Category: Beverages & Premix

Full Employment = Labor Challenges in Food Production Industry

Posted on July 16, 2019 by Jessica Allen

Views on full employment and the health of an economy differ but typically focus on the same underlying variables. In the United States, full employment is categorized as an economy with an unemployment rate falling below 5%.

The June unemployment rate of 3.7% remains one of the lowest in the last 50 years and consensus among experts is that the economy is in a state of full employment.

https://tradingeconomics.com/united-states/unemployment-rate

These strong employment numbers have created challenges for recruiting and retaining labor in the food processing industry.

Below are some of the challenges the pork and poultry industry are facing:

Pork:

Employee turnover at slaughtering facilities has doubled in the past two years, peaking at 220,000 workers this past February.
Many new and existing processing plants are clustered together in the same geographic region resulting in job loyalty and new employee relocation difficulties.

Unfriendly immigration policies and growing competition from the construction, oil and landscaping industries raise serious concerns for the meat processing sector, which has become increasingly reliant on a large immigrant labor pool over the past three decades.

Source:

https://www.meatpoultry.com/articles/19603-pork-poultry-industries-face-supply-and-labor-challenges

https://www.provisioneronline.com/articles/106969-state-of-the-meat-poultry-industry-workforce-2018

Poultry:

An incremental increase of capacity of 10 percent in the chicken industry is expected, which is fueled by nine new plants coming on-line in the next two years.
About 58% of workers quit their job within 90 days, another 28% quit between 90 days and 180 days, and only 14% stay longer than 180 days.
Absenteeism and high turnover are estimated to add 4% to processing costs.

Source:

https://www.meatpoultry.com/articles/19603-pork-poultry-industries-face-supply-and-labor-challenges

https://www.poultryworld.net/Meat/Partner/2019/1/Combatting-labour-shortages-in-the-poultry-industry-386807E/

So, what does this mean?

With labor accounting for 60 to 70 percent of a plant’s expense, companies will need to find creative ways to address some of the challenges.

Some options include:

Focus and improvements in operation efficiency
Technology and automation options
Wage increases
Training and onboarding improvements
Benefits packages

Interested in learning how JRW can help? Click here to schedule a call.

Rising Costs: An Outlook on Tariffs, Supply Chain and Logistics

Posted on July 2, 2019 by Jessica Allen

Is your organization dealing with increases in spending?

You are not alone!

Spending on transportation, inventory-carrying costs and other shipping-related expenses as a share of gross domestic product last year reached its highest level since 2014.

Tariffs

Tariffs have created sourcing challenges and raw material price increases. While the trade war continues to create guessing for procurement departments, one thing that is certain is that material and input costs have gone up for many organizations. Over $200 billion worth of Chinese products are subject to a 25% tariff and are raising inventory carrying costs throughout the supply chain.

Supply Chain and Logistics

Businesses spent $1.64 trillion on transportation and logistics services in the United States in 2018, a jump of 11.4% from the prior year, as companies retooled supply chains in response to the growth in online sales and tight freight hauling capacity drove up shipping rates.
The market was also affected by government regulations on driver hours of service and labor shortages that boosted wages for truck drivers and warehouse workers, according to an Annual State of Logistics Report released June 18 by the Council of Supply Chain Management Professionals.
Logistics costs rose across the board in 2018, with inventory carrying costs leading the way with a 14.8% jump to $493.7 billion.

Citation: Bearth, Daniel P. (2019, June 20). US Logistics Costs Rise 11.4% in 2018, Report Says. Ttnews.com. Retrieved from https://www.ttnews.com/articles/us-logistics-costs-rise-114-2018-report-says

Rising costs to challenge supply chain in 2019

Logistics Service Providers (LSPs) said in the survey conducted for the report that the most important logistical challenge by far for their customers was in reducing costs, at 61.7%. This was followed by visibility issues (46.8%) and achieving a good customer experience (33.3%). The percentage of LSPs that also said that the costs of cross-border trade were set to rise was extremely high, at 83.2% of respondents.

Citation: editor (2019, March 19). Rising costs to challenge supply chain in 2019. Eft.com. Retrieved from https://www.eft.com/supply-chain/rising-costs-challenge-supply-chain-2019

How do you deliver results when the industry at large is experiencing increases?

How do you present your organization with a plan to combat these challenges?

Fortunately, JRW has a solution. Our Inventory Management Platform.

Click here to learn about our coming Platforms.

Fill in your information to be the first to learn about our Inventory Management Platform.

Coming Soon… JRW Platforms

Posted on June 18, 2019 by Jessica Allen

The John R. White Company is excited to introduce customers to a series of focused growth opportunities called: Platforms

What is a Platform?

A platform is a step by step process and specific set of actions designed to solve an industry problem or reveal a new profit driving opportunity. Platforms utilize industry expertise and educate on needed ingredients, processes and procedures.

What’s Up First… JRW Inventory Management

What is Inventory Management?

An Inventory Management platform is a structured approach to adding cash back to the operating budget through proven experience, demonstrable results, and adaptable approaches that work for any size organization. Through this process, companies will have access to structured cash flow optimization opportunities. It is a tool to achieve corporate, departmental, and personal goals as well as KPI’s.

