News

The Barry Callebaut Group saw its good growth momentum of the first six months impacted by Covid-19 with volumes declining in the third quarter (ended May 31, 2020) by 14.3%. This led to an overall decline in the Group’s sales volume of 1.3% to 1.569 m tonnes in the first nine months of fiscal year 2019/20. Sales volume in the chocolate business declined by 14.1% in the third quarter, leading to a slight decline of 1.4% for the first nine months. The underlying global chocolate confectionery market in the first nine months was flat (0.0%; source: Nielsen volume growth excluding e-commerce, September 2019 to April 2020 – 25 countries, data subject to adjustment to match Barry Callebaut’s reporting period; Nielsen data only partially reflects the out-of-home and impulse consumption, which was heavily impacted by the lockdowns due to Covid-19). Global Cocoa volumes were down 14.6% in the third quarter and about flat for the nine-month period under review (- 0.7%). Sales revenue in the first nine months amounted to CHF 5.2 bn, an increase of 0.4% in local currencies (- 4.4% in CHF).
In June the Group saw a gradual sales volume recovery, as governments started to lift their Covid-19 measures. These early signs of recovery are visible both in Food Manufacturers and Gourmet & Specialties, albeit at a different pace.
Antoine de Saint-Affrique, CEO of the Barry Callebaut Group, said: “As anticipated in April, Covid-19 lockdowns across the globe impacted our sales volume in the third quarter, and herewith the good momentum of the first six months of fiscal year 2019/20. Throughout the Covid-19 pandemic, the precautionary measures we put in place early on allowed us to preserve business continuity and maintain a high service level for our customers worldwide, whilst protecting the health of our employees and the communities we operate in. We expect to emerge from the crisis with even closer relationships with our customers and suppliers, with fresh insights into innovative ways of doing business and a solid financial basis.”

Südzucker`s consolidated revenues in the first quarter of fiscal 2020/21 (1 March to 31 May 2020) amounted to € 1.669 bn (previous year: € 1.680 bn), thus remaining at the previous year's level. While the CropEnergies segment's revenues declined sharply and those of the sugar and fruit segments were slightly lower, revenues in the special products segment rose moderately. According to the company, group EBITDA rose significantly by € 17 m to € 134 m (previous year: € 117 m). The consolidated group operating result climbed substantially to € 61 m (previous year: € 47 m). The decline in operating result reported in the CropEnergies and fruit segments was more than offset by the reduction of the loss in the sugar segment and improved results by the special products segment.
In the first quarter the sugar segment's revenues fell slightly to € 565 m (previous year: € 581 m). The revenue decline was driven by a significantly lower sales volume. This is partly due to reduced sugar production during the 2019 campaign. Furthermore, lower demand from the sugar processing industry as a result of measures to contain the coronavirus pandemic is increasingly overshadowing the positive short-term impetus from panic buying in the retail sector at the beginning of the fiscal year.
The segment was able to significantly trim its operating loss to - € 15 m (previous year: - € 36 m) as budgeted. The improvement was driven mainly by higher sugar sales revenues due to price increases since the beginning of the 2019/20 sugar marketing year, which more than offset lower sales volumes and higher production costs.

Symrise has entered into a partnership with South African white grapefruit supplier Klaus Böcker. White grapefruit provides a valuable raw material to Symrise to produce signature tastes for confectionery and beverages. White grapefruit taste is harsher than the pink or red varieties which tend to be milder.

The German company Klaus Böcker has installed technological equipment into the production line of white grapefruit enabling the upcycling of side streams that would otherwise go to waste. This approach will enable Symrise to improve its environmental footprint and also to expand its citrus range with further unique taste profiles.

The company also intends to invest in long-term partnerships with South African farmers to improve agricultural practices and good yields, delivering high-quality products while supporting local families. The cooperative unites nine large-scale and 96 small-scale farmers. The factory Nkwaleni Processors in the KwaZulu-Natal province on the East Coast of the country can process up to 50,000 t of citrus fruit per year and is specialized in processing grapefruit.

This year’s Food ingredients Europe co-located with Health ingredients Europe will be organized in accordance with Informa’s AllSecure health and safety standard, developed in response to Covid-19. As the world’s leading events’ organizer, Informa Markets will employ enhanced measures to ensure the highest levels of hygiene and safety. Informa Markets is confident that the show will take place as planned from 1 to 3 December 2020 in Frankfurt/Germany, with strong support from the Fi & Hi Europe communities.

