8/25/2016

GRASAS SATURADAS:

SUPERANDO LA BARRERA DE LOS ACEITES PARCIALMENTE HIDROGENADOS

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Rafael Urquizas Contador

8/25/20162

Speaker

Food Engineering graduated by theUniversity of Campinas in Brazil with aspecialization in business administration.More than 8 years of experience in theB2B ingredient market for Latin Americaworking in many positions of key accountmanagement, project management andbusiness development. With technicalbackground in bakery, dairy,confectionary and other foodscategories, Rafael is currently theBusiness Development Manager ofCorbion for Food & Beverage segment inLatin America, responsible to developthe market strategy for this region.Member of the global core team forFoods and Bakery market.

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1. Setting the Stage

2. Understanding Your Non-PHO Alternatives

3. ENSEMBLE™ Non-PHO Emulsifiers

4. Questions

Agenda

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Setting the Stage

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The Race to Non is ON

7/11/2003FDA rules to require

trans-fat labeling on the nutritional facts panel

1/1/2006Trans-fat labeling law

goes into effect

11/07/2013FDA announces tentative determination to revoke

GRAS status on PHO

11/07/2014International Life Sciences

Institute presents toxicology data to the FDA demonstrating

trans fat is detrimental to cardiovascular health at any

level

6/17/2015FDA revokes

GRAS status on PHO for food use

6/18/2018FDA requirement

for full compliance with new regulation

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Five Key Factors

FDA Mandate

PHO Supply

Testing & Evaluation Times

International Ripple Effect

Consumer Demands

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• Compliance required by June 18, 2018

• Not complying means exposure to legal actions

• FDA not providing litigation protection

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FDA MandateThere’s no snooze button on this clock

439 business days from today PHOs will no longer be allowed in the food supply!

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• Demand for PHOs going down

• Oil suppliers drastically limiting supply

• Some suppliers exiting the PHO market completely

• With less supply available, costs will rise

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PHO Supply

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• Reformulation efforts can take as long as 18 months

• Need time to researchnon-PHO options

• Requires time to consider the functions that alternate ingredients must accomplish

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Testing and Evaluation Time

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• Other countries considering their own legislation for trans fat

• Europe evaluating a potential ban on trans fat

• Affects formulations of products intended for export

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International Ripple Effect

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of the survey respondents stated they are trying to limit or avoid trans fat altogether.

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Consumer Demands

88%

58%

49%

of Americans have given some thought to the ingredients in their foods and beverages in the past year with two out of five giving a lot of thought to the ingredients.

of consumers consider trans fat when making decisions about buying packaged foods or beverages.

Source: 2016 Food and Health survey conducted by the International Food Information Council Foundation (IFIC)

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Consumers Want to Know What “to Eat,” Not What “Not to Eat”

Source: Technomic

YESTERDAY

• Low calorie

• Low fat

• Low sodium

• Denial

• Diet

“What you shouldn’t have”

TODAY

• Less processed

• Preservative free

• Moderation

• Trans fat free

• Whole grains

• Protein

• Fiber

“What food should be”

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Consumers’ Health Concerns are Similar With Retail and Food Service Sweet Baked Goods

Source: Corbion Proprietary Research, October 2014

10/18/2016

52.5

52.7

61.1

61.7

62.1

66.0

66.9

67.6

68.3

68.4

68.8

69.0

69.9

70.1

71.7

72.5

72.7

Gluten Free

Stays fresher longer

Organic

GMO Free

No fructose

No artificial colors

No PHOs

Low/reduced fat

Minimally processed

No artificial flavors

No added sugar

Low/reduced sodium

Low/reduced total sugar

No HFCS

No artificial preservatives/additives

No trans fat

All natural

Sweet Baked Goods Shoppers Association with Better For You Products

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Among Noted Ingredients, PHOs are Least Accepted by Consumers of Bread Products

40

38

37

36

33

33

32

32

28

24

42

42

46

47

51

45

48

46

49

46

18

20

17

17

16

22

20

22

23

29

Partially hydrogenated oils (PHO's)

Calcium Peroxide

Ethoxylated monoglycerides

Azodicarbonamide (ADA)

DATEM

Potassium Bromate

L-Cysteine

Potassium Iodate

Calcium Propionate

Vital wheat gluten

% 1,2,3 % 4 % 5,6,7

Likelihood to Purchase Product Containing Ingredient

Definitely would purchaseDefinitely would not purchase

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BASE: TOTAL BREAD RESPONDENTS (N=507)Q: [BREAD PRODUCTS]. IMAGINE THAT YOU WERE INFORMED THAT ONE OF THE [BREAD PRODUCTS] THAT YOU PURCHASE FREQUENTLY CONTAINED ONE

OF THE INGREDIENTS BELOW. FOR EACH INGREDIENT, HOW LIKELY WOULD YOU BE TO PURCHASE THIS PRODUCT?

