association (NCBA) reports, citing the latest retail sales data from IRI/Freshlook.

The trend is expected to continue in 2019, with USDA predicting U.S. consumers will eat 8.9 percent more beef this year than they did in 2015. Ground beef and loin cuts, which are popular retail selections, are driving much of beef’s demand.

Consumers not only are eating more beef, but also enjoying more high-quality beef because more cattle in the U.S. herd are grading higher than ever before.

Beef demand isn’t only strong at retail. Ninety-seven percent of foodservice establishments report having beef on the menu, according to the 2017 Usage and Volumetric Assessment of Beef in Foodservice study. Having beef on the menu has been shown to increase restaurant traffic by 45 percent, according to USDA.

Beef Demand up 15 percent since 2012Tom Johnston, meatingplace.com, 1-11-19

Breakfast

33

Mann Packing rolls out new veggie breakfast bowlsTim Linden, producenews.com, 1-17-19

The two newest flavors are the Denver Scramble and the Fiesta Scramble. Like all of Mann’s two-dozen flavors, the product comes in a microwavable bowl complete with an assortment of veggies and ingredient packs. The product calls for ripping off the plastic cover, emptying the packets, adding an item when appropriate, mixing the contents and microwaving for a few minutes to create a healthy and warm vegetable-laden meal.

Mann officials noted that it is capitalizing on both the success of its Nourish Bowls product line and significant growth in the breakfast meal category. The company has research noting that 93 percent of Americans think that breakfast is the most important meal but only 44 percent eat it daily; 83 percent of foodservice operators have increased breakfast hours in the past three years; 80 percent of consumers said it’s important to eat a healthy breakfast; and 51 percent of consumers reported in a recent survey that they have eaten traditional breakfast foods for lunch within the past two weeks.

The two new Nourish Bowls join an array of flavors, including Monterey Risotto, Southwest Chipotle, Smokehouse Brussels, Spicy Thai, Basil Pesto, Tomato Bolognese and Cauli Rice Curry.

Frozen

34

Frozen food sales fuel center store growth, study saysJeff Wells, Fooddive.com, 1-28-19

Research from IRI included in “The Power of Frozen” by the American Frozen Food Institute and the Food Marketing Institute notes that frozen sales outpaced total store and fresh perimeter sales in 2017 and then widened the gap last year, with 2.6% sales growth compared to 1.7% for the total store and 1.4% for fresh. Unit sales for frozen were up 2.3% last year.

By comparison, five years ago fresh perimeter sales growth was five times that of frozen.

Top categories last year included frozen breakfast items, which grew sales 5.7% and unit sales 4.7%, and meat, which grew sales 5.2% and units 5.2% last year. Sales of entrees increased 2.3% and units 4%, while the trusty standby frozen pizza saw sales climb 4.9% and units 3.1%.

In The News

35

Tyson Foods to acquire Thai and European operations from BRF S.A.Provisioneronline.com, February 7th, 2019

Tyson Foods Inc. announced a definitive agreement to acquire the Thai and European operations of BRF S.A. The $340 million (USD) purchase includes four processing facilities in Thailand, one processing facility in the Netherlands and one processing facility in the United Kingdom. This deal builds on the company’s growth strategy to expand offerings of value-added protein in global markets.

“As noted when we acquired Keystone Foods on November 30, we believe some of our biggest growth opportunities are in value-added foods and international markets,” said Noel White, president and CEO of Tyson Foods. “In addition to domestic benefits, the Keystone acquisition provided us with a scalable production platform in the Asian poultry market. The acquisition of these BRF facilities will help complement and strengthen our presence in Thailand, and provide new capabilities in Europe, enhancing our ability to serve growing global demand for value-added protein.”

“It’s estimated that approximately 90 percent of global protein consumption growth will occur outside the United States, with 60 percent of the volume growth coming from Asia over the next 5 years,” said Donnie King, group president of International for Tyson Foods.