We will be providing:

An Education eBook
Specific Case Studies
And More…

Interested in seeing how the JRW Inventory Management Platform can benefit your organization?

JRW Inventory Management eBook

Sign up to be the first to receive our JRW Inventory Management eBook once it’s released.

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Check back in the coming weeks to get all of this information and more!

Spot Pricing vs. Contracting

Posted on June 4, 2019 by Jessica Allen

The Big Question Many raw materials, ingredients and commodities fluctuate in pricing throughout a calendar year. Some daily, some monthly, and others once or twice a year. For many of these items, buyers have the option to contract a product or ingredient for a finite period and set volume or purchase product at the current market price. These decisions add up and often contribute significantly to the overall ingredient spend of a company. What is the best option? How do I make the decision? There are several important considerations when making a spot vs. contracting decision. Is this a product category that I or my team feel like we have equal or better familiarity with than my competition or the average buyer in this market? Is this a product category that is a big portion of my companies overall spend? Is this a product category that historically has shown volatility? Is this a product category that is in a variety of our finished goods? Does my end customer expect fixed pricing for the year or do they understand the fluctuation in pricing of raw materials? Do I have multiple sources for this product? Do I trust the opinions and research of my supplier? Is my team able to quickly respond and implement price changes? Does the ingredient contract period align with my customers contract period? How to Decide If your company is able to pass along price increases based on raw material fluctuations, spot pricing is generally an effective strategy. It allows you to support your customer to their satisfaction and capture some margin advantages if prices begin to increase. If your company is expected to offer a fixed price for a year, contracting can mitigate the risk of margin fluctuations and lock in an acceptable price for both you and your customer. There is no one size fits all approach, but if you communicate to your customers, define the options, and set expectations, your team will succeed. Practical Examples Tale of Success
	Recently the Red Pepper market experienced a price decrease. Organization A had locked in their price for the year while organization B decided to buy spot. Both organizations were able to keep their end customer happy even though they booked red pepper differently. Customer A’s end customer had a fixed price for the year and expectations were set on the front end that market pricing could go up or down, but their price would not change throughout the year. They were okay that the market price went down because of the communication and expectations set on the front end. Organization B passed along the price decrease to their customer ensuring loyalty and satisfaction.
A Tale of Caution
	The Garlic market experienced a price increase for a variety of reasons. One organization had contracted pricing for the year and experienced no price increase. They were able to keep their end customers happy. Another organization decided to risk the spot market despite their end customers needing fixed pricing for a year. The second organization experienced margin loss and internal frustration because they were not able to pass along the increase to their end customer.
Contracting is a very tricky game, but if handled properly, can be profitable to your organization and advantageous for your customers. Curious about what may work best for you and your company? We would love to talk to you about it! Click here to contact us or fill out the form below.

Undeclared Allergen Recall Prevention

Posted on May 21, 2019 by Jessica Allen

The “Big 8”

Undeclared allergens are still the most common reason for a recall in food products.

The “Big 8” allergens regulated by the USDA-FSIS and FDA are:

Milk/Dairy
Soy
Egg
Wheat
Peanuts
Tree nuts
Fish (Fin-fish)
Shellfish

For calendar year 2017, 53 of the 131 recalls documented by the USDA-FSIS were due to undeclared allergens.

Allergen Recall Causes

The most glaring note about undeclared allergen recalls are the top 3 root causes:

Wrong label or package.
Terminology not correct.
Ingredient information not communicated throughout the process.

A key similarity of these three root causes is that they can be eliminated or reduced without the purchase of any special equipment, hiring of any highly qualified personnel, or modification of any parts of the actual food processing system. They are careless mistakes that can be easily prevented through attention to detail.

How to Prevent an Allergen Recall

Here are some practices that can help prevent these types of mistakes from occurring as frequently:

Line Clearing
- Establish line clearing procedures between batches of non-allergen and allergen products. This might cause a few more minutes of down-time, but it can help make sure there is no confusion between the different batches.
Time of Day
- Run any product containing allergens at the end of the shift or possibly on a separate day. If different allergens are used, organize the production schedule to keep the same allergens together. Run product with multiple allergens at the very end of the shift.
Wash Between Allergens
- Wash down between each different allergen. If the first product has soy and the second product has dairy, they are still different allergens and should be treated that way.
Out with the Old
- Don’t give yourself an opportunity to mix up old labels with new labels. Discard or use up all old labels once your new labels arrive. It takes more work on the front end to plan a label transition properly but the effort removes headaches and risk when all old labels are out of the facility.
Communicate All Information
- Any formulation change that is made involving allergens should be communicated to all relevant parties. If R&D modifies a formulation and fails to inform the quality team and the packaging lead, the product can very easily get packaged with the incorrect label. All formulation changes and all label changes should be verified and signed off on by multiple team members.

Do you have any allergen questions specific to your business or process? Click here to speak with an expert at JRW about the most current FDA and USDA requirements, guidelines, and best practices.

