CoCo Bubble Tea eyes Middle East expansion, goes halal

Bubble tea franchise CoCo Bubble Tea has announced a halal bubble tea menu along with plans to expand in the Middle East. Already accustomed to drinking tea, local consumers are particularly receptive to boba tea, which mixes the novelty of boba (also called 'bubbles' or 'pearls') with the familiar taste of tea.

Worldwide, the bubble tea market is expected to grow 66% in seven years, from US$2.46 B in 2023 to US$4.08 B by 2030, and the popularity of the refreshment is growing in the Middle East as well, the company said, sharing that Middle Eastern refreshment companies and entrepreneurs have shown "significant interest".

"We've gotten a major spike recently in inquiries from the Middle East, so we see it as a key region for bubble tea expansion," commented Kody Wang, Director of Business Development at CoCo Bubble Tea. 

"CoCo has a lot to offer the Middle East. With over 5,000 stores worldwide, we have the most international coverage of any pearl milk tea brand, providing potential partners with strong brand recognition and sophisticated infrastructure. Also, our franchise business model and extensive R&D capabilities give us a great deal of latitude to fully tailor refreshment offerings to consumer tastes. 

"The halal menu is just a start, and we hope to find master franchisers to partner with and grow together in the region." 

CoCo can localise refreshments to suit consumer tastes anywhere. With its halal bubble tea menu already prepared, CoCo is poised to launch in the Middle East. All materials for the menu are halal-certified, and the menu offers a variety of options while leaving room for further customisation to accommodate regional variations in preferences.

For franchise partners in the Middle East, CoCo offers:

Source: CoCo Bubble Tea. CoCo offers a range of flavours in its bubble team menu.

- Strong brand reputation and recognition. The company said it has the largest footprint of any bubble tea brand, helping to attract customers and drive business growth.

- Flexible partnerships: CoCo is open to a range of partnerships, from multi-store franchise partnerships to exclusivity in certain countries.

- Stabilised costs for maximised margins: With materials supplied by CoCo, supply chain costs are easily managed.

- R&D: By putting out new products regularly, the brand stays up to date in markets worldwide.

- Extensive menu with customisation for local tastes: CoCo's diverse offerings allow for franchisees to cater to different tastes across the Middle East.

Non-alcoholic malt beverages to shine through to 2028

Future Market Insights (FMI) says the global non-alcoholic malt beverages market is projected to register a CAGR of 4.0% during the forecast period of 2018-2028.

The global non-alcoholic malt beverages market is expected to represent an incremental opportunity of US$856.2 million by end-2018 over 2017. By product type, the dairy-based non-alcoholic malt beverages segment is expected to register a CAGR of 4.1%. 

Non-alcoholic malt beverages and other non-alcoholic drinks are becoming popular as a healthier alternative to alcoholic drinks, FMI notes. Non-alcoholic malt beverages are already very popular in the in the Middle East due to them getting halal certification. Consuming non-alcoholic malt beverages has also become a statement of higher living standards. They also taste good as compared to that of alcoholic beverages, FMI said. 

Non-alcoholic malt beverages such as Milo, Vitmalt, and Hollandia Chocomalt have extra nutritional content incorporated, raising their value and changing their positioning to energy drinks.

"Non-alcoholic malt beverages are available in the market in many different flavors so that people get a choice to select their preferred drink. A few non-alcoholic malt beverages resemble beer in taste, and the only difference remains that these non-alcoholic malt beverages contain zero percent alcohol," FMI stated.

"Non-alcoholic malt beverages is also an upcoming trend seen in countries that have an improved economic condition, where the consumption of beverages is a must in social gatherings, and the standard of living is high. The appeal of non-alcoholic malt beverages is also increased due to social media, which is being used by most companies, especially targeting the youth population. 

"Women are also seen to be consuming ready-to-drink (RTD) non-alcoholic beverages such as non-alcoholic malt beverages. Women have always been known to try different flavours and experiment with their drinks. Also, the health factor is given importance by women, and non-alcoholic malt beverages, having no alcohol, are proving to be a healthy option," FMI said.

