Healthy snacking is the way forward

THE GLOBAL snack food market reached US$374 billion in 2013-14, with the Middle East and Africa accounting for about $7 billion, at 5 percent growth year-on-year.  

The Middle East market in particular has been experiencing 20 percent annual growth since 2012. In the UAE, the confectionery snack sector alone was worth more than $280 million in 2013.  The sugary and sweet snacks remain the highest grossing snack sector in the country. In 2014, about 13 percent of all new snack products were confectionery based. 

The UAE has such a high expatriate population, its entire food service industry must attend to a diversity of tastes, commented Aaron Allen, founder of Aaron Allen & Associates. “The market still has immense growth potential, leaving plenty of room for brands to find their own unique niche. While tried-and-true, “traditional” snacks like potato chips are approaching market saturation (with the two companies licensed to Lay’s and Pringles products already accounting for 48 percent of the UAE’s snack market), other segments including refrigerated snacks and the chocolate market, specifically present immense possibilities.”

Mr Allen said that while other GCC countries continue to combat unemployment, the UAE in 2013 ended up with an unemployment rate of only 3.8 percent, and in times to come, it is expected that the fast-paced life of the Emirate will ensure people have less time for traditional meals presenting huge potential for the snack market. Across the board, in 2014, between 60 percent and 67 percent of UAE residents were more likely to snack than eat breakfast, lunch and dinner – as much as 20 percent more than the global averages.

“As of the end of 2014, flavor profiles that remained popular in the UAE included nuts (specifically almonds) both for their ethnic roots as well as more healthful properties, and different types of cheeses (pizza, nacho-style and South African cheeses in particular). While not the most popular, popcorn snacks represented one of the fastest growing snack categories in the UAE that year. This said, at the end of 2014, 48 percent of the UAE snack market in terms of value share was held by Saudi Snack Foods Co. (the company licensed to sell Lay’s products) and Procter & Gamble Gulf (Pringles). Both the Lay’s and Pringles brands have the advantage of offering a wide variety of flavors (cheese chips, in particular), allowing the brands to appeal to the different flavor profiles preferred by the UAE’s diverse ethnic groups.”

Snacking as a concept has become more important in today’s fast-paced world, according to research. Food and beverage companies such as Mondelēz International are continually innovating snacking solutions in line with global trends to make snacking more convenient, and provide an energy boost.

Alan Smith, Managing Director for GCC & Pakistan, Mondelēz International told FMJE: “Consumers want experiences and not just products. The concept of taste is important and the product such as our recently introduced Marvelous Creations, which is an innovative extension of our Dairy Milk brand, provides this type of enjoyment through popping candy. We have experienced tremendous success with Barni, our bear-shaped filled sponge snack sold without artificial colours or preservatives, which we will continue to expand in the region and we plan to bring belVita Good Morning, a range of biscuit specially designed for breakfast, to the region in 2016.”

Alan Smith, Managing Director for GCC & Pakistan, Mondelēz International

Healthier ways to produce snacks

Scott Vallette, Regional Director, Bühler Aeroglide said that healthy snacking is a global phenomenon and consumers are equally prioritizing convenience, health and indulgence. Taste and health are primary considerations.

“Our customers want to produce snacks that stick to the basics, without added ingredients. Snacks that can be manufactured using heat and pressure are also more in demand compared to fried and baked products. In addition, our municipalities are calling for healthier solutions. This trend can be seen in school programs in the US and in countries around the world.”

Scott Vallette, Regional Director, Bühler Aeroglide

Mr Vallette said that Bühler has introduced the new AeroExpander which provides hot air expansion for snack pellets and is a healthy alternative to oil fried snacks. The application uses jet blasts of hot air (between 190 and 300 degrees Celsius) to expand extruded pellets, and with a custom conveying system it can ensure precise dwell time and product uniformity.  Recirculation of process air is also an energy-efficient means of expanding snack food pellets.

Additionally, SmartDry FOOD, designed for India, is for drying extruded snack pellets and direct expanded snacks. Designed for food manufacturers who process 800 kilograms or less per hour, the dryer is engineered for a smarter use of energy with a clean, safe operation that reflects the most recent advances from Bühler’s industry collaborations.  It uses a three-pass alternating plenum up airflow configuration, with process modules set 180 degrees to each other so that heated air can flow through the drying zone from both sides of the product conveyor. The SmartRoast was introduced in 2014 to address market needs for an economical, high-quality nut roaster, engineered for applications of 1,000 kilograms or more per hour. It offers a consistent, efficient roast to meet nut processing requirements.  

Consumer health is also top of mind and Bühler Aeroglide is working to advance a growing body of research that verifies how processors of nuts can use heat treatment in the roasting process to kill salmonella.

Au naturel

Globally, 18 percent of those surveyed reported that they would select fresh fruit as a snacking alternative, way above the others, said Aaron Allen. However, in reality, globally, one in four individuals eats snacks to satisfy a craving. This said, 45 percent of global snackers still report that eating snacks with all-natural ingredients is very important. According to this survey, all-natural ingredients ranked as the most essential snacking health consideration, followed by the absence of artificial colors, GMOs and artificial flavoring.

In the Middle East specifically, the popularity of “clean label” snacks (brands positioned around the promise of GMO-free, organic, natural and/or no-additive snacks) has increased dramatically, accounting for 8.9 percent of all snack purchases in 2014 (as opposed to a mere 2.5 percent in 2010).

“Obesity is a complex issue with many causes and no silver bullet answers. We take a comprehensive approach that addresses ‘calories in’ by continually evolving our portfolio to offer more portion control options and better choices (products that meet a more strict nutrition criterion),” Mr Smith added. “We provide clear information – including calorie counts on the front of packs – to help people make informed choices. We also work with many community partners to promote healthy active lifestyles to help address ‘calories out’ and we are investing $50 million to promote healthy active lifestyles and nutrition education globally. We know consumers are interested in products with less sugar. We can also help people reduce sugar consumption and calories through our efforts to offer more portion control options that are 200 calories or less.”

Mr Smith added, “New developments in product taste and design are continually being driven by consumers seeking adaptability, convenience on the go, well-being and localization. The introduction of Tang Lemon Mint in the Middle East region demonstrates how F&B companies are not just importing products from other markets, but adapting them to suit local tastes. We are trying to innovate in everything we do, whether that is through our supply chain, our products or packaging. Strategic investments into new facilities throughout the region will help drive further innovation and provide a more sustainable sector. We previously imported Barni from Poland, before investing in a new production line in Dammam, Saudi Arabia, to be closer to our end-markets and provide a fresher product. Our $90 million investment in a second facility in Bahrain, which will produce biscuits and help meet the double digit growth in the region is also driving further inward investment and creating a campus manufacturing site, attracting further inward investment to Bahrain.”

Where the demand lies

The UAE’s chocolate market ranks the fourth fastest growing in the world. Mr Vallette suggested that nuts and seed snacks are classic favorites, and that extruded snacks will always be in demand. 

“Nuts can be used in confections and sweet and salty snacks. They are high energy foods now more widely recognized for their nutritional value and health benefits. They’re also versatile in product formulation and the roasting process adds depth to flavor and texture. Nuts stay crisp inside confections and can be salted, spiced or flavored with a variety of coatings. Many snack manufacturers use our equipment technology to roast peanuts, sunflower seeds, chestnuts, walnuts and almonds.”

Bühler suggested hot air expansion – a simple replacement to oil frying – and nut roasting as new trends. Hot air expansion can allow food manufacturers to use alternatives, such as avocado oil, for different flavors and they can also fortify snacks with vitamins while nut roasting is a trend that shows no signs of stopping.