According to a Euromonitor report, the growth in private label juice is being driven by changing perceptions of these products among consumers. The previous image of private label juice as inferior is being targeted. Retailers are driving home the message that private label juice is just as good as branded products.
Fruit juice and the sugar tax
Sugar tax will be introduced on sugar sweetened beverages from 1 April 2017. It has been proposed that beverages containing intrinsic sugars should be excluded from the tax. This includes unsweetened milk and milk products, and 100 per cent fruit juice.
Rudi Richards of the South African Fruit Juice Association (SAFJA) puts the viewpoint of the association into perspective, ‘In principle, SAFJA shares the concerns regarding health issues and in particular, obesity. We will continue to address these concerns through voluntary industry initiatives. This includes the science-based promotion of a balanced diet within a healthy lifestyle. We are of the view that taxation in isolation will not achieve the required health results. If such a tax is implemented, tax revenues should be reallocated to broader health initiatives. This should include education and programmes in terms of dietary intake and physical exercise.’
The organisation also supports the exclusion of 100 per cent fruit juice. These products feature no added sugar and offer well established nutritional benefits. The exclusion is in line with international practice. ‘Given that recommended amounts of fruit are not currently consumed, this confirms the essential place of 100 per cent fruit juice in a healthy eating pattern,’ Richards enthuses. ‘The introduction of a tax of this magnitude will have a significant financial impact on the beverage industry. It would also result in substantial price increases to consumers. It is imperative to ensure that 100 per cent fruit juice remains excluded in the final implementation. We are very concerned about the possible negative impact on the remainder of the fruit juice category.
‘SAFJA is in continued consultation with the National Treasury on behalf of the fruit juice industry in order to debate the introduction of a sugar tax. If implemented it must be based on sound, fair and practical principles,’ Richards concludes.
When technology matters
Traditional processing methods in the food and beverage industry (mainly heat) often alter a product’s flavour and nutritional profile. The fastest growing non-thermal technology is high pressure processing (HPP). Since the first installation of HPP equipment in 1990, the sector has seen significant growth. This year alone, more than 350 units of HPP equipment was installed globally.
In 2013, Avoland installed HPP equipment at its facility in Limpopo. Companies like Westfalia have also contributed to HPP market growth in South Africa through the acquisition of Hiperbaric equipment in 2014. Fruit juice processor, In2juice, is continuing to expand the use of HPP technology in the field of fruit juices.
Currently, juice and beverages is the fastest growing sector for HPP equipment. This is partly due to constant innovation and flexibility of the equipment. Yareth Hernandez Acosta, food technologist at Hiperbaric explains, ‘When a conscious consumer is looking for a juice, they look for the contents of fruit and vegetables – nothing else. A drink that supplies vitamins and minerals without the use of any harmful processes or added chemicals is a key factor. That’s what companies using HPP technologies have achieved: a fresh juice, with all its natural qualities, which remains fresh for longer.’
The best performing products using this technology is vegetable juices and smoothies, detox or cleansing juices, coconut water, isotonic and functional drinks with activated charcoal, teas, coffee-based drinks and beverages with probiotics.