FMI believes that there are untapped markets to focus on, including producing in-country. "There are several regions where malt-based beverages are imported from other countries. This leads to the high cost of premium products, as such, affecting sales in these regions. Companies are focusing on expanding and manufacturing their premium products in these regions itself, leading to comparatively lower costs. Low penetration in a few regions, coupled with the high costs of premium imported products, create an opportunity for manufacturers to expand in such regions," the company said.

Details: 

Buy the report (September 2018)

KSA halal food and beverage market to have a CAGR of over 9% through to 2023

The KSA halal food and beverage market is projected to grow at a CAGR of over 9%, in value terms, from 2018 to 2023, says TechSci Research.

Source: TechSci Research. KSA halal food and beverage market by size, region and value, 2013 to 2023 (forecast). The west region includes Tabuk, Madinah and Makkah, while the Central region is home to Qassim and Riyadh, capital of KSA.

Increasing demand for packaged halal foods among non-Muslims*, strong import and export regulation and policies regarding halal food and beverages and increasing Muslim population in the country will spur further growth of the halal food and beverage market in the country, the consultancy said.
 
Major players operating in the KSA halal food and beverages market include Al Islami Foods, Amana Foods, One Foods Holdings, Khazan Meat Factory, Al Kabeer Group, Albatha, Midamar, Prairie Halal Foods, JM Foods, AL RAWDAH, Nestlé Dubai Manufacturing and Agthia.

Explore:

Buy the Saudi Arabia Halal Food & Beverages Market By Product Type (Bakery, Candy & Chocolate, Meat Products, Beverages), By Product Type (Bakery, Candy & Chocolate, Meat Products, Beverages), Competition Forecast & Opportunities, 2013 – 2023 report (December 2017)

*This view is often mentioned in forecasts about the halal market. This author has never encountered such views among non-Muslims. There is indeed a shift towards clean and healthy eating and a corresponding focus on the food chain. However, non-Muslims are looking for foods which satisfy the criteria for clean and healthy eating and it does not matter to them if the foods are halal or not. They are not seeking out halal foods to satisfy their preference for clean and healthy eating. Nor do they feel that the halal label means that the food is cleaner or healthier.

Barakat Ramadhan juices hit the spot

Source: Barakat website. From left: Ramadan Smoothie, Ramadan Delight, and Rose Kamaruddin.

Barakat's Ramadhan flavours for this year are intriguing and nourishing at the same time. Six chilled flavours are available in packaging of 200ml to 5l volumes:

Berries Shami: Cranberry, strawberry, raspberry, blackberry, and blueberry juice*, rose syrup, water and sugar added.

Ramadan Delight:  Liquorice, tamarind juice and water.

Ramadan Smoothie: Yoghurt, rose syrup and za'atar.

Rose Kamaruddin: Apricot and mango juice with rose syrup.

Rose milk (bandung): Rose syrup and milk.

Zaatar Refresher: Kiwi and guava juice plus za'atar (زعتر) mint and water.

Barakat's general Arabic flavours include:

Jallab: Jallab, pine seeds, resin, water and sugar. Jallab is concocted from dates, grape molasses and rose water.

Kamaruddin: apricot juice

Labanup and ginger: salty third party yoghurt beverage Laban Up with ginger

Karkadi: Karkadi (roselle) juice, water and sugar added.

*The juice may be more of a dense puree or made with a fruit paste.

Milk and yoghurt based drinks both popular in Indonesia

Heavy advertising in mass media, more television programmes as well as magazine articles focusing on health issues have led to rising awareness among Indonesian consumers of the benefits of drinking milk over the period 2011 to 2016, says Euromonitor.

Ultrajaya Milk Industry & Trading Company remains the leading player in drinking milk products with a 23% value share in 2016. Its flagship brand is called Ultra. The company's performance in flavoured milk drinks comes as a result of heavy marketing and improved distribution, Euromonitor said. 

Although already popular for its shelf-stable milk, Ultrajaya Milk Industry & Trading is still educating Indonesian consumers about the benefits of consuming liquid milk rather than powdered or condensed milk. In 2016, the company held many below-the-line event promotions, such as Tour de farm, centring around visits to the Ultrajaya farm in Bandung. In May 2016, it also held Preschool Roadshow Ultra Mimi Carafun in the city of Medan. 

Source: Ultra Mimi website. Pictures from an Ultra Mimi Carafun Roadshow held in February 2016.

