AGP Executive Report

Restaurant Turnaround: Wendy’s is testing thicker bacon and a creamier Frosty as part of a turnaround plan after U.S. same-store sales fell 5.7% in the third quarter. Seasonal Drinks: Starbucks will add Snowcap Marshmallow drinks on Dec. 1 and a Merry Berry Frappuccino on Dec. 17, expanding its holiday lineup. Food Supply Risks: France accused Iran’s Revolutionary Guard of cyberattacks that disrupted refrigeration at about 700 supermarkets, spoiling goods and causing fires. Growth Plans: First Watch says it sees room to expand to more than 2,200 U.S. restaurants, with plans to fund growth through cash flow. Beverage Innovation: Clear protein is helping brands develop lighter, high-protein waters and ready-to-drink beverages, though formulation complexity and cost remain challenges. Youth Marketing: A study estimates U.S. children and teens see nearly 3,900 food marketing messages on digital media each year; 92% of featured products were classified as unhealthy.

Food Costs: Australia’s rate rise to 4.85% adds pressure on food manufacturers as prices diverge: fruit rose 10.2% year-on-year in September, while pork and coffee, tea and cocoa fell. Supply Chain: War-related shipping and fuel costs have pushed saffron prices up 10% to 20%; Iran supplies about 90% of the world’s crop. China’s zero tariffs for African countries are also opening export opportunities, with Kenyan avocado shipments targeted to double next year. Climate & Farming: A report launched at COP31 says governments could redirect US$842 billion in annual agricultural support toward lower-emission farming, food security and rural livelihoods. Industry Moves: Niagara Bottling opened a US$141 million Kentucky plant, while Orion plans to build Vietnamese production capacity to 1 trillion won by 2030. Lotte Chilsung’s third-quarter operating profit fell 38% amid weak beverage demand and higher costs. Consumer Trust: More restaurants are using AI-generated food images on menus and signs, prompting concerns that unrealistic visuals could mislead diners.

Export Push: Malaysia brought 29 companies to China’s import expo to court buyers for food and beverage products, with durian goods and bird’s nest drawing interest. Food Security: A South Korean commentary argues resilience requires sustaining domestic farming, not just storing grain, while South African groups are working to preserve traditional food cultures as ultra-processed diets spread. Beverage Research: A study found Palash flower can support kombucha fermentation, producing a distinct profile and boosting measured antioxidant compounds. Industry Moves: Coca-Cola’s Indian bottler filed IPO papers, and regulators approved Nestlé’s joint venture with Platinum Equity. Food Safety: More than two dozen bottled-water brands in Pakistan reportedly failed safety tests. Dining Trends: U.S. interest in all-you-can-eat meals is climbing as diners seek better value; Yelp searches for buffets rose 252% year over year.

Coca-Cola IPO: Hindustan Coca-Cola Holdings has filed draft papers for an offer of up to 99.75 crore shares in India. The sale is by an existing shareholder, so the company won’t receive IPO proceeds. Durian Trade: Two companies in Davao signed supply agreements worth a combined $27 million to send fresh and frozen durian to China. China Market: The Shanghai import expo is drawing food exporters, with Australian lobster, wine and goat meat among products showcased as businesses seek a larger foothold in China. Food Safety: Pakistan testing found more than two dozen bottled-water brands failed safety standards over contaminants, while Noida officials seized 6,425 kilograms of food during a festive-season inspection drive. Food Entrepreneurs: A Bengaluru couple sold their home to expand Samosa Singh’s production, turning a familiar snack into a business now valued at ₹200 crore.

Beverage Industry: Pakistan’s competition regulator approved moving Nestlé Pakistan’s bottled-water business into a global joint venture with Platinum Equity, while Coca-Cola’s Indian bottler filed for an IPO offering nearly 998 million existing shares. Restaurant Prices: McDonald’s is testing two value-menu formats at about 1,900 U.S. locations, aiming for a nationwide launch in early 2027 as sales face pressure. Food Trade: Bangladesh Bank’s Tk 2,000 crore financing scheme is drawing bank participation to support frozen-food exporters, including shrimp and fish businesses. At Shanghai’s CIIE, Australian lobster, wine and goat meat drew attention from exporters seeking to expand in China. Food Innovation: Canadian firm BIOPEP is showcasing roasted golden flaxseed powder at the expo, promoting it as a convenient source of fibre, protein and plant-based omega-3. Health Research: A global study estimates potassium-enriched salt could prevent nearly three million deaths a year by lowering blood pressure.

