Surging Demand for Lobster Meat Changing Canadian Processing Patterns
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VOLUME 11 / NUMBER 4 / FALL 2016 / QUARTERLY the newsmagazine for the food industry professional ©Fudio Surging demand for lobster meat changing Canadian processing patterns If there was one thing lobster processors Canadian dollars was $6.30, based on core volume meat items like lobster rolls were thinking about during the first these figures. while continuing to purchase at a similar part of the 2016 lobster season, it was rate to last year. Some of the portion sizes lobster meat. So the season was characterized by a may have been reduced (last year’s 6 oz roll slower pace of landings and a higher raw is now a 4 oz) but overall velocity is there.” Surging foodservice demand for lobster material cost. This combination supported meat is changing lobster processing processors’ move to pack lobster meat. Another processor commented that patterns, both in Canada and the U.S. chefs are being more creative in using New Brunswick processors say that both CK lobster meat as an ingredient, and they According to a summary of Prince Edward (claw knuckle) and CKL (claw knuckle leg) have adapted to high prices and are Island’s spring lobster season, volume was meat is moving as fast as they can produce it. keeping lobster items on the menu due to down 13.5%, to 23.5 million pounds, vs. their popularity. 27.2 million pounds last year. Landings, One packer, when asked what was however, were valued at $148 million, an supporting the strong demand said, “We “Many items made from other proteins increase of 22% from the spring 2015 think it really has to do with the U.S. (chicken, beef, pork etc) are now being season. The average ex-vessel price in consumer absorbing the increased cost on Continued on page 71 Have we seen peak Japanese pork demand? “A declining population is generally a net Japan’s aging population and negative for demand, as there are simply the effect on pork demand fewer people Japan has long been the leading customer 2015 had a material impact on demand. demanding of U.S. pork in terms of dollar value. Lost market share has been at least goods and However, over the last several months, pork partially acquired by European exporters services.” exports to Japan have declined to multi- and that market share will not likely be ©coward_lion A Japanese senior citizen takes his dog for a year lows. Certainly, the highs hit in the easy to regain. However, Japan has some walk in the morning in Kyoto, Japan. U.S. dollar / Japanese Yen relationship in Continued on page 68 On the inside 4 Fresh prepared 6 Egg prices have 26 Foodservice is a fast-growing plummeted from business benefits department. last year’s highs. from summer’s peak travel See how a well- The egg market’s season. established FPF highs and lows section can give associated with Restaurants supermarkets last year’s HPAI launch new items another platform to outbreak are and marketing compete with local examined. See how campaigns trying restaurants. the industry hopes to grab consumers’ it rebounds. dollars. 2 • URNER BARRY’S REPORTER / VOL. 11, NO. 4 / FALL 2016 URNER BARRY’S REPORTER • VOL. 11, NO. 4 • FALL 2016 Center of the plate the newsmagazine for the food industry professional Page 1 PUBLISHER Surging demand for lobster Paul Brown Jr. meat changing Canadian processing patterns SENIOR EDITOR Russ Whitman MANAGING EDITOR Joe Muldowney CONTRIBUTORS Sandra Bailey Russell Barton Jim Kenny Page 1 Ashley Lindner Japan’s aging population and Meghan Miick Brian Moscogiuri the effect on pork demand Gary Morrison Jake Muldowney Michael Ramsingh 20 Aquaculture’s role in the fishing industry Jocelyn Garcia-Rojas Main ingredients Angel Rubio 6 Egg production and processing recover from HPAI, 25 Food stamp time limit returning John Sackton to some states Adam Sharkey but demand slow to return Curt Thacker 16 Beef retail prices continue to hover near 30 The Barry Burger: UB’s Terence Wells record levels signature sandwich Nicole West Emilie Zuhowski 22 Too much protein overall for some sectors of the 34 Food trucks shifting into market to bear high gear COPY EDITORS 24 Eggs find their place at the school table 46 Half of Americans prefer Jamie Chadwick to buy foods with minimal/no Linda Lindner 26 Summer 2016 foodservice business: a myriad of packaging in order to reduce waste meals and deals ART DIRECTOR 48 “THE” 2016 election: trade, healthcare, economy Glenn F. Juszczak 28 USDA’s catfish inspection program has busy first summer 54 An alternative to the no antibiotics challenge PRODUCTION MANAGER 56 The Pork Book: Fundamentals of the Pork Trade Chris Ashley 31 Is hog production expanding too soon ahead of added processing capacity? from Farm to Table ASSOCIATE DESIGNER 36 U.S. shrimp imports down just marginally in first 60 Exciting new feature added to COMTELL Maria Morales half of 2016 70 Blogger’s beef with missing brisket ADVERTISING 38 The expanding market for ‘slow(er) Liz Cuozzo growing’ chickens Janice Schreiber A la carte Terence Wells 40 Minh Phu gets zero duty 8 Philadelphia shaken up by soda tax margin in shrimp dumping 9 The overwhelming impact of food waste SUBSCRIPTION INFORMATION - 800-932-0617 settlement 12 Barramundi: Sample from Urner Barry’s Commercial 50 The road to organic Guide to Fish and Shellfish certification 10 Is Nicaragua the next Panama? 