From the Editor...

January 19th Kosher Food Industry News

New Mintel Study to Show Popularity of Kosher Still Growing
New York…The upheaval in the kosher meat industry in 2008 did not have a major impact on the overall popularity of kosher, a new study by the Mintel Research Organization will show. KosherToday has learned that the latest research by the international research organization on the kosher food industry shows that the kosher category still enjoys widespread popularity and that it in fact continues to grow throughout the nation. This will be the third major study (2005, 2007) on kosher by Mintel, a major research organization focused on consumer goods. The organization had earlier revealed that kosher was the leading claim on new products in 2008. Chief researcher Marcia Mogelonsky told KosherToday that the results will be released by the end of the month.

Kashrus Organizations in New Focus on Kosher and Organic Certifications
Baltimore…The combination of a kosher symbol with organic certification can dramatically boost sales of such products, studies show. The major impact on sales of these dual certified products is reflected in Mintel International’s 2008 research data which shows that both kosher and organic were amongst the top ten claims on new food products. Kashrus agencies are paying increased attention to this trend. The Star-K kosher certification agency recently announced a new joint kosher and organic auditing program with Quality Assurance International (QAI). QAI is the organic industry leader in certification services with operations in the U.S., Canada, Japan and the European Union. In fact, a number of Star-K inspectors are now trained organic processing inspectors, allowing both the kosher and organic audits to be completed in one visit.

The Orthodox Union (OU), also supervises many organic products but doesn’t have a certification that attests to a product’s organic nature. Instead it often joins with the Organic National and International Certification (ONNIC), and both certifications appear on the products’ packaging. Both the OU and the Star-K had booths at the winter Fancy Food Show that took place in San Francisco this week. A significant number of products at the show had both kosher and organic certifications. The success of products that are both kosher and organic certified has not been lost on many supermarkets throughout the country as many have positioned their kosher aisles near organic aisles. The result is that many customers are shopping both aisles, the supermarkets say.

SuperValu Prepares for Passover ’08 with Show
Chicago…Snow and bone chilling cold did not stop 30 store directors of SuperValu stores from attending the second annual Passover Show sponsored by the chain. The store directors came from Jewel divisions in Illinois and Indiana. According to Yakov M. Yarmove, Business Development Manager - Ethnic Marketing and Specialty Foods for SuperValu, the show was repeated this year after last year’s excellent results. “After seeing many of the new items and hearing vendor presentations, we find this is truly the best way to enthuse our store teams into growing what can be considered a most-challenging holiday from a merchandising/purchasing perspective,” said Mr. Yarmove. Some 33 vendors, including most of the major kosher brands, were displayed at the show. Mr. Yarmove said that since the show worked so well, SuperValu has added another show to be held later this week for its Acme division. The show will be larger than the Jewel event since more than 60 stores are expected to attend in addition to representatives from other East Coast SuperValu banners. These small shows have become increasingly popular as an adjunct show to Kosherfest, which is the major showcase each year for products for the upcoming Passover season.

Agriprocessors Limps Back to Life
Postville, IA…Rumors are rife that the bankrupt Agriprocessors will soon begin the kosher slaughter of turkeys and that it is only a matter of time that the plant will also resiume the schechita (kosher slaughter) of calves. In the meantime, incarcerated Sholom Rubashkin will get another chance to make his case for release on bail from the Dubuque County Jail, where a group of leading rabbis from several major Orthodox Jewish organizations, including Agudath Israel of America, Orthodox Union, Rabbinical Council of America, National Council of Young Israel, and Chabad, visited the former Agri CEO. These organizations, as well as the Anti Defamation League, have petitioned a federal magistrate judge for Rubashkin’s release on bail until his trial later this year after prosecutors invoked Israel's Law of Return as proof of his being a flight risk. Mr. Rubashkin had signed a waver and would most certainly be almost instantly extradited by Israel, although Rubashkin has strong ties to his family here. Sources say that the receiver running the plant has nixed many offers to acquire the company based on the feeling that the company’s value will be substantially increased with a resumption in production. Despite some improvements in the supply of kosher meat, availability is still a long way from what it was prior to the federal raid in May 2008.

Sabra Breaks Ground on $60 Million Plant in Virginia
Chesterfield, VA…Sabra Salads broke ground on a $59.3 million food-processing plant just north of Colonial Heights. Sabra is a joint venture between PepsiCo and Strauss Group, Israel's second-largest food and beverage company. The plant is expected to employ 260 people when it opens by mid-2010. Strauss becomes the first major Israeli food company to open a huge food processing plant in the U.S. "For food companies, it is often more practical and economical to manufacture products closer to their end markets," said Will Davis, Chesterfield's economic-development director. "A $60 million investment and 260 jobs, even in an up economy, is a home run," said Pat Gottschalk, Virginia's Secretary of Commerce and Trade. He added,"Frankly, in a down economy, it is a grand-slam home run. The entire Richmond area benefits from geographic advantages.” A spokesman for Sabra said that the new plant was in a good strategic location for the company.

News from Israel

Israelis Spread the Wealth to More than Supermarkets, Survey Shows
Tel Aviv…by Idele Ross, KosherToday Israel Bureau Chief...A recent survey of expenses on food by place of purchase indicated that households are distributing food purchases among more types of retail places. The study by the Geocartography Group for the IMA Food Industries Division showed that Israelis are moving from the supermarket and shopping for food in two other types of retail stores. The survey showed that Israelis were also shopping for food at kiosks and gas station convenience stores. Supermarkets catering to the Charedi (rigorously Orthodox) sector experienced a drop from 11 percent in 2007 to 8 percent in 2008. On the other hand, Russian supermarkets experienced increased traffic from 2.9 percent in 07 to 3.1 percent in 08. Sources say that Charedi shoppers are frequent independents because of a greater variety of products with kashrus certifications that they trust.

New Technology Extends Shelf Life of Poultry Products
Tel Aviv…Teva-Off launched new fresh poultry that has an extended eight-day shelf life in a joint project with Hefestus, a major packaging firm. This innovation will help the producer and the retailer significantly cut production costs and the number of returns as a result of improving processes in the supply chain. Meat and poultry products are highly sensitive to oxidation and, more importantly, rapidly decompose and suffer damage via bacteria. Shelf-life of such products is at most four days. With this new innovation, Teva-Off succeeded in doubling its poultry product shelf life to eight days. This breakthrough in protecting poultry-product freshness and extending shelf life can influence the entire supply chain from manufacturer to consumer. Short shelf life in meat and poultry products typically causes large amounts of returns and discards of expired products, while decreasing profit significantly. "This is the first fresh poultry product with extended shelf life and we anticipate it will totally change consumer purchasing and cooking behavior," says Amnon Ariel, CEO of Teva-Off. Hefestus is a developer and manufacturer of top-sealing packaging machines. It specializes in supplying unique and complete packaging solutions for the food, cosmetic and pharmaceutical industries. It provides a wide variety of standard and custom-made machines, from manual to fully automatic lines, to meet the complex packaging requirements of processors and consumers.

Kosher Wine Tasting Amidst Falling Rockets in Sderot
Sderot, Israel…Residents of this embattled city participated in a well-attended kosher wine tasting event last week as rockets continued to fall in the area last week. In addition to the residents from many communities in Southern Israel, a large number of the participants at the event were soldiers serving in the Gaza Strip. Held at Moshav Netiv Ha’asarah, several hundred guests enjoyed some of Israel’s best wines and spirits along with great tasting sushi. Many organizations in Israel organized events for the residents, often in shelters, and occasionally in halls hoping that the sirens would not sound with only seconds to seek shelter. The organizations were hoping to lift the spirits of Sderot residents who have taken the brunt of the thousands of rockets that have been fired from Gaza in the past eight years. They are, of course, hoping that the recent IDF action in the Gaza Strip will give them a long period of peace and quiet. Several large food manufacturers have plants in the region.

From Here and There…

Brooklyn… The Blue Ribbon store on Avenue J will not be closing after all. According to the owners, they managed to retain their current location and will remain in operation for the foreseeable future. KosherToday had reported several weeks ago that the popular store on one of the Jewish community’s busiest commercial strips will be closing.

Phoenix, Ariz… American Jewish Spirit, a quarterly magazine, will partner with Star-K Kosher Certification to publish a kosher food and lifestyle magazine supplement to be distributed to its readership throughout the U.S. and Canada, it was announced by Robin Myerson, publisher and cofounder of Jewish Spirit Media. The first issue - Passover 2009 - will include recipes and serving ideas from popular kosher cookbook authors, new kosher products, tips for the kosher kitchen, koshering your home for Passover, wine reviews and more, said AJS editor, Rabbi Dovid Goldman.

Montivedeo, Uruguay...The third largest exporter of agricultural products in South America and a member of Mercosur (South American equivalent of EU), is planning on increased exports of kosher beef and lamb to Israel. The announcement was made by President Tabare Vazquez, who visited Israel late last year.

January 5th Kosher Food Industry News

Exclusive: Israel’s Food Industry Struggles to Maintain Food Production
Sderot, Israel…The recent events in the Gaza Strip have made it a daily challenge for many food manufacturing plants to maintain full scale production. Many employees of such major food plants as Osem, Elite, and Sogolowek have opted to stay home with their families in the wake of the daily barrage of rockets unleashed by Hamas in the past weeks. Employees have at times rushed home following a siren and in most cases did not return to work, effecting production at some of the plants. Other workers have left their jobs to join reserve units called up in advance of Israel’s ground operation in Gaza. Sderot has been fertile ground for many large food manufacturers because of its good labor pool and favorable incentives offered by successive Israeli governments.

For Osem, owned by Nestle, the Sderot plant is its southern-most manufacturing point in Israel. This plant, which in the early 1980s produced pasta, has developed into a highly advanced production plant with a wide and varied range of activities. A U.S. food industry delegation that was headed by Yakov Yarmove of SuperValu, visited the plant in November. Amongst the many snack products produced here is the well-known Bissli production line. The group was enormously impressed with the advanced technology and sheer size of the plant.

In Sderot, most of the 600 businesses have been shuttered with the food plants being amongst the only plants to function. But the effects of the recent Hamas bombardments has had an impact on food production in Ashkelon, Ashdod, Beer Sheva and even in places like Yavneh, all of which have been targeted by the longer range Grads in the hands of the Hamas terrorists. Twenty-five percent of Beer Sheva’s businesses have been closed though all food plants remained open. KosherToday has learned that the manufacturers are also trying to meet export deadlines as well as domestic needs. One source said,“We desperately need a solution to the rocket fire since we have had so much interruptions in the past eight years.”

Feature: Hospitals Cope With Growing Demand for Kosher
By Raffi Rosenzweig, New York…In the Tri-State area’s giant hub of kosher food, an industry that is a major kosher-food provider often gets overlooked. Yet the main hospitals in New York City, as well as hospitals in other major markets, are dealing with an increased demand by patients, their families, visitors and staff. At the Maimonides Medical Center in the heart of Boro Park in Brooklyn, the entire kitchen is completely glatt kosher, producing approximately 3,500 kosher meals a day. It is the only hospital in the region that serves kosher exclusively in all its facilities, including its cafeterias and even at staff meetings. Manhattan’s Mount Sinai Medical Center has a small in-house kitchen, certified by the Orthodox Union, with both a dairy and meat chef. It provides kosher food to about 100 of the medical center’s 900 patients. The kosher kitchen produces another 150 meals available for purchase in the cafeteria each day, and supplements catering at hospital events for kosher attendees.

Most other hospitals deal with lower volumes of kosher consumers, visitors and staff via their food services departments. They typically order kosher meals from local caterers and vendors. Lenox Hill Hospital and New York University Medical Center, for example, both in Manhattan, serve an average of 15 kosher patients a day in this way. Long Island Jewish Medical Center had its own kosher kitchen, but closed it down almost 20 years ago because it was not cost effective. The hospital still provides almost 100 kosher meals a day. The meals are typically frozen then heated before being served to patients, and supplies of kosher bread and dairy products are delivered fresh. One hospital nutritionist described how an increasing number of the standard packaged foods, such as cookies and juices, are becoming kosher certified and can be added to the kosher meals. Kosher food is also available for hospital personnel and visitors in the cafeterias. Usually the options are the same meals received by the patients, with an assortment of sandwiches and salads. All incoming food is sealed and supervised by the hospitals’ chaplain rabbi.

Despite outsourcing the kosher meals, hospitals strive to offer kosher patients a complete range of options. Staff nutritionists attempt to accommodate each patient’s strict dietary, cultural and personal preferences. The NYU Medical Center even orders sushi from Midtown Manhattan restaurant Circa NY. Hospital officials say that they have noticed an increase in the demand for kosher food, mostly for religious reasons. Kosher purveyors report increased inquiries from hospitals about kosher food products. A number of hospital food service personnel visited last November’s Kosherfest. Some nutritionists expressed concerns about the quality of some of the frozen meals for patients who clearly need better nutritional foods.

Bush Administration Ignores Pleas for Rubashkin’s Release
Washington, D.C…Several missives by major Jewish defense organizations for the release of Sholom Rubashkin have been ignored by the Bush Administration, namely Attorney General Michael Mukasey. Mr. Rubashkin, the former CEO of the bankrupt Agriprocessors, who is in a Dubuque, IA jail on bank fraud charges, has been denied bail largely because of the government’s argument that he is a flight risk. What particularly incensed the Jewish defense agencies was the prosecution’s use of Israel’s Law of Return as the reason for denying Mr. Rubashkin bail. In letters to the Attorney General by Agudath Israel of America and the Anti-Defamation League, the organizations voiced concern that the use of the Law of Return in effect targeted all 5.3 million American Jews. Agudath Israel asked the Attorney General to advise all U.S. attorneys not to use the Law of Return as a reason for denying bail to Jews. But sources told KosherToday that Mr. Mukasey has apparently decided to defer any decisions on the matter to the incoming Obama administration. KosherToday has learned that a delegation of leading Orthodox Jews officials is planning to visit Mr. Rubashkin. Meanwhile, rumors continue on the identity of a possible suitor for the bankrupt Agriprocessors. The latest name to emerge out of Israel is Sogolwek, a family business that grew to become a major producer of a wide range of meat products as well as meat substitutes and vegetarian products. Soglowek has five plants throughout Israel and three logistics centers. Under the ”ZOGLO’S” brand, the company exports its vegetarian products and other selected products via representatives in 15 countries worldwide, including Canada, U.S., Australia, and many countries in Europe.

Chanukah Sales Strong Despite Downturn in Economy
New York…While the nation focused on a slow retail environment during this past holiday season, kosher distributors reported having a strong Chanukah season. At least two major distributors reported that they had 10% - 12% increases in sales. Amongst the items that did well were frozen latkes, and sufganiyot (jelly doughnuts). Kosher restaurants that had been experiencing lean times of late also said that they had a “better than decent Chanukah.” The distributors, who had feared a decline in sales, were not sure why they did as well as they did, especially with the large number of kosher customers who are suffering during this recession. Several retailers reached by KosherToday confirmed a better than expected Chanukah. One retailer said, “It seemed that everyone was bent on celebrating the festival of lights despite the situation.”

Growing Kashrus Presence in China Focus of New Yorker Article
New York…China has emerged as a key component in the remarkable worldwide success story of kosher. Some 1500 companies have taken the important step of obtaining kosher certification. The China story is so intriguing that none other than The New Yorker in its January 5th issue devoted a major feature: “Letter from China – Kosher Takeout – The inspection business booms.” Patricia Marx, the author of the story, actually joined Rabbi Mordechai Grunberg of the Orthodox Union and Rabbi David Moskowitz of the Shatz Kosher Services, based in Israel, as they visited several plants throughout China. She noted that some 50 mashgichim crisscross China in what has become a focal point for many of the large kashrus agencies, including the Orthodox Union, Star-K and OK Kosher Certification. In addition to China, many of the agencies certify plants in many other countries in Southeast Asia. An estimated $350 billion of ingredient products sold in the U.S. are kosher certified, nearly 70% of all ingredients sold. The major reason for this phenomenon is that most large food manufacturing plants in the country are kosher certified and require kosher ingredients. A major concern for kashrus agencies in China is the recent safety issues that have injured and killed civilians eating foods laced with melamine that were produced in China. Kashrus organizations are discussing instituting new procedures that will require Chinese companies to produce proof of adherence to strict safety guidelines.

December 29th Kosher Food Industry News

Kosher Consumers Faced With 25% Increase in 2008
New York…2008 was an expensive year for kosher consumers, a KosherToday survey shows. On average, kosher consumers who purchased cholov yisrael dairy products and glatt kosher meat and poultry rang up approximately 25% more than their non-kosher counterparts. This increase was above the increased cost for such items as milk, which increased by 26% and eggs by some 40%. In general, a kosher family of four that paid $150 for these items at the end of 2007, is most likely paying $225 for them today. The record prices for oil are blamed for the dramatic increase in food prices. Meat and poultry soared because of the shortages created by events at the Agriprocessors plant in Postville, Iowa. The price of corn, for example, doubled in the past two years. Wheat more than tripled during that period of time and many cheese prices have doubled. Kosher consumers have also had to deal with sharply increased prices for meat and poultry, which in some cases increased by nearly 30%. These increases could not have come at a worse time for many kosher consumers, as they cope with the devastating effects of the deepening recession. Retailers say that many hard-hit middle class families are scrambling for specially discounted foods, cutting back on luxury items and shopping at discount stores, which continue to add kosher items to their food aisles. Shoppers have become extremely creative in shopping, using more coupons and frequenting discounting chains.

Passover Hotel Programs Sweat Over Recession
New York…In a survey of managers and owners of Passover programs in major hotels throughout the country, most seemed cautiously optimistic that they would not suffer from the effects of the recession. Some told KosherToday feature writer, Raffi Rosenzweig, that it was still too early to know for sure, but at least one entrepreneur who has been running the special Passover programs for over a decade, said that he was not worried about two-thirds of his guests, but that he felt that it might be difficult to recruit the last third. He explained that at least a third of his clientele are loyal wealthy Jews, who he believes are mostly in tact from the ravages of the economic downturn. “The second third are people who do some hotel hopping, including showing up at my facility every two or three years,” he said. Many Israeli hoteliers are almost certain that they will have to discount prices to entice Israelis to spend the holiday at their hotels. The Israelis are used to this type of last minute discounting, especially when there is a slowdown in tourism due to security concerns. Despite the recession, there have been few hotel dropouts from last year’s list, although there appear to be less than a handful of new programs. The Israelis hope that the recession will not divert tourists to local destinations, which may in fact help U.S. programs. Passover begins on the eve of April 8th and ends on April 15th.

STAR-K Brings Kashrus to the Classroom
Baltimore, Md…Kashrus agencies in recent years have dramatically stepped up their kashrus education program, but mostly in yeshivas and kolelim (post graduate rabbinical study programs). But Margie Pensak writes that the STAR-K recently introduced a program that addresses youngsters in high school. The beneficiaries were an 11th grade class at the Yeshiva Toras Chaim in North Miami Beach, Florida, where Star-K kashrus officials shared some of their expertise with the students via videoconferencing. STAR-K Kashrus Administrator, Rabbi Zvi Goldberg, suggested that he and the students learn about the halachic implications of hydroponics. Through this video conference, the 11th graders were able to watch Rabbi Goldberg speak about the ramifications of hydroponics on the blessings for fruits and vegetables, the prohibitions regarding harvesting them on Shabbos and Yom Tov, and the implications of hydroponics on many aspects of kashrus. Rabbi Glazer, the teacher, used Rabbi Goldberg’s lecture, in conjunction with a high-tech hydroponic greenhouse tour, to reinforce his teaching lesson. STAR-K has been using Skype technology as part of STAR-K’s Virtual Online University, to teach kashrus basics to kosher novices around the world at their own pace, in the comfort of their own homes. In addition, local kashrus committees, rabbis and mashgichim all over the world benefit from Skype technology, when taking advantage of STAR-K’s InterAgency TeleKosher Conference series. These programs enable them to speak directly to kashrus experts from various agencies, in a non-political forum, posing their most pressing kashrus questions that are distinctive to their communities.

News from Israel

In 2009, Israel’s Food Industry Will Look Overseas for Growth
Tel Aviv…Israel’s food industry has just about given up realizing a dividend from regional peace. It apparently will not be able to count on significant domestic growth either. The opportunities will instead come from expansion overseas, including tapping into markets looking for kosher products. These were some of the conclusions of a the recently released Israel Food and Drink Report 2008 by BMI, posted on the website of the Israel Export Institute. There were a number of major mergers and acquisitions with the focus on the Strauss Group, a family owned business that is Israel’s second largest food manufacturer, with some $3 billion in sales and poised to become the world’s 3rd largest coffee producer. Investment bank UBS acquired 1.1 million shares in Strauss worth a total of $15.5 million). G. Willi-Food International, Israel´s largest food importer and supplier of kosher foods moved into the rapidly-expanding Russian market. The company signed an agreement with a Russian dairy distributor to form a joint venture.

Although food consumption in Israel is high, particularly by regional standards, BMI predicts that per-capita food consumption is due to decrease in coming years. A main reason for this is that mass grocery retail - traditionally a driver of increased food consumption levels - is already widespread and consumers are not, therefore, expected to significantly increase their food spending in such outlets. However, there is a growing demand for kosher foods in many European markets as well as in North America, which is why these companies are making the wise move of expanding into these more lucrative markets.

Israel’s Supermarkets Feel Crunch of Creeping Recession
Tel Aviv…by Idele Ross, KT Israel Bureau Chief…The recession has hit supermarket shelves, where November sales were down a total of 12 percent compared to the same month last year. A Nielsen poll for November found that nonessential items were particularly hard-hit, but sales were also weaker for basic foodstuffs like rice and eggs. The market research also found that consumers are switching to cheaper beverages and wholesalers are preparing for price wars in order to stimulate sales. One wholesaler told Globes that sales were very weak and wholesalers and distributors and both are referring to last month as ‘Black November’. Hardest hit were beverages, but the sales of food items thought to be almost recession-proof dropped by nine percent in almost all categories. The wholesalers said they were anticipating weaker sales, however, the reality was worse than expected. The good news is that fresh seasonal produce and fuel costs have declined significantly, so some food prices are actually lower. Even though the public is watching how they spend their food shekels, the cost of living index for the food sector was actually lower by 0.6 percent for November. Wholesale food prices declined by 2.4 percent for November and are expected to continue to drop even though people are buying less.