Food Safety: Pakistan testing found 27 bottled-water brands failed safety standards, with chemical or bacterial contamination among the concerns. Plant Proteins: Lantmännen and Ingredion launched Swedish pea-protein isolate NordPea, to be made at a new €100 million facility with capacity to process 40,000 tonnes of peas and faba beans a year. Market Watch: Beyond Meat’s third-quarter revenue fell 8.1% to US$64.5 million as sales volumes weakened, though its gross margin improved to a five-year high of 19.3%. Beverage Innovation: Ghana’s Accra Brewery introduced Wild Roots, a stimulant-free herbal alcoholic drink developed to meet local regulatory requirements. Food Manufacturing: Seasonings and flavour producer Wixon completed a US$25.6 million Milwaukee plant expansion, tripling its footprint and adding 110 jobs. Trade: Nearly 40 South Australian companies are showcasing wine, spirits, meat, yoghurt, seafood and honey at China’s import expo, which the state says has helped build commercial ties with Chinese buyers. Health: A study of US adverse-event reports found cardiac problems were reported more often with caffeine and stimulant products, particularly among young adults; the findings do not establish cause and effect.

Restaurant Industry: McDonald’s U.S. sales fell despite value offers, prompting plans for more budget deals in 2027; Wendy’s rejected a $1.4 billion takeover bid and outlined a turnaround plan amid weak sales. Food Trade: Greek yogurt has become Greece’s top export to the UK, with sales up 67.1%. Retail Expansion: Food Lion plans to acquire five Winn-Dixie stores in southern Georgia, while Bojangles opened its fourth New Jersey location. Food Manufacturing: Gulfood Manufacturing 2026 wrapped up with major deals and technology announcements, spotlighting investment and innovation across the sector. Local Food Business: Malaysia’s Deepavali Carnival drew nearly 200,000 visitors and gave 700 entrepreneurs a chance to grow sales, including food and beverage vendors.

Beverage Industry: Coca-Cola HBC shares fell 14.1% after a Russian businessman sought state-appointed control of two local subsidiaries; the company says it has received no official notice. Blake Lively’s Betty Buzz and Betty Booze businesses are also reportedly winding down, while Lotte Chilsung’s revived Captain Q spirit sold out its first limited release. Policy & Prices: Japan’s lower house passed a bill to cut food and beverage consumption tax from 8% to 1% for two years starting in April. Trade: Greek yogurt became Greece’s top export to the UK, with sales up 67.1%; yogurt and cheese exports together reached about £230 million in the first eight months of 2026. Restaurant Chains: McDonald’s is planning a new US value menu as sales soften, while Wendy’s rejected a $1.4 billion takeover bid and unveiled a turnaround plan. Food Heritage: UNESCO added two Joseon-era Korean cookbooks to its Asia-Pacific Memory of the World Register. Labor: Teamsters’ strike action continues at an ABARTA Coca-Cola distribution center in Pennsylvania, where temporary workers are handling truck departures.

Value Push: McDonald’s is testing mix-and-match and fixed-price bundles ahead of a planned 2027 value menu, as U.S. sales and traffic weaken. Holiday Drinks: Starbucks has launched its seasonal menu, including Tiramisu Velvet coffee drinks and an Apple Pomegranate Refresher; Dunkin’ and McDonald’s have also rolled out festive offerings. Beverage Business: Monster Beverage reported third-quarter sales up 16.7% to $2.56 billion, while Illinois’ new hemp rules will restrict sales of some THC beverages to licensed dispensaries from Nov. 12. Industry Shakeups: Wendy’s rejected a $1.4 billion takeover offer and adopted a shareholder-rights plan; Outback parent Bloomin’ Brands plans to buy 61 restaurants from a bankrupt franchisee. Health Concerns: A study linked energy-drink consumption with higher cardiac-arrest risk among young adults, adding to scrutiny of high-caffeine products. Dietary Shifts: A report from Nepal warns that fast food and ultra-processed snacks are displacing traditional festival foods and shaping young people’s diets.

Food Innovation: Burlington Bio is turning discarded agricultural byproducts into nutritious, affordable foods, aiming to help tackle food insecurity. Student Food Access: A meal-sharing and cooking initiative at UiTM Penang has cut some students’ daily food costs, with one reporting savings of about RM50 a week. Agrifood Trade: Kazakh producers signed about $100 million in deals at China’s import expo, showcasing products from dairy and confectionery to beverages. Industry Growth: Novonesis reported 7% organic sales growth for the first nine months of 2026, led by food and health biosolutions, and reaffirmed its full-year outlook. Climate and Supply Chains: SGS Spain will independently verify fertilizer-related emissions reductions for food companies, while African solar-cooling firm Koolboks secured funding to expand cold-chain services. Consumer Guidance: Nutrition experts urge shoppers to check fruit-drink labels: “100% juice” can still contain concentrated natural sugars and less fiber than whole fruit.