JRW Q&A – Inventory Reduction

Posted on May 7, 2019 by Jessica Allen

Our customer relationships range from purchasing experts to PhD’s in food science. Given this broad range of experience, we thought a post on some common supply chain principles may be of value to our audience.

In this week’s post, we highlight inventory reduction and important terms associated with the practice.

Inventory

Inventory is a metric for the goods and materials held by an organization to support production, maintenance or sales and customer service.

We typically find that customer’s who have not had time to focus on best practice purchasing procedures keep higher inventory levels than needed as an extra precaution to ensure customer demand is met and that revenue streams can run without interruption.

Inventory Reduction

Inventory Reduction is the active process of reducing the amount of inventory an organization holds. Companies strategically focus on this for a variety of reasons some of which include freeing up cash, creating more storage space, and reducing costs associated with inventory like leases and insurance.

The food ingredient space often achieves this by reducing demand variability, improving forecast accuracy, reducing order sizes, reducing supplier lead times, improving supplier reliability, and eliminating obsolescence. Check out this great link.

Why is this important? Reducing inventory helps companies free up cash and also take advantage of new opportunities and investments. It provides more control and clarity on the efficiency of their operation.

Carrying Cost

Carrying Costs are all the costs associated with holding inventory. This includes the capital costs, inventory service costs, storage space costs, and inventory risk costs. For a more comprehensive and company specific breakdown of each of these categories, click here to speak with a specialist.

Why is this important? Reducing carrying costs has a direct impact on a company’s profitability. Because of this, companies often use it as a leading metric in procurement and supply chain’s performance evaluations, KPI’s, or goals.

Interest Rates

Interest Rates are the proportion of a loan that is charged as interest to the borrower. Most companies do not have the free cash to finance all the inventory needed to meet production and customer needs. As a result, borrowing money to finance inventory is a common practice. As rates go up, it becomes more and more expensive to do this.

Why this is important? Efficiencies and reduction becomes more accretive to the bottom line when interest rates rise. For that reason, a company’s ability to reduce their carrying cost can create significant competitive advantages.

Cash Flow

Cash Flow is the total amount of money moving in and out of a company. It represents the liquidity of an organization.

Why this is important? Cash flow allows organizations to make decisions and adapt to changing markets. It creates a competitive advantage and reduces opportunity costs. As a result, this liquidity allows business owners to invest in new technologies, purchase new assets, hire more employees, and expand into new territories.

If inventory reduction is important to your organization reach out here to see case studies and potential for your organization.

Sales Enablement: Equipping to Equip

Posted on April 23, 2019 by Jessica Allen

How Sales Enablement Equips Sales to Best Equip Customers for Success

What is Sales Enablement?

First of all, some of you may be asking what sales enablement even is. George Bronten defines it as “a complete system that improves sales effectiveness by providing salespeople with everything they need in a structured and guided format to achieve their highest potential”. It can range from training to marketing materials and everything in between. At JRW our marketing department shares responsibility in equipping the sales team with the training, processes, methodology, content, and technology that ensures their success and a platform for our customers to succeed.

Sounds like a lot, right? Well the truth is, it can be. Sales Enablement, while a powerful force, if not correctly and cohesively aligned, can just create a lot of noise that does more to overwhelm your sales team than it does help.

Here are a few considerations to make when putting together sales enablement for your team:

Customer Success Equals Sales Success

At JRW, our customers’ success is always at the forefront of our minds, as it should be for all companies. We believe you should equip your sales team with what best aligns with your customer’s needs. This allows your sales team to easily communicate value to their customers in a motivating and appealing way. As well as, not lose focus on what is most important to our base.

Bronten again communicates this well by saying that “in a complex sales environment, HOW you sell becomes critical, and maybe the last differentiator in a world when offerings look the same to buyers”. Your sales enablement should best equip your sales team to communicate effectively and efficiently with their customers.

KISS: Keep it Simple Sweetheart

The food ingredient space can be a complex one. Whether you’re distributing to a large, national manufacturer or the mom and pop shop down the street, your sales team should be equipped to communicate and move through the sales cycle in a simple and clear way.
Your marketing department should develop processes that are easy to adopt and embed in your sales team’s workflow.

Build Content and Training

Once these processes are ready to start running, use your marketing department to build both content and training materials that guide sales. This material should be available for your sales team to access when they need it, wherever that may be. Whether that’s right before they walk in the door to meet a customer for the first time or after helping to find solutions for customers they have worked with for years, relevant material builds confidence and spreads thought-leadership.

At JRW, we have invested in a CRM (Customer Relationship Management) system. The software ensures easy and active pipeline management and allows our marketing department to upload sales enablement and sales collateral materials for the team to access at their convenience. Gone are the days of lugging around a briefcase full of sales manuals, vendor materials, or pricing sheets. That information is now easily and electronically accessible ensuring quicker responses to customers and more value in every interaction.

Coach, Coach, and Coach Some More

Sales coaching should be an ongoing process. There are always new hurdles to jump and obstacles to overcome when it comes to sales. That’s where a good sales manager comes in. They are there to help work out all the kinks to the salesperson’s system so that the salesperson can focus more on what they do best, selling. This coaching shouldn’t be reserved for your quarterly sales meetings or yearly performance reviews. It should be implemented regularly to help develop your sales team to be the best they can be.

