Meat Industry INSIGHTS Newsletter

980533 AFI to Launch Meatless Products

May 21, 1998

Salt Lake City, UT - Agri-Foods International, Inc. has announced it will market a new line of meatless products in the USA coined “Meatless Marvels(TM)”. “170 million Americans (89%) currently consume low or reduced fat foods, up from 124 million in 1991,” says Karen Leimkuhler R.D., Nutritionist and Consultant to the Food Industry. Leimkuhler & Associates have “live tested” AFI's new proposed line of four products, Veggie Burgers, Veggie Nuggets, Veggie Cheese Cutlets, and Veggie Basic (a 1 for 1 substitute in any ground meat recipe), at hundreds of foodservice operations across the USA. Leimkuhler stated, “Weight Reduction is no longer a top priority in American's trend for lighter foods. Staying in better overall health is the number one reason why consumers turn to reduced fat or low-calorie foods and beverages.”

Where meatless is used:

* Universities - 27% of a patron choices are meatless.

* Hospital Cafeterias - 23% of all patron choices are meatless.

* B&I Cafeterias - 17% of all patron choices are meatless.

* Secondary Schools - 80% of all schools offer a meatless choice daily.

* Contract Management - 90% offer a meatless choice every day at every meal.

* Restaurants - 40% offer a meatless choice daily.

* Correctional Feeding - 100% offer meatless choices daily.

How attitudes toward vegetarians have changed:

In 1970, vegetarians were politically correct, fringe activists concerned with animal rights.

In 1980, vegetarians were health conscious “baby boomers” responding to “trendy” eating patterns that were cost conscious and earth friendly.

Today's studies indicate a clear trend. In the year 2000, vegetarians will be healthy eaters in search of wholesome foods that are exciting, fun and mainstream.

Forming a strategic alliance, AFI's vegetarian products will be supplied by a European supplier who has now captured 30% of the market share for meatless items in Europe, (where meatless now accounts for 25% of all entree items). “Europeans have taken the lead in developing new technology for the vegetarian market,” says, Jerry Smekal, President and CEO of AFI. “The products have been well test marketed, and researched in the USA by an independent consulting firm, and having a +$2 billion manufacturing concern behind us, seemed to make sense, in entering the fast growing meatless category here in the USA. What caught our attention was the unique and innovative technology that set this line of products “head and shoulders” above the current range of meatless alternatives now available in the USA. And the fit with our own FlashGril'd(TM) Steaks made this a natural fit.”

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