Meal Kits

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Easy NOT Cheap Meatingplace, January 2019

The meal kit market is roiling, what with market leader Blue Apron struggling to revamp its business model and Germany-based HelloFresh exploding across North America. And looking at the widely varying price points per meal, the reshuffling of the market’s leaders isn’t over yet.

Pork

37

Wisconsin-based Johnsonville is making it easier for home cooks to get creative in the kitchen with a line of seasoned ground meats.

Recipe Starters are making their debut in two varieties of 100 percent premium pork with no nitrates or nitrites and free from artificial colors and flavors. Baja Chipotle is seasoned with chipotle, lime and mesquite flavors and is intended for tacos, burritos and other south-of-the-border dishes. The Asian Style Sesame variety combines the flavors of sesame, ginger and soy making it ideal for stir fry, fried rice and noodle bowls. The refrigerated seasoned ground meats come in 16-oz. packages that should be merchandised with other value-added fresh meat products.

The brand is not new to the raw meat space, as it offers other ground options such as mild, hot and sweet Italian sausage and chorizo.

Seasoned Ground MeatRollout, Food Processing, January 2019

Poultry

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Tyson expands wing offerings for foodserviceSusan Kelly – Meatingplace August 15, 2018

Having recently reformulated a number of its Tyson Red Label chicken products and added dark meat offerings, Tyson Foods is now rolling out seven new wing offerings in the foodservice line.

Tyson said the four new jumbo-sized bone-in and three new boneless flavors were created for foodservice operators looking for something new.

Products in the Red Label line are fully cooked with no MSG and made from chicken raised with no antibiotics ever. The wings have a variety of breading profiles, can be prepared in the oven or fryer and can be served as is or tossed in a signature sauce.

The new bone-in wings come in Golden Crispy, Hot ‘N Spicy, Applewood Smoked and Oven Roasted Starch Coated flavors. The new boneless wing flavors are Hot ‘N Spicy, Applewood Smoked and Starch Coated.

Poultry

39

2019 Poultry Report: Cruising AlongElizabeth Furman, January 17, 2019, provisioneronline.com

The entire chicken category grew 2.5 percent in dollar sales to approximately $20.9 billion, Nielsen Perishables Group, in Chicago, reports for all U.S. outlets combined for the year ending Nov. 3, 2018. Looking at individual departments, the deli department posted the highest dollar sales growth with a 4.7 percent increase from the year before, followed by the meat department with 3.3 percent gains. Frozen chicken dipped 2.3 percent for the period, Nielsen reports.

The entire turkey category also grew, albeit at a slightly slower rate than chicken, with 2.3 percent growth in dollar sales to nearly $2.9 billion, Nielsen reports for the same time period. All departments posted some increase in turkey sales with the deli department in the lead, making double-digit gains to more than $240.5 million.

Information Resources, also based in Chicago, reports the chicken and turkey categories are outperforming total meat overall in dollar sales. The total meat department is up 2 percent, with chicken growing 2.7 percent for the year ending Oct. 31, 2018.

Sauces

40

Around a quarter of Gen Z and Millennials want condiments to be as spicy as possible; a quarter of boomers prefer no spice at all.

Sauces

41

Snacks

42

Bush’s Debuts New Line of “Better For You” Snacks at 2019 Winter Fancy Food ShowKen Oakley, specialtyfood.com

Leveraging the inherent health benefits of beans, the new snack line meets the demands of today’s health conscious consumers. These on-the-go snacks give a unique and perfect combination of taste and nutrition for better-for-you snacking.

Snacks

43

Vegan Mushroom Bacon Chips and Pork-Free Rinds Will Be the Hottest Snacks of 2019Jill Ettinger, Livekindly.com, 12-16-18

Chips are getting a makeover in 2019, and it’s all about the pork. Or rather, pork-free.

Two new brands are expected to garner national attention: Outstanding Foods with its Pig Out! Bacon Chips, and Snacklins, with its Pork-Free Rinds.