Focus, Simplify, Build, Coach, Repeat

Bronten’s best advice is to “collect data and analyze your process against goals to enable constant improvement”. Processes and data are your best friend when it comes to sales enablement. Your marketing team should be continuously seeking to understand how they can best equip your sales team.

Here at JRW, we believe that excellence is a habit, and we like to make it a habit to effectively equip, train, and enable our team to continuously improve and consistently drive value to our customers.

Have any questions on how we enable our salespeople? Looking for more value out of your supplier? Contact us here.

To read a little more on Sales Enablement, click here to read the article by George Bronten.

The 2019 IPPE – An Interview with Dr. Benjy Mikel, PhD

Posted on February 26, 2019 by Jessica Allen

IPPE

The International Production & Processing Expo (IPPE) is the world’s largest annual poultry, meat, and feed industry event of its kind. A wide range of international decision-makers attend this annual event to network and become informed on the latest technological developments and issues facing the industry.

The 2019 IPPE, February 12-14th, brought together more than 1,200 exhibitors and 30,000 visitors to Atlanta, Georgia.

IPPE is important for networking and learning from others within the food space. That is why the John R. White Company makes it a point to send some of our own every year. We send excited individuals who are eager to connect with others and learn all they can from this event. The John R. White Company was even honored with the KeyStar “Contributing to Communities” Supplier Sustainability Award for the 25,056 meals we packaged and donated to Hurricane Florence Relief efforts during our 2018 Hunger Project. Along with CEO Donny Patton, Director of Sales Richie Bruce, and others, highly seasoned veteran of IPPE for over thiry years now, Dr. Benjy Mikel, PhD attended the event.

Dr. Benjy Mikel, PhD

JRW Birmingham, AL — Dr. Benjy Mikel, IPPE Product Development Panel

For 25 years, Dr. Mikel has served at three academic institutions with predominant roles related to meat safety and quality.

Benjy Mikel has also recently served as the President of Phi Tau Sigma, the American College of Animal Sciences, the American Meat Science Association, and the Southern Association of Agricultural Scientists Department. He has been honored with the American Meat Science Association Achievement Award, Distinguished Industry/Extension Award, Meritorious Service Award and was named an AMSA Fellow.

Product Development

At this year’s IPPE, Dr. Mikel discussed Case Studies in Product Development. Here are a few of the key topics he hit on during the panel:

Q: In what ways do you see consumer demand shifting? How will a focus on product development benefit companies trying to stay ahead of consumer demand?

A: Consumer demand is constantly shifting as new ideas arise and consumer lifestyles change. The interest of today’s consumers focuses on natural, non-GMO, organic, and clean label concepts. Companies with aggressive Research and Development efforts are capable of staying ahead of consumer demands and meeting the challenges of expanding market opportunities.

Q: Of the potential impact of functional ingredients discussed, which do you see being of the greatest demand to consumers? Which of these do manufacturers struggle with the most?

A: Consumer segments often want various conflicting items. While they prefer less ingredients, they also want long shelf lives, safe foods, and cheaper unit cost. The challenges most food processors have are to produce a food item that incorporates all these features while maintaining the cost effectiveness demanded by the marketplace.

Q: Of the potential functional ingredient liabilities discussed, which poses the greatest threat to manufacturers?

A: Increased unit cost with higher price point functional ingredients is always a challenge. However, it is one that can be overcome with marketing efforts geared towards more value-added retail and food service outlets.

Q: How does pursuing product development directly and indirectly affect a company’s ROI?

A: While many companies consider R&D to be overhead, an aggressive and effective R&D effort can always play a positive role in both short and long term return on investment.

At JRW, we are thankful for the many knowledgeable people on our team who are available to all the customers we serve.

Looking for a food ingredient distributor with a knowledgeable sales team that can help you with your new product development and more? Call us today! Click here for our contact information.

JRW – A Certified Great Place to Work

Posted on February 12, 2019 by Jessica Allen

Aristotle once wrote, “We are what we repeatedly do. Excellence, then, is not an act, but a habit.”

Excellence is a Habit

Every day, JRW, just like many other businesses, experiences the ebbs and flows of business life. We repeatedly receive orders, analyze data, forecast, load trucks, verify quality documents, interact with customers, and so much more. Day in and day out, we have become what we repeatedly do: a food ingredient distributor. And a good one at that. Each one of our employees works hard every single say to ensure that they complete those repeated tasks with excellence. Excellence in itself has become a habit here at JRW, an essential part of our every day.

Company Culture

That excellence filters into all aspects of what we do as seen in our four pillars: world class service, more than distribution, trust, and community. Those who live and breathe these pillars most are our employees. All of which work hard to go above and beyond our customers’ expectations. As a business with more than seventy years’ experience, we know that a company is only as good as the people that work there. Our company culture means a great deal to us.

We continuously seek new and improved ways to continue to serve not only our customers, but our employees as well. We want to ensure we are a workplace that people wake up every morning excited to drive to. A place that cares about empowering people to collaborate, grow, and truly thrive. We strive every day to be a great place to work.