Euromonitor notes that Indonesian milk consumption per capita is lower than in other emerging countries, so there is still room to grow. 

The yoghurt market is also growing, especially among middle- and high-income consumers, particularly women, Euromonitor said, as it isbeing aggressively promoted in the mass media as offering nutritional benefits and aiding digestion. Female consumers are increasing their consumption of such products as they believe that yoghurt can help them maintain a slim figure, improve their skin and slow the ageing process, the research firm notes. Sour milk drinks, mainly targeted at children, are preferred by some parents compared to flavoured milk drinks, as they typically contain good bacteria for digestion.

In 2016, Yakult Indonesia Persada PT with dominated the yoghurt and sour milk market with its Yakult drinking yoghurt, which had a 69% value share, Euromonitor said. Yakult’s value share gain in 2016 comes down to improved distribution, via both retail channels and Yakult Ladies - Yakult employees who deliver Yakult drinks directly to customers in Indonesia. Apart from the growing number of Yakult Ladies promoting the brand not only in residential areas but also in schools, Yakult Indonesia Persada has also benefited from the rapid expansion of modern retailers in Indonesia, especially convenience stores, hypermarkets and supermarkets.

Yoghurt and sour milk products is likely to continue to benefit from growing health awareness, particularly among middle- to upper-income consumers, Euromonitor predicts. The increasing number of health-conscious consumers is expected to result in the expansion of yoghurt and sour milk products’ consumer base over the forecast period. Manufacturers are likely to continue to invest heavily in educating consumers about the health benefits of yoghurt and sour milk products.

Interested?

Read the Euromonitor report on Dairy in Indonesia

Very hot beverages cause cancer, drinking coffee in itself does not

Coffee from Chye Seng Huat Hardware Store, Singapore.

IARC Monographs have come to some conclusions on the dangers of drinking coffee, maté, and very hot beverages. An international working group of 23 scientists convened by the International Agency for Research on Cancer (IARC), the cancer agency of the World Health Organization (WHO), has evaluated the carcinogenicity of drinking coffee, maté* and very hot beverages. The IARC aims to coordinate and conduct research on the causes of human cancer and the mechanisms of carcinogenesis, and to develop scientific strategies for cancer control.

A summary of the final evaluations is published in The Lancet Oncology, and the detailed assessments will be published as Volume 116 of the IARC Monographs. The working group found no conclusive evidence for a carcinogenic effect of drinking coffee. However, the experts did find that drinking very hot** beverages probably causes cancer of the oesophagus in humans. No conclusive evidence was found for drinking maté at temperatures that are not very hot.

“These results suggest that drinking very hot beverages is one probable cause of oesophageal cancer and that it is the temperature, rather than the drinks themselves, that appears to be responsible, ” says Dr Christopher Wild, IARC Director.

Very hot beverages

Drinking very hot beverages was classified as probably carcinogenic to humans. This was based on limited evidence from epidemiological studies that showed positive associations between cancer of the oesophagus and drinking very hot beverages. Studies in places such as China, Iran, Turkey, and South America, where tea or maté is traditionally drunk very hot (at about 70°C) , found that the risk of oesophageal cancer increased with the temperature at which the beverage was drunk.

In experiments involving animals, there was also limited evidence for the carcinogenicity of very hot water, the working group found.

“Smoking and alcohol drinking are major causes of oesophageal cancer, particularly in many high- income countries,” stresses Dr Wild. “However, the majority of oesophageal cancers occur in parts of Asia, South America, and East Africa, where regularly drinking very hot beverages is common and where the reasons for the high incidence of this cancer are not as well understood.”

Oesophageal cancer is the eighth most common cause of cancer worldwide and one of the main causes of cancer death, with approximately 400,000 deaths recorded in 2012 (5% of all cancer deaths), says the WHO. The proportion of oesophageal cancer cases that may be linked to drinking very hot beverages is not known.

Hibiscus maté on the left, guarana ginseng on the right - drinks at the Woodford Folk Festival in Queensland, Australia, 2006.