Israelis Respond to Major U.S. Demand for Hummus
Jerusalem…Forget Israeli high-tech and agricultural products. Americans in growing numbers are turning to hummus, prompting Israel’s two biggest makers of the creamy Mediterranean chickpea paste to expand in the U.S., a Globes report says. Both the Osem Group and the Strauss Group, have big plans for the American market, hoping to cash in on what they say is the growing American appetite for hummus. During the past decade, hummus has moved beyond the ethnic and kosher food niche and solidly into the American mainstream, filling supermarket refrigerator cases and showing up on restaurant menus nationwide.

December 22nd Kosher Food Industry News

MAJOR GAIN FOR KOSHER IN 2008: 5,389 New Kosher Products in 2008, Mintel Study Shows
New York…Kosher certification was the nation’s leading claim on new products this year, according to Mintel, which suggests that the growing interest may be more to do with food safety than religion. Mintel, a leading international research organization which also conducted two major studies on kosher, said that kosher was in first place with 5,389 new launches in 2008 in a top ten list of claims for new food and beverage products, followed by “all natural” and “no additives/preservatives”. This major surge is rapidly driving the number of kosher products sold in the U.S. with kosher certification to a record 112,500 products with sales of over $12 billion. This shows a continuation in popularity for kosher, as it was also the most frequently used claim on new products launched in the U.S. during 2007. The research indicated that more than half of consumers who purchased kosher products did so because they considered them to be safer than products not certified as kosher. They believed that kosher food was produced under stricter supervision than is provided by government inspection, and for many consumers, the kosher symbol guarantees that the food is free of contaminants or disease.
It said: “This was especially true for beef as consumers who fear BSE (mad cow disease) feel that kosher beef provides a better option than conventionally raised beef.” There was evidence in many parts of the country that non-traditional kosher consumers were buying kosher meat products, much of which may have changed following the events at Agriprocessors, which sold most of the meat products in the nation’s supermarkets prior to a federal raid on its Postville plant on May 12th.

Mintel said it would also be beneficial for manufacturers and retailers of kosher products to educate consumers about the positive attributes of kosher, outside of religious reasons. It said that two specific examples of kosher consumers for non-religious reasons are lactose-intolerant consumers, and vegetarian consumers. The former because they are able to verify that a kosher product is dairy-free by checking the kosher certification label rather than scanning the entire ingredient list. And the latter because kosher products that do not contain meat are more clearly labelled than other types of products, appealing to vegetarian consumers.

According to the GNPD, 4,477 new kosher-certified processed food products were launched in the U.S. in 2007, compared to 1,491 in 2005 and 399 in 2003. The 2008 top ten claims for new products were: Kosher; all natural; no additives/preservatives; organic, microwaveable; transfat (low/no/reduced); fat (low/no/reduced); premium; low/no/reduced allergen; calorie (low/no/reduced).

Symbols With a Better Designation on More Kosher Food Packages
Brooklyn, NY…With nearly 1,000 kosher symbols on products selling in the U.S., consumers already have a good deal to cope with, although for the most part most large retailers carry only a handful or so of the leading symbols. But some agencies are going much further in disclosing the nature of the kashrus right on the package. Writing in the Winter 2008 of Kosher Spirit, published by the OK Kosher Certification, Rabbi Yosef Dovid Chanowitz lists 8 different Circle K designations, including Pareve, D Cholov Stam (not Chalav Yisrael), DE Dairy Equipment, Cholov Yisrael, M (Meat) Chasidishe Schechita (slaughter performed in accordance with Chasidic practices), F (Fish), P (Pesach or Passover) and Pas Yisroel (baked under supervision). Some of the leading kashrus organizations do not use many of these designations including DE (dairy equipment) and Fish. Rabbi Chanowitz warns that “certain items have additional kosher indicators.” He gave as an example a package of tilapia that included the caveat “only kosher when patch of skin is applied.” Most kashrus agencies are united in the use of such designations as Pareve (that is spelled out), P as the designation for Passover and D for dairy that automatically means that it is not Chalav Yisrael.

A Madoff that Made a Major Contribution to Kosher
New York…Ruth Madoff, wife of the disgraced Bernard Madoff, was one of two executive editors of a kosher cookbook that remains one of the classic kosher cookbooks in the past decade. “The Great Chefs of America Cook Kosher” received high marks from Nina and Tim Zagat: “This book should forever dispel the notion that kosher food can’t be interesting, up-to-the-minute, and – most of all – delicious." The book, a project of the Hebrew National Fund, included kosher recipes from such celebrated chefs as David Burke, Anne Rosenzweig, Bobby Flay, Michel Richard, Rozanne Gold and Mark Strausman. Several of the chefs even appeared at Kosherfest in the late ‘90’s to promote the book with their recipes being featured at the official reception. In the book, the executive editors thank Bernie Madoff and his sons Mark and Andy as well as their wives. In the bio of the book, Mrs. Madoff is described as the “Director of the Bernard L. Madoff Investment Securities with a lifelong interest in food and health.” She holds an MS degree in Nutrition from New York University.

More Kosher Consumers Turn to Home Cooking
New York…Several kosher retailers interviewed by KosherToday say they have noticed a definite increase in home cooking. This is corroborated by Judaic stores who report unprecedented sales of kosher cookbooks, with the most popular being the series by author Susan Fishbein. The retailers say that they have noticed a change in the basket, shifting from more expensive gourmet items and frozen dinners to many raw ingredients, including cake mixes, frozen fruits and vegetables, and baking supplies. They are also noticing a more frugal customer, being very careful not to overstock pantries. A Boro Park grocer said: “There is definitely more planning than impulse buying.” On-line recipe sites seem to be in hot demand, even in the general consumer market. According to comScore Media Metrix, Allrecipes.com, the world's #1 food site, posted its largest traffic month ever in November with 10.7 million home cooks visiting the site. In a survey of its visitors, Allrecipes found that 80% of respondents plan to cook at home more in 2009 to help manage food budgets, 61% of respondents reported eating out at restaurants less in 2008 and that number expected to remain the same in 2009 and 59% expect to increase their use of coupons in 2009, a 55 percent increase over 2008. The KosherToday interviews showed that the degree of the changes depended on the neighborhoods interviewed. with major changes in the Upper West Side, Kew Garden Hills and Flatbush and less dramatic changes in Baltimore and the Five Towns.

Jewish Poverty Agencies Feel Economic Stress this Chanukah
New York…At Masbia’s Boro Park kitchen, entire families have been showing up in droves at the doorsteps of the community’s only soup kitchen. At many Jewish community centers, middle class families suddenly devastated by the economy are showing up for assistance, according to William Rapfogel, executive director of Met Council on Jewish Poverty, the coordinating agency for the community councils. Federations around the country are also reporting a sharp spike in requests for assistance, including food. The recession is having a devastating effect on many Jewish households, say the agencies, many of which are having a hard time meeting the increased demand. In Flatbush a well know city-wide kosher caterer used meals from a cancelled affair to feed the needy. In a letter to Mr. Rapfogel, Ruthie Steinberg, director of Project Care wrote: “Words are insufficient to convey the gratitude felt by the clients of Project Care of The Council of Jewish Organizations of Flatbush. The meals, prepared and packaged by Foremost Caterers, given to and delivered by Met Council, were truly delicious and extravagant. Many clients were brought to tears by the benevolence of your organization. It truly will be a very Happy Chanukah for the elderly of Brooklyn who have benefited from this food donation.” In one case, an agency reported that a former contributor who had fallen on hard times had himself become a client. “It was sad to see a man who had always contributed generously to our agency ask for a meal to be delivered to his home.” The story, unfortunately, kept repeating itself in each community, with the cumulative effect still being calculated. Said the agency head about the turn of fate for the contributor: “There is no doubt that many in the Jewish community need another Chanukah miracle, and soon.”

No it’s Not Passover as Wines Gain in Popularity this Chanukah
New York…Only days before Chanukah an upscale wine and liquor store opened on Avenue J in Flatbush with a great deal of fanfare. The store sticks out in a sea of ordinary looking storefronts. On-line gift sites say that good wines have become a part of the “Chanukah gelt” of many of their more expensive baskets. The Kedem Royal Wine family issued its list of recommended wines for Chanukah from France, Australia, Italy Israel and California. They include Bartenura Moscato from Piedmont, in its attractive blue bottle, the 2007 Château de Parsac, 2007 Baron Herzog Contour The new 2006 Psagot Viognier, the 2007 Binyamina Yogev Cabernet /Petit Verdot, 2007 Chateau Courtieu , 2008 Teal Lake Sparkling Muscat, and from Australia comes the 2008 Altoona Hills Shiraz Rose. Incidentally Royal received some more good news recently when 40 wines, produced or imported by Royal Wine Corp USA, were named winners of Gold or Silver medals of the Terravino”, the Mediterranean annual Wine Competition. In Israel as well, good wines have become a popular gift item this Chanukah, according to wine industry sources. One senior high tech executive received a dozen jelly doughnuts (sufganiyot), 6 latkes (potato pancakes) and a bottle of Binyamina. Now there’s a Chanukah gift!

Imported Meat Helps Meet Ongoing Shortages
New York…A well known Manhattan caterer was only too happy to receive a large shipment of ribs that had just arrived from South America. Kosher food industry sources say that there has been a sharp increase in the availability of the imported meats to make up for the ongoing shortages caused by the bankruptcy of Agriprocessors in Postville. Some supermarkets have not had any kosher meat on their shelves for nearly three months while others are filling some product from local distributors. One kosher consumer writes on her blog: “I’ll fill the Chanukah table this year with chicken, potato latkes and plenty of jelly doughnuts since I have not been able to get any flanken.” Meanwhile Agriprocessors has resumed a limited slaughter of some of the 750,000 chickens in its possession. A rumored deal with Quantum Partners of Boca Raton is said to have fallen through after the receiver is said to have balked at having the Rubashkins continue in a management role. Sources say that other groups of interested buyers continue to knock on the door even as a possible breakthrough is growing increasingly remote.

Here and There…

Cedar Rapids… A statement by U.S. Attorney Peter Deegan Jr. denying Sholom Rubashkin bail because he is a flight risk was labeled by several Jewish leaders as “anti Semitism at its worst.” It was especially lambasted as master swindler Bernard Madoff was allowed to go home. Mr. Deegan said that “if defendant were released, he would easily be able to immigrate to Israel under Israel’s right-to-return law, and would be allowed what essentially is…as a practical matter, dual citizenship.” Rubashkin’s attorney argued that this effectively discriminates against all 5.3 million American Jews. Bob Tieg, a spokesman for the U.S. attorney’s office in Cedar Rapids added fuel to the fire when he said that the government was not singling out Jews. “If someone was a citizen of Guatemala or had dual citizenship with that country, he said, a similar argument would apply.” One Jewish leader said that Rubashkin was unfortunately caught in the web of anti Jewish feelings in Cedar Rapids while Bernie (Madoff) was in the “sensible and tolerant environment of New York.”

Kiev… A Ukrainian meat company has followed in the footsteps of Canadian and Tasmanian Salmon farmers, who sell their product world wide by mail. The Dnepropetrovsk Ukraine Meat company, are offering kosher meat by mail order. The meat is then delivered to the homes of customers, the service was initially started with four brands of smoked sausage, and it has now been expanded to a wide range of meat products, complete with a kosher certificate, which guarantees the meat was slaughtered in accordance with the Jewish tradition. Meat is now available right across the Ukraine, and to the city of Moscow in Russia.

Chicago... Consumers were warned that they should not drink Tropicana Brand Orange Juice with Omega 3 with meat. An advisory noted that the juice “correctly bears an OK-Fish certification and should not be used together with meat or poultry.”

December 15th Kosher Food Industry News

Chanukah Fever Hits Stores and Online Gifting
New York…Supermarket chains all over the U.S. are in the midst of the Chanukah season with the Menorahs already showing one candle despite the fact that the holiday is still almost two weeks away (begins Sunday evening December 21st). Most are promoting such items as chocolate coins, latke (potato pancake) mix and, of course, candles. At Jewel-Osco, a full line of Lieber’s products is featured in ads, including oil, applesauce, dreidels filled with chocolate coins, salt, and chickpeas. At stores like So-Cal there is the traditional latke mix and candles but also items from Israel like Osem’s popular Bisli snack for kids and mini-croutons. Winn-Dixie is promoting its expanded Chanukah offering, according to Robin Miller, communications director for Winn-Dixie stores.  “We’re providing shoppers with added value through special pricing on such items as Chanukah candles for 79 cents, chocolate coins are four for $1, and we are offering a buy-one, get-one special on potato pancake mix.” In addition to the specials at many of the Super-Valu stores, there is also a push for helping feed the poor, especially in these trying economic times, according to Yakov Yarmove of Super-Valu. In many bakeries and independent stores, there will also be an ample supply of sufganiyot, the traditional jelly doughnuts which are now available in many different flavors.

Unity Amongst Orthodox Groups on Separation of Kosher and Ethics
New York…For many of the participants at last week’s well-publicized discussions on the relationship between kashrus and ethics, the news was more of what did not happen than what was actually discussed. The event, which took place at the Yeshiva University campus and was covered by the New York Times, had no real fireworks and there was more unity than dissension. For the most part, three major Orthodox groups that had been involved in some way in the events in Postville, Iowa, agreed that the definition of kashrus would not and could not be changed despite a deep-rooted concern for the welfare of workers and animals. Rabbi Menachem Genack of the Orthodox Union, the major certification agency of Agriprocessors, remained true to the position his organization had taken throughout the Agri crisis.  Concern for ethics yes, but weaving those concerns with kashrus was quite another matter. While the OU did put pressure on Agri to clean up its act and even to replace its leadership, it never for one moment questioned the integrity of the kashrus which it supervised because of non-kashrus related concerns. Rabbi Avi Shafran of Agudath Israel, while not a certifying agency, also took a hard-nosed position against those who wish to redefine kashrus. His organization’s Council of Torah Sages had issued a proclamation against an attempt by Conservative rabbis to introduce a new standard of kashrus based on ethics that used the name Hekhsher, a takeoff from kashrus. “Lapses of business ethics, animal rights issues, worker rights matters — all of these have no affect whatsoever on the kosher value.” Rabbi Basil Herring of the Rabbinical Council of America echoed some of the sentiments of the two major Orthodox organizations. His rabbis had issued a long opinion about the importance of ethics but also stopped short of tying social justice into the Torah definition of kashrus. While many of the young social justice advocates affiliated with Uri L’Tzedek were less than satisfied, the major Orthodox groups had spoken in a forum that many of the activists have been proposing for some time. In many of the Orthodox blogs, the unity was applauded and it was as one writer noted “a victory for Torah,” even as the speakers reminded the audience that concern for social justice is also deeply rooted in the Torah.

Kashrus Agencies Use Technology to Manage Ingredients
New York…One of the most complex and labor intensive activities of kashrus agencies is the management of the ever-changing world of ingredients. In the past, paperwork was a time consuming exercise for companies, but thanks to technology, that has changed and continues to evolve. Last week, the Orthodox Union announced that its OU Direct website used by its certified companies to manage their accounts, became even more direct with the enhancement of Online Ingredient Automation. This newest feature enables companies to easily managetheir Schedule A’s and add ingredients via the web – avoiding the paperwork that registering these ingredients used to entail.  Companies will be notified by e-mail within six business hours if their applications have been accepted or if further review is necessary. The ingredients are then available for view and printing on the company’s Schedule A (ingredient listing per plant). The website includes each company’s Schedules A and B (Schedule B lists a company’s products); Letters of Certification (LOC) affirming that a product is certified kosher by the OU; a financial overview of the company’s account; applications for new plants, products and ingredients; variations of the famed OU symbol for use on labels and the OU’s Universal Kosher Database (UKD), which contains a record of tens of thousands of products that are certified by the OU and participating kosher certifying agencies.

At the OK Kosher Certification, an advanced system has been in place since 2004. Companies have online real time access to update their kosher data. OK certified companies easily apply for approval to use a new ingredient, replace or update an existing ingredient and manage their entire raw material system directly from the DigitalKosher portal. This paperless, efficient, interactive and secure system also allows for new product submittals, existing product reformulations and custom private labels in real-time and the submission immediately appears on an OK rabbi’s computer screen for evaluation. It has also been tracking precisely which kosher certificate the company sent their customers and can automatically send any update to them. Many of the other major certification agencies in the U.S. and overseas are also constantly upgrading their technology prompting one kashrus official to note: “Technology is the kosher manufacturer’s best friend, since it instantly enables them to communicate changes with their agencies and thus not jeopardizing their kosher status for even one minute.”  

Kosher Food for Inmates Tested Again and Again
Washington…Nevada became the latest battleground for the right of prisoners to receive kosher foods.  In its Dec. 2 ruling, the Ninth Circuit Court of Appeals ruled that the lower court ”erred in issuing a summary judgment against Mr. Parks (an African-American man who says he converted to Judaism) by failing to apply the strict scrutiny standard required by the Religious Land Use and Institutionalized Persons Act (RUPIAH)." Parks has claimed that his constitutional rights were violated because he was initially refused kosher food on the grounds that he couldn't show a "hereditary connection" to Judaism or deep understanding of the religion. Attorneys for the Orthodox Union and Agudath Israel of America, two major national Orthodox Jewish groups, praised the ruling. In September, officials at Ely State Prison in Nevada began providing Parks with kosher food after he reportedly lost about 45 pounds. The appeals court ruling determined that his claim for damages isn't erased because he is now receiving the food. But Orthodox groups told KosherToday “that for some reasons states take turns in challenging a concept that the U.S. Supreme Court has long since ruled as binding on prison authorities.”

Forget the Roast Beef: Let’s Do Pastrami and Chicken
New York…The parents of a New York bride were somewhat stunned when a prominent caterer confessed that he had not been able to locate enough roast beef for the upcoming wedding. The caterer said that his supplier could not promise to have the roast beef in sufficient quantity in time for the wedding. This is one of many such stories relayed by kosher caterers throughout the country as they continue to cope with spot shortages. The caterer said that he had added a line in his menu agreement “subject to availability.” Another caterer said that while he was able to get product, “I am not ecstatic over the quality.” Yet another caterer said that he had a long relationship with a prominent purveyor and that his supply was never interrupted. Most of the caterers agreed that the shortages would be “short-term”, but they also expressed concern about price, saying that they found it hard to pass on the higher costs “at a time when so many people are hurting.”

The People of the Book and Bagels
New York…Just when you thought that you have heard of every type of bagel store comes Books & Bagels, an upscale kosher cafe that combines good food with good books. The food includes such goodies as a wide assortment of freshly baked bagels and pastries along with a selection of fine coffee and teas. As for the books, it ranges from children’s books to cookbooks and books on spiritual topics. This warm and friendly cafe makes this a true find in the heart of a major and bustling city. Books and Bagels Cafe in Chelsea is Strictly Kosher, Cholov Yisrael/Pas Yisrael, and is under the supervision of Rabbi Naftali Rosenstreich of Chabad Lubavitch of Gramercy Park. The big question is whether this new concept is ready for takeoff in many Jewish neighborhoods. Is that how Starbucks started?

News From Israel

Orthodox Multi-Media Group Guides Many to Kosher Life
Bnei Brak…by Menachem Lubinsky…In a non-descript building in this Orthodox city of 100,000, a modern multi-media center boasts nearly two million annual unique hits on its website (www.hidabroot.org) and tens of thousands of viewers on the YES and HOT  cable channels. Amongst its staff of 65 who man the offices, graphic studios, and broadcast studios here and in Jerusalem (in many rooms no larger than a closet), is a team of rabbis who respond to the sea of questions on Judaism, a significant number on kosher law. Isaac Fried, a young Chasidic Jew, whose main occupation is being an owner of a fish market in Jerusalem’s Kiryat Belz, not far from the magnificent Belz synagogue where he prays, is the founder, architect and dreamer of Hidabroot, now a 24-6 live multi-media center that has taken Israel and the diaspora by storm. Although the site is in Hebrew, Fried has recorded the well over 300,000 unique hits from the U.S., which is giving rise to his dream of going multi-lingual with English being his first priority. Faced by financial hardships like most other charitable organizations nowadays, Hidabroot had recently let go of 15 staffers, but Isaac says, “unlike other charitable causes, I do not have the luxury of going dark for even one minute, including the Shabbos, when viewers overseas in different time zones tune in. “How can I make my house kosher?” asks one viewer. He receives his answer within hours and also a tape or booklet by such notable Israeli lecturing giants as Rabbi Zamir Cohen. “I wish I had the resources to take a camera crew into the supermarket and teach tens of thousands of Israelis how to shop kosher,” says Fried, who says that on the eve of Passover, Hidabroot was flooded with questions from all over the world about making their homes kosher for Passover. Remarkably, Fried operates in a part of Israel that has shunned such media as the internet and cable tv. But Fried says that the foremost rabbinical scholars realize that Hidabroot “has put outreach to non-affiliated Jews in the fast lane and that the media outlets are the arenas for modern-day Jews.” 

December 8th Kosher Food Industry Headlines

BREAKING NEWS: Kosher Facilities for Aging Stung by High Prices and Shortages
Washington, DC…The nation’s facilities for the aging that serve kosher food have been severely impacted by rising prices and ongoing meat shortages. KosherToday has obtained a copy of the December e-News published by the Association of Jewish Aging Services of North America, which includes a survey of facilities in North America. Several of the agencies reported that they were able to supply their kosher kitchens, but complained bitterly at the soaring prices.  “We are currently working with an Agri subsidiary, Best Value, and we have back up plans with West Side,” wrote Marshall Seiden, Chief Executive Officer of Menorah Manor in St. Petersburg, Florida. “We are seeing a tight market in our area and how this pans out will show up in next two weeks,” said Brian Haley, Director of Dining Services at the Jewish Home of Rockleigh, NJ. “We are experiencing large price increases in chicken and red meat products and are starting to see our orders not completely filled as a result.” The same assessment came from Marian Rokeach of the Fountain View facility in Rockland County. Some of the facilities are having difficulty obtaining veal and lamb. Martin A. Goetz, Executive Director and CEO of River Garden Hebrew Home for the Aged in Jacksonville is concerned about Medicaid reimbursement for the higher priced meats. “With current and pending reductions in Florida Medicaid funding about to take another $350,000 from our already grossly inadequate reimbursement, it will be impossible for us to throw significantly more dollars into kosher foods.” Sporadic shortages were the order of the day for the Edith Stein Assisted Living Residence in Somerset, NJ. In an extreme response, rabbis in Northern California decided to ask the Reutlinger Community for Jewish Living to go vegetarian.  Jan  Corran of Reutlinger noted, “The beef we are getting is not the high quality we are used to and our residents are less than happy. We have redone menus to accommodate more poultry and less beef/lamb products. If anyone has a good source or solution, please share. We do know that all of us are vying for the same lamb chop.” Harley L. Tabak, CEO of the William Breman Jewish Home in Atlanta, said that he has  been unable to find a reliable source for our kosher meats.

