Milling & Baking News - February 26, 2008 - (Page 1)

THE NEWS WEEKLY OF GRAIN-BASED FOODS FEBRUARY 26, 2008 / NEWS Beyond whole grains New chapter advances in bread market renaissance I Pellet pluses Half products may play key roles in nutritious convenient snacks and baked foods. Story on Page 43 LATE NEWS Baked foods and cereal C.P.I. posts strong advance WASHINGTON - The Consumer Price Index for baked foods and cereal products in January moved up 5.4% from a year ago, according to the Bureau of Labor Statistics of the U.S. Department of Labor. The index for all food at home also advanced, gaining 5.4%. The January index for Cereals and Bakery Products before seasonal adjustment was 228.7% of the 1982-84 average, up 0.9% from a month ago. For all food at home, the January index was 207.9, up 1.3% from December. The C.P.I. for Bakery Products in January was 244.6, up 0.9% from December and up 5.5% from January 2007. The January index Continued on Page 8 n recent years, finding novel ways to present whole wheat bread to consumers offered baking companies a recipe for growth. New bread varieties packing a full day's whole grains into two slices or whole grain varieties that seemed indistinguishable in taste and texture from white bread are two of the prominent and successful innovations that have energized the bread category. With the strongest wave of innovation in a generation, bakers appear to be satisfying consumers' still growing appetite to increase whole grains intake. More recently, though, a marked shift is evident in new product introductions. Rather than treating whole grains as the end point, the principal purpose of a new bread variety, whole grains have become the starting point for varieties that offer specific additional health benefits of interest to consumers. Tapping into the nutritional credibility that comes with a whole wheat bread, baking companies appear confident that an expanding array of new products will be offered in the years ahead and stand a good chance at success. While in the 1970s, 1980s and 1990s variety bread largely was focused on style or form, products that gave the appearance of being different from white bread, today's variety bread introductions are powerfully focused on function, substantive health benefits meeting specific consumer needs. These needs begin with whole grains and extend to a host of additional interest - higher fiber, higher protein, organic flour, unusual grains, cholesterol reduction and omega-3 fatty Continued on Page 33 Large gain brings 2007 flour output near record; 2006 data to be revised WASHINGTON - Production of wheat flour by U.S. mills in 2007 surged to 417,714,000 cwts, a total only 3,696,000, or 0.9%, less than the record of 421,270,000 in 2000, according to data issued by the Census Bureau of the U.S. Department of Commerce. Shortly after issuing the 2007 data, the Census Bureau said figures for 2006 would be revised when the annual summary report is issued in May. Census representatives, responding to an inquiry from Milling & Baking News, said that a reported flour production capacity increase of 11,900 cwts per day indicated for Missouri in 2007 from 2006 was an error. The earlier figure (90,100 cwts per day) inadvertently excluded capacity. The error may have resulted in the understatement of U.S. flour production (and Missouri's) by a figure in the neighborhood of 6 million cwts both for 2005 and 2006. These potential adjustments should be kept in mind as the data on the pages that follow are reviewed. The past year's output gain affirmed the recovery in flour production that began with a rise in 2005 and continued in 2006 with a larger gain. These three years of increases reversed a period of Continued on Page 18

Table of Contents for the Digital Edition of Milling & Baking News - February 26, 2008


Milling & Baking News - February 26, 2008