Natural and organic food sales are one of the fastest growing channels in US grocery today. US retail sales of natural and organic foods are expected to rise by 5.5% to nearly US$53.5m in 2014. This growth looks set to continue apace as the sector expands at a rate 2.5 times higher than mainstream categories.
Natural and organic food producers are benefiting from the category’s favourable growth trajectory in a market that, elsewhere, can be characterised as a slow- to no-growth environment.
It should be little surprise, then, that the sector has fallen into the spotlight. And nowhere is the mounting interest in natural and organic foods more in evidence than this week’s Natural Products Expo East trade show in Baltimore.
According to its organisers, the Expo – which opened its doors yesterday (18 September) – is expected to attract over 25,000 industry professionals and 1400 exhibitors from the US and overseas.
A staggering number of new products are on show – ranging from organic bamboo BBQ charcoal to Jon Bon Jovi’s (yes, he of tight animal print trousers and crazy hair) pasta sauce recipe.
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But, in an ever more crowded space, manufacturers must also leverage other key consumption trends to secure growth. Here is just-food’s pick of products that are tapping into trends-to-watch at this year’s show.
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Attune Foods, Peace Cereal protein granola and flakes Attune Foods’ cereal business Peace Cereal – part of Post Holdings – is debuting its newest variety: protein granola and flakes made with whole grain oat clusters, wheat flakes, Kamut wheat, hemp seeds and honey. While the US cereal category has been squeezed by shifting consumption patterns and growing competition from “breakfast alternatives” in recent years, Peace’s offering benefits from a number of attributes that speak to current consumer trends. Peace cereals contain whole grains, fibre and protein – addressing consumer demand for wellness products that satiate. Significantly, Peace’s full line features 15 non-GMO verified cereals, enabling the group to capitalise on a jump in consumer awareness that mainstream cereal brands have struggled to meet. |
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Dove Foods, Ardenne Farms gluten-free baking mixes Dove Foods Inc is launching a new line of Ardenne Farm premium gluten-free baking mixes. The range features nine “gourmet quality” baking mixes: yellow cake, chocolate cake, fudge brownie, chocolate chip, chocolate, oatmeal cookie, sugar cookie, blueberry muffin and cinnamon crunch muffin. Demand for gluten-free products is still on the upswing in the US as people become increasingly aware of dietary intolerances and “lifestyle” consumers adopt gluten-free options for perceived wellness benefits. As Ardenne Farm president and creator Kathy Milner stressed: “Consumers are searching for gluten free products that are enjoyable in both taste and texture.” The company’s products are also GMO-free and feed into the growing consumer desire to cook-from-scratch while also using products that are quick and convenient. These seemingly contradictory need sets have been met by a jump in “component” sales. |
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Amira Nature Foods, Basmati and organic rice The UAE’s Amira Nature Foods is hoping to develop its US footprint by showcasing its line-up of rice products, including Basmati and organic lines. The group is focusing on increasing listings of its premium Amira brand Basmati rice and Amira Organic rice products. The naturally gluten-free, low fat nature of rice bodes well for the sector – which has seen a jump in interest over the past year. While Amira’s products feed into growing consumer trends, with the likes of Hain Celestial preparing to enter the US market with the Tilda brand, the sector can look forward to an increasingly competitive future. |
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Blount Fine Foods Corp, ready-to-eat organic soup Blount Fine Foods Corp hopes to extend the retail presence of its range of ready-to-eat soups. The products are available in club stores throughout the US and regional grocers in the north east. Blount is targeting a national roll out of its new Blount Organic line in grocery. The US RTE soup category has not performed well in recent years. However, within the sector growth has been focused on products that meet consumer demand for premium, artisanal, authentic and traceable foods. The company’s new range includes: organic vegetable chilli, minestrone, tomato bisque and tomato and chick pea soup. While sector giant Campbell Soup Co. launched its own line of organic products this January, Blount is well-placed to leverage its position as a challenger brand with strong messaging around ingredients and sourcing. |
