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Cheese Companies Highlight Healthy Snacking Innovation

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Cheese Companies Highlight Healthy Snacking Innovation Volume 35 June 5, 2015 Number 20 Scan this code for breaking Cheese companies highlight news and the latest markets! healthy snacking innovation By Rena Archwamety occasions overtake standard in snacking and the demand which recently launched sev- meals and more than a third of for more convenient, healthy, eral new snack cheese variet- INSIDE MADISON, Wis. — With consumers buy cheese specifi - on-the-go options. (See “Feed ies, notes that data recently busy lifestyles and on-the-go cally because they are snacking the snack attack” on page 6 in released by IRI shows that ✦ Guest column: ‘20 years schedules, consumers often are more frequently. Many consider this week’s issue.) cheese is among the top 10 of change in one bite.’ reaching more for snacks and cheese a great snack, and cat- “The whole snacking cheese most popular snacks for both are less tied to the traditional egory innovations including category continues to grow, and adults and children. For details, see page 8. three meals a day. And with single-serve varieties are mak- there are a couple of reasons be- “Consumers are looking ✦ Revised proposals more interest in healthy, natu- ing it easier for Americans to hind this,” says Chris McCarthy, for healthier options that of- submitted on California ral foods that are both fi lling enjoy cheese whenever and marketing director, Sargento fer unique and sophisticated federal order. and fl avorful, cheese stands in wherever they please.” Foods Inc. “The millennial flavors,” says Bryan Olson, For details, see page 11. a perfect place to satisfy today’s According to an October consumer is snacking more senior vice president, market- snackers. 2014 report from Mintel, cheese frequently. Three traditional ing and sales, Burnett Dairy. ✦ Relco opens operations “Cheese continues to ben- sales continue to grow as a meals is less common in this “They also value knowing where in South America. efi t from high household pen- result of these trends. Mintel lifestyle, and they are fi lling in their food comes from and have For details, see page 20. etration due to its relative predicts cheese category sales with a lot of snack occasions in connected with Burnett Dairy affordability, versatility and will increase 24 percent from between.” Cooperative because we work ✦ Exclusive: Key Players variety of fl avors and formats,” 2014-2019, reaching $26.5 bil- McCarthy says these con- side-by-side with our farmer Our annual profi le says Amanda Topper, food lion in sales in 2019, at current sumers are looking for whole- owners to ensure the highest of who’s who in the analyst, Mintel. “The category prices. some snack options, and cheese quality milk is used for our cheese business. is well-positioned for future Another Mintel report on fi ts this requirement. high-quality cheese.” For details, see pages 21-64. growth especially as snacking “Snacking Motivations and “One thing they are really McCarthy says the trend Attitudes,” published in April, focused on is protein, which toward wholesome snacks has notes that those aged 18-36 has become a really hot topic benefi tted the cheese category are most likely to snack fre- for consumers because of the as a whole as well as Sargento, quently, and these millennials benefits it provides. When and the company plans to con- are snacking more this year consumers think about protein, tinue to reinforce its message Our Exclusive Annual Profile of compared to last year. The they think almonds, peanut that its cheese snacks fi t into Who’s Who in the Cheese Business report reveals that one-third butter and hummus. Our String a healthy lifestyle. of snackers say there are not cheese has more grams of “Protein really has been a enough conveniently-packaged protein per serving than any focus in our advertising com- By the staff of Cheese Market News snacks, such as individual por- of those. Helping people think munications,” he says. “All of tions or resealable packages. of cheese in a different way our print adds and communi- Welcome to Cheese Market News’ 2015 edition of “Key Players,” our Additionally, 60 percent of has helped us grow our snack cation in-store, on shelf signs, exclusive look into who’s who in the North American cheese business. snackers wish there were more portfolio and benefi tted our contain the protein message. Each year “Key Players” provides an inside look into what