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    • UNPA Members >
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UNPA Digest

Nutrition businesses in China take proactive measures and seek normalcy as in wake of coronavirus outbreak

2/13/2020

 
TOP STORY
Nutrition businesses in China take proactive measures and seek normalcy as in wake of coronavirus outbreak Supplement manufacturers and suppliers in China sought a return to normalcy as they resume operations as the extended Chinese New Year holiday—lengthened by the novel coronavirus outbreak—comes to an end. While some were able to maintain operations, others are getting back to work and don’t anticipate a disruption to supply. Gary Nowacki, CEO of TraceGains, a software company that delivers cloud-based supplier compliance, quality management and new product development solutions, noted that the impact on the North American dietary supplement industry could be very, very serious, and making things more complicated is the existence of semi-processed ingredients. Read coverage:
Coronavirus problems: Nutrition businesses in China seek return to normality as extended holiday ends→
Impact of coronavirus on supplement industry 'very, very serious'→
UNPA NEWS

Industry coalition reminds consumers, retailers that dietary supplements may not claim to cure, prevent coronavirus
The U.S. dietary supplement industry is aware of the growing concern regarding the novel coronavirus (2019-nCoV) and of the public’s desire to protect itself against the virus. While the four leading trade associations support the responsible sale and use of dietary supplements, the groups expressed concern that some marketers of these products may be promoting them with claims of prevention or treatment of coronavirus. 

RSVP for UNPA's Expo West Members' Meeting, March 4 in Anaheim 
Members’ Meeting: 8-9am
Open House/Meet & Greet: 9-10am
Plan to join your fellow UNPA members at the association’s annual members' meeting at Natural Products Expo West—the meeting is open to all UNPA members and invited guests, and there is no charge to attend. RSVP here.

DISCOUNT EXTENDED TO FEB. 29!
Early-bird discount extended for annual Dietary Supplement Regulatory Summit, May 27, in Washington 
This fifth annual, one-day summit hosted by UNPA, AHPA, CHPA and CRN provides an intensive deep dive into pressing and topical federal regulatory issues of ultimate importance to the dietary supplement industry. Topics at this year's event include hemp/CBD, DSHEA 2.0, NDI/GRAS and much, much more. UNPA members receive discounted registration using the code AssociationMemberEarlyBird, and early-bird rates now runs through Feb. 29. Click here for more information.

M&A ACTIVITY
Innophos goes private as acquisition becomes final The acquisition of ingredient supplier Innophos has been completed by a private equity firm, One Rock Capital Partners. Under the terms of the agreement, Innophos shareholders will be paid $32 for each share.

FINANCIALS
USANA sales fall as future outlook dimmed by coronavirus crisis USANA Health Sciences' net sales dropped 7 percent in fiscal 2019, according to its annual report. The future outlook is clouded even further by the expected continuing market dislocations caused by the coronavirus crisis in China.
 Natural Grocers’ maintains sales growth as basket size increases Natural Grocers’ net sales reached $230 million in 1Q20, driven by supplement sales, larger transaction size and an increasingly popular loyalty program. An in-store education program is credited with a 3.4 percent increase in supplement sales.

HEMP/CANNABINOIDS
FDA asks for $5 million for CBD initiatives; industry groups cautiously in favor FDA has proposed $5 million in its FY2021 budget request to continue regulating cannabis-derived products. The initiatives have earned cautious support from industry stakeholders, such as UNPA, NPA and CRN.
 USDA hemp rule needs big changes, more groups say Several industry organizations suggested the interim final rule governing hemp production in the U.S. has ample room for improvement.
 CV Sciences files motion to dismiss CBD lawsuit: 'This case is pre-empted' In a motion to dismiss a lawsuit filed in California accusing it of selling an “illegal” CBD-infused product, Plus CBD oil maker CV Sciences deployed multiple arguments: no one was harmed; plaintiffs lack standing to see label changes; the case is pre-empted by federal law; and if it is not immediately tossed, it should be stayed until the FDA formally clarifies its position on CBD.

DIRECT SELLING
Social shopping retail set for double digit-growth in 2020 The U.K. industry body for direct-to-consumer retail, The Direct Selling Association, expects 2020 to be a year of double-digit growth for the sector.
 A year in review: 2019 in the news This article is a brief compilation of industry news of significance for direct sellers from 2019. The mix of articles suggest that it was certainly another exciting year for the industry with all the positives and the negatives.