Great Place to Work Certified

That being said, one cannot improve what one does not measure. Thus, JRW takes periodic measurements to stay up-to-date on how our employees are doing and how they are experiencing the culture within our company. We then have actual data on areas that could use improvement and areas where we are doing well. We are committed to being a great place to work, and our most recent survey has proven that to be true.

Thanks to our employee input, JRW has officially been deemed a certified Great Place to Work by Great Place to Work US. The John R. White Company has earned this credential based on extensive ratings provided by its employees in anonymous surveys.

Special Thanks to Our Employees

Thanks again to all of our employees for completing Great Place to Work’s Trust Index© Survey and helping our company get recognized for our great culture.

Check out our Great Place to Work profile here. Get to know a little bit more about what makes JRW different here.

Distributing Effectiveness

Posted on January 1, 2019 by Jessica Allen

HOW BUSINESSES CAN MAXIMIZE SALES THROUGH DISTRIBUTORS

Utilizing distributors to sell your product has many known benefits, including but not limited to:

• Expanded marketing and sales expertise
• Logistical management
• Access to an established customer base

Distributors (good ones, that is!) have proven their effectiveness time and time again. The question becomes:

“How can I maximize the potential I have with my distributor?”

As a sales professional for distribution, I am more excited about a product if the following has happened:

1. Training

Training on the product was novel and unique. The days are over for the dog and pony shows. The never-ending list of product benefits are already sitting in everyone’s back pocket. The key is to catch them off guard with something unique, something one of a kind. Present the product in a way that compliments the distributor’s personality. This may require more time and flexibility, but has extraordinary pay-offs.

2. Advantages are Displayed

The advantage over similar products is immediately evident. Chances are there are several other products like yours. If not, great! Start with why there is nothing like it. However, if there are competing products (like there is in most industries), there must be a reason why your product is particularly successful with customers. Focus on what those reasons are during your product introduction. It is even better if you can convey this in a tangible way.

3. I’m All In

I was personally sold on the product. If you are effective at sales, and I can bet you are, you should have no problem at all getting distributors on board with your products. If they wouldn’t use it themselves, you can’t expect them to be passionate enough about it to push the product with their customers.

4. Communication is Clear

Potential downsides to the product were clearly communicated. Nothing is worse than being caught off guard with negative feedback from a customer. It is important to equip your distributors with potential comments, complaints and push-back that could be received, and to provide them some solutions on responding to these challenges.

Using these approaches, while equipping your distributors with tools for success, will create a thriving relationship that will withstand the trials of time. Happy Distributing in 2019!

Looking for a trusted food ingredient distributor in 2019? Call JRW at 205.595.8381 or contact us here.

The Four Pillars of JRW

Posted on December 18, 2018 by Jessica Allen

Four Pillars grounded in a Firm Foundation.

Merriam-Webster defines the word “pillar” as a firm, upright support for a superstructure.

It is a foundation upon which great things can be built.
Without it, nothing worthwhile can stand.

Here at JRW, for over 70 years we have built our business and our culture on four pillars:

World Class Service, Trust, More Than Distribution, & Community

World Class Service

The customer experience is the daily focus of our business. Upon recent surveys, current customers have overwhelmingly responded that “service” is why they continue to partner with JRW. They cite “dependable”, “reliable”, and “helpful” as core to what they find when they partner with us.

By going the extra mile, we work every day to serve the companies, both big and small, that have entrusted their business to us. We strive to ensure their unique, dynamic business needs are fully met.

Trust

There are no relationships that can grow and thrive without trust. To earn trust, one must be reliable, consistent, and unwavering in the pursuit of truth. Unfortunately, modern culture continues to move away from the code of ethics that has historically produced moral integrity, economic prosperity, and true freedom.

We believe that transparency with both our customers and our vendors leads to the valuable and meaningful relationships that are critical to success.

More Than Distribution

We are the partner with deep industry knowledge and scientific expertise to help your business innovate and grow.

We offer creative solutions, beyond distribution, in the areas of inventory management, formulation advice, quality, and compliance. We are the partner that looks out for your interests, so you can sleep well at night.

Community

We believe that business is first and foremost about people, and we are committed to making a difference in the lives of those around us. We are interested in improving the lives of our Customers, Employees, and our Community.

As this year comes to an end, we here at JRW want to continue in our devotion to serving you well. We are fiercely committed to our Four Pillars, and, because of that, we are fiercely committed to you, our customer.

Have any questions about our company? Looking to partner with us? Please give us a call or contact us here.

The Word We Know You’ve All Been Waiting For… Sustainability

Posted on December 4, 2018 by Jessica Allen

Sustainable can be Attainable.

Sustainable Food

It is my experience that sustainability isn’t a commonly understood concept. This could be because there isn’t a true, government definition for “Sustainable Food”.

Sustainability, in my own words, is a practice that can be repeated over time without self-destruction, which involves ethical and environmental conservation practices.

Jennifer Chait’s article “The Differences Between Organic and Sustainable Food” does an excellent job of describing sustainability by comparing and contrasting it to organic farming practices.

