Milling & Baking News Corporate Profiles - November 2013 - (Page 68)

Gluten-free Gluten-free Grain-based foods companies get on board growing trend T he market for gluten-free foods and beverages has continued to grow at a rapid pace, reaching $4.2 billion in 2012, for a compound annual growth rate of 28% over the 2008-12 period, according to data from Rockville, Md.-based Packaged Facts. The research firm gathered data late in 2012 that showed 18% of adults bought or consumed food products labeled as gluten-free, up from 15% in October 2010. That share continued to climb in 2013 as many consumers remain convinced gluten-free products are generally healthier than similar products. The reasons for the uptick in demand for gluten-free products are wide-ranging. In some cases, people are more actively seeking and receiving diagnoses of celiac disease and food allergies. 68 \ November 2013 Availability also has spurred growth. What was once a niche category relegated to the back aisles of grocery stores has exploded into a trend that may be found everywhere, including key displays in the center of the store. Packaged Facts noted that growth rates are likely to moderate over the next five years in the wake of market expansion, but U.S. sales of gluten-free foods and beverages still are expected to exceed $6.6 billion by 2017. Bread bakers take aim Boulder, Colo.-based Boulder Brands, Inc. made a loud entrance into the gluten-free baking business last year with the acquisition of Udi's Healthy Foods. In short order the company stated its goal to become the No. 1 gluten-free company in the world. While Boulder may be considered a "niche" company by some, the company's sales are expected to approach $460 million in fiscal 2013, and a new gluten-free facility opened in Aurora, Colo., in late September, producing bread and boosting Boulder's ability to meet growing demand. To this point, gluten-free has not registered with some of the nation's largest bread bakers, but that may be changing. "We tested gluten-free about two years ago in the Atlanta market - fresh delivery - and discontinued the test," Allen Shiver, president of Flowers Foods, Inc., said during a November 2012 conference call. But Mr. Shiver said current consumer trends have Flowers revisiting the idea of gluten-free bread. "We don't have any firm plans today Milling & Baking News * Food Business News * Baking & Snack * Meat & Poultry Corporate Profiles

Table of Contents for the Digital Edition of Milling & Baking News Corporate Profiles - November 2013

Milling & Baking News Corporate Profiles - November 2013