52 Global Aquaculture Alliance’s iBAP program helps 18 Vending machines: The future of convenient Urner Barry’s Reporter (ISSN 1944771X) is published fish farmers achieve sustainability carnivorous cuisine? quarterly by Urner Barry Publications, 1001 Corporate Circle, Toms River, NJ 08755. Periodicals 53 UB’s beef cutout: Choice and Select spread hits 32 Beyond sushi: superfood seaweed finds Postage Paid at Toms River, NJ 08755 and additional record high in latest quarter sustainable success offices. POSTMASTER: Send address changes to Urner Barry’s Reporter, 1001 Corporate Circle, NJ 57 FDA targets filth in record year for 33 Distillers grains: not just feed anymore 08755. seafood rejections 42 Olympic sized food lines Subscription to Urner Barry’s Reporter is free. Mail 63 Gulf shrimp prices spike in August; spread widens plagued the summer subscription orders and changes to Urner Barry’s games Reporter, Subscription Department, 1001 Corporate over farmed market Circle, Toms River, NJ 08755 or call 800-932-0617. 64 Mexican Beef: Exports continue to grow… 44 University students Printed in the U.S.A. Copyright © 2016 but so do imports and production bio-fuel a green future Tel. 732-240-5330 • Fax 732-341-0891 45 Food for thought. Dinner in a box www.urnerbarry.com • [email protected] 58 Olympians exercise caution in the kitchen Nothing may be reproduced in whole or part News bites without written permission from the publisher. 4 Developing story: fresh prepared foods 62 Chipotle & sriracha: spice, spice and everything nice 14 El Niño/La Niña: What to Watch 66 GMO’s: a brief history of the future of agriculture VOL. 11, NO. 4 / FALL 2016 / URNER BARRY’S REPORTER • 3 Reshaping the perimeter … Developing story: fresh prepared foods In July, Watt Global Media and the National Chicken Council should take into account what their primary demographic is and hosted the 2016 Chicken Marketing Summit in Hilton Head, SC. target their offerings specifically to that group. Those in attendance heard from a number of speakers including Chris DuBois and Elizabeth Ahrhardt of IRI, a provider of big WHAT ARE THE FPF FACTS? data, predictive analytics and forward-looking insights. DuBois According to IRI, in the United States, the east and west coasts are and Ahrhardt presented on the expansion of fresh prepared foods already well developed, but there’s strong FPF growth occurring in (FPF) in retail. all of the major regions. “Fresh prepared is the fastest In a survey, IRI found that 31% of fresh prepared buyers have a growing department on the different primary chain for FPF than for their total grocery. At perimeter,” proclaimed DuBois. the same time though, these shoppers spend 76% of their FPF “Annual sales have grown from dollars at their primary location. $8.5B in 2012 to $10.8B in 2015 and over the next 3-5 years, Supermarkets are continuously trying to revenues could double.” reinvent their perimeter. FPF gives them an opportunity to capture new occasions or WHAT IS FPF, REALLY? trips, enhance their brand or market image, According to research and create new experiences for their customers consulting firm Technomic, FPF refers to fully- or and increase customer loyalty. But at the partially-prepared foods that require minimal end of the day, it comes down to increasing preparation and are sold at service sales, and that’s exactly what FPF trips counters of self-service areas. can do for a retailer. IRI found that these These are offerings that would be shoppers, who spend an average of $47 on their basket, also associated with a deli or prepared spend another $7 on FPF. foods department rather than the center of the store. WHAT ARE THE CHALLENGES THAT FPF can be segmented into four FPF FACE? models; sit down restaurants, Of course, food safety is a concern. sophisticated stations, easy meals The University of Rhode Island and limited offerings. According estimates that more than 33 to IRI, FPF departments come in many shapes and sizes; such as million people become ill as a limited table service, café seating, takeout or simple meals. FPF direct result of foodborne illness gives retailers an opportunity to utilize their store’s perimeter each year. As more supermarkets space and enhance the customer shopping experience, while also offer ready-to-eat meals, food boosting sales of course.