Business News

Novozymes Q1 sales boosted by Food & Beverages performance, maintains outlook

25 Apr 2018 --- Novozymes has reported its first-quarter results with an overall sales growth of 2 percent, in line with company expectations. And the global biotechnology company is on track to deliver its full-year sales outlook of 4-6 percent. However, President and CEO Peder Holk Nielsen points to uncertainty in the agriculture-related business, citing “geopolitical tensions.”

Brexit: Arla Foods hit hard, dairy co-operative to cut €400m

23 Apr 2018 --- European dairy cooperative Arla Foods says that it needs to make €400 million in savings partly because of the currency implications of Brexit as well as pressure from commodity prices.
The dairy giant plans to cut €400m (US$493.9m) on costs from its business and has launched an internal transformation program called “Calcium” to do so.

Grill flavors banned in EU: Red Arrow and Symrise respond with alternatives as clock runs out

23 Apr 2018 --- Two commonly used grill flavors [Grillin’ 5078 and Grillin’ CB-200SF] are no longer allowed in the EU as of yesterday [April 22, 2018]. Despite efforts from the supplier Red Arrow Products [a Kerry business since the end of 2015] for a last minute reprieve for the flavorings, this has not been successful. 

Weekly Digest: ADM receives recognition for diversity, AB InBev develops energy-efficient brewing method

20 Apr 2018 --- This week in business, ADM was named by USG Corporation (USG) as its Diversity & Inclusion Supplier of the Year for 2018. The Supervisory Board of GEA Group and the Chief Financial Officer of GEA Group mutually agreed that Helmut Schmale would step down from the Executive Board before the termination of his appointment, which is due to expire at the end of March 2021. Meanwhile, Ireland’s largest exporter of Irish dairy products, Ornua announced the appointment of John Jordan as Chief Executive Designate and Tate & Lyle appointed of Imran Nawaz to the position of Chief Financial Officer, and to the Board of Tate & Lyle, with effect from August 1, 2018. Mondelēz International has inaugurated its newest “Factory of the Future” in the Kingdom of Bahrain as it aims to meet the growing consumer demand and Bell & Evans will invest US$260 million in building a new poultry harvesting facility in Pennsylvania in its new expansion strategy in the US.

Nestlé sales edge up in Q1, on target to grow by 2-4 percent this year

19 Apr 2018 --- Nestlé has reported a “solid” start to the year with organic growth of 2.8 percent and sales edging up 1.4 percent to CHF 21.3 billion (US$22bn). The Swiss transnational food and drink giant says that excluding the US confectionery business which was divested at the end of March, organic growth was 2.9 percent. RIG (Real Internal Growth) accelerated to 2.6 percent and continued to be at the high end of the food and beverage industry, while pricing was 0.2 percent, largely reflecting lower levels of inflation in emerging markets.

Valio reports net sales increase of 4.3 percent, despite a challenging market

19 Apr 2018 --- For Finnish dairy company Valio, 2017 was a good year from a business development perspective with net sales increasing by 4.3 percent, and Valio was able to pay the co-operatives a steady milk price despite the challenging market situation. Valio introduced more than 100 new products and maintained a positive growth trend in added value products both in Finland and in exports.

Unilever reports strong growth in Q1, maintains outlook

19 Apr 2018 --- Anglo-Dutch consumer goods giant, Unilever, has reported its Q1 sales figures that met expectations, boosted mainly by increases in the volume of products sold, and maintained its financial full-year outlook.

Blockchain: BASF and arc-net team up to use trailblazing technology for livestock sustainability

18 Apr 2018 --- The world’s largest chemical producer BASF and arc-net are joining forces to use blockchain technology for livestock sustainability. The system captures data to provide an environmental footprint with full transparency and traceability along the entire value chain. The partnership is just the latest example of how the food industry can harness the power of blockchain technology.

EC calls for new rules to eliminate unfair trading – but do they go far enough?

