Beverage Bulletin February 2011

California Beverage Retailers Association

P.O. Box 56686

Sherman Oaks, CA 91413

(818) 788-8120

www.cbraliquor.org

 

February 2011

 

Industry News

This month we cover changes in regulations, changes in beverage ingredients, pricing news, top food and beverage trends for 2011, and general industry news. February was a short month, but a lot happened!

 

Heineken Named Official Lager of London 2012 Olympics
LONDON - Heineken will be the official beer of the 2012 London Olympics. The Dutch brewer was unveiled Thursday as the "official lager supplier" of the games. Will the athletes be celebrating with Heinekens?

Label Changes are coming to your favorite drinks! Ever wonder how many calories are in your glass of wine, bottle of beer or shot of whiskey? With light-beer makers touting calorie content on their brews and controversies over flavored alcoholic drinks, the federal Tax and Trade Bureau, which regulates alcohol labeling in the United States, is renewing a push for everything from wine, beer, and vodka to have calories and nutritional information. While slapping more nutritional information on beer and wine could be welcome for carb and calorie counters, it could be a headache for producers. For restaurants and retailers it would definitely change the business. Today, packaged foods sell much differently than they did 20 years ago, all due to consumers reading labels.

How much time to get to work? If you or your workmates commute (and who doesn't?) You sit delayed and idling in traffic 63 hours a year in Southern California or 49 hours a year in the San Francisco Bay area. What could you do with 63 hours? Try one of these:

Fly to the moon. A manned spacecraft takes roughly 63 hours to fly to the moon.

 

 

Run the world's fastest marathon (at two hours and four minutes) almost 30 times.

 

Watch every game of the US Open on Fox Sports West.

Watch all five seasons of “Six Feet Under.”

Drive a weekend trip from L.A. and go to San Francisco, Yosemite, Las Vegas, Zion, Bryce, the Grand canyon, and end up back at LAX.

Watch 3 full performances of Wagner's Ring Cycle.

 

A change in Coke's recipe? In a letter to the Food and Drug Administration, the Center for Science in the Public Interest filed a petition charging that caramel coloring contains two cancer-causing chemicals and asking that it be banned. This could affect the recipe for Coca Cola, Pepsi, and many alcoholic beverages.

 

SAN FRANCISCO — U.S. wine exports, 90 percent from California, rebounded to a new record of $1.14 billion in winery revenues in 2010, an increase of 25.6 percent over 2009 wine exports. Volume shipments rose 1.9 percent to 425.5 million liters or 47.3 million nine-liter cases.

 

Healthy Drinking-Canada-An alcoholic drink a day can help keep heart disease at bay, according to a review of 30 years of research. The work, published in the British Medical Journal showed a 14% to 25% reduction in heart disease in moderate drinkers compared with people who had never drunk alcohol. Another article, by the same Canadian research group, showed alcohol increased "good" cholesterol levels. The researchers also say regular moderate drinking reduced all forms of cardiovascular disease by up to 25% .

 

The top 4 Food Trends for 2011 are:

Trend #1 Simplicity- Consumers are demanding more basic foods with fewer ingredients and easier to understand labels.

Trend #2 Lower Calories and less sugar- This comes at the right time for the food industry. Sugar prices are expected to jump as much as 40% this year due to worldwide shortages.

Trend #3 One product that provides multiple benefits- Manufacturers are launching products with healthier ingredient list as well as aiding digestion, calcium intake, anti-oxidents, and providing other health benefits.

Trend #4 Restaurant Quality at Home- The top economic 20% of the population continues to eat out. The other 80% is still feeling the effects of the recession. The would like to eat out but have to watch their wallets. The result is that they are looking for restaurant quality that they can easily prepare at home.

FDA Food Safety Modernization Act (FSMA) goes into effect this year. The act authorizes increased food facility inspections, requires most food companies to develop hazard-prevention plans, and gives the government the ability to mandate recalls of tainted products. Previously recalls were at the option of the food or beverage producer. Look for more regulation of labels, menus, and handling procedures.

 

MillerCoors released a new report showing that the company has already met its goals for 2015 by reducing waste sent to landfills by 20%. At two of its breweries nearly 100% of waste was recycled reducing trash to near zero.

 

Look for already high Bordeaux wine prices to go higher yet. 2009 was a year with a quantity of good wines and high prices. 2010 was another good year, but production was down. U.S. Consumers are balking at French wine prices, but demand from other regions like Asia is keeping prices high.

 

Benedictine is celebrating its 500th anniversary this year. The Benedictine Monks started making this elixir in 1511. The recipe has remained nearly the same for half a millennium!

 

Industry Calendar

03/2 Paso Robles Grand Tasting-LA

03/16 New Zealand Tasting-LA

03/24-25 Brew Expo America-SFO

03/30 Fresh Produce Expo-Pleasanton

04/04 Christermon Golf Tournament-Mission Viejo

 

 

Legislation

Our industry is more controlled by laws than most others. The State Legislature and the ABC give us license privileges and can take them away. New alcoholic beverage laws are being introduced, passed, and sent to the Governor. Many critical issues are pending. Is your business safe? Members are encouraged to look through the Legislative Bulletin. If there is a new law that is a problem for your business, call the association office now. The CBRA is your voice in Sacramento. If you are not a member, join today. The CBRA is your only voice when it comes to new beverage laws.

Brands and Comments

The CBRA Newsletter has not accepted any payment from any of the brands mentioned in this edition. The editor, Ron Ziff, welcomes comments at ron@cbraliquor.org

CBRA Membership Remains Open

Now, more than ever, access to your industry is important. The CBRA is California's only statewide association of licensed retailers, and our membership continues to be open for the first time in 20 years.

At CBRA we deal with licenses and regulations that affect the beverage business on a daily basis. That's why CBRA offers practical solutions, unique products, services, information, and timely advice for both large and small beverage businesses. With reasonable fees, superior service, and associates that are easy to reach, CBRA helps you to run your business better and easier.

California Beverage Retailers Association – We know how to get it done.