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“Value” in Value-Added Food Processing A Commercially Sustainable Business Model for Enriched Ready-to-Eat-Foods Land O’Lakes International Development with USAID Office of Food For Peace and PEPFAR Rolf Campbell, consultant. International Food Aid Conference Kansas City April 16, 2008.

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“Value” in Value-Added Food Processing

A Commercially Sustainable Business Model for Enriched Ready-to-Eat-Foods

Land O’Lakes International Development


USAID Office of Food For Peace and PEPFAR

Rolf Campbell,


International Food Aid Conference

Kansas City

April 16, 2008


“Value” in Value-Added Food Processing


Introducing a nutrition product development activity in Zambia.

Who: Land O’Lakes International Development supporting 3 Zambian food processors with a food industry advisor.

Funded by: Title II ICB Grant - USAID Office of Food For Peace, and PEPFAR - Office of the Global Aids Coordinator)

What: Assist food processors over 2 years to develop and commercialize nutrient enriched foods that are already familiar in the markets and in the diets of Zambians.

Where: Zambia: Lusaka, Ndola

Goal:Increase the available options for nutritious, processed and packaged foods for people living with HIV/AIDS and all others who will benefit from better nutrition.


Rationale: The Call to Action

Host country Food Processors are accountable to improve the nutrition impact of their products in the diets of consumers in their country.

Under-nutrition and the presence of food aid should signal a challenge and an opportunity

for processors in countries receiving US commodities (such as wheat, maize, oil, legumes), “value added” fortified blended foods (such as fortified corn-soy blend, wheat-soy blend, RUTF).

Because the ultimate aim of foreign assistance - including food aid - is to address a temporary gap, not to become an endless alternative to long term self-sufficiency.

NOTE: Product development costs and marketing are entirely funded by the Zambian Processors who also control the rights to their formulas and processes.



  • People require and acquire food daily from a wide variety of sources: (the food basket, grazing). Processed, packaged foods are one of these sources.
  • Ready-to-eat processed, packaged foods can be important, convenient sources of nutrition.
  • This puts the food industry in a position to contribute positively to the nutrition requirements of their consumers.
  • Adjustments to the formulation of consumer foods can improve their nutrition contribution to the diet for little increase in cost.
  • Commercially prepared enriched foods – and Processor’s new expertise - can be adapted to Food Assistance and Institutional nutrition requirements.
  • Commercially viable (market demand) enriched foods create their own incentive for a “sustainable” food supply when: they benefit consumers while returning profits to processors.

“Value Adding” Food Processing

POTENTIAL Benefits for the Food Supply and Nutrition Quality

  • Commodity assembly, storage, protection, handling
  • Cleaning, grading, sorting, standardization
  • Safety analysis for pathogens, culling for pests, foreign materials, cleanliness
  • Drying, milling, pealing, de-hulling, crushing, grinding, pressing
  • Intermediate bulk packaging
  • Refrigeration, freezing
  • Pre-cooking (& instant-ized) ready-to-eat foods contributes convenience, reduces or eliminates need for cooking fuel, time preparing food.
  • Thermal processes: Pasteurization, sterilization, aseptic filling
  • Pickling, salting, fermentation, culturing
  • Filtration, sifting, isolation and concentration of food components
  • Formulation: blending, combining foods, seasoning, adding performance factors like enzymes, nutrition, and culinary appeal
  • Fortification with vitamins and minerals
  • Consumer Packaging protects, contains, portion controls, and identifies contents with detailed product information as well as identifying the manufacturer accountable for the contents.
  • Concentrate food nutrients and caloric density: people to ingest better nutrition while eating less volume.
  • Processed shelf stable foods remain fresh, safe, with nutrients intact, allowing for distribution and longer storage far away from manufacturers even into remote areas

Processed, Packaged, Ready-To-Eat-Foods:

POTENTIAL Values to the Consumer

  • No or reduced cooking (cooking heat / time) – pre-cooked
  • Improved Digestibility / Bioavailability of pre-cooked nutrients such as proteins and carbohydrates
  • Convenient – no preparation including sorting, cleaning, peeling, grinding, mixing, cooking
  • Often hand-held, portable, and portion controlled
  • Nutrient preservation (reduced thermal processing)
  • Nutrients / foods can be combined & balanced
  • Increased Nutrient concentration or density
  • Safety, sanitation of food
  • Packaging for containment, protection, storage, re-closing, identification, portion control

Food and Nutrition

People do not seek or eat “nutrients”, we choose foods.

People prefer to not eat just one food; we choose meals.

People are seeking foods and making food choices

- continually.

The only nutrients that count

are in the foods people CHOOSE to eat.

