Vol. 2, Issue 1 January 2017 36 www.vitafoods.eu.

com

The
Widespread
Appeal of
Omega-3s

Registration Now Open

09-11 May 2017

Geneva
www.vitafoods.eu.com
 CONTENT
January 2017

4 Viewpoint

5
Expanding Range of Omega-3s
Contributes to Category Strength
Although awareness of Omega-3s is estimated at 90 percent
throughout the EU, consumption levels are much lower, coming
in at around 40 to 65 percent. Karen Butler examines the latest
in delivery formats, sourcing, sustainability and other factors
influencing the Omega-3 markets progress.

13
Whats More Important, Sleep
or the Health of Your Heart?
Understanding the health and wellness priorities of potential
Omega-3 consumers is key to developing successful products.
Ellen Schutt, communications director for the Global
Organization for EPA and DHA Omega-3s (GOED), details
proprietary end-user research regarding the purchase and use of
Omega-3s.

18
The Increasing Importance
of Traceability in Omega-3s
EU regulations demand a one up, one down traceability system
to operate throughout food distribution chains, including the
seafood and marine Omega-3 space. Cilia Holmes Indahl,
sustainability director for Aker BioMarine, reviews the issues of
food security, sustainability and proper monitoring of fisheries.

21 Takeaways

Copyright 2017 Informa Exhibitions LLC. All rights reserved. The publisher reserves the right to accept or reject any advertising or editorial material. Advertisers, and/or their agents, assume the responsibility for all content of
published advertisements and assume responsibility for any claims against the publisher based on the advertisement. Editorial contributors assume responsibility for their published works and assume responsibility for any claims
against the publisher based on the published work. Editorial content may not necessarily reflect the views of the publisher. Materials contained on this site may not be reproduced, modified, distributed, republished or hosted
(either directly or by linking) without our prior written permission. You may not alter or remove any trademark, copyright or other notice from copies of content. You may, however, download material from the site (one machine
readable copy and one print copy per page) for your personal, noncommercial use only. We reserve all rights in and title to all material downloaded. All items submitted to Informa Exhibitions become the sole property of Informa
Exhibitions LLC.

2 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

Viewpoint

Omega-3s for You & Me

A
Awareness of Omega-3sand their health benefitsis strong across the EU, although
usage levels are much lower, according to new research from the Global Organization for EPA
& DHA Omega-3s (GOED). The challenges may come down to what consumers are looking for
in each country, according to GOEDs Ellen Schutt, as well as where theyre looking to get their
advice on why they should consider taking Omega-3s.
Ellens article, which starts on page 13, is only one of the category overviews were bringing
you in this Vitafoods Insights Digital Magazine. The goal, as always, is to provide insights into a
key category and spark product ideation and marketing concepts that you can bring to
market. Whether youre looking for information about sourcing, sustainability or health
effects, we aim to supply the information you need to make educated decisions.
For example, manufacturing of oils can be tricky due to the risk of oxidation and unpleasant
flavours. Fortunately, formulators have stepped up to the challenges by creating a slew of products
that boast Omega-3 inclusions. And if youre looking to address one of the key concerns of
consumerssustainability of Omega-3 sourcesweve got you covered there as well.
After youve taken a spin through the content in this publication, consider how else you
might broaden your Omega-3 learnings. For example, check out SupplySide & Vitafoods
Global Storefronts, an always-on website designed to help you explore suppliers and service
providers across the industry. Whether youre interested in searching by health condition or
specific ingredient, Global Storefronts owners are prepared to offer not only a list of
ingredients, but resources that go deeper into the how and why of sourcing and formulation.
And, of course, dont forget to make your plans to attend this years Vitafoods Europe,
taking place in Geneva 9 to 11 May. If youre seeking Omega-3 information, GOED will be on
hand again with its Omega-3 Resource Centre, offering education presentations and
highlighting GOED member companies with new solutions to share. Omega-3s will be
showcased in the education programme as well, as we look at health conditions such as heart
health and cognitive function where Omega-3s have been shown to make an impact.
If theres any additional information we can provide to make your product development
journey more fruitful, dont hesitate to reach out.