Kosher Chicken Sales Soar Even at $2.89 a Pound
New York…Kosher consumers are buying more poultry than ever before, retailers say. Stepped up production of chicken by many purveyors, led by Empire of Mifflintown PA, has stabilized the supply of chicken, as opposed to the sporadic availability of beef in many markets. The surge in demand comes at a time when the cost for kosher poultry has hit record prices with most charging above $2.50 lb and some stores charging as much as $2.89 a lb. Retailers say that many of their customers have simply given up on beef and are now routinely buying more poultry. Julie Jacobson, a manager at Roslyn Kosher Foods in Albertson, said poultry is up "maybe 30 percent." More poultry will also be arriving from Postville, where a bankruptcy court on Monday allowed a resumption in the production of some of the 750,000 chickens owned by Agri that were being fed at a cost of $50,000 a day. A bankruptcy judge in New York's Eastern District awarded the company $2.5 million in advances from First Bank Business Capital of St. Louis to finance plant operations through Dec. 12th. Some retailers who have relied on Agriprocessors for years are making arrangements with other purveyors to supply kosher beef. Steve Ravitz, owner of the Kosher Experience at ShopRite in Cherry Hill is said to have made such an arrangement with an Agri competitor, promising customers a resumption of the supply of kosher beef. "Hopefully, we'll be back to 100 percent by next week," said Mr. Ravitz. He said that supplies of beef have been spotty, but chicken has been available. Chicken sales in the general market have gone up 6.7% in 2008, three times the overall growth rate for retail and foodservice meat, according to The Fresh Meat Market in the U.S. Chicken was also good for 6.3% growth at retail in 2008, despite a dip in beef retail dollar sales and a nose dive for specialty meats.

Meanwhile, the Hain Pure Protein Corporation, announced last week that it had entered into a joint venture with Pegasus Capital Advisors, L.P. to expand its Plainville, New York facility to meet the growing demand for natural, antibiotic-free, vegetarian-fed, kosher poultry products. The company expects to furlough approximately 90 employees in the beginning of January while the plant is modified to accommodate the new kosher process. Production on the new kosher line is expected to begin in late February, 2009. "Plainville Farms continues to be one of the leading suppliers of natural, antibiotic-free, vegetarian-fed turkeys in America, and we look forward to adding this production to our New Oxford Foods facility," said David Wiggins, President of Hain Pure Protein and formerly Chief Executive Officer of Empire Kosher Poultry.

Retailers Hope for Robust Chanukah Sales Despite Recession
Chicago…Customers who buy Kineret or United Soup Kitchens Hunger Relief of Israel products at Albertson’s or Jewel-Osco of SuperValu this Chanukah will see a portion of the sales go to the United Soup Kitchens Hunger Relief of Israel. The promotion is part of the chain’s marketing program in advance of Chanukah, according to Yakov M. Yarmove,Business  Development Manager of Ethnic Marketing and Specialty Foods at SuperValu. Other chains and independents are also preparing an extensive promotion program in advance of Chanukah, which begins on the evening of December 21st. The retailers are hoping for a strong season despite some indications that customers will be cutting back on gift-giving and office parties. They are hoping that promotions will drive traffic to the stores despite the economic downturn.

Manischewitz is once again launching its Third-Annual Simply Manischewitz Cook-Off Contest with a prize valued up to $25,000. The company is hoping that customers will be resorting to home recipes and using some of their products for the 8-day Chanukah holiday. They are promoting recipes by best selling authors Sarah Lasry and Susie Fishbein. Lasry’s acclaimed cookbook, The Dairy Gourmet, includes the most popular recipes from her gourmet café Tastebuds Café. Fishbein’s popular book Kosher by Design-Short on Time, Fabulous Food Faster offers creative and festive dishes in celebration of Chanukah. These recipes are also great for taking the chill out of a cold winter evening. The live final Cook-Off competition takes place on February 13, 2009.

Mumbai Tragedy Points to Growing International Reach of Kedem/Gefen
New York…The brutal murder of Rabbi Aryeh Leibish Teitelbaum, 37, and  Rabbi Bentzion Kruman in Mumbai, placed a spotlight on the expanding role of kashrus throughout the world, but it also pointed to the extraordinary growth of the Kedem/Gefen brand. The two rabbis were in India to certify the kosher production of canned mushrooms for Gefen. Kedem, already known for its extensive line of quality kosher wines from throughout the world, is also expanding its food line under the Gefen label. It has become a major importer of Israeli foods and wines.  The products were a central focus of the recently held Kosherfest, where it has been one of the bellwether exhibitors since 1988 when the show was founded. It continues to search for quality products throughout the world and at this year’s Kosherfest introduced many new kosher foods and wines, including Yehua Light Matzos (30% less calories with its whole wheat bran ingredients), Kedem Flaxseed Crackers, Kedem all Natural Premium Grape Juice (voted Best New Product in the Beverage category at Kosherfest ’08), Porto Cordovera Late Bottled Vintage Port, Teal Lake Muscat, and Baron Herzog Comtour.

Kosher Industry Expands Well Beyond Traditional Foods
New York…If Doron Fetman has his way, the nation’s airports and sports arenas would one day offer kosher food from one of his high tech vending machines, many of which are already in place at airports, hospitals and malls. The machines were on display at last month’s Kosherfest and also in Terminal 4 at JFK International Airport. The machines combine a freezing and heating capability which offers customers such foods as Meal Mart hot dogs, pizza, onion rings, baked ziti, potato knishes, and mozzarella stix. Under Kof-K certification, the items are either glatt kosher, cholov yisrael, or pas Yisroel and appeal to customers looking for foods with the highest kosher standards.  This was but one of a number of booths that stood out at Kosherfest, which was celebrating its 20th anniversary at the Meadowlands Exposition Center in Secaucus NJ on November 11-12.  One booth that certainly attracted a great deal of attention featured decorative eggshells with uniquely shaped Vodka bottles. Called the Vodka “Imperial Collection”, it came in such colors as emerald, sapphire, ruby, onyx and marbel (some combined with pearls). The price of approximately $1000 also received notice, but it certainly made for an exquisite kosher gift. Foodservice and ingredient items also drew considerable attention. One nursing home buyer seemed to delight at the whole wheat hotdog and hamburger buns that Mottie Atlas of Pas Yisroel was having him sample. Arnold Feldman of Ardalin of Saddle River, NJ had a line of frozen pastries that seemed ideal for one supermarket buyer looking to add kosher bakery to his kosher offerings. Several manufacturers were eyeing the kosher gelatin under the brand Kolatin, launched in 1991 by the late Rabbi Shimon Eider of Lakewood NJ. The presence of non-kosher gelatin has always been an impediment for many products seeking to go kosher. The OU certified Kolatin is bovine derived, which is superior over other kosher gelling agents like fish-derivatives. This year’s Kosherfest featured many eye-openers for first timer. A buyer from a major discount chain could not believe the kosher beef jerky from R.J’s, the line of Asian sauces from Thailand by Pantai or even the line of frozen Chinese  foods by China Mehadrin. The buyer said that he had found so many “interesting and exotic dishes” he had forgotten to look for the gefilte fish and chopped liver. 

New Kosher Toothpaste Launched as Rabbis Express Concern Over Kosher Status of Toothpaste
New York…A new kosher toothpaste  was launched by American Lion Toothpaste Manufacturing. Recently certified by the OU, the toothpaste produced by a Malaysian company was on display at last month’s Kosherfest. While  kosher consumers have always taken for granted that toothpaste is inherently kosher,  kashrus organizations say that there may be reason for concern, primarily because of some of the new flavors that are marketed nowadays. The most kashrus sensitive ingredient often found in toothpaste is glycerin, which is often animal based, and usually makes up one third of the product. Glycerin which is not certified kosher should be assumed non-kosher, rabbis say.  “We’re very proud to have met the strict kashrus standards of the Orthodox Union,” said  A-L executive Joereen Koek, daughter of the Malaysian company’s founder. “And we’re pleased that our devotion only to toothpaste gives us the expertise to deliver popularly priced products that kosher consumers can use with confidence.”

New Goat Cheese Launched for U.S. Kosher Market
Elizabeth, N.J…The Israel dairy industry includes purveyors that offer goat cheese, popular with many seeking to avoid the conventional cheese because of allergies or because of preference of taste.  Celebrity International, Atalanta Corporation’s brand of Canadian goat products, has recently put the majority of its fresh goat logs under COR kosher supervision. The flavors include Plain, Honey, Cranberry and Cinnamon, Garlic and Fine Herbs, and Dill. There is also a kosher Rum Raisin Goat which comes in logs and bulk for foodservice. Although Celebrity International, located in Ontario, is a relative newcomer to the goat cheese business, it has nonetheless created an international sensation with its innovative line of flavors. Its Cranberry and Cinnamon Goat—a creamy, spreadable chèvre log covered in sweet, tangy fruit—was one of the first to hit the market. Its success inspired other combinations. Because of the high quality of the milk, the cheeses are mild enough to blend with a variety of fruits and seasonings. The goats are fed from foodstuff produced on the farmstead, including high-protein roasted soybeans and corn. Naturally iodine-free sea salt seasons the cheeses, and they are all animal rennet-free, making them suitable for vegetarians. The COR hechsher is the trademark of the Kashruth Council of Canada, a Toronto-based organization which has been in existence for more than 50 years, and the milk is chalav stam. Atalanta, which showcased the products at Kosherfest last November, produces many kosher products including a kosher catalog. The goat cheese was just one of the many new cheese products that were on display at Kosherfest ’08.

From Here and There…

Chicago…The next AKO (Association of Kashrus Organizations) Vaadim conference will be held  at the Marriott West Palm Beach in Florida on Monday and Tuesday, February 23rd and 24th. Co-chairmen of the event are Rabbi Mordechai Fried of the KM Kosher Miami and Rabbi Pesach Weitz of the ORB.

Tel Aviv…by Idele Ross…Supersol has decided to lower the prices of basic foodstuffs in the wake of the economic downturn affecting Israeli households.  Effie Rosenhaus, CEO of Supersol, said that as Supersol is the largest grocery chain, they have decided to reduce the price of such essentials as flour, sugar, rice, eggs, subsidized bread products and pasta for those shoppers spending over $25.

Tel Aviv…by Idele Ross…Israel Food and Hospitality week took place last week with the annual Israfood trade show.  The annual event showcases food and beverage, as well as hotel food services and equipment at the Tel Aviv Fairgrounds.  Thousands of people involved in the food and hospitality services in Israel attend the expo which this year hosted French Chef Stephane Froidevaux who gave culinary workshops.  

December 1st Kosher Food Industry Headlines

Shock in Kashrus World, Concerns Over Security Mount Following Mumbai Murders
New York…The brutal murder of two kashrus officials in Mumbai, India by Islamic terrorists has sent shockwaves throughout the kashrus world. Rabbi Aryeh Leibish Teitelbaum, 37, and Rabbi Bentzion Chroman were in the Chabad House where four other Jews were executed, including its rabbi, Gavriel Noach Holtzberg (29) and his wife Rivka (28). The two were on a mission to inspect a mushroom plant that was doing a production run for Gefen but lost their lives when they stopped at the Chabad House for evening Mincha and Maariv services. Rabbi Teitelbaum is the son of Rabbi Nachum Ephraim Teitlebaum (Volover Rav), a highly respected authority on kashrus who certifies the plant along with the Orthodox Union (OU). KosherToday has learned that Israeli security officials are taking a fresh look at the security of places where Jews congregate around the world. Rabbi Chroman had survived a devastating earthquake in China and is the latest example of the peril faced by mashgichim who certify products and plants in over 75 countries. An Orthodox Union mashgiach was lost several years ago in a crash of a small plane. The big surge of international certification took place in the early ‘90’s when the demand for kosher ingredients in the U.S. soared, but kashrus officials say that they have generally refrained from sending mashgichim into countries they do not consider safe. An estimated 250,000 ingredient items at a value of $350 billion are said to be certified kosher. Kashrus officials say that they will review the security of some of the mashgichim who crisscross the globe to supervise plants. One rabbi told KosherToday that he would demand increased security from plant managers including arranging safe passage for mashgichim, but while it can work on an initial inspection, it is problematic in unannounced inspections. The kashrus world was in mourning over the loss of the two highly respected young kashrus rabbis, who left young widows and a large number of orphans behind. Although he functioned as the head of the Chabad house, Rabbi Holtzberg was also involved in kashrus supervision on behalf of the OK Kosher Certification. A large number of Chabad emissaries around the world are also involved in kosher supervision.

Optimism Over Future of Kosher Meat Supply Grows as Shortages Continue
New York…Kosher food industry sources believe that the market will ultimately respond to the current shortages of kosher meat. This was the consensus of kosher food officials in a week that saw a flurry of activity to deal with the ongoing shortage of kosher meat. While attention continued to be focused on the future of Agriprocessors, there were reports of increased imports from South America, stepped up production by smaller slaughterhouses and growing interest from overseas - from as far away as Australia - to fill the void. The Agri plant remained shut down last week amidst widespread rumors that the company was on the verge of a sale. Joseph Sarachek, the court-appointed receiver for the company, said he would try to reopen the kosher meatpacking plant in Postville this week, first for poultry then eventually for beef. Sources say that the receiver, with the agreement of the major creditors, was looking to increase the valuation before agreeing to any sale. Sarachek also said that he had brought in experts on kosher meat processing and that the Rubashkins were no longer involved. Sholom Rubashkin, the former CEO, remained in a Dubuque jail. Several rabbis involved in kosher slaughter said that they were actually hoping that several new local slaughterhouses would be opened regionally, rather than relying on the large national companies. The big question for them was how to satisfy the supermarkets with their need for advanced technologically vacuum-packed meats.

Leading Orthodox Jewish Organizations Vow to Preserve Schechita in the U.S.
Stamford, Conn…Leaders of the major Orthodox Jewish organizations pledged to work together “to do everything in their power to protect schechita (kosher slaughter) in the U.S.,” at a special session on Friday of the 86th National Convention of Agudath Israel of America. Avi Shafran, the director of Public Affairs for the organization, said that it was important “to recognize kashrus for what it is and what it is not.” He was referring to the attempts by conservative rabbis to add a Hekhsher Tzedek, verifying that production met all requirements in the treatment of workers, animals and the environment, which was strongly repudiated by the organization’s Council of Torah Sages. Rabbi Moshe Elefant, the COO of the Kashrus Division of the Orthodox Union (OU) agreed, but added that kashrus agencies must still be sensitive to those concerns even outside of the context of kosher supervision. Rabbi Elefant warned that despite meat shortages, kashrus agencies “must adhere to the highest standards of kashrus.” Rabbi Moshe Edelstein, Kashrus Administrator of K’hal Adas Jeshurun (KAJ), in reviewing the history of schechita in the U.S., singled out PETA for its opposition to the slaughter of all animals, including schechita. But the rabbi suggested dialogue with PETA to see if kashrus officials can possibly address some of their concerns without affecting the integrity of schechita. Rabbi Shafran also took issue with the media coverage of the events at Agriprocessors, calling it “overblown and totally out of proportion.” He particularly singled out a major national newspaper that referred to the Postville plant of Agri as a “jungle.”

Kosher Restaurants Cope With Meat Shortages, Quality Inconsistencies
New York…Kosher restaurants are committed to keep prices at bay despite the continuing shortages of kosher meat and periodic price increases. In a survey by Elan Kornblum ("The Restaurant Guy"), Publisher & President of Great Kosher Restaurants Magazine, the restaurants felt they could not pass along the increases during these economic difficult times. Mr. Kornblum said, “They are looking everywhere to try and fill the void with some cuts of meats that are harder to get (i.e. London Broil, rib eye, veal sweetbread, shoulder roast, pastrami, and even ground beef). Some are not getting close to the amounts that they need to order. The ones they do get run out of them often.” Jack Dock, owner of Mr. Broadway in Manhattan, said that while he does not use Rubashkin meat, he is paying as much as $9 for a pound of pastrami, which he called “an outrage.” Effie Nagar, owner of Talia’s Steakhouse located on the West Side of Manhattan, said that restaurants are not only dealing with shortages “but many restaurateurs no longer control the quality the meat.” He is spending an enormous amount of time on the internet and on the phone looking for sources of meat that meet his standards for kashrus and, of course, budget. Many of the restaurants are being more creative with their menus, offering diners alternatives to the meat dishes. The restaurateurs are convinced that the shortages will be temporary but in the meantime they also have to face a down economy. Some restaurants are complaining that meat suppliers are “avenging the fact the we weren’t their customers previously.” Like everyone else, the restaurants are looking ahead to the return of the good ‘ole days.

Kosher Cheese Makes Major Inroads with Kosher Market
Secaucus, NJ…(Continuing series on new foods and new trends at Kosherfest)…Kosher consumers in the U.S. are finally developing a palate for good cheese, joining their counterparts in Europe and Israel. The trend was obvious at last month’s Kosherfest, which saw an unprecedented number of booths showcasing kosher cheese. Hershel Frankenthal, a third generation cheesmaker, sensed the opportunity three years ago when he expanded from foodservice to retail, marketing such cheeses as Gouda, cheddar and oven-smoked mozzarella, all under the Oneg brand. Hershel’s grandfather produced kosher cheese before World War II. There were several booths with kosher cheese from abroad, all gourmet and aimed at the customer with a discerning taste for good cheeses, like those under Les Petites Fermiers by California-based Anderson, or the cheese from Milk and Cheese in the large Argentine pavilion. Cheesmaking, like winemaking, has traditionally been a family affair like the Frankenthals, the Schmerlings in Switzerland, and of course the Thurms that put kosher cheese on the map in the U.S. Producing both Chalav Yisrael and regular kosher cheeses, the World Cheese Company still has the line for the everyday consumer including cheddar, havarti, mozzarella and the traditional Swiss and American cheese. While the Thurms have a great deal of competition these days, they still reign king on supermarket shelves and supply the majority of the cheese for chalav yisrael pizza.

News from Israel

Israeli Chain Makes its Move Overseas, in the UK
London…The rumors that have been circulating for months that a major new upscale kosher supermarket that was to open in Golders Green has been confirmed. Co-Op Israel, the third largest marketing chain in Israel, is set to launch the first of five planned stores early next year. Israel’s largest supermarket chains have long been rumored to eye the U.S. as a potential market for their growth. But sources say that most have been wary of taking on solidly entrenched local kosher stores. The Co-Op Israel chain is headed by CEO Rami Mandel and will be a joint venture with Co-Op Britain, which has apparently agreed to open a chain of independent kosher stores. Sources had believed that the Super-Sol chain would be the first to venture overseas. Co-Op Britain has some 700 stores and is considered the fourth largest marketing chain in the United Kingdom. Co-Op Israel is also the third largest marketing chain in Israel and includes 50 stores spread out across the country.

Israeli Manufacturers Concerned Over Growing Export Imbalance of Foods
Tel Aviv…by Idele Ross, KosherToday Israeli Bureau Chief…Israel’s growing imbalance between food imports and exports has manufacturers very concerned. The Israeli Manufacturers Association Food Division released data indicating that imports are growing faster than exports when compared to last year’s figures. The Division reports a 60 percent deficit between international food exports and imports. This translates into a gap of $660 million dollars for the period between January and September. Overall food exports grew nine percent in dollar terms to $685 million. Yet there was a 30 percent increase in imports to $1.3 billion. Exports to the EU grew 10 percent to $301 million; to the U.S., 37 percent growth to $92 million and to Russia 17 percent to $4.3 million. Exports include meat and poultry products, chocolate and sweets, wine and alcoholic drinks. Imports from the EU were up 15 percent to $702 million dollars; up 33 percent in the U.S. to $142 million dollars, including alcoholic drinks, sugar and confections, flour and pastries, cocoa and goods from cocoa.

U.S. Kosher Food Officials Tour Osem State-of-the Art Plant in Israel
Tel Aviv…Osem’s recently completed Logistics Center and Central Distribution is a world class facility that greatly impressed a group of well-known leaders in the kosher food industry in the U.S. The group included Yakov Yarmove (SuperValu), Sean Porter (Kehe Foods), Phil Gisondi (Osem USA), and Izzet Ozzgodan (Osem USA). They spent a week before Thanksgiving meeting with officials of the Israeli food giant, Nestle Osem Israel, including its president Dan Proper. Osem’s new Logistics Center and Central Distribution Center in Shoham is a world class facility, including a fully automated warehouse that holds up to 15,000 pallets at a time just in their back stock area (their staging area holds another several thousand), all with state-of-the-art robotics. They also visited the two Bamba manufacturing facilities, one in the embattled community of Sderot where katyusha rockets are once again raining down after a hiatus of a few months during an ostensible cease fire. The group toured various Osem-owned plants like Beit Hashita (olives and pickles), the Osem Yoknam plant (where the Osem cakes and cookies are made), and Tzabar Salads and Bonjour. The U.S. group visited stores of all of the leading chains Chatzi Chinam, SuperSol, Mega (Blue Square), as well as a host of independents in Jerusalem. While there, they visited the colorful Machne Yehuda market, where the group saw a real market at work. For both the Americans and the Israelis, the trip was of major significance as ties between the food communities grow.

November 24th Kosher Food Industry Headlines

Growing Interest in Kosher by Overseas Manufacturers
Secaucus, NJ…Kosherfest ’08, the international kosher food and foodservice trade show, which took place on November 12-13 at the Meadowlands Exposition Center, took on a decidedly international flavor with the participation of visitors and exhibitors from 28 nations. A noticeable addition was the impressive Argentine pavilion, sponsored by a host of governmental and business organizations in the South American republic. It included Cachami Herbal Tea, American Cleaning Center, Yanovsky with its uniquely shaped Matzoh box with a window, Inelec Technology Corporation, Kosher Winery Agentina and Marumatok with an assortment of fine wines and champagne, milk and cheese, Pozo products (baked goods) and the Argentinean Israeli Chamber of Commerce.

Only Israel, with $152 million in food exports to North America, had a larger pavilion. The mix of foods and wines was impressive, including tasty pastries from Macabim, pickled vegetables, olives and olive oil from Kvutzat Yavne, spices, seasoning and oils from Pereg Gourmet, the beautiful Matzoh packages from Aviv, the popular non-carbonated drinks from Prigat, Tehina from Prince and Alraz Tehina (nothing like the real thing), baked goods from Angel (the aroma is smelled for miles in Jerusalem), the incredible sweets of the Mahroum family in Nazareth, and a broad assortment of world class wines from Yarden Golan Heights Winery and Recanati.

