Ag Headlines, Thursday July 7, 2016

ASA Survey Finds Vermont GMO Labeling Law Misleading

A recent online survey found Vermont’s GMO labeling law strongly misleads consumers. The survey, sponsored by the American Soybean Association, asked more than 1,600 shoppers regarding their understanding of five common on-pack food labels. When consumers were asked about the GMO label statements mandated by the Vermont law, the survey showed that on-pack labeling misled consumers to wrongly perceive the labeled product as less safe, less healthful, less nutritious, and worse for the environment. Approximately 73 percent of consumers responding to the survey indicated they would be less likely to buy foods bearing one of the required on-pack GMO label disclosures. The five food labels tested were common food label statements related to trans-fat, allergens, gluten, organic and GMOs. Following the announcement, ASA concluded “the survey results strongly suggest support for the Roberts Stabenow compromise.”

Food Demand Growth Projected to Slow

A new report suggests slower population growth will result in a slowdown of growth in food demand. The new Agricultural Outlook 2016-2025 report also projects that increasing food production efficiency will lower overall food prices across the globe, according to Meatingplace. The report is a collaboration between the Organization for Economic Co-operations and Development, and the Food and Agricultural Organization of the United Nations. The global groups say that prices for main crops, livestock and fish prices all fell in 2015, opening the door for an end to high food prices after record-high meat prices in 2014. The report adds robust supply growth combined with weakening demand in the wake of general economic slowdowns will help fuel the price reductions. Global malnutrition also is expected to decline between 11 percent and eight percent in the next decade, but the report also expects higher consumption of sugar and fats

Agrium Acquiring Cargill’s U.S. Ag Retail business

Agrium announced Wednesday the company will purchase Cargill’s agriculture retail business in the United States. Canada-based Agrium is North America’s largest retail seller of crop inputs and will acquire 18 agriculture retail locations in Nebraska, South Dakota, Minnesota, Wisconsin, Michigan and Indiana. In a news release, Agrium stated company officials expect the deal to close by the end of the third quarter, following regulatory review. The deal does not involve any of Cargill’s agriculture retail sites in Canada. Cargill operates 57 AgHorizons retail locations in Canada and 34 are attached to Cargill grain elevators. Reuters says the deal marks the latest transformative move for privately held Cargill, which is refocusing its operations by exiting some lower-margin businesses and expanding into higher-margin endeavors.

Source:  NAFB News