This week in industry news, Diageo expanded operations with a US$415 million investment in a US manufacturing facility, and J.M. Smucker Co. sold its Cloverhill and Big Texas brands to a foodservice ingredient manufacturer. Meanwhile, FoodChain ID entered a partnership to monitor human rights along global supply chains for food industry workers, and Good Food Institute Europe analyzed the UK’s investment in alt-proteins.

Business highlights

Alcoholic drinks manufacturer Diageo invested approximately US$415 million in a new manufacturing and warehousing facility in Alabama, US. The move aims to expand its operations in the South, reduce required road travel, and mitigate carbon emissions associated with logistics operations. The new facility will be referred to as Diageo Montgomery, creating 100 jobs when operational.

US-based J.M. Smucker Co. announced plans to divest its Cloverhill and Big Texas brands, as well as certain private label products to JTM Foods, which manufactures culinary ingredients for foodservice and retail products like sauces, soups, sides, dips, pastas, scrambles, and taco fillings. The all-cash transaction is valued at approximately US$40 million, with possible price adjustments based on finances. The sale includes trademarks, licenses, and a factory in Chicago, Illinois.

Kellanova announced its fourth quarter organic net sales grew by 7% and 5.6% for the full year, despite a reported net sales decline of 1.6% in Q4 and 2.8% for the full year due to currency impacts. In North America, reported sales decreased by 2% in Q4, but operating profit grew 28% due to lower costs, while in Europe, they decreased by 2% in Q4. Still, operating profit increased by 24% due to cost savings. It said the pending merger with Mars will decide its future strategy, and regulatory approval is the company’s next major milestone for completion this year.

Analysis by The Good Food Institute Europe revealed that the UK government has invested £75 million (US$93 million) in alternative protein innovation since the 2021 National Food Strategy which recommended policies to boost alt-proteins like plant-based, cultivated meat, and fermentation-based. It also highlighted significant progress in alt-protein research, making it Europe’s second-largest public funder after Denmark. However, it found regulatory approval processes to be slow.

Launches and innovation

Egg Breakers USA launched an automatic countertop egg-breaking machine for the foodservice industry. It enables restaurants, bakeries, and hotels to use fresh shell eggs instead of relying on pasteurized liquid eggs. This enhances food quality while also reducing labor costs and increases efficiency. The patent pending innovation cracks 360 eggs in less than one minute and is made from stainless steel for longevity and hygiene.

Sustainable indoor farming company Edible Garden tested its nanobubble technology at its New Jersey facility, revealing a 55% improvement in crop yield and 30% faster harvest times. The technology enhances water oxygenation, improves nutrient uptake, and strengthens pathogen control. The project was conducted with Brisea Group, the New Jersey Commission on Science, Innovation, and Technology, and the New Jersey Institute of Technology.

Food scientists at Washington State University developed value-added healthy pancakes by replacing refined flour with whole-grain buckwheat, quinoa, millet, and whole-wheat flours in percentages ranging from 25% up to 100% apiece. Other ingredients like leavening system, sugar, oil, flour and salt remained constant. The results were published in the journal Cereal Chemistry, and the study was a part of WSU’s Soil to Society project, which aims to increase food nutrient values.

Other highlights

FoodChain ID partnered with human rights data provider &Wider to check and improve working conditions in supply chains through risk-based monitoring and auditing of worker conditions and engagement. Their service supports big brands in ensuring the fair treatment of workers and meeting the EU’s new rules on sustainability and transparency, such as the Corporate Sustainability Due Diligence Directive and the Corporate Sustainability Reporting Directive.