Posted by Menachem Lubinsky on May 27, 2010 under Kosher Companies | 
New York…The kosher food industry is playing a major role this month in Jewish Heritage Month, thanks to a major effort by Manischewitz. At least 30 major retailers are participating in promotions that will include a retailer display contest. Manischewitz has created numerous merchandizing materials for in-store use that reflect the spirit of JAHM, such as poster boards, shelf talkers and more. Retailers will be challenged with a first ever display contest in honor of JAHM. Manischewitz will make donations on behalf of the top three retailers with the biggest and most creative in-store displays. Several kosher food executives, including Yakov Yarmove of SuperValu have been invited to the White House this Thursday (May 25th) to join President Barack Obama in celebrating 350 years of Jewish history in the US.
“The United States would not be the country we know without the achievements of Jewish Americans,” said the President in recognizing JAHM. “We are honored to sponsor Jewish American Heritage Month,” says David Yale, CEO of the Manischewitz Company. “Our company has played a significant role in the history of Jewish American culture. We are delighted to support this month-long celebration that gives us reason to take pause and honor the contributions that Jewish Americans have made to our society.” Tova Ross, Kosher Today Feature Editor, writes that Manischewitz was indeed an important part of that heritage. In the 1800’s in Lithuania, most young Jewish men were immersed in their yeshiva studies, preparing for a career in the rabbinate or working as merchants, artisans, or laborers. Though Rabbi Dov Behr Manischewitz was once a Talmudical scholar in the Telz yeshiva, something else called out to him, and in 1886, he emigrated to America with his new wife, Nesha. It was in Cincinnati two years later, that he founded his eponymous kosher food company. Manischewitz, who had also been a shochet in Lithuania, was the first person to come up with the idea of selling machine-made matzah to American Jewry for Passover. The idea caused a small amount of controversy, for it changed both the shape of matzo (which up until then had been circular or oval-shaped) to square pieces, and the individuality of burnt, charred, or irregular matzos to a uniform and perfectly-shaped matzos in every box. Manischewitz matzo became a national and international product, changing the way Jews purchased and ate matzo. After conquering matzo, the company soon came to dominate the kosher wine market. In 1932, the company expanded to Jersey City to better serve the increasing Jewish population, which was mostly based in the Metropolitan New York area. The Jersey outpost soon became the main base for the company when its Cincinnati branch closed in 1958.
Posted by Menachem Lubinsky on May 10, 2010 under Kosher Companies |
By Menachem Lubinsky
New York…”The departure of Hain from the kosher poultry scene is the beginning of a shakeout in kosher poultry,” a leading distributor of kosher beef and poultry predicted. In interviews with several purveyors and distributors, Kosher Today learned that the landscape for kosher poultry continued to evolve and that at least one or two other established producers were “shaky.” Hain announced that its Kosher Valley brand will be sold to Empire Kosher Poultry, which is said to have improved its sales in recent months, largely due to increased production by major distributors who are slaughtering at the Mifflintown PA plant. Empire, the long-time leader in kosher poultry, had faced stiff competition from increased production by existing producers and the emergence of several purveyors that targeted the strictly Orthodox market. AgriStar, the successor to the failed Agriprocessor, continued to compete in the poultry market as did relative newcomers like KJ Poultry in Monroe NY. Industry sources noted that while sales of kosher poultry will continue to rise in the Orthodox community, it is declining in other markets. “I think when everything is said and done there will continue to be a strong demand for kosher poultry, but at present there may very well be a glut,” a leading expert said.
Industry officials were also curious about why the Kosher Valley brand did not succeed in the current health-conscious environment. The brand was the first all-natural kosher poultry product to be antibiotic-free (ABF), vegetarian fed and humanely raised. It featured modern and well received packaging and stood out as a higher-end product. Yet, say the officials the demand for the natural chickens was not as expected and consumers demonstrated once again that price is a major factor in their purchasing decision. Empire says that it will continue to produce the chicken and some experts predict that all-natural branded chicken and turkey products will continue to gain share in the kosher market.