Some of the larger and well known Israeli brands introduced a number of new products including, Osem and Tea Wissotsky. The Kedem/Gefen booth also appeared very international with its many food and wines from the around the world. The international showcase included many new and interesting items. There was the OU certified Pantai exotic sauces from Thailand with quality packaging and great taste. An Italian booth, i Sapori di Sarah offered a unique array of jarred treats that included olive oil with chocolate, fig jam, the Dolce Picccante chili spread, La Paesena (red and yellow pepperoni with spicy red peppers), olive oil and chocolates. Some other international exhibits included that of Frenchmen Laurent Benabou’s Fjord King Salmon from Ireland, products made with palm oil from Columbia, fluffy and well tasting frozen rolls, fruit filled pastries from Stadler, a company founded in Germany in 1927 and now partnering with Meir Daniele from Israel to bring these gourmet products to the kosher market. International companies say that a strengthening dollar and increased interest by importers and others in quality kosher products is providing them with a unique opportunity to sell products in the United States. In many cases, say he foreigners “getting in through the kosher door is an entrée to bigger and better things in the general market.” 

Alarming Increase in Kashrus Alerts Concerns Officials
New York…Arlene Mathes Scharf of Kashrut.com routinely posts kashrus alerts sent to her by kashrus agencies and others about products and companies that are undergoing change in the status of their kosher products. While Scharf says that she hasn’t noticed a particular spike in the number of alerts, she felt that kashrus agencies were better dealing with the unauthorized usage of their symbols. A review of alerts posted on sites like kashrut.com and the extensive list in Kashrus Magazine does seem to indicate a significant increase in the unauthorized use of kashrus symbols, certainly from just a year ago. Some kashrus officials feel that the increase was bound to happen, given the soaring number of kosher products and particularly the growing number of private label products manufactured in kosher facilities. Kashrus agencies say that they have been more aggressive in legally pursuing violators, particularly those that do not immediately cease and desist upon being discovered. Officials say that the leading offenders are those that misstate ingredients, particularly omitting important facts like a product being dairy. The officials say that this is often “hairy”, as some manufactures consider a trace to be benign. Alerts also sometimes only indicate that a product is no longer certified by a given agency and not necessarily that the kashrus is problematic. The agencies say that the expense for the alerts, which includes ads in Jewish newspapers, is very much a part of their budget, but some kashrus officials are concerned about the rising number of unauthorized uses of their symbols in the first place and the need to get accurate information to the customer as soon as possible. Problems with kashrus issues addressed in the alerts frequently become new standards for the consumer. For example, problems with some beer flavors produced by Anheuser-Busch led the agencies to issue a blanket warning to consumers that all flavored beer requires certification. In an age of more than 110,000 kosher products and more than 250,000 kosher ingredients, keeping the number of kosher alerts down is a huge challenge.  

Kosher Turkeys Available but Expensive
New York…Kosher consumers preparing for this week’s Thanksgiving Day will most certainly find turkey, albeit in limited supply, but they may be paying twice as much as they did last year, a KosherToday survey showed. Prices for the turkey, mostly by Empire Poultry, based in Mifflintown, PA ranged from as little as $1.99 per lb. to nearly $4/lb. in some markets. The dramatic rise is consistent with some of the higher prices across the nation for kosher fowl, with some markets reporting an almost weekly increase these days. While much of the increase is blamed on the glut in kosher meat and fowl, some are due to higher commodity and fuel prices, which are also causing non-kosher meat and poultry to rise. Some retailers decided to discount the turkey as a loss leader, which they hope will be made up by larger purchases for the holiday. Others simply passed along the increases that came their way. Most retailers reached by KosherToday seemed to have a supply of turkey, even as their shelves were otherwise bare of beef products. One retailer said: “Many of my customers bought the turkey almost two weeks in advance out of fear that I will run out of the product.”  Some customers were outraged at the price prompting the retailer to say: “It will be a chicken Thanksgiving for many.” While the price of poultry also continues to increase, it was on balance less expensive.

Shortages of Kosher Beef Continue as Rumors Abound and Kosher Meat Company Shuts Down
New York…Supermarkets in many parts of the country continue to experience severe shortages of kosher meat, as even the supply of packaged provisions is being depleted. The situation is far better in poultry, thanks to the stepped up production by Empire Poultry. Rumors continue to circulate in the kosher food industry that a deal is close with a potential suitor who would resume production at the Agriprocessors plant in Postville IA. The management of Agriprocessors has been attempting to restart the poultry line by appealing to the Bankruptcy Court in New York. Other potential entrepreneurs are also discussing possible new ventures to produce kosher beef.  Meanwhile, Sara Lee Corp. announced last week that it will stop producing kosher meat under the brands Best's Kosher, Sinai Kosher, Shofar and Wilno. This is a blow to some Jews who recently spoke of switching from glatt kosher to ordinary kosher brands like Sara Lee.  When Sara Lee announced plans to put the kosher meat plant and accompanying property up for sale, there was some interest by businessmen trying to consolidate and expand kosher production. Sara Lee’s acquisition of the brand, industry analysts say, was out of conviction that it could significantly expand the kosher brands, which in 1993 was said to have annual sales of $85 million. But the demand for the kosher product dwindled sharply in the ensuing years at the same time that glatt kosher experienced dramatic expansion.

New Kosherfest Exhibitor, Get Healthy America, Big Winner at Kosherfest
Plainview, NY…by Sarah Cohen…Kosherfest had no shortage of new and healthy products this year, as was reported in KosherToday. One newcomer, Get Healthy America Inc., took home no less than three awards. Get Healthy America won the Best New Cheese or Dairy Product award for its Eggplant Rollatini, Best Meat, Seafood or Poultry product with its Turkey Chilli with Beans, and the Health and Wellness Product for its Gluten-Free Penne Pasta with Meat Sauce. These products, along with some 40 products in the Get Healthy America line, are healthy single portion frozen meals. Marty and Debbie Cohen, owners of Get Healthy America, were extremely pleased with the Kosherfest results. “This was a great opportunity for us to showcase our products,” said Debbie Cohen. She explains that Kosherfest is the opportunity to present consumers with specialty items in the kosher food market. “If you have something special in the kosher market, you will find it at Kosherfest,” said Mrs. Cohen. Get Healthy America will be launching gluten-free baked goods in two weeks. “Our goal is to give consumers healthier meal and snack options,” continued Cohen. Aside from their two storefronts in Plainview and Cedarhurst, the products are available in the Metropolitan area in Fairway in Manhattan, Pomegranate in Brooklyn and select Shoprites in New Jersey. 

Kashrus Officials Discuss Responsibilities Beyond Kashrus 
New York…A New York rabbi working as a mashgiach in a baking plant could not believe that he had received an admonition from one of the owners. “Why did you not intervene the other day when two of our workers were fighting? After all, you are the rabbi!” The rabbi said that he explained that he was not in the plant to serve as the “ethics police” but to assure that the products meet the requirements of kashrus. The question of whether kashrus agencies and rabbis should be concerned with non-kashrus issues was also discussed at the November 13th annual conference of the Association of Kashrus Organizations (AKO) at the headquarters of the Orthodox Union. Rabbi Sholem Fishbane, AKO’s executive director related an unsuccessful petition to the rabbinic heads of the Chicago Rabbinical Council (cRc) by a group of Orthodox physicians not to certify any products that contain trans-fats, which have been proven by the medical community to be unhealthy. Rabbi Menachem Genack of the OU stressed the importance of taking into consideration any legitimate concerns regarding animal welfare and the sensibilities of the broader community for the sake of practicing shechitah without interference and to help attract non-religious Jews to maintain some semblance of a kosher home.      

Rabbi Chaim Dovid Zwiebel, Executive Vice President for Governmental and Public Affairs of Agudath Israel of America, related the opinion of the Council of Torah Sages (Moetzes Gedolei Hatorah)  that it is important to take a stance against people or groups that are not bound by Halacha but would like to redefine kashrus. While most rabbis reached by KosherToday agreed that the primary responsibility of the rabbis and the agencies was to assure the kashrus of the food they supervise, there were many that felt that they “should not turn a blind eye to inhumane treatment or other blatant ethical violations.” Following the story of his brawl at the baking plant, one leading rabbi told KosherToday, “There are others at the plant and in government to monitor the ethics, but there is only the mashgiach to monitor the kashrus, which is his first and foremost responsibility.”  

November 17th Kosher Food Industry Headlines

20th Annual Kosherfest in Dramatic Turn Towards Healthier Foods
Secaucus, NJ…by Menachem Lubinsky…Kosherfest 2008, which took place on November 11-12 at the Meadowlands Exposition Center, was a dramatic reflection of just how much has changed since the annual kosher food trade show was first launched in New York City in 1988. Many of the kosher products that were part of the legendary kosher cuisine over centuries were overshadowed by the new world of products that one could only dream of two decades earlier. The show was an impressive showcase of kosher foods that had made the grade in every respect: healthy, tasty, good packaging and an overall nice presentation. A walk through the huge exhibit hall with its more than 300 exhibits, many from all over the world, was enough to make any kosher veteran comment on just how much has changed.

One of the most striking developments was the large number of exhibits that featured gluten-free, vegan, natural and organic products. Nearly a third of all the exhibits featured products with one of these health characteristics, more than double of last year’s total and certainly a dramatic development over the last five years. Exhibitors told KosherToday that the kosher consumer “had made a major turn towards the healthier foods,” which explains why so much of the industry is now focused on natural and organic, spelt-free and began products. They also said that the healthier foods gave them a “better shot at the crossover (non-kosher consumers) market.” Some of the booths focused on eliminating allergens, such as I.M. Healthy with its variety of flavors of soy nut gluten-free peanut butter, affording even those allergic to peanuts the opportunity to enjoy the traditional spread with its taste intact. A vegetarian caviar marketed by Quality Frozen Foods, whose taste has been preserved, addressed those allergic to fish and allowed them to enjoy the gourmet caviar. Enjoy Life promoted gluten-free products that avoid allergens such as wheat, dairy, peanuts, eggs, soy and more. The company markets 24 products, including bagels, chocolate chip cookies and oatmeal. Pittsburgh–based Nu Go displayed energy bars that provide energy but are organic, vegan, low glycemic and gluten-free. Oxygen Imports had a good nose for new and different products, as evidenced by the best new product awards it has received in recent years, offered a variety of all natural flavored sauces (which could go well with their herbal tea from the Holy Land.) The surgeon-turned-food entrepreneur, Dr. Praeger, introduced gluten-free veggie burgers along with his existing impressive line of vegetarian and fish products. Mareblu Naturals also displayed an impressive array of natural foods, including many snack items.

A mother who was determined to raise her new baby on organic foods founded Bella Baby, a line of frozen organic foods. Launched in July 2007, Marisa O’Donnell’s Bella Baby won the Best New Kosher Organic Product at the show. A growing number of young mothers prefer feeding their children organic foods, many out of concern over autism. Of the many gluten-free products that are already doing well in the market, Shibolim, acquired by Kedem and marketed by Kenover Marketing, has an extensive line of products. Katz’s Gluten-Free bakery line is also a sure winner with its assortment of breads, cookies and ruggelach. Even pizza was available in gluten-free through Goldie’s Gluten Free Pizza.

At least a dozen booths were promoting all natural products, led by Kedem’s All Natural Premium Grape Juice. Even chocolate that looked every bit as genuine as ordinary chocolate was available in an organic sugarless format by TRU Chocolate. Many industry observers noted that the growing shift to healthier products was as dramatic as the introduction of hundreds of kosher gourmet items a decade earlier. One owner of a kosher store told KosherToday, “After seeing where this industry is going, I am most definitely opening an aisle in my store for health foods.” (More reports on Kosherfest in this issue and coming issues).

Kosher Industry Strong Despite New Challenges of Meat Shortages and Recession
Secaucus, NJ…That the kosher food industry in 2007-2008 continued an eight year streak of double digit sales growth despite the many challenges it faces, was the essence of the keynote address by Menachem Lubinsky, president & CEO of LUBICOM Marketing Consulting and founder of the 20-year old Kosherfest. Addressing an audience of prominent retailers and other industry leaders, Lubinsky said that the recent meat shortages were particularly problematic for supermarkets “that invested in a kosher program where fresh meat, bakery and fish departments were a centerpiece of the kosher set.” He noted that while the industry appeared to be weathering the impact of the recession, there were some noticeable behavioral changes in the buying habits of consumers. “We are observing a sharp decline in stocking items for the long-term and a move by many kosher consumers to shop for bulk kosher items in large discount chains like Costco, Wal-Mat and Target.” The marketing leader said that despite the recession, more than 20 new kosher grocery stores or sections in supermarkets had opened in the past year. “There is also a major upgrade of smaller stores that is being forced on them by the super-modern mega kosher stores.” Lubinsky noted that there was no evidence that the bad publicity on kosher meat had an effect on kosher as a whole. “On the contrary, many retailers reported their best holiday season ever this past October.” He noted that good merchandising is helping many stores improve sales of kosher foods. In his presentation, Mr. Lubinsky also reviewed the growth of kosher in foodservice, particularly in the education, hospitality and health fields. He reported that at least seven major hotels had opened new designated kosher kitchens in 2007-2008.

Wal-Mart Shows the Flag at Kosherfest
Secaucus, NJ…A high level delegation of officials from the Wal-Mart chain in Bentonville, AK toured Kosherfest last week in a show of the chain’s support for its kosher customers. With its more than 7300 stores in some 14 markets, Wal-Mart has emerged as the largest grocer in the nation and is of particular interest to the kosher food industry. In a release several years ago, the company estimated an interest in kosher in at least 400 stores nationwide. The delegation spent several days in the New York area, visiting Jewish communities and stores that are known for their focus on kosher. Several purveyors at the show already did business with the mega discounter, particularly during the summer months in the Catskills where its stores are popular with vacationing kosher customers. This past summer several purveyors complained about the reception that they had received at the Catskills store, which the officials pledged to correct. Calling it a fact-finding mission, the delegation said that it was committed to better serve the kosher customer and to being sensitive of the cultural needs of the Jewish community. Rabbi Yaakov Horowitz, the well known rabbi who also supervises the kashrus at Manischewitz on behalf of the Orthodox Union, hosted the delegation during their visit to the New York area. The group said that it had learned a great deal and that it would report its findings to senior executives in Bentonville.

Rush to Fill Void in Kosher Meat and Poultry Leaves Some Rabbis Concerned
New York…In some of the back rooms and even behind some of the exhibit booths at Kosherfest last week, there was a great deal of discussion about filling the void of the current kosher meat and poultry shortage throughout the country. Groups of investors continued to stream to Postville in an effort to restart the kosher meat and poultry giant that had all but ceased operations by the weekend. Sholom Rubashkin, the former CEO of Agriprocessors, spent Shabbos in a Dubuque jail after being arrested on bank fraud charges. Rubashkin was already free on bail from earlier federal charges that stemmed from the May 12th immigration raid at the Postville plant. Potential investors were pouring over books and trying to come up with a formula that would satisfy creditors, most notably the First Bank Business Capital, which was suing Agri for defaulting on a $35 million bank loan and restarting production. Meanwhile, other meat purveyors, both kosher and non-kosher, were tossing out trial balloons, prompting at least two rabbis to express concern that the high standards of glatt kosher meat might be compromised in the rush to fill the void.

With Thanksgiving Day looming, Empire Kosher Poultry announced that it had stepped up production of turkey and that it would “significantly expand production of kosher chicken, increasing its output by 50%.” The announcement also pledged to reduce the price of fresh chicken cutlets (skinless and boneless chicken breast) by at least 10%, effective November 24th. Retailers told KosherToday that as recently as last week, Empire had raised the price of chicken by 30 cents a pound. KosherToday had also learned that Empire’s attempts to enter the kosher beef arena through an arrangement with Texas-based AD Rosenblatt Meats had fallen through. The Empire poultry expansion will add more than 100,000 additional kosher chickens each week into the consumer market.

The kosher meat glut has prompted some conservative rabbis to call for an increase in the availability of ordinary non-glatt kosher meat to please constituents who cannot find glatt kosher meat. Some PETA members and Jewish vegetarian advocates are calling the shortage a blessing in disguise, in the hope that the shortage will finally cause Jews to go vegetarian and refrain from using meat from slaughtered animals. Richard H. Schwartz, President of the Jewish Vegetarians of North America noted, “Although we deeply regret the effects on workers and the local communities, we welcome reports that the recent shortages of kosher meat due to the closings of the Agriprocessors' largest glatt kosher slaughterhouse in Postville, Iowa and other slaughterhouses have caused many Jews to switch toward vegetarian diets.” A blogger who expressed the hope that the demise of Agri would lead to the replacement of the beef and poultry by an eager market was answered by a rabbi, “that’s like letting GM die because some smaller companies will produce cars as well -- cars none of us would drive.”

Newcomer to Kosherfest, Zelda’s Sweet Shoppe, Winner of Awards and Compliments
New York, NY…by Sarah Cohen…When a rookie wins the triple crown and then some, it certainly creates a stir. Such was the case at this year’s Kosherfest when newcomer Zelda’s Sweet Shoppe took home four awards in four different categories in the show’s coveted New Product Competition. Zelda’s won the top honor with its Best in Show award for its Southern Pecan Pie. This sweet dessert, with a hand formed crust, high quality nuts and Belgian dark chocolate, was also the winner of the Best New Dessert, Candy, Cookie or Cracker category. Along with these impressive wins, Zelda’s Sweet Shoppe was also the winner of the Best Packaging/Design award with the Bark, Brittles and Toffee Series as well as winner of the Best Snack Food with Zelda’s Caramel Corn Series.

Lindsay Martinko, Vice President of Zelda’s Sweet Shoppe, was ecstatic over the recognition, noting that “since our win, we have received many calls from interested distributors and customers.” Martinko explains that Kosherfest is the first big trade show that Zelda’s had ever participated in and that it had definitely been a successful show. “It is an honor to be part of Kosherfest and have our products so well received by the public,” said Martinko. “Kosherfest has given us a lot of recognition and possibilities to expand into the east coast markets.” Martinko hopes to be available in the east coast markets in the near future. Currently, Zelda’s products are sold in the midwest at Jewel grocery stores as well as at their retail store in Skokie, Illinois, or on their website.

Beer May be Inherently Kosher but Not the Flavored Kind
New York…Meeting in New York on November 13th, rabbis participating at the annual conference of the Association of Kashrus Organizations (AKO), learned that certain Anheuser-Busch beers were not kosher. Although it has been known for generations that beer is inherently kosher, the rabbis noted that flavored beer produced by Anheuser-Busch were not. Mott’s, a division of Dr Pepper/Snapple Group, sells a beverage called Clamato which contains clam powder, and Anheuser-Busch recently introduced a beverage called Chelada which is a mixture of Budweiser beer and Clamato. In recent months, Kashrus Magazine wrote that since Chelada is tunnel pasteurized on the same equipment as other beer products, “the public should avoid all Budweiser products until the process is “inspected by a competent kashrus expert”. The Chicago Rabbinical Council (cRc), which certifies many items produced in the same plant as the Clamato, investigated this concern by visiting the plants where Clamato and Chelada are produced, reviewing formulas, extensive discussions with the companies, and independent research. They concluded that Anheuser-Busch beers sold in bottles are free and clear of any concerns. Dr Pepper has already made changes to the production of the Clamato used in Chelada, without changing its basic recipe, so that Anheuser-Busch beers sold in cans will also be acceptable. The kosher status of Anheuser-Busch beers are not affected by the Bud Light Lime beverage bottled on shared equipment.

Baltimore Rates a China Bistro, Kosher Bakery and Grocery as Top Kosher Establishments
Baltimore, MD...A 2008 Baltimore area kosher survey conducted by Kosher Community Surveys, named several kosher establishments as favorites of the community. The survey asked local consumers their opinions of Baltimore area kosher stores, restaurants and bakeries. Overall winners were: Best Kosher Restaurant: David Chu’s China Bistro; Best Kosher Bakery: Goldman’s Kosher Bakery and Best Kosher Store: Wasserman & Lemberger. Other establishments with strong showings included: Accents Grill on the Atrium, Pariser’s Bakery, Dunkin’ Donuts and Shlomo’s Kosher Meat Market. Neil Rosenbaum, President of Kosher Community Surveys LLC, commented, "Interest in the survey by Baltimore kosher consumers continues to grow as the community learns about the survey process. With the launch of the KCS Partners in Customer Feedback program in Baltimore, kosher establishments have even another avenue to show their interest in customer feedback.” Approximately 325 people participated in this year’s survey. Kosher Community Surveys LLC conducts consumer surveys of kosher restaurants, bakeries and stores across the country.

News from Israel

Economic Slowdown Hits Israeli Restaurants
Tel Aviv…by Idele Ross, KT Israeli Bureau Chief…Economic analysts report that Israel’s markets have thus far suffered less from the global banking and financial crisis, but restaurateurs are not reassured. The Marker economic daily reports that 123 restaurants have closed in the last three months which is three times the average and the internet site 2eat forecasts another 250 smaller establishment going out of business within the next year. ClickaTable, a company which provides computer systems to more than 700 restaurants in Israel, found that 123 restaurants, or three percent of the total number of restaurants in Israel (not including fast food), have closed compared to the annual rate of one percent. Only 13 places went out of business in the same August-October period last year. The survey also found that the hardest hit areas are Tel Aviv and Jerusalem. ClickaTable found that the most vulnerable are restaurants located in industrial areas and high tech parks. Customers are also ordering more take-away rather than sitting down for a meal.

A Gourmet Kosher Food Festival Despite the Downturn
Jerusalem…by Idele Ross, KT Israel Bureau Chief…Chef Tuchal (a Hebrew pun on Chef Eat), the three week annual kosher food event, takes place throughout Israel until the end of the week. Some 40 kosher restaurants are taking part in the popular event, which offers diners a three-course gourmet meal for only $20. This is the fourth year for the festival. Organizers Tal Nechemia and Eran Zelinger said that the Israeli who keeps kosher is looking for unique culinary experiences and that the 12 day festival provides an opportunity to enjoy upscale gourmet kosher dining at attractive prices. This is the first time that Chef Tuchal is teaming up with the ‘Table to Table’ charity. Diners are invited to make a monetary donation to the charity which collects food leftovers from restaurants and wedding halls and distributes it to more than 13,000 people a day. The money raised will be used to help fund a project providing sandwiches to 3,000 schoolchildren.