Heather Granato
Vice President, Content
+1 (480) 390-4327
heather.granato@informa.com
@heathergranato

IN THIS ISSUE Market Overview p.5 Table of Contents p.2

4 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

Market Overview

Expanding Range of Omega-3s

Contributes to Category Strength
by Karen Butler

A
According to proprietary research from the Global Organization for EPA and DHA Omega-3s
(GOED), although awareness of Omega-3s is greater than 90 percent throughout the EU,
consumption levels are much lower. While this varies on a country-to-country basis, intake
ranges from approximately 40 to 65 percent. Luis Echeverria, president of Evi International
Group LLC, is optimistic that increasing awareness of the potential benefits of Omega-3s will
encourage more product development, noting, What consumers want to see is new and
creative delivery systems that will make the consumption of their daily Omega-3s fun and easy.
Anne Healy, senior marketing manager at DSM, agreed. Omega-3 nutritional supplement
consumers are generally looking for good value and a positive experienceincluding good
price, increased strength, smaller pill size and a reduction of fish burp. She added, We see a
trend toward more pleasurable formats (like gummies, chews and creamy emulsions) that
provide increased enjoyment.
Jan Haakonsen is director of sales and marketing at ArcticSource1, which offers fish oils,
wild Alaskan salmon oils, cod liver oils, powdered fish oil and effervescent powdered fish oil.
She said some of the potential applicationsinclude liquid,capsules, emulsions,gummies,
short and long shelf-life foodsand beverage, including instant
flavoured effervescent beverageswhere the common success factor
is natural full-spectrum Omega-3 and a better-tasting product.
Another innovative product portfolio comes from DSM Nutritional
Products Ltd. Its vegetarian source of docosahexaenoic acid (DHA) from
algae, lifesDHA, has been successfully incorporated into dairy
products, beverages, bakery (such as breads, rolls and muffins),
confectionery, extrusion products, spreads, dressings and processed
meat. The companys oil, powder and emulsion formats have allowed
versatility beyond its vegetarian softgels.
Steve Holtby, president and CEO of contract manufacturer Soft Gel
Technologies Inc. (SGTI), rounded out the growing list of Omega-3
fortified foods, adding milk-based products, eggs, juices, salad Omega-3
dressings, sauces, breakfast cereals, baked goods and pastas, sauces,
infant formulas, baby foods and juices, meal replacement bars and
awareness
protein powders, among others.
is more than 90 percent
throughout the EU,
Although Holtby applauded the market for its creative efforts, he
also pointed to the need for balance. While these foods are providing but consumption levels
you with healthy Omega-3 fatty acids, they also contain Omega-6 are much lower.

IN THIS ISSUE Viewpoint p.4 Market Data p.13 Table of Contents p.2

5 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

Market Overview

fatty acids. When the ratio is out of balance (having a higher intake of Omega-6), it can lead to
inflammation in the body.
He noted other precautions, as well. We often get requests for vegetarian softgels, and we
are always up-front with our customers about this inquiry, he stated. There can still be some
limitations and drawbacks to using non-animal gelatin. Vegetarian alternatives can be more
expensive than animal gelatin, and there may be questions about the long-term stability of the
fill ingredients. Holtby suggested further research would be beneficial before these products
are put into widespread use.
Haakonsen was cautious as well. Many of todays Omega-3products have new delivery
systems, enticing consumers to less effective and moreexpensive solutions. ArcticSource1
encourages the use of multiple naturally balancedOmega-3s. These fatty acids work together
to support health when takenin meaningful doses, as opposed to theoften smallerdoses of just
EPA [eicosapentaenoic acid] and/or DHA, which users can take for years without ever noticing a
difference, she said.

