US News – Food security was one of the problems main topics of conversation at an emergency meeting of US President Joe Biden with NATO, EU and G7 leaders. Biden’s anxiety over food shortages underscores Russia’s and Ukraine’s accountability 25% of world wheat exports and 16% of world corn exports. “It’s going to be real,” Biden said. “Because both Russia and Ukraine were, for example, the breadbasket of Europe in terms of wheat.” As this grain is used in most of the world’s livestock production, rising prices for major crops are likely to lead to higher protein prices. Combined with expected supply shocks The UN predicts a climate crisisit is expected that there will be major changes in the way we eat and what we eat in the foreseeable future. The market is already operating through innovation, and responses are coming from various food companies such as Nepra Foods (CSE: NPRA) (OTC: NPRFF), Calavo Growers, Inc. (NASDAQ: CVGW), SunOpta Inc. (NASDAQ: STKL) (TSX: SOY), Simply Good Foods Company (NASDAQ: SMPL), and Utz Brands, Inc. (NYSE: UTZ).
Instead of leaning towards more common plant proteins such as soy or peas, food raters Nepra Foods (CSE: NPRA) (OTC: NPRFF) focused their work on hemp. The company has developed a flagship asset known as Textured Hemp ProteinTM (THP), designed to provide food giant ingredients with cannabis-based products.
According to a new report published Allied Market ResearchThe global market for textured plant proteins (TVP) was estimated at $ 987.9 million in 2019 and is projected to reach $ 2.14 billion by 2027, representing a 9.2% CAGR from 2021 to 2027. .
Being a great source vegetable protein, Nepri the use of hemp protein is strategic. The company uses hemp produce plant-based and allergen-free foods that are lean, rich in amino acids, a good source of iron, magnesium and manganese and can even prevent cardiovascular disease and cancer.
In what has been called “the worst drought in more than a century”, supply shocks in North and South America have occurred pea protein suppliersalso as which affects 50% of world soybean supplies. While, there is another type of vegetable protein that is less likely to be affected because it hearty, drought-resistant culture, is hemp. In anecdotal reports from the end of 2021, American hemp farmers saw Fr. 12.5% drop in production.
At its plant in Colorado, Wrong announced earlier this year fully launched its first specialized extrusion line with new extrusion equipment. The company believes that this app will exponentially increase ingredient output and increase overall sales revenue.
“Having our own textured protein equipment is key to our vertical integration plan,” he said. Wrong CEO David Wood. “While most in this space use peas, soy, gluten and faba, our textured hemp protein has a wonderful flavor, texture and, most importantly, nutritional value. It will be the first of its kind on the market. “
This specialized equipment can produce textured hemp protein, THP 800 (800,000 pounds per year), which is used in vegetable meat analogues such as vegan meatballs and chicken pieces used in Nepri Commodity lines with additional capacity are sold in bulk to other food manufacturers.
Nepri It is expected that THP’s wholesale sales alone will increase the company’s revenue to $ 3.5 million a year.
Another plant-based food shock came in the form of a suspension of U.S. avocado imports from Mexico. Now it is expected prices are set to jump for avocados that provide a a source of heart-healthy fats.
California Giant Avocados, Calavo Growers, Inc. (NASDAQ: CVGW) accordingly took advantage of this opportunity, starting collect crops earlier this year than in other years.
“Early deliveries certainly helped get out of the marketing situation in the summer,” said Rob Wedin, executive vice president. Manufacturers of Kalavawho said the peak season could come in late April.
The company reported total revenue of $ 274.1 million in the first quarter of 2022, an increase of 24% over the same period compared to the same period last year. Sales in Kalava The fresh business segment was a big growth factor, reaching $ 162.6 million, up almost 41% from $ 115.5 million in the first quarter of 2021.
Overall, avocado prices were 64% higher than the same period last year, which was partially offset by a 12% lower volume due to lower supply on the market.
By diversifying its offerings, SunOpta Inc. (NASDAQ: STKL) (TSX: SOY) already in 2022 introduced several new products, including rethinking their brands of beverages of plant origin Dream ™ and Westsoy, which will now be known as West Life ™.
The company also has received an appointment from Upcycled Certified ™ for its nutrient-rich oat protein powder for use in bakery products, savory snacks, sauces and spreads, dubbed OatGold ™.
Upcycled Certified ™ is the world’s only third-party certification program for processed food ingredients and products.
“We distract insoluble solids from the oatmeal production process to create a processed ingredient that is rich in nutrients and delicious,” said Lauren McNamara, vice president and assistant CEO. SunOpta. “Acycling brings all food to its highest and best use, turning excess ingredients into new, high-quality products such as OatGold.”
Not every plant-based food company will benefit from the current shocks. Salty snack company Utz Brands, Inc. (NYSE: UTZ) reports fighting campaign with supply problems.
While the company’s sales and profits increased in the first full year of the open company, according to executives, supply chain problems kept profitability under cover.
“If costs continue to rise beyond what we see in the market today, we will continue to take appropriate pricing measures.” said Ajay Kataria, CFO Brands Utz.
In December, Brands Utz completed the acquisition some assets from RW Garciaincluding two manufacturing plants in Nevada and North Carolina.
Manufacturers of plant-based protein bars Simply Good Foods Company (NASDAQ: SMPL) successfully raised another $ 8.5 million to boost its North American expansion of its SimplyProtein brand.
SimplyProtein offers a range of gluten-free snack bars with low sugar content, energy snacks and more formulated with vegetable protein. The company’s products are available online and in individual retail chains throughout the United States and Canada. Early sales forecasts for the first quarter of 2022 Just good food products are valued at potentially up to $ 275 million.
“Vegetable protein continues to grow in popularity among consumers,” said Michael Lines, founder and CEO of the company. Wellness Natural Inc. “We have some ambitious growth goals, and the first step toward achieving them is to continue to build a solid distribution base that allows SimplyProtein products to be readily available throughout North America.”
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