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GOURMET NEWS MAY 2017 www.gourmetnews.com NEWS & NOTES 7 Specialty Food Sales Continue Strong Growth Trend The Specialty Food Association is reporting that dollar sales for the specialty food industry grew by 15 percent be- tween 2014 and 2016 and reached $127 billion in annual sales in 2016, now accounting for 14.8 percent of all food sales at retail. Snack food sales reached $16.3 billion in 2016, and snacks now account for about 28 percent of the entire specialty food market. Jerky and meat snacks led the growth for the snack food segment, leaping ahead by more than 86 percent between 2014 and 2016, while sales of chips, pretzels and similar snacks grew by 13.6 percent be- tween 2014 and 2016 and now account for more than $3.5 billion in annual sales. Cheese, including plant-based cheese alternatives, still continues to be the leading category in the specialty food market, with $4.422 billion in sales during 2016, for a 12.4 percent increase between 2014 and 2016. The information comes from the Specialty Food Associ- ation's annual report on the state of the specialty food in- dustry. "The State of the Specialty Food Industry 2017" is a collaboration between the Specialty Food Association and market research firm Mintel. The report indicates that while specialty food sales continued to climb in 2016, growth in retail and foodservice channels slowed over the previous year, partly due to an increase in online purchas- ing for these products. Some of the growth in the retail channel is coming in mainstream retail channels, with growth in sales in chain grocery stores and mass merchants outpacing that in nat- ural and specialty chains for the first time. Growth is also happening in the foodservice channel, as more fine dining restaurants adopt specialty food products into their menus. Foodservice represents more than one fifth of specialty food sales and grew by 13.7 percent between 2014 and 2016. GN Hain Celestial Endorses Organic Check-Off Program The Hain Celestial Group, Inc. has announced its support of the Organic Check-Off Program, which is expected to raise $30 million annually. The fund will be used to pay for promotional, educational and research activities to further organic farming in the United States and to educate con- sumers about the benefits of organic products in a program designed to fairly represent the interests of all organic stakeholders. "As a leading organic and natural products company, Hain Celestial and our portfolio of better-for-you brands supports the creation of an Organic Check-Off program, which should benefit farmers, suppliers, manufacturers, and retailers alike by creating a more robust, sustainable organic food supply chain. More importantly, the program should benefit consumers, enabling millions of Americans to gain a better under- standing about the benefits of organic products," said Jared Simon, Vice President of Food Policy, Hain Ce- lestial. To learn more about the Organic Check-Off Program, visit GROOrganic.net and follow #GROOrganic, #Organ- icCheck-OffProgram. GN Beef Checkoff Launches Food Waste Challenge The American beef industry is encouraging consumers to improve beef's environmental sustainability by wasting less of it. The Beef Checkoff program challenged con- sumers to waste less with a 30 Day Food Waste Chal- lenge starting on this year's Earth Day in April. Although beef is one of the least wasted commodities produced in the U.S., at around 20 percent of edible product going to waste, consumers could help improve beef sustainability by 10 percent simply cutting that waste in half, according to the industry. People who signed up for the Food Waste Challenge were given shopping tips and food preparation strategies to help reduce food waste in their households. They were also encouraged to post on social media using #WasteLess to encourage others to join the challenge. Food waste is a continuing problem in the U.S. Accord- ing to World Food Day, 30 to 40 percent of the food supply in North America is wasted. Reducing food waste is one of the most impactful steps anyone can take to reduce their impact on the environment. Food that doesn't get eaten not only wastes the resources used to produce it, but ends up in a solid waste landfill, the number one source of methane emissions in the U.S. Additionally, the Beef Checkoff's 2015 Sustainability Executive Summary states that food waste costs the average American family approximately $2,500 annually. In 2016, the challenge's first year, more than 500 peo- ple participated. Most participants were graduates of the Beef Checkoff 's Masters of Beef Advocacy (MBA) pro- gram. GN Grocery Industry Seeks to Reduce Consumer Confusion on Product Date Labels In a new industry-wide effort to reduce consumer confu- sion about product date labels, grocery manufacturers and retailers have joined together to adopt standard wording on packaging about the quality and safety of products. The new initiative for common phrasing is led by the Food Marketing Institute and the Grocery Manufacturers Asso- ciation. Currently, more than 10 different date labels on packages – such as Sell By, Use By, Expires On, Best Before, Better if Used By or Best By – can result in confused consumers dis- carding a safe or usable product after the date on the pack- age. Reducing consumer confusion around product date labeling is projected to reduce total national food waste by 8 percent. The new voluntary initiative streamlines the myriad date labels on consumer products packaging down to just two standard phrases. "BEST If Used By" describes product quality, where the product may not taste or perform as ex- pected, but is safe to use or consume. "USE By" applies to the few products that are highly perishable and/or have a food safety concern over time; these products should be consumed by the date listed on the package and disposed of after that date. Retailers and manufacturers are encouraged to immedi- ately begin phasing in the common wording with wide- spread adoption urged by the summer of 2018. Broad industry adoption of this new voluntary standard will occur over time, so companies have flexibility to make the changes in a way that ensures consistency across their product categories. GN

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