Choosing an Omega-3 Manufacturing Partner

Omega-3 products come with their own unique set of manufacturing challenges. And
according to Steve Holtby, president and CEO of Soft Gel Technologies Inc., Not all Omega-3
fish oil supplements are the same.
When looking for an Omega-3 supplement partner, he pointed to four critical aspects of
quality that must be addressed:
1. Achieving low levels of pollutants that are within or significantly lower than regulatory
boundaries.
2. Minimising damage to the product in the refining procedure, in particular keeping levels of
trans fatty acids low.
3. Removing objectionable fishy taste and smellresulting in a product with great taste.
4. Providing an antioxidant solution to give the product superior oxidative stability in customer
applications.
Luis Echeverria, president of Evi International Group LLC, stated the importance of finding a
contract manufacturing partner that offers traceability, quality and clean/green labels.
Holtby added the manufacturer should also welcome customer audits on a timetable
consistent with their buying habitsannually, if not more often. Look at the batch
records, raw material certificates of analysis [CoAs], and most importantly, make
sure they are doing all the testing required by the GMPs [good manufacturing
practices], he suggested. A lot of money can be saved if a manufacturer is
not doing all the required testingif a quotation looks too good to be true,
there is probably a reason.

6 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

OMEGATEX
PLANT / MARINE SOURCED
Market Overview

Ellen Schutt, communications director for GOED, noted several developments are appealing
to consumers; for example, emulsion and gummy delivery formats that provide the
convenience of not swallowing pills, or the broader choice of sources that has become
available. Just as some consumers are interested in concentrates, there are others that like the
minimally processed story, such as virgin salmon oil, she said.
According to several major ingredient suppliers, sustainable sourcing is a selling point for
many consumers. Today, the savvier consumers know that Omega-3 products must come
from sustainable and preferably traceable sources, said Becky Wright, marketing and
communications director for Aker BioMarine Antarctic US. This is an advantage that krill oil
has in the marketplace.
Wright mentioned third-party certifications can be an effective way to communicate a
brands eco-conscious priorities. Aker works with the Marine Stewardship Council (MSC) and
the Non-GMO Project as part of its product platform. Sarah Christianslund, Omega-3 associate
product marketing manager at FMC Corp., said the companys Epax was the first Omega-3
manufacturer to achieve Friend of the Sea certification.
Stepan Lipid Nutritions newest Marinol line, CO-30, carries MSC and Friend of the Sea
certification, supporting its environmentally friendly production methods. In addition to
sustainability, the company pointed to consumer desires driving repeat purchases, whether
sensory quality or high DHA/EPA potency.
Pizzey Ingredients offers a full line of flaxseed ingredients for use in the food, beverage,
supplement and pet food industries. Todays consumers, especially Millennials, are increasingly
concerned about the sustainability of their food supply, said Julie Faber, Pizzeys director of
marketing and compliance. Flaxseed offers the health benefits of ALA [alpha-linolenic acid]
Omega-3 as well as fiber, protein and lignans, without any concerns about contamination or
sustainability.All of Pizzey Ingredients products are also gluten-free, non-GMO [genetically
modified organism], pesticide-free and available in both conventional and organic
offerings.These benefits are clearly resonating with consumers.
Faber added 2014 SPINS U.S. data named flaxseed and flaxseed oil the
most popular form of Omega-3 in the natural channel, and the second most
popular form of Omega-3 in the conventional channelranking only behind
DHA, which she noted is widely used in infant formula.
Another plant-sourced Omega-3 being used in foods and supplements is
chia seeds. Evi International Group LLC is developing highly concentrated
Omega-3 ALA Powder 60% with particular appeal to vegan consumers or
those concerned about marine sources of Omega-3. We are focusing our
efforts on the claims that consumers want to see in their products, such as
organic, vegan, non-GMO, no heavy metals, etc., Echeverria said.
Wright referenced 2016 data from the Natural Marketing Institute (NMI) to
round-out the list of criteria driving U.S. consumer supplement purchases.
The desired traits included price, easy to swallow, easy to digest, clinical
proof, made in the United States, no taste or smell issues, non-GMO, 100
percent traceable and sustainable.