Here and There…

Tel Aviv…(Idele Ross) Manamim, Israel’s largest and oldest producer of wafer cookies, is going for a younger look with its redesigned logo and package design at a cost of $250,000. The company presented its new line at this month’s Kosherfest. Liora Birnhak Marcus, Manamim’s CEO, said that in order to maintain a ten to 12 percent growth in exports and be competitive abroad, Israeli food manufacturers have to offer healthy products at an attractive price. She said Mananim wafers do not contain transfats, are cholesterol free and have no preservatives.

Miami Beach…Kosher World, a popular kosher grocery store on Arthur Godfrey Road, abruptly closed its doors last week. Sources say that the owners had been in some difficulty for some time. The closure leaves Kastner’s as the only grocery store on one of the main commercial strips of Miami Beach serving the Jewish community, particularly the large number of snowbirds.

Midwood, Brooklyn…Blue Ribbon, an institution on Avenue J for many years, will be closing its doors in a few weeks. Sources say that the fruit store turned supermarket had lost its lease. Gone also will be the effervescent smile of Eddy greeting customers outside his store.

New York…Recognizing the growing impact of the economic crisis on the Jewish poor of New York City and their ability to afford basic nutritious food, the UJA-Federation (United Jewish Appeal) of New York provided a $400,000 check to the Metropolitan Council on Jewish Poverty. This grant will ensure Met Council’s food distribution sites remain stocked to provide kosher food to all who are hungry. According to Met Council, even before this economic crisis pushed more people over the edge into poverty or near-poverty, there were 244,000 individuals in Jewish households in New York City living on poverty. Another 348,000 fall into the poor and near-poor Jewish households struggling to get by in NYC. Additionally, the Metro Council on Jewish Poverty received 12 pallets of food from Kosherfest exhibitors last week.

November 10th Kosher Food Industry Headlines

Many New Buyers at Kosherfest ’08 as Show Celebrates 20th Year
Secaucus, NJ…The 20th edition of Kosherfest opens here tomorrow amidst growing reports of shortages of glatt kosher meat. Nearly 7,000 trade buyers and exhibitors from 28 nations are gathering here for what organizers say will be “an impressive showcase of an industry that continues to grow year by year.” The show is returning to the Meadowlands Exposition Center, the site of the show’s initial successes before moving to New York’s Javits Convention Center for five years. Co-produced by Diversified Business Communications of Portland, ME and LUBICOM Marketing Consulting of Brooklyn, NY, Kosherfest will once again take up the entire space at the convention center and a significant amount of space in the neighboring hotels. Just minutes from New York City, it is also significantly less costly for exhibitors and visitors, primarily for its convenient parking. Despite the fall-out from the bankruptcy of Agriprocessors, the nation’s largest producer of glatt kosher meat, the kosher industry continued its double-digit growth with a record 110,000 food items bearing kosher symbols. Amongst the trade registrants to visit Kosherfest are many new buyers from supermarket chains and large discount chains, say the organizers. At least 300 new products will be on display at the show with a special emphasis on products that appeal to health-conscious consumers. Menachem Lubinsky, president of LUBICOM, is slated to deliver his traditional state-of-the industry address to open the show tomorrow. Many buyers will be focusing on Passover, which this year begins on the eve of April 8th and accounts for nearly 40% of annual sales for koshers foods. But many food marketers say that they have been able to increase business on other holidays, including Rosh Hashanah, Chanukah, Purim, Yom Haatzmaut and Shavuoth.

Shortages of Kosher Meat Reported Throughout the Country
New York…With inventory being depleted and three glatt kosher meat packing plants out of service, the scramble for glatt kosher meat intensified in markets throughout the country. The Iowa and Nebraska plants of Agriprocessors as well as the Minnesota plant of Alle Packing, which was shut down due to problems stemming from a fire in June, accounted for the slaughter of over 1,000 cattle a day. Despite discussion of a possible reorganization of Agri, meat cases in stores all over the county were empty this week. Many stores reported increased sales of poultry and fish. One rabbi in the West told KosherToday: “This past Shabbos was the first in a long time that my wife made a pareve cholent.” The rabbi said that he was hoping to lug back several boxes of meat on a trip to attend a wedding in Brooklyn next week. Meanwhile, prices continued to rise in markets where the meta was available and for poultry nationwide. Kosher food prices in general have been on the increase, as have prices for all foods. Higher feed costs for chickens, hogs and cattle, will lift U.S. food prices 7% in 2009, according to economists from the National Chicken Council and the consultancy Farm Econ. "The sizable increase in the cost of producing food has not been fully passed on to the consumer," said private consultant Bill Lapp, reported Reuters. There was somewhat of a silver lining in that some sources were saying that lower fuel prices and a reduction in shipping costs may mitigate the increases. Wegmans said that it was anticipating slashing prices on hundreds of dairy, meat, produce, frozen and bakery items in anticipation of lower food and shipping costs in 2009. In the meantime, kosher caterers in many parts of the country report that the shortages, price increases, and the effects of a sluggish economy are cutting into their businesses. Many customers are cutting back on the “extras,” which is traditionally a profit center for the caterers.

Entrepreneur’s Quest for Healthier Foods Leads to Success
Brooklyn, NY…Hershel Gluck is one of a number of entrepreneurs who launched successful businesses that stemmed out of a search to improve their own health. Looking for quality, spelt free, all natural whole-grain items for his own diet to improve his health, Mr. Gluck launched Shibolim several years ago and the timing could not have better as an increasing number of health-conscious kosher consumers were also on the hunt for such products. Industry sources say that Shibolim is one of the newer brands that have “taken the market by storm.” In an announcement last week, Kenover Marketing said that it will assume the marketing, distribution, and sales for the Shibolim line of products. According to Effy Landsberg, CEO of Kenover Marketing, “Shibolim is a perfect fit for us. We are dedicated to products that are kosher and healthy. Indeed, “Kosher” has attracted a significant segment of the general population, implying stricter standards for a hygienic, healthier lifestyle. This is evidenced by 40% of products in the USA being certified kosher and almost an additional 40%, deemed kosher, as per ingredients, but without formal certification.” Industry sources say that spelt free and other health related products have been growing at a faster pace than kosher foods in general. They say that this concern covers all ages and all financial levels. Many mothers are choosing the all natural whole grain items for their children, ranging from cereals to snack foods. While Gluck initially launched a line of crackers (“mini-matzohs) his line has expanded into many areas. Landsberg and others believe that Shibolim is part of a trend that “will become the norm in the future.” Gluck is just another example of how one man’s quest for better health has resulted in products that help many.

AKO Conference to Discuss Many New Emerging Issues
New York…Officials of kosher certification agencies and others involved in kosher supervision are set to gather this Thursday in annual conference sponsored by the Association of Kashrus Organizations. According to Rabbi Sholem Fishbane, executive director of the Chicago Rabbinical Council (cRc), who also serves as AKO’s executive director, the agenda will touch on many developing trends and concerns for the kosher food industry. The all day conference, which will take place at the Manhattan headquarters of the Orthodox Union, will include a major discussion on “Responding to the Growing Concerns about Non-Kashrus Aspects of Food,” a subject raised by many during the recent events at Agriprocessors in Postville, Iowa. Also on the agenda is “Conclusions of the Budweiser Beer Investigation,” “A Fresh Look at Unique Dairy Brands,” and “New Developments in Ingredients.” The conference in recent years has taken place the day after Kosherfest to accommodate the large number of rabbis and officials from kashrus agencies who attended the annual international kosher food trade show.

Growing Demand for Pas Yisroel and Yoshon Products
New York…A growing number of consumers, mostly in the rigorously Orthodox communities are looking for products that are either Pas Yisroel or Yoshon, a KosherToday survey indicates. While the two higher standard kosher concepts used to be relegated to a select few, retailers in many Orthodox Jewish communities report a growing demand for bread products where ovens have been turned on by a supervising rabbi and for grains that were not planted during or after Passover and which is not permitted until the following Passover. Any grain that took root before the second day of Passover becomes Yoshon after the second day of Passover. Many Jews are particularly stringent about Pas Yisroel during the high holy days, particularly between Rosh Hashanah and Yom Kippur. Writing in Kashrus Kurrents, Rabbi Dr. Avrom Pollak of the Star-K Certification agency in Baltimore, says: “The fact that bakeries and caterers in a number of cities with heavy concentration of Orthodox Jews, now offer yoshon products, is a good indication that the kosher food industry is beginning to recognize that yoshon observance is a growing new trend among kosher consumers. In addition, conspicuous markings on retail consumer items stating "made with yoshon flour" are becoming more common on the shelves of kosher food stores.” To alert customers about the availability of Pas Yisroel products, the Orthodox Union (OU) in September published an extensive list of manufacturers and retailers who offer the Pas Yisroel products. Many caterers reported a growing demand for the Yoshon and Pas Yisroel products, which is in turn responsible for the surge in the production of both Yoshon and Pas Yisroel products.

News from Israel

Israel’s New Prominence with the Pomegranate
by Idele Ross, KosherToday Jerusalem Bureau Chief
Tari V'bari, which produces fresh fruits and vegetables, is also the world’s largest processor of pomegranate seeds and has become the second largest company of its kind in the world. The company has recently signed a deal for the processing and marketing of pomegranate seeds in India.  The pomegranate seed company is located in the U.S. and conducts all of its sales there. Shlomo Korach, CEO of Tari V’Bari which is located on a moshav outside of Jerusalem, said that between their Israeli facility and the new factory in India, they can process 4 million pomegranates producing 300 tons of seeds. Most of the sales are in Britain and other European countries.   The pomegranate market is one of the agricultural products for which demand is growing worldwide.  Many scientific studies have reported its many medicinal qualities and antioxidant properties.  Tari V'bari uses a patented method developed by Israel’s Vulcani Institute to keep the pomegranate seeds fresh which is the obstacle other companies trying to enter this market have not overcome. The company is looking to the U.S., the Far East and Australia as future markets for their products.

Water Shortage Worries Citrus Industry
Prigat, manufacturers of fruit juices and concentrates, is concerned that the country’s water shortage will affect this year’s citrus harvest.  The company is calling on the government to deal with the hardship that the industry could face in light of the drought as well as the strong shekel which will impact exports.  The citrus industry provides livelihood for thousands of families who work in the groves, the factories and packinghouses.

New Mehadrin Kosher Products Launched
Yehiam meat processors launched a new line of Mehadrin kosher products under the Badatz and Beit Yosef kashrut supervision. Under the brand named ‘Yehiam Mehadrin’ the new products are the result of a venture with Atara meat processors under the Badatz supervision and Beit Yosef which markets glatt kosher products. ‘Yehiam Mehadrin’ includes hotdogs and several varieties of pastrami.  Tamir Dagan, marketing manager for Yehiam said the company decided on the new line of products following the growing demand from consumers who observe the stricter Mehadrin Kashrut.  The company purchased the Atara meat processing plant and acquired special equipment for the production of the new line of Badatz meat products.

November 3rd Kosher Food Industry Headlines

U.S. kosher market grows to $12.5 billion
New York…An estimated 11.5 million Americans buy $12.5 billion of kosher foods, a new survey by LUBICOM Marketing Consulting shows. Some studies, like the 2005 report by the Mintel Research Organization, put the figure at $14.5 billion. The numbers reflect sales to year-round Jewish kosher consumers, occasional Jewish customers (i.e. holiday shoppers), members of other religious faiths, and Americans who prefer kosher because of health, safety, or taste preferences. In the 2005 study, Mintel indicated that 21% of Americans either regularly or occasionally purchase kosher products because they are kosher (i.e. kosher hot dog). Of those, 55% listed health and safety as the reason for their purchase, 38% are vegetarians, 16% eat halal, and 35% preferred kosher because of taste or flavor. The kosher symbol appears on $285 billion of consumer goods sold in U.S. supermarkets, nearly 60% of all such goods produced for sale in U.S. groceries. Even more striking is the astounding figure of ingredients in products that are certified as kosher. An estimated 70% of all ingredients sold to U.S. food companies are kosher certified. In the past eight years, kosher sales have increased by 10% - 15% each year. Only organic foods exceeded that number in some years. The number of kosher certified products sold in the U.S. has topped 110,000. Some 2100 products were certified kosher in 2007. In the U.S., 10,650 companies and plants produce kosher products.

Major meat shortages loom with dramatic changes at Agriprocessors
New York…The ongoing dramatic developments at Agriprocessors are creating a great deal of uncertainty for the future supply of glatt kosher meat. While there have been sporadic shortages of kosher beef and poultry since the May 12th raid in Postville, the plant was able to supply some meat, albeit far short of its pre-raid levels. The complete shutdown of the plant, however, is certain to cause a much more significant shortage of kosher beef, particularly in smaller markets, which Agriprocessors had developed over the past decade or so. Industry sources called the developments at Agriprocessors, which included the arrest of the company’s former CEO, Sholom Rubashkin, a “major blow to the kosher food industry.” Some say that Agri’s supply of meat to the smaller markets was in many ways “directly responsible for the establishment of hundreds of kosher departments at supermarkets.” At the same time, prices for meat and poultry continued to rise in some markets. Rumors were rife that the Agriprocessors plant would eventually re-open under new ownership or a re-organized company, raising hopes that it would one day meet the growing demand for kosher meat. KosherToday learned that while the beef kill came to a complete halt last week, the production of poultry had actually increased to over 50,000 per day, but even that development fell victim to actions by creditors. While there was hope over the last few months that the company could survive the actions by governmental agencies, by month’s end, it became clear that the company was in severe financial distress, the main culprit being the company’s inability to replace the skilled workers it lost in the raid.  

Kosherfest’s best products are a mix of the healthy and gourmet
New York…This year’s annual New Products Competition, held in advance of Kosherfest ‘08, reflected the surging sales of kosher health and gourmet foods. Many of the winning items were gluten-free and organic products, while the Best in Show product was Zelda’s Sweet Shoppe’s (Skokie, IL) Southern Pecan Pie (Zelda’s also won three other awards.) The competition was held on October 28th at the Career Academy of New York. The awards will be presented to the winners at Kosherfest, which takes place November 11-12 at the Meadowlands Exposition Center in Secaucus, NJ.

The judges for the competition included: Yakov Yarmove, Ethnic Marketing & Specialty Foods Manager at SUPERVALU (Eden Prairie, MN); Joe Plueger, Director of Grocery DPI-Midwest (Arlington Heights, IL); Marty Stein, Account Manager at Tree of Life (Albany, NY); Jacob Rusanov, Lifestyle Category Manager at Wakefern Food Corporation/Shoprite (Elizabeth, NJ); Ethel Hofman, culinary consultant/ syndicated columnist (Merion Sta., PA) and Levana Kirschenbaum, noted kosher cookbook author/kosher caterer & Restaurateur (NYC, NY).

 “We were delighted to host the Kosherfest New Products Competition at Career Academy,” said Chef Christopher Burgos, Chair of Culinary Arts. “The students helped prepare and serve all the new kosher product entries and they learned about kosher food—what it is, how to prepare and serve it, and how it differs from other food preparation. It was a win-win situation for us all.”

The new kosher food product entries were judged on the basis of the following criteria: uniqueness, quality, taste, salability and retail price point. In addition to the Best of Show Award, other winners were:

• Best Baked Goods, Breads, Grains & Cereals - Katz Gluten Free Challah Rolls (Monroe, NY)
• Best Beverage – Kedem Food Products Int. All Natural Premium Grape Juice (Bayonne, NJ)
• Best Cheese or Dairy – Get Healthy America Eggplant Rollatini (Plainview, NY)
• Best Desserts, Candies, Cookies or Crackers – Zelda’s Sweet Shoppe Southern Pecan Pie (Skokie, IL)
• Best Food Service Product – Davida Aprons & Logo Programs “I’m Not Crying I’m Davening” Baby Bib (Vernon, CA)
• Best Packaging/Design – Zelda’s Sweet Shoppe Bark, Brittles & Toffee series (Skokie, IL)
• Best Kosher Organic – Bella’s Baby Foods LLC Organic Kosher Frozen Baby Food (Massapequa Park, NY)
• Best Snack Food – Zelda’s Sweet Shoppe Caramel Corn series (Skokie, IL)
• Best Fine Food from Israel – Fruit of the Land Products Beit Yitzhak Pomegranate spread (Thornhill, ON)
• Best Giftware/Novelty – The Kosher Cook Celebrations Bakeware, assorted styles (Woodmere, NY)
• Best Jams, Preserves or Spreads – Quality Frozen Foods, Inc., Noam Gourmet Vegetarian Caviar (Brooklyn, NY)
• Best Meat, Poultry or Seafood – Get Healthy America, Turkey Chili with Beans (Plainview, NY)
• Best Wine, Beer or Spirits – AS Group-Imperian, Plum Brandy (Serbia)
• Best Savory Condiment, Spices, Sauces, Oil, Vinegar or Dressing – Shneiders Gran Gusto Pesto Sauce (Brooklyn, NY)
• Best Passover Product – Cinderella Sweets/Shabtai Gourmet, Brownie Bites (Woodmere, NY)
• Best Health & Wellness – Get Healthy America Gluten Free Penne Pasta w/ Meat Sauce (Plainview, NY)

Prior to the Kosherfest New Products competition judging at Career Academy in Manhattan, culinary students were treated to a one-hour kosher cooking course taught by noted kosher cookbook author Levana Kirschenbaum. Students attending the course hailed from the tri-state area including: Manhattan, Bronx, NY, Brooklyn, NY, Cedarhurst, LI, Yonkers, NY, Staten Island, NY, Queens, NY, Jersey City, NJ and Central, NJ.

Kosher consumers cut back only slightly
New York…Retailers of kosher foods say that customers are definitely being more cautious these days, particularly on more expensive items, but so far that caution has had little impact on the industry overall. The organic food industry, which has been growing at a remarkable pace of 20% a year, is beginning to feel the effects of the economic decline, the New York Times reported on Saturday. Quoting the Nielsen Company, the Times noted that its growth had slowed. On the other hand, purveyors and distributors say kosher continues on a 10% - 12% annual growth rate in 2008. The U.S. Department of Commerce recently reported that consumers have cut back on food purchases. The government data shows that spending by American households, which previously had been raising their spending to keep putting the same food on the table, buckled in the third quarter. As a result, nominal spending on food showed an actual decline. "Food is a big component of expenditures, and one of the ways people cut back on spending is to substitute away from more expensive food items," said James Hamilton, an economics professor at the University of California at San Diego. "I think it's accurate to read this first as a broad effort by consumers to cut back where they can," he said. While most experts feel that the kosher food industry will not be immune from consumer cutbacks, particularly in higher priced goods, they feel that the growth of kosher foods will continue.

Record 28 nations will be represented at Kosherfest
Secaucus, NJ…A record 28 nations will be represented at Kosherfest ’08 when it opens for two days on November 11th at the Meadowlands Exposition Center. Several of the countries present are buyers from Muslim countries looking for kosher products. In addition to the U.S. and Israel, trade buyers represent such countries as Afghanistan, Argentina, Australia, Belgium, Brazil, Canada, Chile, China, Columbia, Costa Rica, France, Italy, Malaysia, Morocco, Mexico, the Netherlands, Pakistan, Panama, the Philippines, Portugal, Russia, Serbia and Montenegro, South Africa, Spain, Switzerland and the United Kingdom. Interest in kosher continues to grow throughout the world, particularly in countries that supply kosher ingredients to such major kosher markets as the U.S. and Israel. Representatives of kosher certification agencies operate in more than 70 countries. While kosher foods have experienced enormous growth in such major markets as Israel and the U.S., there has been a resurgence of Jewish life in several countries in the former Soviet Union, Poland, Hungary and Germany, with proportionate increases in the sales of kosher foods. Many kosher purveyors also report increased interest from brokers and distributors in several Muslim countries.    

Holiday Inn teams up with kosher retailer to provide Orlando visitors with kosher program
Orlando, FL…by Sarah Cohen…When Walt Disney first made Orlando one of America’s premier tourist destinations, visitors who ate kosher had to bring their own food. Over the years, the options increased with the opening of at least two kosher restaurants. Recently, the Holiday Inn International Drive Resort in Orlando joined with Kosher Kats Marketplace, a retail kosher business, in launching the Kosher Kitchen on the hotel premises.  This new venture began when the management team at the Holiday Inn noticed that they were receiving a large number of inquiries about kosher catering and decided to find someone with experience in the kosher catering industry. Dave and Jody Unger, of Kosher Kats Marketplace, a father and daughter team who have been successfully operating Kosher Kats Marketplace out of Longwood, FL for over 10 years, will be managing the only glatt kosher kitchen on hotel grounds in Orlando. The Kosher Kitchen will offer its patrons a full array of Glatt Kosher dining with options for both visitors and the local Orthodox community. “We are extremely excited to launch this kitchen in an area which receives many kosher visitors,” said David Unger. Orlando has the second largest convention center in the U.S. and sees a lot of kosher consumers traveling through on business. The Kosher Kitchen will offer guests many options: guests can order single or family meals ahead of time or can organize larger events such as Bar/Bat Mitzvahs, weddings, family reunions, and other events. The hotel, which can accommodate up to 1200 people, has 670 rooms in two buildings, an 8-story building and a second building which has only 2 floors of rooms in order to accommodate people who observe Shabbat. The Holiday Inn has set aside these rooms as Shabbat rooms, where the elevators will be turned off for Shabbos, the hotel rooms do not have electronic locks, and there is easy access to stairwells. “The management staff at the Holiday Inn is extremely sensitive to the needs of Orthodox, Kosher Jews,” said Unger. The Kosher Kitchen will be staffed with a Mashgiach Temidi and is under Orthodox Rabbinical Supervision. The Kosher Kitchen will officially be open for business starting November 15th, 2008.

News from Israel

Price decline in Israel premature
Tel Aviv…by Idele Ross, KosherToday Israeli Bureau Chief…It seems that all the speculation that life would get less expensive as fuel and food prices drop (as reported in last week’s KT) were premature. Israeli media reports that although raw materials have become less expensive, it is not reflected in food costs.  The Central Bureau of Statistics reported a 0.3 percent rise in the cost of the food index for September. Now that the high holidays are over, food prices are rising.  Ynet’s Yehudit Yahav points out that the cost of raw materials has declined over the last several months as have the prices of oil, wheat and rice.  Nevertheless, the shelves in the grocery stores and the final tabulation at the cash register do not reflect this and even show the opposite. Yahav said that items like rice, pasta, coffee, chocolate use basic ingredients, yet they have gone up in price contributing to the overall 25 percent price rise in Israel’s national food basket.