SELF REGULATION/CERTIFICATION
ANSI National Accreditation Board launches accreditation program for GRMA The ANSI National Accreditation Board, a wholly owned subsidiary of the American National Standards Institute (ANSI), has launched a new pilot accreditation program for the Global Retail and Manufacturer Alliance (GRMA) certification scheme. The scheme focuses on a wide range of non-food product categories, including dietary supplements, consumer products, over-the-counter drugs, cosmetics and personal care products.

GMOs
CRISPR gene editing can cause risky collateral DNA damage Scientists studying the effects of the potentially game-changing gene editing tool CRISPR/Cas9 have found it can cause unexpected genetic damage, which could lead to dangerous changes in some cells.
 Pesticide police, overwhelmed by dicamba complaints, ask EPA for help Notorious herbicide dicamba has been wreaking havoc on crops and wildlife that are not dicamba-resistant because of its tendency to drift far past where it's sprayed. And yet against the wishes of the experts who police pesticide use, the EPA extended its approval of the chemical prior to the 2019 growing season.

LEGAL
Bayer asks California court to reverse $86 million Roundup cancer verdict Bayer has asked an appeals court in California to overturn a jury's $86 million verdict, arguing that it "could not be reconciled with either the law or sound science." The company has lost three trials so far over claims that Roundup causes cancer and faces allegations from over 42,700 plaintiffs.

PARTNERSHIPS
Nestlé enters deal to develop plant extract to fight diabetes Nestlé Health Science is to form a partnership with Valbiotis to develop TOTUM-63, the French firm’s combination of plant extracts designed to reduce the risk of developing type-2 diabetes.
 Bioenergy Life Science expands distribution partnering with Lithos Ingredients Bioenergy Life Science is partnering with Lithos Ingredients, based in The Netherlands, to be the exclusive distributor of Bioenergy Ribose in the Netherlands, Luxembourg and Belgium.
 Nextferm and Soft Gel Technologies collaborate in launch of new astaxanthin ingredient The new astaxanthin, said to be derived from non-GMO yeast fermentation, called Astaferm, is specifically designed for softgel applications and will be offered as ready-to-use softgels.

MEDIA WATCH
Taking zinc can shorten your cold. Thank a 91-year-old scientist for the discovery There's no real cure, but studies from the last several years show that some supplements containing zinc can help shorten the duration of cold symptoms by up to 40 percent. Zinc wasn't even acknowledged as an essential mineral for human health until the 1970s. But that changed thanks to the work of Ananda Prasad, M.D.—a 91-year-old doctor who had a hunch that led to a better understanding of zinc's role in immunity.

GLOBAL REGULATORY
European board of experts agree on turmeric quality criteria The Advisory Board on the Quality of Botanical Supplements has created a consensus paper to clarify how experts can examine the quality, safety and efficacy of  turmeric supplements.
 Polyphenol-rich extract received authorized health claim in South Korea The South Korean Ministry of Food and Drug Safety has recognized the effects of Memophenol, a patented formulation of grape and blueberry polyphenols, on cognitive performance, specifically memory, with an authorized health claim. 
 Stress-support ingredient receives health claim in Japan Robertet Health and Beauty ingredient Extramel has received a health claim from the Consumer Affairs Agency of Japan as part of a food supplement from Zeria Healthway called Yasuragi Life – Peaceful Life.
 K2 Vital vitamin K2 receives regulatory approval in China, Mexico K2VITAL vitamin K2 MK-7 by Kappa Bioscience was recently approved in China for use in children's health and maternal milk powders, and it was also approved as safe for use in Mexico. These approvals expand the global footprint of vitamin K2, notably in the early-life and K2 food fortification categories.
 CBD’s novel food status reiterated by German high courts A higher court in Germany rules that cannabidiol is a novel food, confirming the decision made by one of the country’s administrative courts November last year.

TRENDS
Macro forces driving natural products industry trends today and tomorrow New Hope Network identifies the macro forces shaping the natural products industry now and with an eye to the future. Here's why these are the long-lasting trends in natural food and nutrition to watch.

POLICY
Proposed budget once again threatens cuts to SNAP and other safety-net programs In what critics are calling “unrealistic,” “cruel” and even a “savage” effort to reduce the national debt by $4.4 trillion over the next decade, President Trump proposed in his FY 2021 budget deep cuts to several safety-net programs, including the Supplemental Nutrition Assistance Program, formerly known as food stamps.