Pig Out Chips are mushroom-based and will come in four flavors: Original, Cheddar, Chipotle, and Kansas City BBQ.

DC-area based Snacklins started as a joke. Vegan pork rinds would be hilarious, the founders thought. But it turned out the joke was more a stroke of brilliance — and Snacklins was born.

The “cracklins without the pork,” like Pig Out’s bacon chips are also mushroom based. Mushrooms were named one of LIVEKINDLY’s hottest food trend predictions for 2019 because of their versatility and meatiness.

Snacks

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Food Focus: Meat SnacksIncreased share of palateEd Finkel, Meatingplace, January 2019

Snacks

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Food Focus: Meat SnacksBold and beautiful Ed Finkel, Meatingplace, January 2019

Traditional flavors of meat snacks have included hickory smoke and teriyaki, but new introductions have spanned sweet and hot, peppered, steakhouse, flame-grilled, chili lime, barbecue and chipotle, National Cattlemen’s Beef Association Notes.

Bacon-flavored pork jerky has done particularly well, says Jason Menke, director of marketing communications at the National Pork Board. “ They get the flavor and taste of bacon and jerky makes for a great grab-and-go snack.”

Land O’Frost, which recently rolled out a chicken chip product in four flavors – barbecue, chicken bacon, Buffalo and teriyaki – believes consumers’ interest in bold flavors and high protein content will continue to grow, says Reggie Moore, senior vice president, sales, marketing & innovation. “As we continue to evolve the brand, we will start introducing flavors that hit the sweet spot between traditionally jerky flavors and traditional snacks, including salty chips, he says.

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SustainabilityCDP report: world’s largest businesses cut 633mn metric tonnes of CO2 from their supply chains Dale Benton, Feb. 6, 2019, supplychaindigital.com

A new report by CDP, the non-profit global environmental disclosure platform, has revealed a step-change in corporate awareness and action on environmental impacts within the supply chain in the last decade.

In 2018, 115 organisations wielding a combined purchasing power in excess of US$3.3trn, requested environmental information from 5,500+ of their key suppliers, a major increase on the 14 ten years ago. Suppliers reported emissions reductions of 633mn metric tonnes of carbon dioxide – greater than the emissions of South Korea in 2017 – leading to collective cost savings of US$19.3bn.

Cascading commitments: Driving upstream action through supply chain engagement compiles data disclosed through CDP by 5,562 global suppliers. It also reveals a 35% growth in targets for water use among suppliers, compared to 2017, while the number of companies disclosing information to their customers on their forests-related impacts has more than tripled, from 88 in 2017 to 305 in 2018.

For many, sustainability is now a major factor in their purchasing decisions with nearly three quarters (73%) of a subset of 27 major purchasers answering a CDP survey revealing that they are either currently deselecting, or considering deselecting, existing suppliers based on their environmental performance. 63% are either currently using, or considering using, data from CDP disclosures to influence whether they contract with suppliers or not.

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VeganMore Major U.S. Restaurant Chains Are Putting Plant-Based Meals on the MenuJanet Forgrieve, Forbes.com, 1-31-19

The word “vegan” now shows up on 11% of U.S. chain restaurant menus, and 55% of the top U.S. restaurant chains now offer at least one plant-based entrée, according to the Good Food Institute’s latest restaurant scorecard.

White Castle, which last year launched the Impossible Slider, received nine points, putting it in a tie for first place with smoothie chain Jamba Juice. Panera Bread was next, followed closely by Yard House which boasts a menu of dishes made with plant-based meats from Gardein.

Shipments of plant-based protein from distributors to U.S. restaurants rose 20% in the year ending in November 2018, according to NPD, and there was double-digit growth in every area of the country.

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VeganAldi Launches Healthy Vegan Sausage RangeJemima Webber, livekindly.com, 2-8-19

London -Masala Roast Cauliflower Sausages, which are spiced with garam masala and feature red onion, brown rice, and yellow split peas, are now available. Also on offer are Red Pepper & Butternut Squash Sausages that include yellow split peas and parsley.

