R&D Forecast Sunny

Despite an iffy U.S. economy, many technology companies are projecting an increase in R&D intensity, based on a survey conducted by the Industrial Research Institute (IRI), Arlington, VA. The findings are summarized by Jim Scinta, Ph.D., a director of IRI and chair of the organization’s research-on-research committee, in a report titled, "R&D Trends Forecast for 2008."

The survey revealed that 20% of respondents are projecting an increase in R&D intensity. Further, 38% are forecasting a 5% increase in R&D expenditures, a number that outpaces projected sales. Only 11% of respondents anticipate a decrease in R&D expenditures.

According to the report, the focus of most R&D will be toward development of new projects, while fewer dollars will be used to support existing business. "The reduction in support for existing businesses is a trend that has continued throughout this decade," Scinta writes. "This may be a result of planned cannibalization of existing products. While there is not a significant increase in directed basic research, it is noteworthy that this is the first time this decade that this category has not decreased."

Last year’s increase in hiring new graduates continues this year, as does the intent to increase the R&D professional level. "It appears that this hiring is aimed at both replacing retiring workers and supporting the projected higher level of internal research activities," Scinta notes.

This year, forecasts show a significant increase in intent to use outside sources, a trend Scinta says shows strong support for open innovation. Companies are planning to make use of licensing technology from others, research at universities and contracts with federal laboratories, and also aim to participate in joint R&D ventures.

This year, for the first time, the survey asked questions to determine actual spending in 2007 vs. anticipated spending. Results showed that companies, for the most part, matched their budget projections.

In addition to asking about plans for innovation, the survey asked R&D leaders what they view as their biggest challenges. Since 2002, the top three challenges noted have been, and remain: growing the business through innovation; accelerating innovation; and balancing long-term and short-term R&D objectives and focus. Rising steadily is the challenge of attracting and retaining talent.

In summary, Scinta notes: "The 24th IRI Trends Forecast shows that IRI member companies again anticipate strong company support for R&D, as evidenced by a significant increase in overall spending and a strong focus on new business development. R&D leaders will continue to be pushed to grow the business through innovation at an increasing pace."

Soluble-Fiber Claim Amended

FDA amended the health claim, "Soluble fiber from certain foods and risk of coronary heart disease (CHD)" (Title 21 of the Code of Federal Regulations, Section 101.81), to include barley betafiber, the ethanol-precipitated soluble fraction of cellulase and alpha-amylase hydrolyzed whole-grain barley flour, as an additional eligible source of beta-glucan soluble fiber. FDA took this action in response to a petition submitted by Cargill, Inc., Minneapolis.

Wanted: Helping Hands

Attendees at the 2008 IFT Annual Meeting & Food Expo, June 28 to July 1, New Orleans, can help fight hunger in southern Louisiana. The Institute of Food Technologists, Chicago, is offering attendees the opportunity to sort surplus grocery items; pack donated foods for distribution to needy families; deliver food to needy families; and stuff backpacks with meals and snacks for children. For more information and to sign up, log on to www.ift.org.

Call for Salty Entries

The 5th annual Search for the Seasoned Chef Recipe Contest, sponsored by Diamond Crystal® kosher salt, Cargill, Inc., Minneapolis, is underway. Chefs-in-training must submit their original recipe featuring Diamond Crystal kosher salt on or before midnight May 5, 2008. One grand prize winner will receive $5,000 and will be featured in an advertisement in an industry magazine.

Survey Says: Almonds

In a 2007 survey by the Sterling-Rice Group, Boulder, CO, commissioned by the Almond Board of California, Modesto, 31% of 388 foodservice and consumer packaged-food professionals selected almonds as their preferred nut ingredient. Plus, 33% ranked almonds’ health attributes as an extremely important reason to add them to new products.

Efficiency Training

Presented by the New Jersey Manufacturing Extension Program (NJMEP), Morris Plains, the full-day "Principles of LEAN Food Production" workshop helps food manufacturers identify the "eight wastes" in production operations, differentiate between value-added and non-value-added activities, and apply various LEAN implementation tools in a simulation setting. For more information and to register for the April 16 workshop, log on to www.njmep.org.

Robertet Invests in Organics

The Robertet Group, Grasse, France, announced its investment in Plantes Aromatiques du Diois, a French company specializing in organic essential oils and aromatic plants.

PCI Buys Givaudan Unit

Givaudan Flavours Corporation, Vernier, Switzerland, sold its St. Louis–based food ingredient business and manufacturing facility to PCI Company, St. Louis, owner of Diehl Food Ingredients, Sensory Effects™ and Emulsion Technology, Inc.

DSM Acquires CMT

DSM Food Specialties, Delft, the Netherlands, acquired CMT Srl, Brescia, Italy, producer of the Copan Milk Test, a microbiological test for the detection of antibiotic residues in milk.

Cargill Earns ARS Award

Scientists from USDA’s Agricultural Research Service (ARS) and Cargill, Minneapolis, received the ARS "Superior Technology Transfer Award" for developing sucromalt, a natural sweetener that delivers the full energy of regular sugar with a lower glycemic index. The award recognizes ARS scientists and partners who develop new technology and transfer it to the marketplace.

Cognis Opens in India

Cognis, Monheim, Germany, has opened a liaison office in Mumbai, India, that will be responsible for strengthening relationships with existing customers, identifying and initiating new business opportunities, and promoting the Cognis brand in local markets.

BI Enters Eastern Canada Market

BI Nutraceuticals, Long Beach, CA, named CK Foods, Toronto, as its exclusive distributor for eastern Canada, including Ontario, Quebec, New Brunswick, Nova Scotia, Prince Edward Island, and Newfoundland and Labrador. CK Foods will distribute BI’s library of more than 700 ingredient and functional food offerings.

Fonterra, Danisco Sign Licensing Agreement

Danisco, Copenhagen, Denmark, obtained long-term access to two probiotic strains in a new license agreement with Fonterra, Auckland, New Zealand. The agreement also marks Danisco’s launch of the strains, Howaru™ Bifido and Howaru™ Rhamnosus, in the dietary-supplement market.

Wild Distributes Chitosan Ingredient

Wild Flavors, Inc., Erlanger, KY, entered into an agreement to distribute OligoFlex®, manufactured by Diversified Natural Products (DNP), New York. The natural ingredient is derived from a patented enzymatic hydrolysis of chitosan, specifically designed to aid joint health.

Takasago News

Takasago Flavors, Rockleigh, NJ, in partnership with Peace River Citrus Products, Inc., Vero Beach, FL, is set to open the Takasago Citrus Center in Florida for citrus flavor production and R&D. Takasago also completed expansion of its New Jersey flavor-applications facility.