Maté

Cold maté did not have carcinogenic effects in experiments on animals or in epidemiological studies. Therefore, drinking maté at temperatures that are not very hot was not classifiable as to its carcinogenicity to humans. This was based on inadequate evidence in humans for the carcinogenicity of drinking cold or warm maté and inadequate evidence in experimental animals for the carcinogenicity of cold maté as a drinking liquid*.

Coffee

Drinking coffee was not classifiable as to its carcinogenicity to humans. The large body of evidence currently available led to the reevaluation of the carcinogenicity of coffee drinking, previously classified as possibly carcinogenic to humans by IARC in 1991. After thoroughly reviewing more than 1,000 studies in humans and animals, the working group found that there was inadequate evidence for the carcinogenicity of coffee drinking overall. Many epidemiological studies showed that coffee drinking had no carcinogenic effects for cancers of the pancreas, female breast, and prostate, and reduced risks were seen for cancers of the liver and uterine endometrium. For more than 20 other cancers, the evidence was inconclusive.

A scan of research online showed pretty much the same conclusions. In one 2009 study in Iran, researchers found that compared with drinking lukewarm or warm tea, drinking hot tea or very hot tea was associated with an increased risk of oesophageal cancer. For this study, temperatures of warm, hot and very hot tea were defined as being under 60°C, between 61 and 64°C, and 65°C and above respectively. Various confounders such as ethnicity, daily vegetable intake, alcohol consumption, tobacco or opium use, duration of residence in rural areas, and socioeconomic status were ruled out as likely causes. The total amount of tea consumed did not have an effect, either.

A 1995 study on maté in Paraguay linked very hot maté to oesophageal cancer. The authors of the research pointed out however that alcohol consumption, smoking, and eating of beef were also linked to the same cancer. The association between very hot maté and cancer was also found in a 2000 study, which also noted that the more maté is consumed, the higher the risk of oesophageal cancer. Women were found to have a higher risk of the cancer on all counts. The good news is that eating fruit, vegetables, cereals and drinking tea has a protective effect, but meat, animal fats and salt led to an increased cancer risk.

In 2011, a study in Southern China linked not only the drinking of very hot beverages to cancer, but also the eating of high-temperature foods - those which had been fried or barbecued. Eating fast was also correlated with cancer.

The IARC Monographs Programme seeks to classify cancer hazards, meaning the potential of any substance to cause cancer based on current knowledge. The classification does not indicate what level of risk exists to people’s health associated with exposure to a classified hazard. For example, IARC has classified tobacco smoking as carcinogenic to humans, but that classification does not indicate the increase in risk for each cigarette smoked. This working group evaluation is in line with the WHO Technical Report Series 916 on diet, nutrition and the prevention of chronic diseases, which states that people should not consume drinks when they are at a very hot (scalding hot) temperature.

A 2015 study postulates that the stem cell division model of cancer can explain why very hot foods and beverages cause cancer. Swallowing something too hot will damage cells in the oesophagus. Stem cell division is activated to repair the cells, and the more often stem cells divide over a period of time, the higher the risk of DNA damage, and in turn cancer. The author, Miguel López-Lázaro, further speculates that controlling stem cell divisions, such as through taking a daily low dose aspirin, could reduce cancer rates and reduce the likelihood of dying from cancer.

Interested?

Read the IARC Monographs Q&A on classifications (PDF)

Read the IARC Monographs Q&A on the evaluation of drinking coffee, maté, and very hot beverages (PDF)

*Maté, also called yerba maté, is an infusion made from dried leaves of ilex paraguariensis. It is consumed mainly in South America and to a lesser extent in the Middle East, Europe, and North America. It is also available as a health supplement in Singapore. Maté is traditionally drunk very hot (at about 70°C), but it may also be consumed warm or cold. 

**“Very hot” refers to any beverages consumed at a temperature above 65°C. See the Q&A for more details.

Fanda Labs introduces the Driv energy drink

Source: Fanda Labs.

Driv, by Fanda Labs, is a halal-certified energy drink that helps athletes improve performance, accelerate recovery, and decrease brain fog, dry mouth and dry skin. 

Driv comes in five-calorie energy packs that help to replenish magnesium, potassium and sodium. Each pack also includes a 2g dose of Bioenergy Ribose, a five-carbon sugar that the body uses to make adenosine triphosphate (ATP), the source of all cellular energy, says Fanda Labs. 

