I find the development of the Chinese economy fascinating. The BBC reports today that the Chinese governement has issued price controls on consumer goods to curb inflation. Apparently, the hundreds of millions of low-income Chinese families spend 30-50% of their income on food.
Right before the holidays, I was honored to speak a the UNPA’s China II Seminar in Salt Lake City, UT. It was a very educational one day event hosted by Loren Israelsen and his competent staff.
One noteworthy presentation detailed a A.M. Todd’s efforts to find a manufacturing partner in China. They spent $2 million on this search, visiting 25 facilities when they had originally planned on visiting only 7-8 facilities. The executives from A.M. Todd presented a great slideshow from their travels and what struck me was how much the quality and cleanliness of the facilities vary in China. Surely, one can find significant differences in the quality and cleanliness of facilities in the United States, but the point was driven home….to insure the quality of your finished product, you need to know the quality of your supply.
China is amidst an industrial revolution and it will continue to hit potholes in the road it travels, but one thing is for sure - China’s manufacturing capabilities are improving rapidly and will overtake those offered in the United States sooner than we probably think.
For more on the Chinese Nutrition & Supplement Industry, please read NBJ’s report on this dynamic market.
-Patrick
Last spring, I attended the Investors’ Circle conference in San Francisco. It was an inspiring event, to say the least…and one that I felt the nutrition industry was under represented at.
Investors’ Circle is network of angel investors, venture capitalists, philanthropic investors and entrepreneurs who are using private capital to promote the transition of business to a sustainable future. Since 1992, the Investors’ Circle network has invested more than $120 million in 190 companies and small funds.
If your company is socially responsible, looking for investment and interested in presenting at the IC 2008 Spring Conference & Venture Fair in San Francisco, you must apply by February 1st via www.investorscircle.net .
Full details can be found on the IC website.
Like protein, flax is an ingredient with few faults. Suprisingly nutritious and inexpensive for manufacturers, flax is becoming a hot ingredient in many mass-market foods including spreads, tortillas, breads, cereals and many more. InsideBayArea.com reports on the growth of flaxseed with a well written article.
The article “lead” is especially catchy:
“It looks like dried bugs, smells like paint, tastes kind of bitter and turns slimy when you mix it with water. Home cooks are befuddled by it, chefs have no interest in it. But make no mistake, if you’re not already eating flax, you will be soon.”
For more on plant and fish oil omega-3 ingredients, read NBJ’s recent Nutritional Raw Materials & Ingredient Supply Issue.
On December 29th, a professional soccer player died on the field of heart failure, as reported by ESPNsoccernet.
This may bring added attention to the high levels of stimulants in energy drinks and some dietary supplements in the United States as the Beijing Olympics grow near.
This should be concerning to U.S. nutritional ingredient manufacturers and suppliers keeping an eye on developing trends in the energy market. NBJ subscribers will recall NBJ’s September Sports Nutrition & Weight Loss issue contained commentary and analysis on the energy market.
Specifically, NBJ research indicates that energy drink and caffeine consumption…or rather over-consumption…may become a consumer health issue in 2008. A few publicized events like this may push the energy & caffeine consumption issue over the threshold in the consumer press.
The growth of Starbuck’s and certain energy drinks, including Red Bull and Hansen’s Energy, has been incredible, but reminiscent of other fast growing products that flew high, and fell hard.
Something to think about in the new year.
-Patrick
It sure would be tough to be the marketer of a weight loss brand over the holidays…knowing that your prime business season sits just around the corner…January 1st.
The New York Times recently reported that Kellogg’s Special K and Weight Watchers will be advertising their products on billboards in Times Square this New Year’s Eve.
Nike and Coca-Cola are getting into the act too.
But that’s not it. Some brands are also launching MySpace pages and looking to digital media to educate consumers about their weight management plans…and the history of dieting. Interesting stuff coming from the big brands these days.
Myself, I enjoyed a few too many Christmas cookies, but worked them off in the Breckenridge, Colorado the week before New Year’s….snowboarding and cross country skiing. Wouldn’t Marion Nestle recommend balance in our diet and our lilves?
-Patrick