Aldi, which has more than 10,000 stores in 20 countries, has been upping its game within the vegan movement. Its new vegetable-packed, plant-based meats join a growing list of other meat-free items appearing on Aldi’s store shelves.

Last month, the supermarket chain launched a vegan range with more than 10 products including ready meals, vegan meat patties, nutritious soups, protein-packed energy bars, and condiments like vegan mayonnaise.

Also in January, Aldi began encouraging families in the UK to go vegan with a television campaign. The ad was released in celebration of Veganuary, the month-long pledge which sees people going vegan for January, and highlighted Aldi’s expansive range of vegan products.

Changing Demographics

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Grain-free tortilla startup Siete raises $90M from Stripes GroupJessi Devenyns, fooddive.com, 2-6-19

Siete Family Foods, a Mexican-American family-owned brand, recently accepted a round of outside funding to the tune of $90 million from Stripes Group, according to NOSH. The company makes grain-free tortillas, chips fried in avocado oil, and plant-based and dairy-free dips.

Although a quick online search shows that recipes for the products abound on food blogs, having a commercially available equivalent was an opportunity that Siete pounced on. Made with cassava, cashews, coconut and chia flour, this product appeals to not just those who have allergies, but customers on the popular gluten-free, paleo, ketogenic and free-from lifestyles, as well as those those who are just interested in better-for-you products. According to SPINS data, cassava flour sales grew 471.5% from 2016 to 2017. Bean and lentil flour sales also saw rapid growth, with a 9.8% increase in that time.

As more companies have developed free-from foods and ingredients to accommodate the growing consumer demand, Siete could take advantage of the market. Although the company has big plans for growth, Garza previously told NOSH that the brand wants to appear to be a "cute, family-owned paleo brand" to allow consumers to feel a sense of intimacy that makes brands relatable and keeps them coming back for more

Changing Demographics

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2019 Poultry Report: Cruising AlongElizabeth Furman, January 17, 2019, provisioneronline.com

Home ConsumptionOne of the top trends affecting poultry is American consumers’ desire to eat at home regardless of whether the meal is prepared at home or comes from a restaurant, says David Portalatin, food industry advisor at the NPD Group, in Port Washington, N.Y., and author of the report Eating Patterns in America.

“We are increasingly consuming at home, but convenience still matters,” he says. “One of the ways that regardless of where in the food industry you are to be successful with today’s consumer is to give them convenient solutions for creating that in-home meal location.”

Chicken consistently is the leading center-of-the-plate protein Americans eat, Portalatin says. What is changing is that center-of-the-plate proteins are featured in dinners at home a little less often.

“That doesn’t mean that we’re moving away from animal protein,” Portalatin says. “What it means is that our dinners are getting simpler. We’re more likely incorporating the meat as an ingredient to another dish like a sandwich or a pizza or some other kind of mixed dish.”

While sandwiches remain a top food item for lunch, dinner sandwiches are actually increasing, creating an opportunity for chicken sandwiches, Portalatin explains.

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Changing DemographicsMillennials, Hispanics driving organic product growthJulie Larson Bricher, Meatingplace.com, 1-14-19

Millennials are spending 14 percent more on organic products this year compared to last, while Hispanic consumers lead other ethnic groups, spending over 13 percent more on organic products compared to a year ago, according to Nielsen data.

The market research firm reported that organic products sales now account for more than $21 billion in sales and are up nearly 9 percent in dollars and 8 percent in units.

“Where the average American household is spending just 0.2 percent more across overall fast-moving consumer goods, the pace of purchasing happening among organic goods is exceptional and is breathing life into otherwise flat or contracting aisles of the store,” Nielson noted.

Of the top 10 categories with the highest organic dollar sales, fresh chicken was ranked fifth, with $499 million in sales, up 11 percent over last year. Cow’s milk, pre-packaged salads, chicken eggs and nutrition bars rounded out the top five.