Volume 34 Scan this code for breaking news and the latest markets! A May 30, 2014 Social media, customization are Millennial marketing keys By Emily King INSIDE ✦ Guest column: ‘Tribute to a friend and colleague … Carol Christison.’ For details, see page 4. ✦ World Food Championships to feature cheese as key category ingredient. For details, see page 5. ✦ USDA updates safeguard trigger levels for imports. For details, see page 18. ✦ Exclusive: CMN’s annual ‘Key Players.’ For details, see pages 21-68. Number 19 MADISON, Wis. — Marketers have long utilized generational segmentation to target specific customers. The maturation of mega-generations, the Millennials (born between 1982 and 2001) and the Baby Boomers (born between 1946 and 1964), has the potential to usher in a new, chaotic marketplace, according to the report, “Trouble in Aisle 5,” by Jeffries Alix Partners. By the year 2020, Millennials over the age of 25 will account for approximately 20 percent of the population, compared to 5 percent presently. The entirety of the Baby Boomers will fall to account Our Exclusive Annual Profile of Who’s Who in the Cheese Business By the staff of Cheese Market News Cheese Market News’ “2014 Key Players,” our exclusive profile on who’s who in the North American cheese business, takes an inside look at what 52 cheese companies have accomplished in the past year and their plans for the months ahead. “Key Players” is not a ranking of companies. While we provide production and sales data whenever possible, instead of focusing on how large a company is, each year this publication celebrates the successes of cheese companies large and small. All of the companies profiled are making important and distinct contributions to the growth of the dairy industry as a whole, whether that means crafting an award-winning cheese, generating new packaging and product styles, or developing or increasing product lines that cater to growing international demand as the United States set a new cheese export record in 2013. While each profile within “Key Players” provides insight into a specific company, in its entirety “Key Players” provides you with a snapshot of the industry in 2014. This year, you will find some common themes, including the growing emphasis on exports and more and more companies focusing on environmental sustainability. “Flavor” is a word that you will see many times throughout “Key Players” as companies respond to consumers’ increasing demand for high-end products with a flavor punch. And, as in years past, you will learn about companies both expanding and consolidating operations as they watch their bottom lines and efficiently grow their businesses. To find out more about the profiled companies’ past year and where they are headed, please read on … Turn to KEY PLAYERS, page 21 D for less than 20 percent of the population in that same time period, the report says. Jeffries Alix Partners cites age 25 as a milestone — a time when income and household formation begin to accelerate and create the catalyst for increased consumption. Concurrently, Baby Boomers’ purchasing power will begin to dwindle. “The Millennial generation is the most culinary aware generation in history, so it makes sense that any food company makes sure their products, messages and marketing align with their wants and needs,” says Jennifer Giambroni, director of communications, California Milk Advisory Board. “For the cheese industry, this means being where they spend their time, whether online gaming or on social media, and also making products that support their desire for healthy eating.” U.S. Millennials already account for $1.3 trillion in direct annual spending, of which $430 billion is non-essential spending, according to “The Reciprocity Principle: How Millennials Are Changing the Face of Marketing Forever,” by the Boston Consulting Group (BCG). A Mintel survey shows that says Eric Godlove, marketing 55 percent of Millennials are specialist, Yancey’s Fancy. willing to spend more money “With all of the information in grocery stores for the high- instantly available to them, est quality ingredients, and they can be more jaded.” Delineating the Millennials retailers have been responding. For example, the Nielsen is not without its challenges Perishables Group, a fresh as even their moniker fluctufood consulting company, found ates from Generation Y, to the that the number of deli cheese technology generation, to the flavors increased 57 percent be- first multicultural generation. tween 2005 and 2010. The most And — as Jeffries Alix Partfrequent purchasers of specialty ners indicates — they’re just cheeses are under 34 years old. different. “Wisconsin Milk MarketAccording to “Trouble in ing Board (WMMB) recently Aisle 5,” U.S. Millennials are the conducted new awareness and most culturally diverse group in perception research among history, with approximately 35 Wisconsin residents, targeting percent representing minority Millennials who will be key groups. This generation also future decision makers, with was born into a rapidly changthe hopes to encourage and ing world where information is engage our dairy messages available almost instantaneousand content to develop a con- ly. Technology has accelerated nection and understanding of the marketplace. Millennials the Wisconsin dairy industry,” want what they want — when says Heather Porter Engwall, and where they want it. director of national product “The Millennials are excommunications at WMMB. tremely comfortable with Taking into account the technology and tend to own and burgeoning presence of the use multiple devices to connect Millennials, it is imperative for with peers and brands,” Porter the cheese industry to modify Engwall says. “They are also existing marketing plans to suit highly engaged with the conthis younger generation. tent they choose to view and “This generation needs to tend to have more long-term be addressed with a certain support for brands with active amount of respect and honesty,” Turn to MILLENNIAL, page 16 D Industry voices concerns over market access, GIs WASHINGTON — Trade ministers from the United States and 11 other countries last week completed a series of meetings to discuss the ongoing negotiations of the Trans-Pacific Partnership (TPP). “In a series of positive meetings we cemented our shared views on what is needed to bring negotiations to a close,” the ministers say in a joint statement released May 20 following the two-day ministerial meeting held in Singapore. “We focused in particular on making meaningful progress on market access and also advanced outstanding rules issues in an effort to narrow our remaining differences.” Dairy and other industry groups, however, fear that significant differences still remain before TPP can become a truly comprehensive agreement that will benefit U.S. agriculture. According to several reports, Japan’s Minister of the Economy Akira Amari Turn to MARKET, page 19 D Bill would allow more flexibility for school meals WASHINGTON — The House Appropriations Committee on Thursday passed on a vote of 31-18 a fiscal year 2015 agriculture appropriations bill that includes language allowing schools under economic hardship to seek a temporary waiver from compliance with USDA’s new school meal regulations during the upcoming school year. Turn to SCHOOL, page 20 D Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 2 CHEESE MARKET NEWS® — May 30, 2014 MARKET INDICATORS Chicago Mercantile Exchange CHEESE FUTURES* for the week ending May 29, 2014 Cash prices for the week ended May 30, 2014 (Listings for each day by month, settling price and open interest) Monday May 26 Cheese Barrels Price Change Cheese 40-lb. block Price Change Markets Closed Tuesday May 27 Wednesday May 28 Thursday May 29 Friday May 30 $2.0325 +1 1/4 $1.9450 -8 3/4 $1.9200 -2 1/2 $1.9325 +1 1/4 $2.0000 -2 $2.0200 NC $1.9600 -4 $1.9600 NC Weekly average (May 27-30): Barrels: $1.9575(-.0265); 40-lb. Blocks: $1.9850(-.0030). Weekly ave. one year ago (May 28-31, 2013): Barrels: $1.7113; 40-lb. Blocks: $1.7450. Grade A NDM Price Change $1.7975 +1/2 Markets Closed $1.8325 +1 $1.8225 +2 1/2 $1.8450 +1 1/4 $2.2950 NC $2.2950 +4 1/2 $2.2500 +7 Markets Closed 2.172 2.008 1.990 1.970 1.982 1.970 1.923 1.870 1.840 1.825 1.840 1.832 1.830 1.830 1.830 1.830 1,696 1,790 1,471 1,331 1,239 1,224 1,282 1,320 224 180 159 150 138 181 89 79 $2.3000 +1/2 Weekly average (May 27-30): Grade AA: $2.2850(+.1180). Class II Cream (Major Northeast Cities): $2.7087(-.0362)–$2.9254(-.0616). Total Contracts Traded/ Open Interest 77/12,658 Weekly Cold Storage Holdings Butter Cheese 22,229 87,700 +707 +44 May 26, 2014 Change since May 1 Pounds Percent +957 +1,597 +4 +2 Last Year Pounds Change 17,756 112,424 +4,473 -24,724 (These data, which include government stocks and are reported in thousands of pounds, are based on reports from a limited sample of cold storage centers across the country. This chart is designed to help the dairy industry see the trends in cold storage between the release of the National Agricultural Statistics Service’s monthly cold storage reports.) MAY14 JUN14 JUL14 AUG14 SEP14 OCT14 NOV14 DEC14 JAN15 FEB15 MAR15 APR15 MAY15 67.65 66.50 62.88 61.75 59.78 59.00 58.25 56.28 55.00 53.48 52.50 52.00 52.00 435 477 369 340 264 191 174 234 82 29 49 34 31 19.32 10.78 14.50 13.48 17.05 18.14 21.15 17.03 9.31 14.28 17.00 16.06 17.25 23.35 18.00 10.44 12.78 19.40 15.72 16.93 23.33 16.76 10.78 12.92 16.87 15.72 17.59 24.31 18.18 9.84 13.38 16.52 15.23 18.52 20.25 9.97 13.62 19.11 15.63 18.02 18.24 9.97 13.74 21.39 16.68 17.38 Mon., May 26 Markets Closed 17.32 11.20 15.18 21.67 17.73 17.91 16.28 12.11 16.26 19.07 19.00 18.14 17.06 12.82 16.94 18.03 21.02 18.22 15.51 14.08 15.44 19.07 20.83 18.83 15.28 14.98 13.83 18.77 18.66 18.95 SUBSCRIPTION INFORMATION Susan Quarne, Publisher (PH 608/831-6002; FAX 608/831-1004) e-mail: squarne@cheesemarketnews.com Kate Sander, Editorial Director (PH 509/962-4026; FAX 509/962-4027) e-mail: ksander@cheesemarketnews.com Alyssa Mitchell, Senior Editor (PH 608/288-9090; FAX 608/288-9093) e-mail: amitchell@cheesemarketnews.com Rena Archwamety, News/Web Editor (PH 608/288-9090; FAX 608/288-9093) e-mail: rena@cheesemarketnews.com Emily King, Assistant Editor (PH 608/288-9090; FAX 608/288-9093) e-mail: eking@cheesemarketnews.com Cheese Market News®, Publication #0598-030, (ISSN 08911509), is published weekly by Quarne Publishing LLC, 4692 Signature Drive, Middleton, WI 53562; Phone 608/831-6002; FAX 608/831-1004. Periodicals postage paid at Madison, WI. Circulation records are maintained by Quarne Publishing LLC, 4692 Signature Drive, Middleton, WI 53562. POSTMASTER: SUBSCRIPTIONS & BUSINESS STAFF Subscription/advertising rates available upon request Contact: Susan Quarne - Publisher P.O. Box 628254, Middleton, WI 53562 0(/.%s&!8 2.171 1.974 1.951 1.968 1.985 1.978 1.929 1.886 1.840 1.825 1.840 1.830 1.830 1.830 1.835 1.830 1,689 1,777 1,499 1,471 1,264 1,247 1,307 1,345 250 203 182 165 150 186 89 79 124/13,008 442/13,000 Tues., May 27 67.65 66.50 62.88 61.75 59.78 59.00 58.25 56.28 55.00 53.48 52.50 52.00 52.00 435 475 369 340 264 191 174 234 82 29 49 34 31 Wed., May 28 66.95 65.50 62.00 59.50 59.68 58.95 57.55 56.05 55.00 53.48 52.50 52.00 52.00 4/2,809 Send address changes to Cheese Market News®, Subscriber Services, P. O. Box 628254, Middleton, WI 53562; Form 3579 requested; or call direct at 608/831-6002. All rights reserved under the United States International and PanAmerican Copyright Conventions. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, mechanical, photocopying, electronic recording or otherwise, without the prior written permission of Quarne Publishing LLC. Opinions expressed in articles are those of the authors and do not necessarily UHÁHFWWKRVHRI4XDUQH3XEOLVKLQJ//&GED&KHHVH0DUNHW News®. Cheese Market News® does not endorse the products of any advertiser and does not assume and hereby disclaims any liability to any person for any loss or damage caused by errors or omissions in the material contained herein, regardless of whether such errors result from negligence, accident or any other cause whatsoever. Copyright 2014 by Quarne Publishing LLC. Subscriptions: $135 for U.S., second-class delivery; $190 IRU86ÀUVWFODVVGHOLYHU\LQFOXGLQJ&DQDGDDQG,QWHUnational rate to all others. Printed in U.S.A. WEBSITE: www.cheesemarketnews.com Thurs., May 29 435 476 375 353 264 191 176 241 82 29 49 34 31 66.95 65.25 62.00 59.25 58.25 58.75 57.55 56.50 54.95 54.45 52.50 52.00 52.00 60/2,850 Dry Products* STAFF John Umhoefer, FCStone, International Dairy Foods Association, National Milk Producers Federation, U.S. Dairy Export Council, Eric Meyer, Rice Dairy Thurs., May 29 1,689 1,788 1,511 1,471 1,247 1,235 1,307 1,343 250 203 182 165 150 186 89 79 2.171 2.008 1.980 1.968 1.986 1.962 1.930 1.886 1.840 1.825 1.840 1.830 1.830 1.830 1.830 1.830 435 469 382 347 263 193 179 252 84 31 49 34 31 115/2,863 Daily market prices are available by visiting CME’s online statistics sites at http://www.cmegroup.com. *Total Contracts Traded/Open Interest reflect additional months not included in this chart. May 30, 2014 NONFAT DRY MILK Central & East: low/medium heat $1.7500(+1)-$1.9425(-4 1/4); mostly $1.7500(+1)-$1.8650(-5 1/4). high heat $1.9300(-2)-$1.9925(-4 1/4). West: low/medium heat $1.7600-$1.9600(-4); mostly $1.7650-$1.8975(-4). high heat $1.9500(-4 3/4)-$2.0650(-2 1/2). Calif. manufacturing plants: extra grade/grade A weighted ave. $1.7723(-.0561) based on 23,754,750 lbs. Sales to CCC: 0 lbs. WHOLE MILK POWDER (National): REGULAR CONTRIBUTORS Wed., May 28 97/12,722 Total Contracts Traded/ Open Interest 3/2,811 CLASS III PRICE (Dollars per hundredweight, 3.5% butterfat test) YEAR JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2008 2009 2010 2011 2012 2013 2014 1,694 1,796 1,470 1,344 1,247 1,226 1,290 1,333 224 180 159 160 145 181 89 79 2.172 2.083 2.055 2.020 2.020 1.975 1.940 1.888 1.840 1.825 1.840 1.830 1.830 1.830 1.830 1.830 DRY WHEY FUTURES* for the week ended May 29, 2014 Fri., May 23 Week Change Markets Closed Tues., May 27 (Listings for each day by month, settling price and open interest) Sign up for our daily fax or e-mail service for just $104 a year. Call us at 608-288-9090. On hand Monday Mon., May 26 Daily market prices are available by visiting CME’s online statistics sites at http://www.cmegroup.com. *Total Contracts Traded/Open Interest reflect additional months not included in this chart. Weekly average (May 27-30): Grade A: $1.8244(+.0329). Grade AA Butter Price Change Fri., May 23 MAY14 JUN14 JUL14 AUG14 SEP14 OCT14 NOV14 DEC14 JAN15 FEB15 MAR15 APR15 MAY15 JUN15 JUL15 AUG15 $2.0500-$2.1000. EDIBLE LACTOSE (FOB)Central and West: $.4300-$.6875; mostly $.5400-$.6325. DRY WHEY Central: West: (FOB) Northeast: nonhygroscopic $.6425-$.7400(-1); mostly $.6450(-1/2)-$.6850(+1/4). nonhygroscopic $.5950(-1)-$.7325(+1 1/4); mostly $.6250(-1/2)-$.6950. extra grade/grade A $.6975(+1/2)-$.7575(+1 1/2). ANIMAL FEED (Central): Whey spray milk replacer $.5200(+3 1/4)-$.6475. WHEY PROTEIN CONCENTRATE (34 percent): $1.5200(-3)-$1.8900(-2); mostly $1.6600-$1.8100(-1). DRY BUTTERMILK (FOB)Central & East: $1.8000-$1.8975(-1 3/4). (FOB) West: $1.7500-$1.9675; mostly $1.8200-$1.9050(-3/4). CASEIN: Rennet $4.7500-$5.2000; Acid $4.9000(-10)-$5.4000. *Source: USDA’s Dairy Market News DISCLAIMER: Cheese Market News® has made every effort to provide accurate current as well as historical market information. However, we do not guarantee the accuracy of these data and do not assume liability for errors or omissions. Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® MARKET INDICATORS NEWS/BUSINESS National Dairy Products Sales Report For the week ended: Cheese 40-lb. Blocks: Average price1 Sales volume2 Cheese 500-lb. Barrels: Average price1 Adj. price to 38% moisture Sales volume2 Moisture content Butter: Average price1 Sales volume2 Nonfat Dry Milk: Average price1 Sales volume2 Dry Whey: Average price1 Sales volume2 5/24/14 5/17/14 5/10/14 5/3/14 $2.1128 *$2.1603 13,015,421 *13,196,519 $2.2125 12,368,048 $2.2460 11,318,467 $2.1978 $2.0959 8,604,343 34.99 $2.2730 $2.1651 10,115,480 34.91 $2.3326 $2.2299 9,178,463 35.14 $2.3554 $2.2556 10,329,392 35.26 $2.1192 5,440,889 *$2.0580 *3,537,062 *$1.9897 4,410,235 $1.9042 3,856,954 $1.8143 *$1.8554 36,265,429 *29,360,118 $1.8983 29,032,948 *$1.9473 *28,150,286 $0.6721 9,424,719 $0.6751 *8,212,183 $0.6808 8,224,028 *$0.6724 *8,907,590 * /Revised. 1/Prices weighted by volumes reported. 2/Sales as reported by participating manufacturers. Reported in pounds. More information is available by calling AMS at 202-720-4392. CME FUTURES for the week ended May 29, 2014 Class III Milk* Fri., May 23 MAY14 JUN14 JUL14 AUG14 SEP14 OCT14 NOV14 DEC14 JAN15 FEB15 MAR15 APR15 MAY15 JUN15 JUL15 22.58 21.06 20.58 20.23 20.31 19.99 19.49 18.94 18.47 18.23 18.15 18.14 18.13 18.06 18.07 4,769 4,761 3,573 2,955 2,624 2,127 1,991 1,822 828 641 578 283 247 228 100 Mon., May 26 Tues., May 27 22.57 21.78 21.32 20.76 20.70 20.25 19.65 19.10 18.49 18.25 18.18 18.15 18.15 18.10 18.07 Markets Closed Total Contracts Traded/ Open Interest 990/27,977 4,744 4,818 3,551 2,957 1,651 2,180 2,000 1,894 829 649 589 291 280 231 101 1,864/28,222 Wed., May 28 22.57 21.03 20.57 20.12 20.34 20.00 19.58 19.00 18.47 18.21 18.18 18.15 18.15 18.15 18.07 4,746 4,711 3,610 3,135 2,659 2,192 2,013 1,901 826 661 583 302 290 233 101 1,721/28,420 Thurs., May 29 22.53 20.58 20.24 20.15 20.28 20.04 19.50 19.00 18.49 18.21 18.18 18.15 18.15 18.15 18.07 4,724 4,691 3,681 3,139 2,684 2,207 2,017 1,921 826 662 586 303 315 241 101 1,242/28,555 Class IV Milk* Fri., May 23 MAY14 JUN14 JUL14 AUG14 SEP14 OCT14 NOV14 DEC14 JAN15 FEB15 MAR15 22.65 22.55 22.32 22.04 21.75 21.50 21.17 20.65 19.79 19.25 19.15 1,678 1,507 1,169 1,097 980 837 800 726 126 78 77 Mon., May 26 Markets Closed Total Contracts Traded/ Open Interest 134/9,102 Tues., May 27 1,678 1,526 1,193 1,134 1,002 855 816 758 163 111 109 22.65 22.60 22.50 22.27 22.10 21.70 21.40 20.85 20.03 19.40 19.15 3 Wed., May 28 1,670 1,536 1,194 1,151 1,008 869 819 762 167 114 112 22.75 22.60 22.49 22.23 22.09 21.70 21.35 20.81 20.03 19.40 19.15 496/9,393 112/9,450 Thurs., May 29 22.70 22.55 22.30 22.09 21.94 21.55 21.19 20.59 19.97 19.40 19.15 1,660 1,567 1,211 1,161 1,018 879 829 782 167 114 112 FDA extends comment period 60 days for proposed food sanitary transportation rule WASHINGTON — FDA recently announced it is extending the comment period for the proposed rule on the sanitary transportation of human and animal food, required by the FDA Food Safety Modernization Act (FSMA). With a 60-day extension, the new comment period will end July 30, 2014. The rule will regulate the transportation of human and animal food products to protect them from foodsafety hazards during transport. The International Dairy Foods Association (IDFA) says it believes most dairy operations already are practicing what is required by the proposed rule, but they may need to address recordkeeping requirements. FDA has proposed a waiver for transportation activities that are performed under the authority of a National Conference of Interstate Milk Shipments permit. Some ambiguity exists, however, about whether the waiver would apply to outbound Grade A product shipments and whether the inclusion of non-Grade A products, such as orange juice, on the same outbound shipments would defeat the waiver, IDFA notes. “IDFA is hopeful that common sense will prevail and the waiver will be applied in the fullest sense,” says Clay Detlefsen, IDFA vice president of regulatory affairs. In addition, IDFA believes that outbound shipments of finished ice cream products should not be within the scope of the rule. Even if those products are subjected to temperature abuse, they will not become adulterated; instead they will become products that can’t be sold because melting and refreezing alters product quality, the organization says. “The proposed rule will establish requirements for vehicles and transportation equipment, transportation operations, information exchange, training, records and waivers,” Detlefsen says. “It is intended to eliminate food safety risks, like improper refrigeration of food, inadequate cleaning of vehicles between loads and failure to properly protect food during transportation.” IDFA says it will submit comments on this rule. FDA also recently announced that is extending the comment period on its proposed rule to revise the Nutrition and Supplemental Facts labels. In the March 3 Federal Register, FDA published a proposed rule titled “Food Labeling: Revision of the Nutrition and Supplemental Facts Labels” with a 90-day comment period to request comments on amending its regulations for conventional foods and dietary supplements to provide updated nutrition information on the label to assist consumers in maintaining healthy dietary practices. (See “FDA unveils proposal to update Nutrition Facts label on foods” in the Feb. 28, 2014, issue of Cheese Market News.) The deadline for comments now is Aug. 1. Comments may be submitted online at www.regulations.gov. CMN 161/9,580 Cash-Settled NDM* Fri., May 23 MAY14 JUN14 JUL14 AUG14 SEP14 OCT14 NOV14 DEC14 JAN15 187.65 180.25 180.03 181.00 181.00 179.00 177.08 174.13 168.78 747 621 486 399 421 356 338 306 41 Mon., May 26 Markets Closed Tues., May 27 187.75 180.75 180.00 181.08 181.30 179.50 178.00 175.50 169.25 Total Contracts Traded/ Open Interest 79/3,740 744 623 493 409 414 359 345 308 54 Wed., May 28 188.00 180.75 181.00 181.40 182.00 180.20 178.00 175.00 169.00 741 631 502 420 420 364 343 312 59 121/3,826 121/3,774 Thurs., May 29 186.75 179.75 179.75 180.80 180.48 178.75 176.80 173.50 169.00 741 653 496 416 414 365 349 329 59 150/3,870 Cash-Settled Butter* Fri., May 23 MAY14 JUN14 JUL14 AUG14 SEP14 OCT14 NOV14 DEC14 JAN15 FEB15 204.90 216.50 210.00 201.63 199.75 194.00 191.75 189.00 178.75 179.75 1,069 1,110 925 859 765 570 536 351 23 29 Total Contracts Traded/ Open Interest 150/6,296 Mon., May 26 Markets Closed Tues., May 27 205.50 219.98 215.00 206.63 204.75 199.00 194.75 191.00 181.00 180.20 1,068 1,117 910 852 768 586 547 358 27 29 153/6,321 Wed., May 28 Thurs., May 29 1,065 1,120 908 861 775 588 563 358 30 29 205.25 1,063 219.98 1,136 210.00 912 205.40 861 201.25 778 195.50 592 192.50 576 187.30 360 30 180.50 30 177.00 121/6,356 105/6,410 205.25 219.75 212.00 206.98 203.25 196.50 193.00 188.25 180.50 180.20 Daily market prices are available by visiting CME’s online statistics sites at http://www.cmegroup.com. *Total Contracts Traded/Open Interest reflect additional months not included in this chart. For more information please visit www.nelsonjameson.com DISCLAIMER: Cheese Market News® has made every effort to provide accurate current as well as historical market information. However, we do not guarantee the accuracy of these data and do not assume liability for errors or omissions. Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 4 CHEESE MARKET NEWS® — May 30, 2014 GUEST COLUMNIST CMN Exclusive! Perspective: In Memoriam Andrea Neu is a past president and director of IDDBA and previously served as vice president of marketing services for the Wisconsin Milk Marketing Board. She is the owner of Image Maker and continues to work as a marketing/brand strategy consultant. Neu contributes this column exclusively for Cheese Market News®. Tribute to a colleague and friend … Carol Christison The International Dairy-Deli-Bakery Association’s (IDDBA) 50-year anniversary of its Seminar & Expo will not be the celebration it might have been without the association’s incredible leader, Carol Christison, who passed away March 4 after a brave and determined fight with cancer. But fortunately Carol did receive accolades and highly earned recognition for her 30-year anniversary as executive director of the association from present and past board members and staff during last year’s expo, and we are thankful for that celebration. Carol’s life, aside from her deep dedication to family and friends, was totally devoted to the continuous growth and services of IDDBA to heighten the business successes of the dairy, deli and bakery segments of the food industry. When she was selected to take the reins of the International Cheese & Deli Association (ICDA) in December 1982, from Bill Reese and the Wiscon- sin Department of Agriculture, Carol brought an extensive background in managing nonprofit organizations, but her experience with this segment of the food industry was limited. However, in an amazingly short period of time, because she was a stellar business professional and an insatiable reader and scholar, Carol quickly understood and embraced this dynamic U.S. food business and the association’s purpose. 1983 is when I had the privilege of connecting with Carol, as an ICDA member representing the Wisconsin Milk Marketing Board. From the beginning it was obvious she was a strategic thinker as well as a savvy marketer, educator and determined leader. The organization thrived, beginning with Carol and a part-time bookkeeper, and gradually growing to a current staff of 30 effective and committed team members, hired, guided and mentored by Carol to achieve the mission of IDDBA. In 1982 the corporate membership, primarily dairy/cheese related, was not quite 100. Today it is more than 1,500 members, and the annual Seminar & Expo has grown from less than 1,000 attendees to nearly 9,000. And as always, staff will expect to break another record this year for both attendees and exhibitors. With the ongoing support of the board of directors, Carol changed the organization’s structure, programs and services to meet the dynamic needs of our industry. She continually found new opportunities to be financially sound and self-sufficient, managing the IDDBA budgets and finances as frugally and sensibly as she managed her personal finances. To diversify IDDBA’s revenue sources she created a portfolio of educational programs, training materials and on-trend topics presented initially by distinguished speakers at the annual expo seminars. This led to the What’s In Store annual publication driven by Carol’s research for her popular Marketplace Trends presentation each year. Board members and show attendees recognized her as a “visionary and disciplined strategic thinker” combined with her compelling sense of humor and creative marketing approaches. Carol’s constant search for market intelligence and her recognition of the dairy, deli and bakery industries need for primary market research provided the foundation for several research seminars at every annual expo, as well as the database for IDDBA’s research publications offered as educational products in the portfolio of member services. As the expo trade show floor grew each year, the exhibitor’s booths were organized around the unique Show & Sell center … an extension of Carol’s vision and ongoing goal to bring education and training onto the expo floor for show attendees. The center also In Loving Memory of Carol L. Christison Carol leaves a lasting legacy of leadership, friendship, creativity, wit, humor and wisdom. Carol’s exceptional professionalism, service and support of the IDDBA will be forever appreciated and cherished. “A life that touches others goes on forever.” provided an additional opportunity for exhibitors to showcase their new dairy, deli and bakery products that were displayed and creatively merchandised by talented retail and supplier members as they competed within the Show & Sell area for recognition as innovative and outstanding merchandisers. This educational center also provided another source of revenue for the association and hands-on educational tools for the membership beyond the Seminar & Expo. “I am not sure how one could begin to measure the value of Carol Christison’s many contributions to the dairy, deli and bakery industries... ” Andrea Neu IMAGE MAKER Carol’s strategies led the International Dairy-Deli Association to become IDDBA in 1991, resulting in exponential growth as Carol and staff also focused on fulfilling the needs of the bakery industry, recognizing that most retailbuyer-members were managing and responsible for both the deli and bakery departments within the changing supermarket segments. Carol leveraged this situation as a new opportunity for additional products and services as well as the association’s membership growth and reputation. Carol was a role model and mentor for both staff and many members, and a friend to board members … especially present and past board presidents because of the length of the board terms to serve on the Executive Committee. Her gratitude for their board service and her creative, personalized “induction ceremonies” for incoming and outgoing presidents will always be memorable! I am not sure how one could begin to measure the value of Carol Christison’s many contributions to the dairy, deli and bakery industries, or for those people she has touched and benefitted through her work, dedication and love for this industry, but surely this is the time and an opportunity to express our appreciation for her devotion to IDDBA. Thank you Carol for being a friend to many, an inspiration to people who worked with you, and for the legacy you have created for those who will follow you through this food industry in the future. We all are proud to have been associated with you and will miss you. CMN The views expressed by CMN’s guest columnists are their own opinions and do not necessarily reflect those of Cheese Market News®. Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 5 NEWS/BUSINESS World Food Championships in Vegas to feature cheese as key ingredient in recipe category By Alyssa Mitchell LAS VEGAS, Nev. — The third annual “World Food Championships: The Ultimate Food Fight” will be held Nov. 12-18, 2014, in Las Vegas, with a “World Recipe Championship” category featuring cheese as the key ingredient this year. The World Food Championships (WFC) is a yearlong, worldwide search for the best team, cook or chefs in competition food sport that culminates in a multi-day high-stakes “food fight” to name the ultimate World Food Champion and award hundreds of thousands of dollars in cash and prizes, says Larry Oliphant, senior vice president of strategic partnerships, WFC. “Food is America’s true obsession. Online and local recipe competitions give home cooks a venue for showing off their best stuff and competing with their own culinary creations,” Oliphant says. The World Food Championships will select 50 winners from branded competitions, online recipe contests and live cookoffs to receive automatic invitations to enter and compete at WFC Nov. 12-18 in downtown Las Vegas. To keep competitors, judges and volunteers close to the action, WFC has developed partnerships and special hotel packages with the D Las Vegas Casino Hotel and Golden Nugget Las Vegas. “Las Vegas is an excellent location to host the World Food Championships,” says Mike McCloud, president, WFC. “We have found the opportunities available, specifically in downtown Las Vegas, to be beneficial in helping us build our event into the multi-day culinary festival and spectacle it has become.” The field for the 2014 World Food Championships has been expanded to nine categories with 550 competitor spots. Returning categories include: Barbecue, Chili, Sandwich, Burger, Dessert, Bacon and Recipe, while Pasta and Seafood have been added as the two new categories. There is a “tournament-style” cookoff process for all WFC category competitions. The competition structure will be split into multiple rounds, including an opening “Challenger” round and a Category Finals round, after which each category champion will advance to the Final Table for the WFC Champion to be named Nov. 18. As in years past, the Recipe category has a specific ingredient, with this year’s theme of cheese. Competitors in the World Recipe Championship, held Nov. 13-15, will be creating dishes that focus on cheese, and the champion will earn their right to fight for the grand prize and the coveted title of World Food Champion at the Final Table, Oliphant says. “We decided cheese is too big to simply be the ‘window dressing’ for other categories,” he says. He notes that in the first round, competitors will make their own signature dish with cheese. In Round 2, contestants will all be given the same recipe with which to craft their own interpretation. The top 10 finalists will go on to a final round and will be given an additional ingredient to use. Registration for competitors ends on Oct. 20 with an entry fee of $200. Potential competitors must qualify to compete in Las Vegas. In addition, WFC will run seven Food Champ Challenges online recipe contests on Kenmore’s cookmore.com this summer to qualify five competitors with free entry to WFC. A grand prize winner for each contest also will get $500 and a free trip ($1000 travel stipend) to Las Vegas. The Cheese-themed Challenge begins July 31. The competition panel also is seeking judges for various categories including the Recipe competition at WFC and currently is accepting applications. According to Jeff Morris, communication/media director, WFC, World Food Championships is judged on its own proprietary EAT Judging Method. “This method is specific enough to treat each entry with the respect it deserves, but broad enough that any food category/dish can be judged using the same method,” Morris says. EAT stands for Execution, Appearance and Taste, Morris notes. When evaluating with this method, judges look for: • Appearance — Does it look right? Does it look appetizing? Has it been presented in a visually appealing manner? • Taste — Does it taste right? Is there an appropriate balance of flavor and ingredient? Does the aroma match the taste? Is there an interesting or complex or appealing build of flavors? • Execution — Did it all come together? After reviewing the recipe, was the chef successful with their execution of the dish? Onsite training of WFC’s EAT method will occur for all chosen judges prior to each competition, Morris notes. For more information, visit www. worldfoodchampionships.com. CMN IDFA launches the NextGEN Dairy Network initiative for dairy industry professionals WASHINGTON — This week the International Dairy Foods Association (IDFA) launched the NextGEN Dairy Network, an initiative focused on helping up-and-coming dairy industry professionals build their careers. Through online forums, networking and targeted training sessions, the NextGEN Dairy Network will provide professionals who have less than 15 years of dairy experience with access to the information, tools and expertise necessary to be successful in the industry. “The NextGEN Dairy Network enables industry professionals at all levels to grow, collaborate, network, solve problems and develop the skills necessary to hold leadership positions in their companies, as well as in IDFA and its constituent organizations,” says Clay Hough, IDFA senior group vice president and general counsel. The NextGEN Dairy Network will encourage members to: • Network with industry peers who also are building their careers; • Gain a better understanding of hot topics and emerging issues; • Participate in online career development forums and have specific access to articles and interviews with IDFA and dairy industry leaders; • Learn how industry peers solve challenges and advance their careers; • Receive special invitations to and discounts for IDFA trainings and events that will help develop the skills and knowledge necessary for careerbuilding; • Participate in a range of special activities that will help participants build the skills necessary to prepare for leadership opportunities in their respective organizations; and • Connect in person at meetings sponsored by IDFA throughout the year. “Dairy is a unique and exciting industry. There’s a certain camaraderie that you do not find in other industries,” says David Ahlem, chief operating officer, Hilmar Cheese Co. and a board member of the National Cheese Institute who serves as an advisor to the NextGEN Dairy Network. “NextGEN Dairy takes advantage of this camaraderie to help grow our next generation of plant managers, marketing executives, R&D professionals and other individuals who continue to make our industry great,” he says. The network is open to all employees of IDFA member companies and business partners who have less than 15 years of experience in the dairy industry. There is no cost to join. For more information, visit www.idfa.org/next gen or contact IDFA’s Robin Cornelison at; rcornelison@idfa.org. CMN RMC Superior Cooling, Shape, Production, and Flexibility With the highest production volume in the world, the RMC (Rotary Molder Chiller) forms and cools large volumes of mozzarella, provolone, and pizza cheese in various shapes based on your requirements. Available in multiple sizes with quickly interchangeable molds to accommodate your production demands. FOR MORE INFORMATION, VISIT US ON THE WEB AT www.johnsonindint.com For more information please visit www.johnsonindint.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 6 CHEESE MARKET NEWS® — May 30, 2014 GUEST COLUMNIST Perspective: Dairy Marketing As director of communications for the California Milk Advisory Board, Jennifer Giambroni oversees consumer, trade and industry outreach to build awareness and demand for Real California Milk and dairy products. The many platforms for showing, selling and telling the dairy story includes everything from flavorful refrigerator dips to healthy spreads and innovative ways to enjoy our favorite food — cheese. And I’m sure you’ll see an appearance or two by our pal yogurt who keeps popping up in all sorts of new places. Much like the IDDBA Show & Sell Center, over the years CMAB’s IDDBA booth has put an increased emphasis Once again the International DairyDeli-Bake show is upon us and whether you’re a dairy processor, retailer or marketer like me, you’re likely excited about the new products and information that will be presented during the show. Like our partners and competitors, each year we put great care into putting together the very best that California has to offer. This year that not just on the selling but also the telling. We’ve created bigger platforms for our experts to offer ideas for pairing cheeses and other dairy foods to tap into trendy new flavor profiles or to showcase how a small amount of specialty cheese and other dairy ingredients can add big flavor (and profits) to service deli offerings. As retailers compete more and more with fast-casual restaurants, these ideas are appreciated by our partners. According to a recent report from Technomic, three areas of growth for the fast-casual category include bakery/café, sandwiches and pizza. These are all areas where retailers are and will continue to compete for customers with dairy leading the way. It’s no secret many consumers want it quick, convenient and portable but they are placing an increasing focus on quality ingredients, diverse options and unique flavors. That’s right in the wheelhouse for dairy foods and ingredients, which also bring a level of functionality that’s hard to replicate. Beyond offering a myriad of ideas for sampling and showcasing dairy products in the Real California Pairing Station and Pizza Kitchen, we will play host to a large group of marketing representatives and dairy buyers from the 11 Asian countries where we’re actively promoting California dairy, making the program truly international. The CMAB booth also will give attendees a sneak preview of our new online look and feel that will launch with the “Califarmia” website at the end of June. Like our booth and “Street of Dairy,” Califarmia is more than a destination for consumers and food professionals to access information about California dairy products. It captures the meaning and messages behind the Real California Milk and Cheese seals, the “Intel Inside” for dairy processors that source California milk. It’s about the farmers, the cows, the land and the food that comes from the “Land of Milk & Sunny.” Our partners who use the seals on their packages not only tap into this heritage and the history of innovation behind California dairy but the marketing programs and support that come from using 100 percent California milk. Although we saw a 75 percent increase in website traffic last year from the year prior, what really is going to matter moving forward is engagement. While our television and digital advertising campaigns work to drive awareness and affinity for the Real California Turn to GIAMBRONI, page 7 D ® Visit the CMAB Street of Dairy to meet the following Artisans: 9th Street Cheese, Inc., Booth 4847 Bellwether Farms, Booth 4944 Cacique, Booth 5042 California Dairies, Inc., Booth 4850 Challenge Dairy Products, Inc., Booth 4948 Crystal Creamery, Booth 4945 Dairy Farmers of America, Booth 4648 Di Stefano Cheese Co., Booth 4747 Fiscalini Cheese Co., Booth 4947 Joseph Farms, Booth 4849 Karoun Dairies, Booth 4742 Marin French Cheese Co., Booth 4646 Pacific Cheese Co., Booth 4649 Point Reyes Farmstead Cheese Co., Booth 4745 Rizo Lopez Foods, Booth 4844 Rumiano Cheese Co., Booth 4848 Santini Foods, Inc., Booth 4746 Sierra Nevada Cheese Co., Booth 4950 Smithway Foods, Booth 4647 Sweet Chills, Booth 4645 Valley Ford Cheese Co., Booth 4949 World Grocer, Booth 4748 For more information please visit www.realcaliforniamilk.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 7 NEWS/BUSINESS Australian dairy groups partner in successful trial to ship fresh fluid milk to China SOUTH LISMORE, Australia — Dairy Connect, Norco Cooperative Ltd. and Peloris Global Sourcing Pty Ltd. (PGS) have jointly confirmed a successful trial shipment of fresh fluid milk to China from Australian dairy farms. International export consulting company PGS, in collaboration with nonprofit dairy industry promotion and support organization Dairy Connect and farmer-owned dairy cooperative Norco, implemented a quarantine clearance agreement with China to bring the delivery time to seven days, well within the shelf life of pasteurized fluid milk from Australia. George Davey, chairman of Dairy Connect, says this commercially viable cold chain pipeline will open the door for millions of liters of fresh milk exports from Australia to China each year. To date, he says, export efforts had been hampered by lengthy testing and quarantine processes before shipment, and again upon arrival. Previously the export lead time ranged from 14 to 21 days, which was not compatible with the normal shelf life for pasteurized milk. The breakthrough came after 12 months of collaboration between PGS and Chinese officials to develop rigorous quality assurance protocols that now have been fully tested and temperature at all times during transit and that it incorporates a product security system which identifies and tracks the location of individual units. Following the recent success of the trial shipment, Norco now has plans underway to begin commercial shipments of its full range of fresh milk products. “This opens the door for Norco to access the burgeoning demand from Chinese consumers for Australian fresh milk products,” says Greg McNamera, Norco chairman. “The pipeline has the capacity to deliver more than 20 million liters of fresh milk to consumers in China within the first 12 months of operation.” CMN officially sanctioned by the relevant Chinese agencies. As a result, the PGS cold chain pipeline has been supported by changes to existing Chinese import clearance procedures to accommodate the limited shelf life of fresh milk imports from Australia. A trial shipment of almost 1,000 liters of Norco’s fresh fluid milk was successfully completed in March. Peter Verry, managing director for PGS, says the cold chain pipeline solution includes quality assurance controls that ensure that the milk meets or exceeds China’s food health and safety standards. It also ensures the product is maintained at the optimal GIAMBRONI Continued from page 6 seals through consumer impressions and engagement, Califarmia will connect with our social media channels to forge deeper relationships and affinity for the seals through content that people want to share. Outside of IDDBA and the launch of Califarmia, June brings us the opportunity to amplify the conversation about dairy amongst many audiences with Dairy Month activities. Each year we celebrate “Real California Milk Month” in the state with blogger partnerships, couponing, recipes and sharable ideas for using dairy every day. Those activities will continue. This year, however, we’re leveraging the dairy month platform to build awareness of the bigger conversation about hunger and access to healthy foods like milk by supporting the Great American Milk Drive in California. Our dairy farm families, together with our processor and nutrition education partners at the California Fluid Milk Processor Board and Dairy Council of California, will use June to promote the need for quality dairy nutrition at every table. We’ll do this in a real and tangible way by getting out into the community with service days at local food banks and providing matching funds up to $30,000 for California milk donations throughout the month, when low-income children and families who aren’t able to participate in school nutrition programs are especially vulnerable. We’re so fortunate to enjoy the bounty of dairy products from the milk we pour on our cereal and stir into our coffee in the morning to the cheese that holds our lunchtime sandwich together, the butter we sauté our fish in at dinner and the frozen ice cream goodness that ends the day. We hope to share some of this bounty with you at IDDBA or a June Dairy Month celebration. CMN The views expressed by CMN’s guest columnists are their own opinions and do not necessarily reflect those of Cheese Market News®. Flavours of The Swiss Mountains Drawing upon the traditions and methods of highly regional Swiss cheesemakers, Mifroma introduces three new products that represent Swiss regional cheesemaking expertise. As fresh and vibrant as the Alpine valleys they hail from, Edel Suisse, Gottardo and Swiss Flower are defined by their depth of flavor, delightful appearance, or suitability for particular wines or food. Edel Suisse is sweet, spicy and beautifully carved with folkloric motifs, sure to make a stunning statement on any cheese board. Gottardo is the pinnacle of Swiss Italian cheese, made with savory milk from the Leventina mountain valley. The highly original Swiss Flower, scattered with Alpine flowers, is matched in appearance by a delightfully soft, floral texture. Mifroma is pleased to present these lesser known yet highly renowned regional cheeses to the delight of all your gourmet customers. Discover our complete range of authentic cheeses from Switzerland at www.mifroma.com For more information please visit www.mirfroma.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 8 CHEESE MARKET NEWS® — May 30, 2014 GUEST COLUMNIST Perspective: Dairy Marketing James Robson is CEO of the Wisconsin Milk Marketing Board where, since 2001, he leads the farmer-funded organization charged with building demand for Wisconsin milk. A year of anniversaries, decades of accomplishments This year’s Show of Shows seminar and expo celebrates the 50-year anniversary of the organization that is today the International Dairy-Deli-Bakery Association (IDDBA). With a membership of more than 1,450 companies, IDDBA has grown to be a powerful retailing force representing small independents, regional chains and national and international supermarkets. Additionally, its membership attracts a full range of food manufacturers, brokers and distributors from small entrepreneurial companies to some of the largest multinational food companies in the world. Those of us who exhibit annually in the show are among the more than 8,000 registrants who visit 1,600-plus booths to take in an amazing array of products and state-of-the-art merchandising ideas, learn from a host of educational seminars and hear from speakers at the highest levels of government and industry. What was founded in 1964 as the Wisconsin Cheese Seminar has become an influential trade association, and Wisconsin Milk Marketing Board, a firm believer in food industry partnerships, is proud to have played a role in building this dynamic organization over the years. So much of IDDBA’s growth and vitality is due to the leadership of the gifted Carol Christison, who was at its helm for more than 30 years. Not only was she an executive of vision, intelligence and keen wit, Carol had the ability to draw a full house time after time for her annual 8:15 a.m. “industry trends” speech on Monday of the conference. You simply couldn’t afford to miss that. Her death came too soon, and we join the countless others who are saluting her achievements at this year’s show. Coincidental to this 50-year birthday for IDDBA, Wisconsin Milk Marketing Board (WMMB) also is celebrating anniversaries this year. Two programs with important relevance to marketing and retailing — the Wisconsin Master Cheesemakers program and the What’s New from Wisconsin new product bulletin — are marking their 20th years. These two efforts launched in 1994 in many ways anticipated the now well-established importance of identifying a product’s place of origin. Consumers increasingly want to know where their food comes from and related information. The Wisconsin Master Cheesemaker program, similar to European master programs and the only one of its kind in the United States, is advanced educational training for active, licensed Wisconsin cheesemakers with at least 10 years’ experience. To enroll in a program for certification for a single cheese, the cheesemaker must have been making the variety for a minimum of 5 years. The program is jointly sponsored by WMMB, the Wisconsin Center for Dairy Research and UW-Extension. In 1994, four Wisconsin cheesemakers enrolled in this stringent curriculum that involves classroom education, a 40-hour written final exam and instructor visits to plants for product evaluation. As of today, more than 60 masters have been graduated, working in a combined total of 33 Wisconsin cheese companies. They represent 36 different varieties of cheese. Not only does the Master’s curriculum produce superior skills and cheeses, it offers additional advantages to retailers. A Master’s Mark logo, as well as the familiar Wisconsin Cheese logo, has been developed for use on packaging of certified cheeses, clearly identifying the product’s Wisconsin origin, a location that cheese shoppers value, according to WMMB research. A recent study conducted by Information Resources Inc. for WMMB in partnership with a Wisconsin cheesemaking company found that adding the Wisconsin logo and the word Wisconsin to packaging resulted in a 5.9 percent increase in volume sales. Additional consumer research has found significantly higher purchase interest as well as perceived overall quality and value for Wisconsin identified cheese. The What’s New from Wisconsin publication was developed by WMMB in 1994 to introduce new Wisconsin product entries to the marketplace and is currently mailed to some 8,000 food industry professionals as well as appearing on WMMB’s website, eatwisconsincheese.com. The circulation reflects a major emphasis on grocer retailers and is used not only for information but for sourcing, according to evaluative WMMB research. Each product featured in the issue must display Wisconsin identification on its packaging, such as the trademarked WMMB cheese logo. In its 20 years, What’s New from Wisconsin has introduced almost 600 products from America’s Dairyland. IDDBA and WMMB anniversaries remind us of just how much the cheese market has expanded over the decades. What’s in Store, IDDBA’s signature publication now in its 28th year, has reported and predicted growth and change over the decades as it profiles consumer lifestyle trends, cheese at retail, the dairy department, deli department and bakery department. Since IDDBA was founded as the Wisconsin Cheese Seminar in 1964, per capita cheese consumption in the United States has risen from 9.4 pounds in 1964 to 33.5 today (USDA), an increase of 256 percent. In the last almost 20 years, the number of in-store delis has increased from 23,008 in 1993 to 30,300 in 2012 (Progressive Grocer Deli Update). In 1993, retail supermarket cheese sales (exact weight and random weight scanned sales) were estimated at $4.7 billion (What’s in Store, Progressive Grocer) while in 2013 retail cheese sales in traditional grocery stores were at $13.3 billion (IRI, Freshlook). That’s an average growth rate of 5.3 percent. We’ve witnessed the rise in American-made specialty and artisan cheeses, increasing food savvy and curiosity among consumers, new food distribution vehicles, the emergence and influence of social media and entry of big box and super centers, among other events. There have been proliferation in digitalized customer information, including shopping habits and preferences; the development of sophisticated prepared food sections; an increase of boutique “cheese stores” within the store; accelerated check-out technology; and burgeoning ethnic and “healthy” food sections, to name just a few of the developments that have been noted and analyzed by What’s in Store. IDDBA’s first 50 years have been quite a ride, and the journey is only beginning. We encourage all IDDBA registrants to celebrate and toast the anniversaries with WMMB and Wisconsin cheesemakers at the annual Monday night IDDBA cheese extravaganza party to be held at Sports Authority Field at Mile High, home of the Denver Broncos. So get your game face on — we’ll see you there! CMN The views expressed by CMN’s guest columnists are their own opinions and do not necessarily reflect those of Cheese Market News®. NEWS/BUSINESS Cheese ad volume tops all surveyed dairy products, AMS says in biweekly report WASHINGTON — Though overall cheese ads decreased 7 percent from two weeks ago, national cheese ad volume still tops all surveyed dairy products, according to the latest biweekly National Dairy Retail Report released Thursday by USDA’s Agricultural Marketing Service (AMS). The weighted average advertised price of 8-ounce shredded natural cheese, $2.37, was down from $2.52 in the last report but up from $2.25 last year, AMS reports. The average price of 8-ounce block cheese in natural varieties was $2.44, down from $2.48 two weeks ago but up 16 cents from $2.28 last year. Natural varieties of 1-pound shredded cheese had a weighted average price of $3.42 this week, down from $4.46 two weeks ago and $3.64 last year. One-pound natural cheese blocks averaged $4.32, down from $4.58 two weeks ago but up from $3.80 last year. The weighted average price for natural varieties of 2-pound cheese blocks was $7.55 this week, up from $7.48 two weeks ago and $7.12 last year, AMS says. The volume of butter ads was one of the biggest percentage category gainers this week. One-pound retail butter averaged $3.14 per pound, up 42 cents from $2.72 two weeks ago and up 37 cents from $2.77 last year. CMN Tetra Pak planning to relocate headquarters DENTON, Texas — Effective June 30, Tetra Pak Inc. is moving its North American Headquarters to 3300 Airport Road, Denton, Texas. The new headquarters will house all Tetra Pak functions under one roof, including packaging material manufacturing, technical services, commercial and marketing functions, and its R&D pilot plant. In addition, Tetra Pak’s processing offices previously located in Lake Geneva, Wis., and its current office in Vernon Hills, Ill., will move to one integrated facility. Effective June 30, Tetra Pak’s processing, spare parts distribution center and HR Service Center will be located in a new facility in Vernon Hills, Ill. CMN Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 9 NEWS/BUSINESS Study finds proposed Nutrition Facts label updates may be more effective than current label WASHINGTON — A study recently conducted by the Georgetown Institute for Consumer Research finds that consumers find recently-proposed updates to Nutrition Facts labels by FDA are easier to read in less time. The last time FDA changed the labels for the nutritional information of foods was 1993, the study notes. Much has changed since then in terms of nutrition and food consumption. Most notably, there have been significant increases in the rates of overweight and obese Americans. In the years between 1988 and 1994, approximately 23 percent of the population was obese and 55 percent was overweight, but by 2010, 36 percent were obese and 69 percent were overweight. Currently, almost all packaged products in the United States require nutritional labels, the study adds. Despite this, many Americans still fail to make healthy dietary choices. While there are many reasons for this, FDA has suggested that better labeling, that is clearer and easier to comprehend, could help improve consumers’ decisions. To improve nutrition labels on foods, FDA has proposed two significant changes to the current standards. One is a reformatting of the current nutritional facts layout, which would emphasize calories and serving size; the other change would be adjusting serving sizes to reflect what consumers actually consume. (See “FDA unveils proposal to update Nutrition Facts label on foods” in the Feb. 28, 2014, issue of Cheese Market News.) To assess the effectiveness of the proposed changes to label formats and serving sizes, Chris Hydock and Anne Wilson, researchers with the Georgetown Institute for Consumer Research, conducted a study in March in which consumers evaluated the healthiness of foods and the helpfulness of the proposed labels as well as the current labels. The study presented consumers with three food items: a 20-ounce bottle of soda, a frozen pizza and an 8-ounce bag of chips. Consumers were presented with a picture of each product followed by a picture of its nutritional facts label. Consumers were randomly assigned to view the current label, the proposed label or an alternate proposed label. Each label also was presented with nutritional information for the existing serving size values or nutritional information for 1.5 times the existing serving size, which is closer to the proposed FDA serving size adjustments. Lastly, nutritional label information was presented for either 10 seconds, to mimic an in-store viewing, or for an unlimited quantity of time to allow for careful review. Consumers then indicated how healthy they perceived each item to be and how informative or helpful they found the labels. Researchers note that two important patterns emerged in the results: • When consumers viewed labels that depicted the larger serving sizes, consumers perceived the food to be less healthy. This result is consistent with the goals of FDA; foods labeled with larger serving sizes will increase perceptions of unhealthiness and in turn hopefully decrease the amounts Americans consume. • Consumers found the proposed label and alternate label to be more helpful when allowed only a brief, 10-second view. But when given unlimited time to look at the label, consumers found the original label to be more helpful than the proposed and alternate labels. This result is particularly important because consumers typically only briefly look at nutritional labels when shopping, and labels should be designed accordingly, the study says. Researchers say these results have important implications for future policy on nutritional labeling. The most important impending change to nutritional labels seems to be the proposed change to serving size. This will likely come as a welcome change to consumer advocates who often argue that smallerthan-reality serving sizes can be seen as a method of deceiving consumers into believing products are less healthy than they are in reality, they add. Also notable is the fact that the newly-proposed label presentations were rated as more helpful in the brief viewing scenario. This can be attributed to the fact that the proposed labels achieve their goal by prominently displaying the most important information on nutritional labels, the study says. Additionally, the brief viewing scenario was independently determined to closely match how long consumers actually spend looking at labels. Together, these results support FDA’s proposed changes to nutritional labeling, according to researchers. CMN W e are your custom sourcing specialists for procuring Quality Cheddar Cheese to meet your specific needs. Celebrating 12 years in business and staffed with over 108 Years Combined Experience in the cheese industry. Please contact a “WAG” employee today for more info. We are here to meet your needs. Visit us on the web at www.wagcheese.com Monitored Set Aside Cheddar Programs 40# Colored & White 640# Colored & White Cheddar Cheese Aging Programs 40# White & Colored; 640# Colored & White Cheddar Spot Sales (colored & white) Fresh to 10 years. 