Freshconex, Europe’s leading business and information platform for fresh produce convenience, will present a broad overview of products and services from 8-10 February 2012 in Berlin.
For the first time, Freshconex 2012 will feature dedicated exhibition halls for fresh produce convenience (Hall 7.2c) and technology (Hall 7.2b) sectors respectively, ensuring a focused market overview of each segment and a more efficient target group approach for trade visitors, according to event organiser Messe Berlin.
Furthermore, Freshconex 2012 is integrated into the visitor circuit for Fruit Logistica 2012, which runs alongside the event at the Berlin Exhibition Grounds.
Exhibitors from 13 countries have already registered for the event, with the ‘Fresh Convenience Products & Ingredients’ segment including Kellermann.ch ag (Switzerland), Fructofresh (Poland), mirontell fein + frisch AG (Germany), Alphacom Italia S.r.l. (Italy), Agrolito S.L. (Spain) and Smit’s Uien BV (Netherlands).
Meanwhile, companies present in the ‘Product Packaging and Fresh Convenience Processing Technology’ segment include Visys NV Sorting Systems (Belgium), Cellpack Packaging (France), Concept Engineers BV (Netherlands), ABL S.r.l. (Italy), Zumoval S.L. (Spain) and Paper Pak Industries (USA).
The “Quality and Safety” segment includes AgriCoat (Great Britain), FOOD Freshly AFC (Germany) and Baltimore Innovations Ltd. (Great Britain).
In addition to the trade show, the Freshconex Business Forum is also taking place across the three-day event, with speakers discussing some of the industry’s key topics.
Dole Europe has announced the acquisition of Helsinki, Finland-based Fafi Fresh Cuts Oy, a group founded by private investors in 2010 that only started operating in June this year.
The purchase will, according to Dole Europe president Johan Linden, add to a decade of growth in fresh-cut out of the group’s Swedish plant, which has been based on product quality and innovation.
“With this acquisition, Dole is further investing in this growing category,” Linden noted. “The acquisition of Fafi Fresh Cuts will be the start of new growth for Dole fresh cut products in Finland.
“Dole has already been servicing the Finnish market with its high-quality fresh cuts from its Swedish plant for a number of years,” Linden added. “With the new production set up, the transfer of production and category expertise, Dole customers in Finland will benefit from shorter lead time, increased flexibility as well as a broader product assortment of short shelf-life products.”
The new operation will report to Stefan Grahn, general manager of Dole subsidiary Saba Fresh Cuts in Helsingborg, Sweden.
Bagged salad specialist Florette has revealed that it is planning its biggest-ever UK marketing investment to back a major 2012 promotional campaign, that it hopes will help engage consumers like never before.
The group will invest some £5m (€5.8m) next year as it looks to tap into what it sees as several major opportunities for its bagged salads in the country, including the launch of a new television campaign, taking advantage of several sporting and celebratory activities, and the opportunity to innovate.
“We are excited about the potential for category growth in 2012, and there are some big opportunities coming,” said Elaine Smith, marketing manager at Florette in the UK. “As a brand leader, we believe we need to communicate with consumers to help drive sales of bagged salads.”
A new television campaign will launch in April next year, Smith explained, while there will also be a focus on linking Florette’s salad products with the numerous sporting activities taking place throughout the year, as well as celebratory events such as the Queen’s Diamond Jubilee.
“These represent the perfect platform to engage and capture the mood of the nation,” she continued. “They generate huge consumer interest, and can be key for bagged salads – so it will be an integrated campaign that harnesses the sporting mood.”
Florette’s opportunities lie in the fact that many major events in 2012 will be TV-based for consumers, creating opportunities for meal occasions, with food and drink playing a major role in watching sporting and celebratory moments.
The drive will be supported by celebrity endorsements, on-pack activity, media support, digital activity and in-store sampling, among other promotional methods, Florette said.
Innovation will also be a key part of the group’s drive in 2012, with Florette looking to inspire consumers with different product combinations and taste innovation.
Looking back
Meanwhile, Florette’s category manager Tony Walsh revealed that prepared salads had ‘weathered the storm’ this year despite a number of difficulties, including a slump in consumer confidence over the economy, rising VAT and the European E.coli crisis.
According to Walsh, the category has seen yearly sales value growth of 3.9 per cent and unit sales growth of 3.7 per cent compared with 2010, driven by increased purchase frequency in the UK.
“Florette is outperforming the prepared salad market as a whole,” he said. “Our growth is roughly twice as much as the overall market.”
Overall, he noted, 2011 had been a year of ups and downs, with brands growing and the weather proving important to the category, while sales growth had been ‘resilient’ despite fragile consumer confidence.
US fresh-cut giant Fresh Express has had a US$12m claim for losses incurred during the 2006 US bagged spinach E.coli outbreak overturned by a state appeals court, reports the Monterey Herald.
In a decision released on September 8, the California 6th District Court of Appeal overturned the US$12m award granted to Fresh Express in 2009 under its recall-and-brand-protection insurance policy.
The court said Fresh Express’ losses were not covered by the policy because they did not result from an “insured event”.
Fresh Express, which is a Chiquita Brands subsidiary, said it would seek a review of the decision.
“This result is very unfortunate for our industry, as many companies pay large amounts for policies with the good faith belief that there will be coverage under those policies in the event of a recall,” said Ed Loyd, Chiquita’s communications director.