Unilever Israel, who manufacture a wide range of labels including Knorr, Telma and 778, issued a statement in Ynet that said “the strengthening dollar offsets the higher costs of raw materials.” Unilever Israel also said that “in the past we did not raise prices, despite more expensive raw materials, so this time we are monitoring the situation.  Once things stabilize, Unilever will adjust prices accordingly.” Strauss Food industries also raised its prices right after the high holidays.  Yediot Achronot reported recently that Strauss raised the price of its salads and its dairy products by four percent.  In response, the company said that over the last year rising costs of raw materials have been absorbed and not passed on to the consumer.  The company recently adjusted the prices of its salads and its dairy products after the holidays by an average of 3.8 percent, which they said was much less than the increased prices of energy and packaging.

Israel technology and U.S. marketing drive pomegranate sales
Jerusalem…by Idele Ross, Israel Bureau Chief…Israel, the U.S. and India are involved in the soaring sales of pomegranate throughout the world. Tari Bari, Fresh and Healthy, which produces cut fresh fruits and vegetables, is also the world’s largest processor of pomegranate seeds and has become the second largest company of its kind in the world. The company has recently signed a deal for the processing and marketing of pomegranate seeds in India.  The pomegranate seed company is located in the U.S. and conducts all of its sales there. Shlomo Korach, CEO of Tari Bari, which is located on a moshav outside of Jerusalem, said that between their Israeli facility and the new factory in India, they can process 4 million pomegranates producing 300 tons of seeds. Most of the sales are in Britain and other European countries. The pomegranate market is one of the agricultural products for which demand is growing worldwide.  Many scientific studies have reported its many medicinal qualities and antioxidant properties.  Tari Ubari uses a patented method developed by Israel’s Vulcani Institute, to keep the pomegranate seeds fresh, which is the obstacle other companies trying to enter this market have not overcome. The company is looking to the U.S., the Far East and Australia as future markets for their products.

Here and There…

New York…The on-line store Kosher-NY will go out of business at the end of the calendar year if partners Avi Olitzky and Paul Margulies do not find a suitor. Both are pursuing other interests. Olitzky and Margulies do not want to see their venture die, but see no other choice but to close down their business before the end of the calendar year, unless someone is willing to take over the company and run with it.

Jerusalem…Israel’s taxi drivers were right after all, is the essence of a popular joke in Israel. The 370-room Renaissance hotel, which had at one time been part of the Ramada brand is again a Ramada. For the many years that the hotel did not sport the Ramada brand, most taxi drivers continue to refer to it as the Ramada. Now they will be right!

New York…Representatives from kashrus agencies from around the world will gather at the annual conference of the Association of Kashrus Organizations which will be held  on Thursday, November 13th, the day after Kosherfest. The meeting will take place at the offices of the Orthodox Union in downtown Manhattan.

October 27th Kosher Food Industry Headlines

Kosherfest ’08 offers a blend of new and old
Secaucus, NJ…When Kosherfest ’08 opens its 20th edition Tuesday, November 11th, it will showcase an industry that continues a decade of double-digit growth. Some 7000 exhibitors and visitors will fill the Meadowlands Exposition Center, the site of some of the largest kosher showcases in years past. Just minutes away from downtown Manhattan, the international kosher food and foodservice show will offer an unprecedented array of new products, in addition to new and improved items that have been basic staples of the kosher food industry. The international flavor of the show will be in full view, not only in exhibits from overseas, but in the large number of imported foods and wines represented by such companies as the Kedem Group, with its food and wines from all over the world. The Israel Export Institute returns with its pavilion of many emerging Israeli companies who will occupy booths next to such established Israeli companies as Osem USA. London Beth Din has increased its participation as it continues to expand the number of kosher-certified companies. Other international pavilions will include Argentina, showcasing wines and other products, Canada, Italy, France and Colombia.

In addition to Kedem, one of the largest exhibitors in the show, visitors will no doubt be impressed with the many products that will be featured in the show for the first time, next to the familiar kosher brands that have been part of Kosherfest since its inception in 1988. The Manischewitz Company (which also includes such well-known brands as Rokeach, Season’s Cohen’s, Barney’s, Ratner’s, and Guiltless Gourmet), Abeles & Heymann, Anderson Cheese, Aron Streit, Barton’s, Bloom’s, Paskesz, Lieber’s, Blue & White, Ceres, Dr. Praeger’s, Solomon’s, Golden Fluff, Mehadrin, Haolam Cheese and Quality Frozen. Visitors to Kosherfest will no doubt recognize personalities that have made their mark on kosher or have been part of Kosherfest since its inception. Sybil and Davida Lampkin of Davida Aprons will no doubt generate a few memories of when her late mother was the “poster girl” of the booth.

Nearly a third of the exhibitors will be at Kosherfest for the first time, several highlighting the growing interest of kosher consumers in health products like the Gluten Free Bake Shop of Lakewood, NJ. More than 300 new products are expected to be exhibited at Kosherfest, some from the new exhibitors, others from well-known brands that almost always come up with new and exciting products. The major certification agencies, which have always been the backbone of the industry, will be represented once again.

Large number of new products to be judged in Kosherfest's New Product Competition
New York…A team of judges representing all segments of the food industry is set to judge an unprecedented array of new products in the annual New Product Competition that precedes Kosherfest. According to Bill Springer of Diversified Business Communications, co-producers of Kosherfest, the entrants this year represent almost every area of kosher foods. The products will be judged tomorrow (October 28th) at the Career Academy in Manhattan The judging will be preceded by a special kosher cooking class by Levana Kirschenbaum of Levana’s Restaurant, who is also the author of her own cookbooks. The awards will be presented by Menachem Lubinsky, president and CEO of LUBICOM Marketing Consulting and co-producer of Kosherfest, on Tuesday November 11th, the first day of the two-day Kosherfest.

H-E-B Alon is the latest of 20 new kosher stores nationwide
San Antonio…A new store in San Antonio by the H-E-B supermarket chain has added the Hebrew word of Alon (oak) to highlight the huge kosher selection in the new store. The 128,000 square foot store is huge by all standards, but its broad array of kosher products stand out. The H-E-B store is one of some 20 new kosher stores that have opened throughout the country in the last 12 months. These include such huge kosher stores as Pomegranate in Brooklyn and stores within stores like the H-E-B Alon store. According to distributors, the addition of the new kosher “stops” is a reflection of the continued expansion of kosher throughout the country. KosherToday was able to confirm that less than a handful of stores had closed in the same period, and most were small family-owned marts. San Antonio-based H-E-B is betting the store will be a “destination store,” drawing members of the Jewish community from as far away as Laredo and the Rio Grande Valley, along with neighborhood residents looking for everything from basic items to gourmet foods. “I am very impressed and pleased with the improved and expanded kosher department,” said Rabbi Chaim Block of Chabad Lubavitch of South Texas. “It’s a huge improvement over the other store at Huebner and Northwest Military that they’re closing.” Planning for the kosher items began about two years ago, when the Jewish community learned a store would be built across from the Jewish Community Center. In addition to the new stores, many existing stores have undergone renovations and the large discount chains like Wal-Mart, Costco, Sam’s Club and Target continue to expand their kosher offerings.

Despite recession, hotels and restaurants eye kosher catering
New York…While kosher caterers report that many clients are “cutting the fat” out of affairs they make, hotels and several restaurants that also do catering are actually projecting a significant increase in business. Hotels throughout the country continue to open separate kosher kitchens, reports Hotel Interactive, a daily on-line newsletter for the hotel industry. The Skokie-based 369-room Doubletree Hotel & Conference Center reports a significant increase in kosher events, especially meetings, and a more upscale consumer. "In the past, kosher was about a value buy," said Joseph Dadiego, general manager of the hotel. "Now we are finding some kosher customers willing to pay a premium for a nicer package." In late 2006, the Hilton Cartagena in Cartagena, Colombia, added a kosher kitchen. Since then, the 341-unit, 14-meeting room hotel has been attracting Jewish guests from all over Latin American and the United States and the number of kosher events held at the hotel has nearly doubled. Though the kitchen was expensive to build and is costly to maintain, with almost no other nearby hotels equipped with kosher facilities, Hilton is betting that the venture will pay off. Interactive also reports that when the Trump SoHo New York opens late next year, it will be home to Masri's Quattro, an Italian restaurant - modeled after the Miami original of the same name - that will have three kitchens: one for the restaurant, one for hotel room service and a kosher kitchen for events in the hotel's banquet room. Manhattan is, of course, the mecca of kosher catering, where some hotels report that it represents from 15% - 25% of their kosher catering business. Shimon Fink of the Metro Club restaurant located in the Crowne Plaza in Downtown Chicago also considers off-site catering a major part of his business. “We intended to use our kosher restaurant as both a service to kosher diners but also as a showcase for the kind of quality we bring to kosher catering.” Major hotels also vie for the lucrative Passover business and for many it is also a destination for other Jewish holidays, thanks to many organizers of groups.

Israeli restaurateurs move into U.S. market with their gourmet spices
Atlanta…Erez Weinstein, his sister Liat and chef Sam Dahan sensed an opportunity for the gourmet spices they were making for their Sam’s Restaurant just outside of Tel Aviv. In just three years, their new company, Olio & Spices, has made the leap from selling their spices to the Israeli market to their planned new headquarters in Atlanta. The company’s plan is to use the facility as a logistics base to sell kosher certified sauces & spices, specialty recipes and extra virgin olive oil, to select retailers in the U.S. Olio & Spices is sending limited shipments to Australia and Russia and considering similar ventures in South Africa and the United Kingdom. The company opened a warehousing operation in Atlanta in 2007 and is moving its sales and marketing operations to its new offices on North Druid Hills Road. The U.S. company will operate as OSUSA Inc. Mr. Dahan is continuing research and development work in the original restaurant, getting customer reactions to each product before the company sells them.

The company’s products draw from many cuisines worldwide, including Cajun, French and Italian spice blends and sauces with Thai and other Asian influences. Olio & Spices markets to specialty food stores and small chains, but Mr. Weinstein says they plan to eventually reach larger grocery chains like Austin, Texas-based Whole Foods Market. The company does brisk business through Internet sales, offering its products on its own Web site at www.respectyourtaste.com and through online retail partners. Olio & Spices is also marketing its products to companies as corporate gifts, a work-intensive strategy that includes Mr. Weinstein making multiple phone calls to potential client companies. The company worked with the American-Israel Chamber of Commerce and Georgia Department of Economic Development to facilitate the move and find essential services such as accountants and lawyers, in Atlanta.

The Manischewitz Company name lives on with its new acquisition
Secaucus, NJ…When the R.A.B. Food Group LLC, acquired a number of leading frozen specialty and kosher foods last May, it also renamed the company The Manischewitz Company, thus preserving the legacy of the 120-year old company founded by Rabbi Dov Ber Manischewitz. R.A.B. was acquired in July 2007 by Harbinger Capital Partners, an investment group that specializes in the turnaround of troubled companies. They subsequently acquired Cuisine Innovations, LLC, a leading frozen specialty and kosher foods company that manufactures such brands as Cohen’s, Ratner’s and Barney’s. With its three state-of-the-art manufacturing facilities, the company is today the largest privately held frozen hors d’oeuvres manufacturer in the U.S. Over the past five years, Cuisine Innovations had acquired DFG Foods (the specialty appetizers division of Tyson’s Food), Herb’s Specialty Foods and King Kold/Ratner’s. The Manischewitz Company is owned by Harbinger and Alain Bankier and Paul Bensabat, formerly of Cuisine Innovations. In addition to the 120-year old Manischewitz and the brands acquired through Cuisine Innovations, the Manischewitz Company includes such brands as Rokeach, Horowitz/Margaretten, Mishpacha, Goodman’s, Season and Guiltless Gourmet. Rabbi Manischewitz would certainly be proud that a company he founded 120 years ago as a Matzoh factory is much more than Matzoh nowadays, all to be showcased at the upcoming Kosherfest ’08.

News from Israel

Israelis weather world economic slump with some exceptions
Tel Aviv…by Idele Ross, KosherToday Israel Bureau Chief…Israeli manufacturers are feeling the impact of the worldwide economic slump and a weak dollar. Sixty-four percent of the companies polled by the Manufacturers Association say they have lost customers during the first six months of the year. Rubi Ginel, Director of the Economic Division of the Manufacturers Association, reported that the poll was carried out among 110 companies in Israel. Twenty-two percent said they were forced to raise their own capital because of the economic crisis. The phenomenon was more common among traditional industry than high tech.

The Globes business newspaper reports that consumers are spending less and charging less on their credit cards. In the last few months, food costs have increased significantly because of the rise in the price of raw materials and the weak dollar. However, given the current drop in oil prices, analysts believe food prices will come down along with processed foods, which rely on imported raw ingredients. Dan Propper, Chairman of the Osem group, said the company is experiencing a slowdown in sales. However, he said the food industry would be less impacted than others because of the fact that raw materials will drop in prices because of lower oil prices and less demand.

Prigat goes organic
Tel Aviv…The Globes business publication reports that Prigat, one of Israel’s premier citrus juice manufacturers, has invested nearly $1 million in establishing the first organic orchards in Israel. With the start of this season's harvest, Prigat CEO Ephraim Rennert said, "Israel's citrus exports are estimated at $250 million, and juice concentrate exports are estimated at $360 million. I think that it is important to remember that the citrus industry faces difficult conditions because of the drop in the shekel-dollar exchange rate and the uprooting of orchards." Prigat is emerging as a major brand in many parts of the world, and is now widely available in the U.S. kosher market.

Going Green means a proper bag for wines
Tel Aviv… “Bet Mashkaot Shel Naftali”, a chain of wines and spirits, has joined the growing movement to protect the environment in Israel’s food and wine industry. The company is replacing its current plastic bags with a new bag that features five sections, each especially fitted for a bottle of wine or other spirit. The partitions are designed to protect the bottles from smashing into other bottles in the bag and are collapsible so that the bag can be used for ordinary storage. The green bag can hold up to six bottles and stands upright when rested on a surface. The bag is offered free on purchases of more than $35 and is available for purchase for only $1.50. Many wine stores and supermarkets have expressed interest in the new bag.

October 13th Kosher Food Industry Headlines

Spot Shortages of Kosher Poultry Reported as Holiday Season Goes Into Full Gear
New York…The predictions were for spot shortages in beef on the eve of Succoth which begins this evening, but instead it was poultry that was in short supply last week. Sources say that kosher customers did not take any chances in recent weeks, stocking freezers with poultry well in advance of the holiday. On the days before Yom Kippur last week, many stores did not have any chicken products for at least a day or two. While many stores said that they subsequently received deliveries of the poultry in time for Shabbat, they were uncertain if there would be enough to go around for the upcoming nine-day holiday. They were particularly concerned because many slaughterhouses were due to be closed for the holiday. There were also reports of shortages of other foods, including salads, pastries, and condiments. Retailers say that while sales were brisk, they were noticing some changes in consumer purchases for the holidays, including a shift by many shoppers from beef to poultry. Many shoppers bought bulk items at some of the large discount chains like Costco’s. Despite price increases for beef and poultry in many markets, there were still some specials to be had. At Jewel’s Osco in Chicago, Aaron’s Chicken Nuggets sold for $7.99 and Aaron’s Chicken Breast for $3.99.

Mars Acquisition of Wrigley’s Raises Hopes on Kashrus
Chicago…Of all the major food companies in the U.S., the century-old Wm. Wrigley Jr. Co. has resisted going kosher in the U.S. even as its European plant produced kosher gum that was exported to Israel. But last week’s acquisition by Mars, certified by the Orthodox Union (OU), for a reported $23 billion, may finally result in a kosher symbol for the giant candy company, sources tell KosherToday. With its Wrigley’s acquisition, Mars becomes the world’s largest candy maker and a good bet to expand its kosher symbol to Wrigley’s products. The agreement, which was first announced in April, includes financing from famed investor Warren Buffett, whose company, Berkshire Hathaway Inc., will also invest at least $5 billion in Goldman Sachs Group Inc., a survivor of the credit crisis currently rocking Wall Street, according to an Associated Press report. Under Mars’ ownership, Wrigley’s is slated to take over control of Mars’ non-chocolate candy, such as Starburst and Skittles. There have been many attempts over the years to persuade Wrigley’s to take advantage of the rapidly growing kosher market, but each time the company would rebuff the efforts, alternatively dispatching different letters why kosher was not a priority for the company. In August 2001, Nancy Slivoski, Consumer Affairs Coordinator at Wrigley’s gave the most detailed account when she wrote, "at one time in the U.S. most Wrigley products were made with vegetable or mineral derived softening ingredients that conformed to Jewish dietary regulations. For many years, we had also been able to maintain rabbinical supervision of our factories when delivery of these ingredients to us could be guaranteed. The L.S. Dreyfus Co., the chewing gum base manufacturing subsidiary of the Wrigley Co., still has rabbinical supervision for its gum base, which is the essential ingredient in chewing gum. They supply chewing gum base to all Wrigley operations and to other chewing gum manufactures around the world. In the U.S., the availability of vegetable and mineral derived softeners has decreased over the years as major suppliers for synthetic material have closed their manufacturing facilities. Since we can no longer guarantee that all Wrigley brands from all of our factories will always be kosher, we have discontinued absolute assurance of our use of kosher ingredients… Considering the conscientious efforts we have made over the years to maintain kosher status of all our brands, we regret having to relinquish it. While we will continue to use kosher ingredients whenever and wherever practical, under present conditions we cannot give continuous assurance of the kosher status of our products in the U.S.”

More Kosher Restaurants Offer Succahs to Kosher Patrons
New York…Kosher diners in Jerusalem are used to the fact that most kosher restaurants and even falafel stands build succahs for the holiday that begins tonight. But according to Elan Kornblum, "The Restaurant Guy" and publisher of the Great Kosher Restaurants Magazine, kosher diners in New York, Miami, Los Angeles and elsewhere will be able to eat out in a succah in their favorite restaurant. In Manhattan, such restaurants as Le Marais, Mike's Bistro, Milk 'N Honey, Prime Grill, Talia's Steakhouse and Wolf & Lamb Steakhouse will have succahs during Chol Hamoed (October 16-20, with the exception of Shabbat). Some of the restaurants do not have the outdoor space to build a large succah and are alerting diners that they have limited space. At Le Marais, for example, no reservations are being taken for the succah, preferring a first-come first-served approach. The Manhattan restaurants are hoping to cash in on business patrons as well as the many families who will be sightseeing in Manhattan during the holiday. At Talia’s the holiday celebration will include special menus and a festive program. In Brooklyn and Queens some commercial areas are dotted with Succahs in front of the many restaurants in the area. In addition to the restaurants, the Chabad organizations and many synagogues are building community succahs, some even offering limited food for sale.

Kosher Stores Upgrade Facilities Despite Recession
New York…Is the kosher market recession proof? This is a question many are asking in light of the continued expansion of many retail markets that cater to kosher as well as the new openings in recent weeks in many areas, particularly in the New York metro area. Even family-owned markets are into the upgrade mode with an increasing number of younger consumers preferring modernized and well laid out stores. According to Michael Stoler, whose real estate report was a prominent feature in the now defunct New York Sun and on WINS 1010, “the credit crisis, recession and inflation is having only a limited effect on the opening of new gourmet groceries and food markets.” While the kosher market points to the opening of such super modern stores as the Pomegranate, Stoler lists the 69,000 square foot Whole Foods Market that opened in July at Greenwich and Warrent Street in the Tribeca section of Lower Manhattan. The store represents the fifth Whole Food Market in Manhattan that feature many kosher certified products. While some of the new stores were planned well before the recent economic downturn, Stoler and industry officials say that many new stores are being planned. Trader Joe’s is said to be planning a large store in the Williamsburg section of Brooklyn. Some kosher sources are calling the increased tempo of modernizing and upgrading stores “a bug that cannot be stopped.” They say that even small mom & pop marts are now looking to offer shoppers a better and “more modern” shopping experience.

Israel’s Food Industry Still Reeling from Slumping Dollar
Tel Aviv…Israeli food exporters are still not in the “comfort zone,” a food export consultant told KosherToday. The comfort zone is an exchange rate of at least 4 NIS to the U.S. dollar. The dollar jumped by 2.6% over the weekend to a representative rate of NIS 3.595. In just the last week the dollar had risen by 3.75% against the shekel. The euro also gained 2.6% against the shekel last week. Yet, the Israelis say that the slumping dollar has made them less competitive and unable to reach margins that make export to the U.S. market worthwhile. They also cite increased shipping costs as part of the reason for their weakened position. Concern that the sluggish economy in the U.S. will hurt sales is not borne out by the continued success of Israeli products in the kosher market. The Israelis say that they had heard many rumors of slumping sales in the U.S., which retailers deny. Some Israeli companies were actually said to be suspending their export activities, including curtailing their presence at trade shows, including next month’s Kosherfest. U.S. importers are working hard to quiet the concerns of the Israelis.

October 6th Kosher Food Industry Headlines

Orthodox Union set to announce KOAOA merger
New York…The near 100 year-old Kosher Overseers Associates of America (Half-Moon-K symbol) has ceased to exist and is already a part of the Orthodox Union (OU). A spokesman for the Orthodox Union confirmed the widely reported rumors about the merger, including a report on at least one kashrus website, but he said that a formal announcement would be made in the coming weeks. Founded in 1910 by Rabbi Hyman Sharfman, the Los Angeles based KOAOA, had in recent years upgraded the level of its certification but in the end decided it was better to merge with the world’s largest certification agency. KOAOA was headed for many years by the founder’s son, the late Rabbi Harold I. Sharfman, a flamboyant and outspoken personality who had on occasion clashed with the kashrus establishment. His half-moon K symbol was challenged in the courts by the Brooklyn based OK Labs which charged copyright infringement, citing the “similarities” of the symbol. Rabbi Sharfman was a passionate defender of kashrus but his certification was never fully accepted by many mainstream kosher consumers. After his demise in 1998, the agency made a major effort to upgrade its certification and several kashrus authorities had even gone out on a limb with the improvements.

While the half-moon K symbol will continue to appear on many products, the Orthodox Union is planning to phase out the symbol and replace it with the Circle U. Kashrus sources say that any products with the half moon K symbol were already produced under widely accepted kashrus standards. Rabbi Dovid Jenkins, who was the manager of KOAOA kashrus operations, is now part of the OU kashrus team in its Manhattan headquarters. In an open letter in June 2007, Rabbi Jenkins and Rabbi Zushe Blech, the senior kashrus administrator, spoke of the upgraded standards for the KOAOA’s 580 certified companies representing 20,000 products. It was not clear how many companies and products will be affected by the merger.