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Applicants for the scholarship must be pursuing an agriculture-related curriculum. The scholarship is funded by the Foremost Farms USA Charitable Foundation. •Collegiate scholars Laura Crosby, Greensburg, Ind., will be a sophomore this fall at Purdue University, West Lafayette, Ind., working toward a degree in agricultural education. Danielle Hegemann, Union Grove, Wis., will be a sophomore this fall at the University of Wisconsin-Platteville, studying animal science with a minor in science and an emphasis in a pre-veterinary curriculum. Adam Schumm, Willshire, Ohio, is a member-owner and will be a sophomore this fall at the University of Northwestern Ohio, Lima, Ohio, where he is studying agriculture equipment technology. Samantha Van Deurzen, De Pere, Wis., will be a sophomore this fall at the University of Wisconsin-River Falls studying agriculture education. •High school scholars Logan Voigts, Platteville, Wis., plans to attend the University of Wisconsin- Madison this fall to study dairy science. Nicole Wright, Watertown, Wis., plans to study dairy herd management this fall at the University of Wisconsin-Madison. Clara Bass, Reedsburg, Wis., plans to attend Viterbo University, La Crosse, Wis., to major this fall in veterinary medicine. Leah Elsbernd, Calmar, Iowa, plans to attend Iowa State University, Ames, Iowa, this fall to study agriculture. Elizabeth Sarbacker, Verona, Wis., plans to attend the University of Wisconsin-Madison this fall to study dairy science. Carrie Urbanek, Cashton, Wis., plans to attend the University of Wisconsin-River Falls, River Falls, Wis., to study agricultural education. CMN Our cheese collection stands out for its robust flavor, smooth texture and popular varieties: MONTEREY JACK • CO-JACK • FARMERS • CHEDDAR Omega Valley Farmers™ is proud to bring you the highest quality Omega 3 products available today: • Hand-crafted by Master Cheese Maker Ken Heiman • Patented Natural Plant-based Ingredients • Quality Omega 3s Per Serving • rBST Free • Kosher Certified • Produced by Wisconsin Farmers Ken Heiman Nasonville Dairy Master Cheese Maker Omega Family Farmers™ Nasonville Dairy OMEGA VALLEY FARMERS™ LLC CHEESE 100 PARKSIDE DRIVE | DORCHESTER, WI 54425 | OMEGAVALLEYFARMERS.COM | 800.521.2021 Comings and goings Zoey Brooks, Waupaca, Wis., has been selected as Wisconsin’s 67th Alice in Dairyland. Brooks will work as a communications professional for the Wisconsin Department of Agriculture, Trade and Consumer Protection for the next year. She graduated this month from the University of Wisconsin-Madison with a degree in animal science. Ben Jeckel has signed on to the Blimling/Dairy.com team as its senior director/dairy consultancy. In this capacity Jeckel will provide clients with data, complete analysis and strategies for addressing various market segments, different geographies, production investments and procurement planning. He also will participate in ongoing consulting and research efforts. Jeckel most recently worked at Abbott Nutrition as the senior sourcing manager for dairy ingredients. Mike Wilkins has been appointed to regional sales manager for Dorner Manufacturing Corp., Hartland, Wis. Wilkins will be working with sales channel partners and key accounts to grow the company’s industrial and sanitary conveyor business throughout the Upper Midwest region of the United States. Wilkins joins Dorner after most recently serving as a regional sales manager for THK Global, Chicago. National Farmers Union (NFU) President Roger Johnson recently announced a number of NFU staff changes. Melisa Augusto, previously director of communications, will now serve as director of membership and marketing; Chandler Goule, previously vice president of government relations, will now serve as senior vice president of programs; Brittany Jablonsky succeeds Augusto as director of communications; Jeff Knudson has been promoted from vice president of operations to senior vice president of operations; Maria Miller, previously NFU’s director of education, has been appointed executive director of the NFU Foundation; Mike Stranz has been promoted from government relations representative to senior government relations representative; and Ethan Whitmore, previously membership database manager, will now serve as director of information systems. ProSpect Analytical Technology Inc., Plymouth, Minn., is expanding its coverage in the central United States with the addition of senior account manager Peter Wendorf. He has nearly 30 years of experience in marketing analytical instruments across various industries with a strong focus on the dairy industry. Wendorf was instrumental in the initial development of ProSpect’s in-line near infrared analytical devices during his tenure at Filtration Engineering, Champlin, Minn., ProSpect’s former parent company. C M N For more information please visit www.omegavalleyfarmers.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® EVENTS Farm Bill listening session announced WASHINGTON — As part of the implementation of the 2014 Farm Bill, USDA’s Rural Development is hosting a listening session for public input about the Strategic Economic and Community Development priority funding to be made available for certain rural development programs. The session will be held June 5 from 1-4 p.m. at the Whitten Building in Washington. The focus for the session is for Rural Development to hear from the public. It is not a discussion with officials. Rural Development is interested in receiving input on all aspects on the implementation of the provision. Attendees must register by June 3 by contacting Chad Maisel at 202-720-4581 or chad.maisel@osec.usda.gov. CMN USDA and HHS give notice of DGAC public meeting WASHINGTON — USDA and the U.S. Department of Health and Human Services (HHS) have announced a public meeting of the 2015 Dietary Guidelines Advisory Committee (DGAC) will take place July 17 from 1:15 p.m.-5:15p.m. EDT and again July 18 from 8 a.m.-3:45 p.m. EDT. These meetings will be conducted via webcast. The secretaries of HHS and USDA are directed to issue, at least every five years, a report titled Dietary Guidelines for Americans. To assist with satisfying the mandate, a discretionary federal advisory committee is established to provide independent, science-based advice and recommendations. The 2015 DGAC consists of a panel of experts who were selected from the public and private sectors. Individuals who were selected to serve on the committee have current scientific knowledge in the field of human nutrition and chronic disease. Dietary Guidelines for Americans encourage Americans to focus on eating a healthy diet — one that focuses on foods and beverages that help achieve and maintain a healthy weight, promote health and prevent disease. The meeting is in place to promote transparency of the process and to encourage public comment. The meeting agenda will include a review of committee work since the last public meeting and plans for future committee work. Online registration for the meeting is expected to open June 4. To register by phone call Andrea Popp, National Capitol Contracting, at 703-243-9696 by July 11. For more information or to register go to www.dietaryguidelines.gov. CMN 11 NEWS/BUSINESS WMMB announces Dairy Days of Summer campaign and contest MADISON, Wis. — The Wisconsin Milk Marketing Board (WMMB) has announced its “Dairy Days of Summer” campaign, which offers dairy-friendly ways to celebrate June Dairy Month in Wisconsin. At the center of the campaign is WMMB’s recently updated website, www.dairydaysofsummer.com, which features recipes, an interactive farm breakfast locator map and calendar of Wisconsin dairy events. The Dairy Days of Summer interactive calendar is filled with dairy-themed festivals, such as the annual Cheese Curd Festival, various sampling opportunities, special menus and deals at participating restaurants and retailers. The dairy farm breakfast locator map, searchable by date or location, features many of the more than 70 dairy farms across Wisconsin that welcome the public to enjoy a breakfast during the month of June. New to the campaign this year is the “Eat. Love. Share.” photo contest. It encourages consumers to share photos of themselves enjoying Wisconsin cheese, butter, ice cream, sour cream, cream cheese, yogurt, whipping cream or milk tagged with #LoveDairy via Instagram for a chance to win the $3,000 grand prize. Second place will receive $2,000 and third place $1,000. Photos must be shared between June 1 and June 30. In July visitors to the Wisconsin Dairy Facebook page, www. facebook.com/wisconsindairy, will have a chance to vote for their favorite photo. “The Dairy Days of Summer campaign makes it easy for everyone to get involved and celebrate Wisconsin’s vibrant dairy industry,” says David Bavlnkam vice president, advertising, WMMB. “The website has become the ultimate June Dairy Month guide, filled with fun activities for all ages, from farm breakfasts and dairy festivals to special retailer events, recipes and more. We look forward to seeing photos from all of the special celebrations happening across the state.” For more information go to www. dairydaysofsummer.com. C M N THE CHEESE GUYS… Your Total Cheese Sales & Marketing Support Team! • Over 80 years of combined experience • Expert knowledge in all aspects and applications of marketing cheese • We represent quality manufacturers from all over the U.S. and World • Expertise in imported and specialty cheeses • Broad knowledge of club stores and general merchandising programs Call one of the experts on our team today... Patrick Spaulding Suzanne Spaulding Mike Feeney Jay Spaulding Patrick Elkins Michael Bauchman Nathan Gorang Rodney Butcher Brian Argersinger Jim Andresen Can you SPOT the extraordinary, well-versed team working on your behalf? RETAIL • FOODSERVICE • INDUSTRIAL THE CHEESE GUYS (800) 521-7335 • FAX (810) 227-4218 Email: info@cheeseguys.com • Web: www.cheeseguys.com For more information please visit www.cheeseguys.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 12 CHEESE MARKET NEWS® — May 30, 2014 NEW PRODUCTS FOR DAIRY MANUFACTURERS Master-Bilt announces new line of merchandisers and product updates at 2014 NRA Show CHICAGO — Master-Bilt, a manufacturer of commercial refrigeration, recently debuted a new line of open air merchandisers and updates to existing products at the National Restaurant Association (NRA) Show held this month in Chicago. Master-Bilt announced its new line of open air merchandisers — the vertical VOAM series, and horizontal HOAM series. All models meet the 2017 Department of Energy standards. The VOAM models feature multiple tiers of 18-inch deep, two-position cantilever shelving. The HOAM series features an adjustable shelf and has a full length 10’-inch wide metal top. Both series feature sloping glass sides designed to hold a constant temperature. The product lines of- fer the largest standard feature set including LED canopy lighting, an electronic controller that allows the user to monitor defrost functions from a front panel interface and an electric condensate removal system that only operates when needed. Stainless steel corrosion-resistant floor pans are also standard. The HOAM and VOAM series include an expansion valve that permits the optional installation of a remote refrigeration system that can be housed away from the unit, resulting in the removal of additional heat and noise from retail environments and further electricity savings, MasterBilt says. Both styles are constructed of textured finishes on the interior and ITW Muller introduces GW-4100 carriage CHICAGO — ITW Muller has recently introduced its GW-4100 40-inch robotic pallet wrapper. The newly designed carriage offers twice the speed, throughput and battery life compared to the standard GW-4100. Like its predecessor, the GW-4100 40-inch offers increased product protection and wrapping consistency, improved employee safety, less waste and significant time and cost-savings over hand-wrapping, ITW Muller says. “The 40” carriage was specifically developed to accommodate the need to wrap larger loads while simultaneously decreasing cost and maintenance,” says Michael Klear, sales and marketing director, ITW Muller. The GW-4100 40-inch robotic pallet wrapper reaches speeds of 60 loads per hour and comes standard with a telescoping mast — accommodating loads up to 110” high. Its built-in film cutter cuts film at completion of wrap cycles. The GW-4100 40-inch has an independent top and bottom wrap pattern selection up to 20 wraps and the film tension can be adjusted electronically from the control panel. With a height adjustable mast, the GW-4100 40-inch can perform 400 loads per charge, comes pre-set with 99 wrap cycles. The machine also offers several safety features including an emergency stop button, safety contact edge and low voltage which reduces shock hazard. “Customers get all the benefits from our popular GW-4100 with the added bonus of being able to wrap larger loads with even greater efficiency,” Klear says. For more information contact sales@ itwmuller.com or 1-800-628-6787. CMN exterior. Additionally, the systems provide audible and visible alarms. Master-Bilt’s Master Controller, featuring Web2Walk-In software, is now Apple iOS compatible making remote monitoring and adjustment of walkins accessible from any device with an internet connection. The newest Master Controller also debuted at the NRA Show. In addition to iOS compatibility, a new defrost function built into the Master Controller’s Web2Walk-In software monitors coil temperature and automatically turns on evaporator fans for a short time when the coil is warm to melt accumulated frost and ice from the fan guards. This new function may be accessed through the control panel located on the evaporator coil or through Ice Synergy offers new form of ice builder SPRINGFIELD, Mo. — Ice Synergy Inc. has introduced an ice builder that generates micro ice crystals to make a pumpable liquid ice for process cooling. Utilizing patented orbital rod evaporator technology, Ice Synergy’s MaximICE slurry ice systems are more energy efficient than traditional ice builders, according to Ice Synergy. The technology is uniquely suited for effectively cooling high, intermittent heat loads and for utility savings, says Ice Synergy. The fluidized ice crystal bed provides a large surface area of latent ice energy to handle rapid cooling of high heat loads to constant low temperatures. Constant glycol supply temperatures are typically 28 F, and are achieved by drawing off the bottom of the ice slurry storage tank. According to Ice Synergy, processors can run compressors during off-peak The Standard of Excellence in Cheesemaking Equipment Block Formers 20 - 60 pound flexibility Block Formers Cheese Vats Cottage Cheese Vats Draining/Salting Belts Curd Tables Process Engineering / Innovative process solutions, engineered right. USA . The Netherlands . New Zealand +1 (320) 231-2210 www.relco.net For more information please visit www.relco.net the Web2Walk-In set points screen. “The Master Controller is a result of Master-Bilt’s commitment to providing cost-effective, energy saving and performance enhancing refrigeration equipment,” says Bill Huffman, vice president of sales and marketing, Master-Bilt. The Web2Walk-In software loaded on each controller remotely monitors and programs all data and setpoints using any device with a wireless internet or cabled connection. Web2Walk-In can pinpoint walk-in performance and maintenance issues, eliminating the need to enter the walk-in or access rooftop equipment to monitor or adjust the refrigeration system, Master-Bilt says. For more information go to www. master-bilt.com/products. CMN times and shift the heat load, saving money on utility bills. The technology can utilize ammonia or “green” refrigerants and tie into existing central refrigeration plant capacity to save initial capital expenditures and enhance return on investment, the company says. Systems are available in flexible footprint and compact designs, from 3 tons to 5,000 tons. For more information contact 417-8639602, or visit www.icesynergy.com. CMN Kureha America introduces barrier shrink packaging NEW YORK — Krehalon, a global line of barrier shrink packaging materials for cheese and perishable foods, will now be available to food manufacturers in the United States through Kureha America LLC. “While the Krehalon brand is new to the U.S. market, it is well established with proven performance and value throughout the globe,” says Fred Daniell, president, Kureha America. “We’re launching the brand with our own primary technology, manufacturing and service resources and are looking forward to providing the U.S. food packaging market greater access to these superiorperforming products.” Kureha America will offer the full range of Krehalon products — standard, high-abuse and cook-in shrink bags, formshrink films and flow-wrap films — to accommodate a variety of retail, food service and distribution packaging options. Previously Krehalon products had been sold in the United States by Flavorseal. Now, Kureha America will provide local sales and technical service support, along with local bag-making to enhance flexibility and speed-to-market, says the company. For more information contact Jeff Sherry, Kureha America, at info@kureha. com, or visit www.kreha.com. CMN Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 13 NEWS/BUSINESS Consumers becoming less loyal to national brands according to new Deloitte study NEW YORK — U.S. consumers are pushing their shopping carts past many of America’s national brands and feel little regret in doing so, according to Deloitte’s “American Pantry Study” of more than 375 brands across 30 product categories. Seven in 10 shoppers (71 percent) say they’re spending less on food, beverage and household goods, but don’t feel like they’re sacrificing much. In fact, only 31 percent of brands are considered a “must have” — one that shoppers would buy whether on sale or not — consistent with the last four years that Deloitte has conducted the survey. “National brands are pressured on all sides, from persistent consumer frugality and low brand loyalty to rival and store brand competition,” says Pat Conroy, vice chairman, Deloitte LLP and U.S. Consumer Products leader. “While consumers initially resented buying less-expensive products out of necessity a few years ago, they have changed their tune. They have shifted from a feeling of settling for lower-priced brands to settling into store brands distinguished by high quality.” Nearly 9 in 10 (88 percent) respondents say they have found several store brands that are just as good as national brands and that allow them to feel as though they are saving money without giving up anything, according to the study. Deloitte says 91 percent of consumers noted that they have become more resourceful. This resourcefulness has manifested itself through different savings tactics across consumer segments. Deloitte’s analysis categorizes consumers into four groups: super savers (26 percent), sacrificers (19 percent), planners (23 percent) and spectators (32 percent). •Super Savers (26 percent) Super Savers make a concentrated effort to use coupons and visit multiple stores. They describe themselves as priceconscious and deal-seeking, and are most likely to conduct product research and price comparisons through mobile and online channels. •Sacrificers (19 percent) Sacrificers are more likely than others to switch to store brands and only 16 percent describe themselves as brand loyal. Sacrificers report the lowest mean income among the consumer segments and are most likely to have large household sizes. •Planners (23 percent) Planners are most focused on resourceful pantry management and planning ahead to maximize their budgets and come from smaller households. •Spectators (32 percent) The least affected by economic condi- FDA issues draft guidance for desired exemptions from food allergen labeling WASHINGTON — FDA earlier this month issued draft guidance intended to help the food industry prepare submissions that seek exemptions from the labeling requirements for ingredients derived from major food allergens. The Food Allergen Labeling and Consumer Protection Act of 2004 (FALCPA) requires that food labels identify products containing major food allergens (milk, eggs, fish, crustacean shellfish, tree nuts, wheat, peanuts and soybeans). Because an ingredient derived from a major food allergen may be modified to such an extent that it does not contain allergenic protein or does not cause an allergic response that poses a risk to human health, FALCPA provides for two processes through which a manufacturer can obtain an exemption from this labeling requirement for a specific ingredient. The draft guidance is intended to help the food industry prepare comprehensive submissions to allow FDA to expeditiously evaluate whether the ingredients meet the exemption standards in FALCPA. Companies that have demonstrated to FDA that an ingredient qualifies for a labeling exemption are able to use that ingredient, derived from a major food allergen, in food products with no accompanying allergen declaration on the food label and, as such, expand the variety of food products available to foodallergic consumers, FDA notes. As discussed in more detail in the draft guidance, FDA is looking to inform manufacturers of the scientific evidence the agency needs to evaluate submissions in accordance with the standards defined in FALCPA and help manufacturers evaluate whether to submit a petition or notification. The guidance, “Draft Guidance for Industry: Food Allergen Labeling Exemption Petitions and Notifications,” is available at www.fda.gov. Comments can be submitted at www. regulations.gov through Sept. 5. CMN tions, Spectators are more likely to buy higher-priced products by a brand they trust rather than cheaper or store alternatives, with convenience carrying more importance than price when it comes to selecting a retailer. Spectators have the highest income average compared to the other segments. Deloitte’s study found a narrow set of brands winning the loyalty game primarily on trust, but also on price and product positioning. The top 10 percent of must-have brands differed significantly from the bottom 10 percent of brands — most notably with a 27 percentage point rating difference as a product that tastes or works better. Additionally, the majority (68 percent) of the top 10 percent of must-have brands have a more focused price positioning and outperform those that are relatively scattered. “Traditional thinking that targets consumers at multiple price points with good, better or best offerings often misses the mark,” says Conroy. “Given the bifurcation of consumers between higher and lower income levels, brands should instead address different shoppers’ ability and willingness to spend by moving to an OK, better and excellent brand portfolio.” Trust also trumps other brand qualities when convincing a consumer to pay a little more, though health and convenience also earn points with consumers. Nearly 8 in 10 (78 percent) consumers indicate they have purchased a higher-priced newly-launched product in the past year. Among them, 54 percent selected a more expensive product because it was a brand they trust, followed by healthier option (38 percent) and a company they trust (30 percent). Nearly 3 in 10 (28 percent) skipped a lower-cost alternative for one that was easy to prepare or use. Conroy adds, “Consumer packaged goods (CPG) brands are suffering from a crisis of the similar, where consumers don’t see a lot of difference between branded products on the shelf. Rather than exit a crowded category, brands should consider new growth opportunities where categories are beginning to blur — such as extending their products into new meal times or store aisles, or making a move to support from-scratch cooking or prepared meals.” For more information about the study, visit http://www. deloitte.com/us/2014APS. CMN INTRODUCING SHRINK BAG SMART PACKS! 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Authorities found that the cheese, produced near the southern town of Caserta, Italy, contained as much as 20 times the permissible levels of bacte- 528 E. 19th Avenue North Kansas City, MO 64116 800-456-5624 www. KOCHSUPPLIES. com For more information please visit www.kochsupplies.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 14 CHEESE MARKET NEWS® — May 30, 2014 NEWS/BUSINESS Natural Grocers by Vitamin Cottage pulling all confinement dairy products from stores DENVER — Natural Grocers by Vitamin Cottage recently announced that its nearly 90 stores will no longer sell dairy products that come from confinement dairies. Instead, in a move the chain hopes will cut through consumer confusion, Natural Grocers will only sell dairy products from animals that are pasture-based. The process of ensuring that all products are pasturebased and phasing out products from confinement type dairies will take about a year. “Advertising buffets us with images of happy, healthy cows grazing on grass, but in many cases that’s not what is happening,” says Heather Isely, executive vice president, Natural Grocers by Vitamin Cottage. “Con- Blue Bell Ice Cream sets up shop in N.C. BRENHAM, Texas — Blue Bell Ice Cream, headquartered in Brenham, Texas, opened a new transfer station in Wilmington, N.C., at the beginning of April. “We saw that we were really going to need a facility in southeastern North Carolina to handle the expansion of service to this area,” says Keith Britton, branch manager, Raleigh, N.C., Blue Bell Ice Cream. “This cuts down on driving time on the road, makes the whole distribution system operate more efficiently and gets our ice cream to consumers even faster. It really reinforces our commitment to quality and service.” Under the supervision of Matthew Bradford, territory/operations manager, Blue Bell Ice Cream, the transfer station will service the eastern part of North Carolina, adding an additional 2 million customers to the geographical area covered by Blue Bell. The new transfer station also will take over serving the town of Ocean Isle Beach, S.C. Blue Bell Ice Cream will be sold at Walmart, Kroger, Lowes Foods, and many independent supermarkets, drugstores and convenience stores throughout North Carolina. Blue Bell Ice Cream also is featured at Carrabba’s and Outback Steakhouse restaurants. CMN For more information please visit www.cheesesociety.org sumers have told us they aren’t sure about what they’re buying or where it came from. And they do care, because there are a lot of documented unintended consequences associated with confinement dairies. By only carrying pasture-based dairy we are more transparent, we give our customers peace of mind and also expand the market for dairy farms that want to raise their animals on pasture.” Natural Grocers is starting the process of phasing out all confinement dairy products by category, starting with yogurt. The process of researching and replacing confinement dairy products with comparable pasture-based dairy has taken Natural Grocers executives to view dairies nationwide. Natural Grocers’ standards include: dairy animals must be grazed for a minimum of 120 days; no animal byproducts in feed; no hormones; no non-therapeutic drugs; no cloned animals; animals are allowed to exhibit their natural behaviors; humane treatment; nutrition needs met; shelter provided as needed; and no GMO alfalfa. “We’ve done the math, and in our Denver market, pasture-based dairy products are often comparable in price and perhaps 10 cents more for a carton of yogurt to 80 cents more for a half-gallon of milk, depending on the city you live in” Isely adds. For more information, visit www.naturalgrocers.com/products/ dairy-resource-page. CMN Share of milk marketed by U.S. dairy co-op producers declined between 2007-2012 WASHINGTON — Member-producers of U.S. dairy cooperatives marketed 161.2 billion pounds of milk in 2012 — a 5.7 percent increase from 2007. This volume represented 80.9 percent of the milk marketed by farmers nationally, a decrease from 82.6 percent in 2007, according to “Marketing Operation of Dairy Cooperatives,” written by K. Charles Ling, an agricultural economist with USDA Rural Development. Including milk received from non-members and non-cooperative firms, total milk handled by cooperatives was 167.7 billion pounds, or 84 percent of U.S. milk marketed in 2012. Three billion pounds of the volume was organic milk received by 24 cooperatives. The number of dairy cooperatives from 2007 to 2012 period decreased from 155 to 132. There were 47 cooperatives that processed and manufactured dairy products and operated receiving stations, and the other 85 had no milk-handling facilities. Sixty-six percent of total cooperative volume was sold as raw milk in 2012 vs. 63 percent in 2007. The other 34 percent was manufactured at plants owned and operated by cooperatives. There were 41,999 member producers marketing milk in 2012, 15 percent less than in 2007. In 2012 three regions — East North Central, North Atlantic, and West North Central — together accounted for 86 percent of all member producers and 53 percent of cooperative milk volume. The Western region was the top source of cooperative milk. At 59.4 billion pounds, it represented 37 percent of all cooperative milk in 2012. Dairy cooperatives owned and operated 184 plants, 13 of them for receiving and shipping milk only, 32 for manufacturing American cheese, 17 for making Italian cheese, 49 for packaging fluid milk products, 24 for churning butter, 35 for drying milk products and 24 for drying whey products. Many other plants made various other dairy products or dairy-related products. Volumes of butter and nonfat and skim milk powders increased significantly from 2007 to 2012. Cooperative share of butter, at 1.40 billion pounds (a 28 percent increase since 2007), was 75 percent of U.S. production, and cooperative share of nonfat and skim milk powders, at 1.67 billion pounds (a 36 percent increase), was 91 percent. However, cheese made by cooperatives decreased by 5 percent from 2007 to 2012, to 2.39 billion pounds and accounted for 22 percent (vs. 26 percent in 2007) of U.S. production. Fifty-three dairy cooperatives reported having 22,969 full-time and 804 part-time employees in 2012 and six other cooperatives had 12 part-time employees. Another 21 cooperatives reported having no employees. These 80 cooperatives marketed 79 percent of cooperative milk. The other 52 cooperatives did not supply data on their number of employees. Complete financial data submitted by 89 dairy cooperatives showed that total assets for the fiscal year ending in 2012 were $13.9 billion, total liabilities were $10.4 billion and total equity was $3.6 billion. Eightyfour percent of the equity was allocated to members. Net margin before taxes was $285 million, a return on equity of 8 percent. Together, these cooperatives marketed 79 percent of total cooperative milk volume, with 15 reporting that their dairy sales included $1.5 billion of dairy exports. For more information or the c o m p l e t e r e p o r t g o t o w w w. rurdev.usda.gov/supportdocuments/ BCP_RR230.pdf. CMN Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 15 NEWS/BUSINESS The Institute of Food Technologists launches FutureFood 2050 food solutions program CHICAGO — The Institute of Food Technologists (IFT) recently launched its FutureFood 2050 program to create a broad dialogue on how science will deliver solutions needed to feed the world’s 9 billion people by the year 2050. With the premise that the science of food is an essential ingredient for feeding the world sustainably, FutureFood 2050 will highlight the people and stories leading the way toward a healthier, safer and better nourished planet. FutureFood 2050 will come to life over the coming months with 75 interviews featuring leaders from around the globe. At the same time, a documentary will be completed looking at how the science of food will contribute solutions to feeding the world. The documentary will provide the public with a closer, more intimate look at the science, stories and personalities addressing this challenge. “Many films have focused on food issues, but they often neglect or misinterpret the role of science, sometimes relying on personal beliefs more than facts,” says Scott Hamilton Kennedy, the Academy Award-nominated film director overseeing the FutureFood 2050 documentary. “By looking at this challenge through the unbiased lens of science, our goal is to address critical questions surrounding food in a fair, transparent manner that will hopefully surprise, and maybe even transform us along the way.” From now until the film’s mid- to late 2015 release, the FutureFood 2050 interview series will look more broadly at the ways that science is tackling the world’s most pressing food issues. A new website, www.FutureFood2050. com, will serve as a digital hub for the public to follow the stories and connect science to the conversation about how to feed the planet. An international team of editors and journalists, including award-winning author of The Taste of Tomorrow: Dispatches from the Future of Food, Josh Schonwald, will uncover the stories that shape the interview series. “Feeding 9 billion people by 2050 simply can’t happen without science and technology playing a leading role,” Schonwald says. “This project will showcase leaders, thinkers, entrepreneurs and activists who are shaping the future of food from a wide variety of perspectives — some high tech, some not. And along the way, we hope to foster a better New Innovation In Cheese Cutting Technology Automatic Exact Weight Cheese Cutter 3001 AEW Tu-Way dialogue about the options surrounding some of the world’s most complex, highlycharged issues.” The FutureFood 2050 interview series will tackle topics across the food spectrum including global hunger, sustainability, health and nutrition and food safety. The interview series also will explore Wisconsin tops specialty cheese production MADISON, Wis. — In 2013, Wisconsin maintained its ranking as the nation’s top cheese-producing state with 26 percent of production. At a record-high 640 million pounds, specialty cheese accounted for 22 percent of Wisconsin’s total cheese production last year, according to a report by the Wisconsin Field Office of USDA’s National Agricultural Statistics Service (NASS). Of the state’s 126 cheese plants, 93 manufactured at least one type of specialty cheese during 2013, one more plant than last year. Feta accounted for the largest share of specialty cheese production, with 13 percent of the total. Blue, Hispanic types, specialty Mozzarella, Parmesan wheel 3/52#).'!.$,/')34)# 3%26)#%3 30%#)!,):%$&/2-5,!4)/.3 Featuring: PUTTING YOU FIRST SINCE 1949 Phone: 1-888-243-6622 or 1-920-458-2189 E-mail: sales@genmac.com Web: www.genmac.com R PRODUCTIO IMPROVE YOUR PRODUCTION WITH GMC CUTTERS For more information please visit www.genmac.com and specialty Provolone remain other popular varieties. Limburger cheese production rose 24 percent vs. the previous year, while Gorgonzola production was 12 percent higher, according to the report. Feta production in 2013 reached 80.1 million pounds, up 3 percent from 2012. In 2013 there were nine producers of Feta, up one from 2012. Production of Hispanic varieties hit 70.9 million pounds in 2013, up 8 percent from 2012. The number of producers went from 13 in 2012 to 16 in 2013. There were six producers of the Parmesan Wheel in 2013, which was down two from 2012. However, production totaled 53.7 million pounds in 2013, representing a 2 percent growth. CMN Our Expertise in World Dairy Markets Makes MCT Your Global Partner for Successful Results ,%!$).'3).',%3/52#% $!)293500,)%2 Patented Cutting Head Fully Automated Cut Adjustment Continuous Feed System Minimal Floor Space Needed issues related to climate change, sustainability, politics, economic factors and more. Scientists, along with policy makers, entrepreneurs, chefs, journalists and more, will be featured. The 75 articles will be bundled in monthly themes over this year and next, and are available at www.FutureFood2050.com. CMN 5.0!2!,,%,%$3%26)#%3 Could you use assistance in managing your supply chain? We have expanded our team to bring you unprecedented expertise and knowledge in today’s complex world markets. s3OURCINGAND,OGISTIC3ERVICES s3PECIALIZED&ORMULATIONS s,EADING3INGLE3OURCE$AIRY3UPPLIER s!GING0ROGRAMS s(EDGING3ERVICES s5NPARALLELED3ERVICES s%XPERTISEINTHE'LOBAL$AIRY-ARKET s%XPORT3ERVICES %80%24)3%).4(%',/"!, $!)29-!2+%4 MCT Dairies is the leading supplier of cheese and dairy ingredients, offering innovative solutions throughout the world. 0HONE OR %MAIL INFO MCTDAIRIESCOM 7EB WWWMCTDAIRIESCOM For more information please visit www.mctdairies.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 16 CHEESE MARKET NEWS® — May 30, 2014 NEWS/BUSINESS MILLENNIAL Continued from page 1 Facebook and Twitter accounts that engage in conversations with customers.” •Social engagement Millennials engage much more extensively with brands through social media and mobile devices, especially when compared with older generations, BCG says. Fifty-two percent of Millennials surveyed by BCG say they have used social media to “like” a brand — compared with 33 percent of the Baby Boomers surveyed. Thirty-nine percent of Millennials post product reviews, and twice as many Millennials as Baby Boomers check prices, look up product information or search for promotions on mobile devices while in a store. “Regardless of the generation, social media and digital technology tools are an important part of how we market cheese and dairy products today,” Giambroni says. “Social media, digital gaming and access through mobile devices all should be part of the standard marketing toolkit. The Millennial generation is tapped into these instruments in a bigger way than generations past and expect a brand to be at the same level.” Yancey’s Fancy has been interacting with this generation through festivals and has used social media for years. It utilizes Facebook, Twitter, Pinterest and LinkedIn, with plans to move into Instagram, Godlove adds. “We can’t just throw a TV or radio spot at them to accomplish everything,” he says. “We have to be on the ground working and engaging with consumers. Companies really need to have that personal touch.” Porter Engwall says WMMB aims to encourage the group with its content — to share their stories and to develop a connection with the generation while looking to understand how the dairy industry affects their lives. Food retailers have been capitalizing on Millennials’ predilection for all things technologically mobile. In a report by the Perishables Group, 91 percent of retailers have or are developing strategies that incorporate mobile devices. The Perishables Group urges food marketers to embrace multiple modes of digital media to create a dialogue with Millennials vs. one-sided marketing. “They want to engage, share and build a relationship with the brands they love and support,” Giambroni says. “Moving into the future as the next generation, known as ‘digital natives,’ as Our Exclusive Key Players Order Today! Our Annual Profile of Who’s Who in the Cheese Business If you’re looking for an in-depth compilation of the movers and shakers in the cheese and dairy industry, look no further. CHEESE MARKET NEWS’ Key Players, our exclusive annual profile of who’s who in the cheese business, gives you comprehensive information on companies leading the cheese industry. Key Players features information on plant locations, sales figures, acquisitions and mergers, expansions, new products and production data. Key Players is included annually in the June issue of CHEESE MARKET NEWS® but can be yours in a separate, easy-reference reprint for only $30 per copy. Order your complete snapshot of the cheese industry’s Key Players today P.O. Box 628254 • Middleton, WI 53562 • Phone: (608) 831-6002 • Fax: (608) 831-1004 E-mail: squarne@cheesemarketnews.com • Website: www.cheesemarketnews.com CHEESE MARKET NEWS® KEY PLAYERS REPRINT ORDER FORM: NAME: ________________________________ METHOD OF PAYMENT (U.S. Funds Only): TITLE: ________________________________ PAYMENT Enclosed Payment by COMPANY: ____________________________ ADDRESS: ____________________________ CITY: _________________________________ $30 Credit Card VISA MasterCard American Express STATE: _________ ZIP: __________________ CARD #:_______________________________ PHONE: (_______) _____________________ EXPIRATION DATE: _____________________ EMAIL: ________________________________ SECURITY CODE: ______________________ DATE:_________________________________ SIGNATURE: ___________________________ For immediate service, call (608) 831-6002 or fax your order to (608) 831-1004. SUBSCRIBER SERVICES • P.O. Box 628254 • Middleton, Wisconsin 53562 For more information please visit www.cheesemarketnews.com they come into their own as consumers, it will be even more essential.” Differing extensively from Baby Boomers is how Millennials interact with and react to marketing strategies. Millennials engage with brands far more extensively and personally than do older generations, and they expect their values to be reflected in the brand they purchase, BCG says. “The conventional linear and rational approach to marketing has been a process in which companies defined their brands and pushed brand and marketing messages at consumers. But this doesn’t work well with Millennials,” says Christine Barton, partner and the lead author of the BCG report. “Millennials want and expect a two-way, reciprocal relationship with companies and their brands. As a result, modern marketing has become an ecosystem driven by interactions among marketers, customers and potential customers who help define brands and influence their success.” This two-way relationship is referred to as the “reciprocity principle,” says BCG. Through the feedback they express both online and offline, Millennials influence the purchases of other customers and even potential customers. Even more impacting is that this generation helps define the brand itself, and technology serves to accelerate this influence. Millennials will make a positive and public effect if they have a favorable experience with a brand or product, but if their experience is negative, the results can be more damaging to companies than ever before, BCG says. •Purchasing power Jeffries Alix Partners adds that the Millennials have much less brand loyalty and are more willing to engage in different distribution models to find food. This generation is not fearful of purchasing things online and looking outside the traditional grocery store — they’re less partial to the “one-stop-shop” concept of grocery store shopping. “This is also a generation that is interested in where their food comes from and how it is produced,” Giambroni says. What is equally as important to realize about Millennials is that they care where they shop because they believe the brands and products they purchase say something about where they fit in and what their values are, BCG says. “Some serious effort needs to be put in to be a company this generation can respect — you can’t just be a machine,” Godlove says. “It’s the smaller companies that have an edge with Millennials because they have that personal touch. And it works greatly in their favor.” Millennials look for organic, healthy, artisan and locally processed foods to stock their cupboards, and they will go out of their way to obtain these products, reveals a 2013 Technomic report on food industry trends. “This is a generation that prefers to get their nutrients through foods vs. supplements and is looking to support peak performance,” Giambroni says. “With its ability to deliver protein in a delicious package, cheese is a natural fit. It’s a matter of creating the right products and positioning them in the right way.” How Millennials decide where they shop is determined by several factors. BCG’s report shows the purchasing decisions of U.S. Millennials are influenced by more people, and different types of people, compared to how older generations make their choices. Less than half of Millennials say they trust expert advisors but instead report they are most influenced by family and friends as well as the opinions of strangers. This is an outcome of the Millennials’ willingness to share their experiences online. “They are interested in high quality products and place value on social responsibility, locally produced food and product offering but may have little or no knowledge of or connection to the dairy or food production practices,” Porter Engwall says. “Most information is shared through the trust of peers and close friends which are viewed as an expert or as someone who has a firsthand experience with a brand or product. Success to connect with the group is based on how well the company can relate and connect with their audience. Any size cheese companies can benefit from engaging through social media.” In addition to understanding how the generation operates, being available around the clock is listed as one of the most important things brands can do to engage their customers, BCG reports. “Based on the research, we know that they expect variety, more choices, customization and personalization,” Porter Engwall says. The Perishables Group says Millennials have a strong desire for customization, which should be taken into consideration when developing new products or marketing initiatives. “As a company we make close to 40 different types of cheese and we’re looking to expand that quite a bit,” Godlove says of Yancey’s Fancy. “Customization does become applicable to the food industry because cheese isn’t always just a single food you can eat. You’re creating a product consumers can use in recipes that takes them in all kinds of different directions.” Allowing consumers to dictate explicitly what they purchase gives them a feeling of ownership and can capture the elusive brand loyalty, but it also gives suppliers valuable information on their consumers. The ability to engage with consumers to capture and track their designs and purchases has become an unprecedented form of market research. “Dairy has a strong story to tell that resonates with this population,” Giambroni says. “This is especially true for artisan and farmstead operations where products are made in smaller batches from locally sourced milk. This group is willing to put their money literally where their mouth is to trade up for foods like organics they view as more sustainable.” CMN Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 17 CLASSIFIED ADVERTISING • EQUIPMENT 1 • EQUIPMENT 1 CHEESE MARKET NEWS helps keep a spotlight on your company’s momentum and reinforces your visibility in the marketplace every week. We share the same level of passion and commitment as all of you manufacturers and suppliers do to support and grow this business. My goal is to help you increase your success rate no matter what your needs are. Email or call me today to find out how we can set up an ad program or classified placement to help you succeed. MORE NEWS, MORE SOLUTIONS, MORE CHOICES! The Weekly Newspaper Of The Nation’s Cheese And Dairy/Deli Business Susan Quarne • EQUIPMENT 1 • For more information please visit www.ullmers-dairyequipment.com Publisher squarne@cheesemarketnews.com • (608) 831-6002 EQUIPMENT 1 • EQUIPMENT 1 AUCTIONS! - DAIRY & FOOD Separator Restorations, LLC %RZO5HSDLU%DODQFLQJ 0DFKLQH5HEXLOGLQJ&RPSRQHQW5HSDLU ,QSODQW6HUYLFH <HDUVRI([SHULHQFH Mark Meyers VHSUHVWRUH#RXWORRNFRP Mozzarella Cheese Facility - Built in 2010! ZZZVHSUHVWRUHFRP 3UHFLVLRQYDOXHDQGWHFKQLFDO VXSSRUWHYHU\VWHSRIWKHZD\ AUCTION: JUNE 4 - Whiteshell Dairy Foods - Winnipeg, Manitoba For more information please visit www.seprestore.com Proudly Supplying the Food and Dairy Industry for Over 70 Years! • (7) 2010 S/S Silos, Tanks & Processors to 75,000 liter • (6) 2010 B.d.U. Mozzarella & Parmesan Cheese Vats • 2010 Skid-Mounted HTST, Add’l. Cheese Equipment • Safeline Metal Detector, Multivac Shrink Tunnel, More! • CIP System, Boiler, General Plant, More! 