April 11, 2025

Please see below for a listing of what the North Point Food & Beverage Team has been tracking this week. We hope that you find the content insightful and a nice way to summarize the most noteworthy Food & Beverage events of the week.

Have a nice weekend!

Glen Clarke

Head of Food & Beverage

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Unilever hires banks for ice cream division listing.

• Unilever has mandated banks for the listing of its ice cream division, two sources familiar with the process said.

Source: Mergermarket

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Cal-Maine Foods to acquire Echo Lake Foods for approximately USD 258m.

• Cal-Maine Foods, Inc., reported financial and operational results for the third quarter of fiscal 2025 (thirteen weeks) ended March 1, 2025. Subsequent to the end of the fiscal quarter, the Company also announced it entered into a definitive agreement to acquire Echo Lake Foods, Inc.

Source: Mergermarket

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Grupo Herdez proposes to spin off, list Grupo Nutrisa.

• Grupo Herdez, S.A.B. de C.V., hereby announces that on April 23, 2025, it will propose to its shareholders’ meeting, among other matters, the potential distribution of a dividend in kind.

Source: Mergermarket

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Starday attains USD 20m funding with USD 11m Series A round.

• Starday, the AI-driven food innovation company reinventing category growth, announced today it has raised USD 11m in Series A funding to accelerate retail expansion and develop first-of-its-kind partnerships with retailers and CPG brands to create bespoke products.

Source: Mergermarket

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GrubMarket acquires Delta Fresh Produce.

• GrubMarket has acquired Delta Fresh Produce, a major Nogales, AZ-based distributor specializing in Mexican-grown fresh produce like tomatoes, cucumbers, peppers, and grapes.
• Delta Fresh brings a large farming and distribution network across Mexico and supplies major retailers (Walmart, Kroger) and restaurant chains (Subway, Chipotle), with a reputation for food safety and operational excellence.
• The acquisition expands GrubMarket’s national produce capabilities and gives Delta Fresh access to GrubMarket’s AI-powered software tools for supply chain optimization, financial management, and eCommerce growth.

Source: Produce Bluebook

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SK Capital Partners sells Florachem to Tradebe Life Sciences.

• An affiliate of funds advised by SK Capital Partners, LP, a private investment firm focused on the specialty materials, ingredients, and life sciences sectors, announced today that it has completed the sale of Florachem Corporation to Tradebe, a global business group dedicated to sustainability.

Source: Mergermarket

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Trump pauses most tariffs for 90 days.

• President Trump announced a 90-day pause on most U.S. country-specific tariffs (excluding China), with a 10% baseline tariff applied during the interim to encourage trade negotiations with over 75 countries.
• The European Union responded by suspending its planned retaliatory tariffs on U.S. products, worth up to €26 billion, giving both sides time for negotiation.
• The U.S.-China trade war continues to escalate, with U.S. tariffs on Chinese goods raised to 125%, while China retaliated with tariffs up to 84% on American exports, threatening to significantly reduce global trade and GDP growth.

Source: Food Dive

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Detailing China’s tariffs on US food exports.

• China imposed a 44% tariff on US soybean exports starting April 10, 2025, in retaliation to new US tariffs on Chinese goods, intensifying the ongoing trade war.
• Other US agricultural exports affected include sorghum, dairy, poultry, meat (44%-49%), wheat (49%), and corn (49%), impacting over $15.7 billion worth of trade.
• With China shifting more soybean purchases to Brazil and US soybean planting acreage decreasing by 4.1% for 2025, US farmers face increased market challenges and uncertainty.

Source: Meat + Poultry

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USDA updates retail dollar limits for meat, poultry sales.

• The USDA’s FSIS updated the 2025 retail dollar limits for meat sales to $103,600 and poultry sales to $74,800 for exemption eligibility under federal inspection rules.
• These limits control how much meat and poultry a retail store can sell to hotels, restaurants, and institutions without requiring federal inspection.
• The limits increased due to 2024 CPI data, showing a 2.85% price rise for meat and a 0.83% rise for poultry, leading to respective increases of $2,700 and $600 in retail dollar limitations.

Source: Meat + Poultry

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Grocers have the meats.

• Meat department sales hit a record $104.6 billion in 2024, with 98.2% of U.S. households buying meat and poultry, and shoppers making an average of 54 meat purchases annually.
• Fresh meat outperformed processed meat, with consumers showing growing interest in value-added, deli-prepared, and convenient meal solutions like marinated or ready-to-cook meats.
• Grocers like Whole Foods and SpartanNash are standing out by promoting humane sourcing, sustainability, wellness benefits, and quick-prep meal solutions, while consumers show increasing openness to trying new cuts of meat when provided with recipes and cooking guidance.

Source: Grocery Dive

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Ethnic meat demand poised for long-term growth.

• The global ethnic food market is projected to grow from $81.6 billion in 2023 to $153.2 billion by 2032, with increasing consumer demand for ethnic meat and poultry products, especially among Millennials, Gen Z, and Hispanic consumers.
• Popular ethnic flavors driving growth include Asian, Latin American, and Mediterranean, with manufacturers like Tyson Foods and Synear Foods expanding offerings such as teriyaki steaks, dumplings, and marinated meats to meet evolving tastes.
• Consumers value authenticity, convenience, and premium ingredients, while brands use in-store demos, cultural promotions, and influencer marketing to educate shoppers and promote ethnic meat products.

Source: Meat + Poultry

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Egg prices hit another record high ahead of Easter.