Three major kashrus agencies to issue joint statement on new China policy
New York…Three of the nation’s largest kashrus agencies are set to issue a joint statement on a new policy that will govern kosher certification for Chinese food manufacturers. As previously reported in KosherToday, the agencies are responding to a growing concern over food safety in China. The three agencies, the Orthodox Union (OU), the Organized Kashrus Certification (OK) and the Star-K Kosher Certification, expect that the new policy will be adopted by any kashrus agency or rabbi certifying products in China. The statement, which will be released after the Jewish holidays, will (amongst other guidelines) require Chinese companies to verify compliance with safety concerns and provide for more stringent oversight of Category I foods (items that do not normally require kosher certification). Rabbi Don Joel Levy, Kashrus Administrator of the OK, said that his agency was already dealing with many of the safety concerns. “We weren’t concerned with the dairy scandal since we require all dairy imports from China to be Cholov Yisroel and in many plants we also require a mashgiach temidi (full-time certifier).” Rabbi Levy said that he had a significant presence in China, with many of the supervisors coming from the OK Israel office. Rabbi Avrom Pollack, President of the Star-K, said that Chinese culture has always made the country “a complex place for kashrus agencies.” He said that his agency has extensive experience in “dealing with the difference in the cultures.” Rabbi Moshe Elefant, the COO of the OU Kashrus Division, said that he expects that the guidelines will be observed by the Israeli kosher certifying authorities as well.

Many middle class Jews amongst needy for Jewish holidays
New York…A growing number of Jews seeking assistance for the Jewish holidays were previously amongst the middle class. “We are providing food and other assistance to many people who have lost their jobs,” said William Rapfogel, executive director and CEO of the Metropolitan Council on Jewish Poverty. He said that the organization’s food pantry has been responding to their needs. “Some solid middle class families are too ashamed to come to our soup kitchen and ask us to deliver food to their homes,” said Alexander Rapaport, founder and executive director of MASBIA, a kosher soup kitchen based in Boro Park, Brooklyn. Rapaport, whose kitchen serves an average of 160 dinners daily, said that the downturn in the economy is “bringing entire families to the kitchen.” MASBIA even bought high chairs and booster seats to accommodate the children of the needy Jews. “We are no longer serving only the homeless and the single poor Jews,” Rapaport explained. Rapfogel said that these families are also facing other major hardships such as “sudden increases in rents,” He said that recent price increases for foods, including meats, dairy and vegetables were causing a “strain for our agencies” but also for the very needy who rely on food stamps. “They are still getting the same food stamps to buy significantly more costly kosher food products.” Jewish leaders say that the economy is having similar effects on middle class Jews all over the country with some communities suffering more than others.

Despite declining dollar and higher costs, Israelis pin hopes on U.S. kosher market
New York…When Kosherfest ’08 opens on November 11th at the Meadowlands Exposition Center, it will include the traditional Israeli pavilion. But this is not an ordinary year for the Israeli participants who will be exhibiting in the pavilion organized by the Israel Export Institute. This year, the Israelis face a dollar that has declined by nearly 25% against the Shekel, dramatically higher shipping costs, and stiffer competition from American producers. Yet, the Israelis consider the kosher market in the U.S. a vital part of their long-term plans and a natural market for their products. Despite a leveling off of exports to the U.S. in 2008, foods from Israel have experienced a 30% - 35% increase in each of the last 3 years. While the Israel bellwethers like Osem, Strauss, and Tnuva have adjusted their pricing in the U.S. market and continue to enjoy healthy sales, smaller companies face the challenge of succeeding in the current economic climate. Many Israeli companies will be represented by their U.S. importers, including the Royal Wine Company, which imports Carmel and other well known Israeli wines and foods. Participating in the Israeli pavilion will be three well known Israeli wineries, Galil Mountain Winery, Recanati Wines, and Yarden Golan Heights Winery. Amongst the well-known Israeli food companies that will be in the pavilion are the Israel Sheep Breeders Association, Kvutzat Yavne Food Products, Macabim Snack Foods, Matzot Aviv, Pereg Gourmet Spices, Prigat International, Rushdi Foods, Soglowek, and Yakov Baron.

Winners of new product competition find added value
New York…Winners of the annual New Product Competition find that the prize gives them an advantage with prospective buyers at Kosherfest. In interviews with a number of winners of previous years, the consensus was that having the prize in the booth directly affected awareness and sales at Kosherfest, which this year takes place on November 11-12 at the Meadowlands Exposition Center in Secaucus, NJ. Hundreds of new products will be judged at the annual competition on October 28th. The winners also receive broad recognition in the consumer and trade press, further raising awareness about the new products. Many of the products also appear in a special showcase at the show. This year, some 300 new kosher products are scheduled to be introduced, many at Kosherfest. The New Product Competition also offers an advanced look at new products to be released for Passover. The competition will take place at the 14th St. Culinary Academy in New York City. Prior to the judging, restaurateur and cookbook author Levana Kirschenbaum will be delivering a kosher cooking course to the students.


From Here and There…
New York…JetBlue’s new terminal at John F. Kennedy International Airport will have many kosher products to accommodate its kosher travelers. The airline has made a point to offer kosher snacks aboard its aircraft and even modifies its offerings for Passover.

Hong Kong…Hechal Ezra Abadi, the Sephardic Synagogue of Hong Kong, is sponsoring a program for Jewish visitors to the upcoming Canton Fair in China in late October and early November. In addition to preferential hotel rates at the Ritz Carlton Hotel, the synagogue will be offering a gourmet restaurant and daily prayers.

Tel Aviv…El Al Israel Airlines has added a number of flights next weekend to ferry Succoth vacationers to Israel. Despite a decline in visitors from a year ago, the airline still expects to fly a large number of visitors to Israel for the holiday. El Al, Continental and Delta will only have a short window to fly passengers to Israel since the holiday begins on Monday evening October 13th.

September 29th Kosher Food Industry Headlines

BREAKING NEWS: Kashrus agencies move to allay fears on China dairy scandal
New York...Major kashrus agencies in the U.S. are moving swiftly to assuage fears that kosher products will be laced with some of the toxins that have made nearly 50,000 Chinese children ill. The agencies that certify several hundred Chinese companies are planning to require proof of verified safety programs at each of the plants, according to Rabbi Moshe Elefant, Chief Operating Officer of the Kashrus Division of the Orthodox Union (OU). KosherToday has learned that the agencies, including the Star-K of Baltimore, that certify many companies in China, will also require kosher certification for imported Category I (no kosher certification required) ingredients, despite the fact they would not require certification in the U.S. or from other countries. The key culprit in the tainted Chinese dairy products is melamine, the same banned substance that caused last year’s scare over toothpaste, seafood and dumplings, and was blamed for the tainted pet food that killed dogs and cats in the U.S. Kosher sources in the U.S. are confident that the U.S. regulatory agencies including the FDA “will nip any problem in the bud” before recalls become necessary. The European Union has banned Chinese baby food that contains any traces of milk and many countries throughout the world are taking steps to keep the Chinese products out.

Palauan government leaders give thumbs up to Agriprocessors' labor needs
Postville, Iowa...A visiting delegation of government officials from the Pacific island of Palau, led by the Republic’s vice president, gave their approval for its country’s citizens to work at the Agriprocessors plant, a move that the company hopes will help it restore full production following the May 12th immigration raid. The delegation consisted of Vice President Elias Camsek Chin, Ambassador Hersey Kyota, Counsellor Christopher U Kitalong and Governor Horace Rafael. In addition to touring the plant, the Palauan officials spoke privately to 10 Palauan workers who are already working at the plant and visited the housing of the workers. Agriprocessors, led by Bernard S. Feldman, its new CEO, hopes that as many as 165 Palauans will join the labor force at Agri. After the visit, Vice President Chin thanked Agri “for the opportunities that are being given to my people.” The Vice President’s statement was particularly noteworthy after Palauan officials, led by its President, had urged its citizens not to work at Agri because of “unsafe conditions,” following a letter by the UFCW, according to plant officials. The Republic of Palau is an island nation in the Pacific Ocean, some 500 miles east of the Philippines and 2,000 miles south of Tokyo. Having emerged from United Nations trusteeship (administered by the United States) in 1994, it is one of the world's youngest and smallest nations. It is sometimes referred to in English under its native name Belau. U.S. law permits the island’s citizens to work in the U.S.

5 Towns grocer raises bar on kosher gourmet and specialty foods
Cedarhurst, Long Island, NY...Natural Gourmet, a new specialty and upscale gourmet kosher store, opened on Sunday just across the street from Gourmet Glatt Emporium. According to Henry Kauftheil, who owns both locations, the new store fills a void for many shoppers “looking for specialty and hard to find items” that are kosher. In a soft opening last week, a woman who suffers from celiac disease was surprised to find a broad assortment of gluten-free products that she had never seen before. The same was true for shoppers looking for sugar-free, natural, and organic products. The 4000 square foot store includes a special focus on chocolate (the store is officially licensed by Godiva and also carries Scharffenberger), higher end paper goods, condiments, gift baskets, and even quality flowers. The store will have a nutritionist and chocolate expert to guide customers. Like Gourmet Glatt, the store is supervised by the Vaad Hakashrus of the Five Towns. The 17,000 square ft. Gourmet Glatt is one of the busiest kosher stores on Long Island. With its multi store within a store concept, the Gourmet Glatt has become a favorite of shoppers of the Five Towns and beyond. A recent addition at Gourmet Glatt is Chap-A-Nosh, a popular take-out and catering company, which joins such stands as Zomick’s Bakery, Scwartz’s Appetizing, and Ossie’s Fish. The one-stop shopping experience has been so successful that its owners are hoping they can flag the more upscale gourmet customers who desire an even more specialized shopping experience and will visit the new Natural Gourmet.

Early mixed reviews by retailers on the eve of Rosh Hashanah
New York…On the surface, it appears that kosher stores are doing a banner business on the eve of Rosh Hashanah, which starts tonight at sundown. In fact, some of the basic holiday staples like honey, grape juice, gefilte fish, and honey cake may be recording record sales. But retailers are noticing somewhat of a retrenchment by consumers in many other food categories. One retailer told KosherToday, “I have noticed that people are much more cautious in not overbuying.” There is a consensus amongst the retailers that they are only now beginning to feel the effects of the economic downturn. Even more affluent shoppers are spending less, although it seems to vary from neighborhood to neighborhood. The concern over the potential shortage of meat has prompted many shoppers to stock up on meat early, but despite some shortages in some areas, it is not as dire as some had predicted. Some retailers are concerned that there will be more severe shortages as the holidays progress. But despite the economy and the talk of meat shortages, stores are busy
amidst a buzz that usually permeates the air on the eve of the Jewish New Year.

Here and There…
New York…The Orthodox Union will be hosting students in Yeshiva University’s innovative “Science of Chemistry: World of Torah” course on October 31st. They will participate in three sessions: Heating and Cooking in Jewish Law, emphasizing definitions and applications (for example, kosherizing utensils); Chemical Changes in Substances, exploring the halachic (legal) definition of “change” and potential leniencies drawn from these changes; and Extraction and Distillation in Jewish Law, including a discussion of essential oils and alcoholic beverages.

Kiryas Joel, NY…The ASK OUTREACH program, which was specifically designed to put OU Kosher in contact with communities in the Torah world not part of its usual constituency, recently conducted a two-part hands-on session in kosherization for the Satmar Yoreh Deah Kollel of Kiryas Joel, NY.

News from Israel

Israel’s food industry thrives on the eve of Jewish New Year
Jerusalem…by Idele Ross, KosherToday Israeli Bureau Chief… For Yad Mordechai, Israel’s largest honey producer, Rosh Hashanah represents 30% of annual sales. A survey by the Shiluv Institute found that 80% of the population uses honey, with half citing taste, a third citing health reasons and ten percent saying they use honey in cooking and baking. 71 percent of those who were polled said there would be a honey cake on their table this Rosh Hashanah. There may be more sweet news for Israel’s food industry as representatives from BDO International are slated to arrive in Israel looking for possible investment opportunities and in the food industry in particular. The Marker business daily reports that they are planning an investment of $200 million in companies with export potential to the US. Israel’s food exports continued to grow, particularly to Europe. In 2007, exports of vegetables to Europe totaled $576 million, avocado and fruit (other than citrus) $214 million, and fresh herbs $80 million. Citrus exports to Europe that year totaled $120 million.

Israelis fill hotels for holiday as food costs for needy soar
Jerusalem…by Idele Ross, KosherToday Israeli Bureau Chief…Israel’s hotels are reporting almost full occupancy during the High Holidays, despite the financial crisis that is gripping the world. The Dan Hotels will be serving Rosh Hashanah meals to 6,500 guests. Raffi Barry, deputy marketing manager for the hotel chain, said that the guests are Israeli families taking a vacation as well as visitors who are in the country visiting family living in Israel. KosherToday has learned that hotels are also filling vacant rooms for the upcoming Succoth holiday with Israelis.

Latet, Israel’s largest humanitarian organization, reports that the basic food needs of an Israeli family have risen 23 percent in cost since last Rosh Hashanah. Haaretz newspaper reports that Latet is supplying food parcels to some 120 NGOs that work directly with Israel’s poor families. The organization compared the prices of 21 items such as flour, sugar and oil and found huge differences in prices between this year and last. For example, rice has gone up 63 percent in price and oil 36 percent.

September 22nd Kosher Food Industry Headlines

Tightening of credit affects many kosher stores
New York…Kosher purveyors are increasingly demanding COD as part of an apparent tightening of credit in the industry. Stores that used to rely on liberal credit policies of the manufacturers and distributors are now being squeezed, as the purveyors themselves face tighter credit policies from banks and other institutions. Many stores have been able to get around the meat shortage concern paying COD, but other stores who are either late on payments or have traditionally relied on the credit for cash flow are being denied steady deliveries, particularly during the current period of shortages for meat. One Miami retailer boasted a full freezer of quality meats because “I make sure that I put the cash on the table.” Down the road a second retailer had empty shelves promising to receive a delivery “any day.” A New York retailer says that he was told that he could get product “if he paid COD” and agree to make small payments on his overdue bills. Industry experts say a tighter credit environment could push some retailers to the wall and force many smaller retailers out of business. Larger retailers, such as supermarkets, routinely receive more favorable credit terms, but since the money is more secure and they are large chains, the purveyors appear willing to wait.

New Agriprocessors CEO promises independence and many moves
New York…Attorney Bernard S. Feldman is no stranger to making the tough decisions to put struggling companies on their feet. Feldman's New York law firm specializes in reorganizing many companies. In an interview with KosherToday, Mr. Feldman vowed to “make many changes and to act with total independence.” His firm has an impressive roster of companies that they have righted and has the advantage of familiarity with Agriprocessors from his 5-year role as Corporate Counsel. Although promising many new initiatives, the new Agri CEO expressed satisfaction with “the members of the team that have been recruited since the May 12th raid.” He particularly singled out former U.S. Attorney Jim Martin, who serves as the company’s Compliance Officer, with whom he promised “to work very closely.” The appointment of Mr. Feldman has generally generated a positive response, including from the Orthodox Union that first urged Agriprocessors to appoint a professional management team, headed by a new CEO. Critics pointed to Feldman's lack of experience in the livestock industry, his previous association with the company as Corporate Counsel, and even his lack of managerial experience. In an exchange between bloggers on a popular Orthodox Jewish site, one comment noted: “Given the attacks against Agriprocessors, only the Moshiach himself would not be criticized.” A company spokesman defended the decision, saying that Mr. Feldman’s tenure as a Corporate Counsel is an asset since he knows the company, which also gave him quite a bit of an understanding of the livestock industry. They added that he has helped put many companies on their feet with solid managerial decisions in diverse industries.

Growing number of kosher customers shun generic “k” in favor of kashrus symbols
Teaneck, NJ…Retailers of kosher products are increasingly opting for products that include the recognized kashrus symbols rather than a “k” that indicates that the product is kosher but does not identify the certifying rabbi or agency. There is growing evidence that products with a “k” have not kept up with sales of other kosher foods. In a survey of at least a half dozen stores, the retailers singled out cereals, grape juice and even items in the dairy case like yogurts, as items that do not do well with the "k". In the past few years, customers have become more concerned with the integrity of the kashrus. Many supermarkets routinely reject products with the generic "k" for their kosher sets, preferring instead the nation’s leading symbols, led by the OU, OK, KOF-K, Star-K, and the cRc. Distributors say that kosher consumers have been far more educated in recent years and understand the differences in the value of the symbols. In many Orthodox communities, the change has been even more dramatic. Many of the kosher brands, for example, have expanded into cereals, cutting into the share of cereals that have only a "k" certification. One retailer guessed that a generic "k" product does "about a third of the business that a product with a symbol does", and that “some companies are just following the hype on kosher and think that anything with a "k" will sell, but that is not the case.” In one supermarket catering to the kosher market, a manager of the dairy case said that Dannon with the OU does “way better than the Dannon products with a "k" (that use gelatin).”

The week of reckoning for kosher meats
New York…At Gourmet Glatt in the Five Towns, shelves are well stocked with a variety of glatt kosher meat and poultry products. In Brooklyn, many stores are fully stocked as is Kastner’s in Miami Beach. In e-mails to KosherToday, at least one reader called the shortages “exaggerated.” But in some of the markets that have stores with fully stocked shelves, are stores constantly telling customers “we’re expecting a delivery.” This is a sign that while more resourceful stores are somehow managing well, others are not, often due to credit issues or simply as a result of less frequent deliveries. This is the week that many in the industry predicted would put the shortages in sharp focus, specifically because a federal immigration raid on May 12th severely impacted production at the Postville, Iowa plant of Agriprocessors. Early reports are that all suppliers have stepped up deliveries for this week’s rush, but there is some fear about the ongoing supply during the holidays in October, primarily because production will be severely curtailed during the holidays and due to the fact that many retailers have bought well beyond their normal buy.

Houston Jews face meat shortages in aftermath of Ike
Houston…With empty refrigerators and freezers, Houston’s Jewish community is scrambling for significant shipments of kosher beef and poultry, according to Rabbi Pesach Lerner, Executive Vice President of the National Council of Young Israel. Most kosher households in the city had to throw out whatever product they had because of the lack of electricity for over a week. Rabbi Lerner said that he is working with Agriprocessors to assure a special delivery to Houston’s Jewish community in advance of Rosh Hashanah that begins on Monday evening, September 29th.

Many Good Wines for the New Year 5769
Bayonne, NJ…While the success of kosher wines is based on the fact that they are no longer relegated for sacramental purposes only, the upcoming Rosh Hashanah holiday appears to have produced a plethora of exceptional quality wines, according to Martin Davidson of the Royal Wine Corp. Davidson calls 2007 a “breakthrough year,” because that is when Robert Parker’s Wine Advocate heaped praise on Israeli wines, including kosher varietals, awarding 14 wines with a huge 90 (rated outstanding) score. The Wine Spectator followed suit in June with a glowing article about Israel’s Moment in the Sun, a narrative on Israel’s Wine Revolution. Davidson’s suggested list of wines for this Rosh Hashanah includes: Barkan Tempranillo 2005 (Israel), Segal’s Special Reserve Cabernet 2004 (Israel), Flechas De Los Andes Gran Malbec 2007 (produced by a partnership of Rothschild and Dessault), Barons Edmund and Benjamin Rothschild Haut Medoc 2005, Capcanes Peraj Ha’abib 2005 (Spain), Goose Bay Pinot Gris (New Zealand, Herzog Reserve Syrah Edna Valley 2005 (California), and Baron Herzog Contour 2007 (California).

September 15th Kosher Food Industry Headlines

Calendar to complicate kosher meat supply for holidays, experts say
New York…Concern over an adequate supply of beef for the upcoming holidays may be complicated by this year’s Jewish calendar, experts told KosherToday. Because of the way the Jewish holidays fall in October, kosher slaughter and production will be interrupted for 10-12 days during the month, further jeopardizing an adequate supply of beef for the holidays. It is for that reason that many kosher stores have been stocking freezers well in advance of the holidays.  The major reasons for the decline in the supply of kosher beef are the cutbacks in production at Agriprocessors and the fact that South America is no longer a significant source for beef, say the experts. Producers have found it difficult to increase production since they have few options for slaughterhouses that will allow kosher slaughter. Even with the addition of several newcomers to the kosher beef market in the coming weeks, kosher consumers face “challenging times ahead,” said one major distributor of kosher beef (who provided anonymous insight to the current conditions in the marketplace). “These are extremely trying times in the kosher beef market,” he added. “Commodity and fuel prices continue to go up, while a recession is forcing some consumers to cut out beef altogether.” Yet, he predicted that demand would soar during the holidays. Fears of shortages in poultry do not appear to have materialized with the expectation that many shoppers will opt for the chicken, especially if they can’t get the beef. He said that the kosher consumers are “facing an unprecedented crisis in kosher schechita.”

Rabbis continue research into Category I foods
Chicago, Il…As the Association of Kashrus Organizations (AKO) prepares to meet in New York immediately after Kosherfest ’08, an AKO committee continues to delve into Category I foods, or foods that are inherently kosher and do not require specific kosher certification, according to Rabbi Sholem Fishbane, executive director of AKO. The group, for example, found that dry roasted nuts should not be considered a Group 1 food because the same roasters are used for oil-roasted and dry-roasted nuts. They noted that in Europe and elsewhere, the term “nectar” may refer to a flavored syrup, which requires hashgacha (and the additives would be declared on the spec sheets) rather than pure juice. Ascorbic acid is made via fermentation and most hashgachos haven’t considered it a Group 1 for many years. Of late, companies have changed the process to include enzymatic processes as well, which makes the requirement for hashgacha that much more important. Ascorbic acid is used in handling tomatoes as they dry in the fields (where the ascorbic acid prevents spoilage), such that hashgacha on sun-dried tomatoes (especially for Pesach) should also include oversight in the fields. Another ingredient that was addressed was glacial acetic acid, which is usually less expensive than wine vinegar. The committee noted that the industry standard is to pickle Kalamata olives in wine vinegar, which means that proper hashgacha is required.

