Chocolate Industry Advancing on Sustainability
The chocolate industry has realized that sustainability makes both ethical and business sense, and is investing heavily in new approaches to improve in this area, according to data and analytics provider GlobalData.
The global chocolate industry is worth $92 billion (USD) and is forecast to grow at a compound annual growth rate of 3.97 percent between 2016 and 2021. However, the prospect of sustained growth for such a large industry has led to concerns over whether production can match demand in a sustainable manner.
Ryan Choi, Consumer Analyst at GlobalData, notes: “Confectionery giant Mondelez has recently begun to implement more sustainable practices within its cocoa supply chain in Ghana. Meanwhile, 41 players from the Swiss cocoa industry – including Nestlé and Lindt & Sprüngli – have pledged to source at least 80 percent of their cocoa-containing products from sustainable sources by 2025.”
Companies have also been searching for alternative sources of cocoa, in case there was ever a shortage of cocoa beans. Alternative ingredients – such as jack fruit seeds, which give off a similar aroma to chocolate once fermented and roasted – are being considered.
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Choi comments: “The success of these alternatives will be based on how well they are able to recreate the taste of chocolate and how well it is received by the public, as the inability to recreate the original flavour can often be the downfall for products using alternative ingredients.”
Many confectionery companies had already implemented fair trade or sustainability initiatives in the last decade. For example, Cadbury’s started working with the Fairtrade Foundation in 2009 to support cocoa farmers and increase crop yields. It didn’t take long for confectioners to realize the benefits of pooling resources when socially responsible policies could improve crop yield and the quality of cocoa.
Choi concludes: “As a result confectionery companies are now looking to invest even more resources into this area, and some have set challenging pledges, with Mars looking to be 100 percent sustainable by 2020.”
Hammond’s Brands to Close Old Dominion Peanut Company Plant
Old Dominion Peanut Company is closing its manufacturing facility in Norfolk, Virginia. As a result of a six-month analysis of the company’s current operations and future needs of its customers, the decision comes in the wake of the neighborhood in transition from manufacturing and warehousing, to retail and upscale residential apartments, higher operating costs, and the lack of efficiencies operating out of multiple buildings.
“Business decisions that directly impact our employees are extremely difficult,” said Andrew Schuman, President and Chief Executive Officer of Hammond’s Brands. “Old Dominion has operated in Norfolk for over 100 years, and we have employees that have been with us for nearly 40 years. The plant closure does not reflect the end of the Old Dominion Peanut Company; rather it marks the beginning of the next chapter of our business operations for long-term health.”
The closing is expected to be completed by early summer of this year. Hammond’s Brands, owner of Old Dominion Peanut Company will relocate part of the ODP operations to its headquarters in Denver, Colorado, and transfer some of the production of its products to a third party under a long-term co-manufacturing agreement.
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The Norfolk facility currently employs approximately 70 wage and salaried employees and produces products such as peanut brittles, nut candies, and chocolate covered nuts. Recognizing that the ODP facility has been a significant part of the local economy in Norfolk, Hammond’s is enlisting the aid of the Virginia Employment Commission and communities to allow workers the maximum access to public services and ensure a seamless transition for its employees.
Schuman added, “I am overwhelmingly appreciative of the contributions each of our employees have made to our company, and am sorry we have not been able to find a solution that would allow us to continue operations in Norfolk. Norfolk remains a wonderful place to do business and we have greatly respected the many services over the years provided by the city. We wish nothing but the best for the Norfolk and Hampton Roads communities.”
Genesee Candy Land Adds Bacon Chocolate Chunk Cookie to Popular Lineup
Genesee Candy Land, an experienced wholesale manufacturer of specialty snacks, today announced the addition of a fourth cookie to its popular line of decadent jumbo cookies. The new cookie is a chocolate chip cookie with Applewood- smoked bacon bits mixed into the dough.
Starting with locally-sourced chocolate chip cookie dough with bacon bits mixed in, the cookie is then dipped in dark chocolate to coat the back of the cookie. The result is a savory yet decadent treat. In honor of the upcoming National Bacon Day on December 30, 2017, the new cookie is now available at convenience store retailers and online.
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