13 Apr 2018 --- The European Commission plans to ban unfair trade practices in the food supply chain in a bid to help farmers and small and medium-sized businesses get fairer treatment.
The Commission is targeting the more damaging unfair trading practices and wants to see sanctions imposed by authorities if any new rules are breached. 

Barentz and Deltagen collaborate on LATAM markets

13 Apr 2018 --- Distributor of ingredients, Barentz International, has announced the establishment of a joint venture with Deltagen Group, a specialized food ingredients distributor headquartered on Curaçao, with local presence in Venezuela, Colombia, Ecuador, Chile, and Peru. 

Cargill invests US$20m in egg processing facility

13 Apr 2018 --- Cargill is investing US$20 million to expand its Big Lake, Minnesota, egg processing facility. The Big Lake expansion includes capabilities to pasteurize, mix and cook a number of additional egg products for foodservice and protein ingredient customers, to meet increasing customer and consumer demand for a greater variety of cooked egg products.

Marfrig Global Foods beefs up with 51 percent stake in National Beef Packing Company

11 Apr 2018 --- Marfrig Global Foods SA is to become the world’s second-largest beef producer after agreeing to pay US$969 million to acquire control of US-based National Beef Packing Company. 

Cargill posts earnings drop off, performance gains for cocoa, chocolate and edible oils

09 Apr 2018 --- Global commodities trader Cargill has reported the key financial results for the fiscal 2018 third quarter and first nine months ended Feb. 28, 2018. Adjusted operating earnings were US$559 million, a 22 percent decrease from last year’s US$715 million. Nine-month earnings totaled US$2.4 billion, down 7 percent from US$2.58 billion a year ago.

China: CITIC buys 25 percent stake in Ausnutria Dairy Corp. in US$250 million deal

09 Apr 2018 --- CITIC Agri Fund Management Co Ltd is to buy a 25.18 percent stake in China’s Ausnutria Dairy Corporation Ltd for HK$1.96 billion (US$250 million), becoming the company’s largest shareholder. CITIC Agri Fund will buy 249 million new shares from dairy products supplier Ausnutria Dairy for HK$1.29 billion (US$1.64 million).

Dairygold rides dairy market volatility to report robust 2017 results

06 Apr 2018 --- Ireland’s largest farmer-owned dairy cooperative, Dairygold, has posted 2017 financials, saying it has delivered a robust financial performance in 2017 which has strengthened the balance sheet, while also paying leading prices for milk and grain to its members.

Monsanto sales slide in Q2, weakened by corn crops

06 Apr 2018 --- The world’s largest seed company, Monsanto has reported disappointing sales and earnings for its fiscal second quarter as it sold less corn in the US. The company has said that the results were partly due to the drop in planted acres in the US this season, as well as the impact of lower commodity prices in Brazil.

FAO: World food prices rise for second consecutive month

06 Apr 2018 --- The Food and Agriculture Organization’s (FAO) food price index, which measures monthly changes for a basket of cereals, oilseeds, dairy products, meat and sugar, averaged 172.8 points last month, up 1.1 percent from February. World food prices rose in March from the month before, driven by increases in grains and dairy costs, according to the FAO.

Northern hemisphere peak milk flows unlikely to overwhelm the market, says Rabobank

05 Apr 2018 --- A robust import program by Chinese buyers, combined with a weather-impacted New Zealand season, were the perfect ingredients for the short-term rally in the first-quarter 2018, according to the latest Rabobank Global Dairy Quarterly.

CHS reports net income of US$346m for the first half of fiscal 2018

05 Apr 2018 --- Farmer-owned cooperative and global grains and foods company, CHS Inc., has reported a net income of US$346.7 million for the first half of its 2018 fiscal year (six-month period ended Feb. 28, 2018), compared to net income of US$223.7 million for the same period a year ago.

JM Smucker to buy Ainsworth for US$1.7bn

05 Apr 2018 --- The JM Smucker Company has announced that it will acquire Ainsworth Pet Nutrition, LLC in a transaction valued at approximately US$1.7 billion, after an estimated tax benefit of $200 million. The company also announced that it would explore strategic options for its US baking business, including a potential sale.