Kosherfest special events look at industry and culinary trends
New York…Organizers of this year’s Kosherfest, which takes place November 11-12 at the Meadowlands Exposition Center in Secaucus NJ, are offering visitors a potpourri of special events designed to enhance their knowledge of the kosher industry. In his annual “State of the Kosher Industry” (9 a.m. on Tuesday November 11th), Menachem Lubinsky, founder of Kosherfest, will discuss how the industry can use its kosher status to make inroads with different segments of the food market, including retail and foodservice. He will be followed by a Kosherfest Sushi Competition & Seminar, with demonstrations from Eden Wok, Glatt A La Carte and other restaurants. Sushi has emerged as a popular menu item in kosher restaurants all over the country. The competition is sponsored by Dagim and Great Kosher Restaurants International. Levana Kirschenbaum, author of Levana Cooks Dairy Free! & Levana's Table: Kosher Cooking for Everyone, will do book signings.  On Wednesday morning, executive chef Jeff Nathan and a panel of other culinary leaders will participate in a presentation geared towards kosher food purveyors and food manufacturers.  It will focus on where the trends are going and what the benefits are to each company. Moderated by Elan Kornblum, publisher of Great Kosher Restaurants International, the discussions will include: Who is your target audience?  How to market your products with edible vocabulary.  Labeling…choose your words carefully.  Are you on the right track in following today’s culinary trends?  What can manufacturers do for “going green”? Chef Jeff Nathan is executive chef and co-owner of Abigael’s on Broadway, one of New York’s finest kosher dining establishments.  Elan Kornblum, is the Publisher and President of Great Kosher Restaurants International, which is sponsoring the discussion. The final seminars on Wednesday will be on Culinary Trends for 2008/2009—Where Does Kosher Fit In?, product innovation and packaging, and Preserving Memories Through Jewish Food with Judy Bart Kancigor, Author of Cooking Jewish.

More at-home moms shop online
New York…by Ilene Lubart…Many moms with infants at home are finding online kosher shopping a convenient way to manage their shopping. Several kosher stores in the New York area have followed the successful Fresh Direct model in making door-to-door deliveries based on online ordering. Fresh Direct itself has expanded the area of delivery in the Metropolitan New York area with a full line of kosher foods. Moms in Flatbush find the Glatt Mart site a convenient way to shop, with the store being praised for on-time deliveries. The home delivery online option is a growing trend, according to some of the stores, expanding on the online option where the food is shipped overnight on sites like kosher.com. In South Florida, My Kosher Market makes home deliveries to different parts of the area on certain days and ships to more distant places. Gloria, a South Florida mother of three children under the age of 5, does all her shopping online. “It has made my life infinitely better,” she says, adding that her husband, an actuary, works late hours and is seldom available to help out with the shopping. In fact, her husband has hired a computer techie to teach his 81-year old mother to use the computer to order foods. Gloria says that it has been working with mixed results. “She still prefers that my husband pick up some items for her, which usually means that I find the time to drop off the items.”  

The OU’s plan to improve kosher meals for prisoners
New York…For the past year, the Orthodox Union has been working with the Vaad of the Capital District, in a pilot project for the New York State Department of Correctional Services at its central Food Production Center facility located in central New York, on the Oneida Correctional Facility real estate. The project provides for local packaging of all the kosher food for the entire state prison system as well as a number of county lockups.  The project is also a training facility for inmates who use their incarceration as a means of learning a food service skill that will make them more employable when they’ve done their time and return to private life. The operation involves only the repackaging of previously certified glatt meats and chalav Yisrael (with special rabbinic supervision) American cheese into quarter-pound servings. Despite the fact that only ten percent of the prison inmates who request kosher meals are Jews, with only a handful having kept kosher before going to prison, the operation slices, packages and vacuum seals an average of 3,000 individual servings each day, Monday through Thursday, for a total of a ton-and-a-half of food per week.

News from Israel

Officials call Shmittah year a resounding success
Tel Aviv…by Idele Ross, KT Israel Bureau Chief…With two weeks to go before the Jewish New Year of 5769, farmers and government officials are calling this year’s Shmittah (the seventh year of which the Torah requires that the land be left fallow) a resounding success. Fruit and vegetable imports to Israel during the shmittah year were a minimal 20,000 tons out of a total of 1.5 million tons of produce required by consumers and industrial markets. Agriculture Ministry officials met last week with representatives of the Religious Kibbutz Movement at Kibbutz Saad for a conference summing up the shmittah sabbatical year.  Agriculture Minister Shalom Simchon said that there were no shortages for anyone, regardless of the level of observance demanded by the Jewish community.  The income of farmers did not decline because of the restrictions placed on locally grown produce by the laws of shmittah. This was the result of the joint efforts of the religious kibbutz movement and the agriculture ministry. The government allocated some $34 million to Orthodox farmers who did not work their fields during the shmittah year. In addition, the Charedi community also raised a considerable sum to compensate farmers during this Sabbatical year.

Yael Shaltiel, Agriculture Ministry Director, told the conference that 215,000 people are employed in the agriculture sector and work needs to begin immediately to ensure that their livelihoods will not be affected when the next shmittah year falls in seven years. Even though the Orthodox community constitutes only 18 percent of the public, the demand for shmittah observance goes beyond their needs.  Supermarkets and food producers who serve a diverse public made sure to seek out the stricter Badatz kashrut certification which bans the use of produce grown during the shmittah year.  Tzvi Alon, Deputy Director of International Trade at the Agriculture Ministry, said that farmers increased their potato and carrot crops during the year preceding shmittah, which is why only 10 percent of the total demand needed to be imported.  He said that a critical part of the arrangement was cooperation with Arab and Palestinian farmers in Judea and Samaria who supplied the Orthodox markets with produce. 

Israeli hotels court Israelis to fill overseas vacancies for Succoth
Jerusalem…Israeli hotels are offering special deals to Israelis for Succoth, as it became apparent that they will not be able to fill rooms with foreign tourists during the upcoming holidays. The hotels made a last-ditch effort to boost reservations overseas with little success. One Jerusalem luxury hotel executive took to the phones to call loyal customers overseas who are skipping this year, waving the obligatory meals and allowing for a third person in a room for free, and even offering a 10% discount. The Israelis blame the calendar and the economy for the sluggish reservations. Since the holidays fall on Tuesday and Wednesday, it does not leave much free time for touring, they explain. They also say that some of their clientele have taken hits in the stock market and in real estate. “People who used to spend $20,000 - $25,000 over Succoth are telling me that they will be with children or building their own succah,” said the executive of the luxury hotel. The hoteliers say that they hope that the Succoth slump is an aberration in an otherwise robust tourist year in Israel. 

September 8th Kosher Food Industry Headlines

BREAKING NEWS: Empire Kosher Poultry set to enter kosher meat market
New York…Empire Kosher Poultry, founded in 1938 by Joseph Katz, is set to enter the kosher meat market, sources told KosherToday. The beef will not be sold under the Empire brand, due to trademark restrictions, but will be certified by the Star-K Kosher Certification and Khal Adas Jeshurun. Sources say that Neil Rosenbaum, the company CEO, has worked out a deal with the AD Rosenblatt brand to use the  small slaughterhouse in Wichita, Kansas that Rosenblatt uses. AD Rosenblatt was launched two years ago by Rabbi Yaakov Rosenblatt, a Brooklyn transplant, who currently resides in Dallas, Texas. Kosher industry sources say that at this point, the Empire move is no more than a “foray,” but that Empire, once the dominant kosher poultry producer in the U.S., was looking to take advantage of changes in the marketplace, including the ongoing problems at Agriprocessors in Postville, Iowa. One source said, “Empire watched helplessly as Agriprocessors and Alle Processing ate away at their market share in poultry and it was only a matter of time that Empire would venture into their territory.” For the Star-K, headed by Rabbi Moshe Heinemann, the new brand is the second kosher meat to be certified by the agency. The Star-K certifies the  J.W. Treuth company in Baltimore. For KAJ, which already certifies Empire Poultry along with the Orthodox Union (OU), the new brand provides them with a source of beef, which they lost when they ended their relationship with Agriprocessors in April. Despite the new Rosenblatt and Empire products, kosher sources are still concerned over a shortage of kosher beef in many parts of the country due to the cutbacks in production at Agriprocessors. 

Retailers launch Rosh Hashanah campaign
New York…The new ShopRite calendar is out as are the calendars of several other large kosher supermarkets in advance of the upcoming Rosh Hashanah holiday (eve of September 29-October 1st). ShopRite’s attractively designed calendar was coordinated by the head of its kosher program, Jacob Rusinov. Many supermarkets have already come out with their ads for Rosh Hashanah. Yakov Yarmove of SuperValu shared his first ad for Albertson’s which this year includes the theme of “Help Make 5769 a Green Year for Israel.” It includes a program in which the store promises to make a contribution to the Jewish National Fund for customers who buy any Kedem, Gefen or Yehuda product. The ad includes many specials for well known brands such as Manischewitz, Rokeach, and Ungar’s. Kosher vendors are expecting a better than usual Rosh Hashanah season because of the nearly 4-week gap between the end of the summer and the Jewish New Year. Despite rising prices for many items, supermarkets say that shoppers will still be able to find many discounted items which will make up for the higher prices for milk, cheese, meat and poultry.

More vendors voice displeasure With Wal-Mart
New York…Two more kosher vendors that do business with Wal-Mart in Monticello during the summer months complained about their treatment by the mega store. One dairy supplier told KosherToday that his order was significantly cut from previous years and that he was forced to clean up empty boxes and credit any products brought to the register and not purchased by customers. The two were the latest to criticize the store’s management for their treatment of kosher vendors and the store’s kosher program in general. A second vendor said that while the store had initially welcomed him three years ago with open arms, “it was different this year.” He said that there seemed to be a “total disregard” by management for kosher despite the fact that the store is used heavily by consumers who covet kosher. Both vendors appeared to disagree with the earlier complaints that the store had arbitrarily cut their invoices. They said that they were paid their price but the amount of goods sold was “significantly less” than in previous years. A kosher food distributor who serves the ShopRite store just across the road said that Wal-Mart’s “attitude was a big boost for ShopRite this year.” In previous years, the supermarket was said to have lost business to the megastore just across the road.  

Focus of Kosherfest is on new and improved kosher products; competition on October 28th
New York…Hundreds of new products are expected to be judged at the annual Kosherfest New Product Competition which takes place on October 28th , just two weeks before the 20th edition of Kosherfest opens at the Meadowlands Exposition Center on November 11th for its two-day run. The judging, which is done by a panel of experts representing many facets of the kosher food industry, traditionally awards the best products in each food category as well as the best of shown new product. The trend over the past few years is for the kosher community to release many new items that “embellish existing products and meals,” according to Bill Springer of Diversified Business Communications, which co-produces Kosherfest along with LUBICOM Marketing Consulting. This year, organizers expect that there will be many more health-related items, including gluten-free, soy-based items, and sugar and fat-free products. They also expect new snacks, gourmet and frozen foods. The competition will take place at the 14th St. Culinary Academy in New York City. Prior to the judging, restaurateur and cookbook author Levana Kirschenbaum will be delivering a kosher cooking course to the students.

A second cut permitted by USDAis latest target of PETA
Postville, Iowa…A new video clandestinely filmed by a PETA operative showing workers at the Agriprocessors plant making a second cut on animals just slaughtered  by a shochet  is the subject of the latest interest at the glatt kosher meat plant. According to the New York Times, a USDA spokesman called the violation “egregious” but then continued that Agriprocessors was in “full compliance” with federal humane slaughter laws. The use of the term “egregious” was surprising to the certifying rabbis who, like the USDA, favor the second cut to facilitate bleeding. The rabbis, in fact, dispute PETA’s contention that the second cut creates suffering and instead argue that it hastens unconsciousness and is therefore more humane. The rabbis say that facilitating the bleeding also avoids any kashrus issues with a bloodshot animal. The USDA regulations also seem to allow a second cut and particularly warn USDA personnel who are on site at all times during schechita “not to interfere in any manner with the preparation of the animal for ritual slaughter, including the positioning of the animal, or the ritual slaughter cut and any additional cut to facilitate bleeding.” KosherToday has learned, however, that officials of the USDA, along with certifying agencies and the plant itself, are in discussion over the exact procedure for the second cut, including assuring that it is under the watchful eye of a rabbi. In a statement, Chaim Abrahams, a spokesman for Agriprocessors said that the company “fully complies with federal humane slaughter laws as is monitored by inspectors of the United States Department of Agriculture. All kosher slaughter procedures are under the exclusive direction of the supervising agencies and rabbis who certify the kosher status of the animals, as is provided by law.” In a subsequent statement, the USDA said that a violation was issued for there not being a rabbi on the animal rights video, but that the violation was “not egregious.”

News Briefs

New York…The OU’s successful AskOU program this summer drew participants from as far away as Jerusalem, Berlin and Paris. The program also attracted participants from all over the United States. The AskOU was divided into two programs – a three-week kashrut internship with 26 participants including rabbis, rabbinical and kollel students, and a one-week kashrut training program with 70 participants including community rabbis, assistant rabbis, students and members of local Va’adim HaKashrut. The two groups combined in the final week of the three-week session.

New York…In what may be considered the Kentucky Derby of cheese competitions, OU kosher-certified cheese manufactured by Bluegrass Dairy & Food/Glasgow Division of Glasgow and Springfield, KY recently won first place gold in all three classes at the Kentucky State Fair for its Natural Cheddar (Wilderness Trails brand) and its Natural Gouda (Bluegrass Dairy & Food brand.)

Cost of keeping kosher in Europe forces habit changes
London…Keeping kosher in Europe is more costly these days just as it is in the U.S. and Israel where prices have risen 5% - 10% in the past few months. According to an article in the London Chronicle, people who keep kosher are scaling back with their purchases. Avi Avital of Hendon Bagel Bakery told the Chronicle, "People are not spending like they did before. Those who used to buy five or six challot a week now only buy one or two. People are really cutting down. In Paris, the cost of many Israeli items has risen in the past few months, as have many local items. Similar increases are affecting Jews in Antwerp. The cost of kosher wines from the U.S. and Israel has risen as well. Golders Green butcher Menachem Haziza told the Chronicle,  "In the past eight months everything has gone up and the whole balance has changed. People are buying less. Some of my regular customers who usually put in large orders have cut them down somewhat.” A Paris butcher said, “People are asking me for cheaper meats and these are some of the same people who used to ask for prime cuts.”

News Briefs from Israel …by Idele Ross, KosherToday Israel Bureau Chief

A freeze in the food industries
Israel’s food industries have for the first time in three years stopped hiring. The Food Division of the Manufacturers Association reports that food exports are losing earnings because of the dollar’s weakening value and because of the hike in prices of imported raw materials. 

Grape expectations in Israel
Israel’s grape harvest has begun with high expectations from all involved. The Grape and Wine Council anticipates a yield of 45,000 tons compared to 42,000 tons last year. Tzachi Dotan, CEO of the Council, said vineyards now account for some 11,000 acres and 750 new acres which were planted before the sabbatical year. Thousands of additional acres are to be planted over the next three years. Vineyards stretch from the Golan Heights to the Negev in the south.  Council officials say that more vineyards are cultivated each year. Wine production is expected to exceed 35 million bottles, 70 percent red and 30 percent white.  Exports account for 20 percent of sales, half in the U.S. and the rest in Europe. Wine exports total $30 million. 

Israelis and French fries
Two thirds of the Israeli population eat their French fries at home.  A survey conducted by Tapugan, Israel’s largest producer of fresh and frozen potato products, found that the main market is not surprisingly, teens between 14 and 18 years of age.  30 percent of the people asked said they eat French fries once a week, 12 percent said French fries are part of their diet two to three times a week.  According to the survey, Israelis consume 50,000 tons of French fries (also known as chips) per year. 

Israeli eggs to Jordan
The thousands of Israelis who went abroad for summer holidays left Israel with a severe egg surplus. Poultry farmers left behind with the problem were pressed to export some 22 million eggs during the summer months, including two million that went to Jordan, making the country an export market for the first time.  In addition, Israeli eggs were exported to Spain and other European countries.  Some were exported fresh, but most were in the form of reconstituted egg powder. Farmers are confident that egg sales will return to normal now that the summer holidays are over and the high holidays are approaching.

Duly Noted
An item in last week’s KosherToday erroneously mentioned Le Chocolat’s location as being in South Fallsburg. It is in Woodbourne during the summer months. A further check with vendors on the dollar amount of kosher foods sold in the Catskills indicates that the figure should be closer to $25 million, with a significant amount being spent by the summer camps in the region. The original number of $50 million was given to us by a kosher food distributor.

September 2nd Kosher Food Industry Headlines

Brooklyn still the nation’s kosher center for many shoppers
Brooklyn, NY…Lisa, a mother of four, travelled from Philadelphia to Brooklyn to visit the new Pomegranate store in Midwood and left with a trunkload of kosher goodies, including some flavored gluten crackers for her diabetic husband. In the parking lot were license plates from New Jersey, Massachusetts and Maryland, in addition to New York. Doris, a PR specialist from Englewood, NJ, always travels to Brooklyn on the eve of the Jewish holidays to stock up on many kosher products she says are not available in the stores that carry kosher foods near her. She particularly does “her big order” for Passover at Moshe’s, which is not far from Pomegranate. Doris and Lisa are part of a growing number of people who make the pilgrimage to Brooklyn to stock up on the many kosher items available there, and interestingly enough, to an area they believe offers items that are less expensive than at their local stores. Brooklyn kosher retailers say that they have always catered to “out-of-towners,” even when kosher foods became more available in communities outside of New York. Brooklyn, it seems, has become for many what the Lower East Side may have been just a half century ago. It is where kosher shoppers can find a greater variety of meats, dairy items, and kosher health foods. With Rosh Hashanah less than a month away, retailers expect many non-Brooklyn shoppers to be amongst the hordes of customers that will soon crowd the aisles. “Many people with roots in Brooklyn who have left the community come back here to shop,” said one retailer. “Visiting the old neighborhood seemed to have been quite popular this summer,” said another the retailer. For many, the visit turned out to be costly, as they left the borough with a car-full of food.

Recession hits middle class in record numbers in advance of holidays
Brooklyn, NY…Many middle class families are finding it hard to pay their grocery bills, a number of kosher retailers told KosherToday. This was confirmed by the Met Council on Jewish Poverty and a number of other Jewish agencies that help the poor. One Boro Park retailer said that it has become very difficult to collect outstanding bills from people “who used to pay like clock-work.” Thumbing through his ruled notebook, he pointed to people who are considered “very respectable” in the community. The number of foreclosures in such neighborhoods as Flatbush is also said to be rising, another indicator that the recession is having a major impact on middle class Jews. Concern is mounting that the upcoming holidays may be a difficult time for thousands of Jewish families throughout New York City. Reports from other cities also point to a significant number of middle-class Jews who find themselves in financial distress. Retailers say that they noticed an appreciable change in the buying habits of many middle class families, most notably avoiding costlier foods such as red meat or expensive fish. The Boro Park retailer said that many of his customers are “sticking to chicken and starches.” Middle class customers have also had to face many increases in the price of meat and dairy, which by Rosh Hashanah, may be as much as 20% higher than a year ago.

Catskills season ends with an up year
Liberty, NY…The last of the summer shoppers were filing out of the ShopRite supermarket and specialty kosher stores in an area of New York that is home to an estimated 200,000 Jews during the summer months. At Landau’s in South Fallsburg, the shelves were virtually empty as the store was depleting its inventory in anticipation of the end of the season. At the new Center One mall in Woodridge, it was time to wind down what was a successful first year. Woodridge has a year-round grocery store, which serves a growing number of Jews who spend weekends and holidays in coops and condos and a number of Chasidic Jews who make the Catskills their year-round home. Kosher purveyors say that sales of kosher foods in the Catskills may top $50 million this year. Some of the new eateries were also happy with results, especially Le Chocolat in South Fallsburg that quickly became the place to be for chocolate and ice cream, albeit that the chocolate was not cheap. The conversation everywhere turned to next year, including figuring out on what day Independence Day falls.

New survey shows supermarkets amongst most popular kosher establishments in Atlanta
Atlanta, GA…Two popular supermarkets with large selections of kosher foods were amongst kosher food establishments to receive the highest ratings, in a first ever Atlanta area kosher survey conducted by Kosher Community Surveys LLC.  The survey asked local consumers their opinions of Atlanta area kosher stores, restaurants, and bakeries. Establishments with high scores included: Publix supermarket (N. Druid Hills), Kroger (Orchard Park), Griller’s Pride, Pita Palace, Café Ofi, Chai Peking, and Simone’s Bakery. Neil Rosenbaum, President of Kosher Community Surveys LLC, commented, "We are very excited to extend our survey process to the Atlanta area. The final report provides the area’s kosher consumers a unique mechanism to provide feedback to kosher establishments. I hope the owners and managers are able to take advantage of this information to improve the experience customers have at their establishments.” Over 170 people participated in this year’s survey. Kosher Community Surveys LLC conducts consumer surveys of kosher restaurants, bakeries and stores across the country and has already completed surveys in other cities including: Philadelphia, Washington DC, Baltimore, Boston, Chicago and Cleveland.

News from Israel

New organic market in Tel Aviv
Tel Aviv…by Idele Ross, KosherToday Israeli Bureau Chief…While reports indicate that sales of organic foods are falling off in the U.S., the market in Israel is still gaining momentum. The Castel Nature organic market chain, which was founded in 1999, is located in the heart of the city and is the fourth branch in the Tel Aviv area and the 13th nationwide. Kfir Nachum, CEO of the company, said that the new store was opened because of a growing demand from consumers for quality organic foods at popular prices.  Nachum says he expects a 20 percent growth in sales over the next year.  Some $700,000 were invested in opening the new store.  The new market has 20 departments including organic produce, gluten-free products, and even organically grown poultry and fish. 

Supersol launches ‘Yesh’ for Orthodox and large families
Tel Aviv…by Idele Ross, KosherToday Israeli Bureau Chief…Supersol has fired the latest salvo in the effort to capture the lucrative charedi (rigorously Orthodox) market. It plans to launch the ‘Yesh’ chain, a warehouse-style supermarket with an emphasis on a simpler shopping experience that emphasizes kashrut observance.  The chain will consist of  48 stores from Kiryat Shmona to Beersheva.  Supersol is hoping that the ‘Yesh’ chain will appeal to large families in both the Jewish and even non-Jewish communities. Supersol is said to have invested $20 million after it merged two existing supermarkets, Zol Po and Eleph, as well as opening several new locations.  Supersol considered the market up for grabs after entrepreneur Dudi Weissman refused to buckle to charedi pressure to close his AM-PM chain on Shabbat. This prompted the Orthodox Committee for the Sanctity of Shabbat to call for an overall ban of the group’s 45 Shefa Shuk stores, many of which cater to the religious community.

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