Local companies urged to tap US’ specialty food market

Local food manufacturers are urged by the Center for International Trade Expositions and Missions (CITEM), the export promotions body of the Department of Trade and Industry (DTI), to link with established US food buyers and learn first hand insights into consumer preferences.

"The specialty foods’ retail market size in US is now US$ 34 billion, growing at 15.1%, primarily through supermarkets and mass merchants," said Trade Assistant Secretary and CITEM Executive Director Felicitas Agoncillo-Reyes. "Condiments are the largest in this food category, representing 21% of the specialty food sales. On the other hand, yogurt and kefir, followed by juices and functional beverages, are the fastest growing specialty foods." She also mentioned that there are more than 1,000 specialty beverages launched in US alone.

On May 6-8, the Philippines will join the FMI Show at Chicago, Illinois. It is an event in North America where the world’s top food retailers and wholesalers come together every year to learn the latest tools for expanding market reach, keeping business on the cutting edge, and meeting the demands of busy consumers.

Agoncillo-Reyes noted that this is the first time Philippines will join the FMI Show. The local food companies’ participation in this food fair is said to be a follow-up event to the Philippine Food Business Mission to East and West Coasts, USA held last November 2004, as the US mainstream market continues to be a vital goal for Philippine food exports.

Market trends in US include convenient foods with extreme portability and one-handed eating/drinking (based on a growing number of consumers who snack while driving), foods with Asian flavors (i.e. pairings of fiery and cool ingredients, sweet and spicy, tart and salty), and foodstuffs with various health benefits (as 70% of US adults are trying to eat nutritional foods).

The new FMI Show is combined with Marketechnics, the industry’s foremost showcase of retail technology. It is where supermarket and other retail industry professionals learn how the latest information technology can improve efficiencies, lower costs, and increase productivity.This fair is also co-located with four big industry events: the Fancy Food Show, All Things Organic, US Food Export Showcase, and the United Produce Expo. Last year, these combined shows created an excellent market of 1,800 exhibitors with 150,000 food products, attracting 30,000 trade professionals.

Products that will be promoted in the FMI Show are fresh tropical/processed fruits, packaged food, fresh/processed vegetables, canned meat, value-added marine products, restaurant meals, and specialty foods such as delicatessen sauces and seasonings, confectionery, and snack products.

The Food Marketing Institute, the organizer of the FMI Show, is the leading representative and resource for food retailers and wholesalers worldwide, with 2,300 member companies in more than 60 countries. FMI’s US members operate approximately 26,000 retail food stores with a combined annual sales volume of US$ 340 billion—three quarters of all food retail stores in the United States.

For information on joining the Philippine delegation to the FMI Show in Chicago, please call CITEM, Agri-Marine Division at 831-1282, 831-2201 locals. 204 and 238 or e-mail: agrimarine@citem.com.ph.