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ĂůůĨŽƌĂŶŝŶŝƟĂůĐŽŶƐƵůƚĂƟŽŶ ĂŶĚĞƐƟŵĂƚĞƚŽĚĂLJ͘ ^ĞƉĂƌĂƚŽƌŽŶƐƵůƟŶŐ^ĞƌǀŝĐĞƐ ĂǀĞ:ŽŚŶƐŽŶ͕KǁŶĞƌͻϲϱϭ͘ϮϲϮ͘ϳϴϵϴ ƐĞƉĂƌĂƚŽƌĐŽŶƐƵůƟŶŐƐĞƌǀŝĐĞƐΛŐŵĂŝů͘ĐŽŵ HARRY DAVIS & COMPANY • Frying, Breading & Packaging Equip. - DAF System www.harrydavis.com • Spiral Freezer, General Plant - Watch for Details! 412-765-1170 sales@harrydavis.com Asset Solutions Experts Since 1955 For more information please visit www.harrydavis.com For more information please e-mail separatorconsultingservices@gmail.com • EQUIPMENT WANTED 2 • BUSINESS SERVICES 3 Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 18 CHEESE MARKET NEWS® — May 30, 2014 CLASSIFIED ADVERTISING • HELP WANTED 7 • HELP WANTED 7 • CHEESE/DAIRY 12 Hilmar Cheese Company and our business unit, Hilmar Ingredients, serves customers in more than 50 countries from our two manufacturing facilities. Our founding headTXDUWHUVLVORFDWHGLQ&DOLIRUQLD·VIHUWLOH&HQWUDO9DOOH\LQ+LOPDUDQGRXUVWDWHRIWKHDUW Dalhart, Texas facility is located in a growing dairy region. Our steady supply of fresh milk ensures our customers of consistent, year-round availability of product. Immediate Opening: Operations Manager – Dalhart Plant Hilmar Cheese Company is seeking a seasoned Ops Manager to oversee management of all designated areas of operations at our Dalhart, Texas plant. Key responsibilities will include assuring products are manufactured on schedule, within quality standards and cost objectives, and will work with individual departments to ensure maintenance of the highest possible level of customer satisfaction. Requirements include: Education and experience commensurate with position; minimum ÀYH\HDUVPDQDJHPHQWH[SHULHQFHLQWKHGDLU\SURFHVVLQJLQGXVWU\VWUDWHJLFNQRZOHGJH of production operations management. &RPSHQVDWLRQDQGEHQHÀWVDUHYHU\FRPSHWLWLYHDQGQHJRWLDEOH5HORFDWLRQLVDYDLODEOH. Applicants can apply at: https://careers.hilmarcheese.com/careers/job-details/?id=356556 For more information, contact: Cindy Blanc Corporate Recruitment Manager Hilmar Cheese Company cblanc@hilmarcheese.com For more information please visit www.thefoodconnector.com VICE PRESIDENT OF SALES Trading Division About the Job: MCT Dairies is a leading dairy products trader, distributor, importer and exporter with over 100 million dollars ŝŶƌĞǀĞŶƵĞ͘ƵĞƚŽŽƵƌŐƌŽǁƚŚ͕DdĂŝƌŝĞƐŚĂƐĐƌĞĂƚĞĚĂŶĞǁƉŽƐŝƟŽŶŽĨsWŽĨ^ĂůĞƐǁŚŽƐĞŽďũĞĐƟǀĞŝƐƚŽ ŝŶĐƌĞĂƐĞŶĞƚŶĞǁƐĂůĞƐďLJŵĂŶĂŐŝŶŐ͕ĚĞǀĞůŽƉŝŶŐĂŶĚĞdžƉĂŶĚŝŶŐƚŚĞĞdžŝƐƟŶŐƐĂůĞƐͬƚƌĂĚŝŶŐƚĞĂŵ͘KƵƌĐůŝĞŶƚƐ ŝŶĐůƵĚĞĨŽŽĚĂŶĚďĞǀĞƌĂŐĞŵĂŶƵĨĂĐƚƵƌĞƌƐ͕ĚŝƐƚƌŝďƵƚŽƌƐ͕ĐŚĞĞƐĞƉƌŽĐĞƐƐŽƌƐ͕ĂŶĚĐĂŶĚLJŵĂŶƵĨĂĐƚƵƌĞƌƐĂƌŽƵŶĚƚŚĞ ǁŽƌůĚ͘tĞŽīĞƌĂŶĞdžƉĂŶĚŝŶŐǀĂƌŝĞƚLJŽĨĐŚĞĞƐĞ͕ďƵƩĞƌ͕ĚĂŝƌLJƉŽǁĚĞƌƐĂŶĚƉƌŽƚĞŝŶƐ͘WŽƐŝƟŽŶǁŝůůǁŽƌŬĐůŽƐĞůLJ ǁŝƚŚŽƵƌKǁŚŽŝƐďĂƐĞĚŝŶŽƵƌDŝůůďƵƌŶ͕E:,ĞĂĚƋƵĂƌƚĞƌƐŽĸĐĞ͕ĂŶĚǁŝůůƌĞƋƵŝƌĞƚƌĂǀĞůƚŚƌŽƵŐŚŽƵƚƚŚĞh^͘ dŚŝƐƉŽƐŝƟŽŶŝƐƌĞƐƉŽŶƐŝďůĞĨŽƌŵĂŶĂŐŝŶŐƚŚĞĚĂŝƌLJƉƌŽĚƵĐƚƐƚƌĂĚŝŶŐĚŝǀŝƐŝŽŶ͕ŝŶĐůƵĚŝŶŐĂůůƐĂůĞƐ͕ƐŽƵƌĐŝŶŐĂŶĚ ƚƌĂĚŝŶŐĨƵŶĐƟŽŶƐ͘dŚĞsWŽĨ^ĂůĞƐŝƐƌĞƐƉŽŶƐŝďůĞĨŽƌƚŚĞĮŶĂŶĐŝĂůƌĞƐƵůƚƐ͕ŵĂŶĂŐĞŵĞŶƚŽĨƚŚĞĞdžŝƐƟŶŐƐĂůĞƐ ƚĞĂŵĂŶĚŚŝƌŝŶŐĂŶĚƚƌĂŝŶŝŶŐŽĨŶĞǁƚĂůĞŶƚ͘dŚĞsWŽĨ^ĂůĞƐŝƐĂůƐŽĞdžƉĞĐƚĞĚƚŽŵĂŶĂŐĞĂŬŽĨďƵƐŝŶĞƐƐ͘ ĂŶĚŝĚĂƚĞĐĂŶƌĞƐŝĚĞĞůƐĞǁŚĞƌĞďƵƚŶĞĞĚƐĂƐƚƌŽŶŐďĂĐŬŐƌŽƵŶĚŝŶĚĂŝƌLJ͕ĨŽŽĚƉƌŽĐĞƐƐŝŶŐĂŶĚĐŚĞĞƐĞƉƌŽĐĞƐƐŝŶŐŝŶĐůƵĚŝŶŐĂĂĐŚĞůŽƌ͛ƐĞŐƌĞĞĂŶĚĮǀĞƉůƵƐLJĞĂƌƐŽĨŝŶĚƵƐƚƌLJĞdžƉĞƌŝĞŶĐĞ͘džƉĞƌŝĞŶĐĞŝŶŵĂŶĂŐŝŶŐƐĞǀĞƌĂů ŽƵƚƐŝĚĞĚĂŝƌLJƉƌŽĚƵĐƚƐĂůĞƐĂŶĚƐŽƵƌĐŝŶŐƉƌŽĨĞƐƐŝŽŶĂůƐŝŶĂƚƌĂĚŝŶŐĞŶǀŝƌŽŶŵĞŶƚŝƐĂƉůƵƐ͘ ESSENTIAL JOB DUTIES & RESPONSIBILITIES: oŽŽƌĚŝŶĂƚĞ͕ĚĞǀĞůŽƉ͕ĂŶĚĞdžĞĐƵƚĞƚŚĞĂŶŶƵĂůƐĂůĞƐƉůĂŶŝŶƐƵƉƉŽƌƚŽĨŽƌŐĂŶŝnjĂƟŽŶĂůƐƚƌĂƚĞŐLJĂŶĚ ŽďũĞĐƟǀĞƐǁŝƚŚƚŚĞK͘ oŝƌĞĐƚŝŵƉůĞŵĞŶƚĂƟŽŶĂŶĚĞdžĞĐƵƟŽŶŽĨƐĂůĞƐƉŽůŝĐŝĞƐĂŶĚƉƌĂĐƟĐĞƐ͘ oŶƐƵƌĞĐŽŵŵƵŶŝĐĂƟŽŶƐĂƌĞĐŽŽƌĚŝŶĂƚĞĚ͕ƐƵƉƉŽƌƚƐĂůĞƐƉůĂŶŽďũĞĐƟǀĞƐĂŶĚŵĞĞƚƐŽƌŐĂŶŝnjĂƟŽŶĂů ĞdžƉĞŶĚŝƚƵƌĞƌĞƋƵŝƌĞŵĞŶƚƐŝŶĐŽŶũƵŶĐƟŽŶǁŝƚŚƚŚĞK͘ o,ŝƌĞ͕ƚƌĂŝŶ͕ĂŶĚĚĞǀĞůŽƉŶĞǁƐĂůĞƐƚĂůĞŶƚ͘ oZĞĐŽŵŵĞŶĚƐĂůĞƐƐƚƌĂƚĞŐŝĞƐĨŽƌŝŵƉƌŽǀĞŵĞŶƚďĂƐĞĚŽŶŵĂƌŬĞƚƌĞƐĞĂƌĐŚĂŶĚĐŽŵƉĞƟƚŽƌĂŶĂůLJƐĞƐ͘ oZĞƐƉŽŶƐŝďůĞĨŽƌĂůůĮŶĂŶĐŝĂůƉĞƌĨŽƌŵĂŶĐĞĂŶĚƌĞƐƵůƚƐ͕ĞdžƉĞĐƚĞĚƚŽŵĞĞƚŽƌĞdžĐĞĞĚĂŶŶƵĂůďƵƐŝŶĞƐƐ ƉůĂŶƐĨŽƌƚŚĞƚƌĂĚŝŶŐĚŝǀŝƐŝŽŶ͘ oĞǀĞůŽƉĂŶŶƵĂůĮŶĂŶĐŝĂůƉůĂŶ͕ƵŶĚĞƌƐƚĂŶĚďĂƐŝĐWͬ>ĮŶĂŶĐŝĂůĂĐĐŽƵŶƟŶŐĂŶĚďĞĂĐĐŽƵŶƚĂďůĞĨŽƌ ƚŚĞĮŶĂŶĐŝĂůŽƵƚĐŽŵĞŽĨƚŚĞĚŝǀŝƐŝŽŶ͘ oŝƌĞĐƚĐŚĂŶŶĞůĚĞǀĞůŽƉŵĞŶƚĂĐƟǀŝƚLJĂŶĚĐŽŽƌĚŝŶĂƚĞƐĂůĞƐĚŝƐƚƌŝďƵƟŽŶďLJĞƐƚĂďůŝƐŚŝŶŐƐĂůĞƐ ƚĞƌƌŝƚŽƌŝĞƐ͕ƋƵŽƚĂƐĂŶĚŐŽĂůƐ͘ oĞůŝǀĞƌƐĂůĞƐƉƌĞƐĞŶƚĂƟŽŶƐǁŝƚŚƚŚĞŐŽĂůŽĨŵĂƌŬĞƟŶŐŽƵƌƐĞƌǀŝĐĞƐĂŶĚƉƌŽĚƵĐƚƐƚŽŬĞLJĐůŝĞŶƚƐŝŶ ĐŽŽƌĚŝŶĂƟŽŶǁŝƚŚƚƌĂĚŝŶŐƚĞĂŵ͘ oŽŽƌĚŝŶĂƚĞĂŶĚƉƌŽďůĞŵƐŽůǀĞŝŶĂƉƌŽĨĞƐƐŝŽŶĂůŵĂŶŶĞƌǁŝƚŚƚƌĂĚŝŶŐƚĞĂŵ͕ĐƵƐƚŽŵĞƌĂĐĐŽƵŶƚƐ͕ ĐƌĞĚŝƚŵĂŶĂŐĞŵĞŶƚĂŶĚƋƵĂůŝƚLJĂƐƐƵƌĂŶĐĞ͘ oWƌĞƐĞŶƚƉĞƌŝŽĚŝĐƐĂůĞƐƌĞƉŽƌƚƐŚŽǁŝŶŐƐĂůĞƐǀŽůƵŵĞ͕ƉŽƚĞŶƟĂůƐĂůĞƐĂŶĚĂƌĞĂƐŽĨƉƌŽƉŽƐĞĚĞdžƉĂŶƐŝŽŶ͘ odƌĂǀĞůƵƉƚŽϱϬйŽĨƚŚĞƟŵĞ͘ oDĞĞƚĞƐƚĂďůŝƐŚĞĚƐĂůĞƐƋƵŽƚĂͬŐŽĂůƐďLJŽďƚĂŝŶŝŶŐŶĞǁďƵƐŝŶĞƐƐŽƉƉŽƌƚƵŶŝƟĞƐĂŶĚƌĞŶĞǁŝŶŐŽƌĚĞƌƐ ŽŶĞdžŝƐƟŶŐďƵƐŝŶĞƐƐ͘ oƩĞŶĚ/ŶĚƵƐƚƌLJdƌĂĚĞ^ŚŽǁƐΘƉĂƌƟĐŝƉĂƚĞƐŝŶdƌĂĚĞƐƐŽĐŝĂƟŽŶĨƵŶĐƟŽŶƐ͘ WANTED TO BUY • Under Grade Dairy Powders or Blends for Feed • Will Purchase Retained Sample Bags • Will Purchase Whirl-Pak Bags • No Quantity Too Large or Too Small John Davis john@mandjsalesllc.com (920) 878-0688 Codie Wegener codie@mandjsalesllc.com (920) 422-4767 Call today; we build lasting partnerships! For more information please visit www.mandjsalesllc.com GOT CHEESE? We purchase scrap cheese cheese (fish floor sweeps, sweeps,etc.) etc.) (fish bait, floor for feed. We We can can pick pick up up on on aa spot, weekly weekly or or monthly monthly basis. basis. Please contact: tom@whalenfoodsinc.com (866) 547-6510 IDEAL CANDIDATE WILL POSSESS THE FOLLOWING: o<ŶŽǁůĞĚŐĞŽĨƚŚĞĚĂŝƌLJŝŶĚƵƐƚƌLJĂŶĚŐŽŽĚƐƚĂŶĚŝŶŐƌĞƉƵƚĂƟŽŶ͕ďŽƚŚǁŝƚŚĐƵƐƚŽŵĞƌƐĂŶĚƐƵƉƉůŝĞƌƐ͘ o^ƚƌŽŶŐĂŶĂůLJƟĐĂůĂŶĚŽƌŐĂŶŝnjĂƟŽŶĂůƐŬŝůůƐ͘ oďŝůŝƚLJƚŽŚŝƌĞ͕ƚƌĂŝŶ͕ĐŽĂĐŚĂŶĚŚŽůĚĂƐĂůĞƐͬƚƌĂĚŝŶŐƚĞĂŵĂĐĐŽƵŶƚĂďůĞƚŽŐŽĂůƐ͘ o^ƚƌŽŶŐŝŶƚĞƌƉĞƌƐŽŶĂůƐŬŝůůƐ͕ƐĞůĨͲƐƚĂƌƚĞƌ͕ǁŝůůŝŶŐƚŽƚĂŬĞŝŶŝƟĂƟǀĞ͘ o^ƚƌŽŶŐƉƌŽũĞĐƚŵĂŶĂŐĞŵĞŶƚĂŶĚĚĞĐŝƐŝŽŶͲŵĂŬŝŶŐƐŬŝůůƐ͘ oWŽƐƐĞƐƐƐƚƌŽŶŐǀĞƌďĂůĂŶĚǁƌŝƩĞŶĐŽŵŵƵŶŝĐĂƟŽŶƐŬŝůůƐǁŝƚŚŝŶƚĞƌŶĂůͬĞdžƚĞƌŶĂůĐƵƐƚŽŵĞƌƐ͘ oīĞĐƟǀĞŽǀĞƌĂůůĐŽŵŵƵŶŝĐĂƟŽŶƐŬŝůůƐ;ŝ͘Ğ͕͘ĂƐŝŶǁƌŝƟŶŐƐĂůĞƐŽƌĚĞƌƐ͕ŽƌĚĞƌǀĞƌŝĮĐĂƟŽŶ͕ĞŵĂŝů correspondence, etc.). oDƵƐƚďĞĂďůĞƚŽŵƵůƟƚĂƐŬĂŶĚŽƌŐĂŶŝnjĞŝŶĂĨĂƐƚͲƉĂĐĞĚĞŶǀŝƌŽŶŵĞŶƚ͘ o,ĂǀĞƐŽůŝĚŶĞŐŽƟĂƟŽŶͬůŝƐƚĞŶŝŶŐƐŬŝůůƐǁŝƚŚĂĨŽĐƵƐŽŶĞdžĐĞůůĞŶƚĐƵƐƚŽŵĞƌƐĞƌǀŝĐĞĂŶĚƐĂƟƐĨĂĐƟŽŶ͘ odĞĂŵƉůĂLJĞƌʹŵƵƐƚďĞĂďůĞƚŽǁŽƌŬĐůŽƐĞůLJǁŝƚŚŽƚŚĞƌƐŽŶƚŚĞƚĞĂŵ͘ oDƵƐƚďĞĂďůĞƚŽ͞ĐůŽƐĞƚŚĞƐĂůĞ͕͟ŚĂǀĞĂƐƵĐĐĞƐƐĨƵůĐůŽƐŝŶŐƌĂƟŽĂŶĚŵĂŝŶƚĂŝŶĂĐƵƐƚŽŵĞƌůŽŐ͘ o,ĂǀĞƚŚĞĂďŝůŝƚLJƚŽĐĂůĐƵůĂƚĞŶƵŵďĞƌƐĂŶĚĂŵŽƵŶƚƐƐƵĐŚĂƐĚŝƐĐŽƵŶƚƐ͕ŝŶƚĞƌĞƐƚ͕ĐŽŵŵŝƐƐŝŽŶƐ͕ ĨƌĞŝŐŚƚƌĂƚĞƐ͕ĐŽŶǀĞƌƐŝŽŶƚŽDĞƚƌŝĐƚŽŶƐ͕ĞƚĐ͘ oďŝůŝƚLJƚŽŝŶƚĞƌƉƌĞƚĂǀĂƌŝĞƚLJŽĨŝŶƐƚƌƵĐƟŽŶƐĨƵƌŶŝƐŚĞĚŝŶǁƌŝƩĞŶŽƌŽƌĂůĨŽƌŵ͘ oWŽƐƐĞƐƐĐŽŵƉĞƚĞŶƚĐŽŵƉƵƚĞƌƐŬŝůůƐƚŽŽƉĞƌĂƚĞĂŶĚƵƟůŝnjĞDŝĐƌŽƐŽŌKƵƚůŽŽŬ͕tŽƌĚ͕džĐĞů͕ WŽǁĞƌWŽŝŶƚ͕^ŵĂƌƚWŚŽŶĞƚĞĐŚŶŽůŽŐLJĂŶĚZD^ŽŌǁĂƌĞĨŽƌůĞĂĚƚƌĂĐŬŝŶŐŝŶĨŽƌŵĂƟŽŶ͘ ohƉŚŽůĚĂŶĚƐƵƉƉŽƌƚŽƌŐĂŶŝnjĂƟŽŶĂůŐŽĂůƐĂŶĚǀĂůƵĞƐ͘ odĂŬĞƚŚĞŝŶŝƟĂƟǀĞƚŽĂƐŬĨŽƌĂŶĚŽīĞƌŚĞůƉǁŚĞŶŶĞĞĚĞĚ͘ &ŽƌĐŽŶƐŝĚĞƌĂƟŽŶ͕ƉůĞĂƐĞĨŽƌǁĂƌĚLJŽƵƌƌĞƐƵŵĞƚŽ: (NO phone calls please!) Email: cfo@mctdairies.com FAX: 877.543.9911 www.whalenfoodsinc.com For more information please visit www.whalenfoodsinc.com USDA updates safeguard trigger levels for cheese, dairy imports WASHINGTON — USDA’s Foreign Agricultural Service (FAS) in the May 20 Federal Register listed the updated quantity-based trigger levels for dairy and other products which may be subject to additional import duties under the safeguard provisions of the World Trade Organization (WTO) Agreement on Agriculture. Article 5 of the WTO Agreement on Agriculture provides that additional import duties may be imposed on imports of products subject to tariffication as a result of the Uruguay Round, if certain conditions are met. The agreement permits additional duties to be charged if the price of an individual shipment of imported products falls below the average price for similar goods imported during the years 1986-88 by a specified percentage. It also permits additional duties to be imposed if the volume of imports of an article exceeds the average of the most recent three years for which data are available by 5, 10 or 25 percent, depending on the article. These additional duties may not be imposed on quantities for which minimum or current access commitments were made during the Uruguay Round negotiations, and only one type of safeguard, price or quantity may be applied at any given time to an article, FAS says. Updated quantity-based safeguard triggers for dairy product imports during calendar year 2014 are as follows: • NSPF (not specifically provided for) cheese: 102.3 million pounds. • Swiss cheese: 55.1 million pounds. • Cheddar cheese: 17.7 million pounds. • Other American-type cheese: 443,705 pounds. • Italian-type cheese: 40.2 million pounds. • Edam and Gouda: 15.2 million pounds. • Blue cheese: 9.9 million pounds. • Gruyere process cheese: 7.2 million pounds. • Lowfat cheese: 346,141 pounds. • Butter: 14.7 million pounds. • Butteroil and butter substitutes: 11.7 million pounds. • Dairy mixtures: 27.9 million pounds. • Dried whole milk: 7.3 million pounds. • Nonfat dry milk: 1.1 million pounds. • Evaporated or condensed milk: 2.1 million pounds. • Dried whey/buttermilk: 91,381 pounds. • Dried cream: 24,057 pounds. • Cream: 129,711 liters. • Ice cream: 2.2 million liters. • Animal feed containing milk: 163,319 pounds. For more information, contact Souleymane Diaby, international trade specialist, FAS, at 202-720-2916; e-mail: Souleymane.Diaby@fas.usda.gov. CMN Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 19 NEWS/BUSINESS MARKET Continued from page 1 has said Japan will not abolish tariffs in five agricultural sectors including basic agricultural products such as dairy, sugar, rice, beef, pork, wheat and barley, as well as many downstream products made from these items. The International Dairy Foods Association (IDFA) joined U.S. pork, rice and wheat organizations in a statement warning that the broad exemption Japan is demanding will encourage other partner countries to withhold their sensitive sectors as well. “Minister Amari’s statement in Singapore that none of Japan’s sensitive agricultural items will be fully liberalized may signal the end of hopes for the TransPacific Partnership to become a truly comprehensive and forward-looking 21st century agreement,” the groups say. “The result would fall far short of a truly comprehensive agreement that would set a new standard for future trade agreements,” the statement continues. “In fact the TPP envisioned by Japan, if it stands, would be the least comprehensive agreement the U.S. has negotiated since the 21st century began.” The groups say U.S. negotiators still have a chance to push Japan to provide meaningful agricultural market access in the agreement. However, if Japan continues to refuse to open its agricultural sector to meaningful competition, the groups urge leaders to suspend negotiations with Japan to conclude a comprehensive agreement with TPP partners who are willing to meet the same goals. Meanwhile, the fifth round of Transatlantic Trade and Investment Part- nership (TTIP) negotiations also were held last week in Arlington, Va., where negotiators from the United States and European Union heard from a record number of stakeholders during an open public forum. During the stakeholder event, IDFA Senior Group Vice President Clay Hough outlined the U.S. dairy industry’s position on geographical indications (GIs), centering on protecting common food names for use by U.S. dairy companies. “The EU’s recent GI strategy is incompatible with the fundamental goal of a trade negotiation, which is to remove trade barriers — not add them — and allow for greater competition,” Hough told U.S. and EU negotiators. “TTIP should not be a vehicle to deny U.S. dairy companies the use of common food names.” Hough also noted that the U.S. dairy industry is not opposed to legitimate GIs. At the same stakeholder meeting, oriGIn — a global coalition of GI groups — spoke in favor of protecting geographical indications. “Through GIs, producers differentiate their goods, leveraging their geographical origin and associated qualities. As intellectual property rights, though, recognized internationally by the 159 members of the World Trade Organization (WTO), GIs must be adequately protected, primarily in the interest of consumers,” says Giorgio Bocedi, legal advisor for the Consorzio Tutela Aceto Balsamico di Modena and the Consorzio Formaggio Parmigiano Reggiano. CMN 3-A SSI offers new draft standard for equipment, systems MCLEAN, Va. — 3-A Sanitary Standards Inc. has announced the availability of a new draft standard for public review: 3-A Sanitary Standards General Requirements T-00-00. The proposed standard establishes minimum sanitary (hygienic) requirements for design, materials and fabrication/installation of equipment and systems. This draft standard is intended for use on a voluntary basis by equipment and machinery fabricators, processors and regulatory agencies and by other Standard Developer Organizations to help assure that adequate public health protections exist for the equipment or systems and covered products. 3-A SSI uses this document as its primary source of hygienic design criteria for 3-A Symbol authorization. The standard defines the general requirements for hygienic equipment intended for processing milk, milk products, foods, food ingredients, beverages or other edible materials. 3-A SSI is developing the new standard as an American National Standard to inform all interested parties and to encourage participation in the project. 3-A Sanitary Standards are developed through a consensus-based process where the cooperative efforts of industry experts define the technical content. Work on the new draft standard began in 2011 and a general announcement inviting participation in the drafting was made in January 2012. A free copy of the draft standard is now available at www.3-a. org, under Standards and Committees, Interpretations and Public Review Drafts. Comments on the draft should be sent to Eric Schweitzer at 3-A SSI no later than July 1. CMN More News, More Solutions, More Choices! Choose the Best... Cheese Market News. Because the Right News Matters! We fill our newspaper each week with news “that is all about YOU.” The weekly news coverage and support you receive from CHEESE MARKET NEWS is unmatched in the industry. We take serious news, add in analysis, attention to detail, passion and integrity to deliver the highest level of coverage and service in the cheese business! Call us today to discuss your marketing needs or to subscribe. 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SUBSCRIBER SERVICES • P.O. Box 628254 • Middleton, Wisconsin 53562 E-mail: squarne@cheesemarketnews.com • Website: www.cheesemarketnews.com For more information please visit www.cheesemarketnews.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 20 CHEESE MARKET NEWS® — May 30, 2014 NEWS/BUSINESS SCHOOL Continued from page 1 An amendment that would have removed the waiver from the budget bill was defeated. Congressmen in favor of the waiver say they are responding to requests from local schools that experienced higher costs and noticed more food waste when they attempted to meet the new standards. Some school districts and the School Nutrition Association requested the waiver to allow more time for schools to adjust their procurement strategies to meet the new school meal regulations. The International Dairy Foods Association supports the proposed House waiver provision, noting the organiza- tion is concerned that the new meal regulations are resulting in declines in school milk consumption. However, U.S. Agriculture Secretary Tom Vilsack says the House bill undermines the effort to provide school children with more nutritious food and would be a major step backward for the health of American children. “School nutrition standards are developed by independent experts, over 90 percent of schools report that they are successfully implementing them, and studies show they are working to help kids be healthier,” Vilsack says. “USDA has continued to show flexibility in implementing these new standards, and Congress should focus on partnering with USDA, states, schools and parents to help our kids have access to more healthy food, not less. Championed by first lady Michelle Obama, the new rules have been phased in over the past two school years, with more changes to come this year. The rules set fat, calorie, sugar and sodium limits on foods in the lunch line and beyond. News reports say the first lady is pushing back against the bill’s language to include a waiver for compliance with the rules. Meanwhile, there are reports a Senate compromise emerged last week that opens up the possibility of delaying or voiding sodium standards set for 2017, expands whole wheat flexibility and requires a report to Congress on efforts to help schools that are having trouble enticing students to eat the healthier meals. USDA Under Secretary for Food, Nutrition and Consumers Services Kevin Concannon last week announced new flexibility for school districts working to meet updated whole grain requirements. Schools demonstrating significant challenges in serving whole grain-rich pastas now can continue serving traditional enriched pasta products for up to two years as the industry works to develop healthy pasta that works for schools. “We continue to listen and work closely with schools and parents to implement common-sense nutritional guidance that supports a healthier next generation,” Concannon says. “But with one-third of American children fighting obesity, we cannot accept politically motivated efforts to undermine standards and deny kids healthier options.” CMN Brunkow Cheese issues recall due to undeclared soy DARLINGTON, Wis. — Brunkow Cheese is voluntarily recalling its 8-ounce tubs of Fayette Creamery brand Jalapeno Pepper Raw Milk Cheddar Cold Pack Cheese Spread because it may contain an undeclared soy ingredient. People who have allergies or severe sensitivity to soy run the risk of serious or life-threatening allergic reaction if they consume these products. The recalled cheese spreads are distributed nationwide in retail stores, at farmers’ markets and through direct sales on premise at Brunkow Cheese in Darlington, Wis. The products come in 8-ounce, clear plastic tubs marked with a range of sell-by dates and codes on the bottom. No illnesses have been reported to date in connection with this problem. The recall was initiated after it was discovered that the soy-containing product was distributed with a label that did not reveal the presence of soy. Subsequent investigation indicates the problem was caused by an oversight in the company’s labeling process. Production of the product has been suspended until Brunkow Cheese is certaintheproblemhasbeencorrected. CMN E. coli in Michigan traced to raw milk For more information please visit www.devilletechnologies.com HOLLAND, Mich. — Two cases of E. coli O157:H7 in West Michigan have been traced to the consumption of raw milk products from an Ottawa County, Mich., cow share program. In March, a 31-year-old Muskegon County woman became ill after drinking raw milk, and in April, a 6-year-old child from Kent County became ill after possible consumption of the raw milk product. The Ottawa, Muskegon and Kent County health departments have issued a joint release warning consumers of the risks of consuming raw milk. It is not legal to sell raw milk or raw milk products in Michigan. Some consumers in the state obtain raw milk through herd share programs, which are not licensed or inspected by state or local agencies. CMN Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 21 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 1 Agri-Mark Inc. Methuen, Mass. Key executives: Richard Stammer, CEO; Ed Townley, COO; Richard Johnson, sr. VP, sales; Roberta MacDonald, sr. VP, marketing; James Pratt, sr. VP, manufacturing; Robert Wellington, sr. VP, economics, communications & legislative affairs; Raymond Dyke, VP, technology; Robert Stoddart, sr. VP, member services; Peter Gutierrez, international sales dir. Dairy plants: Chateaugay, N.Y. (Cheddar, Muenster); Cabot, Vt. (Cheddar, flavored Cheddars, cultured products, cut & wrap); Middlebury, Vt. (Cheddar, whey protein); West Springfield, Mass. (butter, powder, condensed blends) Estimated annual cheese produced: 55 million lbs. Estimated annual cheese marketed: 55 million lbs. 2013 sales: $900 million Projected 2014 sales: $910 million Percentage of sales from cheese: 35% Websites: www.agrimark.coop, www. cabotcheese.coop, www.mccadam.coop A look inside: Agri-Mark Inc. this year was excited to launch its new premium Cabot Legacy line, which includes three Cheddars for consumers looking to entertain or have a quiet night at home. The line draws on Cabot’s farmer heritage, bringing three unique deli cheeses to the dairy case: Farmhouse Reserve, an artisanal-grade Cheddar; Alpine Cheddar; and White Oak Cheddar, which has a subtle caramel sweetness and hints of toasted nuts. The Britishstyle White Oak Cheddar was inspired by the cooperative’s award-winning Cabot Clothbound Cheddar, company officials say. The launch of the new line comes with its own microsite, www.cabotcheese. coop/legacy, which includes videos, recipes, wine and beer pairings, and educational information about the cheeses. “We’re investing a lot of resources in the legacy collection, and we hope it resonates with consumers,” says Doug DiMento, spokesperson, Agri-Mark. Agri-Mark is the largest dairy farmer cooperative in New England. The cooperative is active on regulatory and legislative issues for its members, and it works year-round to develop new markets for its members’ milk. Agri-Mark markets much of its milk under its Cabot brand name, which has steadily increased sales over the past several years. Together, with Agri-Mark’s McCadam brand in New York, Cabot and McCadam represent 1,200 farm families in America’s Northeast. Another new item from Cabot that debuted in 2013 is Everything Bagel Cheddar, which features the classic flavors of an everything bagel in a handrubbed Cheddar, available at retail in the deli case. Additional new items introduced under the Cabot line in 2013 include Cracker Cuts — 8-ounce pre-sliced dairy bars — Light French Onion Dip and Whipped Butter. In an effort to bring consumers closer to its farmer-members, Agri-Mark in 2013 launched the first-ever Cabot Dairy Farmer Gratitude Tour. More than 75 New York State and New England dairy farmers, clad in red and black plaid, descended upon New York City Nov. 8 to personally give thanks to New Yorkers for their loyalty and support. Coach buses, wrapped in plaid, traveled throughout Manhattan and Brooklyn dropping off the farmers at scores of locations to give thanks to consumers with giveaways, award-winning cheese tastings and an Instagram contest. “It helped us increase our visibility and sales, and it was a good opportunity for our farmers to interact with consumers,” DiMento says. “We’re always trying to make the connection with consumers that we’re owned by farmers and our products are locally-produced in the Northeast.” The cooperative also held an “Open Farm Sunday” Oct. 13. Consumers were invited to visit one of 49 farms to learn about “farm to fork” sustainability, try the “World’s Best Cheddar” and meet their local dairy farmers. In March, Cabot Creamery launched the fifth iteration of Reward Volunteers. Reward Volunteers 5.0 will honor volunteers from across the country with a variety of prizes each month through March 14, 2015. The program was first launched in February 2012. Since then, it has grown each month and given away thousands of dollars in cash and prizes to deserving volunteers and volunteer organizations, Turn to KEY PLAYERS, page 22 a Tetra Scherping™ Yield Master Vat Durable, Dependable, Irreplaceable Patented counter rotating shafts. Higher cheese yields. Minimal RPM speeds. Reduced water usage. Built right to ensure minimal maintenance. Contact us: (320) 485-4401 Info.cheese@tetrapak.com Tetrapak.com/cheese Tetra Pak, , PROTECTS WHAT’S GOOD and Tetra Scherping Yield Master Vat are trademarks belonging to the Tetra Pak Group. For more information please visit www.tetrapak.com/cheese Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 22 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 21 Agri-Mark officials say. Cabot Creamery in April launched a “Pedal for Good” ShopRite Store Challenge. The seven-store challenge launched April 26 at the Greater Morristown ShopRite in Cedar Knolls, N.J., and coincided with ShopRite’s Earth Day 2014 celebration at its Cedar Knolls store. The program runs through June 14 and includes stops at ShopRite stores in Livingston, Union, Washington, West Orange, Bernardsville and Hillsborough, N.J. “We’re inviting ShopRite customers to hop on our human-powered blender bike to make Cabot smoothies and ‘Pedal for Good,’” says Karen Houchens, marketing manager, Cabot. Participants are challenged to rack up as many miles as they can on the blender bike. Houchens notes Cabot will donate 200 pounds of Cheddar to the winning store’s food pantry of choice, and other participating stores each will win 50 pounds of Cabot Cheddar for the food pantries of their choice. Agri-Mark Inc. and its Cabot and McCadam brands continued to do well on the cheese and dairy contest circuit this past year. At this spring’s World Championship Cheese Contest, Cabot Creamery Cooperative’s Vermont Medium Cheddar earned third place in its class, and Cabot’s Cheddar, Vermont aged 2-plus years took first and third in the Cheddar, Aged 2 Years or Longer class. Cabot’s Cottage Cheese Team swept the cottage cheese class at the contest with its Vermont Style Cottage Cheese, and the cooperative’s Hot Buffalo Wing Cheddar placed first in the Pepper Fla- vored “American” Style Cheeses (Colby & Cheddar) class at the contest. At the National Milk Producers Federation’s Championship Cheese Contest this past November, Agri-Mark’s Vermont Medium Cheddar placed first in its class. At last fall’s World Dairy Expo Championship Dairy Product Contest, Cabot Creamery earned a third place award for its sour cream. At the 2013 American Cheese Society competition, Cabot Creamery earned first place awards for its 75-percent Reduced Fat Cheddar, Cabot Tuscan Cheddar and Cabot Jalapeno 50-percent Reduced Fat Cheddar; second place awards for its Cabot Vanilla Bean Greek Style Yogurt and Cabot 83 Butter; and third place awards for its Cabot Monterey Jack and Cabot Old School Cheddar. The cooperative’s McCadam Cheese brand placed second in its class with McCadam Muenster at the same contest. The McCadam Cheese Team also earned first place awards at last summer’s New York State Fair Dairy Products Competition for its Cheddar, Aged Cheddar and “Super” Aged Cheddar. Looking to the future, the cooperative is looking toward an expansion at its plant in Chateaugay, N.Y. “We’re looking at a long-term commitment to upgrade and expand that plant over the next several years,” DiMento says. In addition, the cooperative is building a pipeline for natural gas to reach the Chateaugay plant in 2014, and sometime in 2015 or 2016, there will be a natural gas line at its Middlebury, Vt., plant, DiMento notes. “We’re investing in new technology within the plants to handle natural gas, which is a cheaper and more clean For more information please visit www.epiplastics.com energy source,” he says. Agri-Mark also is looking for ways to double its profits over the next several years to reach the $18-$20 million range, he notes. “The last seven years have been some of the most profitable in the history of the co-op,” he says. Agropur Cooperative Longueuil, Quebec Key executives: Serge Riendeau, pres.; Robert Coallier, CEO; Jocelyn Lauzière, sr. VP & CFO; Benoit Gagnon, exec. VP, corporate development; Robert Gour, sr. VP, change management; Serge Fortier, sr. VP, information technology; Lorraine Bédard, sr. VP, legal affairs, member relations & corporate secretary; Louis Lefebvre, pres., Cheese & Ingredients Division; Serge Paquette, pres., Division Natrel & Fresh Products; Dominique Benoit, sr. VP, institutional affairs & communications; Pierre Corriveau, sr. VP, human capital Cheese plants: A variety of cheese and ingredient products are processed in: Beauceville, Quebec; Granby, Quebec, Hull, Iowa (Green Meadows Foods); La Crosse, Wis. (Main Street Ingredients); Lethbridge, Alberta (Sunnyrose Cheese), Little Chute, Luxemburg and Weyauwega, Wis. (Trega Foods); Notre-Dame-du-BonConseil, Quebec; Oka, Quebec; Pleissisville, Quebec; Preston, Minn. (Foremost); Saint-Hyacinthe, Quebec; St-Damase, Quebec (Damafro); Truro, Nova Scotia (Farmers Cooperative Dairy); and Woodstock, Ontario (Bright Cheese House) Estimated 2013 sales (fiscal year ended Nov. 2, 2013): C$3.8 billion Website: www.agropur.com A look inside: Agropur Cooperative celebrated its 75th anniversary in 2013 with a series of internal and external activities throughout the year. Among these was a banquet attended by more than 1,000 guests, the “75 X Thank you!” campaign, which provided each employee across Canada and the United States with a cooler filled with Agropur products to thank them for their dedication and engagement, and the production of a book presenting highlights throughout the cooperative’s history. Agropur processes more than 7.5 billion pounds of milk annually in its 31 plants across North America, with 40 percent of its total products from Canada and 60 percent from the United States. The cooperative has grown through more than 130 mergers and acquisitions over its 75-year history; currently has 6,188 employees and 3,348 farmer members; and plans to continue its expansion over the coming years. “We must attain critical mass over the coming years in order to ensure our cooperative’s longevity and remain a significant player in the fast-consolidating global dairy industry,” says Robert Coallier, CEO, Agropur Cooperative. “That is why we intend to pursue growth, both organic and through acquisitions, and aspire to become a dominant player in the industry.” Following its major acquisition of Canada’s Farmers Cooperative Dairy last spring, Agropur also last year acquired Foremost Farms USA’s dry blending business in Preston, Minn., as well as other dairy businesses. In November, Agropur agreed to acquire Fromagerie Damafro, a major Quebec producer of fine traditional cheeses and a Canadian leader in the production of Camembert and Brie. Also in November, Agropur acquired M. Larivee International Inc. (MLI), which has employees in Canada and the United States. “The acquisition of MLI goes hand in hand with our desire to develop the export market,” Coallier says. “MLI’s expertise will see us significantly accelerate our development as well as access very promising markets.” This spring, Agropur concluded a merger agreement with New Brunswickbased Dairytown Products Ltd., which supplies butter, skim milk powder and custom milk powder blends to the retail, foodservice and further processing trades. In December, Agropur announced plans to build a new head office connected to its Fine Cheese Business unit’s existing building in Longueuil, Quebec. Construction began in March, and the building, which will serve both as Agropur’s head office and administrative center, will house more than 600 employees when it opens in early 2016. This past year, Agropur also made major investments by adding capacity and floor space as well as increasing state-of-the-art equipment at its Trega Foods plant in Luxemburg, Wis. The Luxemburg expansion cost C$108 million. “This key project for our cooperative will ensure our organic growth on the expanding U.S. market,” Coallier says of the Luxemburg expansion, adding that more than 50 percent of Agropur’s cheese production now originates in the United States. The company also this past year has added on to its Sunnyrose Cheese plant in Lethbridge, Alberta, and its Agropur Signature cheese plant in Oka, Quebec. Several of Agropur’s cheeses received awards at U.S. contests this past year. At the American Cheese Society’s 2013 competition, Agropur received first place awards for its Camembert l’Extra and Oka l’Artisan, and second place awards for its Brie Normandie, Camembert Vaudreuil, Chevalier Triple Crème, Rondoux Double Crème and Havarti Jalapeno. Turn to KEY PLAYERS, page 23 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 23 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 22 At the 2013 Wisconsin State Fair competition, Cheddars from Agropur’s Weyauwega, Wis., plant won both first and second place in the mild Cheddar category, while cheeses from its Luxemburg, Wis., plant swept the Mozzarella class. Agropur’s Feta from Weyauwega also placed first in its class. At the World Dairy Expo contest last fall, reduced-fat Monterey Jack produced at Agropur’s Hull, Iowa, plant and distributed by Masters Gallery Foods won first in the Reduced Fat category. Agropur also placed first with its whey protein isolate at this contest. Agropur picked up more than 20 prizes at the 2014 World Championship Cheese Contest. It won best of class awards for its mild Cheddar, medium Cheddar, whole-milk Mozzarella, lowmoisture Mozzarella, smoked Provolone, Feta, reduced-sodium Provolone and Brie Chevalier Triple Crème. It received second place for mild Cheddar, sharp Cheddar, Monterey Jack, Colby Jack, Provolone, smoked Provolone, Feta, Brie Double Crème Vaudreuil, Brie Chevalier Pepper and Crème de Grand Cheddar. Third place awards went to its aged Cheddar, low-moisture part-skim Mozzarella, Camembert l’Extra and Champfleury. Agropur notes that the recentlysigned trade agreement between Canada and the European Union is expected to have a major impact on the Canadian cheese industry and dairy sector, with the gradual addition of close to 40 million pounds of European cheese to the Canadian market. Despite this and other challenges, for 75 years Agropur has been focused on turning challenges into business opportunities, according to Serge Riendeau, president, Agropur Cooperative. “Our cooperative’s 75th anniversary will be remembered as a year in which we picked up the pace, tightened our processes and invested strategically in order to face the challenges of tomorrow, respond effectively to the demands of growth, and meet and exceed the expectations of growing numbers of clients and consumers,” he says. human resources; Elizabeth Rapone, business mgr. Cheese plant: Moonachie, N.J. (cut & wrap facility). ANCO does not produce cheese; it imports and distributes specialty cheeses throughout the U.S. Estimated annual cheese marketed: +/- 30 million lbs. Percentage of sales from cheese: 98% Market segments for cheese: 80% retail; 20% foodservice Websites: www.ancofoods.com, www. iledefrancecheese.com, www.ilvillaggiocheese.com, www.affinagecheese.com A look inside: ANCO Fine Cheese, which is owned by Schratter Foods Inc., a subsidiary of Bongrain S.A., imports cheeses from more than 20 different countries. Its parent company Bongrain S.A. counts itself as one of the world’s largest producers of specialty cheese, converting approximately 8 billion pounds of milk annually. The product ANCO imports to the United States includes product from Bongrain SA, Friesland Campina and Wensleydale Creamery. For many of the products it imports, ANCO is the exclusive U.S. importer. The company sources its cheese directly from overseas manufacturers and cuts and wraps when necessary at its own facility in Moonachie, N.J. The ANCO facility features Cryovac, L-seal and Hayssen packaging capabilities as well as smoking and Blue cheese rooms. The company also recently began offering a full line of shreds for foodservice that are processed at the Moonachie plant. ANCO says it is well-equipped to service its customers nationwide. The company distributes cheeses throughout the United States from its five distribution centers located in Elizabeth, N.J.; Charlotte, N.C.; Miami, Fla.; Houston, Texas; and Los Angeles, Calif. This guarantees freshness and food safety control, says Sebastien Lehembre, marketing manager, ANCO. The company offers direct-store-delivery and also works with broker networks, offering a great deal of flexibility for individual customers’ needs. Turn to KEY PLAYERS, page 24 a Industrial Flooring Specialists for Over 50 Years! We combine the highest quality materials with time-proven installation. 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Ownership: a division of Schratter Foods Inc., a subsidiary of Bongrain S.A., Viroflay, France Key executives: Alain Voss, CEO; Bertrand Proust, CFO; Sebastien Lehembre, marketing mgr.; Ginger Bowen, dir., procurement; Dennise Tapia, dir., A national leader, Stogsdill Tile Company has specialized in the design, installation and repair (with a focus on preventative maintenance) of acid brick/tile flooring since 1963. Call 800.323.7504 today for a free, no-obligation estimate or Visit us on the web at www.stogsdilltile.com Estimating Department: Joe Kline • Email: kline1314@rcn.com • Phone: 610-583-0582 • Web: www.stogsdilltile.com Home Office: 14604 Harmony Road • Huntley, IL 60142 • Phone: 847-669-1255 • Fax: 847-669-1278 • Toll Free: 800-323-7504 For more information please visit www.stogsdilltile.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 24 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 23 One of the lines for which ANCO is best known is the Ile de France brand. The brand includes Brie, the leading imported Brie in the United States, as well as a true Normandy Camembert and Chèvre. Other French brands ANCO carries include St. André, Suprême and St. Agur, a buttery Blue cheese. This year, Ile de France, St. André, Suprême and St. Agur are sponsoring “Experience The French Touch,” a consumer promotion intended to teach and encourage U.S. consumers in the use of French cheeses. The promotion offers unique pairing ideas and shows how simple ingredients can be added together for a delicious “wow” factor. The promotion includes an online and social media presence, yearlong on- and in-pack communication, in-store communications and seasonal promotions. Il Villaggio, a major Italian brand ANCO imports, also will be sponsoring its own Italian cheese promotion this year. Il Villaggio is ANCO’s No. 2 top-selling brand and the No. 1 imported brand of Parmigiano Reggiano and imported Mascarpone. In keeping with the growing popularity of Italian cheese nationwide, the Il Villaggio brand will offer American consumers “The Italian Kitchen Promotion,” which, like its French cheese promotion counterpart, will include all aspects of marketing including social media and on-pack and in-store programs. Aiding in the development of these promotions is a corporate chef who was hired last year, Lehembre says. Having a corporate chef on board not only is helpful in recipe development, but also in sales calls with foodservice customers and showcasing different ways the cheeses can be utilized. In addition to generating excitement for its best-known brands, ANCO is carrying several new SKUs under these brands as well as others. Recent additions to the Ile de France line are Chèvremousse, a versatile whipped goat cheese, and Crème de Bleu, a spreadable Blue cheese with real Blue crumbles. New items under the Il Villaggio brand are Asiago Fresco PDO and Montasio Mezzano PDO. Last year, ANCO introduced to the United States la Cabaña, a new exclusive brand for the company. The line includes non-PDO Spanish cheeses such as Rosemary Goat, a pale color cheese with a creamy texture featuring balance between the goat flavor and fresh herbs, and Iberco, a cow/sheep/goat’s milk cheese aged three months. In February, ANCO began offering a limited edition Red Fox-Red Leicester Crunch from the United Kingdom’s Belton Farm. The cheese is described as being made from a unique recipe using carefully selected cultures and then matured for a minimum of 15 months. Also new from Belton Farm is a Blue Stilton. And for consumers seeking an on-the-go, high-quality snack, ANCO is offering Belton Farm Mature Cheddar Bites in 80-calorie portion-controlled resealable bags as well as larger packaging for foodservice. Meanwhile, Wensleydale cheeses, English cheeses particularly known for their added flavors such as cranberry and apricot, are getting new labeling noting the brand’s recently received Protected Geographical Indication (PGI) status. Wensleydale cheeses also are now being offered in easy-to-open 5.3-ounce consumer packs. Additionally, ANCO is further developing its line of Valley Forge domestic cheeses. The newly designed line is being offered in two product ranges — the core line, which is ideal for everyday enjoyment and the more novice consumer, and Nature’s Reserve/Selection, premium cheeses for special occasions and cheese connoisseurs with a focus on specific attributes such as aging, rBSTfree and organic. Arthur Schuman Inc. Fairfield, N.J. For more information please visit www.ancofoods.com Key executives: Neal Schuman, pres. & CEO; Christophe Megevand, Tom DeAngelo, Ralph Hoffman, Rich Phillips, exec. VPs; Larry Schaefer, CFO Cheese plants: Arthur Schuman Inc., Fairfield, N.J. (cut & wrap wedges, shredded & grated cups and PET jars, cheese boards); Arthur Schuman West, Vernon, Calif. (dehydrated cheese); Arthur Schuman Midwest, Elgin, Ill. (cut & wrap, shredded & grated bags, party trays, slices); Lake Country Dairy, Turtle Lake, Wis. (Parmesan, Romano, Asiago, Mascarpone, specialty cheese); Imperia Foods, Green Bay, Wis. (Bleu, Gorgonzola); Imperia Foods, Montfort, Wis. (Bleu, Gorgonzola) Estimated annual cheese produced: 30 million lbs. Estimated annual cheese marketed: 150 million lbs. Estimated 2013 sales: $505 million Projected 2014 sales: $525 million Percentage of sales from cheese: 100% Market segments for cheese: 30% retail; 35% foodservice; 35% ingredients Percentage of products exported: 5% Website: www.arthurschuman.com, www.cellocheese.com A look inside: Arthur Schuman Inc. this past year continued to engage with consumers and increase exposure to its Cello Riserva line of specialty cheeses. Throughout 2013, Arthur Schuman launched several promotions on its Facebook page centered around holiday entertaining with Cello cheese. In October, a Halloween-inspired promotion encouraged Facebook fans to upload a photo of their “dressed-up” cheese creations directly to the Cello Facebook wall. The company in November launched a Tailgate Photo Challenge. Each week throughout the month of November, fans were encouraged to upload a photo of their tailgate-worthy cheese creations to the Cello Facebook page. Each week’s challenge consisted of a different theme, such as Dips, Slow Cooker and “Homegate.” In December, Cello celebrated the holiday season with a Plating Holiday Cheer Sweepstakes promotion, giving fans the chance to win everything they needed to make the perfect cheese plate for their holiday party. Fans were asked to comment on the featured cheese plate of the week, and winners received a slate cheese plate, cheese tools and a cooler of Cello cheese. “These promotions create excitement around our cheeses and educate consumers on what’s available and how to use our cheeses,” says Melissa Shore, marketing director, Arthur Schuman Inc. The company continues to do in-store sampling to get cheeses directly into consumers’ mouths, Shore adds. As a fourth-generation, family-owned business for more than 60 years, Arthur Schuman Inc. has a long history of importing and distributing some of the best cheeses in the world. From the company’s beginnings as an importer of Parmigiano Reggiano and Grana Padano, it has grown by expanding its focus on distributing a variety of great cheeses to all sectors of the market and areas of the globe. In the United States, Arthur Schuman operates its own production and processing facilities across the country, producing more than 70 million pounds of domestic cheese and processing more than 80 million pounds of cheese annually. As an Italian cheese importer, Arthur Schuman this past year also has focused on two newer lines of imported cheeses — “The Tuscan Collection” line of Busti cheeses from Tuscany and a Mario Costa Line of Gorgonzolas from Italy. “We’re always looking to find the best high-end specialty products in Europe to bring to the U.S. market,” says Christophe Megevand, head cheesemaker and executive vice president, Arthur Schuman Inc. Shore adds that the company always is looking for unique items with a lot of flavor that can be a “destination” cheese Turn to KEY PLAYERS, page 25 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 25 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 24 for consumers at retail. Arthur Schuman this spring announced that it has partnered with Greek company Dodoni SA, establishing Arthur Schuman as the exclusive importer and distributor of Dodoni SA Products in the United States. The partnership provides the U.S. market with widespread access to premium, authentic Greek products, says Neal Schuman, president and owner, Arthur Schuman Inc. “As a company that prides itself on importing the best cheeses and working with the strongest and most sustainable companies, Dodoni SA is a natural fit for us,” Schuman says. “We believe Dodoni, and particularly its PDO (Protected Destination of Origin) Feta cheese, will thrive in the U.S. market.” As part of its commitment to marketing high-quality cheeses from abroad, Arthur Schuman continues to invest in its domestic facilities. The company is focusing on expanding and improving its warehousing and distribution on the East Coast to meet the demands of product and processing innovation, as well as new innovations in cheese packaging, Shore notes. “We focus largely on our tagline — heritage, leadership and innovation — which really is at the forefront of everything we do,” she says. Megevand notes Arthur Schuman is continuously upgrading its plants and equipment for its Parmesan and Asiago lines. The company also recently made upgrades at its Lake Country Dairy facility in Turtle Lake, Wis., as well as its Imperia Foods plants in Montfort and Green Bay, Wis. The company also is looking at expansions at both plants this year, he adds. Arthur Schuman’s commitment to its facilities and the brands it represents is reflected in the wide industry recognition its products received over the past year. At this spring’s World Championship Cheese Contest, Arthur Schuman’s Lake Country Dairy plant took first and third in the Open Class Soft Cheeses with its Cello Rich & Creamy Style Mascarpone and Cello Thick & Smooth Mascarpone, respectively. Lake Country Dairy also placed second in the Asiago class with its Cello Riserva/Lake Country Dairy Asiago at the contest. At the 2013 Los Angeles International Dairy Competition, Arthur Schuman was awarded two gold medals for its Cello Traditional Italian Style Mascarpone and Cello Thick & Smooth Style Mascarpone. At last fall’s World Dairy Expo Championship Dairy Product Contest, Arthur Schuman’s Cello Riserva Copper Kettle Parmesan placed second in the Open Class Hard Cheese. In addition, at last summer’s American Cheese Society competition, Arthur Schuman’s Cello Thick & Smooth Mascarpone and Montfort Gorgonzola earned second-place awards in the Mascarpone — Made From Cow’s Milk and Rindless Blue-Veined — Made From Cow’s Milk classes, respectively. Associated Milk Producers Inc. New Ulm, Minn. Key executives: Ed Welch, pres. & CEO; Donn DeVelder, exec. sr. VP; Sheryl Meshke, exec. sr. VP; Jim Walsh, VP, marketing Cheese plants: Sanborn, Iowa (Cheddar, condensed whey); Paynesville, Minn. (Cheddar barrels, WPC); Rochester, Minn. (Cheddar, Colby, Colby Jack, Monterey Jack, ice cream mix, WPC, lactose, condensed whey); Hoven, S.D. (Parmesan, Romano, Asiago); Blair, Wis. (Cheddar, whey); Jim Falls, Wis. (Cheddar, Colby Jack, Monterey Jack, Pepper Jack, whey); Portage, Wis. (cheese packaging & processing) Estimated annual cheese produced: 415 million lbs. Estimated annual cheese marketed: 600 million lbs. Estimated 2013 sales: $1.8 billion Percentage of sales from cheese: 65% Market segments for cheese: 20% retail; 35% foodservice; 45% ingredients Website: www.ampi.com A look inside: This past year, Associated Milk Producers Inc. (AMPI) installed a new processing system that added the capability to dry WPC-80 at its plant in Paynesville, Minn. AMPI now can produce both WPC-80 and WPC-34 at the plant as the demand for dairy proteins, especially whey proteins, continues to grow. The Paynesville dryer is one of seven dryers in AMPI’s manufacturing network which enable the cooperative to market a complete portfolio of dairy powders that includes low-heat nonfat Turn to KEY PLAYERS, page 26 a MANUFACTURING • CUTTING • GRATING • SHREDDING • CUBING • SLICING • SHAVING • DEHYDRATION Unrivaled Market Leader With Over 60 Years of Experience; Proudly Spanning Four Generations of Family • Superior Quality Cheese • Market Leadership Domestically & Internationally • State-of-the-art Equipment • Unparalleled Sourcing & Vertical Integration • Spectrum of Products at Every Price Point • World Class Processing & Distribution Facilities RETAIL FOODSERVICE NEW BUSINESS & FOOD INGREDIENTS MANUFACTURING Jim Gregori Sean McFaul Rich Phillips (847) 840-3041 (626) 221-3869 (920) 327-1234 jgregori@arthurschuman.com smcfaul@arthurschuman.com rphillips@arthurschuman.com 40 New Dutch Lane • Fairfield, NJ 07004 PH: (973) 227-0030 • FAX: (973) 227-1525 EMAIL: info@arthurschuman.com www.arthurschuman.com • www.cellocheese.com For more information please visit www.arthurschuman.