D-Day looms for French researchers
US grows 0.6%; Pepsi wins
American flavours house expands into Europe
Mendocino bans GM crops, stock
Loders’ US firm wins patent battle
Aventis repays 327m euro to Bayer
SW England to bid to Champagne status

Research

D-Day looms for French researchers

Tomorrow is the deadline for government researchers to resign en masse if the French government does not reinstate 550 jobs and pay money owed from 2002 for research projects.

Last week saw one-day strike by researchers in Paris to signal their seriousness. A citizens’ petition supporting the scientists has attracted over 100,000 signatures.

Last week, the French government said it would reinstate 120 of the 550 research posts it cut last year. The protesters say this is two per cent of the support the restaurant industry received in the 2004 budget.

A report in The Scientist quoted Bernard Dujon of the Pasteur Institute saying "The state of our universities is not worthy of an industrialised country." Jobs are scarce, especially for young graduates, many of whom have to look abroad for work.

The Scientist reported that more than 58,000 French researchers signed a petition in protest of their government's "planned destruction of the scientific engine." The government had to make "symbolic gestures" to show it is willing to work with its scientists toward a scientifically productive future, or those signatories that run research units and labs will resign their administrative responsibilities.

So far, the government has promised to pay their 300 million euro "debt" from the 2002 budget, reinstate 120 posts, and hold a national consultation on the future of research.

CSDs

US grows 0.6%; Pepsi wins

The US carbonated soft drink (CSD) industry grew volume by only 0.6 per cent overall for 2003, a drop from 2002’s 0.8 per cent, and a far cry from the 2-4 per cent rates of the 1990s, according to the new Beverage Digest/Maxwell all-channel data. In 2003, the industry's total sales were $63.8bn, and total volume was 10.1 billion cases.

PepsiCo posted the best corporate performance, thanks mainly to Sierra Mist and Diet Pepsi. In the early part of 2003, Sierra Mist reached nearly national distribution, boosting its volume significantly. PepsiCo's CSD volume was up 1.8 per cent, and it gained 0.4 market share points. Its 31.8 market share of carbonated drinks is its highest since 1992.

Market leader Coca-Cola’s US CSD volume was down slightly in 2003, as was its market share as Vanilla Coke sales matured. Cadbury Schweppes' US CSD business lost volume and market share last year. Its 7UP was down significantly, as much of the brand's volume moved from the Pepsi bottling system to the independent bottling system. Dr Pepper also lost volume and share. However, Diet Dr Pepper grew 8.4% and just missed the top-10 list. In 2002, it was the #10 brand, but was displaced last year by PepsiCo's Sierra Mist.

Toronto-based Cott, the leading producer of private label CSDs enjoyed a good 2003, gaining volume and share, mainly as the result of organic growth and some acquisitions.

The industry's volume last year totaled about 10.1bn 192-ounce cases, up slightly from 2002. Beverage Digest estimates the retail value of the industry grew 1.5 per cent to about $63.8bn, up from $62.9bn in 2002. Coke, Pepsi and Cadbury accounted for about 90 per cent of industry volume.

The bottled water category continued to grow strongly last year. PepsiCo's Aquafina and Coke's Dasani are the top two bottled water brands in the US. Each sold more than 200 million cases last year to record double-digit growth. This makes them larger than all but the top seven CSD brands.

Ingredients

American flavours house expands into Europe

FONA, the US flavours house, starts European operations next month from new office and labora tori es just outside London.

Fona makes flavours for the bakery, confectionary, beverage, dairy, prepared foods and nutraceutical sectors. Its European base is at the Leatherhead Enterprise Centre, conveniently just off the M25, midway between Heathrow and Gatwick airports.

It will hold an introductory seminar on its products at head office on 15 April. Michelle Green , FONA’s European commercial manager sid the creation of a European base will strengthen the service available to FONA’s American customers’ European operations and will provide a platform for a planned expansion in Europe . “Not only will we provide localised R&D and sales support but we will also be manufacturing in the South East of England, shortening response times and adding to the flexibility with which we can satisfy our customers’ needs.”

For details call Garry Mortimer-Cook or Andy Smith on +44 (0)1372 74556.

GM

Mendocino bans GM crops, stock

A California county has become the first US municipality to ban production of genetically engineered crops and animals. The move parallels similar bans by British and European counties, and suggests a growing scepticism about the claims of seed companies and government assurances.

Voters in other California counties such as Sonoma and Humboldt may follow Mendocino’s lead, despite active campaigning by CropLife America, a group funded by agri-business interests, to defeat the proposal.

IP

Loders’ US firm wins patent battle

Natural USA has agreed to pay Lipid Nutrition, a division of Netherlands-based ingredients maker Loders Croklaan, an undisclosed amount to settle a patent infringement action brought in January. Loders Croklaan USA claimed that Natural infringed certain of its US patents covering processes for manufacturing conjugated linoleic acid (CLA).

Lipid Nutrition supplies lipid ingredients from natural origin, which improve and maintain health and well-being. The company offers a variety of branded products, including Clarinol CLA for weight management, Marinol concentrated fish oils for heart health, Safflorin isomerised safflower oil for immune health, Membranol phosphatidyl choline enriched lecithin for liver health and brain development, and Betapol human milk fat replacer for infant nutrition.

Business

Aventis repays 327m euro to Bayer

Chemicals giant Aventis has agreed to repay 327 million of the 7.25 billion euros that Bayer paid for Aventis CropScience, the former Aventis agricultural division that Bayer acquired in 2002. The repayment relates to discrepancies in valuation of certain purchase price components, such as working capital and net debt.

Brands

SW England to bid for Champagne status

Britain’s southwest, already a tourist haven, aims to use new European legislation to lever its food and drink products into a brand as well known as Champagne.

This plan, based on local sourcing, comes from a new report, On Tomorrow's Table, published by Grayling Public Relations in association with the Marketing Society.

The South West Regional Development Agency (SWRDA) had already created a new brand identity for local food and drink manufacturers. Marketing directors can claim a free copy by calling Nicole Bowman or Amy Shackleton on +44 (0)117 922 7799.