AllSecure is an industry-wide standard that has been developed in close cooperation with partners, such as the Global Association of the Exhibition Industry (UFI), venues, suppliers and relevant authorities for exhibition organizers to adopt and provide reassurance to attendees that events are being held in a safe and controlled environment. For Fi Europe co-located with Hi Europe, in particular, the Informa Markets team is in close contact and constant consultation with the City of Frankfurt, the State of Hesse and Messe Frankfurt.

Informa AllSecure is how the industry-wide standard will be adopted at Informa events and features some 35 detailed protocols, covering Cleaning & Hygiene Countermeasures (prior to stand build, again before event opening and during the duration of the event), Phyiscal Distancing following the Crowd Density Standards as set by the State of Hesse, Communication across all channels and platforms, and Protect and Detect in collaboration with the local health authorities.

Full details of the prescriptive protocols, guidelines and initiatives for Fi Europe & Hi Europe in Frankfurt will be announced over the next few months, and the organizer is continually exploring additional enhanced safety principles for contractors, staff and exhibitors.

Natasha Berrow, Group Director Food at Informa Markets, says: “The health and safety of everyone involved at the event is our number one priority, and we wanted to communicate our plans as early as possible. We have been monitoring the situation closely, we are in daily communication with the senior management of Messe Frankfurt with whom we are closely observing the trade shows already taking place in Germany and learning from those."

In light of the ongoing Covid-19 situation, and in consultation with key stakeholders across the health and nutrition community, Vitafoods has made the decision to cancel the live event Vitafoods Europe in Geneva/Switzerland, originally rescheduled for the 1 to 3 September 2020, and the transition to a large scale virtual event at the start of September. Those responsible have decided to shift the live event to a virtual one with the aim of providing a digital marketplace where the nutraceutical community can discover and showcase new products and innovations, connect with new and existing business partners, and share knowledge and best practice.

Vitafoods Virtual Expo, a large-scale digital event with enhanced matchmaking opportunities, video networking and high-quality educational content, will be taking place from 7 to 11 of September 2020. It shall offer a new way to connect industry experts and support businesses overcome challenges in this new environment today and building a footprint for everyone’s digital evolution in the future.

WS Warmsener Spezialitäten GmbH, specialists in sweetened condensed milk, is reacting to current market trends with new product varieties and packaging options. Sweetened condensed milk (SCM) is mainly used in the production of high-quality caramel fillings, chocolate bars, pralines, toffees, ice cream and many other confectionery products. It provides the typical caramel taste but also influences the desired consistency and mouthfeel of the finished product.

The company, part of the Uelzena Group, is one of the largest manufacturers for SCM in Europe, supplying major brands and companies in the confectionery industry. To further strengthen this position, the company is expanding its range of products for industrial customers and is also investing in a new, flexible filling line for bag-in-box systems to open up completely new markets.

Completely new products are being added to the range. Examples are sweetened condensed milk with the addition of vegetable fat, purely vegetable alternatives without milk or even replacing the sugar with certain sugar substitutes.

Common packaging systems for SCM are sterile steel containers, drums and loading in tankers. Various bag-in-box systems (BIB) are also becoming more widespread, such as one-way and reusable containers with filling quantities of up to 1,000 kg or cartons with a capacity of up to 25 kg. Yet, currently, there is a strong demand for small BIBs with a capacity of 5 kg or more. They are used for smaller requirements of more artisanal processors from the confectionery, baking craft, ice-cream parlours and small specialty manufacturers.

Therefore, WS Warmsener Spezialitäten has invested in a versatile new filling line, so that it can react more flexibly to the changing packaging requirements of the customers. It also enables the company to expand its sales market, especially in the export of smaller packaging units and the new product variants with vegetable fat to the Asian market.

Two professional companies are now working together on the Brazilian market. The Brazilian company Totalfoods and Fismer Lecithin GmbH, Hamburg have decided to combine forces. Totalfoods is the best known company on the Brazilian oil mill market. Technical Director Masuo Okada has been working in this industry for more than 40 years and also at universities. Fismer Lecithin is one of the fastest growing lecithin companies. The combination of these strengths is unique for the Non-GMO lecithin market.

Peter Fismer (CEO of Fismer Lecithin) and Peer Lucas Fismer (Sales Manager of Fismer Lecithin) said: "This is an unprecedented moment, a sensation. This partnership is a breakthrough in the Non-GMO market. Totalfoods, with its know-how in the Brazilian oil mill industry, and Fismer Lecithin GmbH, with its market expertise of over 25 years, will take pole position in the lecithin market. "

In the coming weeks Fismer Lecithin do Brasil Ltd. will open its office in Sao Paulo together with Masuo Okada, Ricardo Okada as well as Peter Fismer and Peer Lucas Fismer.