To summarize, she lists 8 key differences:

Sustainable is unofficial, but measurable – unlike the government-sponsored certification of organic, sustainable is not a certified policy or label
Sustainable is small – size and maximization of the resources is highly considered in sustainable farming
Sustainable is water efficient – water conservation is a critical part to sustainable farming, where it may, or may not, be considered in organic farming
Sustainable is energy efficient – similar to water efficiency, it may not be occurring at an organic farming operation
Sustainable is low emission – sustainable farming uses business models, such as only delivering locally, to reduce fossil fuel usage and emissions
Sustainable is more humane – to be clear, this is NOT saying that organic rearing of animals is inhumane. What this is saying, however, is that organic products do not promise humane handling as part of the program requirements
Sustainable is eco-friendly packaging – sustainable production uses the least amount of resources necessary and aims to use recyclable materials. Organic can follow these practices as well but is not required.
Sustainable extends beyond food – sustainability can extend across an entire business model, not just the food. For example, a sustainable company can choose to go paperless or encourage lifestyle choices for their employees

Now, can the two co-exist? Sure! But it isn’t good practice to assume if a product specifies one, that it meets the expectations of the other. If sustainability is important to you, it may not be evident on a label. Often times, it requires research of the manufacturing company to see if you are consuming a sustainable product.

Have any questions about sustainability? Ask away! Contact us here.

Four Things You Need to Know About Food Starch

Posted on November 20, 2018 by Jessica Allen

Food Starch: What is it, what is it used for, and more

Q: What is starch?

A: A starch is the part of the plant where its energy is stored in the form of carbohydrates. These carbohydrates are made up of long chains of glucose molecules. Since glucose is one of the main energy sources in biology, the plant stores it in this very condensed form to save space. The most common sources of starch used in food processing are corn, sorghum, rice, potato, or cassava (tapioca).

Starch from various sources contain different ratios of these long-chain glucose molecules called amylose and amylopectin. The ratio of amylose to amylopectin can affect the functionality of the starch for use in different food applications.

Q: What are starches used for?

A: Managing moisture is one of the primary functions of starch in foods. Below are examples of common applications in food products:

Yield Enhancement/Cost Optimization
- Meat and Poultry Products
  (Retaining added water/purge prevention)
Thickening, Stabilization, Body, Gelling, etc.
- Sauces & Gravies
- Soups
- Confectionery
- Fillings, Yogurts, & Puddings
Texture Enhancement
- Meat & Poultry Products
- Bakery
- Batter & Breading
- Snack Chips/Crackers

Q: What is a “native” starch?

A: The term “native” refers to starch in its un-modified form. Most native starches can be used in “natural” or “clean label” product formulations.

Q: What is “modified” food starch?

A: The term “modified” refers to physical or chemical modifications that are made to improve the performance of a starch from its native form. Modified food starches are often more stable and optimized for use in a wider range of temperatures, pH, and processing conditions. Modified starches are not typically used in natural product formulations (as per USDA), and may or may not be used in “clean label” products.

Things to consider when selecting the best starches:

What is the desired result? What are you trying to achieve?
What are your processing conditions? (pH, temperature, processing conditions, etc.)
What other ingredients are you already using in the formula?

There are dozens of different food starches that are tailored to work in a variety of different applications.

Work with your ingredient supplier to help find the optimal fit for your process. Click here to talk with us.

Natural Labeling

Posted on October 9, 2018 by Jessica Allen

**With today’s trends, it’s on everyone’s mind… naturally.**

Many consumers are asking for products that are considered natural. The challenge for processors is to make sure these products comply with the labeling regulations of USDA and FDA.

The FDA has not issued any specific regulations regarding products labeled as “natural”. However, it has issued the following statement pertaining to labeling:

“The FDA has considered the term “natural” to mean that nothing artificial or synthetic (including all color additives regardless of source) has been included in, or has been added to, a food that would not normally be expected to be in that food.”

According to the USDA, products labeled as natural must adhere to the following requirements:

“(1) the product does not contain any artificial flavor or flavoring, coloring ingredient, or chemical preservative (as defined in 21 CFR 101.22), or any other artificial or synthetic ingredient; and (2) the product and its ingredients are not more than minimally processed. Minimal processing may include: (a) those traditional processes used to make food edible or to preserve it or to make it safe for human consumption, e.g., smoking, roasting, freezing, drying, and fermenting, or (b) those physical processes which do not fundamentally alter the raw product and/or which only separate a whole, intact food into component parts, e.g., grinding meat, separating eggs into albumen and yolk, and pressing fruits to produce juices.”

So, let’s breakdown the key terminology from both regulatory agencies:

No artificial/synthetic ingredients (FDA & USDA)

Typically, natural ingredients are those derived from natural sources (ex: most spices and vegetables, corn meal, rice starch, etc.). Other ingredients are not found in nature and therefore must be synthetically produced as artificial ingredients (ex: monosodium glutamate, potassium sorbate, sodium lactate, etc.). However, some ingredients found in nature (ex: corn and soybeans) can be manufactured artificially for more consistent quality than their natural counterparts (ex: modified food starch, soy protein concentrates, etc.), therefore they would likely be considered “artificial ingredients” and not eligible to be used in “natural” food products. These same standards are applied to natural and artificial colors, depending on their source and method of manufacture.
Minimally processed (USDA)

Minimally processed simply means that the product is processed in a typical way that it would normally be processed. For example, sausage products that are produced through standard mixing, grinding, emulsifying, and stuffing practices would still be considered minimally processed because it “does not fundamentally alter the product”.