Therefore: Make a variety of foods that people are choosing to eat - more nutritionally complete.


Three Market Demand Channels - Three Market Supply Channels

Nutrition information

flows to consumers;

Consumer needs

Information flows to

Food Suppliers.




WFP, NGOs, PVOs, buy and distribute ENRICHED FOODS

Aggregated Demand

Forward Contracts





By PLWHA and other consumers






Channels for






Make & Sell







SCHOOLS buy and distribute ENRICHED FOODS


Forward Contracts

Aggregated Demand


Leveraging the Processing Sector for Better Nutrition:

Advantages of a Commercial, Sustainable Business Model

  • Processors utilize the Zambian ingredient supply chain
  • Enriched ready-to-eat foods become available across Zambia including high need areas that may not meet humanitarian food program inclusion criteria.
  • Processors employ existing warehouse and distribution capacity for their retail business thereby increasing reach into both rural and urban markets.
  • There is dependable Quality Control; their facilities comply with good manufacturing practices (GMP)
  • Processor technical expertise is increased and leveraged for the development and marketing of enriched ready-to-eat foods leading to ongoing nutrition products innovation that benefits all Zambians
  • Processors make capital equipment investments in response to market demand increasing long term food variety, quality, and availability
  • Processors continually work on their own “sustainability” as a commercial enterprise so that enriched ready-to-eat foods will be available over time throughout Zambia.
  • Enriched products (supplemental foods) may be transformed into a domestic food industry surge capacity available for high need food crisis periods.

Some Key Success Factors for Commercial Sale of Enriched Foods

Market and economic analysis

Set boundaries on selling price, cost of product to produce, buying intentions from key market channel leaders for these or similar replacement products

Buyer and consumer education

about the nutritional value of enriched ready-to-eat products. Customers and consumers must embrace the critical significance of choice: making enriched foods a regular part of their diet; the price/value of the products

Foods must deliver a nutrient-dense, balanced combination of macronutrients and micronutrients

Measurably contribute to improved nutrition status when eaten under the right circumstances (adherence to diet, duration, amount consumed, other foods in the diet, physical condition, needed medical interventions). Nutrition experts must recognize the products’ nutrition advantage and consumers must experience the implied “product promise” of long term health, energy, and growth from improved nutrition.


Target Product Design Criteria

Establish Product Design Criteria and Product Acceptance Criteria

Meet guidelines for nutritional needs of Zambians including those PLWHA

Conform to Zambian dietary practices and preferences

Conform to National Food standards, regulatory

Meet “mass market” consumer expectations for price, packaging, and eating appeal

Formulate (enrich), process, and package based on principles of food and nutrition science and good manufacturing practices (“GMP”)

When possible, be compatible with the operations and logistics of NGOs, PVOs, and their local partners that provide nutritional supplementation to PLWHA.


Product Description: Enriched Sandwich Biscuit

Manufactured by Sunrise Biscuits

Ndola, Zambia

Two enriched baked whole grain-based biscuits enclosing an enriched peanut butter based “cream” filling – Product Benefits

  • Ingredients include: whole wheat, whole oats, soy flour, soy protein concentrate, peanut butter, milk powder, whey protein, vegetable oil, sugar, honey, vitamins, minerals
  • Nutrition quality and density, delivering balanced vitamins, minerals, protein, carbohydrates, fat, fiber, and energy in a compact and stable form
  • Portability: can be carried, stored, and eaten anywhere, any time
  • Shelf stability: 9-12 months depending on storage conditions
  • Hand-held, no utensils or bowl needed, convenient for children
  • Portion controlled packaging to protect the food, easy to hand out & open
  • Ready-to-eat, fully baked, no preparation
  • Biscuit becomes a creamy porridge when liquid is added – for spoon eating
  • They are a familiar food in our Southern African diet; such desirability encourages healthy eating and adds tasty variety to the diet
  • Offer a variety of 11 different nutritious foods we have assembled into a “Full Plate” for between meal & on-the-go nutrition supplementation – along with the fortification
  • Natural Foods: NO preservatives, artificial colors, trans fats, hydrogenated fats

Sunrise Biscuits Company Ltd.

For Samples or Quotation Inquiries, Contact: Mr. S. S. Langar

Lukasu Road, Light Industrial Sites; P.O. Box 70506, Ndola – Zambia;

Phone: +260-2- 650637 / 8; Fax: +260-2-650132; Cell: +260-955 434846;



Product Description: Enriched Maheu

Manufactured by Trade Kings, Lusaka, Zambia

Enriched milk-maize-soy, fortified drink – Product Benefits:

  • Culturally familiar; ancient tradition as a nutritious drink in Zambia; emotional value:

(“my maheu”), sought out by all ages.

