Milling & Baking News - October 6, 2009 - (Page 1)

THE NEWS WEEKLY OF GRAIN-BASED FOODS OCTOBER 6, 2009 / FEATURE A.B.A., allied suppliers working to create sustainability template Age-delaying additions Novel ingredients provide vision, skin and weight control benefits Story on Page 25 LATE NEWS Nestle, General Mills create innovation center ORBE, SWITZERLAND - The construction of an innovation center strategically focused on health and wellness in connection with breakfast cereals was announced Oct. 2 by Cereal Partners Worldwide. C.P.W. is a joint venture between Nestle S.A. and General Mills, Inc. The facility in Orbe is being built at an estimated cost of 50 million Swiss francs ($48.1 million) with work expected to be finished in mid-2010. According to C.P.W., the center will tap into the strength of General Mills in technical matters, Nestle in research and development and both companies' food processing know-how. A focus will Continued on Page 8 WASHINGTON - With retailers steadily ramping up pressure on food companies to track and improve sustainability efforts, the baking industry and its suppliers have begun exploring ways to cooperate in order to deal effectively and efficiently with the rapidly changing environmental landscape. The cooperative efforts were a primary topic of discussion Sept. 15 at a joint board of directors meeting in Washington between the American Bakers Association and the Allied Edwards Trades of the Baking Industry. The groups are establishing a joint task force to create a common scorecard to measure progress in sustainability around a range of topics from energy and water use to packaging. In a recent interview, Robb MacKie, president and chief executive officer of the A.B.A., said the decision to focus on sustainability reflected the imperatives established by the industry's largest customers. "Wal-Mart, Kroger, Safeway and others are driving that train," he said of increasing interest in sustainability. "We got together for a discussion about whether we could come up with some common industry measuring sticks. There is much discussion about sustainability scorecards. Bakers are developing scorecards, and this work is flowing to suppliers." Also participating in the interview were Gary Edwards, president of Lallemand, Inc., Memphis, representing the A.T.B.I., and Kenneth (Chip) Klosterman Continued on Page 12 U.S.D.A. estimates 2009 wheat crop at 2.2 billion bus WASHINGTON - The National Agricultural Statistics Service of the U.S. Department of Agriculture raised its estimate of 2009 U.S. wheat production to 2,220,156,000 bus, up 36,562,000 bus, or 2%, from the August forecast but down 279,008,000 bus, or 11%, from 2,499,164,000 bus in 2008. The 2008 wheat crop was the largest since 1998. The 2009 estimate was just larger than the recent five- year (2004-08) average wheat outturn of 2,124,481,000 bus. The new wheat estimates for 2009 were contained in the Small Grains Summary 2009 issued by the U.S.D.A. on Sept. 30. Typically, the wheat estimates contained in the Small Grains Summary stand until the Department issues its Crop Production Summary in January 2010. Production of spring wheat other than durum was estimated at 587,361,000 bus, up 39,101,000 bus, or 7%, from 548,260,000 bus as the August forecast and up 39,357,000 bus, or 7%, from 548,004,000 bus last year. It was the largest other-spring wheat crop since 691,680,000 bus in 1996. Harvested area of other-spring Continued on Page 18

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Milling & Baking News - October 6, 2009