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 26 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business seen continued growing demand for its butter. Its sales of butter quarters are up 5 million pounds from last year, and they have been on a growth pattern for more than five years, Welch says. He adds that he does not see the trend slowing. “To me, it’s a combination of things,” he says. “A lot of people are eating away from home and most restaurants want to serve butter, not margarine. There’s a resurgence in cooking shows, and people who cook want to use quality products, so they use butter.” For its cheeses, AMPI is developing more varieties of Pepper Jack every year, Welch says. “A lot of that is spurred by the KEY PLAYERS Continued from page 25 dry milk (NDM), high-heat NDM, buttermilk, whey and lactose in addition to WPC-34 and WPC-80. International demand has spurred powder growth, says Ed Welch, president and CEO, AMPI. “One area that’s really expanded in 2013 is exports,” he says. “We don’t export cheese, but we export lots of powders. If there was a theme for 2013, it was that exports were unbelievable. We don’t expect exports to slow down.” In addition to the growing demand for milk powders, the cooperative has Cheese to Please & Cellars to Store It In Ask Us About Your Aged Cheese Needs or Customizing an Aging Program for You. sandwich craze and demand for natural cheese,” he notes. “All the Jack varieties of cheese have grown exponentially, steadily for the last 10 years.” Other areas of growth for AMPI include natural cheese shreds and chunks, which are up 5 million pounds from last year, as well as process loaf and slice on slice cheeses, which are up 13 million pounds. Part of that growth is the result of a new process loaf line that recently was added in AMPI’s Portage, Wis., facility. AMPI’s American-style cheese production totaled 400 million pounds in 2013, and this remains the co-op’s top product category. AMPI was awarded best Italian Your One Stop Cheese Source! We buy and sell the world’s finest. Northern Wisconsin Produce is your full-source Wisconsin cheese provider. We assemble LTL or truckloads out of our inventory, saving you time and money. Specializing in Aged Wisconsin 40-lb. Blocks, Retail and Foodservice as well as Bandage Styles: Mammoths, Cheddar, Daisies, Horns, Midgets and Gems • Your Direct Source for Award-Winning Pine River Cold Pack Cheese Food • Cheese Makers: If you have Cheese to Sell, Please Call Us Today! • Freezer, Cold and Dry Storage Available • Conversion/Cut &Wrap • Custom Manufacturing/Packaging Capabilities • Kosher • Organic • Private Label cheese for its Parmesan at the 2013 National Milk Producers Federation’s (NMPF) Championship Cheese Contest. AMPI’s pasteurized process American slices also received best in class at the NMPF competition, as well as at the 2014 World Championship Cheese Contest. AMPI’s communications team received a number of honors this past year. Sarah Schmidt, AMPI communications director, was honored for Outstanding Achievement in Communications at the NMPF annual meeting held in Phoenix in November. AMPI’s communications team also received top awards at the NMPF competition for the co-op’s Dairymen’s Digest member magazine, as well as for its writing, photography and promotional materials. In addition, the communications team received top awards at the annual Cooperative Communicators Association (CCA) institute held in Nashville, Tenn., in June. Graphic designer Nickie Sabo received the 2013 Michael Graznak Award for young communicators, and Executive Senior Vice President Sheryl Meshke won the H.E. Klinefelter Award, CCA’s highest honor for a career cooperative communicator. The AMPI team also received first-place awards for a campaign promoting the AMPI Young Cooperator Summer Tour; a portfolio of their department’s communication tools; the Dairymen’s Digest; the Moosletter, an employee newsletter; and the Owner’s Manual, a brochure promoting AMPI membership. “We have had a really good year in the communications department,” Welch says, adding that all communications work for the cooperative is done in-house. “For a long time, they have been an area of pride for the co-op. You are always communicating with members, and with 2,500 members, you want to make sure that’s one of your strengths.” Baker Cheese Co. St. Cloud, Wis. Jim, Joan, David, Steven and Peter — “The Lindemann’s” NORTHERN WISCONSIN PRODUCE CHEESE DIVISION P.O. Box 126 • Manitowoc, Wisconsin 54221-0126 • (920) 684-4461 • Fax: (920) 684-4471 • nwpc@powercom.net For more information please e-mail nwpc@powercom.net Key executives: Dick Baker, chairman of the board; Brian Baker, pres.; Jeff Baker, VP, operations; Kevin Baker, VP, finance; Eric Baker, dir., sales & marketing Cheese plant: St. Cloud, Wis. (String cheese) Estimated annual cheese produced: 35-45 million lbs. Estimated annual cheese marketed: 35-45 million lbs. Percentage of sales from cheese: 100% Market segments for cheese: 95% retail; 5% foodservice Website: www.bakercheese.com Turn to KEY PLAYERS, page 27 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 27 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 26 A look inside: Baker Cheese Co. continues its growth and tradition of high-quality String cheese. At this year’s World Championship Cheese Contest the company was awarded three of the top five spots in the String cheese class. Baker Cheese also obtained the British Retail Consortium (BRC) certification, a food safety management scheme recognized by the Global Food Safety Initiative (GFSI), last September. “By acquiring GFSI BRC certification, Baker Cheese has demonstrated that they have met global standards and utilize industry best practices in the production of safe and quality cheese products,” says Brian Baker, president, Baker Cheese. GFSI was created to harmonize international food safety standards and reduce the need for multiple supplier audits. The BRC was the first standard to be recognized as meeting the GFSI benchmark. “Our customers can be assured that Baker Cheese has been qualified by an independent third party auditor against a stated standard,” Baker says. “Obtaining a GFSI certification is a benchmark goal for brand owners and manufacturers involved in the food supply chain.” Baker Cheese is continuously looking for innovations within the realm of String cheese that will not interrupt its quality. The company has undertaken three different plant expansions in the last 10 years. Recently, it’s added additional milk silo storage and packaging lines. “The next step in our natural expansions would probably be implementing new warehouse space to store packaging materials as we are now close to capacity,” Baker says. “We consistently evaluate to see where we can improve. We’ve been looking into adding a new wastewater facility.” Baker Cheese markets its own String cheese products under the Baker Cheese label and also produces and packages String cheese for private-label clients across the United States. “We have grown our private label partnerships quite a bit. We focus strongly on partnering up with regional marketers to help grow String cheese within their own brand,” Baker says. The company also has developed private label sales in the Middle East and Southeast Asia to help grow and supply the demand for snack cheeses. Baker Cheese has seen export growth in South Korea, Vietnam and Mexico as well. “We see it as a large untapped opportunity,” Baker says. “Because of the growing middle class in Asia and the Middle East, families are now starting to look for and demand high-quality U.S. dairy products. We continue to try and secure our additional footprint.” Baker Cheese will focus on growing its export presence over the next few years. It has had success learning how to supply product properly in those areas and has had retention, Baker says. Baker Cheese is in the midst of revamping its website. The message the company looks to relay from a marketing standpoint is that Baker Cheese is a strong private label family-owned String cheese provider. Baker Cheese has grown due to the collaborative efforts of four generations of Bakers. The plant’s current cheesemakers have approximately 115 years of combined experience making String cheese at the Baker Cheese plant. Social media currently is not a high priority for Baker Cheese as the company is instead working on package design and size innovations. The company has something in the works for this upcoming year, Baker says. “We shoot for having the quickest turn around time for our customers,” Baker adds. “We believe that maintaining a consistent speed lends itself to lower costs and increases shelf life. It allows a stronger distribution channel. Our focus will continue to be this short lead time, even as we grow.” The company’s goals for the next year support international and national marketing opportunities. Baker Cheese will focus on growing to meet market demand domestically and abroad while providing high-quality products. Bel Brands USA Chicago Parent company: Fromageries Bel, Paris Key executives: Frederic Nalis, pres., Americas and Asia Pacific Zone Turn to KEY PLAYERS, page 28 a The String Cheese Specializing in Private Label and Retail At Baker Cheese, we can provide the freshest string cheese available in any size package and quantity. If you’re looking for 1 ounce singles, individually wrapped retail packages or retail bulk packaging, look no further. We are a 100 percent turnkey operation which takes pride in our high-quality string cheese, exceptional customer service and our ability to maintain an efficient, flexible production environment capable of fulfilling your every need. Whether you’re a small, local distributor or a large, nationally recognized brand, call us today at 920.477.7871 and discover how we can put over 90 years of experience to work for you. ST. CLOUD, WI 53079 s 920-477-7871 s » Quality and Freshness » Long Shelf Life » Fast Turnaround » Custom Packaging F: 920-477-2404 For more information please visit www.bakercheese.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 28 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 27 & CEO, Bel Brands USA; Didier Aziza, CFO; Heather Rewiski, VP, sales; Dan Waters, sr. dir., marketing; Christian Deg, dir., supply chain; Marco Leal, dir., human resources, Americas and Asia Pacific; Vladimir Homola, dir., operations, Leitchfield; Ed Blascak, dir., operations, Little Chute; Cyril Cledelin, dir., operations, Brookings Cheese plants: Leitchfield, Ky. (Mini Babybel, The Laughing Cow wedges, The Laughing Cow Smooth Sensations Cream Cheese); Brookings, S.D. (Mini Babybel); Little Chute, Wis. (Merkts cold pack cheese, Kaukauna cheese balls & logs, Boursin spreadable cheese, Price*s cheese spread, WisPride cheese spread, private label spreads) Estimated annual cheese produced: 80 million lbs. Estimated annual cheese marketed: 85 million lbs. Estimated 2013 sales: $350 million Projected 2014 sales: More than $350 million Percentage of sales from cheese: 100% Market segments for cheese: 90% retail; 10% foodservice Websites: www.belbrandsusa.com, www.thelaughingcow.com, www. boursincheese.com, www.merkts.com, www.kaukaunacheese.com, www.wispride.com A look inside: Bel Brands USA is investing more than $150 million in its new, state-of-the-industry Mini Babybel plant in Brookings, S.D. Construction began in July 2012 on the 170,000-square-foot manufacturing facility on a 48-acre site near the I-29 corridor in Brookings. Completion of the facility is on track, and product testing began in March, company officials say. Commercial production is targeted to begin in July and will ramp up throughout the year, with a final goal to produce 24 million pounds annually, which equates to approximately 1.5 million Mini Babybel cheese per day. The plant will operate 24/7, 345 days a year, and as of this spring, Bel Brands USA has hired 100 hourly and salaried employees for the facility, the company says. It plans to have nearly 275 employees when fully staffed later this year. Bel Brands USA this year added Light White Cheddar to its lineup of The Laughing Cow products. In addition, this July the company will be launching two new flavors in its Boursin line: Monterey Jack and Spicy Peppers, and Creamy Asiago and Roasted Peppers, notes Kimberly Mulcahy, senior manager of communications, CSR and consumer relations, Bel Brands USA. This summer, the company also plans to introduce Mini Babybel White Cheddar. Mulcahy notes that in 2013, sales of Mini Babybel grew by 24 percent thanks to a new marketing campaign and integrated sales and marketing initiatives launched in 2013. In addition, the new Laughing Cow Light White Cheddar has been named one of the 25 Best Packaged Foods of 2014 by Parents magazine, Mulcahy notes. Other Bel Brands products received industry recognition this past year as well. At this spring’s World Championship Cheese Contest, Bel Brands USA’s Port Wine Cold Pack Cheese Spread earned first place in the Cold Pack Cheese Spreads class, and its Sharp Cheddar Cold Pack Cheese Spread took third place in the same class at the contest. The Merkts products are made at Bel Brands’ Little Chute, Wis., plant. Bel Brands’ The Laughing Cow Smooth Sensations Cream Cheese Spread also was a finalist in the cheese category at the 2013 Dairy Innovation Awards during the 7th Global Dairy Congress held last summer in Lucerne, Switzerland. In the year ahead, Bel Brands USA will continue to focus on growing its business in its core brands as well as its regional spreads business, Mulcahy says. At the end of 2013, Bel Brands announced that Y&R Midwest, the agency’s Chicago office, would become the North American agency of record for Bel Brands USA in 2014 and now is overseeing the brand’s strategy, marketing and social media for the cheesemaker’s three core brands: The Laughing Cow, Mini Babybel and Boursin. “Y&R is the perfect global partner for us,” says Dan Waters, senior director of marketing, Bel Brands USA. “Having had the opportunity to see what they can do for our brands in Europe, Australia and Canada, we are excited to see what they will accomplish for us here in the United States.” Waters notes the agency has a strong global network complemented by a commitment to deep local understanding in each market it serves. “We have been particularly impressed with their understanding of how to engage American consumers over digital and social media, and we are excited to see their ideas come to life,” he says. America's Finest Artisan & Specialty Cheesemakers! Experience cheese like no other from our traditional cheeses to more than 30 “American Originals.” • Artisan cheeses not found anywhere else in the world • Expert cheesemaking since 1883 • Fourth generation cheesemakers • Over 400 national and international awards • Over 30 unique “American Originals” • Aged & traditional classics • More than 220 years of cheesemaking experience Old-world craftsmanship and creative cheesemaking innovation it's a combination you will love! www.carrvalleycheese.com CARR VALLEY CHEESE CO., INC. S3797 County G • La Valle, WI 53941 (800) 462-7258 For more information please visit www.carrvalleycheese.com BelGioioso Cheese Inc. Green Bay, Wis. Key executives: Errico Auricchio, pres.; Brian Bonebright, sr. VP & COO; Mark Schleitwiler, VP; Gaetano Auricchio, VP, sales Cheese plants: Byron, Wis. (Provolone); Chase, Wis. (Parmesan, Romano, Asiago, Auribella, Kasseri, Toscanello, Pepato, Peperoncino, vegetarian Parmesan, Fontina); Freedom, Wis. (Burrata, Fresh Mozzarella, Fresh Mozzarella curd); Glenmore, Wis. (Provolone, Mascarpone, Fresh Mozzarella, Burrata, Ricotta con Latte); Langes Corners, Wis. (CreamyGorg, Crumbly Gorgonzola, Italico, Crescenza-Stracchino); Ledgeview, Wis. (converting, packaging, shipping, corporate office); Pulaski, Wis. (American Grana); Sherwood, Wis. (veal feed); Schenectady, N.Y. (marinated braids, smoked Fresh Mozzarella, Scamorza, Ricotta) Percentage of sales from cheese: 90% Market segments for cheese: 50% retail; 50% foodservice Website: www.belgioioso.com A look inside: BelGioioso Cheese Inc. continued to grow its presence this past year with new products, new acquisitions and plant upgrades, with more plans in the works. BelGioioso introduced its new gluten-free Shredded Blends made with cow’s milk gathered daily from local Wisconsin farms. The line includes the Pizza Blend made with Romano, Fontina and Provolone; a Pasta Blend made with Sharp Provolone and Fontina; and the Zesty Blend, a combination of Peperoncino and Provolone. The shredded blends are provided in cases of 12, 5-ounce cups. The company also unveiled its new Fresh Mozzarella snacking cheese. Each convenient 1-ounce package includes three 1/3-ounce Ciliegine balls at 70 calories per package. They are sealed without water in easy-open thermoform packaging and are available in different size mesh bags. “The Fresh Mozzarella snacking cheese is an important new item,” says Errico Auricchio, president, BelGioioso. “It works well for a healthy snack to bring to school or the office.” Fresh Mozzarella smoked with natural hickory has been introduced by the company. The cheese is packaged in thermoform for an extended shelf life. The product comes in a case of 12, 8-ounce Hickory Smoked Fresh Mozzarella Balls. “We have also worked on our labeling in the last year,” Auricchio adds. “We have updated it to be more consumerfriendly.” Turn to KEY PLAYERS, page 29 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 29 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 28 BelGioioso cheeses continue to garner industry recognition. At the 2013 American Cheese Society competition last August, BelGioioso Ricotta con Latte Whole Milk received a second place award in the Ricotta — Made From Cow’s Milk class; its Burrata received a second place award in the Burrata — All Milks class; and its Mascarpone received a third place award in the Mascarpone — Made From Cow’s Milk class. At this spring’s World Championship Cheese Contest, BelGioioso was recognized as one of the top 16 finalists. The company received best of class honors in the Aged Provolone class for its Sharp Provolone Mandarino, in the Fresh Mozzarella class for its Burrata and in the Parmesan class for its American Grana. BelGioioso’s Cappiello Zesty Marinated Hand-Braided Fresh Mozzarella and Creamy Gorg took second place in their respective classes and its Parmesan was awarded third in its class. “The awards show our consistent, good quality,” Auricchio says. “From a marketing point of view it is helpful, and it’s been useful for morale of the cheesemakers.” This past year, the company added drying rooms to its Byron plant, giving it an additional 10,000 square feet, more storage, new locker rooms and new offices. The company also added 50,000 square feet to its Freedom, Wis., plant. More Fresh Mozzarella lines were installed as part of the expansion. “Fresh Mozzarella season is in summer and slows down in winter, so we need more production space,” Auricchio says. “We are just now completing the additions to the Freedom plant to be ready for our peak season.” Marketing efforts for BelGioioso over the past year have been focused on its new products and promoting other cheeses effectively. “Our promotion and the consumption of Mascarpone is growing nicely and is being well-accepted by the consumer,” Auricchio says. “We want to make more people aware of this cheese to use as a replacement for butter, with half the calories. We’re trying to show people Mascarpone can go beyond its common tiramisu use.” BelGioioso released new television commercials and plans to continue to air more of them in 2014. It also completed a redesign of its website. Auricchio was pleased with BelGioioso’s performance over the past year and has concerns for this year, but remains completely confident in his company. “We had a good year last year; we don’t expect this upcoming one to be quite as good,” Auricchio says. “Milk is at an all-time high and that will create a challenge.” Over the next year, the company is planning to add more storage capacity for Parmesan, Asiago and Provolone, along with more aging rooms throughout its locations. “We’ll also be placing more emphasis on exporting our products,” Auricchio says. “The United States has the potential to become the world’s leading dairy exporter.” The company will look to continue its commitment to quality and customer service and will place emphasis on its Burrata. “Burrata has been growing over the past year,” Auricchio says. “We see it more and more in restaurants, and consumers are opening their eyes to it. The quality of Burrata, and all of BelGioioso’s products, will remain our chief goal.” Burnett Dairy Cooperative she says. “By adding flavors like bacon and onion in the cheese, we are taking out a couple of items they would need to prep — making their lives easier while adding amazing flavor.” Peterson adds that customers love the idea that Burnett Dairy is a farmerowned cooperative that can manage everything from seed to feed to milk quality. The new Wood River Creamery brand, which is marketed toward foodies, entertainers and adventurous cooks, is centered around Alpha’s Morning Sun, a cheese developed by Wisconsin Master Cheesemaker Bruce Willis that’s a unique fusion of Cheddar and Gruyere. The cheese is available in Roasted Red Pepper & Cracked Peppercorn, Rosemary and plain varieties. Burnett Dairy Co-op also recently developed a new variety — Alpha’s Morning Sun with Herbs de Provence — which is set to launch at the International Dairy-DeliBake Expo this June. “Our Wisconsin Master Cheesemaker only made two wheels of it to see how it would do at (the 2014 World Championship Cheese Contest), and it ended up taking best of class,” Peterson says. “The minute we heard the news, he started up another batch. One of the best things about being a farmer-owned cooperative is that we can be quick and nimble with our innovations.” Other awards the cooperative won at this spring’s World Championship Cheese Contest include best of class for its smoked String cheese, second place for its aged Provolone and Gouda with Rosemary, and third place for its Alpha’s Morning Sun with Rosemary. In addition to its new retail items, Burnett Dairy Cooperative also is now offering more unique flavors, produced at its Cady Cheese plant, to foodservice. These flavors include Bacon & Onion Colby, Italian Sundried Tomato Monterey Jack, 3 Pepper Golden Jack and Roasted Garlic Monterey Jack. The company will offer these in deli horns as well as in presliced packages. Alpha’s Morning Sun also is available in bulk for foodservice. The cooperative’s marketing programs are focused on demo kits and customer events, and driving trial and awareness for its two new retail brands has been extremely important, Peterson says. Additionally, with the launch of its new website in fall 2013, Burnett Dairy Cooperative’s online sales have continued to grow. For the coming year, the company plans to develop another new website focusing Turn to KEY PLAYERS, page 30 a Grantsburg, Wis. Key executives: Dan Dowling, pres. & CEO; David Gaiser, CFO; Bryan Olson, VP, marketing/sales; Earl Wilson, VP, dairy foods; Jared Yeske, quality control mgr.; Bruce Willis, Wisconsin Master Cheesemaker Cheese plants: Grantsburg, Wis., (Mozzarella, Provolone, Mozzarella String, Mozzarella String whips, Alpha’s Morning Sun, Cheddar, Colby, Monterey Jack, Colby Jack); Cady Cheese, Wilson, Wis. (Colby, Monterey Jack, Gouda, Cheddar) Websites: www.burnettdairy.com, www.cadycheese.com A look inside: Burnett Dairy Cooperative launched two new retail brands this past year: Burnett Dairy and Wood River Creamery. Previously focused primarily on foodservice, the cooperative now is looking to expand into the dairy and specialty cases with its new brands. The Burnett Dairy line includes Bacon & Onion Colby, Italian Sundried Tomato Monterey Jack, Roasted Garlic Monterey Jack, Cheddar with Rosemary, and plain and Ranch varieties of String cheese. The co-op is marketing this brand as “everyday artisan” cheese because it elevates the everyday cheese experience with inspired quality and inventive flavors. Nicki Peterson, marketing manager, Burnett Dairy Cooperative, says retailers are excited about the new products Burnett Dairy has launched so far because their customers are looking for fun new flavors to enhance their meals at home in every category. “We listened to those demands and brought the flavors to the dairy case,” ~ WE WORK WELL WITH OTHERS ~ Over the years, we’ve built a reputation for developing cheese blends and substitutes for high melt, low melt and fat-free products. From blocks of cheese to diced or shredded cheese in any flavor or color, we can supply exactly what you need. We even offer R&D support for new product development. If your products call for pasteurized, processed or imitation cheese, you need to give us a call. For more information, call 800-269-1901 A Division of Hormel Foods Corporation | Sparta WI 54656 | www.centuryfoods.com For more information please visit www.centuryfoods.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 30 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 29 only on its foodservice business, designed to be a great resource for its foodservice customers and prospects as they learn more about the farmer-owned cooperative and its products. “Burnett Dairy’s goal for the coming year is to continue to be the small and agile company that we are,” Peterson says. “You will see more innovative products and flavors, more efficient packaging, and a complete focus on our customers and cheese quality. We will also focus on supporting our new brands and working with our retail customers to ensure customer satisfaction.” Cacique Inc. City of Industry, Calif. Key executives: Gil de Cárdenas, VP & COO; Tirso Iglesias, VP, sales & marketing; Bob Cashen, dir., sales; Enrique Botello, sr. category mgr.; Francisco Hanon, category mgr.; Ivonne Camacho, sr. category mgr.; Diana de Loza, category mgr.; Miguel Moreno, regional business development mgr., Mountain Region; Orlando Chavez, business development mgr.; Manuel Rubio, regional business development mgr., Northern Region; Jose Cuiriz, regional business development mgr., Northern California and Pacific Northwest Region; Felipe Gomez, regional business development mgr., mass market West; Rob Clair, zone dir., Gulf and Southeast Regions; Kevin McCraken, regional business development mgr., mass market Northeast and Northern Regions; Yadira Isais, business development mgr., Phoenix; Arturo Yniguez, business development mgr., San Diego; David Rivera, regional business development mgr., mass market Central Cheese plant: City of Industry, Calif. (Asadero, Cotija, Enchilado, Manchego, Mozzarella, Oaxaca, Panela, Queso Growing the Hispanic perishable category... ® ĩEL MERO MERO! For delicious recipes and more information visit us at booth # 5042 www.CaciqueInc.com For more information please visit www.caciqueinc.com Join Us Blanco Fresco, Queso Fresco, Queso Quesadilla, Queso Quesadilla Jalapeno) Website: www.caciqueinc.com A look inside: Cacique has big plans for new products this year and beyond as it looks to serve a growing, changing and more diverse customer base. “In 2014, as well as in years to come, innovation is going to be very big across all platforms,” says Tirso Iglesias, vice president of sales and marketing, Cacique Inc. “There are going to be several innovative products this year and going forward.” While the company has yet to announce details on its anticipated new products, Iglesias notes that a big staple in Cacique’s future plans will be marketing and sales growth to meet a growing and changing consumer base. The company already has a growing social media campaign and is seeing a very high engagement rate on a broad range of social media platforms. “We have a sizable following. For us, this year it will be important to make sure we have strength in all platforms so we’re engaging consumers at all touch points,” Iglesias says. Cacique’s consumers are changing as traditional consumers mature, and younger consumers are exposed to a much wider range of foods and options. “There is a fight for the share of wallet and share of mind. Research says meeting the needs of Millennials is key to growth,” Iglesias says. Pre-2010, he notes that Cacique marketed its products almost exclusively in Spanish. However, the company in recent years has seen Mexican food becoming more mainstream and more authenticity popping up in restaurants. “There is more interest in cooking authentic Mexican foods at home, which puts us in a position to be a trusted advisor and a brand people look to to do that,” Iglesias says, adding that there are changes among both consumers and retailers. “In the cheese section, we see Hispanic specialty cheese is no longer in the corner, but in the mainline set. We feel the market will continue to grow, and learning how to communicate and understand consumers’ needs is going to be an opportunity.” As consumers have become more in touch with the Cacique name, the company in October reformulated and relaunched its drinkable yogurt line to be completely under the Cacique brand. Instead of the former “Younique” name, now the product is known as “Cacique Yogurt Smoothies.” Each 7-ounce single-serve bottle contains 8 grams of protein and just more than 100 calories. The line consists of five traditional fruit flavors and three varieties mixed with cereal geared more toward the adult consumer. Iglesias says since the relaunch, the smoothies have seen a large gain in distribution as well as an increase in base sales. The company partnered with Chef Aarón Sanchez for the Cacique 40th Turn to KEY PLAYERS, page 31 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 31 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 30 Anniversary Food Truck national tour Sept. 25-27. Food trucks featuring Cacique products and menu items created by Sanchez made stops in Los Angeles, the San Francisco Bay Area, Dallas and Houston. Profits from the food truck sales went toward the Hispanic Scholarship Fund, the nation’s largest not-for-profit organization supporting Hispanic higher education. “It created a lot of buzz and kept us tied to some of our core values of family, giving back to the community and supporting education, which is extremely important to Cacique,” Iglesias says. In addition to its new products and campaigns, Iglesias says Cacique continually is working to improve all its processes, from improvements to its plant to new tools for sales and marketing teams, and other improvements to its system. Going forward, he says the company will continue its work to understand the ever-changing consumer and to react quickly to their needs, from increasing distribution channels to conducting first-hand consumer research. “Companies that are able to do that are going to be able to thrive in the marketplace,” Iglesias says. “That’s our focus. The consumer’s voice has never been stronger. We’re using all media outlets to understand where our consumers’ minds are at, and knowing how they like to be spoken to and engaged with is critical.” Cedar Grove Cheese Inc. Plain, Wis. Key executives: Robert Wills, pres.; Beth Nachreiner, VP; Deborah Byrne, general mgr. Cheese plants: Plain, Wis. (cow milk cheeses: Willi Cheddar, Squeaks Cheddar curds, pizza cheese, Colby, Marble Colby, Monterey Jack, Butterkase, Farmers; sheep’s milk cheeses: Banquo, Fleance, Feta; goat’s milk cheese: Cheddar, Mozzarella, Chevre; buffalo milk cheeses: fresh Mozzarella, Gouda, Cheddar; mixed milk cheeses: Weird Sisters, Faarko, Montague & Capriko); Clock Shadow Creamery, Milwaukee (Quark, Squeaks Cheddar curds, Ricotta, Queso Blanca, Queso Menonita, Juustoleipa, Bon Bree, LaBelle) Estimated annual cheese produced: 3.5 million lbs. Estimated 2013 sales: $10 million Projected 2014 sales: $11 million Percentage of sales from cheese: 98% Market segments for cheese: 30% retail; 5% foodservice; 65% ingredients Websites: www.cedargrovecheese. com, www.clockshadowcreamery.com A look inside: After the opening of Cedar Grove Cheese Inc.’s Clock Shadow Creamery on Milwaukee’s south side in June 2012, Bob Wills, president, Cedar Grove Cheese, says his goal was for all the facility’s wastewater and whey to go into energy generation. That goal was exceeded. “In Milwaukee we started sending our whey to a new digester built by the Potawatomi Tribe,” Wills says. “The energy we are producing is more than off-setting what we’ve been using. It’s gone beyond carbon neutral.” While the company’s plant in Plain, Wis., has a lot of green aspects, Wills says, there are not immediate plans to go completely green as implementing environmental initiatives is more of a challenge in the rural area. Clock Shadow Creamery started churning out a couple new products in the past year. The company has added Bon Bree Brick and Queso Menonita to its lineup. “The Brick-style Bon Bree is coming out of the Clock Shadow Creamery,” Wills says. “We revived a product that had been missing from the market for 30 years since the Mapleton Cheese Factory in Oconomowoc, Wis., closed.” Cedar Grove continues to enter its products in national contests, and last year its Marble Colby garnered a first place award at the American Cheese Society (ACS) competition. Cheddar Curd (Cajun) and Willi each took second at the contest. “We were very pleased with the results from the contest,” Wills says. “Other people who either made cheese at our plant or were previous cheesemakers of ours won, and that was fun to see.” Wills was the co-chair for the ACS conference last summer and led a session on fresh cheese curds with two other cheesemakers during the conference. “This past year was a busy year, and helping host the ACS conference was time-consuming,” Wills says. “It was extremely successful, and I’m happy to be aligned with it.” Wills has continued his work on several organizations, including on the board of the American Cheese Education Foundation, a sister organization of ACS that helps educate people about the art and science of artisanal and specialty cheese. Cedar Grove Cheese has been seeing 10 percent growth in organic cheese annually in its factory. Shortages in organic milk have been a challenge, but it has been the only limitation for the enterprise this past year, Wills says. “We’re also going to continue to do the sheep, goat and water buffalo cheeses as people really seem to be more and more accepting of them,” Wills says. In Milwaukee the company will continue to work with new start-up companies looking for a facility to manufacture dairy products. Cedar Grove is lined up to start with an individual who wants to make a Serbian-style cheese and a company looking to make gelato, Wills adds. “We’re going to continue to spinout products from Milwaukee and to get more market visibility,” Wills says. “We’re going to continue riding our old projects to a larger degree and to work on our quality and food safety programs.” Crystal Farms Minnetonka, Minn. Parent company: Michael Foods Inc., Minnetonka, Minn. Key executives: Mark Anderson, VP & general mgr.; Jeff Johnson, VP, sales; Meredith Tutterow, sr. marketing dir., cheese Cheese plant: Lake Mills, Wis. (cut & wrap) Estimated 2013 sales: $250 million Market segments for cheese: 100% retail Percentage of products exported: less than 5% Website: www.crystalfarms.com A look inside: Crystal Farms has introduced several new cheeses to its retail portfolio this past year. Tapping into the popular snack category, the company last summer launched new Nibblers Snack Cheese in four flavors: Smoky BBQ seasoned Cheddar, Habanero seasoned Pepper Jack, Chipotle Pepper seasoned Cheddar and Sour Cream & Onion seasoned Monterey Jack. “It was really an interesting and exciting launch for us,” says Meredith Tutterow, senior marketing director, cheese, for Crystal Farms. “It’s something that was innovative in how snack cheese is being used. We take the intersection of people’s desire for bold flavors and everyone’s hunger for more protein and combine it in Nibblers. We really brought something unique to the marketplace.” Nibblers, bigger than traditionallysized crumbles for easy snacking, come in 1.5-ounce stand-up single serve bags. Turn to KEY PLAYERS, page 32 a The Best Traditional Specialty Cheese You’ve Ever Tasted! & Each year we craft four million pounds of some of the best cheese you will ever taste! And all of our cheese is produced without artificial growth hormones (rBGH), animal enzymes, or genetically modified ingredients (GMOs). We believe in environmentally sound production...working in concert with nature is an important part of our business. 1st Place Marbled Colby 2013 American Cheese Society Cedar Grove Cheese 2nd Place Cajun Curd 2013 American Cheese Society Clock Shadow Creamery Handcrafted Cheese is our Specialty • • • • Traditional Cheese Artisan Cheese Family Owned Custom Processing • NO Artificial Growth Hormones (rBGH), Animal Enzymes or Genetically Modified Ingredients (GMOs) Specializing in... • Traditional Aging Without • Quark Cheese • Goat, Sheep & Water Chemicals • Small Batch Cheese Buffalo Cheese Development • Sharp & Extra Sharp • Surface Ripened Cedar Grove CHEESE & Clock Shadow CREAMERY E5904 Mill Road | P. O. Box 185 | Plain, WI 53577 | Phone: (800) 200-6020 Fax: (608) 546-2805 | E-mail: bob@cedargrovecheese www.cedargrovecheese.com 2nd Place Marbled Colby 2012 American Cheese Society Cedar Grove Cheese 2nd Place Marbled Colby 2011 American Cheese Society Cedar Grove Cheese Introducing: Fresh Water Buffalo Mozzarella The only Fresh Water Buffalo Mozzarella in Wisconsin, and one of the very few in the country! KOSHER • ORGANIC • rBGH-FREE • CUSTOM MADE FLAVORS & VARIETIES For more information please visit www.cedargrovecheese.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 32 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 31 Individual bags have a retail value of 99 cents and come in stock-friendly trays with eight units per tray. The company also offers 5-packs. The product won recognition at last fall’s National Association of Convenience Stores show in Atlanta as one of 10 items, out of about 300, which earned a blue ribbon for “retailer top pick.” “This is an exciting area for us,” Tutterow says. “We haven’t had a lot of convenience store distribution in the past, so this is allowing us to break into that channel.” In February, Crystal Farms also launched new Horseradish Cheddar in 7-ounce blocks. The company says this is the first natural horseradish Cheddar in this sector and is ideal for adding to sandwiches and burgers or to eat as a snack. “This also taps into bold flavors and adds an interesting variety to our chunk cheese sector,” Tutterow says. “It’s a unique cheese with a lot of different applications. We’re hearing a lot of enthusiasm for it.” In May, the company added two new sliced cheese products. Its new Deli Thins line includes ultra-thin slices of natural cheese available in Marble Jack, Provolone, Swiss, Cheddar and Pepper Jack varieties. Each slice contains 45 calories or less, making them ideal for people looking to moderate their diet and still have all the flavor but with fewer calories, Tutterow says. Also in May, the company introduced new cracker cut cheeses sold complete with a serving tray, which includes a transparent plastic rectangular top and solid plastic bottom. This product will be available in Cheddar, Marble Jack and Pepper Jack varieties. The company has offered cracker cut cheeses in bags in the past, but the serving tray offering is new. “You can flip the cheeses onto the tray. We expect to be the first national brand with this kind of product,” Tutterow says. “We’re definitely going to continue to emphasize innovation and new products as part of our marketing plan moving forward,” she adds. For marketing this past year, the company has put a lot of emphasis on its new products as well as the stand- Serving Up Fresh Ideas Since 1949 Experts in Dairy Markets s #OMPREHENSIVE5NDERSTANDINGOF -ARKET4RENDS0RODUCT3OURCES 0RICE&LUCTUATIONSAND6OLATILE 'OVERNMENT2EGULATIONS s &EDERAL/RDER0OOLING s &ORWARD#ONTRACT0RICING s )NGREDIENT#OST-ANAGEMENT s ,OGISTICS-ANAGEMENT Your Single Source for Obtaining a Comprehensive Selection of Dairy Products s &LUID-ILK s "UTTER s #HEESE s 2AW-ILK5&2/ s #REAM s .ONFAT$RY-ILK s 7HEY0OWDER T.C. Jacoby & Co. 1716 Hidden Creek Court St. Louis, MO 63131 314/821-4456 1-800-877-9556 Fax: 314/821-3251 www.jacoby.com Contact Ted C. Jacoby III For more information please visit www.jacoby.com up gusseted packaging it introduced a little over a year ago. Crystal Farms will be refreshing its advertising efforts this summer with a new campaign that covers its entire line of cheeses. In April, Crystal Farms’ parent company, Michael Foods Inc., announced that Post Holdings Inc. intends to acquire the company and its related entities for $2.45 billion in the second quarter of 2014. According to Post, Michael Foods will continue to operate independently under the company’s current management team. Dairy Farmers of America Kansas City, Mo. Key executives: Rick Smith, pres. & CEO; Mark Korsmeyer, exec. VP Dairy plants: Adrian, Mich. (condensed milk, cream, NDM); Beaver, Utah (condensed milk, cream, longhorn Cheddar, Monterey Jack, Pepper Jack); Cabool, Mo. (adult nutritional beverages, dairy-based coffee beverages, energy protein beverages, Sport Shake); Cass City, Mich. (cream, condensed whole & skim milk); Cedarburg, Wis. (fluid milk, orange juice); Fallon, Nev. (WMP, SMP); Fargo, N.D. (butter, cottage cheese, cream, dips, fluid milk, ice cream, juice, sour cream, yogurt); Farmington, Minn. (cottage cheese, dips, smoothies, sour cream); Fort Morgan, Colo. (condensed milk, cream, NDM); Frederick, Md. (milk, fruit drinks, juice); Goshen, Ind. (condensed milk, cream, NDM); Houston, Texas (artisanal Hispanic cheeses, creams); Hughson, Calif. (butter, condensed milk, cream, NDM); Linwood, N.Y. (cream, skim); Mechanicsburg, Pa. (dairy-based coffee beverages); Middlebury Center, Pa. (condensed milk, cream, cream powder, malted milk powder, NDM, SMP, WMP); Minneapolis, Minn. (fluid milk & other beverages); New Britain, Conn. (cream, ice cream mixes, milk, non-dairy items including fruit drinks, fruit juices, water); New Wilmington, Pa. (dry whey, Italian-style cheese); Plymouth, Wis. (cut & wrap natural cheese, process cheese, shreds); Portales, N.M. (condensed skim, cream, milk permeate powder, MPC, NDM, SMP); Portland, Maine (butter, buttermilk, cottage cheese, cream, flavored milk, fluid milk, fruit juice, sour cream, tea); Reading, Pa. (cream, condensed milk, malted milk powder, NDM, SMP, WMP); Rochester, Minn. (2) (fluid milk, ice cream, light ice cream, sherbets, yogurt-based drinks); Schulenburg, Texas (dairy dips, salsa); Springfield, Mo. (dairy-based coffee beverages); Turlock, Calif. (Italian-style cheese, liquid whey); Ventura, Calif. (dairy-based coffee beverages); West Middlesex, Pa. (industrial shredded cheese, process cheese); Winnsboro, Texas (anhydrous milkfat, butter, buttermilk powder, NDM, sweet cream); Winthrop, Minn. (anhydrous milkfat, butterfat blends, sweetened condensed milk); Zumbrota, Minn. (American-style cheese, cream powders, fluid whey, Gouda, hard Italian cheese, specialty cheese) Cheese and ingredient-related joint ventures: DairiConcepts LP, Allerton, Iowa, Dalbo, Minn., El Dorado Springs & Springfield, Mo., Hummelstown, Pa., Pollock, S.D., & Bruce, Chili and Greenwood, Wis. — JV with Fonterra; Southwest Cheese, Clovis, N.M. — JV cheese operation with Glanbia plc & the cooperative members of the Greater Southwest Agency (DFA, Select Milk Producers & Zia Milk Producers) Estimated annual cheese produced: 270.3 million lbs. Estimated annual cheese marketed: 498.5 million lbs. Estimated 2013 sales: $12.8 billion Projected 2014 sales: $14.6 billion Percentage of sales from cheese: 7.9% Market segments for cheese: 39% retail; 32% foodservice; 29% ingredients Percentage products exported: 2.8% Website: www.dfamilk.com A look inside: Dairy Farmers of America (DFA) continued to grow its commercial investments over the past year, acquiring Dairy Maid Dairy, Frederick, Md., in 2013 and Oakhurst Dairy, Portland, Maine, in 2014. Last September, DFA also announced plans to build two new plants. A ceremonial ground breaking took place Sept. 20 in Linwood, N.Y., for a new cold milk separation plant. This plant is the first of its kind for DFA, which is partnering with the local dairy producers of Craigs Station Ventures. The plant, which is scheduled for completion this summer, will be built on one of the partnering producer’s dairy operations and will produce cream and skim milk for a range of regional customers. “Partnering with farmers allows DFA and our partners to utilize combined capital to develop sound projects that will deliver value to all DFA members,” says Rick Smith, president and CEO, DFA. “This investment is consistent with our strategy to deliver value to members by better serving our customers, maintaining markets for our members and developing local plant opportunities.” The second plant, a dairy ingredient plant in Cass City, Mich., will produce condensed whole and skim milk and cream for domestic customers while providing a secure home for DFA members’ milk and reducing transportation costs, the cooperative says. In addition to these projects, construction on DFA’s state-of-the-art dairy ingredients plant in Fallon, Nev., was completed in April. The plant received its first shipments of milk April 5 and will supply domestic and global customers with quality dried dairy ingredients. DFA notes this is the first plant the Turn to KEY PLAYERS, page 33 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 33 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 32 co-op has built from the ground up. “Not only will the plant provide a home for up to 2 million pounds of milk per day, it also will serve as DFA’s gateway to the global marketplace and help open new doors for the cooperative,” says Mark Korsmeyer, executive vice president, DFA, and president, Global Dairy Products Group. DFA this past year rolled out several new products under its various brands. Under the Kemps brand, new products launched this past year included Kemps Sweet Meadows Farms Milk, Greek yogurt, Greek snack mousse, Greek cottage cheese, and chocolate and strawberry milk in cow-shaped bottles. Under DFA’s Borden Cheese brand, the cooperative launched Natural Muenster slices, Natural Mozzarella slices, Natural Sharp Cheddar slices, Queso de Papa shredded cheese, Extra Sharp finely shredded cheese, Singles Sensations Del Trio — a combination of Swiss, Provolone and Mozzarella — Lite Mozzarella String cheese and an American Singles twin back. DFA also launched Cache Valley Lite Mozzarella String cheese and Plugrá European-style butter in 8-ounce tubs. DFA’s vast array of U.S. facilities and brands continued to garner industry recognition over the past year. Most recently, DFA’s Winnsboro, Texas, plant won third place in the World Championship Cheese Contest in the Salted Butter class. This past fall, the co-op’s Turlock and Houston plants earned first place awards for Provolone and Queso Fresco Mexicano, respectively, in their respective classes at the National Milk Producers Federation Championship Cheese Contest. At the 2013 World Dairy Expo Championship Dairy Product Contest, DFA’s Zumbrota, Minn., plant earned second place awards for its Cheddar and Sharp Cheddar. The co-op’s Turlock, Calif., plant earned first and second place in the Mozzarella class, as well as first, second and third in the Provolone class at the contest. In addition, DFA’s West Middlesex, Pa., plant earned second place for its Pasteurized Process American Cheese with Peppers; its Plymouth, Wis., plant earned third place for its Borden Deluxe Pasteurized Process American Cheese; and its Winnsboro, Texas, plant earned third place for its Salted Butter 80-percent at the contest. DFA’s Kemps brand also earned several awards at the contest, with first place finishes for its Top the Tater Fiesta Dip and Key Lime Greek Snack Mousse (St. Paul, Minn.), and second place for Kemps Whipping Cream (Cedarburg, Wis.). Kemps Peach Greek Cottage Cheese, Light Sour Cream (Cedarburg) and Blackjack Cherry Frozen Yogurt (St. Paul) won third place awards at the contest. “Exceptional products at DFA begin with a commitment to quality on our members’ farms that continues through the entire production chain,” Korsmeyer says. “This recognition reinforces that quality products start with quality people striving to do their best every day.” DFA in late 2013 announced that it would be merging with Dairylea Cooperative Inc., pending board approval. The merger became official April 1 and combines Dairylea’s Northeast-based 1,200 members with DFA’s 13,000 nationwide dairy farmer members. The cooperatives say they have enjoyed a successful working relationship since DFA was formed in 1998. Working together, Dairylea and DFA have created efficiencies in milk assembly, transportation and marketing, as well as joint management of farm services and membership operations in the Northeast, the co-ops say. “In many ways, it will just be business as usual as we expand upon the working relationship DFA and Dairylea have established over the past 15 years,” Smith says. At its annual meeting in March, DFA announced it ended 2013 with strong operating results from its wholly-owned commercial investments and increased earnings from affiliates. The cooperative’s adjusted net income was $61.3 million for 2013. DFA’s net sales totaled $12.8 billion for 2013, a 6-percent increase compared to $12.1 billion in 2012. “At DFA, we’re about making sure our members can farm successfully and profitably,” Smith says. “In 2013, we had a successful year. Through strong operational performance and joint venture returns, we were able to execute on our strategic plan. We are also pleased with the improved margins for members.” In 2013, DFA directed the marketing of 60.6 billion pounds of milk for both members and others through its consolidated businesses and related affiliates. This represents approximately 30 percent of the total milk production in the United States. Payments to members for milk marketed were $7.9 billion in 2013, compared to $7.3 billion in 2012. This increase is primarily a result of the higher U.S. annual average all-milk price. Returns to members in 2013 totaled $41.9 million, with $23.3 million distributed from the cooperative’s allocated patronage and $18.6 million through DFA’s various capital retirement programs. DFA’s Ingredients Division also continued to expand in 2013, with a focus on export opportunities with global customers in strategic markets. DFA exported 222 million pounds of product in 2013, for a fourth consecutive year of record export sales. Earnings of affiliates were $72.8 million in 2013 compared to $57.6 million in 2012. Cash distributions from DFA affiliates totaled $38 million in 2013 compared to $36.4 million in 2012. Korsmeyer notes that in the year ahead, DFA will continue to look for new avenues to process its members’ milk and continue to look for additional acquisition opportunities. In addition, the cooperative plans to focus keenly on social media from a marketing and educational perspective in 2014, he says. “Our members are at the core of what we do. As we move into 2014, we will continue our commitment to bringing added value to our members and delivering quality products to consumers around the world,” Korsmeyer says. Dairyfood USA Inc. Blue Mounds, Wis. Ownership: Biomerx GmbH, Linz, Austria Key executives: Daniel R. Culligan, pres.; Kent Pusch, VP, quality assurance and R&D; Judd Batterman, VP, administration; Al Kosharek, VP, production Cheese plant: Blue Mounds, Wis. (extended shelf life cheese foods, spreads, sauces, smoked cheeses) Percentage of sales from cheese: 100% Market segments for cheese: 50% retail; 45% foodservice; 5% ingredients Percentage of products exported: 5 % Website: www.dairyfoodusa.com A look inside: Dairyfood USA Inc., which specializes in extended shelf-life cheeses, saw a significant increase in its revenue and volume of cheese sold in 2013, with a good portion of that increase due to the success of its smoked cheeses. The company is one of the largest producers of Smoked Gouda in the country, and the product remains one of its most popular products, says Dan Culligan, president, Dairyfood USA. Additionally, the company added a Smoked Cheddar and a Smoked Provolone blend to its Glacier Ridge Farms brand late last year, and Culligan sees both of these as poised for success as well. “They are really new, introduced late in the year, but we anticipate them having very good reception in the marketplace,” he says. Turn to KEY PLAYERS, page 34 a For more information please visit www.prospectanalytical.