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Manufacturers Use of the “No Trans Fat” Claim

0

2,000

4,000

6,000

8,000

10,000

2004-2007 2008-2011 2012-2015

No Trans Fat Claim

Source: Innova Database

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How Much of an Impact do the Following Have on Your Decision to Buy Foods and Beverages?

(% Rating 4 to 5 on 5-point scale, from No Impact to A Great Impact)

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Taste and Price Have Always Trumped Health and Other Product Attributes

85%88%

84%87% 86% 87% 87% 89% 90%

83% 84%

64%

72% 70%74% 73%

79%

73% 71% 73%68%

71%

58%

65%62% 61%

58%66%

61%64%

71%

60%64%

48%

55% 55%52%

56%58%

53%56%

51% 52% 52%52%

35% 36%

38%

35%41%

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Taste

Price

Healthfulness

Convenience

Sustainability

Source: 2016 International Food Information Council Food and Health Survey

8/25/2016

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Food and beverage manufacturers face a critical challenge:

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What do These Factors Mean to You?

To find and implement non-PHO ingredients that are effective,

easy-to-use AND won’t affect the quality of the finished products.

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Understanding Your Non-PHO Alternatives

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• Promote greater tolerance to process and ingredient variation

• Extend shelf life

• Improve eating quality

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The Role of Bakery Emulsifiers

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Commercial Emulsifiers Utilized in Bakery(Denoting Source-fat Designations)

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• Shelf life

• Handling properties

• Functionality

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Key Considerations for Bakery Monoglycerides

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Partial Hydrogenation Process

• Very flexible and cost effective platform for dialing in the desired chemical and physical attributes of commodity oils (soybean, canola) such as:

• Oxidative and color stability

• Crystallization behavior

• Hydration and melt onset

8/25/2016

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A Variety of Options are Available to Manufacture Non-PHO Emulsifiers

Non-PHO Option Pros Cons

Palm & Palm Fractions

• Readily available worldwide

• Experience flavor and color reversion• Compromise processing (crystallization)

Polyunsaturated Oils (Rapeseed, Sunflower & Soybean Oil)

• Perceived to be healthier than saturated fats

• Compromises in physical and chemical attributes• Oxidative stability• Color• Flavor

Fully Saturated Soy & Palm Oil

• Alone can provide the required crystallization properties to allow excellent powder production and stability

• Without the incorporation of unsaturated components, they lack the functional properties such as hydration of the particles required to make them cold-water dispersible.

Not every solution is equal in terms of performance and ease of handling:

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Avoid a Complete Overhaul of Your Processes

• To keep business booming, a drop-in solution is your best bet

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ENSEMBLE™ Non-PHO Emulsifiers

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• ENSEMBLE non-PHO emulsifiers deliver drop-in functionality

• Proprietary blend of oils

• Maintain flavor and texture

• No sacrifice in quality, handling or shelf stability

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ENSEMBLE™ Makes Going Non-PHO Simple

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What Can Drop-in Functionality do for You?

Maintain Functionality

Preserve Product Handling

Sustain Quality Attributes

Minimize Reformulation Hurdles

Decrease Reformulation Costs

Avoid Production Disruptions

Simplify Formulation Efforts

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ENSEMBLE™ Mimics PHO Performance in Applications

% of Panelists Unable to Detect a Difference Between Products

Added in Concentrate Added at Bowl

HoneybunNearly

60% Over

80%

Muffin 100%Nearly

70%

Sweet Baked Goods Sensory Analysis

Sweet Baked Goods Sensory AnalysisNo significant difference in performance between PHO emulsifiers and ENSEMBLE

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ENSEMBLE™ Mimics PHO Performance in Applications

White Bread (Sponge and Dough) Analysis

Sweet Baked Goods Sensory AnalysisNo significant difference in performance between PHO emulsifiers and ENSEMBLE

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When compared to ENSEMBLE, palm-based powdered emulsifiers:

• Demonstrate inferior thermal stability

• Exhibit poor powder quality

• Result in handling challenges

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ENSEMBLE™ Meets High Standards for Performance

When compared to ENSEMBLE, palm-based plastic mono-diglycerides:

• Result in a much firmer texture

• Provide creaming challenges when added directly to application

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ENSEMBLE™ Outperforms Palm-based Emulsifier Options

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ENSEMBLE™ Outperforms Palm-based Emulsifier Options

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Tune-up Your Products

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BFP®

Alphadim®

GMS 90®

Starplex®

Release Cote®

Atmos®

Bake-Well®

SpraFilm®

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ENSEMBLE™ Portfolio

ENSEMBLE

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Questions