I remember some years ago when functional foods was one of the focuses of research at the CSIR Food Processing programme because it was an agreed on major trend in the Food Industry. At the CSIR it was difficult to find the food processors roll, it being more a discovery and testing focus. This lead to the programme loosing its enthusiasm and changing focus. It now seems that the Industry might loose its enthusiasm for functional foods as well, but for different reasons.
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The Industry’s problem lies in the complexity of advertising and selling the health claims associated with the foods.
The European Union has introduced new regulations for food health claims which seem to be approaching the demands of the pharmaceutical certification process, which makes no sense for the Food Industry which works on much smaller margins. There’s an interesting discussion on Beetroot health claims on the BBC Food Programme I posted on a few weeks ago.
In the United States there are a number of cases where major companies (Nestle, Damone, Wrigleys and General Mills included) are settling class action claims or being forced by the FederalTrade Commission to withdraw advertising.
I suppose well informed consumers will have learnt enough to continue buying these products but it must effect the projected growth. What opportunities will the consumer, not be offered, because of the less attractive business from a suppliers viewpoint.
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