Especially when it comes to selecting “natural” ingredients, be sure to work with your ingredient supplier to help with formulation changes or development.

We can help you achieve your goals while maintaining regulatory labeling compliance. Contact us here, and ask us about natural labeling and what it can do for you.

Phosphates: The Swiss Army Knife of Food Ingredients

Posted on September 25, 2018 by Jessica Allen

WHAT IS A PHOSPHATE?

A phosphate, regarding food ingredients, is a phosphoric acid salt, often used in meat, seafood, bakery, and dairy products. It is naturally occurring in many cases, including in muscle tissue as part of the contraction process.

So, what are they used for?

Phosphates, being the “Swiss army knife”, has a wide variety of functionality.

Meat

In meat, they are used to modify pH, increase water-holding capacity, aid in protein extraction, and to contribute antioxidative properties. To try and keep things simple, by increasing the pH, the protein structure is opened, which allows water to bind to the protein. This improves tenderness, reduces purge (juices left in the package), increases overall processing yields, and allows meat to bind together in products like boneless hams, chicken nuggets, or hot dogs.

Antioxidant

As an antioxidant, phosphates can tie up heavy metals, which ultimately helps the product look nicer and taste better for longer periods of time. You could go as far to say that phosphates contribute to reducing food waste and allow for sustainability by enhancing the usage of biological substances.

Are there any alternatives for phosphate?

The short answer is no, there isn’t anything with the same chemical mode of action as phosphate.

However, certain ingredients exist that can contribute the same functionalities as phosphate.

For example, some specific ingredients can contribute the same yield enhancement and antioxidative properties using natural yeast and citrus extracts. Also, animal-based stocks and broths have water and fat binding properties in meat products.

Wait… So how do I pick the best phosphate?

Specialty phosphate ingredients are specific to certain applications or desired attributes, so it is best to work with your ingredient supplier to pick the best one for your situation. Some, for example, are ideal for cured products, whereas others might be better for a fresh, retail-ready product.

We would love to help you identify the ingredient that is right for you!

Click HERE to contact your JRW Regional Sales Manager to see how phosphates can work for you.

Sifting Through the Noise (Part 3 of 3)

Posted on August 28, 2018 by Jessica Allen

So what is Cultured Dextrose?

We recently took a look at some of the confusing terms in the food ingredient and manufacturing space.

(If you missed the beginning of our series: Sifting through the Noise, check out the blog HERE)

As we explore shelf-life extension, we will look at cultured dextrose this week.

Cultured Dextrose

Cultured Dextrose is a powder often used to replace benzoates and sorbates. It is made up of an undefined mixture of fermentation metabolites, lactic acid, and peptides.

Essentially, it’s a combination of amino acids and organisms used to help the body break down food for energy, growth, reproduction, and maintaining health.

Cultured dextrose is very effective in controlling the physico-chemical, microbiological, and organoleptic properties of food and is great at controlling yeast and mold. Manufacturers of soups, sauces, salads, hummus, dairy products, and beverages often find the application seamless and value the clean label.

In addition to shelf life extension, improved flavor and aesthetic quality often are a result of using a cultured dextrose.

Interested in learning more about cultured dextrose or any of our other clean label products? Contact your JRW Regional Sales Manager today!

Thank you for joining us in this series: Sifting Through the Noise.
If you missed any of the previous posts in this series, click HERE.

Sifting Through the Noise (Part 2 of 3)

Posted on August 14, 2018 by Jessica Allen

We recently took a look at some of the confusing terms in the food ingredient and manufacturing space, and we hope it was helpful to you.

(If you missed part I, check out the blog HERE)

As we explore shelf life extension, we will look at buffered vinegar this week.

Buffering Vinegar

Buffering simply means altering the pH to avoid significant organoleptic challenges presented from regular vinegar.

Buffered vinegar is often used in both pork and poultry applications, is cleanly labeled as vinegar, and results in no sodium contribution to the finished product.

In poultry applications, buffered vinegar is highly effective in controlling lactic acid bacteria, listeria, and leuconostoc.

Lactic Acid Bacteria, Listeria, and Leuconostoc

• Lactic Acid Bacteria

A facultative anaerobic bacteria (meaning they tolerate oxygen) and can cause greening of meat, off flavors, and bloating of packaging.

• Listeria

A facultative anaerobic, pathogenic bacteria (HUH?). It can survive in the presence or absence of oxygen. It can infect the brain, spinal cord or the bloodstream of the host through ingestion of contaminated food.

• Leuconostoc

A genus of gram-positive bacteria that is often attributed to the slimy outer layer found on chicken.