  • Plain Maheu with added milk solids, fat energy, soy protein, vitamins.
  • Shelf stable without refrigeration for 8 months
  • Ready to drink from either 300 or 500 ml plastic bottles.
  • Nutrition quality, a balance of micro and macronutrients in fluid form
  • Digestibility: processing includes the use of enzymes which break down grain starches for ease of digestion.
  • Portable, can be carried and drunk anywhere, any time
  • Hand-held, convenient for children
  • Can be to drunk through an elbow straw while lying down
  • Soothing, slightly viscous, and easy to drink for anyone with mouth or teeth problems or swallowing difficulty
  • Portion controlled packaging that is easy to open and drink from
  • Ready-to-drink, no preparation
  • Delicious and familiar food, adds variety to the diet
  • Convenient for ready between meal snacks when medications necessitates food intake
  • Contributes to “food water” re-hydration and enhanced nutrient absorption


For Samples or Quotation Inquiries contact: Mr. Winani - TEL: 00-260-1-286117; E-mail:; LUSAKA, ZAMBIA


Product Description: Synbiotic Fermented Milk: “Mabisi”

Manufactured by Pamalat, Lusaka, Zambia

“Studies show that daily consumption of Bifidobacterium lactis, BB-12 - such as those found in one 250 mil serving of Lacto-Live Mabisi™ - may contribute to overall digestive health with the associated benefits.”

  • Nutrition quality, delivers a balance of milk’s nutrients
  • Proven probiotic delivery: Contains efficacious quantities of living probiotic colonies together with prebiotics that feed beneficial bacteria
  • Probiotic therapy: probiotics modulate the innate and adaptive immune system in a dose- and strain-dependent manner. In particular, some Lactobacilli and Bifidobacteria strains have been shown to induce the production of secretory IgA and IgG. [1]
  • Digestibility: a naturally fermented milk drink with reduced amount of lactose
  • Shelf Life, up to 36 days with refrigeration
  • Hand-held, Portable, Ready-to-drink, no preparation,convenient for children
  • Can be to drunk through an elbow straw while lying down
  • Soothing, slightly viscous, and easy to drink for anyone with mouth, throat, or teeth problems or with swallowing difficulty
  • Portion controlled packaging that is strong yet is easy to open
  • Delicious and familiar food; Convenient for ready between meal snacks
  • A fluid that contributes to re-hydration and nutrient absorption
  • [1] Cathy Alherda, et al, (2007). Effects of probiotic therapy in critically ill patients. Am J Clin Nutr 2007, 85: 816 - 823

For Order Information: Mr. Sandress Nyierenda, Zambia Sales & Marketing Manager

Office Phone : 211 286 855 - 287 745; Mobile: 0977 770 318

E mail:


Project Outcomes with Food Processors

  • Active interest and involvement in the nutrition of their consumers and the nutrition value / impact of their products.
  • Business Growth Opportunities & increased Customer Options
  • Technical know-how in food fortification with vitamins and minerals
  • Relationships with non-governmental (NGO) & community-based organizations (CBO)
  • Enhanced staff know-how, processing capabilities and quality control procedures
  • Product technical specifications, formulations, ingredients for nutrition products
  • Enlarged capabilities into nutritional product category
  • Relationships with Institutions for meeting nutrition requirements
  • Development of sophisticated nutrition product and nutrition promotion material
  • Increased collaboration with GORZ and other Donors in Zambia for contributing Zambian business-based solutions to the Zambian nutrition crisis

Potential Benefits for People Living with HIV/AIDS

  • Three forms of foods that are familiar, widely consumed, and found throughout Zambia, will now be enriched and more nutritious.
  • Promotion of these products in the markets contributes to consumer knowledge about proper diet and better nutrition generally.
  • Zambian processors manufacture enriched supplemental foods for sale not only at Retail but also to Institutions, and to NGOs, PVOs, CBO’s
  • Sustainable Food Options:
  • All of the above was developed by the food businesses and will stand – or fail - on its own based on value chain incentives: Consumer (buyer) Demand, Supply, Competition.

Project Contact Information

In Africa – Todd Thompson

Land O’Lakes Country Director, Zambia, Africa;


Phone: 260 21 1 263 929 / 30;

Fax: 260 1 265 053

In USA – Mara Russell

Land O’Lakes Title II Director, WDC;

E mail:;

Phone: (703) 524 1739;

Fax: (703) 524 3668

Rolf Campbell


E mail:;

Phone: 612 839 4050;

Fax: 612 823 4688