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 34 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 33 The smoked varieties are available in multiple forms, including links for deli slicing and foodservice as well as 8-ounce rounds and 4-ounce bars for retail. To help support the significant increase in demand for its smoked cheeses, in September Dairyfood USA added another fully-automated smokehouse that is time, temperature and humidity controlled. The company also is in the middle of a multimillion dollar expansion of its plant, which will add nearly 20,000 square feet and increase its production capabilities. The expan- sion project, which broke ground last August, is expected to be complete by August of this year. Culligan says the new addition will include a state-of-the-art production facility that will allow Dairyfood USA to produce new products and improve existing products across the board. Space in the old plant also will be converted into employee facilities. “This is really an exciting time for Dairyfood USA,” he says. “This latest expansion shows our commitment not only to our customers, but also to our dedicated employees. We are investing in our long-term future.” The company is making inroads in retail with the Glacier Ridge Farms brand, which in addition to the smoked cheeses includes spreads in flavors such as Aged Cheddar, Jalapeno Cheddar, Cheddar & Bacon and Smoked Gouda. The company has owned the Glacier Ridge brand for some time but only recently has put a major marketing emphasis on it. The company also continues to increase its family of private labels for its cheese wedges, which have been picked up by some of the largest grocery chains in the country. In 2012, the company doubled production capacity for its wedges due to their popularity. New Chipotle Chile, Ranch and Harvest Dill varieties recently joined the existing Garlic Herb, Parmesan Peppercorn, Swiss, White Cheddar, Smoked Gouda and Pepper Jack snack wedge varieties. In addition to investments in production capacity, Dairyfood USA continues to invest a significant amount of time, effort and capital in its quality systems and equipment to ensure food safety, Culligan says. Last year the company renewed its Safe Quality Foods (SQF) Level 3 certification, scoring in the 98th percentile. Culligan says the company is committed to innovation and quality, and looks forward to more growth this coming year. “Our goal is to continue on our path of increased sales and volume, and to continue our significant growth,” he says. Darigold Inc. Seattle Quality You Can Trust. Innovation You Can Taste. Celebrating Successful Partnerships for 60 Years! Introducing our Newly Expanded Glacier Ridge Farms Line: TM s(ANDCRAFTED)N!MERICAS$AIRYLAND s.ATURALLY3MOKED#HEESES s'OURMET3PREADABLE#HEESES$IPS s3MOKEY"ARS3NACK7EDGES s6ARIETYOF&LAVORS FOODSERVICE In Perfect Shape For a Growing Industry ■ Creative blend of vision and flexibility ■ Unique product offerings ■ Naturally smoked cheeses tailored to fit every packaging configuration ■ Extensive single serving/portion-controlled sizes 31&,EVEL#ERTIlED This certification ensures our customers that our cheese products have been produced and handled in accordance with the highest standards set by the Food Marketing Institute (FMI). PRIVATE LABEL Build Your Brand With Quality You Can Trust ■ Expansive array of custom formulations ■ Innovative packaging solutions ■ Ability to drive new sales RETAIL HOUSE BRANDS Diversify Your Product Portfolio With Our Proven Winners ■ ■ ■ ■ Unique flavor profiles Market versatility to maximize sales performance Price competitiveness & in-store support Low minimum order quantities #ALLUSTODAYFORDETAILS #OUNTY2OAD&s"LUE-OUNDS7)s0Hs&AX DCULLIGAN DAIRYFOODUSACOMsWWWDAIRYFOODUSACOM For more information please visit www.dairyfoodusa.com Ownership: Northwest Dairy Association, Seattle Key executives: Jim Werkhoven, chairman; Sherman Polinder, vice chairman; Jim Wegner, pres. & CEO; John Wells, treasurer, VP & CFO; Steve Rowe, sr. VP & general counsel; Dermot Carey, sr. VP, ingredients; Bill Tennant, sr. VP, operations; Shawn Campbell, VP, consumer products; Steve Matzen, VP, Northwest Dairy Association; Terry Castel, VP, supply chain Dairy plants: Sunnyside, Wash. (bulk Cheddar, Monterey Jack, WPC-34, dried whey); Boise, Idaho (fluid milk, UP fluid products, cultured products); Caldwell, Idaho (NDM, MPC, SMP, bulk & consumer packaged butter, cream); Chehalis, Wash. (NDM, SMP, WPC-34, sweet cream buttermilk powder, milk powder blends, whole milk powder, cream); Issaquah, Wash. (consumer packaged & bulk butter, cultured dairy products); Jerome, Idaho (condensed skim milk, NDM, UF milk, MPC, SMP, cream); Medford, Ore. (HTST fluid milk, flavored drinks); Portland, Ore. (full line of UP products); Lynden, Wash. (NDM, SMP, cream); Seattle (HTST fluid milk, flavored drinks); Spokane, Wash. (HTST fluid milk, flavored drinks); Bozeman, Mont. (HTST fluid milk, flavored drinks) Estimated annual cheese produced: 200 million lbs. Estimated annual cheese marketed: 200 million lbs. 2013 sales: $2.2 billion (April 1, 2012 to March 31, 2013) Percentage of sales from cheese: 15% Market segments for cheese: 14% foodservice; 86% ingredients Percentage of products exported: 45% Website: www.darigold.com A look inside: Darigold Inc. in 2013 completed work on a new dryer at its Turn to KEY PLAYERS, page 35 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 35 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 34 Lynden, Wash., plant, which now has the capability to produce whole milk powder (WMP). The new dryer was added following a fire in February 2012. In addition to WMP, the Lynden plant produces nonfat dry milk (NDM), skim milk powder (SMP) and cream. “One of the benefits of the new dryer design is that it will be able to produce whole milk powder for some of our domestic customers as well as for export markets in China, South America and the Middle East/North Africa,” says Dermot Carey, senior vice president, ingredients, Darigold Inc. Darigold last year also added capability to its Chehalis, Wash., plant to produce WMP that is used both domestically and for exports. The Chehalis plant also produces NDM, SMP, WPC-34, sweet cream buttermilk powder, milk powder blends and cream. “The addition of WMP gives us essential product flexibility in volatile market conditions and allows us to offer another key ingredient to our strategic customers, making us even more relevant as a supplier,” Carey says. In addition, Darigold is planning to install a new spray drying system at its Sunnyside, Wash., cheese plant, as well as adding SMP capacity, Carey notes. The updates are scheduled to come online in the first quarter of 2015. Later in 2015, the cooperative plans to add additional WMP capacity in Lynden, he adds. Darigold this year also introduced some dry salted Gouda into its product line for export, Carey says. The cooperative exports close to 45 percent of all of its milk in some form, he notes. “A lot of the product expansion and line extension today is being driven by export demand,” he says. In addition to demand from overseas, Darigold’s products continue to receive domestic recognition in industry competitions. Reduced-fat cottage cheese produced by Darigold’s Bob Milonovich of the company’s Sunnyside, Wash., plant received a first place award in the Open Reduced Fat Cheese class at last summer’s Idaho Milk Processors Association cheese contest. At last fall’s National Milk Producers Federation Championship Cheese Contest, Darigold owner Northwest Dairy Association’s Issaquah, Wash., plant received a first place award in the Flavored Cottage Cheese class for its Pineapple Small Curd Cottage Cheese as well as a first place award in the Reduced Fat Cottage Cheese Class for its Reduced Fat Trim Small Curd. In addition, in a playful use of its products, Darigold last fall unveiled replicas of Seattle mayoral candidates Mike McGinn and Ed Murray made entirely of the cooperative’s butter. The nearly life-size replicas each were made from 150 pounds of butter and carved by artist Linda Christensen. The replicas were carved in Darigold’s walk-in cooler at its South Seattle headquarters. A heightened focus on sustainability and social responsibility is a cornerstone of Darigold Inc. The cooperative recently released its second Cooperative Social Responsibility (CSR) Report. The first was published in 2010. The CSR report discloses data on Darigold’s performance, provides a discussion of environmental, social and economic challenges and opportunities of the business, and summarizes Darigold’s goals for the future. In the latest report, Darigold shares the essence of who the cooperative is — stories from the lives of Darigold’s producer-owners and their families, insights into its processing employees and personal perspectives about its operations and products. The report also shares the progress Darigold has made in its CSR efforts since 2010. “Much has been learned and accomplished over these past two years. We have been steadily driving continuous improvement in our processing facilities and on our farms,” the report says. The cooperative notes that on a perunit basis, it has lowered its CO2 emissions from electricity and natural gas in its plants by 5.4 percent, meeting its goal to reduce waste to landfill or incinerated without energy recovery by 5 percent. About 50 percent of the company’s waste is diverted to recycling systems. Darigold has reduced its consumption of water per unit of production by nearly 12 percent, well ahead of its target. “Consistent with our strategy, our sustainability efforts are extending throughout our entire value chain and into virtually every aspect of our operations,” the report says. “Our focus on safety performance is sharper. At all our facilities, we have created Energy Management Teams and Environment, Health, & Safety (EH&S) teams. Our recycling is up and our waste is down. We are driving significant breakthrough innovations in our products, packaging and processes. Many innovations have required collaboration of people across our entire company and with our suppliers. These breakthroughs have made our environmental footprint smaller, reduced our costs, improved labor efficiency and helped secure additional business — reflecting the win-win-win approach to sustainability that we believe in.” In Darigold’s 2012-2013 annual report, Darigold President and CEO Jim Wegner and Board Chair Jim Werkhoven note that measuring the success of a cooperative isn’t as simple as the profit or loss on the organization’s financial report. “Success is equally about creating a secure market for our members’ milk in both local and global markets, returning maximum value to our owners and positioning the organization for future success,” the executives say. “It also includes managing equity payments for those who invested in the cooperative in the past while continuing to appropriately invest for the success of tomorrow’s members.” Wegner and Werkhoven note the industry has changed over time and more change is ahead. “The individual farm and cooperative business models that may have worked a decade ago won’t necessarily bring success in the future,” they say. “That’s why our board continually examines the needs of current producers and future generations as we strategically plan our future. “We also recognize that one of our key roles is to directly support our members, balancing the needs of producers large and small,” they add. “Both small and large farms can be successful; the key is to focus on efficiency more than size, and to provide information and field support that is meaningful to all. We remain committed to helping our members forge new paths to their personal success as we work together to help nourish the world with high-quality dairy products.” Davisco Foods International Inc. Le Sueur, Minn. Key executives: Mark Davis, chairman; Jon Davis, pres. & CEO; Melanie Grund, CFO; John Velgersdyk, VP, business administration; Polly Olson, VP, business development, sales & marketing; Marvin Bartlett, dir., engineering; Brian Paulson, dir., quality assurance; Mike Klein, dir., whey operations; Troy Ammann, dir., cheese operations & sales Cheese plants: Jerome, Idaho (Mozzarella, Provolone, Cheddar, Monterey Jack, reduced-fat varieties, reduced-sodium varieties, shreds for foodservice, sweet dairy whey, deproteinized whey, BiPRO, WPC-80, permeate powder); Le Sueur, Minn. (Cheddar, Parmesan, reduced-fat varieties, spray & contract drying, BiPRO, deproteinized whey, lactose); Nicollet, Minn. (contract Turn to KEY PLAYERS, page 36 a Horizon Sales of Minnesota Can Provide All Your Dairy Ingredients and Sell All Your Dairy Products We specialize in using our extensive network to find a home for your excess inventory and finding ingredients for your production needs. We handle all shipping and can rework and repackage. No quantity too large or too small CHEESE “Our Team Can Assist Your Team” Blocks and Barrels Trim and Fines Flavored Process and Imitation BUTTER/MILKFAT DAIRY POWDERS CALL U CALL US S WI WITH ITH T Y YOUR OU UR UN UNIQ UNIQUE IQUE UE S SALES ALES AL S AND PROCUREMENT NEEDS: Dean Uglem Eric Kellin Pat Kellin 877-914-5400 duglem@horizonsalesinc.com ekellin@horizonsalesinc.com pkellin@horizonsalesinc.com Nonfat Dry Milk Whey Products Milk Protein Concentrate Buttermilk, Casein, Lactose horizonsalesinc.com For more information please visit www.horizonsalesinc.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 36 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 35 drying); Lake Norden, S.D. (Mozzarella, Provolone, Parmesan, WPC-80, lactose, contract drying) Estimated annual cheese produced: 400 million lbs. Estimated annual cheese marketed: 425 million lbs. Estimated 2013 sales: $800 million Projected 2014 sales: $900 million Percentage of sales from cheese: 88% Market segments for cheese: 30% retail; 35% foodservice; 35% ingredients Percentage of products exported: 15% Website: www.daviscofoods.com A look inside: Davisco Foods International Inc. continued to improve its facilities and add to its product line this past year. The company completely renovated its cheese production area at its Le Sueur, Minn., plant in order to modernize production and increase throughput, says Troy Ammann, director of cheese operations and sales, Davisco Foods International. Davisco Foods is an international cheese and food ingredient company headquartered in Le Sueur, Minn. Founded in 1943 by Stanley Davis with his purchase of the St. Peter Creamery, Davisco is managed by Jon Davis, CEO and grandson of the founder. Davisco has cheese companies in Le Sueur, Minn., Jerome, Idaho, and Lake Norden, S.D., as well as food ingredient companies in Le Sueur and Nicollet, Minn.; Lake Norden and Jerome. Davisco has sales offices in Minneapolis, Geneva, Shanghai, Singapore and worldwide strategic partners in the Middle East, Japan, China and Africa. Davisco Foods processes 11 million pounds of milk per day into cheese and whey products. The company prides itself on its support of local communities by providing jobs and buying milk from regional farmers. Davisco Foods produces more than 10 million pounds of whey protein isolates annually, accounting for 65 percent of whey protein isolates (WPIs) sold worldwide. Davisco Foods continued to expand its dairy protein offerings in late 2013 with the launch of three new ingredients to complement its portfolio of whey protein products for food and nutrition applications. Whey protein concentrate-80-heat Celebrating Over 80 Years of Service to the Industry... OFFERING • Pumps & Circulation Systems • CIP & Cleaning Systems • Metering, Batching & Blending Systems • Instrumentation • Chemical Tanks • Production Systems & Equipment • Valves, Fittings, Air Actuated Controls, Etc. The Name You Can Trust And Rely On For Your Capital Equipment And Systems Investments INCLUDING A COMPLETE LINE OF SUPPLIES & PARTS: • Chemicals • Clothing & Safety Items • Testware & Scientific Items • Paper Goods • Filtering Medium & Materials • Brushes & Brooms • Sanitary Fittings, Valves, Tubing, Etc. • Processing Plant Supplies • Pumps, Pumping Equipment, Parts, Supplies/Service • Repair/Parts for Gauges, Instrumentation, Gaskets, Valves R. D. SMITH CO., INC. 2703 Bauer Street | Eau Claire, WI 54701 | (715) 832-3479 (800) 826-7335 | Fax: (715) 832-7456 | Website: www.rdsmithco.com For more information please visit www.rdsmithco.com stable is an alternative to standard WPC-80, containing at least 80-percent whey proteins, no more than 5-percent moisture, 10-percent lactose and 6-percent minerals, and typically 5.5-percent fat, the company notes. It is suitable for thermally-processed foods where whey protein aggregation sometimes can be an issue when used at high levels, including sauces, soups, beverages, yogurt, baked foods, confections, process cheese, processed meats, infant formula and nutrition products. Davisco Foods also launched instantized WPC-80-identity preserved (IP), an agglomerated whey protein concentrate containing at least 80-percent protein that offers ease of dispersability via sunflower lecithin, a non-GMO/identity preserved ingredient used at less than 1.5 percent in the product. Davisco Foods notes that while whey proteins are known for high solubility, more rapid dispersability can be a benefit in dry mixes and in certain unit operations where rapid dissolution is important. Davisco also launched BiPRO IP, which offers dispersability with a non-GMO/IP sunflower lecithin, but in a whey protein isolate made from ion-exchange and unsurpassed purity, the company says. It is fat-free and lactose-free, and as with all BiPRO WPI products provides very high solubility, clarity in solution, clean taste and high nutritional quality with at least 95 percent protein on a dry basis. Davisco Foods says these three new products provide the high protein quality that whey proteins are known for with rapid digestibility, a complete amino acid profile and high levels of branched chain amino acids, including leucine. Davisco Foods earlier this year announced the results of a study spanning more than three years that shows Davisco detected no significant change in flavor, aroma, color or nutritional composition in sweet dairy whey and deproteinized whey. The study was conducted in the Davisco warehouse in Minnesota, matching the real-world conditions products would face prior to shipping to customers, the company says. By tracking changes in composition, color, flavor, aroma and solubility, the study demonstrated only minimal changes over a 3-year shelf life, Davisco says, noting a longer shelf life with Davisco whey powders will benefit warehousing, logistics, supply chain and manufacturers all the way to retail and consumer products. “That is the quality assurance that Davisco promises and delivers,” the company says. Davisco Foods also continues to produce award-winning cheese products. At this spring’s World Championship Cheese Contest, the company’s Lake Norden plant placed first and third in the Mild Provolone class with its Provolone and Lipase Provolone, respectively. Lake Norden also took second in the Part Skim Mozzarella class at the contest. At last fall’s World Dairy Expo Championship Dairy Product Contest, Low Moisture Part Skim Mozzarella made at Davisco Foods’ Jerome, Idaho, plant earned a third place award. Davisco Foods President and CEO Jon Davis, chair of the National Cheese Institute (NCI) from 2011-2013, in January was awarded a 2014 Soaring Eagle Award by the International Dairy Foods Association (IDFA). The award recognizes the extraordinary service of leaders in the dairy industry and those who have provided exemplary leadership to IDFA, the International Ice Cream Association, the Milk Industry Foundation and NCI. Emmi Roth USA Inc. Monroe, Wis. Parent company: Emmi Group, Luzern, Switzerland Key executives: Reto Mueller, CEO & CFO; Linda Duwve, VP, sales & marketing; Rene Weber, VP, operations; Jodie Wische, VP, specialty; Kerry Olson, VP, foodservice; Emmanuel Voissard, VP, retail sales Cheese plants: Monroe, Wis. (Grand Cru & a wide range of other specialty cheeses); Platteville, Wis. (Roth Grand Cru, Fontiago, Gouda, Butterkäse) Estimated 2013 sales: $228 million Projected 2014 sales: $228 million Percentage of sales from cheese: 90% (going forward, Emmi Roth USA will focus only on cheese) Website: www.emmirothusa.com A look inside: Emmi Roth USA Inc. has devoted its focus entirely to cheese the past year, as it discontinued its yogurt line and turned its fresh dairy products over to an entirely separate business under the Emmi Group starting in 2014. Last fall, Emmi Roth USA’s new stateof-the-art cheese plant in Platteville, Wis., opened, and production continues to increase at the 77,000-square-foot facility. The company is looking to add new cheeses to the plant’s production as it is working on new innovations for this coming year. Flavor and convenience were key themes in Emmi Roth USA’s product innovations this past year. The company showcased several new cheeses during January’s Winter Fancy Food Show in San Francisco, including many new flavored cheeses. New Roth 3 Chile Pepper Gouda includes chipotle, habanero and jalapeno peppers, and a new Roth Chipotle Havarti features smoky and spicy flavors. The company also introduced three new flavors of Raclette — Mediterranean, 5 Peppercorn and Roasted Garlic. Turn to KEY PLAYERS, page 37 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 37 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 36 The company notes that these cheeses, which melt well, add depth and surprise to recipes, dips and sandwiches. “We import some plain Raclette from Switzerland, but we thought this was an opportunity to really grow this category,” says Becky Ryan, director of marketing, Emmi Roth USA. “When you have a washed-rind cheese, there already is great flavor, and when we add peppercorn and garlic, it really starts to pump it up. It plays right into the trends we see out there with new, bolder flavors.” For foodservice, Emmi Roth USA has introduced Roth 6th Pan Ready Pouches, new packaging for fresh food preparation that fits directly into foodservice 6th pans for convenience, improved food safety and less shrink. These pouches are available in Grand Cru shreds, Buttermilk Blue, Buttermilk Gorgonzola and goat cheese crumbles. In 2013, the company introduced new varieties and updated its packaging for existing varieties of its specialty slice line, which now includes 6-ounce packages of its Van Gough Original, Van Gough Natural Smoked, Havarti Original, Havarti Dill, Havarti Peppadew, Havarti Horseradish, Havarti Jalapeno and Grand Cru Original. “As people are looking for more flavor, people also are starting to look for more convenience and want a really good cheese in a convenient format,” Ryan says. “With the new packaging, we really try to make it easier for the consumer to see how to use it. Every variety has a picture of a recipe made by our in-house chefs, and on the back is the recipe itself.” The company has been very active in social media marketing. Last fall it launched more specific marketing toward its foodservice customers with a separate Facebook page, “Cheese for Chefs,” to help with its outreach. The page now has more than 40,000 followers. Emmi Roth USA also has partnered with the Wisconsin Milk Marketing Board for events with culinary students to teach them about handling cheese and using it to increase flavor. The Roth Cheese website featured a yodeling contest this spring to promote its Alpine-style cheeses. The winner was awarded a trip to the Aspen Food and Wine festival, and cheese also was given out as awards. On the import side, the company featured its fondue in a campaign to promote its use in a variety of occasions, including tailgates and football parties. On Facebook, it featured “Fantasy Dipping Week” to prompt followers to consider things that could be dipped in melted cheese, such as buffalo wings, mini wieners, vegetables or fruits. As part of this campaign, the company introduced the Emmi Fondue Party Helmet, a football helmet-shaped fondue set that heats fondue in less than 15 minutes. The fondue helmet will be featured again this fall with a new football season-themed advertising program. The company brought home a number of awards from U.S. and international cheese competitions this past year. At the 2013 American Cheese Society competition, Grand Cru Reserve won a first place award, GranQueso Reserve won second place, GranQueso Original won third place and GranQueso Double-aged won third place in their respective classes. Also, the company’s Petite Swiss Reserve won second place, Roth Reduced-Fat Havarti won third place and Roth Dill Havarti won third place. At the 2013 World Dairy Expo Championship Dairy Product Contest, Roth 3 Chile Pepper Gouda won first place, while the company’s Petite Swiss Reserve won third in its class. Emmi Roth USA also won a first place award for its Petite Swiss Reserve at the 2013 Wisconsin State Fair. Both European- and U.S.-made cheeses from Emmi and Emmi Roth USA took home medals at the 2013 World Cheese Awards. Kaltbach Cave-aged Le Gruyère AOP and Winzer each won a “super gold,” while Le Gruyère AOP won a gold medal. At this spring’s World Championship Cheese Contest, Roth Buttermilk Blue and Roth GranQueso won best of class awards, while Roth GranQueso Reserve won second its class. Ryan notes that Roth cheeses won 24 awards this past year — a record for the company’s domestically-made cheeses. “Our GranQueso cheese has won ACS awards for 10 years in a row. We did well with GranQueso and others,” she says. “We won awards for our imported cheeses as well. We’re proud of the fact that we’re not a small company, but we produce really great cheese, and the awards just prove that.” Turn to KEY PLAYERS, page 38 a For dry-grated Parmesan, Romano, Asiago... no one does it better than Bella Pak! Introducing 7EDIDITWITH-ONDO6ECCHIO—our new product line of authentic Italian tasting hard grated cheeses. ,ET"ELLA0AKDOITFORYOU Get consistent, high-quality products, personalized service and inventory management to help you reach your sales goals! Choose your private label or our Mondo Vecchio brand. CHEESE CHEESE NET WT. 8oz (227g) NET WT. 8oz (227g) Offer your customers authentic Italian taste in the most popular hardgrated cheeses: s0ARMESAN s2OMANO s!SIAGO sPLUSDELICIOUSBLENDS s1UICKTURNAROUND s"ATCHDRYERS s#USTOMBLENDING s.EWANDSPECIALIZEDFORMULATIONS s-ULTIPLEPACKAGINGOPTIONS s&INISHEDPRODUCTPRICINGAVAILABLE Assorted pack sizes including 3-, 8- and 16-oz jars and canisters, 2.25-lb jars, 5-lb tubs, 25- and 50-pound bag in box plus custom sizes! #HOOSEYOURPRIVATELABELOROUR BRAND Call 920.735.4919 Appleton, Wisconsin USA www.bellapak.com For more information please visit www.bellapak.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 38 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 37 Foremost Farms USA Baraboo, Wis. Key executives: Dave Fuhrmann, pres. & CEO; Dirk Tachick, sr. VP, operations; Jim Sleper, VP, member services & milk marketing; Michael Doyle, CFO & VP, finance; Michael McDonald, VP, human resources, safety & communications; Doug Wilke, VP, marketing & technology Cheese plants: Appleton, Wis. (Mozzarella, LMPS Mozzarella, reduced-fat Mozzarella, direct shred, Provolone, condensed WPC, dry permeate); Chilton, Wis. (Mozzarella, LMPS Mozzarella, Provolone, smoked Provolone, String cheese, condensed WPC, condensed permeate); Clayton, Wis. (Mozzarella, LMPS Mozzarella, Provolone, condensed WPC, condensed permeate); Lancaster, Wis. (milled Cheddar, milled marbled Cheddar, condensed WPC, condensed permeate, condensed whey); Marshfield, Wis. (milled colored Cheddar, milled white Cheddar, Colby, Farmers cheese, lowfat Cheddar, lowfat Colby, Monterey Jack, condensed whey); Milan, Wis. (Mozzarella, LMPS Mozzarella, reduced-fat Mozzarella, Provolone, condensed WPC, condensed permeate); Plover, Wis. (whole whey powder, edible lactose, reduced minerals whey, reduced minerals WPC, WPC, organic whole whey powder); Preston, Minn. (WPC); Reedsburg, Wis. (butter, condensed skim milk, condensed buttermilk, sweet cream); Richland Center, Wis. (Mozzarella, LMPS Mozzarella, whole whey powder, condensed whey permeate, condensed WPC, condensed permeate); Rothschild, Wis. (dry permeate, pharmaceutical lactose, edible lactose); Sparta, Wis. (NDM, condensed skim milk, WPC, cultured milk powder) Estimated annual cheese produced: 544.4 million lbs. Our future looks bright. We specialize in custom manufacturing cheeses and dairy ingredients that: • (KKYLZZ[VKH`»ZMVVKHUKÅH]VY[YLUKZ • Meet your needs for functionality, quality HUKWYVJLZZPUNLɉ JPLUJ` • Meet the stringent food safety requirements of a global customer base Is Foremost in your future? E10889 Penny Lane • Baraboo • WI • 53913-8115 (608) 355-8700 • www.foremostfarms.com © 2014 Foremost Farms USA Cooperative For more information please visit www.foremostfarms.com Estimated annual cheese marketed: 555.4 million lbs. Estimated 2013 sales: $1.8 billion Projected 2014 sales: $1.7 billion Percentage of sales from cheese: 55% Market segments for cheese: 36% retail; 28% foodservice; 36% ingredients Percentage of products exported: 4% Website: www.foremostfarms.com A look inside: As capacity has grown in many of its plants, Foremost Farms decided to consolidate its cheese manufacturing by closing plants in Waumandee and Alma Center, Wis., in the summer of 2013. American-type and Italian-type cheese production were consolidated at its Richland Center, Appleton, Milan and Marshfield, Wis., cheese plants. “As we looked at our complete production network and our processing capacity, we determined that we needed to close two facilities, partly because of age, as the Alma Center plant had older technology and was a smaller plant. In the case of Waumandee, its product mix just wasn’t profitable anymore,” says Joan Behr, director of corporate communications and brand management, Foremost Farms USA. “We have a history of consolidating plants to manage overall operation cost and keep business competitive.” Despite the plant closures, Behr notes that Foremost Farms produced more cheese in 2013 (544.4 million pounds) than it did in 2012 (525.3 million pounds). “There has been growth on the Italian side. Our Mozzarella and Provolone cheeses especially grew as our customers grew in their need for those styles of cheeses,” Behr says. “We are going to continue to look to grow our cheese sales as well as our whey ingredients sales.” This coming year, Foremost Farms is working with customers that are interested in cheeses with new flavors. “We’re working with customers on adding flavors to our existing products,” Behr says. “As consumers accept cheese as an ingredient in more food items, they’re looking for more pronounced flavors, pepper styles and that sort of thing. We’re working with customers to hone in on what those flavors should be so we can both grow sales.” Foremost Farms also is looking this year to install a reverse osmosis system in Michigan. The system will remove water from member milk available in that area so Foremost Farms can more easily transport the condensed milk solids to its own plants in Wisconsin to use for cheesemaking. Many of Foremost Farms’ cheeses and other products won awards this past year. Its Sharp Cheddar and Reduced Fat Provolone both won third in their respective classes at the 2013 World Dairy Expo Championship Dairy Product Contest. Its sweet whey won first and second place awards, its whey protein concentrate won first and third Turn to KEY PLAYERS, page 39 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 39 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 38 place awards, and its salted butter won first place at the contest as well. Foremost Farms’ Reduced Fat Provolone and salted butter both won first place awards at the 2013 Wisconsin State Fair Cheese & Butter Contest. Also this past year, Foremost Farms was recognized as a Green Professional in the Green Masters Program established by the Wisconsin Sustainable Business Council for acting in an environmentally, socially and financially responsible manner. Examples of Foremost Farms’ sustainability efforts include: developing goals and strategies to reduce greenhouse gas emissions; finding effective and efficient ways to transfer the energy from dairy products that have been cooled or preheated to reduce energy consumption; constructing an industrial wastewater treatment facility with a fellow dairy processor that converts methane to electricity; and working with customers to minimize packaging materials and place finished dairy products in reusable containers. “Sustainability is an overall goal for the company,” Behr says. “We actually have a cross functional committee that meets regularly to discuss attaining our goals when it comes to energy usage, water usage and recycling.” Foremost Farms also continues to focus on safety, and last summer the employees at its Appleton, Wis., plant achieved 2 million hours since September 2004 without a lost-time injury. This milestone was a first for any plant in the Foremost Farms processing network. Foremost Farms was recognized by the Wisconsin Safety Council for this achievement. “We have ongoing efforts to strive for operational excellence — looking at processes and how we can further improve them, either improve the product quality, remove some cost of production, or provide a more valuable service to our customers,” Behr says. Niamh Kelly, VP, strategy; Eric Bastian, VP, R&D, Glanbia USA Cheese plants: Blackfoot, Idaho (40lb. block Cheddar, Monterey Jack, Pepper Jack, Parmesan, organic cheeses); Gooding, Idaho (barrel cheese); Twin Falls, Idaho (40-lb. block Cheddar, Colby, Colby Jack, Pepper Jack, Monterey Jack, reduced-fat Cheddar, reduced-fat Monterey Jack, Muenster, Asadero, Queso Quesadilla, organic Cheddar) Cheese and ingredient-related joint venture: Southwest Cheese Co., Clovis, N.M. — JV cheese operation with the cooperative members of the Greater Southwest Agency (DFA, Select Milk Producers, Zia Milk Producers, LoneStar) (40- and 640-lb. block Cheddar, Colby, Monterey Jack, Pepper Jack, Muenster, Asadero, Queso Quesadilla, Colby Jack) Estimated annual cheese produced: 850 million lbs. Estimated annual cheese marketed: 850 million lbs. 2013 sales: $1.95 billion (includes 100 percent of Southwest Cheese joint venture sales) Projected 2014 sales: $1.9 billion Percentage of sales from cheese: 84% Market segments for cheese: 40% retail; 40% foodservice; 20% ingredients Percentage of products exported: 10% Website: www.glanbiausa.com A look inside: Glanbia Foods in 2013 celebrated the opening of its new 14,000-square-foot Cheese Innovation Center, where its industry experts will work alongside customers to develop the future of cheese products. “The Cheese Innovation Center represents our commitment to and investment in our customer relationships, the global cheese industry and our local community,” says Jeff Williams, president and CEO, Glanbia Foods. The new center is adjacent to the company’s new headquarters for its U.S. cheese business in Twin Falls, Idaho. Dave Perry, director of cheese innovation, Glanbia Foods, notes the center elevates Glanbia’s ability to create new products, processes, services and solutions to satisfy changing market needs. Turn to KEY PLAYERS, page 40 a GEA Nu-Con Cleanable Powder Handling Systems Glanbia Foods Inc. Powder handling equipment can be CIP-ed effectively when the correct equipment and designs have been implemented. A system that is CIPable includes a CIP kitchen with water and cleaning solution tanks, pumps, heaters; dead-leg free valves, vessels, and hard pipes; and integrated process automation. Twin Falls, Idaho Parent company: Glanbia plc, Kilkenny, Ireland Key executives: Jeff Williams, pres. & CEO; George Chappell, pres., Southwest Cheese; Wilf Costello, exec. VP, commercial; John Mutchler, exec. VP, supply chain; Barney Krueger, sr. VP, technical services; Daragh Maccabee, CFO & exec. VP, finance; Shawn Athay, VP, human resources & organizational development; Skid Mounted Three-Tank CIP System GEA Process Engineering Inc. 1600 O‘Keefe Road, Hudson WI, 54016 Phone: 1 715 386 9371, Fax: 1 715 386 9376 gea-pe.us@gea.com, www.gea.com engineering for a better world GEA Process Engineering For more information please visit www.gea.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 40 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 39 “We now have every resource we need under one roof, from our on-site experts to cutting-edge technology and equipment, to capture market opportunities at a quicker pace than ever before,” Perry says. Glanbia Foods’ Twin Falls and Gooding, Idaho, plants in late 2013 together were recognized by Idaho Power as one its “Top 10 Energy Efficiency Program Participants.” The company’s energysaving measures will save Glanbia more than 3 million kilowatt-hours per year, which placed the company second on Idaho Power’s Top 10 list. Because of extensive energy upgrades made at those plants, Idaho Power paid Glanbia more than $250,000 in incentives. “Glanbia Foods has been one of our greatest partners in our efforts to encourage energy effectiveness,” says Chris Pollow, Idaho Power senior engineer. “Their engagement in energy efficiency practices helps them reduce their energy use and helps us keep rates among the lowest in the nation.” Steve Maughan, senior project manager for Glanbia Foods, says numerous energy efficiency upgrades were made at these plants to help conserve electricity and qualify for Idaho Power incentives. “At our Twin Falls plant, we up- graded the refrigeration systems and installed motor controls that enabled our processing systems to run more efficiently,” Maughan says. “In Gooding, we upgraded lighting and building systems. As a result of these changes, we saved over 3 million kilowatts in 2012, enough electricity to power 750 average-sized Idaho homes in one year.” Williams notes that a portion of the money Glanbia saves on its electricity use is returned by Idaho Power, which in turns allows the company to use that money for business growth and investment. “We are keen on being energy conscious as we will continue to do whatever we can in the future to save energy,” Fairway Dairy & Ingredients is positioned to take care of all of your cheese processing and packaging needs. • Cheese is our specialty • LTL to multiple loads • Specializing in “balancing” your inventory • We are YOUR marketing and procurement partners • • • • • • • Import/Export Table cheeses Industrial Foodservice Butter Dairy powders 90,000 sq. ft. of manufacturing space to meet your needs • We can handle your special projects • Bring us your line and we’ll do the rest • Qualified, highly-trained staff • Extensive Reclamation Center • Cheese processing/ packaging • Cut-n-wrap operation • GMPs (Good Manufacturing Practices) • Cheese grading • Offering extensive cheese equipment background Williams says. “We know that saving energy is not only good for Glanbia, but it helps to offset Idaho Power’s energy demand and future plant needs. Energy savings is a win-win for everyone.” In 2013 Glanbia Foods also acquired a cheese plant in Blackfoot, Idaho, from Sartori Co. Glanbia says the acquisition is a key enabler in its strategy to be the largest and most innovative producer of American-style cheese. “This acquisition further demonstrates Glanbia’s commitment to innovation and to the long-term sustainability of dairy in Idaho,” Williams says. He notes that the Blackfoot plant’s size is just right to allow Glanbia to take new product development out of its Cheese Innovation Center to commercial scale in a reduced time cycle. “That’s going well,” he adds. Williams adds that with bringing the Cheese Innovation Center online, Glanbia Foods also is looking to support its exports and continue to grow that side of the business. “We want to imbed ourselves overseas,” he says. “We can’t just be transactional, but must be a consistent supplier.” Glanbia Foods’ cheeses received several awards at last summer’s Idaho Milk Processors Association’s cheese contest. The company’s Medium White Cheddar, Red Hot Habanero, Monterey Jack with Black Olives & Garlic and Gouda all received first place awards at the contest. At this spring’s World Championship Cheese Contest, Glanbia Foods received best in class awards for its Monterey Jack and Black Olive & Garlic Gouda; second place awards for its Bacon Cheddar, Reduced Fat White Cheddar and 25-percent Reduced Sodium Cheddar; and third place awards for its Reduced Fat White Cheddar, Smoked Cheddar and Bandaged Cheddar-Medium. Gossner Foods Inc. Logan, Utah Fairway Dairy & Ingredients 17725 Juniper Path Lakeville, MN 55044 Phone: (952) 431-8400 Fax: (952) 431-8470 email: jbeatty@fairwaydairy.com • Website: www.fairwaydairy.com For more information please visit www.fairwaydairy.com Key executives: Dolores Wheeler, pres. & CEO; Greg Rowley, exec. VP; Drew Miller, CFO; Dave Larsen, general mgr., Utah cheese division; Kelly Luthi, general mgr., aseptic operations; Jim Jessen, production mgr., UHT plant; Jason Simper, sales mgr., Gossner Foods; Jason Crafts, dir., quality assurance; Brian Wilson/Clemente Russo, co-mgrs., Idaho cheese division Cheese plants: Logan, Utah (Swiss, Baby Swiss, Muenster, naturally smoked Turn to KEY PLAYERS, page 41 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 41 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 40 cheese, full service retail & foodservice packaging operation); Heyburn, Idaho (Swiss, Baby Swiss, Muenster, Colby Jack & Pepper Jack mini-horn) Aseptic milk plant: Logan, Utah (shelf-stable milk products) Estimated annual cheese produced: 60 million lbs. Estimated annual cheese marketed: 65 million lbs. Estimated 2013 sales: $315 million Projected 2014 sales: $330 million Percentage of sales from cheese: 60% Market segments for cheese: 40% retail; 50% foodservice; 10% ingredients Percentage of products exported: 5% Website: www.gossner.com A look inside: In January, Gossner Foods Inc. closed its Imperial Valley Cheese plant in El Centro, Calif., and moved Swiss and Muenster production from that plant to its Heyburn, Idaho, facility. The decision to close the plant was based on a lack of milk supply and volume that didn’t support a revenue for its whey stream, company officials say. Meanwhile, the company continues to expand its aseptic milk plant in Logan, Utah, where a new 20,000-squarefoot production facility recently was completed, an additional 15,000 square feet of its existing warehouse was converted to additional production space, and a new high-speed line for aseptic quarts with recloseable screw caps was installed. “The packaging format changed a little bit to accommodate our white milks,” says Kelly Luthi, general manager, aseptic operations. “It’s in a little taller, more retail-friendly package, and on a more automated line.” Also in its aseptic line, Gossner rolled out a chocolate milk into a major U.S. retailer last fall. Luthi notes that shelf-stable milk has seen steady growth over the last 5-7 years as it finds more acceptance among U.S. consumers. It continues to grow in export markets as well. “Schools are looking more to it to fill in for their needs when they can’t get regular pasteurized milk,” he says. “A lot of the product is going to food banks nationwide through direct purchases and government bids. And in the export market, we’re doing quite a bit of private label work.” This coming year, Gossner Foods is looking to add another line of its 8-ounce Prisma-style milk package to add capacity to its existing line. At its cheese processing plant in Logan, Utah, Gossner Foods installed a new high-speed slice line this spring. The new line was installed primarily to keep up with existing customer demand for its co-pack retail packages, and will allow the company some additional capacity. Additionally, Gossner has upgraded the whey processing equip- ment in its Heyburn, Idaho, plant to make food-grade lactose, improving its revenue stream. The front of the Utah cheese plant and retail store was given an update this past year to give it a more Swiss character. The plant’s offices were upgraded as well. “We wanted to go back to our Swiss heritage, so we remodeled the front of the plant with white stucco and brown accents,” says Dolores Wheeler, president and CEO, Gossner Foods. “We put in light poles and some rock work too, so it’s a very nice entrance.” While visitors can’t tour the plant due to security and safety measures, Gossner Foods this past year started inviting visitors to learn more about the farm-to-table process through an educational video and activities for teachers and students. The video starts with explaining the dairy farmers’ dedication to what they do, and continues with plant managers who tell about processing and packaging dairy products. “We have been offering it to teachers and students from senior high to elementary children when they come in,” Wheeler says. “We give them a scoop of ice cream, a carton of flavored milk and a cheese curd, and educate them on how good dairy products are for you.” She says much of the goal is to educate children who come to visit from cities and don’t know much about the origins of their food. “A lot of teachers are very enthused about it. A lot of our farmers also,” Wheeler says, adding that often the same day students view the video, they also visit a farm to see how they milk the cows. “We want it to grow — we want to educate and tell them first-hand about our good products.” Wheeler says the goal at Gossner Foods is to continue to grow both its milk and cheese business. “In order to do that, we have to put out products that will satisfy our customers,” she says. “Our goal is to do the best job we can do, keep our farmers in business and provide good wages for our employees. If everything continues to go well, we will continue to grow.” Grafton, Vt. (aged Cheddar 1-4 years, Grafton Cave Aged cheeses) Estimated annual cheese produced: 1.4 million lbs. Estimated 2013 sales: $8.4 million Projected 2014 sales: $9.1 million Percentage of sales from cheese: 89% Market segments for cheese: 82% retail; 16% foodservice; 2% ingredients Website: www.graftonvillagecheese. com A look inside: Grafton Village is wellknown for its Cheddar line and has found continued success in its Cave-Aged line introduced in 2011. It continues to work on developing this line, and its R&D department has been quite active over the past year. “We do have several R&D projects in the works, and one is very close to fruition,” says Meri Spicer, sales and marketing director, Grafton Village Cheese. “We’re hopeful we’ll be launching it this summer; we’re very excited to be introducing a new product.” Dane Huebner, master cheesemaker, Grafton Village Cheese, is responsible for cave-aged product development, and part of that job is to experiment. “We’re certainly not resting on our laurels; we’re always looking at new ideas,” Spicer says. The cave-aged cheeses take a minimum of 60 days to be able to fully test, so it is a time-consuming process, but Grafton Village’s innovations have certainly paid off. “We won over 40 awards in the past year,” Spicer says. “The week of the American Cheese Society (ACS) competition was cool; Bear Hill won a first and second place at ACS and earlier that week had won Gold and World’s Best Sheep from the National Sheep Association at the International Cheese Awards.” Grafton Village Cheese won several awards in the ACS competition: a first place for Eweden Apple Pie in the Marinated Sheep’s Milk Cheese class; a first place for Bear Hill in the Open Sheep’s Milk Washed Rind Cheeses class (Bear Hill went on to take second place overall at ACS); and a second place for Vermont Clothbound Cheddar in the Cheddar Wrapped in Cloth (up to 12 months) class. At the World Cheese Awards, Grafton Village took home gold for its Shepsog and Naked cheeses. In addition to the National Sheep Association Trophy for Bear Hill, the company received a gold for Bear Hill and Truffled Bismark; silver for Bismark and Leyden; and bronze for Shepsog at Turn to KEY PLAYERS, page 42 a Grafton Village Cheese Co. Grafton, Vt. Ownership: Windham Foundation, Grafton, Vt. Key executives: Bob Allen, pres.; Ellyn Ladd, production mgr.; Meri Spicer, sales & marketing dir.; Dane Huebner, cheese artisan Cheese plant: Brattleboro, Vt. (aged Cheddar 1-4 years, flavored Cheddar); For more information please visit www.gossner.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 42 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business Grafton Village Cheese is part of the nonprofit Windham Foundation, Grafton, Vt., whose mission is to promote the vitality of Grafton and Vermont’s rural communities through its philanthropic and educational programs and its subsidiaries whose operations contribute to these endeavors. “We have a very important mission, and everything we do is to support it,” Spicer adds. Grafton Village also supports the Vermont Cheese Council, which is dedicated to the production and advancement of Vermont cheese. “We are a big supporter of the Vermont Cheese Council and will become involved in new efforts to support Ver- KEY PLAYERS Continued from page 41 the 116th Annual International Cheese Show in England last July. For the upcoming year Grafton Village will be continuing to extend its brand in the marketplace, emphasizing its key attributes and key differences. “We’re a handmade operation, which allows our cheesemakers to maintain traditional methods,” Spicer says. “We don’t pasteurize our milk and predominantly use Jersey milk, which adds some key elements to our flavor profile. We want to make sure our customers know what makes us unique.” Corporate Headquarters LTL consolidation Warehousing Warehousing & Rail Transloading Heritage Facility Warehousing WISCONSIN RAPIDS, WI EDGAR, WI Warehousing GOODING, ID JOLIET, IL LTL consolidation Warehousing Warehousing Rail Transloading ALLENTOWN, PA LTL consolidation Warehousing JAMESBURG, NJ Warehousing Pick & Pack Operation Import & Domestic Redistribution Programs Container Drayage & Stripping MODESTO, CA Warehousing Rail Transloading WINTERHAVEN, FL • Temperature Controlled and Dry Transportation and Warehousing • Truckload and LTL Services IRVING, TX LTL consolidation • Long Haul and Warehousing Regional Services Rail Transloading • Dedicated Services Warehousing Services: Rick Schlapman MCDONOUGH, GA LTL consolidation for Regional Shipments Warehousing Rail Transloading Transportation Services: Jason Johnson 800.333.4415 800.333.4415 rick.schlapman@welcompanies.com jason.johnson@welcompanies.com Grände Cheese Co. Brownsville, Wis. Key executives: Wayne Matzke, pres. & CEO; John Fridirici, VP, milk marketing & procurement; Paul Graham, VP, custom ingredients group; Daryl Gormley, group VP, Italian cheese; Dave WEL Companies, Inc. Offers . . . DE PERE, WI SERVICE and WAREHOUSE NETWORK mont cheese,” Spicer says. “We don’t have a fraction of the funding some other states do and we’ll be taking some key steps in the upcoming year.” LTL consolidation for intra FL Shipments Warehousing • Asset-based transportation and warehouse provider • Temperature controlled and dry transportation and warehousing to the lower 48 states • Specialists to dairy, food and beverage industries • Customized cheese aging programs • Ability to provide full service logistics, Truckload, LTL, and dedicated or collaborative transportation • Employs over 800 people and utilizes 550 tractors and 830 temperature controlled trailers with an average equipment age of three years • Utilizes 1.3 million square feet in 15 temperature controlled warehouses with cross docking, trans-loading, and rail access capabilities within 10 different states • CSA and ISS safety rating • Smartway Transport Partnership, AIB International, USDA Certification, FDA Certification and ATA WEL Companies, Inc. utilizes the most innovative technology available today. Our information systems include: • Full EDI transaction capable systems of the innovative TMS AS400 • Satellite tracking and Electronic Logs through PeopleNet Interactive • Real-time online customer order tracking capabilities • Document management systems to reduce paper flow WEL stays focused on our goals to offer our customers the most modern nationwide warehousing, logistics, trans-loading and container drayage and stripping services, while utilizing the most innovative technology available today. WEL is an environmentally, economically, and socially sustainable company that continues to invest and grow on an annual basis. WEL Companies, Inc. 1625 S. Broadway P. O. Box 5610 • De Pere, WI 54115 920.339.0110 • 800.333.4415 Fax: 920.983.2139 www.welcompanies.com For more information please visit www.welcompanies.com Herrmann, VP, information technology; Ryan Cropper, VP, human resources; Jeffrey Kondo, VP, cheese technology & corporate quality assurance; Todd Koss, CFO; Michael Magers, VP, marketing; Michael Nelson, VP, operations Cheese plants: Brownsville, Wis. (Mozzarella, Fior di Latte); Rolling Meadows, Fond du Lac, Wis. (dicing & shredding, cut & wrap, aging); Fond du Lac, Wis. (distribution); Friendship, Wis. (value-added custom ingredients); Juda, Wis. (Mozzarella, Ricotta); Rubicon, Wis. (Cheddar, Parmesan, Provolone, Romano); Wyocena, Wis. (Mozzarella, Provolone) Market segments for cheese: largely foodservice Website: www.grande.com A look inside: This spring Grände Cheese Co. completed an expansion of its cheese plant in Brownsville, Wis. The expansion adds capacity to its fresh Mozzarella production and adds more than 10,000 square feet. Grände also added two new micro turbines to its Brownsville plant that will help convert its cheese production waste into electricity. “The expansion enables us to meet the need for an expanded footprint at the Brownsville facility,” says Wayne Matzke, president and CEO, Grände Cheese Co. He adds that recent high-priced milk and the very high cost of raw materials continue to be challenges to overcome. “We’ve set a new record on cheese costs,” he says. “It’s a continued challenge for all of us to meet. We continue to work on that.” In addition to its cheese plant expansion, Grände also expanded its dairy ingredients business in October with the acquisition of PGP International’s (PGPI) whey processing facility in Juda, Wis., which is located adjacent to Grände’s Mozzarella and Ricotta plant in Juda. The products produced at the new whey facility are being marketed under the Wisconsin Whey International brand. Matzke says this acquisition allows Grände to process almost all of the whey for the company, which is critically important. “Grände has been consistently growing its cheese and whey business,” he says. “Because we had already been supplying some of our whey to the PGPI facility, this acquisition makes sense. It will also help support our future growth and diversification, as well as play a significant role in the stability of the Wisconsin dairy industry as this location receives whey from several other local cheese plants.” Grände’s dairy ingredients business unit, Custom Ingredients Group, exports some of its commercial whey products and now has a total of three whey processing plants in Wisconsin, in addition to the company’s five cheese plants and a home office and technology center in Turn to KEY PLAYERS, page 43 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 43 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 42 Lomira, Wis. The company’s technology group supports product development and operations with research and development lab work, food applications, testing kitchens and a manufacturing pilot plant. All finished products are tested at the technology center to assure that they meet the company’s quality standards. Grände continues marketing efforts for its Italian cheeses and dairy ingredients, and it is looking to work on adding some new, yet-to-be-disclosed products in the coming year. “We’re focused on really trying to meet our customers’ needs,” Matzke says. the company’s product strategy in the newly created position of chief product officer. “This includes fast ‘me-too’ items and completely new-to-the-market products.” Great Lakes Cheese continues to expand in the snack cheese arena, adding new innovation and products to the category. The company is putting in additional capacity for its cracker cut cheese at its plants and continues to bring smaller portion size cheese snacks to the marketplace. Additionally, the company offers a complete crumbles program that includes Blue, Gorgonzola and Feta. This past year, Great Lakes Cheese has worked on further developing cheeses with strong flavor profiles such as horseradish Cheddar and habanero Cheddar. Additionally, the company is seeing more interest in the dairy case for upscale “premium” cheeses — such as Havarti and Gouda — that have traditionally been found more often in the deli. The company also is providing private label customers with a thin-sliced cheese alternative, a product that was introduced by branded companies and is proving popular among calorie-conscious consumers. Great Lakes Cheese Co. Inc. continues to grow its footprint. It has begun construction this year on its first Southeast manufacturing facility. The new 330,000-square-foot manufacturing facility in the Manchester Industrial Park in Manchester, Tenn., will be the company’s fourth “super” plant and its ninth facility nationwide. The company is investing $100 million in the new plant, which is expected to employ 200 people by 2019. Production at the new plant is expected to commence in early 2015. “The decision to open another super plant is a measure of our commitment to delivering quality cheese products to our customers who count on Great Lakes for logistical efficiencies,” says Craig Filkouski, vice president of operations, Great Lakes Cheese. “We believe that having strategically-placed Turn to KEY PLAYERS, page 44 a Exce¿ence Since 1958, excellence has been part of our company’s tradition. It’s something we never stop striving to achieve. Great Lakes Cheese Co. Inc. Hiram, Ohio Key executives: Gary Vanic, pres. & CEO; Heidi Eller, chairman of the board; Hans Epprecht, board member; John Epprecht, VP, co-manufacturing; Dan Zagzebski, chief product officer; Craig Filkouski, VP, operations; Kurt Epprecht, VP, procurement; Bill Andrews, VP, retail sales East & foodservice; Russ Mullins, VP, finance; Mary Jo Tourmet, VP, human resources; Tom Eastham, dir., manufacturing; Doug Rouse, dir., operations; Tim Ault, dir., quality Cheese plants: Adams, N.Y. (aged Cheddar, whey); Cuba, N.Y. (Mozzarella, Provolone, String cheese, shreds & foodservice, whey); Hiram, Ohio (chunks, slices, shreds, deli cuts); Fillmore, Utah (chunks, slices, deli cuts, shreds — retail & foodservice); La Crosse, Wis. (process — retail & foodservice); Plymouth, Wis. (chunks, slices, shreds — retail & foodservice); Seymour, Wis. (Blue); Wausau, Wis. (Blue, deli trays, chunks, vacuum slices, cups, packaging & distribution) Estimated annual cheese produced: 220 million lbs. Estimated annual cheese marketed: 1.3 billion lbs. 2013 sales: $2.5 billion Market segments for cheese: 60% retail; 30% foodservice; 10% ingredients Website: www.greatlakescheese.com Great Lakes Cheese Co. Inc., a leading private label manufacturer, is focusing on leadership and new product innovation for its customers. “As retailers push to differentiate and grow their store brands, Great Lakes Cheese is committed to providing customers with a relevant product portfolio to help them win in the marketplace,” says Dan Zagzebski, who is leading For over 50 years, Great Lakes Cheese has been an award winning, premier manufacturer and packer of natural and process bulk, shredded and sliced cheeses. Our superior quality wins more customers for you – and keeps them coming back. We continue raising industry standards in manufacturing capabilities, plant capacity, distribution and complete private label programs for dairy, deli and food service. Because our biggest accomplishment…is the customer satisfaction we earn every day. greatlakescheese.com | 800.677.7181 For more information please visit www.greatlakescheese.