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News Releases — ADC Releases



Value-Added Ag. to Tap "Snack-Food" Trend?
By: Rob Holland
September 2001

If value-added entrepreneurs are looking for a "developing or expanding" product market to tap, "snack foods" is probably on the short list. To the tune of a predicted 25 billion-dollar market, Americans love snack foods. Salty, chocolate, meat and fruit snacks are so popular that the afternoon snack is often noted as the day's unofficial "fourth meal."

According to Rob Holland, Feasibility Specialist with The University of Tennessee's Agricultural Development Center, "the snack food category provides a credible opportunity for some value-added food operations to expand their product line." Many Tennessee agriculture commodities can be processed and packaged for the snack food market. Examples of snack products considered or developed through the ADC include beef jerky, salsa, cookies, soy-snacks and microwave popcorn.

Surveys have shown that nine of ten respondents eat salty snacks each week while 25% do so on a daily basis. More than three-fourths (79 percent) of snackers say they munch on salty snacks while 71 percent choose chocolate, 73 percent candy/cookies and 52 percent dried fruit.

The move toward low- and no-fat foods in the early 1990s has waned recently and a surge to full-flavor snacks is occurring. Recent national surveys have shown a preference for the original versions of some snack foods that have tried low-fat and fat-free varieties.

The snack foods category garnished 710 "new" products in 1999. Candy, cookies, chips, cakes/pies, meats, popcorn, dried fruit and nature bars/mixes are some of the most popular new and stand-by snack products with value-added agriculture connections. In fact, Tennessee value-added farm enterprises have branded products in each of these categories.


 


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