8 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

Market Overview

Consumers arent the only ones with a list of preferred

attributes. According to Faber, the key factors influencing brand
holders Omega-3 purchasing and formulation decisions include
whether the product:
Has proven and marketable health benefits;
Offers consistent quality and supply; and
Is cost effective.
Brand holders are also concerned about the ease with which the
Omega-3 product can be incorporated into their current offerings,
she concluded.
Jenifer Heydinger Galante, Ph.D., senior R&D manager at
Stepan, also mentioned brand holders becoming more focused on
sustainable methods of processing as consumers increasingly Beverages,
demonstrate a willingness to buy from responsible companies powders and sports
that are doing what they can to cause the least amount of harm in nutrition applications
formulating their products.
could be among the next
Hiskias G. Keizer, Ph.D., senior scientist/project manager at
breakthrough innovations
Stepan, added, A key factor that should bear more weight when
in Omega-3s.
influencing brand holders Omega-3 purchasing and formulation
decisions should be a controlled supply chain and a quality control
(QC) monitoring program certifying that raw ingredients suppliers
are regularly audited to ensure consistency and purity.
According to Healy, nutritional content is another area of concern. The amount of EPA and
DHA vs. total fish oil content should be a key decision driver for purchasing and formulation
decisions.These are the nutrients that provide health benefitsthe other components of fish
oil provide little to no nutrient value and just cause shopper confusion.

Eye on the Future

So where is market innovation headed? Beverages seem to be the next frontier for Omega
product formulations, statedDan Murray, vice president of business development at Xsto
Solutions. Converting Omegas to dry powders also offers a lot of flexibility and opportunity.
The key to expanding Omega use is to remember taste is kingso for any real, long-term
success, we have to overcome taste issues.
Greg Edmunds, president at Charles Bowman, gave a nod to athletics. As research around
the anti-inflammatory benefits continues, we may see some interesting demand for Omega-3
supplementation for sports nutrition, particularly with athletes involved in contact sports.The
possibility of reducing the severity of a concussive injury, or speeding the recovery would be an
especially powerful draw for consumers, he concluded.
Faber echoed both predictions, stating shes already seeing the biggest growth in the
beverage and sports nutrition industries.More people are interested in improving their
nutrition and overall health, and they have less time to devote to shopping for and cooking

9 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

Market Overview

healthy food. She noted ready-to-drink [RTD] and ready-to-mix [RTM] beverages that
incorporate healthful ingredients such as Omega-3s address both needs.
Galante anticipated, Ongoing investment in more sustainable Omega-3 sources such as
algae, and in alternative marine sources like cod, krill and squid, with a continued focus on
raising safety, sensory, scientific and sustainability standards in the marketplace. As a case in
point, Wright confirmed Aker has invested heavily in new technology and is actively looking to
expand its krill territory with new oil grades.

Investment Continues in Alternative Omega-3 Sources

ALGAE COD KRILL SQUID

For Murray, vegetarian sources are resonating with consumers and hold great potential, as
market demand is actually outstripping supply.
Keizer affirmed consumers like the delivery of Omega-3s in liquid, but also not to overlook
the potential of tried and true. Traditional softgels have myriad benefits in this category and
technology has enabled Omega-3 dosing to be delivered via smaller tablets and chews as
well, he said. He added clean taste is a must in all cases, noting another great format for
deliveryshelf-stable, non-refrigerated functional foods that are easy to consume.
Healy concurred. Formats that offer a more pleasurable experience will continue to grow as
they remove barriers for both new and lapsed category users.Ultra-high concentrates of EPA
and DHA for targeted health (vs. todays standard fish oil) and quality assurance (purified,
sustainably sourced) will become game changers for the category.
Despite the optimism, Healy acknowledged theres always room for improvement. As a
category, we need to do a better job of attracting and retaining Omega-3 users through better
experiencesboth product experiences, along with better shopper experiences by educating
and providing greater clarity of choice.
Edmunds agreed, noting, Todays consumers know they do not get enough Omega-3 fatty
acids from diet alone, so most consumers know they have to supplement; but many
consumers are unaware how much fish oil they should consume, and what to look for when
buying their supplements.
Christianslund added that for tech-savvy health and wellness customers, the internet and
social media have become credible sources of information. It has never been easier to
research a product/brand, and consumers are expecting to find all information readily available
through websites and social platforms. She closed with a caution: Not offering this kind of
information upfront seems to be interpreted by the consumer as reluctance on the part of the
manufacturer to disclose information.