Buffered Vinegar is highly effective at treating these different components to achieve longer shelf life. Depending on the scope and particular organism desired to treat different levels of vinegar are recommended.

Stay tuned for the final post of this series: Sifting Through the Noise (Part 3 of 3).

Sifting through the Noise (Part 1 of 3)

Posted on July 31, 2018 by Jessica Allen

Clean label. Preservatives. Antimicrobials. Additives. Shelf life extension.

What does it all really mean?

They are words we hear all the time in the food ingredient and manufacturing space, but what do the words really mean and how do we sift through the noise to the information that is relevant to our industry?

In this three-part series, I will be exploring preservatives and antimicrobials used in shelf life extension.

So, let’s start with some terminology:

Clean Label

Currently the FDA has not promulgated a regulation or terminology on clean labels. It is a movement following perceived consumer perception. Generally speaking, most view clean labels as a reduction in the number of ingredients, especially those with hard to pronounce names, ingredients that are artificial or synthetic, and ingredients that have limited nutritional value.

Shelf Life Extension

This is a term used to extend the life of a finished product before it unsafe or undesirable to eat. Shelf life extenders can prohibit, inhibit, or retard the growth of psycohrotrophs, yeast and mold, acidity development, lueconostoc, listeria, etc.

Additives

This is a catch all term, defined by the FDA as: “any substance, the intended use of which results or may reasonably be expected to result, directly or indirectly, in its becoming a component or otherwise affecting the characteristics of any food”.

Simply put, it is pretty much any ingredient and can range from additives intended to enhance flavor, organoleptic properties, color, texture, or appearance to ingredients designed to stymie listeria growth.

Citric Acid, Salt, Maltodextrin, and Soy Protein are all examples.

Preservatives

These are ingredients added to food to prevent or limit the growth of dangerous microorganisms or spoilage from oxidation or light. They can be broken out into two categories, and each have both standard and clean label variants:

1.) Antioxidants

prevent oxidation and can range from products like BHT and BHA to
clean label products like Rosemary Extract, Vitamin E, and Tocopherols.

Check out my blog on antioxidants

2.) Antimicrobials

prevent or limit the growth of microorganisms.

Stay tuned for the rest of this series: Sifting Through the Noise (Part 2 of 3).

What is an antioxidant?

Posted on May 22, 2018 by Jessica Allen

Antioxidants are molecules that inhibit the oxidation of other molecules. This is important because oxidation, the exposure to oxygen, creates a chemical reaction that can produce free radicals, leading to chain reactions that could damage cells.

The term is generally classified into two categories:
Industrial Chemicals
(added to prevent oxidation, also known as spoilage)
and
Natural Chemicals
(found in foods and body tissue and are said to have beneficial health effects)

SO, WHAT ARE THEY USED FOR?

Food preservation: Antioxidants are added to many foods to guard against spoilage and food deterioration as well as unpleasant flavors or unappealing colors.

ARE THERE NATURAL AND CLEAN LABEL ANTIOXIDANTS?

Why yes, yes there are.

Several common natural antioxidants include:
ascorbic acid, tocopherols, and rosemary extract.

WHERE IS THE INDUSTRY GOING?

Several industrial chemicals commonly found in food are propyl gallate, tertiary butylhydroquinone (TBHQ), butylated hydroxyanisole (BHA), and butylated hydroxytoluene (BHT). Companies like Whole Foods and Panera Bread have banned BHT and BHA from products they sell or make. Many manufacturers are looking for clean label alternatives to traditional industrial chemical additives.

Have any questions? Contact your JRW Regional Sales Manager today!

Because it’s all about being trendy, right?

Posted on May 21, 2018 by Jessica Allen

Amongst the many changing drifts of 2018, the food industry will continue to see certain trends continue and new trends develop as demographics and purchasing power shifts amongst food buyers. With Boomers becoming a secondary market to Millennials, not only will product mix and composition change but also the method of purchase.

Some trends to watch:

1. Culinary Culture

Connecting to kitchen arts and practices here, there, everywhere (CCD)

2. The Source

Where food is from, how it’s grown or produced (CCD)

3. Nutrition

Nutritive benefits for functional, dietary, medicinal and well-being needs (CCD)

4. Waste Not, Want Not

“…About 40 percent of food produced for our consumption never reaches a human stomach” (IFIC)

5. Boom Goes the Internet

Virtual Shopping is an increasing reality (IFIC)

6. Hanging Around the Block(chain)

Blockchain will help give consumers unprecedented information about where their food comes from (IFIC)

7. Nutrigenomics

The Impacts of Food at the Molecular Level: Nutrigenomics, broadly speaking, studies how our diets influence our genes (IFIC)

8. Flavor Savorers Take a Walk on the Wild Side

Taste has been the top driver of Americans’ food purchases (IFIC)

9. Less Is More

Clean Labels and Clean Packaging: While the clean label movement will reach new heights, the food system will continue to grapple with exactly what the term means (IFIC)

To read more on clean labels, check out this blog from JRW Regional Sales Manager Mark Frenzel, PhD:
What puts the “clean” in clean label?

Source: International Food Information Council Foundation (IFIC) and CCD Innovation