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Boulder Brands, Udi’s gluten-free burritos Boulder Brands is launching a range of gluten-free burritos and “multi-serve skillet meals” under the Udi’s brand. The range includes: uncured bacon, chicken apple sausage, sausage and spicy veggie breakfast burritos alongside bean & cheese, spicy Swiss vegie, chicken and steak dinner burritos. The launches appeal to a number of up-and-coming consumer trends: gluten-free; breakfast alternatives; convenience foods; and growing demand for Hispanic inspired products. These on-trend products are also well-positioned to benefit from Boulder Brands strong customer relationships and nationwide distribution. |
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Go Organics, SE Asian dry grocery Go Organics is promoting its offering of over 70 world foods that are 100% USDA certified. The company is showcasing a line of grocery from South Asia including 36 vibrant spices and condiments, 21 different assortments of protein rich lentils and beans, a dozen different kinds of flours, cereals and whole grains and a variety of aromatic teas. The food distributor meets the ground-swell in demand for organic products, while also appealing to growing awareness of world foods in the US and consumers seek out more exciting and vibrant flavours. The company plans to continue to expand its offering to become a “one-stop-shop” for “multi-cuisine” with products from Europe, the Middle East, South American and Far East Asia to be added. |
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KettlePop, organic kettle corn There might be little more traditional than kettle corn, but KettlePop is hoping to bring a new dimension this old favourite. KettlePop insists that popcorn is “one of the healthiest” snack-on-the-go options, with antioxidant properties. However, the health benefits are outweighed by the artificial flavours and preservatives added to conventional popcorn, the company argues. The company stresses its use of high-quality, organic, non-GMO ingredients and artificial-free flavourings. In the US right now, growing consumer awareness of what goes into food – coupled with on-the-go demand – makes KettlePop’s take on this traditional snack in vogue. |
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Krave, jerky Krave is a producer of all-natural meat snacks. Meat snacks are witnessing growth as a consequence of rising consumer demand for protein. Krave is bringing a new take on jerky to the Expo in a bid to get people to see this product in a “new light”. The group takes a “culinary approach” to a traditionally “low-brow” snack – a shrewd move given that “culinary-inspired flavour” is a buzz phrase that has build considerable momentum. “As a brand motivated to change consumer perception of jerky, we have worked diligently to create products with refined, wine-country inspired flavours that cater to both sophisticated palates and simple snackers alike,” CEO and founder Jon Sebastiani says. Varieties include: basil citrus, lemon garlic, black cherry barbecue, sweet grilled Teriyaki, chilli lime, garlic chilli pepper, sweet chipotle and pineapple orange. Krave is offering pork, turkey and beef jerky varieties. The products are naturally high in protein, gluten-free and low in fat. Krave has also addressed concerns over sourcing and quality by only using domestic protein from USDA-certified ranches. |
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Lunch Bundles Inc, lunch bundles Lunch bundles are a natural, healthy lunch meal kits for people that want a “convenient solution” and to spend “less time shopping and making meals”, the company says. Significantly, lunch bundles are convenient without compromising flavour or nutrition. Lunch Bundles hopes to appeal to growing demand for on-the-go and meal kit products while simultaneously reaching out to people who want to eat “real food”, a growing force in US consumption. |
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MagNoodles, organic smart pasta MagNoodles were developed by Aileen Magnotto, who wanted an alternative to white pasta that would appeal to her children. The company is launching three organic varieties – vegetable pennette, vegetable medium shells and rotini made with milled flaxseed. The new products tap into a key growth trend in the US as consumers look for alternatives to conventional mainstay products using healthier or better-for-you ingredients. A shift in attitude to health and diet products has seen consumers searching out foods that can be incorporated into their regular meals – but also offer additional health benefits. A more holistic approach to health and wellness has become key for many US consumers. |