nearly 50 healthy snack options. cheese in general.” There are direct comparisons noteworthy cheese companies are doing to increase dairy sales. “Key Other recent market re- • Communicating healthy with other snacks, showing that Players” is not a ranking of the nation’s largest cheese companies. While search also points to increases Burnett Dairy Cooperative, we provide production and sales data whenever possible because we Turn to SNACKING, page 7 a know these are important to a full understanding of a company, each year “Key Players” celebrates the successes of cheese companies both large and small. All of the companies profi led are making important and distinct contributions to the growth of the dairy industry as a whole, April cheese production up Caves of Faribault, whether that means crafting an award-winning cheese, generating Norseland partner new packaging and product styles, or developing or increasing product 1.9 percent vs. a year ago lines that cater to growing consumer demand. to expand sales While each profi le within “Key Players” provides insight into a WASHINGTON — Total U.S. cheese production, excluding cottage FARIBAULT, Minn. — specifi c company, in its entirety “Key Players” provides you with a cheese, was 979.1 million pounds in April, up 1.9 percent from Caves of Faribault, a sub- snapshot of the current industry. This year, you will fi nd some com- April 2014’s 961.1 million pounds, according to data released this sidiary company of Swiss mon themes. For example, if the number of times the word “snack” week by USDA’s National Agricultural Statistics Service (NASS). Valley Farms, together with appears is any indication (40!), companies industrywide are focusing (All fi gures are rounded. Please see CMN’s Dairy Production Norseland Inc., the exclusive on capitalizing on consumers’ desire for small servings away from chart on page 19.) importer of Jarlsberg cheese traditional meal times. You also will see an industry in transition as April cheese production was down from March 2015’s 996.2 million pounds, but when adjusting for the length of the months in the United States, this several companies have new leadership taking the helm. And, as in week announced they have years past, you will learn about the nation’s biggest dairy mergers on an average daily basis, April production was up 1.6 percent versus March. entered into a partnership and plant expansions, sustainability efforts, food safety certifi cations to collaborate and expand and much more. Production of Mozzarella, the nation’s most-produced cheese, totaled 336.2 million pounds in April, up 1.3 percent sales outreach in the spe- To fi nd out more about the profi led companies’ latest achievements cialty food segment, with and where they are headed, please read on. from April 2014. Total Italian-type cheese production, of which Mozzarella is the largest component, reached 427.7 million a stated goal of realizing a Turn to KEY PLAYERS, page 21 Turn to NASS, page 19 a Turn to PARTNER, page 19 a © 2015 CHEESE MARKET NEWS® — This is Cheese Market News’ E-subscription and may not be forwarded to anyone other than the intended paid subscriber without the express permission of Cheese Market News (For more information, contact [email protected]) 2 CHEESE MARKET NEWS® — June 5, 2015 MARKET INDICATORS Chicago Mercantile Exchange for the week ending June 4, 2015 Cash prices for the week ended June 5, 2015 CHEESE FUTURES* (Listings for each day by month, settling price and open interest) Monday Tuesday Wednesday Thursday Friday June 1 June 2 June 3 June 4 June 5 Fri., May 29 Mon., June 1 Tues., June 2 Wed., June 3 Thurs., June 4 MAY15 1.656 4,266 1.656 4,266 1.656 4,266 1.656 4,524 ---- ---- Cheese Barrels JUN15 1.725 4,096 1.745 4,096 1.748 4,027 1.730 4,027 1.726 4,032 Price $1.7050 $1.7200 $1.7000 $1.6650 $1.6425 JUL15 1.792 3,362 1.811 3,348 1.809 3,289 1.766 3,308 1.764 3,331 Change +3 1/2 +1 1/2 -2 -3 1/2 -2 1/4 AUG15 1.803 3,107 1.827 3,108 1.828 3,116 1.780 3,143 1.785 3,159 SEP15 1.823 3,231 1.840 3,210 1.822 3,194 1.800 3,216 1.800 3,226 Cheese 40-lb. block OCT15 1.820 2,749 1.830 2,747 1.833 2,752 1.810 2,773 1.808 2,777 Price $1.7400 $1.7700 $1.7400 $1.7200 $1.7150 NOV15 1.822 2,900 1.827 2,912 1.832 2,919 1.815 2,933 1.818 2,939 DEC15 1.802 2,772 1.810 2,772 1.805 2,779 1.810 2,808 1.805 2,815 Change +4 1/2 +3 -3 -2 -1/2 JAN16 1.765 477 1.765 487 1.772 491 1.764 502 1.760 510 FEB16 1.755 342 1.755 342 1.760 346 1.761 363 1.753 380 Weekly average (June 1-5): Barrels: $1.6865(+.0527); 40-lb.
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