10 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

Market Overview

Pet Owners Seek Omega-3s for Animals

According to Becky Wright, marketing and communications director for Aker BioMarine
Antarctic US, Omega-3s in the pet market are alive and well. She pointed to the
humanisation of pets as a key factor in helping to boost Omega-3 animal nutrition sales.
Dan Murray, vice president of business development for Xsto Solutions concurred, The pet
market trails the human market as consumers become more aware and demand new products.
Not everyone agrees about the trajectory. At this point, [pet] is progressing faster than the
human market for Omegas, contested Luis Echeverria, president of Evi International Group
LLC. Omegas in the human segment is a relatively mature market; but on the pets section, it
is a relatively new application and we should definitely focus and put our efforts on this
market. He added the younger generations often have discretionary income for auxiliary pet
products, particularly as they delay having children.
Jan Haakonsen, director of sales and marketing at ArcticSource1 maintained, The leading
pet food companies are well ahead of pharma in the Omega-3 segment. Certain pet food
companies recognised early how adding natural top-quality Omega-3 to dog, cat and horse
diets enhancedanimal health and performance, she said.Running studies for 15 years, the
best companies know intimatelythe dose-benefit relationship and optimal use of natural
full-spectrum Omega-3 products. I wish food companies would take care of me the way the
best pet food companies took care of our pets!
Hiskias G. Keizer, Ph.D., senior scientist/project manager and Jenifer Heydinger Galante, Ph.D.,
senior manager R&D at Stepan Lipid Nutrition, acknowledged fish-based ingredients have long
been a staple in pet foods. However, they pointed to the beneficial effects of Omega-3s on
pets cognitive health, immune systems, and skin and coat as the impetus for
increased product development. The products purchased by these pet
owners essentially replicate the range of available products for humans:
foods, treats, supplements and grooming products, Galante stated.
Although Murray sees the rationale for expanding pet Omega-3 health and
nutrition products, he was less optimistic about brand holders getting on
board. Consumers will pay for product upgrades for their pet, but the pet
food manufacturers are very thrifty and competitive.

11 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

 The Ultimate
Ingredient and
Solutions Directory
DISCOVER HUNDREDS OF SUPPLIERS
Industry events like SupplySide West,
Vitafoods and Ingredient Marketplace only
take place a few days a year.
With over 20 categories to pick from and
more than 300 downloadable supplier
resources, the SupplySide & Vitafoods
Global Storefronts directory provides a
solution to this by easily connecting buyers
and suppliers year-round.
SupplySide & Vitafoods Global Storefronts
is an online resource to help ingredient
buyers and product developers discover
the suppliers and solutions they need.
Over 6,000 of your colleagues have
already started using Global Storefronts.
Join the movement and start connecting
with more than 125 suppliers that have a
range of videos, whitepapers and more for
you to explore.
Whether you are searching for new
ingredients and solutions to launch
products and innovations, or you are
looking to build new business contacts,
Global Storefronts is here to help you find
what you need to succeed.
Find the suppliers you need in our
Ingredient and Solutions Directory!