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 44 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 43 manufacturing facilities is essential to serving the evolving needs of our customers and to provide opportunities for future growth.” The company also is finalizing an expansion at its La Crosse, Wis., plant. The company continues to excel in cheese competitions as well. Recently, a sharp Cheddar made at the company’s Adams, N.Y., plant placed first in its class at the World Championship Cheese Contest. Guggisberg Cheese Inc. Millersburg, Ohio Key executives: Richard Guggisberg, pres.; Diane Mellor, VP; Ray Kohl, pres., Guggisberg Sales Co.; Shawn Shertzer, controller; Dick Bylsma, dir. of sales, Indiana division Cheese plants: Doughty Valley plant, Millersburg, Ohio (Original Baby Swiss wheels & deli slicing loaves; Amish Butter cheese wheels & deli slicing loaves; Lacerne cheese wheels; Farmers cheese deli slicing loaves); Sugarcreek, Ohio (200-pound block premium Swiss, 200-pound block Baby Swiss, Baby Swiss deli slicing loaves, Swiss Lace deli slicing loaves, 200-pound traditional Swiss wheels, cut & wrap, evaporated whey concentrate); Deutsch Kase Haus plant, Middlebury, Ind. (horns of Cheddar, Colby, Colby Jack, Monterey Jack, Pepper Jack, marble cheese, pepper cheese, cheese with yogurt cultures, salsa cheese, garden vegetable cheese, Amish Creamery cheese, Farmers cheese, smoked Gouda, Lacey Swiss) Estimated annual cheese produced: 33 million lbs. Estimated 2013 sales: $88 million Projected 2014 sales: $95 million Percentage of sales from cheese: 90% Market segments for cheese: 85% retail; 15% foodservice Website: www.babyswiss.com A look inside: Guggisberg Cheese Inc. focused on expanding and upgrading over the past year by adding approximately 40,000 square feet of aging rooms, cooler and packaging space. Guggisberg also added 20,000 square feet for phosphorous treatment and storage. “We have upgrades, modernization and Unmatched quality and consistency in every vat, we offer these varieties: Original Baby Swiss • Premium Swiss • Amish Butter Cheese • Farmers Cheese available in Bulk, Precut and Slices. Complete Private label programs for Deli and Food Service • Food Safety & Audit Programs • Original Baby Swiss Cheese • Loved by Young and Old Alike • 2 lb., 4 lb. and 7 lb. Deli Slicers expansion planned for all phases of production,” says Ursula Guggisberg-Bennett, marketing director, Guggisberg Cheese. Guggisberg-Bennett adds that the company’s biggest accomplishment from the past year is the complete line of packaged bulk Swiss and pre-cut pieces it has made available. The pre-cuts are produced in Guggisberg’s three facilities and are available in exact-weight 12-ounce wedges. Marketing initiatives for Guggisberg Cheese have revolved around its contest successes. “We have offered signage, promotional material and store sampling for retailers to advertise Guggisberg Swiss as the 2013 U.S. Swiss Cheese Champion as well as the 2013 Ohio Grand Champion Cheesemaker,” Guggisberg-Bennett says. Last June, the first of three contests in the Ohio Swiss Cheese Association’s competition to determine last year’s Grand Champion Cheesemaker was held. Guggisberg Cheese was awarded first place to take the early lead in the competition. Guggisberg’s Baby Swiss cheese also received first place in the “Open” category. During the Ohio State Fair, when the second of three contests was held, Guggisberg Cheese took gold in the Swiss class. In September, the final judging took place at the Ohio Swiss Festival’s cheese competition. Guggisberg Cheese took gold in the Swiss class with its Premium Swiss entry, and was featured throughout the festival as the Grand Champion Cheesemaker of Ohio. The World Dairy Expo contest in August awarded Guggisberg Cheese with a first in the Swiss Styles class for its Baby Swiss wheel. The company also took second place in the Colby, Monterey Jack class for its Colby-Jack Longhorn. In addition, Guggisberg Cheese was chosen as one of 101 award-winning, best cheeses in Culture magazine. The 101 best cheeses were chosen from among hundreds of top award-winners at seven international competitions held between September 2012 and August 2013. Looking ahead, Guggisberg Cheese will continue to take advantage of its expansions and work toward a new, uniformed look for its line. “Our goal for 2014 is to significantly expand production with an emphasis on continuous improvement to ensure our position as a premier manufacturer and supplier of Swiss cheese,” Guggisberg-Bennett says. • All available in Various Pack Sizes • Award-Winning Premium Swiss • Pleasantly Mild and Nutty Flavor FOR MORE INFORMATION, CONTACT: RAY KOHL at (724) 940-1785 Located 1.5 Miles North of Charm - 5060 State Route 557 :: Millersburg, Ohio 330-893-2500 View our Cheeses on-line at babyswiss.com For more information please visit www.babyswiss.com Henning’s Cheese Kiel, Wis. Key executives: Kerry Henning, pres.; Kert Henning, VP; Kay Schmitz, secretary; Everett Henning, accounts payable & receivable; Mindy Ausloos, billing & store mgr.; Rebekah Henschel, retail sales mgr. Cheese plant: Kiel, Wis. (Cheddar, Colby, Monterey Jack, reduced-fat Farmers, String cheese) Estimated annual cheese produced: 3.6 million lbs. Estimated annual cheese marketed: 3.6 million lbs. Percentage of sales from cheese: 100% Market segments for cheese: 100% retail Percentage of products exported: 1% Website: www.henningscheese.com A look inside: Henning’s Cheese is a fourth-generation family-operated cheese business celebrating its 100th anniversary this year. The year is being marked with celebrations and new products, including precut cheese wedges for retailers. The company’s plant, which is Safe Quality Foods (SQF) certified Level 2, is working toward Level 3 certification this year, says Kert Henning, company vice president who manages the business along with his siblings and other family members. Much of the way Henning’s Cheese makes its products dates back to the early days of cheesemaking. The company’s cheese is still hand matted in open vats, creating its unique flavor and texture. Eighty percent of the cheese is made into traditional, bandage-wrapped wheels. “We’re the last manufacturer of mammoth Cheddar wheels over 75 pounds,” Henning says, noting the company can make wheels as small as 12 pounds or its largest ever, which weighed in at just under 12,000 pounds. The company also can make Colby and Colby Jack wheels up to 1,000 pounds and Monterey Jack, Pepper Jack and Habanero Jack wheels up to 300 pounds. In addition, the company makes random weight blocks of cheese and packages it in 8-ounce, 14-ounce and 2-pound cuts for retailers. Other varieties the company produces include reduced-fat Farmers and String cheese. Henning’s Cheese also makes a number of flavored varieties overseen by company president Kerry Henning, a Wisconsin Master Cheesemaker. Kerry Henning blends unique spices and fruits to create a wide variety of flavored Cheddar cheeses. The company’s most recent flavor addition is Hatch Pepper Cheddar. The cheese features the company’s creamy smooth Cheddar and authentic Hatch Chili Peppers from Hatch, N.M., which impart a mild, sweet, savory pepper flavor. Henning’s Cheese, which sells to retailers across the country, also is debuting prepackaged wedges of its traditional bandage-wrapped Cheddar. By supplying prepackaged wedges, Kert Henning hopes to make the company more versatile for customers who Turn to KEY PLAYERS, page 45 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 45 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 44 can’t handle wheels or who would prefer a variety of products including wheels and prepackaged cheese. He hopes the move also will draw more attention to the company’s high-end cheese, particularly those that have a little age on them. The company’s cheeses also are available in the dairy cases of 150200 stores in eastern Wisconsin and in cheese and deli departments nationwide. “We like where we’re at,” Kert Henning says, but there also is always room for improvement and growth, he adds, noting that the company expanded its plant in both 2010 and 2013 to keep up with growing demand. Henning’s Cheese has won a number of awards over the years. At this spring’s World Championship Cheese contest, the company placed first in the Bandaged Cheddar, Mild to Medium class. In addition, the company placed second in the Pepper Flavored “American” Style Cheeses (Colby & Cheddar) class with its Chipotle-flavored Cheddar. Mango Fire Cheddar the company made for Saputo placed third in the Pepper Flavored “American” Style Cheeses (Cheddar & Colby) class. Hilmar Cheese Co. Hilmar, Calif. Key executives: John Jeter, pres. & CEO; Kevin Vogt, CFO; Phil Robnett, VP, business development; Rick Kaepernick, sr. VP, growth & development; Tedd Struckmeyer, VP, engineering & business development; Tom Ielmini, VP & general mgr., Hilmar Ingredients; David Ahlem, COO; Jeremy Travis, VP, quality assurance & operations; Kyle Jensen, VP & general mgr, cheese Cheese plants: Hilmar, Calif. (40-lb. & 640-lb. block Cheddar, Monterey Jack, Pepper Jack, Colby, Colby Jack, WPC, WPI, WPH, lactose); Dalhart, Texas (40lb. & 640-lb. block Cheddar, Monterey Jack, Pepper Jack, Colby, Colby Jack, WPC, WPI) Website: www.hilmarcheese.com A look inside: Hilmar Cheese Co. this past year settled into its new headquarters and Innovation Center in Hilmar, Calif. The new 55,000-squarefoot facility, which is Leadership in Energy & Environmental Design (LEED) Platinum certified, was completed last summer. The facility provides more room for existing staff and houses business development labs and technology cen- ters, says David Ahlem, vice president and general manager of cheese operations, Hilmar Cheese Co. “The new center will help customers add value in their respective markets,” he says. The building is separate from the company’s manufacturing plant in Hilmar. “LEED demonstrates our continuing commitment to stewardship and sustainability,” says Richard Clauss, chairman of Hilmar Cheese Co.’s board of directors. “Our owners and employees live here, and we strive to do what is right — for our employees, the dairy farmers that supply us milk, the community and our natural resources.” Core to the new headquarters is the Innovation Center with the latest pilot plant and food application equipment. The Innovation Center is focused on delivering greater service and knowledge to U.S. and global customers, company officials say. Food scientists use the newest equipment and technology to help food companies find success incorporating dairy into healthy foods and beverages. Hilmar Cheese specializes in the production of natural cheeses utilized by private label and national brands, retail and foodservice companies across the United States. While rare among large manufacturing sites, Hilmar Cheese has the unique ability to produce a range of cheese in large volumes and the flexibility to adjust quickly to customers’ changing needs, Ahlem notes. Hilmar Ingredients, a division of Hilmar Cheese, manufactures a wide range of whey protein concentrates, whey protein hydrolysates, whey protein isolates and three grades of edible lactose: edible, refined and ultra-refined. The company’s whey and lactose ingredients are sold worldwide for use in applications including frozen dinners, sports beverages, processed cheeses, baked goods, infant formulas, confectioneries and many others. As demand for these products continues to grow, Hilmar Cheese earlier this year announced that it is building a milk powder processing facility in Turlock, Calif. “We are expanding our ingredients business to meet strong global demand for milk powders,” says John Jeter, president and CEO, Hilmar Cheese. “The U.S. dairy industry, and specifically California, is well-positioned to be a consistent supplier to the world.” The new facility in Turlock will produce a variety of milk powders designed to be a primary foundation for delivering nutrition in various forms worldwide. The Hilmar Ingredients division will market the milk powder. “With this expansion into milk powders, we are continuing our tradition of converting our high-quality milk supply into the value-added products customers want,” notes Tom Ielmini, vice president and general manager, Hilmar Ingredients. “We now have customers in 50 countries and are always striving to meet their needs. This is part of a broader plan to be a larger, more dynamic global supplier.” Hilmar officials note the Turlock location provides numerous advantages, including excellent export opportunities through the Port of Oakland. The project is expected to be complete by the summer of 2015 and will add 40 full-time jobs. The company notes that the manufacturing process in the new facility will use the most technologically-advanced equipment to capture the water in milk for reuse to conserve ground water. Water will be recycled, reused and passed through a preliminary treatment before going to the Turlock Regional Water Quality facility. Energy efficiencies will include energy efficient lighting and use of premium efficiency electric motors. The project reflects the company’s ongoing commitment to sustainability, a core element of Hilmar Cheese Co.’s mission statement, which says “Through leadership-driven, highperformance teamwork, Hilmar Cheese Co. and Hilmar Ingredients develop and convert in a sustainable manner our premium milk supply into innovative, top-quality dairy products for customers worldwide who further add value in their markets.” Meanwhile, Hilmar Cheese’s Dalhart, Texas, facility — which was built from a green-field site in 2005 — has grown to about 400 employees and processes almost 9 million pounds of milk into cheese and whey products each day. The company is nearing completion of an expansion in Dalhart that includes additional capabilities on an existing 40-pound natural American-style cheese production line and improvements to a variety of processes to better service domestic and international customers. “We continue to invest in cheese to meet the needs of our growing customers domestically and abroad,” Ahlem says. The Dalhart facility previously expanded in 2010. That expansion included additional milk storage capacity and four additional milk receiving bays, as well as expansion to the natural American-style cheese production line. Since 2010, other improvements have Turn to KEY PLAYERS, page 46 a 4th Generation of Family Tradition Since 1914 • • • • • • Bandaged Style Wheels of Cheese Hand-Matted Cheddar “The Traditional Way” rBGH Free, Gluten Free All Natural Ingredients USDA, State and GFSI SQF Inspected Master Cheese Maker Certification in Cheddar, Colby & Monterey Jack Henning’s Wisconsin Cheese 20201 Point Creek Road • Kiel, WI 53042 Phone: (920) 894-3032 • Fax: (920) 894-3022 kay@henningscheese.com www.henningscheese.com For more information please visit www.henningscheese.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 46 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 45 included additional water conservation and recycling capabilities. “One of our core values is constant improvement and innovation,” Ahlem says. “The company walks the talk by investing in new equipment and processes each year.” Hilmar Cheese also continues to support education with its annual scholarship program. Now in its 10th year, 31 students demonstrating community involvement, academic performance and financial need each will receive a scholarship toward their higher education through the program. “Hilmar Cheese Co. values education,” says Aaron Wickstrom, third generation family owner of Hilmar Cheese and a scholarship committee member. “We have invested in programs at our Visitor Center to help people learn and extend our efforts to furthering the education of deserving local students.” Hilmar Cheese also had the opportunity earlier this year to make a corporate donation of $225,000 to a new year-round homeless shelter being built by the Turlock Gospel Mission. The project, which will include a kitchen, dining hall and office space, dormitories, restroom, shower and laundry facilities, is estimated to cost $1.8 million. “We had a unique opportunity to support this entity that serves the needs of the homeless in our region,” Ahlem says. “It’s rewarding for us to invest in the Turlock community and give back.” In the year ahead, Hilmar Cheese will continue to grow with its cheese customers and invest in technological resources to meet their needs, Ahlem says. Holland’s Family Cheese LLC Thorp, Wis. Key executives: Rolf Penterman, coowner; Marieke Penterman, co-owner Cheese plant: Thorp, Wis. (Gouda, flavored Gouda, aged Gouda, Marieke Golden) Estimated annual cheese produced: 200,000 lbs. Estimated annual cheese marketed: 200,000 lbs. Estimated 2013 sales: $1.2 million Projected 2014 sales: $2 million Percentage of sales from cheese: 96% Market segments for cheese: 90% retail; 10% foodservice Website: www.hollandsfamily cheese.com A look inside: Holland’s Family Cheese LLC has a brand new facility. Its freestall barn and parlor were completed in November 2013. The company is currently milking 300 cows. Its new creamery and store opened in February 2014. Included in the new 9,000-square-foot building with the creamery and the store, Holland’s has added offices, a conference room, a commercial kitchen and additional storage. The $5.1 million investment tripled the size of the company and doubled its annual production. “It’s great, everyday is like Christmas,” says Kari Skibbie, sales manager, Holland’s Family Cheese. “We keep getting new things. Before we were at about 600 square feet, so this is wonderful.” Holland’s Family Cheese also is WE SERVICE THE GLOBE with quality scientific equipment manufactured by us at our Colorado facility and select products by other manufacturers. All products and equipment come with a full manufacturer’s warranty and are backed by the knowledgeable personnel at UDY Corporation. 5$9#ORPORATION also has the expertise to assist you with all of your project needs and a complete fabrication shop is at your service. When you select UDY you get price, product and experience! UDY Corporation 201 Rome Ct., Ft. Collins, CO 80524 PH: 970.482.2060 FAX: 970.482.2067 EMAIL: bill@udyonecom WEB: www.udyone.com Proven Technology Since 1960 s $IRECT0ROTEIN 2EADOUT s (IGH#ORRELATION WITH+JELDAHL #OMBUSTION s 1UICK%ASY /PERATION s !FFORDABLE s 0RECISE!CCURATE AND2EPRODUCIBLE s #USTOMIZEDTO9OUR .EEDS"UDGET s !PPLICABLETO #HEESE$AIRY -ANY#OMMODITIES For more information please visit www.udyone.com adding to its team. With the new retail space, Holland’s will be increasing its hours to seven days a week and from 7 a.m. to 7 p.m. “It will be exponential when it comes to adding employees,” Skibbie says. “We also have to add another shift for cheesemaking and need tour guides and other staff.” The company is offering self-guided and guided tours of every facet of its operation, beginning with the cows being milked. Holland’s had education in mind when the space was constructed. The parlor has a built-in space on the end where people can watch the cows being milked, and also an upstairs viewing area that allows visitors to see the entire parlor. Owner Marieke Penterman also had the pipeline from the parlor made from glass, so visitors can see the milk and feel its warmth. Holland’s also will install an artificial cow kids will be able to milk this year. “We want it to be much more of a tourist destination,” Skibbie adds. Holland’s has won an award in every competition it has entered since 2007. This past year has not broken that tradition. In fact, every Holland’s cheese is award-winning. At the 2013 American Cheese Society competition Holland’s Marieke Gouda Mature (6-9 months) placed first, and Marieke Gouda Premium (12-18 months) placed second, in the Dutch Style — All Milks class. In the Cheeses Flavored with All Peppers — All Milks class, the company’s Marieke Gouda Cumin took first place. The Wisconsin State Fair competition bestowed Holland’s with a first in the Smoked Flavored Cheese class for its Smoked Gouda. At the 2014 World Championship Cheese Contest, Holland’s made the top 16 finalists with its Marieke Gouda Super (18-24 months). Holland’s swept the Aged Gouda category, taking first place with its Marieke Gouda Super, second with its Marieke Overjarige (2 years+) and third with its Marieke Gouda Mature (6-9 months). In the Smoked Gouda category, the company earned second with its Marieke Gouda Smoked and third with its Marieke Gouda Smoked Cumin. Under the Pepper Flavored Cheeses category, Holland’s Marieke Gouda Jalapeno was given third. Its Marieke Golden garnered a third in the Open Class Semi-soft (Semi-hard) Cheeses category. Holland’s claimed the top award in the 2013 U.S. Championship Cheese Contest with Marieke Gouda, aged 6-9 months. “Since the big win it’s been an incredibly amazing ride,” Skibbie says. “We can’t produce fast enough.” In terms of marketing, Holland’s is working on acclimating to its new space, and it doubled its production in April. The company has not yet added many more distributors, but continues to work with Gourmet Foods International (GFI). “We help GFI plan and they pre-order for what they need,” Skibbie says. “We doubled in April and began using cheese from the new plant.” The Holland’s cheese coming from the new plant will be different, as it is creamier due to the company increasing its percentage of Brown Swiss milk rather than Holstein milk. In the upcoming year, the company will be looking to release a Zachte Boerenkaas-style Gouda cheese, which translates to a soft farmhouse cheese. It will be made with raw milk from the farm, and Holland’s is looking to make it available in wheel format. “We’ve had a few tests, but it’s not quite where we want it to be,” Skibbie says. “Marieke (Penterman) wants it to be spreadable, but not as soft as Brie. She’s just waiting to perfect it.” Penterman also would like to make more ice cream and yogurt once the operation is completely underway, Skibbie adds. Joseph Gallo Farms Atwater, Calif. Key executives: Michael D. Gallo, CEO; Peter Gallo, VP Dairy plants: Atwater, Calif. (2) cheese production and packaging (Cheddar, Gouda, Monterey Jack, Mozzarella, Muenster, Pasta Filata Mozzarella, Provolone, cut & wrap); whey processing Estimated annual cheese produced: 50 million lbs. Estimated annual cheese marketed: 52 million lbs. Estimated 2013 sales: $150 million Projected 2014 sales: $170 million Percentage of sales from cheese: 67% Market segments for cheese: 30% retail; 20% foodservice; 13% ingredients Percentage of products exported: 29% of sales Website: www.josephfarms.com A look inside: Joseph Gallo Farms is looking to revamp and redesign its label and packaging this year. “We’ve restructured our management team, which we’re very excited about,” says Michael Gallo, CEO, Joseph Gallo Farms, and son of company founder Joseph Gallo. “We have a new general manager and CFO as well as some other new hires. With this restructuring, we are bringing the company up to speed with some new designs for our product labels.” Joseph Gallo Farms has been a family farm in Atwater, Calif., since 1946. Over the years the company has grown to include its own cows as well as its own line of premium 100-percent Turn to KEY PLAYERS, page 47 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 47 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 46 all-natural cheese. “At Joseph Farms, we craft the highest-quality natural products using sustainable practices,” Gallo notes. “Our commitment has earned Joseph Farms countless honors and awards for our dairy products and sustainable practices.” While the company milks about 9,000 of its own cows, it also buys milk from outside suppliers. With this milk, the company manufactures Jacks — including Marbled, Monterey and Pepper — as well as Cheddars, Mozzarella (including Pasta Filata), Gouda, Muenster, Provolone and Swiss. In the past year, Joseph Gallo Farms began offering 1-pound Whole Milk Mozzarella Balls, as well as Whole Milk Mozzarella 6-pound loaves for foodservice, Mike Gallo says. Joseph Gallo Farms is planning to release 8-ounce Mozzarella balls and 2-pound Pasta Filata loaves this year, and the company also is looking at the possibility of producing organic cheese this year, he says. The company also is launching reformulated lowfat Jack and Cheddar, sold primarily in blocks. “We had been making these lowfat cheeses for some time but had discontinued them due to lack of interest,” Gallo says. “But consumer interest in these items is ramping up.” Joseph Gallo Farms this year is putting in a new shred and packaging line at its cheese production facility, Gallo notes. In addition to its cheese production and packaging facility in Atwater, the company also has a whey processing facility where it produces whey protein isolates and pro cream. The company’s whey protein isolate earned a second place award in the WPC-80 Percent and Whey Protein Isolates class at last fall’s World Dairy Expo Championship Dairy Product Contest. In addition, last year the company launched Gallo Global Nutrition, a division devoted to marketing its whey products and meeting the growing global demand for these products, Gallo says. The company is looking to add additional products at both its protein and cheese processing plants in the coming year, Gallo notes. Joseph Gallo Farms has a methane digester on its farm that it initially brought online about 10 years ago, Gallo says. The system produces biogas from cow manure in a 7-acre covered lagoon anaerobic digester. The gas is scrubbed and piped to two power generators which produce a total of 1.5 megawatts of electricity. Heat from the generators is captured to produce steam for the cheese plant, saving on much of the propane needed to fuel its boilers. “Since the digester was first installed, we’ve been making improvements and additions to it,” Gallo says. “Last year we added more electrical generation; this is an ongoing project with more improvements coming this year.” He notes that it is important to him that the company preserves its natural heritage for generations to come. “Sustainable agriculture means we must replenish rather than exhaust our natural resources,” Gallo says. “What we’ve created is a business that is both profitable and sustainable. I’ve always believed in it, and we’ve proven over time that these goals are achievable and that wildlife and agriculture are fully compatible.” In 2013, the company was awarded the Governor’s Environmental and Economic Leadership Award for its sustainable farming and cheesemaking. “We are honored and pleased that the governor has recognized our commitment to sustainable practices,” Gallo says. “This award is a testament to the amazing support we receive from our family of customers and employees, and it inspires us to continually improve.” Michael Gallo and Joseph Gallo Farms in May were awarded the Outstanding Dairy Processing & Manufacturing Sustainability Award by the Innovation Center for U.S. Dairy as part of the third annual U.S. Dairy Sustainability Awards. The award was presented at a special ceremony in Washington, D.C. Gallo notes that with new products on the horizon and the new management structure in place, as well as the upcoming logo and packaging redesign, he is excited for the year ahead. “It’s been a lot of change, but we’re excited, and I think the end result is going to be a more efficient, marketdriven company vs. a production-driven company,” he says. Turn to KEY PLAYERS, page 48 a Look at cheese DIFFERENTLY. Take a look at our new logo and you’ll notice the difference. But one thing that hasn’t changed is the way we look at cheese. Unlimited ideas. Unprecedented service. Unbelievable taste. Check out our NEW website! k:KLWHKDOO6SHFLDOWLHV,QF ãCheese Products ãCheese Blends ãSubstitute Cheese ãImitation Cheese Whitehall Specialties. Maybe it’s time you looked at cheese differently. www.whitehall-specialties.comãã For more information please visit www.whitehall-specialties.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 48 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 47 Klondike Cheese Co. Monroe, Wis. Key executives: Ron Buholzer, pres.; Steve Buholzer, VP; Dave Buholzer, secretary/treasurer; Adam Buholzer, VP, production; Luke Buholzer, VP, sales; Matt Erdley, VP, engineering; Teena Buholzer, marketing dir. Cheese plant: Monroe, Wis. (Brick, traditional & flavored Feta, Greek yogurt, Havarti, Muenster, yogurt-based dips, reduced-fat sour cream) Estimated 2013 sales: $68.5 million Percentage of sales from cheese: 95% Market segments for cheese: 15%retail; 80% foodservice; 5% ingredients Website: www.klondikecheese.com A look inside: For Klondike Cheese Co., this past year has revolved around maintaining its cheese pedigree and acclimating to its new Greek yogurt production. Last March, Klondike Cheese invested $12 million in new equipment and construction that expanded its existing plant in Monroe, Wis., by 40,000 square feet. Demand for Greek yogurt from the company’s existing Feta customers, as well as the boom in the popularity of Greek yogurt nationwide sparked the expansion. “Production of Greek yogurt is going pretty well; we’re finding that we are very well set-up to do foodservice and industrial,” says Luke Buholzer, vice president, sales, Klondike Cheese. “The plant’s not yet at capacity, but it’s coming along. We’ve picked up some big accounts.” A large portion of the company’s yogurt production is for private label customers, although the company markets some Greek yogurt under its existing Odyssey label. Offering: • • • • • • • Authentic Mediterranean taste Available in lowfat and nonfat varieties 2X the protein Thick, creamy taste Exceptional quality with every spoonful Mayonnaise and sour cream substitute Retail, foodservice and industrial markets Better Flavor, Better Quality, Better Commitment. It’s A Family Tradition! 2013 United States Championship Cheese Contest 1st Place: Flavored Feta 1st Place: Havarti 1st Place: Fat Free Feta 1st Place: Flavored Havarti 2012 World Championship Cheese Contest 1st Place: Feta 1st Place: Peppercorn Feta 1st Place: Muenster 1st Place: Dill Havarti “When we come in first, you know exactly where we stand to best serve you!” Ron Buholzer, Dave Buholzer and Steve Buholzer 608.325.3021 • www.klondikecheese.com WISCONSIN MADE BY MASTER CHEESEMAKERS For more information please visit www.klondikecheese.com Currently, Klondike produces Black Cherry, Blueberry, Peach, Raspberry, Strawberry,Vanilla and Plain Nonfat and 2 percent fat varieties in 5.3-ounce retail cups. Each retail cup contains about 15 grams of protein. The company has the ability to produce fruit-blended yogurt or fruit-on-the-bottom. In addition to retail cups, the company packages 16-, 24-, and 32-ounce containers of Plain, Strawberry, Blueberry and Vanilla varieties. It also packages 5-gallon pails, 55-gallon barrels and 275-gallon totes. “We produced about 1 million pounds of Greek yogurt over the last year,” Buholzer says. “As far as plans for expansion in our yogurt, it’s tough to say, but it is likely. We have built a lot of flexibility into the plant, allowing for custom formulations to create our products.” The Greek yogurt line expanded the company’s workforce, including the addition of Stan Woodworth to the position of national sales manager, yogurt, Klondike Cheese. Klondike developed and released an 8-ounce Feta and brine for retail this past year. “We have seen good success with it so far,” Buholzer adds. “It is a fantastic product and we would have launched it sooner, but we could not find packaging to accommodate 8 ounces.” For the upcoming year, Klondike will continue to groom its Greek yogurt production. The company will exercise a complete packaging redesign on all of its products as well. “We have picked the marketing firm and are working on laying the foundation,” Buholzer says. “I’m happy to put some money behind marketing.” Buholzer adds that during the next year the company will be trying to get even more involved with customers to learn what works best for them individually. Klondike Cheese fared well on the competition circuit over the last year. At the 2013 American Cheese Society competition, its Brick cheese received a first place award in the Brick Cheese — Made From Cow’s Milk class. Klondike also received a third place award for its Lowfat Feta and a second place award for its reduced-fat Feta. In the Feta with Flavor Added — All Milks class, the company took second with its Mediterranean Herb Feta and third with it Peppercorn Feta. Additionally, at the 2013 Wisconsin State Fair Cheese & Butter Contest, Klondike Cheese’s Dill Havarti placed first in the Flavored Semi-Soft Cheese class. At the 2014 World Championship Cheese Contest, Klondike Cheese earned third place finishes for Muenster in the Brick, Muenster class, Reduced Fat Peppercorn Feta in Brine in the Reduced Fat Soft & Semi-soft (Semi-hard) Cheeses class, and for its Lowfat Feta in Brine in the Lowfat Cheeses class. Turn to KEY PLAYERS, page 49 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 49 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 48 Kraft Foods Group Inc. Northfield, Ill. Key executives: Tony Vernon, CEO; George Zoghbi, exec. VP & pres., Cheese & Dairy Cheese plants: Tulare, Calif.; Champaign, Ill.; Albany, Minn.; New Ulm, Minn. ; Springfield, Mo.; Campbell, N.Y.; Lowville, N.Y.; Walton, N.Y.; Beaver Dam, Wis.; Wausau, Wis.; Ingleside, Ontario; Mount Royal, Quebec 2013 sales: Total company net revenues are approximately $18.22 billion. U.S. Cheese net revenues are approximately $3.93 billion. Website: www.kraftfoodsgroup.com A look inside: Kraft Foods Group is one of the largest consumer packaged food and beverage companies in North America and worldwide, with net revenues of $18.2 billion and earnings from continuing operations before income taxes of $4.1 billion in 2013. Kraft was ninth on Rabobank’s 2013 Global Dairy Top-20 survey of the world’s largest dairy companies. Kraft’s diverse brand portfolio consists of many of the most popular food brands in North America, including two brands with annual net revenues exceeding $1 billion each — Kraft cheeses, dinners and dressings and Oscar Mayer meats — plus more than 25 brands with annual net revenues between $100 million and $1 billion each. Net revenues for the company’s Cheese segment totaled $3.9 billion for the 2013 fiscal year. Net revenues for the category increased 2.5 percent,which includes the impact of higher sales to Mondelez International. The increase also was driven by favorable volume/mix as higher shipments of natural cheese and sandwich cheese were partially offset by lower shipments of snacking cheese, due in part to a voluntary String cheese recall last fall because of premature spoilage in some products. The company reports segment operating income increased 2.6 percent as lower marketing spending, lower overhead costs, favorable volume/mix, and lower manufacturing costs driven by net productivity were partially offset by unfavorable pricing net of commodity costs. In 2013, Kraft completed the previously announced closures of its dairy plants in Waupaca, Wis., and Bentonville, Ark. Kraft continues to be known for its marketing prowess with a number of events, promotions and new products. New product additions for the company this past year have included Kraft Slim Cut, a natural cheese slice option that contains 35 calories per slice (105 calories in a 3-slice serving). The product, launched last summer, is available in Swiss, Sharp Cheddar and Colby Jack. The company also has updated some of its formulations. Earlier this year, Kraft announced the launch of Kraft Singles with No Artificial Preservatives, a renovation that removes artificial ingredients while still delivering the same quality, taste, look and melt its consumers expect. “We know families today want convenient foods that have no artificial preservatives and a simpler, more recognizable ingredient list, and Kraft is working to deliver more of these options,” says Brian Gelb, senior associate brand manager, Kraft Foods. Kraft Singles with No Artificial Preservatives are offered for the American and White American varieties. An apparent focus of the company this past year also has been its cream cheeses. In April, the Philadelphia brand announced that fans of Philadelphia cream cheese will find its most popular spreads with even more fruits and vegetables than before. Knowing American families are paying closer attention to what they eat and increasingly seeking out more recognizable ingredients, the company says it has added more of the real fruits and vegetables Philadelphia fans love to its leading sweet and savory spreads, which contain no artificial flavors. Each of these flavors was renovated to best showcase its real ingredients. The company also followed up its spring 2013 introduction of Philadelphia cream cheese with Spicy Jalapenos and launched a Chipotle cream cheese spread in September. The Chipotle product offers a smoky and spicy, yet rich and creamy cream cheese spread that pairs well with fruit preserves on a cracker for a tasty snack or offers a bit of zesty flavor to a fresh bagel, the company says. The brand’s other new flavor, Brown Sugar & Cinnamon cream Turn to KEY PLAYERS, page 50 a ERP SOFTWARE SOLUTIONS FOR THE FOOD AND BEVERAGE INDUSTRY. · Order Management · Manufacturing and MRP · Inventory Management · Warehouse Management · Lot Traceability · Procurement · Financial Management · Business Intelligence · Catch Weight Processing www.tgiltd.com/food For more information please visit www.tgiltd.com/food Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 50 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 49 cheese spread, is packed with “comfort” ingredients including brown sugar, cinnamon and a touch of nutmeg. Last fall, Kraft also introduced Philadelphia Cream Cheese 2X Protein. The new dairy spread not only offers twice as much protein (4g vs. 2g per serving) as traditional cream cheese spread, but also has 70 percent less fat and calories (per serving) than the leading peanut butter, Kraft notes. Last September, Kraft’s Philadelphia Cream Cheese broke the Guinness World Records achievement for creating the world’s largest cheesecake. The record-breaking cake, weighing in at 6,900 pounds, was unveiled at the ninth annual Cream Cheese Festival in Lowville, N.Y., by celebrity Chef Duff Goldman. Goldman unveiled the colossal cheesecake with the Philadelphia team to help raise awareness for Share Our Strength’s No Kid Hungry campaign and the campaign’s work to end childhood hunger in America. The brand has also worked with the No Kid Hungry program with other promotions as well, including a holiday online cookbook. Kraft and Polly-O String Cheese brands did a back-to-school program that included a coupon for $12 worth of savings in bags of select varieties. In addition to retailer participation, Kraft spread the word of this promotion through a special program with 15 select bloggers who received one prize pack valued at $100 to keep and one to give to a reader for a blog post about how they would use Kraft and Polly-O String Cheese as part of their wholesome snacking routines. Kraft Foods’ Velveeta team also helped get families back to the school routine with dinner solutions last summer. The promotion featured special retail displays with tearpads including coupons and recipes. Kraft Fresh Take also initiated a regional integrated program that included simple menu ideas for busy weeknights. This outreach included TV and in-store advertising as well as couponing and digital media on coupons.com. The company got some press earlier this year when, during professional football season, there was a limited availability of some Velveeta products in certain stores nationwide. The shortlived shortage was reportedly due to a combination of Kraft’s recent transfer of 1-pound Velveeta production to a different facility and increased seasonal demand. In other dairy category news, this past year the company introduced Breakstone’s/Knudsen Greek-Style Sour Cream & Nonfat Yogurt. Blended with Greek yogurt, this new offering is a great addition to dips, side dishes, entrees and desserts, the company says, adding that it features the same taste and creamy texture of Breakstone’s/ Knudsen sour cream with 50 percent less fat, 50 percent less cholesterol and two times the protein and calcium of regular sour cream. Men’s Health’s “125 Best Foods for Men 2013” named Philadelphia Whipped Spread “best cream cheese.” In addition, cream cheese made at the company’s Beaver Dam, Wis., plant placed first in the Spreadable Cheeses class at the World Championship Cheese Contest this spring. Fresh Mozzarella made at the company’s Campbell, N.Y., placed third in its class at the same contest. Additionally, cheese made by Agropur for Kraft placed first in the Medium Cheddar (3 to 6 months) class. For more information please visit www.wowlogistics.com LaClare Farms Chilton, Wis. Key executives: Clara Hedrich, owner; Larry Hedrich, general mgr.; Greg Hedrich, business mgr.; Katie Hedrich-Fuhrmann, cheesemaker & marketing mgr. Cheese plants: ; LaClare Farms Farmstead Plant, Pipe, Wis., (Evalon aged goat cheese; Evalon with Fenugreek goat cheese; Evalon with Cumin goat cheese; Chandoka mixed milk Cheddar; Ziege Zacke mixed milk Blue; Martrone mixed milk surface ripened; specialty goat cheeses: raw Cheddar, Cheddar, Fondy Jack original and flavored, Tomato Basil and Pepper Jack); partnership with Lamers Dairy, Appleton, Wis., for fluid milk bottling (whole milk half gallons, lowfat quarts) Percentage of sales from cheese: 75% Market segments for cheese: 65% retail; 35% foodservice Website: www.laclarefarm.com A look inside: In 2013 LaClare Farms finished construction and moved into its new facility in Pipe, Wis., late in 2013. The expansion has allowed all of the LaClare cheeses to come together in the new facility. The new facility includes a dairy plant, retail store and café, which offers a daily menu for lunch and dinner, along with a milking parlor and housing for 600 milking goats. The retail shop offers specialty cheeses, craft beers, wines, ice cream and Wisconsin local foods. “This has truly been a labor of love for our family,” says Larry Hedrich, general manager, LaClare Farms. “We are proud to open one of the most modern dairy processing facilities in the United States producing the highest-quality dairy products possible.” The LaClare Farms dairy plant is capable of processing cow, goat and sheep milk products, including cheese, cultured products and bottled milk. In addition to crafting its own LaClare Farms products, the Hedrichs perform custom processing and aging, and they work with other dairy entrepreneurs to develop new products. Figuring things out at the new plant is a challenging and exciting process, says Greg Hedrich, business manager, LaClare Farms. The entire facility offers public viewing windows so visitors may see firsthand what’s happening in the goat milking parlor, dairy processing plant and cheese aging rooms. From the café, people can see into the parlor to witness the milking and into the cheese aging rooms as well. “Things are going very well; we opened piece by piece last year as things were finished,” says Greg Hedrich. “It really creates a great experience and educates people.” For visitors it is possible for people to try every cheese LaClare creates. “It has become a favorite thing for people to come and experience in the evening,” Greg Hedrich adds. During the grand opening, LaClare Farms officially introduced Martone, a fresh surface-ripened cheese made with a combination of cow’s milk and goat’s milk. Available in plain and with an ash coating, the cheese has a clean flavor and pleasing tang with buttery characteristics, according to the company. Martone is available in 3-ounce wheels. “The release of the Martone was a big thing last year,” Greg Hedrich says. “Katie (Hedrich-Fuhrmann) spent a couple years developing this product. She was close for awhile, but continued until it was exactly right.” Martone has been well-received, and during 2014 LaClare will be working to secure and expand the product’s place in the market. LaClare will also continue to hone in its new plant and other facilities. “With the new plant, what’s fun is that we can make products for us and for other people,” Greg Hedrich says. The company has a product in the works for release in 2014. It’s described as being a little different than typical Cheddar, having many of the same properties but accompanied by a fruity flavor. LaClare Farms’ flagship Evalon, aged goat milk cheese patterned after a Dutch style with hints of fruity notes at the finish, continues to do well. Evalon placed third at the 2013 American Cheese Society competition last August. In March, Evalon, made by Katie Hedrich-Fuhrmann, was among the top 16 finalists at the World Championship Cheese Contest. Evalon earned best of class in the Hard Goat’s Milk Cheese class at the contest. “We placed well and that was very exciting,” Greg Hedrich says. “Looking forward we will maintain that cheese and look to expanding our market share on the East Coast and into California. We want more people to know about LaClare. “We still have our core market in the Midwest, and we will continue to grow within that market,” he adds. Like many dairy operations dependent on goat milk, Hedrich sees finding goat’s milk as the big challenge for this year. “We want to help grow our plant by being on the forefront to get more milk in the door,” Greg Hedrich says. “We have to help develop farms. We have big goals to grow the milk supply and to help the industry as a whole.” Turn to KEY PLAYERS, page 51 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 51 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 50 Land O’Lakes Inc. Arden Hills, Minn. Key executives: Chris Policinski, pres. & CEO; John Ellenberger, sr. VP, U.S. Dairy Foods; Dan Knutson, exec. VP & CFO; Beth Ford, exec. VP & chief supply chain and operations officer Dairy plants: Orland, Calif.; Tulare, Calif.; Pine Island, Minn.; Kent, Ohio; Carlisle, Pa.; Kiel, Wis.; Spencer, Wis. Cheese and ingredient-related joint ventures: Melrose Dairy Proteins, Melrose, Minn. — JV partner Dairy Farmers of America; Advanced Food Products, Clear Lakes, Wis. — JV partner Bongrain SA Estimated 2013 sales: $14.2 billion Website: www.landolakesinc.com A look inside: In 2013, Land O’Lakes Inc. delivered strong results and announced record annual sales of $14.2 billion, up 4.4 percent from the prior year, and record net earnings of almost $306 million, a 27 -percent increase over the prior year. The strong 2013 results continue a trend of significant growth during which the farmer-owned Fortune 200 food and agriculture cooperative has more than doubled annual sales and grown net earnings by more than 330 percent over the last seven years. “Our strong 2013 performance builds on our success of the last seven years,” says Chris Policinski, president and CEO, Land O’Lakes Inc. “The recordsetting year in Dairy Foods, combined with the continued strong performance of WinField (a distributor of crop protection products and agricultural seed), exemplify our commitment to delivering the products, programs and services that provide the greatest value for our customers and members alike.” Overall results for 2013 also included a record return of $147 million to members, representing a 30-percent increase in patronage compared to 2012. This is the fifth consecutive year cash to members has exceeded $100 million, bringing the seven-year total to more than $750 million. Policinski notes a number of strong performances across Land O’Lakes’ core businesses drove the favorable year-end results including its Dairy Food business, which had 101 percent yearover-year growth in pretax earnings. For the quarter ending Dec. 31, 2013, Land O’Lakes delivered net earnings of $108 million, a 19-percent increase compared to the fourth quarter of 2012. “Our strategic direction is clear: Deliver strong financial performance while continuing to enhance our capabilities for future growth,” Policinski says. “We will continue to make strategic invest- ments in our core businesses — from agriculture to animal nutrition to the dairy case.” Land O’Lakes’ Dairy Foods business generated record pretax earnings of $75 million on sales of $4.5 billion, up 8 percent from 2012. This year’s results, Dairy Foods’ highest earnings ever, were driven by improved margins on milk powders and butter in Global Dairy Ingredients along with records in sales volume and earnings in Land O’Lakes’ Retail Foods and Foodservice businesses. In May, Land O’Lakes Inc. announced a realignment of its Eastern Wisconsin milk supply strategy, including a multi-year investment in the milk shed that includes increasing capacity at its Kiel, Wis., plant, known for its award-winning Cheddar and Monterey Jack cheese production. The company also announced plans to cease production and permanently close its Denmark, Wis., plant. As part of the realignment, the company is making a multi-million dollar investment to increase capacity and expand receiving at its Kiel plant through improvements in plant infrastructure. Among the improvements at the Kiel facility will be new milk silos, new cheese vats, upgraded whey receiving and a new vat room. “Wisconsin is a key growth area for Land O’Lakes, and decisions such as this will help us achieve our aggressive growth goals,” Policinski says. “The investments at our Kiel plant will provide our members with increased opportunities to grow production in this critical region for our company.” The cooperative also says the decision to discontinue manufacturing Provolone and Mozzarella products at its Denmark plant is due to lack of profitability in recent years. The plant will cease production and permanently close July 1. Member milk that was shipped to the Denmark facility will be sold to an unrelated third party beginning July 1. Land O’Lakes says this announcement follows a long review to determine the best strategy to maximize growth opportunities and expand market access for the company’s member-owners and builds on the company’s plans to drive smart, focused growth and strategy to drive overall performance through constant evaluation of all segments of the business. The total planned investment was not released. In December, Land O’Lakes announced the acquisition of Geosys, a global technology firm that provides satellite imaging and insights to agribusiness. The acquisition caps a multi-year relationship between Geosys and Land O’Lakes through its WinField division. “This acquisition further cements Land O’Lakes’ position as a leader in agribusiness,” Policinski says. “We are developing tomorrow’s agricultural technology today, and this acquisition fits that strategic drive.” Land O’Lakes Layers segment, conducted through Moark LLC, had pretax losses in 2013 of $25 million, a $14 million improvement over 2012. While the company was challenged in 2013 by supply issues and high feed prices relative to egg prices, an extensive focus on cost savings and improved operational efficiency drove the improvement in 2013. Still, the decision was made to divest this business. Policinski notes that as Land O’Lakes has added to its capabilities, the cooperative also has explored new platforms that expand its market access and maximize the value of member production. Recognizing an untapped segment of the dairy case, Land O’Lakes acquired Kozy Shack in July 2012 to serve as a foundation for the co-op’s expansion into dairy-based snacks. These efforts proved successful, as Kozy Shack was a key contributor to Dairy Foods’ strong 2013 in the brand’s first full year as part of Land O’Lakes, Policinski says. Building on its “farm-to-market approach,” Land O’Lakes’ Dairy Foods business made a strategic investment to make the Land O’Lakes brand more relevant to the younger generation in 2013. Based on research about how butter is used by this generation, the cooperative introduced Saute Express Meal Starter, a dinner solution for younger families seeking convenient, flavorful options. A pre-portioned combination of butter, olive oil and a variety of herbs and spices, Saute Express Meal Starter can be added to a main dish of chicken, pork or fish to create a meal. The product recently earned a 2014 Better Homes and Gardens Best New Product Award. Land O’Lakes received other industry recognition over the past year as well. Carol Kitchen, senior vice president/general manager of Land O’Lakes Global Dairy Ingredients business, was named 2013 Female Executive of the Year by the Women in Agribusiness National Advisory Board. Kitchen, who has worked at Land O’Lakes for 15 years, received the award during the Women in Agribusiness Summit held in October in Minneapolis. Turn to KEY PLAYERS, page 52 a Strategic Consulting for Dairy and Food Companies The McCully Group has worked with many of the top dairy companies in North America as well as major multi-national food companies. Client engagements include: ■ Business Investment Analysis • Strategic analysis of new product and market opportunities • Optimization of supply chain costs ■ Procurement and Supply Chain Strategy • Development of procurement strategies • Organizational design studies ■ Commodity Risk Management • Commodity risk management policy and procedures • Commodity market analysis The McCully Group, LLC Mike McCully 312.646.0361 mike@themccullygroup.com • www.themccullygroup.com FREE Trial Subscription to The McCully Report Please email Mike today! For more information please visit www.themccullygroup.