"Pushing yourself to the limit – whether it's training, competing or just pursuing an active lifestyle – depletes your body's natural supply of ribose, creatine and electrolytes," explains Fanda Labs Co-Founder Frank Bayr. "Driv reboots the body's natural energy synthesis process by restoring ribose, creatine and electrolytes lost during exercise. It's a proven way to help your sore, stiff muscles recover – allowing you to push yourself further." 

Bioenergy Ribose is popular in a variety of sports nutrition, dietary supplement and functional food and beverage products. It works synergistically with a variety of other functional ingredients and helps increase and sustain their benefits. 

Interested?

Driv can be ordered online. A box of 30 packs costs US$29.99.

Euromonitor unveils top trends for beverages in MENA

Market researcher Euromonitor International is offering an e-book about the top five soft and hot drinks trends in six countries in the Middle East and North Africa (MENA), including in Saudi Arabia, the UAE, and Iran.

Source: Euromonitor website.

The MENA region will see 8.6% year-on-year forecast growth in healthy beverage categories compared to 2.9% growth in the carbonates category due to campaigns against sugary drinks led by the respective ministries of health. Key players within the soft and hot drinks market are also being adventurous in terms of packaging innovation, which is driving sales in struggling economies within the region, the research firm said.

Trends highlighted include: 

Healthy drinks have seen increased popularity in Saudi Arabia, UAE, Iran, Morocco, Tunisia and Algeria due to consumers’ interest in healthy lifestyles. Also, with the growing concerns over the quality of tap water in Iran, Euromonitor has seen a growing demand for bottled water. Additionally, low calorie carbonated drinks as well as 'still' drinks are growing as consumers face growing concerns about obesity.

Energy drinks continue to be very popular in markets such as Saudi Arabia due to the ban of alcohol in the country. Euromonitor noted that energy drinks are often seen as a ‘substitute’ leisure drink due to the high caffeine content. 

Packaging in the MENA region is seeing new innovation through product development and environmentally friendly bottle designs. Slim cans, mainly used for ‘trendy’ energy drinks have successfully changed the look of the carbonates market in 2014. Furthermore, Saudi’s growing demand for convenience has led to an increase in demand for impulse single-serve consumption drinks. 

To read more, download the e-book here. 

Lootah Premium Foods launches halal wine with edible gold leaf

Source: Lootah Premium Foods website.

Lootah Premium Foods has launched a halal sparkling beverage, Lussory Gold, which contains 24-carat edible gold leaf which rises and falls in rhythm with the wine’s bubbles.

Billed as an 'alcohol-removed' sparkling wine, Lussory Gold is part of a line of high end Spanish wines created by a family of winemakers established for over 200 years in the vineyards of La Mancha, Spain. Lootah says that Lussory Gold is made in the same way as regular wine or champagne, Lussory is a 100% halal product with 0.0% alcohol content.

CK Group, which brings in Lussory wines in Singapore, says on its website that de-alcoholised wines "have their own personality, fruity and aromatic but lighter in texture and taste wines with alcohol. Compared to conventional wines, texture and colour are very and similar in presentation and ritual. The flavour is also very similar and can be confused in blind wine tastings."

Commenting on the launch, Tony Colley, General Manager of Lootah Premium Foods, said; “We are excited about bringing the Lussory Gold brand to Dubai, as we have experienced great demand for first-class halal champagne from our consumers and clients, wishing to offer a premier experience at weddings, birthdays or corporate events.

“Lussory’s range of wines have proven to be very popular in the UAE and across the wider region, as they offer a delicious premium experience just like the real thing, but are totally free from alcohol.”

Lussory Gold is available at restaurant and pastry house Bystro on Al Manara road. Bystro which will feature the mocktails on its menu, as well as a range of the halal wines available to buy by the bottle.

Lootah suggests using Lussory for food pairing, cooking, and mixing of mocktails.

In Singapore, Makansutra has a list of restaurants where the halal Lussory wines are available, and suggested a list of food pairings. Lussory wines can be ordered in Singapore here.

The company offers other luxury foods, including plums in different colours, black garlic, and finger limes (below), billed as the most unusual of citrus fruits.

Read a FAQ on de-alcoholised wines here.