RETAIL
Lucky’s Market announces sales of more stores Lucky’s Market announced that it has entered into new Asset Purchase Agreements (APAs) for a total of seven locations. The APAs are with Southeastern Grocers, Seabra Foods and Hitchcock’s Markets. The company previously announced  an agreement with a group led by company founders Bo and Trish Sharon for seven locations that will continue to operate.

FARMING/POLITICS
Democrats are reaching farmers with an exciting message: Green agriculture Every leading Democratic campaign now endorses an aggressive approach to conservation that could dramatically reduce greenhouse gases, improve water quality and enhance rural prosperity.

UNPA MEMBER COMPANY NEWS
dōTERRA embraces Utah Valley University with second-largest donation in the school’s history Essential oils manufacturer, dōTERRA, announced it has made the second-largest donation in Utah Valley University’s history. The contribution, part of a 10-year agreement, includes donations from dōTERRA worth $17.7 million.

PEOPLE
UNFI names new CFO, COO and extends CEO Spinner’s contract United Natural Foods Inc. announced a number of changes within the company’s senior management team, as well as an extension of CEO Steven Spinner’s employment agreement.

PROBIOTICS
Probiotics in sports—using the right strain The probiotics expert Ralf Jäger highlights research on strain-specific benefits for athletes and performance.

SPORTS NUTRITION
WADA prohibited-list modifications impact sports nutrition The connections between the World Anti-Doping Agency (WADA) Prohibited List and products sold as dietary supplements are not often considered. Yet, history has proven that the WADA Prohibited List has been a source of inspiration for the darker side of the industry and has also been a harbinger of regulations to come.
 Persistent nutrition gaps at sports teams provides opportunities Many pro sports leagues still have a long way to go when it comes to supporting players with proper nutrition and supplementation, which could be a big opportunity for sports nutrition companies.
 Consumer trends in sports nutrition: Healthy snacking and price sensitivity Products aimed at the sports nutrition market continue to emerge, as consumers seek healthy, affordable options with functional benefits.

ORGANIC
Organic Voices hopes to unify industry message in 2020 Organic Voices, led by co-founder and former Stonyfield CEO Gary Hirshberg, is hitting its stride with its Skip the Chemicals campaign and The World’s Most Skippable Ad. Hirshberg will share campaign results and a GRO Organic Update at Natural Products Expo West in Anaheim.

MARKETING
New Hope Network’s top-100 responsible health and wellness influencers Despite the skeptics, there’s a lot of good that can come from sharing and inspiring wellness through digital channels. New Hope Network names social media influencers who exemplify influence as a force for good. At a recent conference, experts Jim Stoppani, Shawn Arent and Joshua Schall also weigh in on how brands can strike the right balance when using online influencers.
 More and better reviews key to online success Lumina Intelligence now has enough data for online product reviews to use it in a predictive fashion. For sports nutrition products, the news is those with the most reviews and the best scoring reviews prosper; products with few reviews get dropped.

MARKET RESEARCH
Prebiotic versatility bodes well for market Prebiotics are rising in popularity as research, education and innovative formulation continue to evolve. Not only have prebiotics shown to play well with many probiotics, potential exists for interplay with other ingredients and for applications supporting multiple health areas.

RESEARCH
Higher dietary selenium intakes linked to younger biological age Increased dietary intakes of selenium are associated with longer telomeres, reported to be a marker of biological aging, says a new analysis of NHANES data published in Clinical Nutrition.
 Branded ginseng supports cardiovascular health The randomized, placebo-controlled, double-blind, parallel study was designed to determine the efficacy of Farlong’s proprietary ginseng (Notoginseng) on cholesterol and blood pressure. 
 Vitamin D deficient in pregnancy linked to higher ADHD risk Children of mothers who were deficient in vitamin D during pregnancy had a 34 percent higher risk of attention-deficit/hyperactivity disorder (ADHD) compared to kids whose moms had sufficient levels during the first and second trimesters. Results were published in the Journal of the American Academy of Child & Adolescent Psychiatry.
 Pine bark extracts may offer benefits for ED and diabetes New research from Slovakia may excite those dealing with erectile dysfunction.

​FDA WARNING LETTERS & GUIDANCES
Current FDA enforcement actions and guidances Keep up to date on FDA’s current enforcement actions, including general warning letters, recall information and GMP compliance issues, with this link to FDA's website.

Search and sign up for a variety of FDA Guidances.

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