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 52 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 51 Land O’Lakes products also received industry recognition over the past year. At this spring’s World Championship Cheese Contest, Land O’Lakes’ Aged Cheddar and Medium Cheddar each placed second in their respective classes. At last summer’s Wisconsin State Fair Cheese & Butter Contest, Land O’Lakes’ Aged Cheddar earned first place in its class. The cooperative’s Cheddar won first place in its class at the 2013 World Dairy Expo Championship Dairy Product Contest. In addition, Land O’Lakes’ Aged Cheddar won second and third in its class at the contest. At the 2013 National Milk Producers Federation (NMPF) cheese contest, Land O’Lakes’ Four Cheese Italian Blend and Queso Cheese Dip won first place awards in their respective categories. Land O’Lakes notes that to stay ahead of the sustainability trend, the cooperative took steps with industry organizations this past year to develop and implement high-impact programs that meet customer expectations in a manner that respects the individual choices of its member-owners. As an example, the co-op cites building on its ongoing leadership in the area of animal care through NMPF’s FARM program. Land O’Lakes launched a new Farm Smart tool on 30 member farms in 2013. The pilot program, developed by the Innovation Center for U.S. Dairy, creates an environmental profile that includes producers’ greenhouse gas footprints. Last summer, the cooperative, in partnership with the Midwest Dairy Council (MDC), awarded six schools with prize packages — ranging from a supply of cheese to a visit from a pro football alumni player — for their creative video submissions to the “Hero’s Cheesy Challenge Celebration.” The challenge, created through a partnership with MDC and Land O’Lakes, rewarded Fuel Up to Play 60-enrolled Iowa schools for engaging in healthy eating and physical activity behaviors. Leprino Foods Co. Denver Key executives: James Leprino, chairman; Dan Vecchiarelli, vice chairman; Larry Jensen, pres.; Mike Durkin, sr. VP & CFO; Kevin Burke, sr. VP, global business development; Tom Hegarty, sr. VP, production operations; Terry Anderson, sr. VP, production technical services; Mike Reidy, sr. VP, corporate affairs; Jason Eckert, sr. VP, global quality; Barbara Kallay, sr. VP, human resources Cheese plants: Lemoore, Calif. (2) (Mozzarella, WPC-34, WPC-80 [regular & instantized], lactose); Tracy, Calif. (Mozzarella, String cheese, WPC-34, lactose); Fort Morgan, Colo. (Mozzarella, WPC-80, lactose); Greeley, Colo. (Mozzarella, WPC-80, WPI, lactose, NDM); Allendale, Mich. (Mozzarella, sweet whey); Remus, Mich. (String cheese); Roswell, N.M. (Mozzarella, WPC-34, lactose); Waverly, N.Y. (Mozzarella, sweet whey); Llangefni, Wales (JV with Glanbia plc — Mozzarella,condensed whey); Magheralin, Northern Ireland (JV with Glanbia plc — Mozzarella, WPC, permeate) Website: www.leprinofoods.com A look inside: Over the past year, Leprino Foods Co. has streamlined operations as it grows into the recent expansion at its newest plant in Greeley, Colo., and focuses on improvements at its Fort Morgan, Colo., and Waverly, N.Y., sites. “We’re at a point now where we’re growing into the expansion that we’ve recently completed in Greeley,” says Mike Reidy, senior vice president of corporate affairs, Leprino Foods. “Our focus this year will largely be on finishing the projects at our Fort Morgan and Waverly plants.” This past spring Leprino Foods began a significant construction project in Fort Morgan to add String cheese capability to the plant. The project was completed at the end of 2013. “We added the capability to swing production from the existing product line into String cheeses, so we now can do both frozen shredded and String cheese at the Fort Morgan plant,” Reidy says. At the Waverly plant, the company is in the process of migrating from production of shredded product to ribbon product in mid-2014, he says. The second phase of Leprino Foods’ state-of-the-art facility in Greeley also debuted last spring. The first phase, which was completed in 2011, included the plant’s nonfat dry milk processing, while the second phase included additional production of Mozzarella, WPC-80 and lactose. “At this point we have reached our full run rate on milk in phase two in Greeley,” Reidy says. The second phase also included the launch of Leprino’s newest product, whey protein isolate. Rapid growth in demand for dairy More News, More Solutions, More Choices! Yes, please send me the Exclusive 2014 Key Players Reprint for only $30! 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SUBSCRIBER SERVICES • P.O. Box 628254 • Middleton, Wisconsin 53562 E-mail: squarne@cheesemarketnews.com • Website: www.cheesemarketnews.com For more information please visit www.cheesemarketnews.com proteins continues throughout the global marketplace, and customers are requiring higher concentrations of protein for more sophisticated applications, Reidy notes. As part of its growth and streamlining of operations, Leprino Foods last fall announced the closure of its Ravenna, Neb., facility. The plant, which produced Mozzarella String cheese and related protein and permeate, closed Nov. 8. Leprino Foods says the difficult but necessary decision was driven by technological advances at its other facilities, the changing milk supply situation in the region and the company’s continuing commitment to meet its customers’ requirements now and in the future. “We continue to meet our customers’ needs with the plant upgrades and expansions we have put in place and the milk supplies supporting our facilities,” Reidy says. “We are utilizing the technological advances and capacity increases at our other facilities, specifically at Fort Morgan.” Reidy adds the decision was a difficult one for the company. “We remain very grateful to the employees who dedicated their service over the years,” he says. About 173 positions were affected by the closure, and employees were offered plant severance pay, health care benefit continuation assistance, potential opportunities at other Leprino Foods locations with relocation assistance and a retention bonus program for employees who stayed through the plant closing date. In the year ahead, Leprino Foods will continue its emphasis on its core values — quality, service, competitive pricing and ethics — and ensuring the company is positioned to deliver on those core values, Reidy says. “We continue to be highly responsive to our customers, both domestic and international, innovating products of the highest quality for which we will render our very high standards of customer service,” he says. The company this past year received several customer Supplier of the Year awards, Reidy notes. Leprino Foods also was recognized with the 2013-2014 Chairman’s Award for Economic Development from the Kings Economic Development Corp., Kings County, Calif., as well as Silver Partner status from the Colorado Department of Public Health and Environment as part of its 2013-2014 Colorado Environmental Leadership Program, and a Green Shipper Award from the Regional Air Quality Council and Colorado Motor Carrier Association. In addition, Leprino Foods employee Amanda Keenan, product analyst in the accounting department Turn to KEY PLAYERS, page 53 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 53 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 52 and communications lead representative for the company’s Waverly plant, was awarded a $1,000 2013 American Dairy Products Institute Jim Page Memorial Scholarship last spring. In her role at Leprino Foods, Keenan has assisted with the company’s updated software systems and processes while simultaneously pursuing a business management degree from Empire State College. employee locker rooms and a new maintenance area. The improvements also include a new in-house pathogen testing lab, which will significantly reduce the time it takes for customers to receive results. The expansion — which is the third in the last 12 years — will support more volume growth and improve product capabilities as the company continues to expand its offerings and customer base. The expansion is expected to add about 50 jobs over the next five years as it adds lines and more shifts. “Some of those job additions are somewhat surprising considering all the mechanization used throughout our operation. We continually do more with less,” says Jeff Giffin, president and CEO, Masters Gallery Foods. “To be expanding our workforce while putting in labor-saving devices is a testament to our volume growth.” The company partners with cheesemakers who provide numerous cheese varieties which are then processed, packaged and sold by Masters Gallery Foods. Recent additions are high-speed packaging lines for retail shreds as well as a snack-stick line. It continues to expand its stand-up pouch offerings for retail sizes and now has more flexibility for either stand-up or pillow pack. Snack sticks are a growing area which Masters Gal- lery entered in January 2013. “We’ve invested heavily in standup pouch capabilities and now have multiple lines capable of running either stand-up pouches or pillow pack shreds, whichever our customers desire,” says Jeffrey Gentine, executive vice president and co-owner, Masters Gallery Foods. “It’s a packaging trend that is really being driven by retailers to maximize space in the crowded and valuable dairy case. The national brands are going there, and many of our private label customers have actually been ahead of this trend.” Giffin says that the company also has focused on its exports, allowing Turn to KEY PLAYERS, page 54 a Masters Gallery Foods Inc. Plymouth, Wis. Key executives: Jeff Giffin, pres. & CEO; Jeffrey Gentine, exec. VP & coowner; Jim Jirschele, VP, foodservice sales; Dan MacPhee, VP, retail sales; Dennis Kasuboski, VP, industrial sales; Jodi Schoerner, VP, finance; Mark Grasse, VP, operations; Tammy Flora, VP, human resources; Sandy Toney, VP, corporate quality & product development; Tom Cain, dir., industrial sales; Brad Wackett, dir., food ingredient sales; Andy Pfister, dir., procurement; Scott Brown, dir., information technology; Neal Moegenburg, dir., manufacturing; Sara Willet, dir., quality assurance; Libby Rentmeester, dir., product development; Tim Lenz, dir., technical services Cheese plant: Plymouth, Wis. (offering complete programs for: retail — gusset or pillow pack, shreds, cubes, dice, snack sticks, chunks and slices; foodservice — 5-lb. through 15-lb. shreds, cubes, dice, blends, restricted melt, special melt application, Cryovac and snack cheeses; industrial — bulk 40-lb. to 640-lb. blocks, Mozzarella, Cheddar, Parmesan, Asiago, Romano, aging programs, raw material ingredients for soups, crackers & barrels) Percentage of sales from cheese: 100% Market segments for cheese: 30% retail; 30% foodservice; 40% ingredients Percentage of products exported: 5% Website: www.mastersgalleryfoods.com A look inside: This year Masters Gallery Foods wraps up a major expansion that began in late 2012 at its Plymouth, Wis., cheese plant. By this summer the plant will have a total of about 310,000 square feet, which includes two new production rooms, double the cooler space for both bulk and finished goods storage, larger For more information please visit www.mastersgalleryfoods.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 54 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 53 it to expand that part of its industrial business as dairy exports in general have grown. He notes there is more world demand, which increases cheese prices to the point that they are competitive in the world market. “Customers are increasingly looking to the United States for supply. I think we are going to see exports continue to grow for a long, long time,” Giffin says. Domestically, Gentine adds that the company anticipates continued growth in its aged and flavored cheeses to meet the rising demand for bolder, high-flavor cheeses. “This trend is not only seen at the retail level, but also with our foodservice and food ingredient customers who are looking to drive flavor without necessarily using more cheese,” Gentine says. Besides remaining in front of emerging trends, the company aims to continue its focus on product quality, customer service and being a good employer within the community. Masters Gallery Foods and its staff received some notable honors this past year, recognizing the company as a leader within the cheese industry and manufacturing arena. In March, Masters Gallery Foods was recognized as the 2013 Wisconsin Manufacturer of the Year Grand Award winner in the large company category. The program, sponsored by Baker Tilly, Michael Best and Friedrich LLP, and Wisconsin Manufacturers and Commerce, recognizes Wisconsin manufacturers of all sizes and indus- tries for their accomplishments as well as for helping to build a better quality of life for the citizens of their communities. “Thanks to the combined efforts of Masters Gallery Foods’ team members, this award recognizes the environment we’ve created — one that has extreme passion to succeed and a willingness to go the extra mile,” Giffin says. “It’s an honor to be recognized outside of our industry, to know that our efforts both internally and externally have resonated on a state-wide level,” Gentine adds. The company was also honored by the Plymouth, Wis., Chamber of Commerce with the 2013 Large Business of the Year award. And for the 11th consecutive year, Masters Gallery Foods was selected as a “Wisconsin 75” company, a revenue-based annual listing of the largest privately held businesses in Wisconsin. Sandy Toney, who last fall was promoted to vice president of corporate quality and product development, was one of four assistant chief judges for this spring’s World Championship Cheese Contest. Toney, who oversees the graders at Masters Gallery Foods, is the first woman in the contest’s history to be selected as an assistant chief judge. At the 2013 World Dairy Expo Championship Dairy Product Contest, Toney’s quality team led Masters Gallery Foods and its supply partners to receive three best of class awards, including Sharp Cheddar (Land O’Lakes, Kiel, Wis.), Aged Cheddar (Land O’Lakes, Kiel, Wis.), and Reduced Fat Monterey Jack (Agropur, Hull, Iowa). Masters Gallery Foods also received third in the Open Class Shredded Cheese class for its Sharp Cheddar Blend. At the 2014 World Championship Cheese Contest this spring, the Masters Gallery team placed third in the Open Class Shredded Cheese class for its Gourmet Cheddar Blend of Wisconsin, New York and Vermont Cheddar Cheese, and fifth for its Double Cheddar Blend. Meister Cheese Co. LLC Muscoda, Wis. Key executives: Scott Meister, pres.; Vicki Thingvold, chief flavor development officer Dairy plants: Meister Cheese Co. LLC, Muscoda, Wis. (Cheddar; Colby; Colby Jack; Fontina; Gouda; Havarti; flavored Monterey Jack; Monterey Jack; natural cheese in 40-lb. blocks, 13-inch longhorns & 6-inch deli horns; on-site cut & wrap; private label programs); Muscoda Protein Products LLP, Muscoda, Wis. (lactose, conventional & organic; WPC-34, WPC-80) Market segments for cheese: 40% retail; 40% foodservice; 20% ingredients Website: www.meistercheese.com A look inside: After completing major expansions in 2011 to increase production at its cheese and lactose plants in Muscoda, Wis., Meister Cheese Co. has more construction Specialty Cheese for Retail and Foodservice Evoking Artisanal Quality to Build Your Brands Meister Cheese prides itself on using local milk from family farms practicing sustainable agriculture to make their world-class cheese. Whether you require a custom formulation or one of our specialty cheeses, please call to discuss the IDUUHDFKLQJEHQHÀWVRIDSDUWQHUZKRKDVEHHQ practicing sustainability efforts that go far beyond buzz words since our company was founded in 1916. Contact Scott Meister at 608.739.3134 to learn more about Meister Cheese Company. Take a tour and learn more about our sustainable practices that go back 100 years! Meister C Meister Cheese heese C Company ompany 608. 60 608.739.3134 8.73 739. 9.31 3 34 4 • ww w www.meistercheese.com w me w. eis iste terc r he hees e e. e.co com m For more information please visit www.meistercheese.com planned for this year as it continues to increase its output. “We are expanding our plant and equipment to increase 40-pound block and 640-pound block production,” says Scott Meister, president, Meister Cheese Co. Meister says the construction, which is starting this spring, is expected to be complete by the new year. Meister Cheese employs 75 people and produces cheese six days a week. The company manufactures “gourmetstyle” specialty cheeses that are available in a number of formats. In addition to its bulk cheese production, Meister Cheese can cut, package and label for retail sale. Its specialty cheese is marketed under the Käse Meister brand, and the company also makes cheese for private label. Because of its diverse supply of milk, Meister Cheese can produce products certified to kosher, organic or rbST-free specifications. Meister Cheese also has its own “A Triple F,” or “Animal Friendly Family Farms” program, a partnership with Scenic Central Milk Producers that recognizes ethical and sustainable methods of production by Wisconsin dairy farms. At last year’s American Cheese Society competition, Meister’s Morel Jack took third in the Monterey Jack with Flavor Added — All Milks class. This year’s World Championship Cheese Contest awarded a second place to Meister’s Colby Longhorn in the Colby class and third place for its Habanero Longhorn in the Pepper Flavored Monterey Jack class. Mt. Sterling Co-op Creamery Mt. Sterling, Wis. Key executives: Janice Schwennen, pres.; Patricia Lund, VP; Chad Kubousek, VP; Al Schindelar, secretary/ treasurer; Rob Panuska, member at large Cheese plants: Mt. Sterling, Wis. (raw milk goat Cheddars, goat jack & flavors, goat Mozzarella & shreds, goat Feta & crumbles, goat butter, pasteurized goat Cheddars, raw milk goat Bleus) Percentage of sales from cheese: 100% Market segments for cheese: 75% retail; 25% foodservice Websites: www.buymtsterling goatcheese.com A look inside: Mt. Sterling Co-op Creamery is a member-owned and operated cooperative that creates raw cheese from goat’s milk. The owners Turn to KEY PLAYERS, page 55 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 55 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 54 of family-operated dairy goat farms supplying the co-op are united in their desire to produce high-quality dairy goat products. Mt. Sterling introduced two new raw goat’s milk cheeses, Sterling Bleu and Smoked Sterling Bleu, over this last year to its artisan cheese line. The Smoked Bleu is naturally hardwood smoked. Mt. Sterling partnered with the Caves of Faribault to age the Sterling Bleu line of cheeses. The company’s products are available at Wisconsin co-ops and online. Mt. Sterling created its Whey Cream Goat Butter in 1994, which is credited with being the industry’s first goat whey cream butter. At the 2013 American Cheese Society competition, Mt. Sterling took home second place for its Whey Cream Butter in the Cultures — Made From Goat’s, Sheep’s or Mixed Milk category. In 2013 the co-op purchased a property adjacent to the factory and is renovating a house on the property to accommodate retail operations and dry storage, both of which had been housed in the cheese factory. “We are still working on the remodeling,” says Patricia Lund, vice president, Mt. Sterling. “We have a property across from the factory, and we’ll be adding some packaging and storage area to it, hopefully finishing up this summer.” Over the course of the next year, Mt. Sterling will be concentrated on obtaining as much milk as possible and taking advantage of a dairy industry that has stabilized a little bit, Lund adds. Website: www.nasonvilledairy.com A look inside: This past year Nasonville Dairy Inc. has focused on producing cheeses for Omega Valley Farmers LLC, a division of Heartland Cooperative Services, Dorchester, Wis. By contracting with farmers using a proprietary feed blend, Omega Valley Farmers offers cheese made with milk that is naturally rich in omega-3. The cheeses have moved into several local grocery store chains in Central Wisconsin and have been sampled at trade shows, including the International Dairy-Deli-Bakery Association’s show and Fancy Food. Ken Heiman, secretary and Wisconsin Master Cheesemaker, Nasonville Dairy, converts the omega-3-rich milk into white and yellow Cheddar, Farmers and several flavors of Monterey Jack. “We are working diligently on the launch of the Omega-3 cheeses,” Heiman says, adding the cheeses will soon be available at a major grocery chain. “We’ve also been noticing that American consumers seem to be on a kick about getting things hotter and hotter,” he adds. “To accommodate, we’ve come out with a Smoked Ghost Pepper Jack for our regular cheese line.” This spicy creation adds to Nasonville Dairy’s Omega 3 Jalapeno Pepper Jack and Habanero Jack cheeses. The Habanero Jack is described as an Award-Winning Goat Milk Cheeses We are united in our desire to produce high-quality dairy goat products: FheZkY[h#emd[ZYecfWdo IcWbb\Wc_bo\Whci1ikijW_dWXbocWdW][Z HWmc_baY^[ZZWhi1Z_l[hi[fheZkYjb_d[ IcWbb#XWjY^"^WdZi#edfheY[ii_d] DWj_edWbcWha[jZ_ijh_Xkj_ed intense chili intended for those who enjoy a lot of heat. Nasonville Dairy has not only expanded its product line, but its headquarters as well. “We finished the 10,000-square-foot expansion on the cooler to store Feta and Cheddar, and added a new Feta curing area,” Heiman says. “We also added new docks, new locker rooms and new parking lots.” Nasonville Dairy’s Feta was granted a third place award in its class at the American Cheese Society’s competition last fall. Looking to the upcoming year, Heiman says Nasonville Dairy will work to Turn to KEY PLAYERS, page 56 a s3TERLING2ESERVE s2AW-ILK#HEDDARS s#OUNTRY*ACK#HEESES s-OZZARELLA s&ETA Flavorful, natural taste in every bite. There is a choice for every need. Nasonville Dairy Inc. Marshfield, Wis. Key executives: Kim Heiman, pres; Arnold Heiman, VP; Ken Heiman, secretary; Kelvin Heiman, treasurer Cheese plants: Marshfield, Wis. (Asiago, Brick, Cheddar, cheese blends, Colby, Colby-Monterey Jack, Cotija, Farmers cheese, Feta, Fontina, Monterey Jack, Muenster, Parmesan, pizza cheese, Queso Blanco, Queso Blanco Para Freir, Queso Cincho, Romano, yogurt cheese); Abbotsford, Wis. (flavored cheese, cheese blends) Estimated annual cheese produced: 45 million lbs. Estimated annual cheese marketed: 46 million lbs. Estimated 2013 sales: $112 million PRODUCER OWNED SINCE 1976 Patricia Lund Mt. Sterling Co-op Creamery P. O. Box 103 Mt. Sterling, WI 54645 563.387.7701s866.289.4628 mtsterlinglund@yahoo.com www.buymtsterlinggoatcheese.com For more information please visit www.buymtsterlinggoatcheese.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 56 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 55 become more and more transparent to its customers. Customers have become extremely influential in how the market is shaped and whether products are organic, grass-fed, ranged or rBST-free, he adds. “We have to be able to satisfy their curiosity, and to be able to satisfy them, we have to prove our products,” Heiman says. “The omega-3 project is provable.” Nasonville Dairy will look to fulfill the needs of consumers over the next year and to secure its place in the industry. “Wisconsin alone has around 630 different kinds of cheeses, so we’d like to use this past year as a benchmark to centralize our line, meaning some products may have to go,” Heiman says. “We’re also looking at the whey business to see if we should be there.” The company is becoming more and more involved with the world market as its customer base starts to widen. “The world market is knocking on the door of the United States, whether that be China, Saudi Arabia, Brazil, and its outstanding to me,” Heiman says. “If the country can continue to export at a certain level we can be in a comfortable position to keep dairy farmers and plants healthy, and become a world-renowned market. We’ll be looking to fulfill that market.” Norseland Inc. Darien, Conn. Ownership: TINE SA, Oslo, Norway Key executives: John Sullivan, pres. & CEO; Linda Karaffa, VP; Carter Califri, general mgr., sales & marketing Cheese plants: Norseland primarily imports and markets specialty cheese and owns a U.S. facility to produce Jarlsberg products Market segments for cheese: 70% retail; 30% foodservice Website: www.jarlsbergusa.com, www.norseland.com Lite and a spinning bike giveaway on Facebook. The upcoming summer promotion will feature the “Jarlsberger,” a term Norseland coined for a hamburger using Jarlsberg cheese. It also will include an in-store $1-off coupon and a chance to win a ProGrill on Facebook during the grilling season. Earlier this year Norseland also relaunched its Jarlsberg USA website to reflect parent company TINE’s global messaging for 2014. The website features recipes, promotions and videos, and its theme, “Yours to Share,” focuses on the Jarlsberg experience and encourages interaction with consumers by connecting the joy of eating Jarlsberg to lifestyle occasions. “For over five decades, Jarlsberg has played a key role in developing the specialty cheese category and experience, becoming a favorite brand in the United States,” says Carter Califri, Norseland’s general manager of sales and marketing. “In the digital space, we communicate premium by shifting the focus on lifestyle: celebrating the act of giving, Turn to KEY PLAYERS, page 57 a A look inside: Norseland Inc. this past year has introduced and promoted several new products, both under its flagship Jarlsberg brand and in other imported brands it represents. The newest product under the Jarlsberg specialty cheese brand is Jarlsberg Minis — a 100-percent natural cheese snack. The new 20gram minis are individually dipped in wax and wrapped in cellophane, crafted to replicate the distinct Jarlsberg wheel but in a convenient snack size. Jarlsberg Minis are available in 3.57-ounce bags of five. To promote its Jarlsberg cheeses, Norseland has launched an integrated themed promotion, “Get a Little Mild, Mellow and Nutty.” The promotions will run throughout the year during key seasonal periods — Winter, Summer, Back to School, Tailgating and Holiday — with eyecatching point of sale to help generate excitement in stores nationwide and engage consumers online with contests, coupons and seasonal recipes. The latest promotion, which ran Feb. 1-April 30, featured Jarlsberg A&B Process Systems designs, fabricates & installs the finest Process Systems available! ON TIME & IN BUDGET We are located in the heart of Dairyland having decades of experience serving the dairy industry. We inspect, & test our products and components to precise standards using the latest technology in our Hygienic & A.S.M.E. Certified facilities. Ken Heiman, Master Cheesemaker From humble beginnings to time-honored traditions, Nasonville Dairy always offers “A Family Tradition of Quality.” s /VER6ARIETIES3TYLESAND4YPESOF !WARD7INNING#HEESE s %XTENSIVE5NIQUE#HEESESFROM 4RADITIONALTO3PECIALTY s #RAFTEDBYA-ASTER#HEESEMAKER s #ONSISTENT!FFORDABLY0RICED0RODUCT s 4HIRD'ENERATION7ISCONSIN$AIRY 3UPPORTING,OCAL$AIRY&ARMERS Explore our online store and product offerings by visiting our website at www.nasonvilledairy.com Products: (not limited to) Clean-in-Place (CIP) Mix Tanks Melt Systems Process Piping Installation HTST & Vat Pasteurization HTST Balance Tanks HTST Hold Tubes VacuShear® Flavor Vats Batching & Blending Systems Transfer Panels Modular Process Systems Water & Wastewater Management Services Provided: (not limited to) Process Engineering Custom Design & Fabrication Automation & Controls Factory Acceptance Testing Installation Documentation Start-up & Training Nasonville Dairy (WY7EST -ARSHlELD7) 0HONE &AX Email: mailorder@nasonvilledairy.com www.nasonvilledairy.com For more information please visit www.nasonvilledairy.com 201 S Wisconsin Ave Stratford WI 54484 Call today 888.258.2789 visit us at www.abprocess.com For more information please visit www.abprocess.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 57 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 56 the joy of sharing and the benefit of knowing your favorite cheese brand — Jarlsberg.” In addition to the Jarlsberg promotions, the Norseland marketing and sales departments this past year also have introduced and promoted several new products and programs for its Snøfrisk, Ilchester, Woolwich Dairy, Garcia Baquero, Old Amsterdam and Gabriella brands. Ilchester’s product development team plans to introduce several new British specialty blended cheeses this year and recently introduced an aged version of the brand’s popular Applewood smoked Cheddar, Vintage Applewood, made with PDO matured Cheddar. Woolwich Dairy has introduced four new flavors to its Chevrai brand of fresh unripened goat cheese: Fig Balsamic, Sweet Pepper Heat, Thai Fusion and Lemon Lime. Woolwich Dairy also recently introduced its Wholesome Goat fresh, spreadable Chevres, available in Plain & Simple, Big Kick Herb & Garlic, and Coco Loco varieties. Westland’s Old Amsterdam, a premium aged Gouda from Holland with a rich, robust flavor and smooth texture, is now available in new “easy open” individually wrapped half-ounce snack portions. Finally, Lotito Foods’ Gabriella brand has unveiled a new Caprese Salad Kit, which includes Ciliegini fresh Mozzarella, marinated sun-dried tomatoes and pre-measured basil sauce. “Open and mix to make a delicious freshly-made Caprese salad,” Califri says. “It’s great for use behind the deli case, for fresh salads, or pack out and pre-price individual containers.” Califri also notes that Spanish cheesemaker Garcia Baquero, which Norseland represents, was awarded a “Super Gold” at the 2013 World Cheese Awards held in England last September for its Cinco Lanzas — a 16-month aged cheese made with sheep’s, goat’s and cow’s milk for a balanced and complex flavor profile and smooth, creamy finish. Garcia Baquero’s Manchego Curado also was listed as one of 2013’s 101 best cheeses in Culture magazine. Partnering with Whole Foods Market stores, Norseland has entered its second year of a program where it will donate 25 cents to the Whole Planet Foundation for each pound of Snøfrisk cheese wheels and spreads purchased by Whole Foods stores. “We are so honored to be the first ever cheese supplier partner,” Califri says of the program. “Because Whole Foods Market covers all of the operating costs of the foundation, 100 percent of Norseland’s contributions and generosity will help empower micro entrepreneurs to change their own lives. Through this partnership, we aim to raise more than $10,000 to help fund poverty alleviation through microcredit to help entrepreneurs in developing countries lift themselves out of poverty.” Old Europe Cheese Inc. Benton Harbor, Mich. Ownership: Reny Picot ILAS, Madrid, Spain Key executives: Francois Capt, general mgr.; Michael Balane, national sales mgr. Cheese plant: Benton Harbor, Mich. (Brie, baked Brie, Camembert, Camembert Fermier, Carre St. Joseph, Gouda, natural smoked Gouda, Edam loaf, Edam balls, Fontina, American Manchego) Estimated annual cheese produced: more than 6 million lbs. Estimated 2013 sales: more than $23 million Estimated 2014 sales: more than $25 million Percentage of sales from cheese: 100% Market segments for cheese: 45% retail; 45% foodservice; 10% ingredients Website: www.oldeuropecheese.com A look inside: Old Europe Cheese Inc. continues to build its product portfolio and invest in its manufacturing facility in Benton Harbor, Mich. This past year, the company added a dry storage building and reconfigured the on-site smoke house. It also will add more cooler space in the bakery and rearrange some machinery to create more flow. “In 2015 we will be adding on to our curing cellars and should be done by July,” says Francois Capt, general manager, Old Europe Cheese. “This will give us 33 percent more softripened cheese curing room capacity.” With this addition, the company will not need to make many changes in the near future. It concentrates on Turn to KEY PLAYERS, page 58 a NEW 1RUVHODQG,QF_3DUNODQGV'ULYH6XLWH_'DULHQ&7_ZZZQRUVHODQGFRP_ZZZMDUOVEHUJXVDFRP For more information please visit www.norseland.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 58 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 57 maintaining a good flow and developing at a manageable rate, Capt adds. “Old Europe Cheese continues to expand our line of award-winning cheeses, yet still focuses on the core items that have led to our success,” says Michael Balane, national sales manager, Old Europe Cheese. “One should never compromise the quality of the stalwart cheeses for the sake of the next fading trend.” This past year, Old Europe Cheese introduced American Morbier wheels. The company describes these wheels as a creamy soft cheese with a tangy flavor, featuring a layer of vegetable ash in the middle, following French tradition. “The Morbier made a great showing at the World (Championship Cheese) Contest,” Capt says. “It is available in 7-pound wheels or cut in 7- or 9-ounce slices.” Morbier placed third in the Flavored Soft Ripened Cheeses class at the 2014 World Championship Cheese Contest. Old Europe Cheese’s Brie with Herb Layer garnered best of class honors at the contest, and its Camembert achieved a second place finish in its class. During the 2013 American Cheese Society competition, Old Europe Cheese attained first place for its 3-kilogram Triple Cream Brie in the Soft Ripened/Cream Added — All Milks class. Other new products for the company include the launch of Camembert Traditional, a cheese described as creamy, smoother and more lactic in flavor. For this product, Old Europe Cheese commissioned a French artist to create the label. “We launched a 7- and 8-ounce slicing Brie,” Capt says. “Our goal is to sell as much as possible in one size to make nice packaging, which is not easy in the beginning. We are confident these sizes will work well.” It’s Gold, Silver and Bronze For Reny Picot! Tradition, flavor and quality come together to create this year’s prestigious 2014 World Championship Cheese Winners. GOLD: Brie – Triple Créme Layered with Herbs • Using Only The Freshest Milk • Carefully Handcrafted • Made By Award-Winning Cheesemakers • Delectable Flavors in a Variety of Sizes SILVER: Camembert BRONZE: American Morbier – French Style Cheese Old Europe Cheese also put a couple layered Bries on its line with its Triple Crème Herb Layered Brie and Triple Crème Pepper Layered Brie. The Herb Layered Brie begins with the company’s hand-crafted 70 percent Brie and adds to it a blend of herbs and middle layer of seasoning. The Pepper Layered Brie starts with the same Brie, and then finishes with a five-pepper blend and middle layer of seasoning. “We have a new plain baked Brie coming out in the 8-ounce as a new item this year,” Capt says. “We’re also going to be launching a cherry-filled Brie. Cherry is something people like here, and it should be very wellreceived.” Old Europe Cheese this year was awarded Safe Quality Foods Level 3 Certification. This indicates a comprehensive implementation of food safety and quality management systems development, the company says. “We are going to continue our growth with an emphasis on maintaining our high-quality standards that separates Old Europe Cheese from its competitors,” Balane says. “The certification was a big deal,” Capt adds. “After 25 years there are a lot of changes, and we spend a lot of money and time on food safety. We’re always trying to improve.” The company will continue to introduce new items and grow its existing portfolio with its customer base, keeping a balance and not over-saturating the marketplace, Balane adds. From a marketing standpoint, Old Europe Cheese will continue its program of individualizing promotions specific to customer needs. “With current economic conditions, many retailers have been looking more to everyday low price strategy programs to offer their consumers the best possible value,” Balane says. Old Europe Cheese is in the process of updating its website and plans to do a full label design review to freshen the look of the Reny Picot banner. “Always A Cut Above The Rest” . . . Indulge yourself and your customers with only the best from Reny Picot Organic Valley Family of Farms/CROPP SPECIAL MENTION: Brie - Triple Créme Layered with Six Peppercorn Blend La Farge, Wis. RENY PICOT CHEESES, PROUDLY HAND-CRAFTED BY OLD EUROPE CHEESE SPECIAL MENTION: Natural Smoked Gouda 1330 East Empire Ave. • Benton Harbor, MI 49022 800.447.8182 • 269.925.5003 • Fax: 269.925.9560 www.oldeuropecheese.com For more information please visit www.oldeuropecheese.com Key executives: George Siemon, CEO; Mike Bedessem, CFO; Louise Hemstead, COO; Eric Newman, VP, sales; Theresa Marquez, mission exec.; Jerry McGeorge, dir., cooperative affairs Cheese plants: Organic Valley partners with 25 processing facilities located throughout Wisconsin, Turn to KEY PLAYERS, page 59 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 59 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 58 Minnesota, California, Idaho, Ohio, Pennsylvania, Vermont and South Dakota to produce organic cheeses to the company’s specifications. Organic Valley operates its own cheese cut and wrap facility in La Farge, Wis., where it converts items including 8-oz., 1-lb. and 2-lb. exact weight bars and 5-lb. foodservice loaves Estimated annual cheese produced: 9.72 million lbs. hard dairy; 2.5 million lbs. cream cheese; 3.12 million lbs. cottage cheese Estimated annual cheese marketed: 8.83 million lbs. hard dairy; 2.33 million lbs. cream cheese; 3.1 million lbs. cottage cheese Estimated 2013 sales: $928 million Percentage of sales from cheese: 6.6% Market segments for cheese: 84.1% retail; 1.6% foodservice; 14.3% ingredients Website: www.organicvalley.coop A look inside: During 2013, the cooperative’s 25th anniversary year, Organic Valley Family of Farms/CROPP completed its distribution center expansion in Cashton, Wis., which added an additional 33,000 square feet to the existing building. Additionally, Organic Valley installed a 5,000-gallon biodiesel fueling station near its headquarters in La Farge, Wis., for use in its local vehicle fleet. Organic Valley farmer-owners installed seven on-farm renewable energy projects in Wisconsin, Iowa, Vermont, Michigan and Ohio, producing approximately 200,000 kilowatt-hours of clean energy annually. The company’s installations produced more than 80 percent more clean, renewable energy in 2013 than the previous year. “2013 had its challenges,” says George Siemon, CEO and founding farmer, Organic Valley. “Our cooperative spirit is what has always helped us overcome challenges. In some ways it was fitting that we tapped into our cooperative spirit more than ever in our 25th anniversary year.” In May 2013, a fire burned down more than half of Organic Valley’s La Farge headquarters. Although 600 employees were displaced, no one was injured. Organic Valley was back in business the next day fulfilling orders. “While our material losses were painful, we are so very grateful that no one was harmed,” Siemon says. “We are incredibly thankful to the community members, volunteer firefighters and emergency personnel for their heroic efforts and ongoing support.” The rebuild of the headquarters is currently on schedule, with the central section of the building more than 90 percent complete and the remaining west section to be completed soon. Organic Valley introduced numerous new products throughout the previous year including: 8-ounce Grassmilk Raw Cheddar and 8-ounce Grassmilk Raw Sharp Cheddar; 64-ounce Lactose Free Whole Milk; 32-ounce Lactose Free Half & Half; 8-ounce Whole Milk Single Serves; and 64-ounce Organic Valley Grassmilk (available in whole, 2 percent and skim). At the Los Angeles International Dairy Competition 2013, Organic Valley received gold awards for its European Style Butter (cultured and unsalted), Pasture Butter, Cream Cheese, half and half and pasteurized whole milk. At the 2013 World Dairy Expo Championship Dairy Product Contest, Organic Valley’s cultured butter took first place and its Blue Cheese and European Style Butter each took third place in their respective classes. Organic Valley’s salted butter brought home a third place award at the 2013 American Cheese Society competition. The company’s Organic Pasteurized Mild Cheddar garnered a third place finish at this year’s World Championship Cheese Contest in the Cheddar, Mild (0 to 3 months) class. Organic Valley remains committed to supporting national causes, local organizations, schools and farmers through $2.6 million in donations in 2013, up from $2.2 million in 2012. It also has approved 56 new jobs to fill in the year to come. In December a study conducted by Washington State University, and peerreviewed by scientific journal PLOS ONE, showed organic milk as being nutritionally superior and garnered national media coverage for Organic Valley. “It was gratifying to read in a scientific journal what our farm families have known for a long time,” Siemon says. Pacific Cheese Co. Inc. Hayward, Calif. Key executives: Steve Gaddis, pres. & CEO; Tony Ricker, COO; Lee Davis, VP, operations & quality; George Cornell, VP, industry relations; Dale Tate, CFO; Bob Leonard, sr. VP, sales Cheese plants: Hayward, Calif.; Reno, Nev.; Amarillo, Texas (all include Cheddar, Monterey Jack, Mozzarella, blended shreds for foodservice; Reno plant includes process American cheeses) Website: www.pacificcheese.com A look inside: Pacific Cheese Co. Inc. continues to invest in its people, equipment and technology to expand its manufacturing capabilities and production capacity. Pacific Cheese offers a variety of cheese for foodservice and retail environments, both under private labels and its own brands including Cheswick, North Beach, Pacific Blue, California Select Farms and others. Its product line includes natural and process commodity cheeses, specialty and artisan varieties, international imports and popular Hispanic-style cheeses. Among the cheese categories Pacific Cheese markets are: fresh and softripened cheeses such as Ricotta and Brie; blue-veined cheeses like traditional Blue and Gorgonzola; Pasta Filata cheeses like Mozzarella and Provolone; and semi-hard and hard cheeses such as Cheddar and Parmesan. The company offers these in a variety of cut styles. In addition, it offers organic, kosher and rbST-free cheese varieties. In the past year, significant investments have been made to Pacific Cheese’s newer production facilities located in Reno, Nev., and Amarillo, Texas, the company says. In Reno, Pacific Cheese added new, more efficient shredding machines, which have doubled capacity for highspeed cheese shredding for foodservice and bulk items for domestic and international sales. In Amarillo, Pacific Cheese has not only increased shred capacity, it also has added new equipment to expand production of cut-and-wrap cheese for use in retail, as well as 5- and 10-pound loaves of cheese for use in foodservice operations. When it comes to quality, Pacific Cheese is committed to achieving the industry’s highest food safety standards, the company says. This year, Pacific Cheese’s plant in Reno will achieve certification from the Safe Quality Foods (SQF) program. With this certification in Reno, Pacific Cheese will have achieved SQF certification in all of its manufacturing facilities. “This certification is proof that Pacific Cheese is committed to producing safe, quality cheese,” says Steve Gaddis, President and CEO, Pacific Cheese. SQF is a food safety management program that is recognized by the Global Food Safety Initiative. This certification is a globally-recognized standard of excellence in the food industry. In the year ahead, Pacific Cheese will focus on growing its cream cheese business by focusing on increasing sales to industrial and foodservice customers. Pacific Cheese says its cream cheese, made at its California plant, features Turn to KEY PLAYERS, page 60 a Pacific Cheese is a leading provider of consolidation, import-export and manufacturing services. We blend a tradition of superior customer service, state-of-the-art technology and broad market access with extensive product availability. By providing a critical link between manufacturer, wholesaler and retailer, Pacific Cheese is a leader in custom product management. Manufacturing & Processing Importing & Exporting Services s Organic s Kosher s Custom Cheese Production s Container Sharing s Conversion Contract Marketing Consolidation & Logistical Support s Trading Programs s Support Services s Out-Sourcing s Customized s Complete Packaging & Shredding s Foodservice s Deli s2ETAILs)NDUSTRIAL PACIFIC CHEESE COMPANY 21090 Cabot Boulevards P.O. Box 56598sHayward, CA 94545-6598 Phone: (510) 784-8800sFax: (510) 784-1053sWebsite: www.pacificcheese.com For more information please visit www.pacificcheese.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 60 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 59 an ultra fresh taste and smooth, creamy texture. It is ideal for baking and adds a creamy texture to cheesecakes and richness to sauces, dips and spreads, the company notes. The company also continues to grow its social media presence with its Twitter and Facebook pages, as well as a blog featuring recipes and other cheese facts at www.pacificcheese.com/community. Pine River Pre-Pack Inc. Newton, Wis. Key executives: Phil Lindemann, pres. & CEO; Barth Lindemann, secretary/treasurer; Mary Lindemann, dir., marketing Cheese plant: Newton, Wis. (cold pack cheese food) Percentage of sales from cheese: 80% Market segments for cheese: 94% retail; 1% foodservice; 5% ingredients Website: www.pineriver.com A look inside: Pine River Pre-Pack Inc., which marked its 50th anniversary in 2013, continues to innovate with its award-winning cheese spreads. A producer of cold pack cheese food, Pine River Pre-Pack focuses on making quality, consistent and safe products, says Mary Lindemann, marketing director, Pine River. “We have a talented staff who truly cares about quality, consistency and food safety,” Lindemann says. “Pine River’s success is a reflection of the entire team, not any one individual department.” Success is a tradition at Pine River, which garnered several industry awards this past year. At this spring’s World Championship Cheese Contest, Pine River Pre-Pack swept the Cold Pack Cheese, Cheese Food class, with its Chunky Bleu Flavor Cold Pack Cheese Food, Garlic & Herb Cold Pack Cheese Food and Extra Sharp Cheddar Cold Pack Cheese Food taking first, second and third, respectively. Pine River also placed second in the Cold Pack Cheese Spreads class with its Garden Vegetable Cold Pack Cheese Spread at the contest. We use only the highest quality Wisconsin cheese and dairy ingredients in “high percentages per batch” to help create consistent, award-winning cold pack cheese food. s &OUR'ENERATIONSOF%XPERIENCE s %XACTING-ANUFACTURING3TANDARDS s $ELICACYAND0ERFECTIONIN%VERY"ATCH s 3TANDOUT&LAVORAND4EXTURE s 1UALITY-INDED6ERSUS0RICE Offering a Full Flavor Line: s3HARP#HEDDAR s3WISS!LMOND s(ORSERADISH s*ALAPENO s0ORT7INE s3MOKEY"ACON s'ARLIC(ERB s!GED!SIAGO s4OASTED/NION s3PICY"EER s'ARDEN6EGETABLE s(OT(ABANERO Celebrating Championship Awards in All of These Contests! FH?L7J;B78;B H;J7?B Call us today to learn more! Pine River Pre-Pack, Inc. 0INE2IVER2OADs.EWTON7) 0(s &!8sPINERIVER PINERIVERCOM PINERIVERCOM For more information please visit www.pineriver.com At the 2013 World Dairy Expo Championship Dairy Product contest held last fall, Pine River swept the Cold Pack Cheese, Cheese Food, Cheese Spread class, with its Sharp Cheddar Cold Pack Cheese Food, Chunky Bleu Cold Pack Cheese Food and Port Wine Cold Pack Cheese Food taking first, second and third, respectively. At last summer’s American Cheese Society competition, Pine River was awarded third place in the Open Category Cold Pack Style — All Milks class for its Chunky Bleu Flavor Cold Pack Cheese Food. The award-winning Chunky Bleu Flavor Cold Pack Cheese Food is a newer addition to the lineup, Lindemann notes. The company also rolled out a new Cheddar spread in the past year. “We strive for consistency with our spreads,” she says. “You know when you buy a cup of Pine River spread it is always going to be delicious and creamy!” Pine River makes two types of cheese spread: Cold Pack and Snack Spread. They are distinguished by the method of mixing and ingredients, the company notes. Cold Pack is made by blending cuts of Grade A Wisconsin natural Cheddar, aged nine months, with cream and other dairy ingredients. Herbs, spices or nuts are added to create unique flavors. Snack Spread is made by blending cuts of Grade A Wisconsin Cheddar and other choice ingredients. A variety of popular flavors are made by adding herbs or spices. In processing, it’s heated to make it less sensitive to temperature changes in shipping and storage. Two of Pine River’s cheese spreads were featured last fall on the QVC television network in a product bundle that also included summer sausages made by Echo Valley Meats. The package featured the company’s pasteurized snack spread in Swiss and Cheddar flavors. With the company now marking its 51st year in business, Lindemann notes Pine River’s marketing strategy continues to focus on getting spreads in people’s mouths. “We attend trade shows and participate in opportunities when asked to serve our spreads to folks,” she says. Lindemann adds that Pine River also uses social media, including the company’s Facebook page, and has an online store to make products available nationwide. “We are constantly monitoring flavor trends and grocery store buying habits,” she says, noting that Pine River is looking to roll out some new flavors at this year’s International Deli-Dairy-Bakery Association conference in June. The company hopes to do more with social media and begin working with Twitter and Pinterest as well, Lindemann notes. Looking ahead, Pine River is tentatively planning to build another warehouse in 2015 to house its Cheddar block inventory as it ages. The company also is working to become SQF (Safe Quality Foods) certified this year. Lindemann notes that Pine River is working toward being prepared for new safety rules being rolled out as part of the Food Safety Modernization Act. In the year ahead, Pine River actively is pursuing distributorship on the West Coast as well as in Canada, Lindemann notes. “We plan to achieve that by making the best cold pack cheese spread at the best price,” she says. “We hope to achieve increased business and happy, long-term customers. We envision people enjoying our spreads at home with family and friends and having it become a regular item on their grocery list.” The company is always looking to grow in the “niche” private label market, Lindemann adds. Rogue Creamery Central Point, Ore. Key executives: Cary Bryant, coowner, CEO; David Gremmels, coowner & pres.; Francis Plowman, dir., marketing; Craig Nelson, plant mgr. & lead cheesemaker; Tyler Bare, financial controller Cheese plant: Central Point, Ore., including cut & wrap operation (aged & flavored milled, handmade Cheddars, handmade Cheddar curds, TouVelles & Blues: Oregon Blue, Oregonzola, Crater Lake Blue, Rogue River Blue, Echo Mountain Blue, Smokey Blue, Caveman Blue, Flora Nelle Blue, Blue Heaven Blue cheese powder, TouVelle, Smokey TouVelle, Rosemary TouVelle, Lavender TouVelle, medium Cheddar, sharp Cheddar, extra sharp Cheddar, raw milk Cheddar, Soba Ale Cheddar, Chocolate Stout Cheddar, Hopyard Cheddar, Cacow Belle, 80th Anniversary Ale Cheddar, plain curds, pesto curds, garlic curds, jalapeno curds, chipotle curds) Percentage of sales from cheese: 90% Market segments for cheese: 60% retail; 40% foodservice Percentage of products exported: 10% Website: www.roguecreamery.com A look inside: Rogue Creamery, which celebrated its 80th anniversary this past year, upgraded its historic 80-year-old cheese shop to coincide with a facelift on Front Street where the shop is located in Central Point, Ore. To celebrate its 80th year, Rogue Creamery introduced several new beer Cheddars such as its 80th Anniversary Cheddar in partnership with Rogue Ales, says Francis Plowman, director Turn to KEY PLAYERS, page 61 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 61 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 60 of marketing, Rogue Creamery. “The 80th Anniversary Ale recipe was a joint project between the owners of Rogue Creamery and the brewmaster of Rogue Ales to create a unique ale that became the inspiration for the cheese,” he says. “The ale was formulated to be an ideal complement to Rogue Creamery’s signature Blue cheeses.” The partnership between Rogue Creamery and Rogue Ales has been ongoing for more than 10 years as the companies have collaborated on four different beer cheeses including Chocolate Stout, Morimoto Soba Ale and Hopyard in addition to the anniversary creation. Rogue Creamery in March also held the 10th annual Oregon Cheese Festival, which kicked off with a Meet the Cheesemakers and Winemakers Dinner. Festival attendees sampled cow, sheep and goat’s milk cheeses from Oregon creameries, and activities for children including games and baby cow petting also were provided. Rogue Creamery early this year made history when it registered as an “Oregon Benefit Company” with Oregon Secretary of State Kate Brown. The creamery registered Jan. 2, the first day a new state law went into effect that allows businesses to build social responsibility into their bylaws. Oregon has become the 20th state to allow formation of “benefit” corporations, an alternative business structure that allows companies to consider a wider range of goals as part of their mission. David Gremmels, co-owner and president, Rogue Creamery, notes that Oregon is “a great state in which to do business, and with the ‘B’ company classification, businesses like Rogue Creamery have an excellent opportunity to make an impact in the communities where they operate.” Gremmels notes that sustainability is the culture at Rogue Creamery and that the company is committed to organic practices and is working toward having all suppliers organicallycertified. “Under B company registration, Rogue Creamery will build upon its work in our community to further awareness of Oregon dairy and American farmstead and artisan cheesemakers; sponsor and support programs that increase opportunities for public education to increase awareness of diversity, sustainability, environment and artisan food; and develop long-term conservation, recycling, renewable green energy and sustainable and organic agriculture programs through its Nellie Green Pedal Power Program including the bike commute initiative,” he says. Rogue Creamery also is committed to making high-quality cheeses. At last summer’s American Cheese Society competition, Rogue Creamery placed first and second in the Blue-Veined With a Rind or External Coating — Made From Cow’s Milk class with its Rogue River Blue and Caveman Blue, respectively. In addition, the creamery’s Smokey Blue placed second and its Echo Mountain Blue placed third in their respective classes at the contest. At this spring’s World Championship Cheese Contest, Rogue Creamery received third place in the BlueVeined, Exterior Molding class for Rogue River Blue. In addition to product recognition, Rogue Creamery co-owners Gremmels and Cary Bryant were presented the Small Business Administration (SBA) Director’s Impact Award last spring by Oregon Gov. John Kitzhaber at the SBA Small Business Week Luncheon at the Portland Art Museum. Each spring, the SBA recognizes small businesses across the country during Small Business Week. The award recognizes a commitment to community and sustainability. In addition, Rogue Creamery last year ranked No. 10 on Oregon Business magazine’s “100 Best Green Companies,” the fourth consecutive year the creamery has been ranked as one of Oregon’s best green companies. “Sustainability is part of the culture at Rogue Creamery,” Gremmels says. “It has been for 80 years. Rogue Creamery is a small company striving to be a big example of a socially, environmentally and economically sustainable business. We are doing business simply and purely in a supportive community filled with Blue cheese lovers.” Stone City, S.D.; Almena, Wis.; Fond du Lac, Wis.; Lena, Wis.; Monroe, Wis.; Reedsburg, Wis.; Waupun, Wis.; Black Creek, Wis. (Mozzarella, Provolone, String, Parmesan, Romano, Asiago, Fontinella, Gorgonzola, Cheddar, Edam, Colby, Colby Jack, Fontina, Monterey Jack, Pepper Jack, Muenster, Swiss, Lorraine, fresh frozen Mozzarella, snack sticks, WPC-80 instant & non-instant, WPC-35, dry sweet whey, acid whey, deproteinized whey powder, lactose, supervised kosher, shredding, cutting & packaging) Dairy Foods Division (USA) — Gustine, Calif.; Sulphur Springs, Texas; White Bear Lake, Minn.; Decatur, Ala; Murray, Ky.; Newington, Conn.; Frederick, Md.; Fraser, N.Y. (ice cream mix, specialty beverages, half & half, whipping cream, dairy creamer, aerosol whipped topping); Tulare, Calif; Friendship, N.Y. (cottage cheese, sour cream, buttermilk, dry curd, Farmers cheese) Dairy Products Division (Canada) — Abbotsford, British Columbia; Burnaby, British Columbia; Courtenay, British Columbia; Calgary, Alberta; Edmonton, Alberta; Red Deer, Alberta; Saskatoon, Saskatchewan; Brandon, Manitoba; Georgetown, Ontario; Otta- wa, Ontario; Tavistock, Ontario; Trenton, Ontario; Mont-Laurier, Quebec; Plessisville, Quebec; Saint-Hyacinthe, Quebec; Saint-Léonard, Quebec; SaintRaymond de Portneuf, Quebec; TroisRivières, Quebec; Saint John, New Brunswick; Dartmouth, Nova Scotia; Mount Pearl, Nova Scotia; Sydney, Nova Scotia (wide variety of cheeses including Mozzarella & Cheddar, specialty cheeses such as Ricotta, Provolone, Parmesan, Feta & Havarti, fine cheeses such as Brie & Camembert, other firm cheeses including Brick, Colby, Farmer, Muenster & Monterey Jack, as well as fresh curd and processed cheeses. Saputo also produces and markets fluid milk, cream, yogurt, sour cream & cottage cheese. In addition, Saputo sells cheese products under private labels and produces butter, powdered milk and evaporated milk, ice cream mixes & a number of dairy ingredients derived from its cheese production, including whey powder, lactose & whey protein.) Dairy Products Division (Argentina) — (2) (wide variety of soft, semi-soft, hard & grated cheeses, as well as butter, cream, milk powder & dairy ingredients) Turn to KEY PLAYERS, page 62 a Saputo Inc. Saint-Léonard, Quebec Key executives: Emanuele (Lino) Saputo, chairman of the board; Lino A. Saputo Jr., CEO & vice chairman of the board; Dino Dello Sbarba, pres. & COO; Louis-Philippe Carrière, exec. VP, finance & administration; Kai Bockmann, pres. & COO, Dairy Products Division (International); Terry Brockman, pres. & COO, Dairy Products Division (USA); Paul Corney, pres. & COO, Dairy Foods Division (USA); Lionel Ettedgui, pres. & COO, Bakery Division; David Lord, pres. & COO, Dairy Division (Australia); Lorenzo Spinelli, pres. & COO, Dairy Products Division (Canada); Gaétane Wagner, exec. VP, human resources Dairy plants: Dairy Products Division (USA) — South Gate, Calif.; Tulare, Calif. (3); Newman, Calif.; Big For more information please visit www.saputospecialty.