START CONNECTING TODAY

supplysidestorefronts.com

Suppliers, dont have a Global Storefront yet? Contact us today to get set up.
Be found on Global Storefronts, or risk not being found at all.
storefronts.supplysideshow.com/be-found-on-storefronts
Market Data

Whats More Important, Sleep

or the Health of Your Heart?
A peek into what makes European consumers tick
by Ellen Schutt

W
Where do French consumers go first for health advice? Is it more important to Germans to
reduce their stress or get enough sleep? Do Europeans turn to fish oil supplements or increased
fish intake to make sure they get the Omega-3s they need? GOED, the Global Organization for
EPA and DHA Omega-3s, set out to find the answers to these and other questions about
consumer behaviour in more than 20 countries around the world. After conducting a host of
consumer research surveys, we gathered significant intelligence about what influences global
consumers when theyre thinking about health and wellness topics.
The responses varied somewhat from country to country, but there were similarities as well.
In almost every country we surveyed, health practitioners were the most trusted source of
information, with a majority of consumers seeking advice first from their doctor or pharmacist.
The input on where consumers went for health information got a little more interesting when
looking at the first and second most popular answers combined. We saw Internet emerge as a
second choice in many countries, bypassing family and friends, and actually coming in first for
some age groups in China and Japan. Not surprisingly, product advertising and labels was by far
the last place consumers went to learn more about health and wellness concerns.
Similarly, doctor recommendations also influenced consumer purchase decisions, but equally
important were quality concerns. In fact, as seen in Chart 1, if combining quality and
safety influencers, they were by far the main motivator (or limiter) in purchase decisions.

Chart 1 What influences consumer purchase decisions?

0 10 20 30 40 50 60 70 80

Quality

Germany
Doctor Rec

Price

France Family/friends

Safety

Trusted brand

United
Kingdom Taste

Env/social

Italy
Source: GOED Proprietary Research

IN THIS ISSUE Market Overview p.5 Supply Chain p.18 Table of Contents p.2

13 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

Market Data

When it came to reasons for Omega-3 usage, a bit more variability emerged from country to
country. As shown in Chart 2, consumers in Germany may have started an Omega-3 regimen
because of heart health concerns, while in France, overall wellness was a motivating factor. In
most countries around the world, heart health was the dominant reason for increasing
consumption of Omega-3s, especially when considering the triglycerides, blood pressure and
cholesterol categories are heart health focused.

Chart 2 Why Do Consumers Start Consuming Omega-3s?

Germany France United Kingdom

Heart
Overall Wellness
Overall Wellness

Brain
Heart
Joints

Overall Wellness
Cholesterol
Heart

Cholesterol
Brain
Brain

Source: GOED Proprietary Research

And the question earlier about whats more important, getting enough sleep or reducing
stress? It turns out sleep was a bigger concern in some countries than other lifestyle issues
such as stress or energy. Personal health remained most important overall, not surprisingly,
but as shown in Chart 3, in both Germany and the UK, sleep even edged out family
health for the No. 2 spot.

Chart 3 What are top health & wellness priorities?

0 10 20 30 40 50 60 70

Germany My Health

Family Health

Sleep

France Brain

Heart

Energy

United Stress

Kingdom
Athletic

Performance

Italy

Source: GOED Proprietary Research

15 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

Market Data

In terms of how Europeans get their Omega-3s, the response was completely different from
the United States. While America is largely a supplement-focused culture, in Europe,
consumers do not take a lot of supplements and prefer to get Omega-3s from their diet. This is
especially apparent in Italy, where the fish-heavy Mediterranean diet is particularly popular.

Chart 4 Consumption is low in European markets

70% 60% 50% 40% 30% 20% 10% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Consumption Awareness

Germany France United Kingdom Italy

Source: GOED Proprietary Research

That said, European consumption is nowhere near where it needs to be (Chart 4). Although
consumer awareness of Omega-3s is almost universal, consumption levels are much lower
translating to approximately 81.6 million consumers in Germany, France, the UK and Italywho
are aware of the benefits of Omega-3s, but not regularly taking advantage of them.
The upside is there is a viable opportunity for future growth in the European Omega-3
market, despite the fact that the market is mature and has been mostly flat for the past
few years.

Ellen Schutt is the communications director for the Global Organization for EPA and DHA Omega-3s (GOED).