Fresh Express said it suffered US$18.8m in losses between September and December 2006 because of the E.coli outbreak, which killed three people and sickened over 200.
Chiquita has launched its new banana product at wholesale level.
Chiquita Minis have arrived at wholesale markets across the country to strong demand.
It is believed to be the first time the Cincinnati-based fresh produce giant has entered the markets with a smaller offering. They are around half the size of a normal banana.
TG Fruits on Brighton wholesale market described the fruit as of excellent quality and “selling really well”.
The minature bananas are sold in a polybag containing at least five bananas with 11 packs per box. They are selling at £5.50 for 11s on Brighton market at an RRP for independent retailers of £1.
The product is making similar money on Manchester Smithfield wholesale market, where Manchester Wholesale Fruit have sampled the Minis and are to stock them for sale on Monday.
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Morrisons is set to undercut its rivals by up to 11 per cent on fresh produce as it enters the high street with its M local format.
The UK’s number-four supermarket this week opened its first convenience store in Bradford as part of three trial outlets.
Morrisons expects to be between four and 11 per cent cheaper on fresh products than its rivals in convenience by charging its usual prices, or slightly higher, at the M local stores, leaving it ahead of other c-stores that charge a premium in local, convenient stores.
The first store is in Ilkley, Bradford, an affluent area – a deliberate target as Morrisons aims to broaden its demographic.
M local stores will have more than 100 lines of fresh foods including strong fish, meat and bread offers and a salad bar.
One supermarket supplier told FPJ Morrisons has recently “revamped its fresh convenience offer – it is much stronger on bagged salads and stir fries than it was historically”.
He added: “It has implemented dramatic changes in packaging, tiering and recipes and brought its prepared offer up to that of the rest of the mults.”
Commenting on links between Morrisons and a possible £1.5 billion offer for frozen food chain Iceland – which would more than double its store numbers – the source said: “Iceland has the high street locations which would allow Morrisons to gain the access to the convenience market it is lacking.”
Morrisons chief executive Dalton Philips said: “Convenience is one of the fastest growing sectors of the market and developing our offer in this channel is a key part of our growth strategy.”
Philips took over the 455-store supermarket last year and has already set out plans to enter new markets.
Convenience retailer Londis is investing £4 million in its fresh food expansion this year.
The investment means the entire Londis supplier fleet will have fully chilled capacity for the first time.
The retailer aims to deliver a larger fresh range that includes bagged salads. barbecue products, fresh meat, poultry and fish.
Having already invested in new supply chain systems, Londis hopes the new fleet will further maximise fresh flow through speeding up the journey from manufacturer to depot to shop, and ensure that retailers capitalise on shelf life, minimise wastage and manage their fresh offering effectively.
The retailer said: “The multi-million pound, 72-piece fleet offers a sound and ecological investment for Londis and completes the replacement of the 400-strong fleet operated by Musgrave Retail Partners GB for its Londis and Budgens stores.”
Food inflation has accelerated as commodity prices surge and fuel bills continue to rise.
Overall shop price inflation increased to 2.9 per cent in June from 2.3 per cent in May, while food inflation accelerated to 5.7 per cent in June from 4.9 per cent in May, according to the British Retail Consortium-Nielson Shop Price Index for June.
Non-food inflation rose to 1.3 per cent in June from 0.8 per cent in May.
BRC director general Stephen Robertson said: “Household budgets are under pressure. Real disposable incomes have dropped the most in 34 years but increasing petrol and energy bills plus low wage rises are the main causes. Shop prices are going up much more slowly than the wider Consumer Price Index.
“Overall shop price inflation is being driven by surging world commodity prices, the effect of the weak pound on import costs and higher VAT – all beyond retailers’ control.”
Food inflation is up, but 39 per cent of grocery spending is going on promoted goods, showing there are lots of offers available and savvy shoppers are taking advantage to minimise the impact on bills, the BRC said.
Mike Watkins, senior manager for retailer services at Nielsen, said: “Retailers have responded [to inflation] by maintaining the historically high level of promotions, which is helping shoppers to cope with falling household income.”
Asda’s category director Rick Bourne singled out prepared fresh produce formats – and prepared potatoes in particular – for an upsurge in demand at the East Midlands Potato Day on Tuesday.
Bourne told delegates at the event held at QV Foods’ Manor Farm that although Asda’s customers were having to make a choice between certain products, mixing their purchases across premium to budget tiers and prioritising what they buy, prepared fresh produce was coming out on top.
“Consumers are prepared to pay for someone else to prepare their vegetables,” he said at the joint QV Foods, Potato Council and McCain sponsored event. “I tried to sell dirty carrots and I couldn’t understand why people weren’t buying them. I was told that people don’t have the time to wash them at the sink.
“I tried to sell naked cucumbers for a while but customers didn’t like it. Loose product has the perception that lots of people have touched it.”
Bourne also revealed that food waste had a huge bearing on what Asda customers buy, with prepared portions offering a feel good factor for the end consumer.
“The £1 price point is important to our customer and is a motivator,” he continued. “It helps people budget but it’s also the right portion, meaning less waste of food in the home.”
Asda sales account for 20 per cent of the prepared potato market, according to Bourne, and he is keen to grow the category.
“Together we can inspire growth for prepared potatoes,” he said. “You have to understand the market.”