Posted by Menachem Lubinsky on April 26, 2010 under Kosher Companies, Recession |
By Menachem Lubinsky
New York…The recession continues to have a significant impact on kosher food sales despite a perception that kosher food is “recession-proof,” Kosher Today has learned. In dozens of interviews with industry officials, it became clear that the buying habits of kosher consumers was markedly different this past Passover than it was just two or three years ago. “People are being squeezed on all sides” said a Boro Park retailer, “and they are more price conscious than ever.” He said that he observed that more customers were buying from lists rather than just impulse buying or walking up and down the aisles and picking up items. In nearby Flatbush where Pomegranate has set a new standard in shopping for kosher foods, there were many customers who now shop in multiple stores. A kosher blogger wrote: “I have learned to buy items at Pomegranate that cost about the same everywhere (i.e. many dairy products) and to save by buying at places like COSTCO, Paperific and the Kolel store.” The retailers say they are constantly reminded by customers of a breadwinner that has lost their job. Stores that recorded double-digit growth in 2008, said they only did 2% – 3% better on sales during Passover 2010 than they did in 2009. The same seemed to be true in kosher wines where many customers shunned the more expensive wines they routinely bought in 2008. The number of people relying on help from such charities as Met Council on Jewish Poverty, Tomchei Shabbos and Keren Aniyim as well as similar organizations in cities outside of New York also increased significantly.
Despite this disturbing development for the kosher food industry, sources say, the industry as a whole seems to have weathered the “pockets of downturns” well. They pointed to making up some of the slack with volume. “Natural growth has always helped the industry even in a down economy,” said one kosher food manufacturer. New items also continue to drive sales as younger kosher customers continue to show a strong desire to try new and interesting foods. While there is talk of a recovery, in the kosher food industry the recession still continues to take its toll.
Posted by Menachem Lubinsky on April 12, 2010 under Kosher Companies |
By Menachem Lubinsky
New York…The stage is set for the return of glatt kosher beef from Agri Star Meat and Poultry to many supermarket shelves, but the circumstances are far different than those that the company’s predecessors Agriprocessor left behind nearly two years ago. Industry sources say that there is no shortage of either glatt kosher poultry or beef in the marketplace, with the exception of several small markets that the former Agri served but other producers do not consider cost effective. In fact, the industry has experienced significant change since the ill-fated federal raid and subsequent bankruptcy of Agriprocessor, most notably the emergence of several new players in the industry, particularly in poultry. Agri Star, under the management of Jewish businessman and philanthropist Hershey Friedman, had been producing as many as 20,000 chickens a day contributing to what industry sources say is a “major glut of poultry products” and what has emerged in many markets as an unprecedented price war. The anticipated return of the beef from the Postville, Iowa plant was praised by local cattle farmers that have suffered as a result of the Agri shutdown of its beef production. The company itself is touting the resumed production as offering “extremely high quality” meat products. It also speaks of supporting the local Jewish community, which was developed and nurtured by the Rubashkin family.
Agri Star is also embroiled in controversy in the aftermath of the resignation of Rabbi Menachem M. Weissmandl of Monsey, who sources say, dropped his kosher certification of Agri products because of a poor working relationship with Mr. Friedman and his team. Said one source: “Mr. Friedman’s inexperience in the business did not augur well for his relationship with the supervising rabbis.” Rabbi Weissmandl has been replaced by Rabbi Yechiel Babad of Tartakov. It is uncertain what effect the change will have in the marketplace. Agri Star products, like those of the predecessor company, are also certified by the Orthodox Union (OU). The source wondered about the fate of the shochtim (kosher slaughterers), many brought here from Israel by Rabbi Weissmandl, which only added to the many questions about the future of Agri Star in the marketplace.
