Weekly Digest: Nestlé UK distribution center to feature XPO technology prototypes, ADM opens high-tech feed facility in Nebraska

22 Jun 2018 --- This week in business, Nestlé and XPO Logistics announced its plans to co-create a 638,000-square-foot distribution center in Leicestershire, UK. SVZ International is celebrating sustainability success, having been named best performer in the food and beverage sector in Ecovadis’s 2018 Sustainability Leadership awards for the second consecutive year. Salt of the Earth has implemented an extensive program to protect waterfowl in its salt pools.

In brief: Business
 Nestlé and XPO Logistics, a provider of transport and logistics solutions, are co-creating a 638,000-square-foot distribution center at the new SEGRO East Midlands Gateway Logistics Park in Leicestershire, UK. The facility will be occupied predominantly by Nestlé for its consumer packaged goods and will function as a testbed environment for XPO technology prototypes prior to global release. The center, scheduled to complete in 2020, will feature advanced sorting systems and robotics alongside state-of-the-art automation co-developed with Swisslog Logistics Automation. The site’s digital ecosystem will integrate predictive data and intelligent machines to deliver one of the most advanced distribution management centers in the world, giving consumers faster, more efficient access to KitKat, Maggi, Nescafé and other Nestlé brands.

In brief: Sustainability
SVZ International is celebrating sustainability success, having been named the best performer in the food and beverage sector in Ecovadis’s 2018 Sustainability Leadership awards for the second consecutive year. SVZ joins an exclusive group of organizations that have not only received EcoVadis’s highest CSR rating but are at the forefront of sustainability efforts within their industries. Announced at the annual Sustain conference in Paris, the award evaluated several criteria including energy consumption, working conditions and sustainable agriculture practices throughout the supply chain. The award win follows SVZ’s pledge to achieve 100 percent sustainable sourcing by 2030. Earlier this year, FoodIngredientsFirst reported on some of the company's innovative sustainability work in the strawberry space.

Nestlé has received a “Good Egg Award” from Compassion in World Farming (CIWF). The award is for Nestlé's decision to source only eggs from cage-free hens for its food products in Europe by 2020. The company has set a global goal to source cage-free eggs for all of its food products globally by 2025, with the transition to happen by 2020 in Europe and the U.S. In some parts of the world, such as in Europe, over 40 percent of eggs used by Nestlé are already from cage-free sources.

Salt of the Earth has implemented an extensive program to protect waterfowl in its salt pools. Since the program has started, the population of little terns (Sterna albifrons) has more than tripled. The company’s current environmental initiative is being conducted in collaboration with multiple nature conservation bodies in Israel. The salt pools based in Atlit and Eilat, Israel, offer a unique ecological habitat for many species of waterfowl, including migratory birds that depend on the ponds for their existence. Millions of birds traverse Israel each year, especially during spring and autumn. For many of these birds, the primary breeding ground is in Israel and is the only place where they can reproduce. The company designated a specific island of a nature reserve in the heart of the salt ponds. The company is simultaneously embarking on a widespread campaign to raise public awareness of the importance of protecting water birds. This campaign will run in cooperation with the Society for the Protection of Nature in Israel and will encompass the launch of limited-edition salt shakers, as well as a display of photography by Yossi Eshbol featuring waterfowl bathing in the salt pools of Atlit.

In brief: Partnerships & acquisitions
Manufacturer of plant-based products, Field Roast Grain Meat Co., has announced an exclusive distribution agreement with Essen Foods. Essen Foods’ network of affiliated cold storage, transport and delivery infrastructure partners will expand distribution for Field Roast grain meat products including Field Salt of the Earth has implemented an extensive program to protect waterfowl in its salt poolsRoast Sausages, Deli Slices, Field Burger, Roasts and Loaves. “We’re pleased to expand our relationship with Essen Foods by naming them the exclusive distributor for Field Roast products in Australia and New Zealand,” states Dan Curtin, President of Field Roast. “Coming off an incredible first quarter where the brand experienced 81 percent YOY sales increase overall, this is a strategic decision we’ve made to create efficiencies supporting our continued growth and look forward to continuing this momentum internationally with the support of Essen Foods.”

In brief: Appointments & retirements
Mondelēz has announced that Luca Zaramella, 49, Senior Vice President of Corporate Finance and a 20-year veteran of the company, will become EVP, Chief Financial Officer (CFO), effective August 1, 2018. As CFO, Zaramella will be responsible for the oversight of the company’s global Finance, Information and Technology Solutions. He will report directly to Dirk Van de Put, Chairman and Chief Executive Officer, and will be a member of the Mondelēz International Leadership Team. Zaramella will replace Brian Gladden, who will consequently leave the company in August.

Arla Foods amba’s UK Managing Director, Tomas Pietrangeli, is leaving the company to become CEO of Danish retail group Dagrofa A/S. Pietrangeli will be replaced by Ash Amirahmadi, who is currently SVP - Sales for Arla Foods in the UK. Amirahmadi joined Arla Foods in 2004 from Unilever and has held a number of leadership roles across the business. He was appointed SVP – Sales in 2016, responsible for the company’s 120 strong Commercial Team, all UK customer relationships and global lead for Walmart and Tesco.

Nestlé Waters North America (NWNA) has announced Adam Graves as President and Business Executive Officer (BEO) of Nestlé Waters Canada, effective August 1, 2018. Graves will also serve as a member of the NWNA executive team and will report to NWNA President and CEO Fernando Mercé. In his new role, Graves will be responsible for the overall operations of the Nestlé Waters Canada business, including revenue, profit, market share, environmental stewardship and sustainability, product quality and customer satisfaction.

The UK Flavour Association has named James Smith, Managing Director of Kalsec Europe, as its new Chairman. Smith takes over from Synergy Flavours’ Steve Morgan, having held the position of Vice Chair in 2017, a year that saw the Association celebrating its Centenary milestone with a gala dinner for the flavorings industry. The celebrations were part of London Flavour Day, an initiative established by the European Flavour Association (EFFA), of which the UK Flavour Association is a member, to bring policymakers, customers and food and drink associations together for discussions about the future of food and the role that flavorings play in key consumer trends.  

Dalziel’s Mike Winrow, aka “Mr Sauce-It,” is retiring in November after 50 years in the retail butchery industry. Winrow is a member of Dalziel’s Retail Development Team, having worked with Dalziel for the last 32 years, and selling ingredients for 43 years. He also helped set up Dalziel’s Sauce-It concept together with Dalziel’s Jim Fox, who also retires this month. Both Fox and Winrow have been key to the success of the Sauce-It concept and the introduction of Verstegen’s value-added products to hundreds of butchers over the past fifteen years.

In brief: Other highlights
ADM has celebrated the opening of its new, high-tech feed facility in Columbus, Nebraska in a bid to meet customer needs for livestock feed. “Earlier this spring, we opened our new pet food premix facility in Effingham, Illinois. We’re celebrating another new, state-of-the-art ADM Animal Nutrition plant, this time in Columbus, Nebraska,” said Samson Li, president, ADM Animal Nutrition. “We’re proud to invest in Columbus, and in a new, modern facility that will allow us to continue to meet customer needs for high quality, cost-competitive feed.”

The new facility features state-of-the-art technology, including:
• Expanded warehouse space to serve our customers more quickly and efficiently.
• New production line to provide range blocks for cattle, dairy cows and horses.
• Automation within receiving, batching and packaging.
• Multiple batching systems with simultaneous weighing for high efficiency and high output.
•    A completely integrated process control system designed to deliver consistent food quality and safety.

By Elizabeth Green