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nestlé announces $550 million sustainable coffee plan
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instant starbucks won't herald consumer exodus – industry
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as café chain starbucks announces plans to offer instant coffee at its stores to diversify in the current economic climate, the european coffee industry says it does not expect a similar shift in consumer habits in the near future. roel vaessen, secretariat of trade body the european coffee federation (ecf), says that with the economic downturn still relatively a new concern, it remains too early to tell if consumers may switch to instant coffee en mass on the back of financial concerns. despite general resilience in demand for coffee products, the ecf suggested that in some national markets boasting an established take-away drinks culture, it had begun to observe a shift towards home brewing. instant starbucks the claims come as starbucks is expected to announce this week that it will be launching a new-patented form of coffee that can match its trademark espresso beverages in an instant format. the coffee retailer claims that it has been working for twenty years on the new technology as part of plans to enter the $17bn instant coffee segment. as starbucks looks to diversify it operations, after last year announcing plans to close 600 of its us stores, vaessen told beveragedaily.com that there was reason to suspect that store bought coffee was baring some brunt related to the economic downturn. however, he suggested that sustainable and premium forms of coffee were still an affordable luxury to global consumers. “premium, fair trade and organic coffee each have their dedicated audience, and price is not the determining factor in their purchases,” said vaessen. trends responding to some consumer perceptions that instant coffee did not match the quality afforded by some other coffee products, vaessen claimed that such opinions were based more on individual preference than fact. he added that some claims regarding quality had not taken into account advances within the market for instant forms of the bean. “it is correct to say that instant coffee manufacturing technology has made big strides and old misconceptions need to be revised,” vaessen said. despite expected resilience within the overall demand for coffee, the ecf suggested that there is growing interest among consumers for products geared towards individual preparation and convenience, whether in roasted or instant form. growth predictions the predictions are backed by recent consumer research into the coffee segment by analyst euromonitor, which suggest that in both eastern and western europe, consumer demand for fresh and instant coffee will continue to rise. according to its predictions, the analyst predicts that, excluding the foodservice industry, demand for fresh and instant coffee will increase by three and five per cent respectively on a year-on-year basis for 2009 in eastern europe, said the analyst. on the same terms, euromonitor believes that demand for fresh and instant coffee in western europe this year could increase by 0.07 and two per cent respectively.
Source :foodanddrinkeurope.com
Date :
17
February
2009
Category :
Beverages
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the nescafé plan contains a set of objectives which will help nestlé further optimize its coffee supply chain. in addition to the chf 200 million invested over the past ten years, nestlé will invest chf 500 million in coffee projects by 2020. this includes an investment of chf 350 million for the nescafé plan and chf 150 million for nespresso. the rainforest alliance, an international non-governmental organization, will support nestlé together with other partners of the sustainable agriculture network (san) and the coffee association, 4c, in meeting the nescafé plan objectives related to farming.
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the company is set to build new factories in angola, the democratic republic of congo (drc) and mozambique, while also expanding existing factories. nestlé will also increase its distribution capacity in the region by opening 13 new distribution facilities and more than double its work force by creating 750 new jobs by 2012. paul bulcke, nestlé ceo , who announced the investment at a press conference in kenyan capital nairobi, said: “nestlé is committed to unlock the business opportunities and to promote growth in equatorial africa.
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us federal regulations on using the term "organic" only went into full effect on monday, but they are already rapidly transforming a niche of the coffee industry and will cost consumers more, experts say. "i think we're looking this year at sales growth of our double certified line in the region of 50-60 per cent as some of our larger customers distribute (organic coffees) to more mainstream channels," said rick peyser of green mountain coffee roasters based in waterbury, vermont.
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the world\'s largest coffee chain has reported strong business for the brand, which chief executive howard schultz is betting could become a billion-dollar business and galvanize growth for the chain. when asked if the company was aware of the situation, starbucks spokeswoman sanja gould said: \"there have been limited instances where some beverage sales have been rung up as via sales.\" via currently accounts for a small portion of sales at starbucks, but reported numbers suggest it is rapidly gaining traction with customers.
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same store sales grew 5.8 percent in july year on year, the company said in a statement on wednesday. that compared to a 9.3 percent increase reported for june. \"it was not an easy month, many players were unable to fully reap the additional income from summer cafes in the moscow region due to a difficult ecological situation,\" chief executive sergei beshev said in a statement. the average bill fell 0.
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new research does not contradict or change the conclusions drawn in the european food safety authority’s opinion on ochratoxin a (ota) in foods such as cocoa products and liquorice, claims the parma-based agency. ota is a mycotoxin produced by several fungal species of the genera penicillium and aspergillus. animal studies have linked the toxin to renal tumors at high dosages.
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nestlé has announced their commitment to stop buying palm oil from companies owning or managing plantations or farms linked to rainforest destruction. this would apply to notorious sinar mas, a palm oil and paper supplier that greenpeace has repeatedly caught destroying the rainforest - if it fails to meet nestlé’s new criteria - and also have implications for cargill, one of nestlé’s palm oil suppliers which purchases from sinar mas.
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the key food sectors in australia are weathering the global recession well, the latest research from leatherhead’s global food markets shows, with frugalism far less prevalent than in most other global markets. although there are signs that consumers have begun to economise during the slowdown, many sectors reported strong growth in 2008, with 2009 sales estimates also positive. baby food sales, for example, rose 8.
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Coca.Cola
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PEPSI
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Mcdonald
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Nestle
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Mars
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Baskin & Robins
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Nutrika
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Mumika
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Chika
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in the latest part of our focus on clean labels and 