The shortages in the marketplace just after the demise of Agriprocessor have long been replaced by existing giants like Alle Processing and many newcomers, including imported beef products from South America, primarily Uruguay. Some caterers are still smarting over the loss of “real quality glatt kosher beef” that the market had become accustomed to, but one caterer told Kosher Today “there are some really good cuts out there.” The kosher meat and poultry market in the US in 2009 was estimated at approximately $550 million, with less than half labeled as mehadrin or glatt. Even Hebrew National which produces kosher but not the higher standard glatt is said to have upgraded its kosher standard in recent years. According to rabbinic sources, under Rabbi Aryeh Ralbag of the Triangle K, “the kosher meat now meets the standard of being kosher.” The recast kosher poultry market includes more than a dozen brands, with one supermarket showcasing seven. This has cut into the sales of some of the established poultry producers. An industry source says “that the pie got only slightly larger but the number of chickens significantly greater and you can figure out the rest.” His reference appeared to be the effect on the long-time large producers.
Posted by Menachem Lubinsky on February 25, 2010 under Kosher Companies |
New York…by Zechariah Mehler…Two well-known kosher caterers joined forces recently in a merger that sources say should help both well known kosher caterers. Simply Divine, a premier New York kosher caterer and event planner, has become a division of Foremost Caterers. The combination of Foremost and Simply Divine caterers gives both companies the ability and resources to create an expanded boutique catering and event planning experience. Also expanding is Simply Divine’s line of prepared foods which is sold at Zabars. Judy Marlow, the creator of Simply Divine describes her company as “the Calvin Klein of Kosher Caterers”. She says that Simply Divine excels at providing food which is simple but exceptional. Officially Simply Divine will be acting as a division of Foremost. This will allow them to retain the unique style Executive Chef Brian Sutor has created for them. Trained at Le Cordon Bleu in Paris, Sutor spent 13 years as Sous Chef at the 5-Star Le Bec Fin in Philadelphia and the last 5 years at Simply Divine. The merger will also allow regular customers of Foremost to have a greater number of options for their events. One source familiar with the deal said that such mergers are designed to share in overhead while increasing business, particularly in a recession environment.
Posted by Menachem Lubinsky on under Kosher Companies |
Tel Aviv…by Idele Ross, KT Israel Bureau Chief…Tnuva, Osem and the Shupersol (Supersol) ‘Yesh’ supermarket chain are the most identifiable brand names among Charedi orthodox households. There are some 125,000 of these households in Israel and the community is growing at a rate of 6.7% a year making it a very desirable market for food manufacturers. The Hebrew language Globes business news website reports on marketing research carried out by the ‘Hamevaser’. A senior advertising executive whose agency caters to the observant community said that most of Israel‘s major manufacturers understand that the Orthodox sector is the country’s fastest growing community and will continue that way for the next ten years. The independent study carried out among 538 respondents found that the most recognizable brand in the community is Tnuva dairies, followed by Osem and in third place ‘Yesh’ a subsidiary of Supersol. The authors of the study attributed Tnuva and Osem’s familiarity to their many years in the food industry. The ‘Yesh’ chain, a relative newcomer, they said, has outlets in most Charedi communities. Also in the findings is the fact that the Hared consumer is loyal to the known brands and trusts their stricter mehadrin kashrus even if products are more expensive. For example, Coca Cola is a favorite soft drink among those who were asked. Some 36 percent expressed their preference for Coke over other soft drink bands which are less expensive.
Sociologist Professor Oz Almog, who studies the consumer behavior of the religious community, said that their shopping habits and their image have changed. They no longer buy the least expensive brands. He said that they prefer the brand names even for basic foodstuffs like dairy products and breakfast cereals. Almog added that the Hared newspapers in Israel are full of ads for quality goods. He found a 25 percent increase in sales of high end wines and a 35 percent increase in the sales of beer indicting a growing middle class amongst the Charedi community.
Posted by Menachem Lubinsky on February 12, 2010 under Kosher, Kosher Companies |
By Menachem Lubinsky
Postville, Iowa…There is word that the new owners of Agri, now known as Agri Star Meat and Poultry, are planning to hire as many as 150 new workers to add another shift for its poultry production and perhaps to finally restart beef production. The new company says the new jobs could pay $9.50 to $12.50 an hour. The addition of more poultry is expected to further crowd an already crowded kosher poultry field. Competition has become so keen that several of the poultry purveyors are placing full page ads in Jewish media and touting their quality and kashrus differences. The poultry war is especially intense in the Orthodox market where several of the brands are competing for increased market share. KJ Poultry, based in Kiryas Joel in Upstate New York, featured photos of visits by such prominent rabbis as the Rabbi of Satmar. Other companies like Mehadrin addressed the quality of their chickens. Conspicuously absent from this media war has been the national kosher brands.