Food Supply Risks: Cyberattacks on European supermarket refrigeration systems spoiled tonnes of food, exposing vulnerabilities across supply chains and raising concerns about added costs for retailers. Beverage Growth: Coke Canada Bottling says it is investing in local facilities and sees momentum in low- and no-calorie drinks, energy and sports nutrition. Company Results: Seneca Foods’ six-month sales rose to $897.8 million from $757.5 million a year earlier. Coca-Cola Consolidated reported third-quarter sales growth of 5.4% and operating income growth of 10.1%. Restaurant Competition: McDonald’s is renewing its push for entry-level meal deals and digital offers as U.S. traffic remains pressured. Taco Bell sales are recovering after an outbreak-related slump. Food Manufacturing: Finland’s Volare is targeting full production at its insect-protein factory in 2027, while Fortifi acquired IJ White Systems to expand its food-processing equipment business.

Supply-Chain Security: Cyberattacks targeting European supermarket systems disrupted refrigeration at several UK meat suppliers; no meat was lost, but the incidents have raised fresh concerns about food-sector vulnerabilities. Food Prices: Japan’s ruling camp faces a parliamentary hurdle over Prime Minister Sanae Takaichi’s proposed two-year cut in consumption tax on food and beverages, from 8% to 1%. Business Outlook: Coca-Cola HBC lifted its 2026 revenue-growth forecast on strong demand and pricing, while nutrition group Glanbia raised its earnings outlook after nine months of growth. Exports and Innovation: Food Week Korea opened in Seoul with about 1,000 companies and 252 international buyers, highlighting export ambitions and food technology. Trade: UK farmers and food producers welcomed progress on a proposed UK-EU food deal that could reduce post-Brexit export checks and paperwork. Product Trends: Food makers are exploring protein-rich products and ways to turn factory byproducts into higher-value ingredients.

Supply-Chain Security: Cyberattacks on supermarket refrigeration systems across Europe have reached UK food suppliers, with hacked fridges threatening meat and produce stocks. Restaurant Sales: McDonald’s US comparable sales are expected to fall as budget-conscious diners pull back, though beverages are a bright spot. Taco Bell’s third-quarter sales also fell after a foodborne illness outbreak, but the company says sales have since rebounded. Legal: A federal judge allowed a proposed class action over allegations that McDonald’s McRib lacks rib meat to proceed. Industry Moves: Canada’s Foodtastic has offered about $1 billion to acquire restaurant franchisor MTY Food Group. Keurig Dr Pepper beat quarterly estimates on steady demand for higher-priced drinks.

Beverage Business: Coca-Cola Europacific Partners held its outlook despite rising energy, ingredient and freight costs. Third-quarter revenue grew 6.5% to €5.76 billion, with volumes up 3.5%, led by zero-sugar, energy and hydration drinks. Food Prices: Türkiye’s annual inflation edged up to 29.77% in October; food and non-alcoholic drink prices rose 3.5% month on month. Drink Trends: Non-alcoholic wine, mocktails and new beer formats are gaining attention as producers respond to changing drinking habits. Dairy Ingredients: Arla Foods Ingredients and wheyco will present new high-protein drinks and yogurts at Fi Europe, including products aimed at GLP-1 users. Sugar Supply: Philippine sugar output is projected to fall from 2.1 million metric tons in 2024–25 to 1.66 million by 2026–27, deepening import dependence and pressure on rural livelihoods. Cultivated Meat: Safety, contamination risks and limited long-term data remain concerns as the sector moves toward wider commercialization. Restaurant Law: A U.S. judge let a proposed class action over McDonald’s McRib proceed, allowing claims about its name and marketing to continue; the company denies the allegations.

Leadership: Anheuser-Busch CEO Brendan Whitworth will leave at the end of November to lead Equinox, with AB InBev chief Michel Doukeris overseeing the North American business in the interim. Legal & Pricing: A judge let a consumer lawsuit over McDonald’s McRib claims proceed, while Oatly plans U.S. price increases in 2027 and is weighing hikes in Europe. Global Trade: Britain is realigning food standards with the EU for the first time since Brexit, as Brazilian meat exports to the bloc rise sharply under the Mercosur deal. Industry Loss: Tony Lim, founder of Malaysian restaurant chains BananaBro and Boat Noodle, has died at 47.

Price Pressures: Japan will see price increases across 1,477 food and beverage products this month, nearly ten times the number a year ago. Restaurant Results: Devyani International’s quarterly loss narrowed as KFC India posted 4.4% same-store sales growth for a third straight quarter, despite rising costs and intense competition. Brewer Payment Risks: AB InBev set aside $30 million against overdue payments from Telangana, part of nearly $400 million the Indian state reportedly owes alcohol companies. Trade Dispute: India’s tariff investigation into bulk Scotch imports is testing a key part of its trade pact with Britain, with major liquor companies concerned the lower duties may not apply. Beverage Brands: Coca-Cola and Pepsi lost brand value, while China’s Nongfu Spring surged to become the strongest non-alcoholic drink brand in a new ranking. Food Processing: TOMRA will showcase AI-powered sorting and grading systems at Gulfood Manufacturing, aimed at improving product quality, yield and efficiency.