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 62 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 61 Total company sales (for fiscal year ended March 31, 2013): C$7.297 billion Website: www.saputo.com A look inside: Saputo Inc., a publicly-traded company, has been making acquisitions. In February 2014, Saputo closed its offer to purchase the shares of Warrnambool Cheese and Butter Factory Company Holdings Ltd. (Warrnambool), and successfully acquired 87.92 percent of outstanding shares. Started more than 125 years ago, Warrnambool is now Australia’s fourth largest dairy processor with milk intake representing approximately 10 percent of Australia’s annual production. The company, which employs 420 people, draws milk from some of the most productive dairy regions in Australia to produce cheese, butter and butter blends, milk, cream and dairy ingredients. This spring, Saputo acquired the fluid milk activities of Scotsburn CoOperative Services Ltd. Scotsburn is a Nova Scotia cooperative that will continue its other activities such as its frozen ice cream and frozen novelties business. The Scotsburn fluid milk business operates two fluid milk processing facilities located in Sydney, Nova Scotia, and Mount Pearl, Newfoundland, in Atlantic Canada. Its operations consist of manufacturing, selling, marketing, distributing and merchandising of products such as fluid milk, cream, sour cream, ice cream mix and cottage cheese, mainly under the Scotsburn brand. Saputo announced in March that it is closing four of its facilities — two in Canada (one plant in Wetaskiwin, Alberta, and one in Glenwood, Alberta) as well as two in the United States (one in New London, Wis., and one in Hancock, Md.). These plants’ production will be integrated into other Saputo facilities. The first facility closure was scheduled for May 2014, with the last scheduled for December 2015. In recent years, Saputo has maintained efforts to pursue additional efficiencies and decrease costs while strengthening its market presence. In relation to these rationalizations, the company intends to add approximately C$35 million in new fixed assets in other Saputo facilities and will avoid the same amount in capital expenditures that would have been necessary to upgrade impacted facilities. The announced measures are part of the company’s continual analysis of its overall activities. Last year, the company closed a cheese manufacturing facility in Warwick, Quebec, and early this year completed the closure of a plant in Winkler, Manitoba. Saputo products are sold in more than 40 countries under brand names such as Saputo, Alexis de Portneuf, Armstrong, Baxter, Dairyland, Dragone, DuVillage 1860, Friendship, Frigo Cheese Heads, Great Midwest, King’s Choice, Kingsey, La Paulina, Milk2Go, Neilson, Nutrilait, Ricrem, Salemville, Sungold, Stella and Treasure Cave. The company is continually running promotions for its products. U.S. examples of these include the “Improve Your Castle” contest promoted by King’s Choice, Saputo’s brand of imported Danish and Dutch specialty cheeses. One grand prize winner received a $3,000 gift card to The Home Depot in the home improvement-themed contest. Late last summer, home chefs were invited to submit their favorite grilled cheese recipes made using Great Midwest cheeses for their chance to win one of eight prizes including a weekend trip to the “Great Midwest” city of their choice including airfare, hotel accommodations and spending money. At the end of 2013, three consumer promotions were announced in tandem with the ball drop in Times Square, New York, on New Year’s Eve. “It’s Hip to Dip” was the title of Saputo’s fondue promotion for its Joan of Arc brand of French Brie. Saputo’s promotion for the King’s Choice brand was dubbed “Entertainment Fit for a King,” and the Lorraine brand of sandwich cheeses gave consumers dollar-off coupons, available via in- For more information please visit www.devilletechnologies.com store displays and online. The promotions also were featured on the brands’ websites and Facebook pages. The company also has introduced new products this past year. Last summer, Saputo announced new flavors and varieties in its Frigo Cheese Heads line of snacking cheeses. The company introduced five adultappealing flavors of Frigo Cheese Heads snacking cheeses, including: Chipotle Cheddar, Colby Jack, Garlic & Herb White Cheddar, Pepper Jack and Sharp Cheddar. The cheeses are sold in 10-packs of individually-wrapped 0.83-ounce sticks. In addition, Frigo Cheese Heads now comes in a cheese and beef stick combo. Meanwhile, Stella Cheese has begun marketing Blue and Gorgonzola cheese crumble cups. Saputo earned the ingredients/ flavorings/seasonings/additives innovation award for its Treasure Cave Crumbled Blue Cheese flavors in the International Dairy Foods Association’s (IDFA) second annual Innovations Awards. Saputo was recognized for its use of the newest menu trends with four new bold flavors of crumbled Blue cheese: Buffalo Wing, Southeast Smoked, Chipotle Pepper and Southwest Chipotle & Black Bean. Saputo late last year introduced a variety of new French specialty cheeses under the Joan of Arc brand in newly redesigned packaging. The Joan of Arc brand, which was celebrating its 95th anniversary, is the oldest trademarked French Brie in the United States. Five new Joan of Arc products offer consumers a variety of double and triple creme Bries, including two flavor-infused double creme Bries. Saputo says the new products complement an already broad line, which includes plain and flavored Chevres, Roquefort and others. Saputo received a 2014 American Package Design Award from Graphic Design USA magazine for the redesign of its Joan of Arc brand. Saputo’s Tulare, Calif., plant received a 2013 IDFA Plant Safety Award in the “Zero Lost Workdays” category. The company’s Monroe, Wis., plant also received an IDFA Plant Safety Award. In the 2013 Los Angeles International Dairy Competition, held in conjunction with the Los Angeles County Fair, Saputo received six gold medals for its cottage cheese and a gold medal for its kefir cheese. It also received three gold medals in the Grade A Latin American/Hispanic Style Sour Cream (Creama) class, two gold medals in the Grade A Light Sour Cream/Sour Half and Half class, a gold medal in the Grade A Nonfat Sour Cream class, a gold medal in the Grade A Sour Cream class and a gold medal in the Other Sour Cream class. At the 2013 California State Fair, Saputo won best in the Cottage Cheese Category (Cow) division. At the Wisconsin State Fair, the company won first and second in the Colby, Monterey Jack class. In the American Cheese Society’s annual competition, the company tied for second in the Monterey Jack with Flavor Added — All Milks class and received third place in the Colby — Made From Cow’s Milk class. In the 2013 World Dairy Expo competition, Saputo received a number of awards including first and second in the Blue-Veined Cheese class, second in the Swiss Styles class and second in the Whey Protein Concentrate-34 percent class. In the World Championship Cheese Contest this spring, Saputo placed third in the Smoked Provolone class. Mango Fire Cheddar made for Saputo placed third in the Pepper Flavored “American” Style Cheeses (Cheddar & Colby) class. Sargento Foods Inc. Plymouth, Wis. Key executives: Louie Gentine, CEO; George Hoff, exec. VP & CFO; Mike McEvoy, exec. VP, operations; Michael Pellegrino, chief customer officer & pres., consumer products division; Kristi Jankowski, sr. VP, innovation; Karri Neils, sr. VP, human resources Cheese plants: Plymouth, Wis. (shredded, sliced & snack natural cheeses); Kiel, Wis. (shredded, sliced & snack natural cheeses; battered & breaded cheese appetizers; nonrefrigerated cheese & cracker snacks); Hilbert, Wis. (natural cheese chunks & cheese sauces) Estimated 2013 sales: $1.2 billion Percentage of sales from cheese: 100% Website: www.sargento.com A look inside: Sargento Foods, which marked its 60th anniversary in October 2013, entered into its third generation of leadership this year as Louie Gentine assumed the role of CEO from father Lou Gentine. Under the leadership of Lou Gentine, who had served as CEO since 1981 and chairman since 1996, the company’s sales increased from $80 million to $1.2 billion, employment increased from 300 to more than 1,600, and Sargento became an established leader in the retail, foodservice and ingredient cheese industries. He will retain his position as chairman of the board. In recognition of the elder Gentine’s contributions and career, he received the Lifetime Achievement Award earlier this year from the Plymouth, Wis., Chamber of Commerce. Sargento also received the Deloitte Wisconsin 75 Generations Award last fall to honor its successful transition between generations. Turn to KEY PLAYERS, page 63 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 63 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 62 “When companies think it through and have a plan, and can make a good transition without any missteps on products or service, it’s considered very, very positive,” says Barbara Gannon, vice president, corporate communications and government relations, Sargento Foods. “Because we are family-owned, and intend to remain family-owned, it is very important that we had success with Lou as CEO, and now Louie as CEO. A lot of the principles we have are still at work, like how we treat our employees and focus on innovations.” Sargento also was named among the Top Workplaces in Southeastern Wisconsin by the Milwaukee Journal Sentinel, Large Business of the Year by the Plymouth Chamber of Commerce, Manufacturer of the Year from the Sheboygan County Chamber of Commerce, and received the National Workplace Success Award from ACT. Sargento recently received a Breakthrough Innovation award from Nielsen for its Ultra Thin sliced cheese line, which launched in 2012 and has had much success in its first two years on the market. The line also received a Best New Product Award in the cheese category from Better Homes and Gardens in 2013. This past year, Sargento introduced new varieties to its Ultra Thin line, including Pepper Jack, Sharp Cheddar, Baby Swiss, Cheddar-Jack and Longhorn Colby. “People really like the portion control option that Ultra Thin gives them,” Gannon says. “The fact that it also controls calories is attractive to people. There are 40-45 calories per slice, and they’re getting real, natural cheese. It’s the entire trend of eating fresher, more natural, and the idea that you can control calories without necessarily having to buy reduced-fat and reduced-calorie foods.” Also this past year, Sargento introduced new Sharp Cheddar Jack Snack Sticks and Sliced Cheese varieties to its Natural Blends line, and launched Natural Extra Sharp Cheddar Snack Sticks and Reduced Fat Natural Mild Cheddar Snack Sticks. “The Natural Blends line continues to do well because consumers are looking for new flavor varieties, and the fact that we can combine two different cheeses in one slice or snack stick is attractive to people,” Gannon says. A new Tastings line from Sargento hit dairy cases in March and April this year. The line includes 3.25- to 3.95-ounce chunks of specialty cheeses in eight varieties, including Aged Wisconsin Cheddar, Aged Vermont White Cheddar, Bruschetta Jack, Fiesta Pepper Jack, Medium Asiago, Creamy Havarti, Parmentino and New Zealander. Parmentino, which combines flavors of Cheddar and Parmesan, and New Zealander, which combines the creamy flavor of Gouda with Sharp Cheddar, are brand new trademark cheeses for Sargento. “Our entire premise here is that these are eight exceptional cheeses perfectly paired with every day, not just for special occasions. You can come home from work and have one with a glass of wine, or share them with family and friends,” Gannon says, adding that they are very affordable — with retail prices under $3. To help improve customer support in its foodservice business, Sargento this past year added a new recipe development lab in its Elkhart Lake Technical Center, which allows its culinary team to replicate recipes on the same type of equipment that the company’s foodservice customers use in restaurants. “It’s really useful to the customer,” Gannon says. “Not only are they coming up with great ideas, but they’re testing them so they know they work on specific equipment.” Sargento also is expanding its distribution center in Plymouth, Wis., which now has an automated case packing system and automated retrieval and storage system. As the company continues to grow and increase its volume, it will be able to service more pounds of product and more customers out of the Plymouth distribution center. Gannon says continued growth, both top line and bottom line, is Sargento’s goal for the coming year. “We are continuing to grow, and that’s good for all of the Sargento family of employees as well as the community,” she says. The projects will enable the fourthgeneration family-owned company to update its Wisconsin facilities. Sartori Co. plans to update equipment, improve team member ergonomics and enhance safety and sustainability initiatives while expanding capacity and capabilities to enable ongoing growth. Sartori Co. is breaking ground on the expansion this year, which coincides with the company’s 75th anniversary. The company held an official groundbreaking ceremony May 7 in Antigo. Jeff Schwager, president, Sartori Co., notes the expansion will have an economic benefit well beyond Sartori as it will mean more business for local farm families, milk haulers, construction and engineering firms, as well as dozens of suppliers. “We are in a fortunate position,” Schwager says. “We have highly-skilled team members and award-winning cheese that have led to growth over the past few years, and we’re looking forward to continuing our growth for years to come.” Sartori Co. continued its tradition of special limited edition cheese releases over the past year. As part of the company’s 75th anniversary, it released a special Family Heirloom 36-month aged Parmesan. The cheese debuted at January’s Winter Fancy Food Show in San Francisco and was available on a limited basis only. “Our Family Heirloom 36-month aged Parmesan cheese is a treat we’ve been able to pass down through the generations, and now we’re happy to be able to share it with others,” says Jim Sartori, owner and CEO, Sartori Co. Sartori in July plans to release a Family Heirloom 18-month aged BellaVitano cheese as well. Sartori also released a limited quantity of Cannella BellaVitano and Cognac BellaVitano for the 2013 holiday season. Each cheese wheel was hand signed and numbered by a Sartori Master Cheesemaker. The company also offered a small release of its Limited Edition Extra-Aged Goat cheese over the holidays. In addition, Sartori Co. again in October released its Limited Edition Peppermint BellaVitano cheese in support of breast cancer awareness month. Sartori donated a portion of proceeds from the cheese to the National Breast Cancer Foundation. “We felt our pink hued cheese was a great tribute to that cause,” says Chad Vincent, chief marketing officer, Sartori Co. “It’s the second year Sartori has joined with the National Breast Cancer Foundation, and they have been wonderful partners. It’s so rewarding to see our retailers and consumers support the initiative.” As part of celebrating its 75th anniversary this year, Sartori Co. will support and volunteer throughout the communities in Plymouth and Antigo, and across the country, Vincent notes. Multiple contributions and volunteering at local food shelters throughout Wisconsin will be supported by Sartori and its team members, as well as continued partnerships with the Wisconsin Make-A-Wish Foundation and MACC Fund. Vincent notes that engaging with and educating consumers on the cheese category was a key focus for Sartori Co. in 2013. Over the past year the company released a series of new brand videos, including a Master Cheesemaker video, which offered a look into the Turn to KEY PLAYERS, page 64 a Third Generation Wisconsin Licensed Cheese Maker and Wisconsin Licensed Cheese Grader Sartori Co. Plymouth, Wis. Key executives: Jim Sartori, owner & CEO; Jeff Schwager, pres.; Chad Vincent, chief marketing officer Cheese plants: Lafayette, Colo. (dips, spreads, hummus, pesto, salsa); Antigo, Wis. (specialty & artisan style); Plymouth, Wis. (3) (hard Italian style, Signature Blends, converting & distribution) Percentage of sales from cheese: more than 95% Website: www.sartoricheese.com A look inside: Sartori Co. wrapped up 2013 with an announcement that the company will embark on $14 million in expansion and renovation projects at its plants in Antigo and Plymouth, Wis. (VW We’re Proud to Offer White and Colored Cheddar Ranging from Mild to Extra Sharp in Flavor ■ ■ ■ ■ Wisconsin Premium 640’s Wisconsin Premium 40 lb. Blocks Wisconsin Premium 500 lb. Barrels Wisconsin Premium Organic Sharp Cheddar, Monterey Jack, Colby, Pepper Jack & Much More 4 Generations in the Cheese Business 6HWDVLGH3URJUDPV&KHHVH*UDGLQJ6HUYLFHV 6SRW3XUFKDVHV$YDLODEOH NOVAK'S CHEESE OF WISCONSIN, INC. Tel: 920.338.1571 Fax: 920.338.1714 Bill Novak II & Ben Novak %LOO¶V&HOOELOOQRYDN#QRYDNVFKHHVHFRP %HQ¶V&HOOEHQQRYDN#QRYDNVFKHHVHFRP www.novakscheese.com For more information please visit www.novakscheese.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 64 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 63 rigorous program requiring 13 years before becoming a Wisconsin Master Cheesemaker. The company currently has four Master Cheesemakers on staff. Sartori’s 2013 U.S. Championship Cheese Contest video offered an inside look at the national competition of cheese that took place last year in Green Bay, Wis., and the company’s Extra-Aged Goat Cheese video shared the people and story behind this limited edition cheese. The company also was featured in Men’s Health Magazine’s “125 Best Foods” for 2013, Vincent notes. Its SarVecchio Parmesan received “Best All-Purpose Cheese” while its Espresso BellaVitano received “Best Snacking Cheese.” Sartori Co. continued to garner broad industry recognition over the past year. At this spring’s World Championship Cheese Contest, Sartori Co. earned best of class in the Asiago class for its Sartori Reserve Extra-Aged Asiago. The company also earned a best of class and second place in the Open Class Shredded Cheese, Flavored or Unflavored for its Sartori Reserve SarVecchio Parmesan and Sartori Reserve Merlot BellaVitano, respectively. Sartori won a gold medal for its Sartori Reserve SarVecchio in the “Cheese with Health Benefit” class at the 2013 Global Cheese Awards held last September in Frome, England. At the 2013 World Cheese Awards held in December in Birmingham, England, Sartori’s Pastorale Blend and Cinnamon BellaVitano each won Super Gold medals and finished in the top 15 cheeses in the world. The company also won a gold medal for its BellaVitano Gold. At the 2013 World Dairy Expo Championship Dairy Product Contest last fall, Sartori’s Reserve BellaVitano Gold was named Grand Champion cheese. The company also won first place in the Open Class Cheese at the contest for its Limited Edition Pastorale Blend and third in the Open Class Hard Cheese for its Reserve Chai BellaVitano. This past summer, Sartori received awards at the American Cheese Society competition with a second place finish in the Goat’s Milk Cheese Aged Over 60 Days class for its Limited Edition Extra-Aged Goat cheese, and third place finishes in the Open Category — Cheeses with Flavor Added — All Milks class and the Open Category Marinated in Liquids and Ingredients — Made From Cow’s Milk class for its Reserve Espresso BellaVitano and Limited Edition Canella BellaVitano, respectively. At the 2013 Wisconsin State Fair Cheese & Butter Contest, Sartori cheesemaker Joel Pagel was named Grand Master Cheesemaker for his Classic Asiago. Sartori Master Cheesemaker Mike Matucheski also placed first in the Flavored Hard Cheese class at the contest with his Espresso BellaVitano. In the year ahead, Sartori Co. will continue to educate consumers on artisan cheese as well as grow brand awareness for not only its own brands but the entire artisan cheese category. The company will provide recipes, pairings ideas, tips, industry news and samplings with in-store sampling and promotions on its website and Facebook page. “Our mission at Sartori is to make the best cheese in the world,” Vincent says. Schreiber Foods Inc. Green Bay, Wis. Key executives: Mike Haddad, pres. & CEO; Larry Ferguson, chairman of the board; Rob Byrne, dir., industry & regulatory affairs Dairy plants: Tempe, Ariz.; Fullerton, Calif.; Gainesville, Ga.; Carthage, Mo. (2); Clinton, Mo. (2); Monett, Mo.; Mt. Vernon, Mo.; Shippensburg, Pa.; Stephenville, Texas; Logan, Utah; Smithfield, Utah; Green Bay, Wis.; Richland Center, Wis. (2); West Bend, Wis.; Austria; Brazil; Bulgaria; Czech Republic; Germany (2); India; Mexico; Portugal; Uruguay Estimated annual sales: $4.5 billion Website: www.schreiberfoods.com A look inside: Schreiber Foods Inc., the world’s largest employee-owned dairy company and a leading supplier of natural and process cheeses to the grocery and foodservice industries, made a number of acquisitions and improvements this past year. In early February, Schreiber Foods officially took full ownership of three yogurt plants in Bulgaria, the Czech Republic and Portugal from a major international dairy company. The plant in Portugal produces drinkable yogurt, the plant in Bulgaria manufactures a unique tart yogurt and the Czech Republic plant makes bottles and cups of yogurt. The three plants employ a total of about 350 people. Stateside, Schreiber Foods’ new Global Technology Center and Home Office in downtown Green Bay, Wis., near completion with occupancy slated for fall 2014. “Our Global Technology Center will play an integral role in Schreiber’s mission to be the world’s leading customerbrand dairy company,” says Mike Haddad, president and CEO, Schreiber Foods. “It will be a state-of-the-art facility that will enhance our ability to deliver value for our customers by creating innovative new products and winning business solutions.” The project will consolidate several of Schreiber’s offices in the area. “It will provide us with the efficiencies of all our home offices being under one roof,” says Rob Byrne, director of industry and regulatory affairs, Schreiber Foods. The new building is being constructed with sustainability in mind, using foundation footings already in place, LEED certification and the addition of green space to further show Schreiber’s commitment to corporate responsibility. Schreiber Foods this spring confirmed it is expanding the processing capacity at one of its dairy plants in Carthage, Mo., with completion expected in late spring to early summer 2015. The company says it will install multiple lines to enable it to leverage technology and be more competitive in the marketplace. Also this spring, Montreal-based printer Transcontinental Inc. agreed to acquire Schreiber’s Capri Packaging division. As part of the agreement, Schreiber Foods signed a 10-year agreement to secure Capri Packaging as a strategic supplier of printed flexible packaging. Bob Bush, chairman emeritus of Schreiber Foods, this year was named the recipient of the 2014 National Cheese Institute’s Laureate Award. This award recognizes individuals who have made significant contributions to the development and growth of the cheese industry. Bush was recognized in January at the International Dairy Foods Association Dairy Forum in Palm Desert, Calif. Schreiber Pineapple Greek Yogurt produced at the Richland Center West plant in Wisconsin was named the best Greek yogurt in the 2013 World Dairy Expo Championship Dairy Product Contest. Swiss cheese produced at Schreiber’s Smithfield, Utah, plant also was named best Swiss cheese at the 2013 Idaho Milk Processors Association contest. Scott’s of Wisconsin Sun Prairie, Wis. For more information please visit www.foodtools.com Key executives: Steve Knaus, owner; Tammy Knaus, owner Cheese plant: Sun Prairie, Wis. (cold pack cheese food, pasteurized process cheese spread, cheese dips, cheese Turn to KEY PLAYERS, page 65 a Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 65 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 64 snack cups, fudge cheese, cheese balls, cheese logs) Website: www.scottsofwisconsin.com A look inside: Scott’s of Wisconsin, maker of cold pack cheese food, pasteurized process cheese and cheese spreads, this year is introducing new cheese balls and logs. The introduction is the company’s latest offering to meet the needs of retail and foodservice customers who are seeking fun, flavorful cheese options either under the Scott’s brand or private label. It won’t be the first time the business offers balls and logs, but it will be the first time under current ownership. The company, which was previously known as the Wisconsin Cheeseman, was purchased in 2011 by the Knaus family, who also owns Weyauwega Cheese. “Our initial focus was to get the cups out the door and get customers back,” says Nichole (Knaus) Jesberger, who handles marketing for the company. “Balls and logs were a big part during the Cheeseman years and they can be again.” The balls and logs are available in Port Wine, Sharp Cheddar and Swiss Almond flavors. Initially the company is offering 6-, 8- and 10-ounce logs and 10-ounce balls, but it can be flexible to meet the needs of customers. As a mid-size company, Scott’s of Wisconsin executives say the company is just the right size to meet the needs of a wide range of customers. The balls and logs will be showcased at the International-Dairy-Deli Bakery Show in June along with the company’s expanded line of cheese dips. The line includes Sharp Cheddar, Bacon, Jalapeno, Habanero, Chipotle and Nacho flavors. This past year, Scott’s won first in its class with its Sharp Cheddar Pasteurized Processed Cheese Dip at the World Dairy Expo Championship Dairy Product Contest. Not only was it the first time Scott’s had entered the World Dairy Expo contest, it was the first time it had entered a processed cheese product in a competition. Previously, contest entries had focused on cold pack products. This past year, awards in that area included a first place award at the Wisconsin State Fair for its Creamy Sharp Cheddar Cold Pack. Scott’s of Wisconsin continues to develop its cheese spread line for every occasion and palate. Sizes available range from a 2-ounce snack size and up, with flavors including Onion Chive, Spanish Olive, Sharp Cheddar, Zinfandel Havarti and Brie. Possibly one of the most stand-out products, flavor-wise, is the company’s Limburger Cheese Spread made with Limburger from Chalet Cheese Cooperative. The shelf-stable processed item, available at Woodman’s and other retailers, has had a lot of positive feedback, the company says, despite Limburger’s reputation as being a strong-tasting, strong-smelling cheese. The company also has launched cheese snack containers designed to respond to consumer needs for small, convenient 2-ounce and 3-ounce sizes that can be used in lunch boxes, picnics and desk drawers. The company’s “Cheese N Go!” includes 8 mini cups of cheese spread that can be grabbed for a snack on the go or packed in lunches. Scott’s of Wisconsin’s Fudge Cheese also is doing well. The company is in the process of introducing a new Fudge Cheese Spread. Moving forward, Scott’s of Wisconsin will continue to develop new flavors and products for customers, including an all-natural cheese spread line. The product is being positioned to give consumers healthier options. As the company moves into new markets, it also is turning its focus toward showcasing food safety. Food safety always has been important, including certifications with the state of Wisconsin and the U.S. Army (a requirement for gift packages). The company’s next goal is to become Safe Quality Foods-certified. Swiss Valley Farms Cooperative Davenport, Iowa Key executives: Donald Boelens, CEO; Brad Junker, CFO; Thomas Stontz,VP,administration; Jeff Jirik, VP & general mgr., natural cheese; Turn to KEY PLAYERS, page 66 a We craft cheese and dairy products with that “more to love” quality built into every bite. • Farm-to-Fridge Ideology is Who We Are • Amazing Wisconsin Cheeses From Our Family to Yours • Specializing in Cheese Spreads, Dips & Snacks • Serving Retail, Distributors, Food Service & Fundraising Efforts • Over 100 Years of Cheese Making Experience • “Quality at a Premium” with Dedicated QA/QC Technicians & Product Development Programs NO BUSINESS IS TOO BIG OR TOO SMALL … let us work with you to get exactly the right products you need for your company or organization. Quality is infused into every product offering a variety of flavors and sizes: • Cheese Spreads • Cold Pack Cheese Food • Pasteurized Process Cheese • Cheese Dip Snack Cup • Beer Cheese • Fudge Cheese NEW! • Cheese Balls & Logs Award Winning Cheese 1st Place 2013 World Dairy Expo Cheese Competition (Sharp Cheddar Cheese Dip) 1st Place 2013 Wisconsin State Fair Blue Ribbon Cheese Contest (Creamy Sharp Cheddar Cold Pack) 3rd Place 2013 Wisconsin State Fair Blue ribbon Cheese Contest (Creamy Bacon Cheddar Cold Pack) Scott’s of Wisconsin 1500 Clarmar Drive • Sun Prairie, WI 53590 608.837.8020 • info@scottsofwisconsin.com www.scottsofwisconsin.com For more information please visit www.scottsofwisconsin.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 66 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS A look inside: Swiss Valley Farms Cooperative is in the midst of an expansion project at its cheese plant in Rochester, Minn. The Rochester site, which previously served as a warehouse and distribution center, is being expanded to include production lines for the company’s club and pasteurized process cheeses. Production of the club and pasteurized process cheeses had previously been handled by Rochester Cheese’s Spring Valley, Minn., location. When the production transition is complete, the Spring Valley plant will remain active as a warehousing and contingency production site. The Swiss Valley Farms location in Luana, Iowa, also is expanding with a new research and development center. Last May Swiss Valley Farms introduced Grass-Fed Baby Swiss — a new variety of Baby Swiss made exclusively with milk from grass-fed cows. It features a flavor profile, that while mild, is creamy and buttery, and slightly richer than traditional Baby Swiss. Grass-Fed Baby Swiss is available in 5-pound random-weight wheels. The company’s cheeses made strong showings at many competitions Continued from page 65 Jeff Saforek, VP & general mgr., dairy ingredients & export; Chris Hoeger, VP & general mgr., milk procurement & member relations Cheese plants: Luana, Iowa (Swiss, Gouda, cream cheese, Neufchatel, whey powder); Mindoro, Wis. (Blue, Gorgonzola); Rochester Cheese, a wholly-owned subsidiary, Spring Valley, Minn. (cold ground blend cheese, pasteurized process cheese); Caves of Faribault, a wholly-owned subsidiary, Faribault, Minn. (Blue, Gorgonzola, aging of Cheddar & Gouda); White Hill Cheese Co. LLC, JV with Emmi Roth USA, Shullsburg, Wis. (no-salt Swiss, Baby Swiss, other varieties) Estimated annual cheese produced: 75.5 million lbs. Estimated 2013 sales: $430 million Projected 2014 sales: $353 million Percentage of sales from cheese: 36.5% Market segments for cheese: 5% retail; 15% foodservice; 80% ingredients Websites: www.swissvalley.com, www. cavesoffaribault.com, www.cheesecave. net, www.rochestercheese.com. WHAT’S IT LIKE TO BAKE WITH? A PIECE OF CAKE. in the last year. Swiss Valley Farm’s Swiss achieved a blue ribbon at the Illinois State Fair and a first place at the 2013 National Milk Producers Federation (NMPF) Championship Cheese Contest. The company’s Blue cheese earned a third place at the American Cheese Society’s competition and first place ribbons at the Illinois and Minnesota State Fairs. A blue ribbon at the Illinois State Fair and a first place finish at the World Dairy Expo were awarded to Swiss Valley Farms’ cream cheese. Its Neufchatel also received a blue ribbon at the Illinois State Fair. Swiss Valley Farms was awarded the Chairman’s Plaque for Jeff’s Select Gouda at the NMPF cheese contest. Jeff’s Select Gouda also was grand champion at the 2014 North Central Cheese Industry Association’s contest. In addition, its Jeff’s Select Gouda received first place at the Upper Midwest Dairy Industry Association fall contest and also won a blue ribbon at the Illinois State Fair. Jeff’s Select Gouda cheese was the recipient of a 2013 sofi Gold award for an outstanding cheese or dairy product. Tillamook County Creamery Association Tillamook, Ore. Key executives: Patrick Criteser, pres. & CEO; Jay Allison, VP, sales & marketing; Mark Wustenberg, VP, quality & operations; Linda Pearce, CFO; Tara Parry, VP, human resources; Joe Rocha, chairman of the board Cheese plant: Tillamook County Creamery Association, Tillamook, Ore. (Cheddar varieties including medium, sharp, Special Reserve Extra Sharp, Vintage White Medium, Vintage White Extra Sharp, smoked, reduced-fat, kosher; ice cream; whey); Columbia River Processing Inc., Boardman, Ore. (medium Cheddar, sharp Cheddar, Monterey Jack, Colby, Colby Jack, Pepper Jack, concentrated whey, WPC-34, WPC-80, lactose powder, whey cream) Estimated annual cheese produced: 194.1 million lbs. Estimated annual cheese marketed: 190.83 million lbs. Turn to KEY PLAYERS, page 67 a YOUR TASTE BUDS TOOK A VOTE, AND THE EYES HAVE IT. CREAM CHEESE SWISS FROM SWISS VALLEY FARMS FROM SWISS VALLEY FARMS AVAILABLE IN 30LB. & 50LB. BOXES & 3LB. LOAVES 247 Research Parkway P.O. Box 4493 Davenport, IA 52808 www.swissvalley.com For more information please visit www.swissvalley.com AVAILABLE IN 100LB. BLOCKS & 7LB. SANDWICH CUTS 247 Research Parkway P.O. Box 4493 Davenport, IA 52808 www.swissvalley.com For more information please visit www.swissvalley.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com May 30, 2014 — CHEESE MARKET NEWS® 67 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 66 Estimated 2013 sales: $626.7 million Projected 2014 sales: $677.6 million Percentage of sales from cheese: 80% Market segments for cheese: 77% retail; 5% foodservice; 18% ingredients Percentage of products exported: less than 2% Website: www.tillamook.com A look inside: Tillamook County Creamery Association recently completed construction on a new 65,000-square-foot whey and lactose processing facility at its cheesemaking plant in Boardman, Ore. The cooperative was successfully processing WPC-80 through the new addition by the end of 2013 and lactose powder by April. Both products will be dried and sold in domestic and export foodingredient markets. “While our primary business remains our branded Tillamook Cheese and other Tillamook dairy products, this new facility helps us maximize the value we derive from every pound of milk we purchase,” says Tori Harms, Tillamook corporate communication manager. Also, while still in early stages, the cooperative also is looking forward to some upgrades at its Tillamook, Ore., site, which is a major attraction for tourists in Oregon. “We are currently in the preliminary design phase for an exciting remodel of the Tillamook Cheese Factory and tour experience, with potential to be unveiled for the 2015 summer season,” says Susan Palmer, Tillamook director of retail. In February, to commemorate and celebrate its 105th anniversary as a farmer-owned cooperative, Tillamook launched a redesigned website to reflect its continued growth as a dairy brand, innovation in new product development, packaging redesign and commitment to the greater “Tillamook family” by providing the best possible experience for consumers. The site features customized content relevant to the user based on their geographic location, time of day, day of week and other factors, creating a unique experience for each visitor. It also includes Tillamook’s first ever foodservice section, which allows restaurant partners to easily connect with their local distributor to quickly access Tillamook products. To celebrate blogger and chef partners as well as consumers, families and fans, the site includes a new community section featuring recipes and highlighting consumer comments. It also is built to automatically adjust to any mobile devices, tablets or desktop experiences. This past year, Tillamook launched a packaging design overhaul for its entire dairy products line. The redesign streamlines the brand’s messaging with more product information, company insight and new color scheme. Additional features include detailed flavor descriptions, more farmer-owned identification, recipe suggestions, fun messaging, call-outs to visit Tillamook online and a larger company logo. The rollout started last fall with Tillamook’s 12-ounce stacked sliced cheeses, 8-ounce shingle sliced cheeses and a variety of sizes of stand-up shreds, with the remaining products sporting new packaging by early 2014. “It is important for us to stay fresh and exciting for our consumers and customers as we continue to grow,” says John Russell, Tillamook senior director of marketing. “We feel that this new design works harder in presenting a premium image of our high quality products while remaining relatable to all of our fans.” In addition to the new packaging, the cooperative introduced new yogurt and ice cream products this past year. A new Tillamook Dessert Yogurt line was released in August 2013, featuring fruits and honey sourced from the Pacific Northwest. Flavors include Honey Cinnamon Crème Brûlée, Marionberry Cobbler and Peach Raspberry á la Mode. In December, Tillamook announced a new strained Farmstyle Greek Yogurt in seven flavors in 5.3-ounce cups and two varieties in 32-ounce containers. And in January, it launched Tillamook Tillabars in the super premium ice cream novelty category in four flavors. Tillamook cheeses and other dairy products won a number of awards this past year. At the 2013 American Cheese Society contest, Tillamook’s 3-year-old Vintage White extra sharp Cheddar and light fat-free yogurt receive first-place awards; its Colby, natural sour cream and salted sweet cream butter received second-place awards; and its medium Cheddar earned a third-place award. Tillamook also won first-place honors at the National Milk Producers Federation Championship Cheese Contest last fall for its young medium Cheddar (which also was named “Best Cheddar”), its Garlic Dill flavored Cheddar cheese curds, its extra sharp Cheddar and its sharp Cheddar. At the 2014 World Championship Cheese Contest this spring, Tillamook won best of class and third place awards for its marbled curd Colby Monterey Jack and second place for its stirred curd Red and Green Jalapeno Pepper Jack. “We are very proud of these recent awards, as it is a reflection that our brand consistently makes great-tasting, award-winning dairy products,” says Jay Allison, Tillamook vice president of sales and marketing. Winona Foods Inc. Green Bay, Wis. Key executives: Terry Steinmann, pres.; David Meyer, VP; Carl Buchinger, CFO Cheese plant: Green Bay, Wis. (shelf-stable process cheese, aerosol cheese, process cheese sauces, process cheese dips, process cheese spreads, portion control to bulk, natural cheese bulk, slices, shreds, cuts, cubes, cold pack, aerosol icing, energy beverages) Estimated annual cheese produced: 200 million lbs. Percentage of sales from cheese: 95% Market segments for cheese: 5% retail; 50% foodservice; 45% ingredients Percentage of products exported: 2% Website: www.winonafoods.com A look inside: Winona Foods Inc. has focused this past year on providing new products in useful formats for its customers. The company, which focuses on cheese but also offers salsas, dips and other products, has introduced more flavored cheese varieties and portion-controlled options. “Our focus has been to bring out those items that are more flavorful. What the demand is for the consumer palate is changing, so we’ve got to move with that,” says Terry Steinmann, president, Winona Foods Inc. Winona Foods recently launched new specialty cheese programs that include products such as Chevres, Bries, Goudas, Fontinas and Mexicanand Hispanic-style cheeses. Winona Foods’ roped and waxed aged Provolone, one of the specialty products it launched this year, took third in its category at the World Championship Cheese Contest this spring. Additionally, the company has launched several new flavored varieties of pressed curd cheeses, from Ranch and Chipotle to more Turn to KEY PLAYERS, page 68 a For more information please visit www.winonafoods.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 68 CHEESE MARKET NEWS® — May 30, 2014 2014 KEY PLAYERS Our Exclusive Annual Profile of Who’s Who in the Cheese Business KEY PLAYERS Continued from page 67 aged varieties. In total, the company has launched about 45 new items this past year and is constantly innovating to provide new products based on its customers’ demands and the latest trends in foodservice and retail. “In our business, some of the restaurant end users and chefs are demanding more flavorful, high-quality items,” Steinmann says. In addition to the demand for more flavorful and specialty cheeses, demand for portion-control packaging continues as food kits that contain sauces, dips and other cheese ingredients remain popular in the industry. Therefore, Winona Foods also has been focusing more on portioncontrolled cups and pouches. As its sales in this area continue their strength, Winona Foods recently has added capacity at its Green Bay, Wis., plant for portion-control items, adding efficiencies to its lines as well as improved packaging capabilities. To further support the growth of its portion business, the company is looking at expanding its Green Bay warehousing capacity over the next year or two as well. “We will continue to expand our distribution and continue to increase our depth of sales and support services for our customers,” says David Meyer, vice president, Winona Foods Inc. “The industry across the board continues to look to us to provide creativity and innovation in the products we bring forward to the trade segment — chefs, entree producers and others — so they can bring it forward to their consumers.” Yancey’s Fancy Inc. Corfu, N.Y. Key executives: Wayne Henry, pres. & CEO; Mike Wimble, VP, sales & marketing; Brian Bailey, VP, operations Cheese plant: Corfu, N.Y. (Cheddar, Chastinet, Gouda, process Cheddars, Cheddar shreds, Cheddar curds) Estimated annual cheese produced: 10.9 million lbs. Estimated annual cheese marketed: 9.3 million lbs. Estimated 2013 sales: 36.2 million Projected 2014 sales: 38.5 million Percentage of sales from cheese: 100% Market segments for cheese: 97% retail; 2% foodservice; 1% ingredients Website: www.yanceysfancy.com A look inside:: Yancey’s Fancy Inc. has doubled in size since CEO Wayne Henry took over in 2007, and it continues to grow with new products, plant expansion plans and new marketing initiatives. Yancey’s Fancy will expand its cheese plant from 30,000 square feet to about 142,000 square feet by the end of 2014. The project is expected to cost between $8-$10 million. It will increase the company’s workforce from 110 employees to about 170. The expansion will allow for increased production and relocation of an off-site distribution center to the Corfu facility. “They are working on the foundation currently,” says Jodi Stahl, marketing director, Yancey’s Fancy. “Our target for entry into the new facility is the end of August or early September.” The company also will be putting a 3,500-square-foot addition on the original main location to house a reverse osmosis machine. It should be ready in a month, two months maximum, Stahl says. “Finishing the facility by the target date is our major goal and then to have peak production within a month or two from then,” Stahl says. “The larger facility will ensure our ability to increase production and to give customers what they need and expect. It will occur during the major food holidays.” Yancey’s Fancy has expanded its product line to include a naturally wood-smoked Cheddar and a Bacon Cheddar. Both are available in wedges. “We’re looking at doing a Bacon Cheeseburger Cheddar and Aalsbruk Swiss this year,” Stahl says. “We don’t have a definite time line yet.” Nearly 85 percent of Yancey’s Fancy’s sales are branded and 15 percent are private label, and Stahl says the company wants to increase its branded presence. Yancey’s Fancy offers a formidable sampling program and participates in marketing events across the nation. It sponsors the Mazda Raceway at Laguna Seca, Salinas, Calif. It also has sponsorship deals with Watkins Glen Raceway in New York, Phoenix International Raceway in Arizona and the American Le Mans Series. The company also announced a partnership with the NHL’s Phoenix Coyotes in 2013. “We feel doing these events are the best for sampling,” Stahl says. “The easiest way to sell our products is by taste because they sell themselves.” Yancey’s Fancy also is the presenting sponsor of the Finger Lakes (New York) Wine Festival in which more than 90 wineries and 100 non-wine vendors participate. The company also participates in cheese and wine festivals from coast to coast, including the Boston Wine Expo, San Diego Bay Wine & Food Festival and the Seattle Cheese Festival. “We’ve grown larger this past year and have sponsorship deals with the Richmond International Raceway and the Auto Club Speedway out of Ontario, Calif.,” Stahl says. “We’re still sponsored with the Buffalo Sabres hockey team and are looking at being involved with the NFL’s Buffalo Bills.” Stahl says Yancey’s Fancy will continue to innovate when it comes to its marketing by being a larger participant in television, social media and its website. It currently utilizes online platforms like Pinterest, Facebook and Twitter to engage its consumers and promote its products with recipe ideas and competitions. “We have a great team of employees and want to continue working more with our customers, promoting new items, providing point-of-sales, samples, demos and recipe ideas,” Stahl says. “We want to continue to offer many innovative flavors.” CMN Sources for plant and sales information: company reports, prior media coverage, press releases, other publicly-available information and interviews. NOTE: For the sake of clarity and consistency, Cheese Market News has elected not to put registered or trademark symbols after any of the product names referred to in these profiles and assumes no liability connected to this decision. Cheese Market News provides “Key Players” as a service to its readers. The publisher and editors do not assume liability for errors or omissions. Cheese Market News does not endorse the products of any advertiser. For more information please visit www.yanceysfancy.com 2014 Key Players is an exclusive editorial reprint of Cheese Market News, a weekly newspaper published by Quarne Publishing LLC. All rights reserved; no part of Key Players may be reproduced, stored in a retrieval system or transmitted in any form or by any means, mechanical, photocopying, electronic recording or otherwise, without the prior written permission of Quarne Publishing LLC. Cheese Market News does not endorse the products of any advertiser or assume liability for errors or omissions. © Copyright 2014 by Quarne Publishing LLC, P.O. Box 628254, Middleton, WI 53562; Phone: (608) 831-6002; Fax: (608) 831-1004; email: squarne@cheesemarketnews.com; website: www.cheesemarketnews.com Reprinted with permission from the May 30, 2014, edition of CHEESE MARKET NEWS®© Copyright 2014 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com