• Egg prices reached a record high of $6.23 per dozen in March 2025, driven by supply shortages from bird flu outbreaks that killed over 30 million birds since January.
• With outbreaks declining and wholesale egg prices dropping in key markets, the USDA expects retail prices to gradually decrease as egg supplies rebuild and shelves restock.
• Despite improving supply conditions, thin chicken flocks and ongoing DOJ investigations into potential price gouging by egg producers like Cal-Maine keep consumer price relief uncertain in the short term.

Source: Food Dive

Vermont Smoke & Cure expands Costco partnership.

• Vermont Smoke & Cure, owned by Johnsonville, is expanding distribution of its premium meat snacks into additional Costco locations across the Northeast, including Connecticut, Massachusetts, New Hampshire, New York, and Vermont.
• The company is launching a new Hickory Smoked Premium Beef Stick made from hand-trimmed, antibiotic-free, hormone-free beef, slow-cooked for 18+ hours and smoked with hardwood chips.
• Vermont Smoke & Cure’s strong sales velocity and focus on quality at a competitive price point drove Costco’s interest in expanding the partnership.

Source: Meat + Poultry

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Plant-based meat alternatives fall short in texture, flavor taste test.

• Nectar’s Taste of the Industry 2025 report found plant-based meat alternatives struggle with flavor and texture, key barriers to consumer acceptance.
• Categories like chicken filets, nuggets, burgers, and breakfast sausages performed better, with over 40% of consumers rating them equal to or better than traditional meats.
• Areas needing improvement include aftertaste, savoriness, juiciness, and tenderness, while consumers prefer products with low calories, high protein, and low sodium content.

Source: Meat + Poultry

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MycoTechnology’s honey truffle sweetener receives GRAS approval.

• MycoTechnology received GRAS (Generally Recognized As Safe) approval for its new honey truffle-based sweetener, ClearHT, which enhances flavors like caramel and citrus while masking undesirable tastes.
• ClearHT is designed to help food and beverage companies meet consumer demand for healthier ingredients with better taste profiles, using only small amounts to modify sweetness and flavor perception.
• The product will launch in early 2026 in GRAS-accepting countries, as MycoTechnology shifts focus away from plant-based meat to its sweetener portfolio amid challenges in the alternative protein market.

Source: Food Dive

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Mondelēz investing $79M in Switzerland Toblerone factory.

• Mondelēz International is investing $79 million into its Toblerone factory in Bern, Switzerland, aiming to expand production capacity and strengthen its position in the premium chocolate market.
• The investment includes a state-of-the-art production line, facility upgrades, and logistics improvements to meet growing global demand for Toblerone, despite high cocoa prices and market volatility.
• This move supports Mondelēz’s goal to become the world’s top chocolate company by 2030, leveraging its strong chocolate portfolio, including brands like Cadbury and Milka, and expanding its premium product offerings.

Source: Food Dive

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PepsiCo’s Life launches multigrain cereal aimed at family wellness.

• PepsiCo’s Life brand launched Mighty Life, a new multigrain cereal targeting family wellness, available in Strawberry Blueberry Bliss (for immunity support) and Very Vanilla (for bone health).
• The cereal offers 34 grams of whole grains per serving, added vitamins and minerals, and contains no artificial flavors or colors, aiming to attract health-conscious consumers.
• This innovation comes as the cereal market declines (-1.7% expected in 2025), with big brands like PepsiCo, Kellogg, and General Mills shifting toward functional, protein-rich, and better-for-you cereal offerings to compete with rising alternatives like yogurt, protein bars, and overnight oats.

Source: Food Dive

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Bazooka Brands opens multimillion-dollar Ring Pop plant.

• Bazooka Brands opened a new 120,000-square-foot manufacturing plant in Moosic, Pennsylvania, capable of producing 1.5 million Ring Pops per day to meet rising consumer demand.
• The new facility, funded by Apax Partners, replaces the original Scranton factory that operated for 47 years before closing due to structural issues, and was operational within six months.
• Bazooka, leveraging nostalgia marketing, expects company sales to surpass $100 million in 2025, as the U.S. candy market is projected to reach $22.9 billion by 2030.

Source: Food Dive

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Post to shutter 2 cereal plants, cut 300 jobs.

• Post Holdings will close its cereal plants in Cobourg, Ontario, and Sparks, Nevada, by the end of 2025, cutting approximately 300 jobs, as demand for traditional cereal continues to decline.
• Changing consumer preferences toward low-carb diets, lower sugar intake, and convenient alternatives like protein bars and yogurt have contributed to a projected 1.7% cereal market revenue decline to $11.8 billion in 2025.
• Post plans to consolidate production at other facilities and expects pretax charges of $63.5 million to $67.5 million from the closures, while optimizing its North American plant network for efficiency.

Source: Food Dive

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Texas AG investigating Kellogg over ‘unhealthy’ cereal claims.

• Texas Attorney General Ken Paxton is investigating WK Kellogg Co for allegedly misleading consumers by marketing cereals containing artificial food dyes as "healthy," violating state consumer protection laws.
• The probe aligns with President Trump's Make America Healthy Again initiative, pressuring food companies to remove additives like artificial colors linked to obesity, autoimmune diseases, and cancer.
• Despite Kellogg's 2015 pledge to remove artificial dyes from U.S. cereals by 2018, many products like Froot Loops and Apple Jacks still contain them, sparking criticism and consumer protests.

Source: Food Dive

JUST FOR FUN

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Leftovers: Reese’s bites into PB&J with latest flavor | Mondelēz gives Clif Bar a caffeine boost – Food Dive

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