Posted by Menachem Lubinsky on February 10, 2010 under Kosher, Kosher Companies |
By Menachem Lubinsky
New York…Visitors to the recent Kosher Restaurant & Wine Experience (sponsored by the Kedem Group) on February 1st at Pier 60 (Chelsea Piers) were struck by the large presence of French kosher wineries as well as the unprecedented presence of Spain. The two countries have faced stiff competition from Israel wineries, including Barkan, Binyamina, Gamla and Psagot, many of whose wines have in recent years been receiving high grades at international competitions. It is no secret that export demand for French wine in general is at it is lowest since 2000, according to official figures for the 12 months to June 2009. The volume of exports to the EU is particularly low, at 2.8 million hl, and sales to the UK have fallen by a massive 27% to 0.8 million hl. France showcased some of its best, including wines from Alsace, Bordeaux, Burgundy, Loire Valley, Laguedoc-Roussilon, Rhone Valley, and the Southwest region of France. Also on display were Champagne and Cognac. Through a special booklet, the French sought to provide the Jewish links to the region and in some case cited popular folklore associated with the region. Spain too showcased some of its better wines in an attempt to compete with Israel, which has emerged from almost obscurity to become a world-class winemaker. Both France and Spain are trying to gain a foothold in the growing kosher wine and spirits market. According to Nathan Herzog of Kedem: “The reality of the emerging popularity of Israeli wines has put these countries on notice that they will need to aggressively reposition themselves in the kosher market.”
Posted by Menachem Lubinsky on February 9, 2010 under Kosher, Kosher Companies |
New York…by Zechariah Mehler…For the fourth year, the Kedem Group, based in Bayonne NJ, hosted a kosher food and wine event on February 1st that was designed to position the company as the leader in fine kosher foods and wines. Unlike in the past, this year, Kedem gathered 17 of the city’s better kosher restaurants as its food component. On display was an unprecedented array of wines from around the world, but for many of the press and VIP’s as well as several hundred people that paid as much as $100 for the experience (and a $30 parking fee at Pier 60 of Chelsea Piers), the amount of food on display was simply staggering. At Le Marais visitors smacked their lips to the taste of lamb chili with an avocado relish. At Colbeh, a Persian restaurant, it was grilled skewers of chicken and beef called Koobideh served with a lentil stew and rice. Dougie’s Bar-B-Q served dishes like sliders and popcorn chicken. Pomegranate Supermarket in Brooklyn had three tables set up with carving stations. At the back of the room Nesher Caterers had set up a smorgasbord of various foods that they specialized in making. Nesher’s food ran the gamut ranging from simple fruit platters to much more complex dishes like chicken marsala. Their fried cauliflower was a particular favorite of mine.
Amongst all these well known restaurants serving the very peak of their culinary abilities it would have been easy for smaller, newer restaurants to simply fade into the background but for Basil, a soon to open dairy restaurant in Crown Heights, it was their opportunity to shine. Basil served a tuna tartar with smoked paprika oil and green olive reduction as well as a chocolate truffle with coco nibs and sweet cream sauce that was meant to be squeezed as you ate it from the stem the desert was served on.” We took the idea from a French style meat ball. We call it the star burst experience,” said Ouri Ivry, the manager. Ouri went on to say that they had told the chefs preparing dishes for the event that “we want to go high end and quality. We don’t want to cut any corners with what we are presenting”. What was all the more impressive is the fact that these foods were made pareve by a restaurant specializing in dairy. Overall the Kosher Restaurant and Wine Experience was a marketing coup for Kedem which managed to position itself as the leader of a new generation of upscale foods and wines, a fact that was not lost on a large group of young middle class kosher consumers who sipped the excellent wines and filled plates of the upscale kosher foods.