16 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

Find out how Superba Boost can raise your Omega-3 Index
at Stand H40, Vitafoods Europe
Supply Chain

The Increasing Importance

of Traceability in Omega-3s
by Cilia Holmes Indahl

N
New technology is making it easier for companies to trace where their seafood and
marine Omega-3s are coming from and to communicate that information to consumers,
but many brand holders still refrain from doing it. And even those that are might be
misleading consumers.
Oceana conducted a two-year test of 1,200 fish samples in 21 U.S. states, and found
one-third were fraudulently labeled. Further, the study found that despite health, safety and
conservation implications of its consumption, seafood rated lower than many meat and
produce products when it comes to traceability.
It is important to human health to consume enough quality Omega-3s, but the health of our
planet is also an issue. As a result, we must ensure the Omega-3s we consume are not sourced
from threatened species.
Regulators such as the International Organization for Standardization (ISO)as well as those
in the EU and United Statesalready demand food importers provide traceability data. The EU
regulation enacted Jan. 1, 2005, is recognised as the key piece of food traceability legislation.
The U.S. regulation goes into more detail, but follows the same principle as the EU
regulation: Traceability means the ability to trace and follow a food, feed, food-producing
animal or substance intended to be, or expected to be, incorporated into a food or feed,
through all stages of production, processing and distribution.

Oceana conducted a two-year

test of 1,200 fish samples in 21 U.S. states, and
found one-third were fraudulently labeled.

The EU regulation demands a one up, one down traceability system to operate throughout
food distribution chains, meaning every player in the value chain is responsible for keeping
track of who they sourced from and who they sell to.
Today, the traceability regulation applies mainly to safety, but it fails to take into account
considerations such as food security. Securing enough foodand the right foodwill be
imperative for our future. For example, providing emerging markets with sustainable Omega-3
sources will be key to avoid malnourishment.

IN THIS ISSUE Market Data p.13 Takeaways p.21 Table of Contents p.2

18 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

Supply Chain

Consumers Care About Traceability

The Global Food Traceability Center (GFTC) researched consumer perceptions about seafood
and the key factors influencing purchase decisions. GFTC collected data across five nations,
including Canada, China, Germany, the Netherlands and the United States, and found that
consumers buy seafood based on what is advertised on the label or on a sign in a store or
restaurant. This means consumers highly value product labeling.
Consumers also attach a high value to proof that verifies their purchases were sustainably
caught or farmed. Studies show if consumers can trust the verification of sustainability claims
(through traceability), seafood companies, retailers and food service firms may capture
additional market share and/or higher margins.

Beyond Traceability
But tracking where seafood sources come from is not enough. Ecosystems worldwide are
challenged by illegal, unregulated and unreported fishing, which can lead to overfishing and
ecosystem degradation. Looking into the condition of the species fished is where true
sustainability lies, and where consumers will start to ask questions.

Consumers attach a high value

to product labeling and proof that verifies their
purchases were sustainably caught or farmed.

Last year, the Sustainable Fisheries Partnership (SFP) assessed sustainability in reduction
fisheries worldwide (i.e., the source of most marine Omega-3 oils). Specifically, the report
examined the sustainability of 24 stocks of 13 species. The report showed just 2 percent of
the total catch volume from the reduction fisheries in the analysis came from stocks in Very
Good condition, which corresponds to a single fishery that fished krill.
The reason the krill fishery scored so well in the SFP report is because it takes into account
the health of the biomass, as well as the ecosystem that depends on the biomass as a
primary food source. This is extremely important when fishing for species low in the food
chain, such as krill or anchovy. These marine species are the main food source for an
ecosystem that is heavily dependent on it for survival. And the health of these lower tropic
species will dictate the health of marine species higher up the food chain.

Cilia Holmes Indahl is the sustainability director for Aker BioMarine.

19 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

Takeaways

Takeaways for Your Business

A
According to proprietary research from the Global Organization for EPA and DHA
Omega-3s (GOED), although awareness of Omega-3s is greater than 90 percent throughout
the EU, consumption levels are much lower. While this varies on a country-to-country basis,
intake ranges from approximately 40 to 65 percent. Luis Echeverria, president of Evi
International Group LLC, is optimistic that increasing awareness of Omega-3s potential
benefits will encourage more product development, noting, What consumers want to see
is new and creative delivery systems that will make the consumption of their daily Omega-3s
fun and easy.
Anne Healy, senior marketing manager at DSM, agreed, noting, We see a trend toward
more pleasurable formats (like gummies, chews and creamy emulsions) that provide increased
enjoyment.
Innovations across the food, beverage and sports nutrition categories are taking off. Sourcing
considerations are also becoming increasingly important to manufacturers and end users,
whether grounded in sustainability, a vegetarian platform or desiring an alternative to
traditional marine sources.
Because European consumers do not typically take a lot of supplementspreferring to get
Omega-3s from their dietunderstanding the mindset of EU end users is critical. According to
proprietary research from the Global Organization for EPA and DHA Omega-3s (GOED), many
UK consumers started an Omega-3 regimen because of joint health concerns, while in France,
overall wellness was a high motivating factor. However, in most countries around the world,
heart health was the dominant reason for increasing consumption of Omega-3s, especially
when considering the survey categories of triglycerides, blood pressure and cholesterol
are all heart health focused.
Among the factors influencing consumer purchasing decisions of health and wellness
products, in almost every country surveyed, health practitioners were the most trusted source
of information, with a majority of consumers seeking advice first from their doctor or
pharmacist. Other important influences included the internet, quality, price and safety.
Although new technology is making it easier for companies to trace where their seafood and
marine Omega-3s are coming from and to communicate that to consumers, many brand
holders still refrain from doing it. And even those that are might be misleading consumers via
improper product labeling or a lack of transparency.
Regulators such as the International Organization for Standardization (ISO)as well as those
in the EU and United Statesalready demand food importers provide traceability data.
However, beyond traceability, issues such as the health and sustainability of the global food
supply continue to be a concern product manufacturers may need to address.

IN THIS ISSUE Supply Chain p.18 Contacts p.22 Table of Contents p.2

21 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

 CONTACTS
Vitafoods is the leading brand in Europe and Asia connecting companies across the food, beverage,
supplement and personal care markets with ingredient suppliers, contract manufacturers and service
providers. Vitafoods Insights (vitafoodsinsights.com) is a premium content destination that delivers
the best content from Vitafoods to a global audience.

Jon Benninger Chris Lee

Vice President, Health & Nutrition Portfolio Director
jon.benninger@informa.com chris.lee@informa.com

Heather Granato Daria Smith

Vice President, Content Portfolio Sales Manager
heather.granato@informa.com daria.smith@informa.com

Danielle Dunlap Maria Sidiropoulou

Vice President, Marketing Services Sponsorship Programming Executive
danielle.dunlap@informa.com maria.sidiropoulou@informa.com

Andrew Rosseau Rachael Shattock

Art Director Group Marketing Director
rachael.shattock@informa.com
Karen Butler
Content Marketing Manager Colin Williams
Senior Marketing Manager
Jenn Moreira
colin.williams@informa.com
Senior Marketing Manager
Carolina Kelleher
Informa Exhibitions LLC Conference & Content Manager
3300 N Central Ave, Ste 300 carolina.kelleher@informa.com
Phoenix, AZ 85012
United States Informa Exhibitions
2nd Floor
Phone: +1 480 990 1101
5 Howick Place
www.naturalproductsinsider.com London SW1P 1WG
United Kingdom

Phone: +44 (0) 20 3777 3616

www.vitafoods.eu.com

Informa Exhibitions Global Health & Nutrition Network is one of the worlds leading knowledge providers.
We create and deliver highly specialised information through events, digital media and publishing to provide
business, learning and networking opportunities. Informas Global Health & Nutrition Network has an unrivalled
offering within the health and nutrition marketplace for individuals, businesses and organisations around the globe.

TM

22 Vitafoods Insights The Widespread Appeal of Omega-3s vitafoodsinsights.com

2017 April 18-20, 2017
Orlando World Center Marriott
Expo Hall April 19-20

Early Registration
is Now Open.
Register today at
marketplace.supplysideshow.com