Better-for-you components, portable packaging and bold flavors are all ingredients to making the perfect refrigerated food and beverage. They’re also the reasons why the overall refrigerated foods industry is experiencing an uptick in sales.

Refrigerated & Frozen Foods compiled a list of Top 25 refrigerated foods processors, broken down by category (prepared foods/entrées/side dishes, meat/poultry, dairy, fruits/vegetables and dips/spreads). Processors are ranked by annual net sales and listings.

This report represents Refrigerated & Frozen Foods’ best efforts to reflect pertinent sales from all refrigerated channels. Sales figures and estimates are based on company reports, news releases, market analysts’ reports, industry media and more. Figures exclude shelf-stable products, but may include non-refrigerated sectors. Bag salad sales exclude raw produce. Prepared foods sales include prepared dishes and salads. Fruits and vegetables exclude juice.

NEW BEHIND-THE-GLASS INNOVATIONS STIR UP GROWTH

An international study conducted by the Culinary Visions Panel, Chicago, found a majority (77%) of consumers in the United States, Canada and the UK consider refrigerated foods as a fresh option.

The study also discovered that consumers consider the local supermarket deli more than just a resource for meat and cheese. In fact, consumers now view the deli as a reliable outlet for quality ingredients, with 82% of consumers in all three countries at least somewhat agreeing that the supermarket deli is a great place for healthy and delicious food.

Here’s how the Top 5 players in this category experienced growth.

Changes from last year’s report

• ConAgra Foods changed its name to Conagra Brands, Inc.
• Removed Nestlé Prepared Foods to make it a Top 5 report.

Significant events in 2016

• In November 2016, ConAgra Foods, Chicago, completed the previously announced separation of its Lamb Weston business, and changed its name to Conagra Brands, Inc. Meanwhile, Sean Connolly succeeded Gary Rodkin as CEO.
• Kraft Heinz Co., Pittsburgh, Pa., inked a 7-year partnership with mobile shopping company Fetch Rewards, Madison, Wis., and announced plans to transition to using 100% cage-free eggs in all North American operations by 2025.
• Reser’s Fine Foods, Beaverton, Ore., showcased newly formulated behind-the-glass deli salads, sides and dips.
• Blount Fine Foods, Fall River, Mass., advanced the transition of its McKinney, Texas, business it acquired in January 2016. It also purchased Food Source LP, a custom food manufacturer based in McKinney, Texas, and launched a line of branded premium organic soups under the new Blount Organic label.

DELI MEAT, MEAT SNACKS BULK UP CATEGORY GROWTH

Baby boomers and Millennials are playing a large role in how food is being made, produced and branded, according to Phil Lempert, the Supermarket Guru. That’s why meat suppliers are catering to Boomers’ desire for flavored-up meats and the Millennial’s desire for new tastes and food experiences.

Find out how the Top 5 players in this category are bulking up category growth.

Changes from last year’s report

• Removed OSI Group to make it a Top 5 report.

Significant events in 2016

• Tyson Foods, Inc., Springdale, Ark., launched a venture capital fund focused on companies developing breakthrough technologies, business models and products to sustainably feed a growing world population. Tyson Foods also broke ground on the future site of a new incubation center, proposed building a new processing facility near its existing poultry plant in Green Forest, Ark., and took a 5% ownership stake in plant-based protein producer Beyond Meat, El Segundo, Calif. Furthermore, president Tom Hayes succeeded Donnie Smith as chief executive officer, effective Dec. 31, 2016.
• JBS USA, Greeley, Colo., completed a nearly $100 million expansion project at its Hyrum, Utah, beef processing complex. And, JBS’ parent company, JBS S.A., Brazil, announced its intent to pursue a corporate reorganization.
• Cargill, Inc., Wichita, Kan., acquired Five Star Custom Foods Ltd., a Fort Worth, Texas-based processor of cooked protein products and custom prepared soups and sauces. Cargill also announced plans to reposition its Rumba Meats line of fresh variety meats with an emphasis on Hispanic consumers, and opened a nearly $50 million distribution center located at its Dodge City, Kan., beef processing facility. Cargill also selected what is anticipated to become its future headquarters site, which will remain in Wichita.
• Smithfield Foods, Inc., Smithfield, Va., announced plans to acquire Clougherty Packing LLC, Los Angeles, from Hormel Foods Corp., Austin, Minn., and is said to become the first major protein company to announce a far-reaching greenhouse gas reduction goal throughout its entire supply chain.
• Meanwhile, Hormel Foods introduced the HORMEL VITAL CUISINE line of packaged ready-to-eat meals for cancer patients, and unveiled The Black Market, a multi-sensory bacon experience.

Significant events still to come in 2017

• Cargill will move its headquarters to the former Wichita Eagle newspaper building, which will be redeveloped into a newly constructed office complex to accommodate approximately 800 people. 
• Tyson Foods’ new incubation center is scheduled to be completed mid-2017.

HOW CHEESE SALES IMPACT REFRIGERATED DAIRY CASE

Many dairy processors have grown rapidly over the last several years due to purchasing local dairies, merging with dairy co-ops or creating more efficient production and distribution systems.

However, growth in the refrigerated dairy case is largely due to the influx of cheese demand. In fact, according to Hoovers, U.S. dairy manufacturers produce about 11.5 billion pounds of cheese each year, while the average American consumes more than 35 pounds of cheese per year — an increase of more than 20% in the last two decades.

Find out how the Top 5 players in this category experienced growth.

Changes from last year’s report

• Added Conagra Brands, Inc. to report.
• Removed Saputo to make it a Top 5 report.

Significant events in 2016

• In November 2016, ConAgra Foods, Chicago, completed the previously announced separation of its Lamb Weston business, and changed its name to Conagra Brands, Inc. Meanwhile, Sean Connolly succeeded Gary Rodkin as CEO.
• Ralph Scozzafava, executive vice president and COO of Dean Foods Co., Dallas, Texas, succeeded Gregg Tanner as chief executive officer, effective Jan. 1.
• Land O’Lakes, Inc., Arden Hills, Minn., acquired Ceres, Inc., a biotechnology company based in Thousand Oaks, Calif. Land O’Lakes also formed SUSTAIN, a new sustainability business unit, formed a cooperative with Microsoft to improve agricultural technology, and merged with United Suppliers, Inc., Ames, Iowa, to create Winfield US.

DIPS, SPREADS ELEVATE REFRIGERATED FOODS INDUSTRY

From intricate flavoring to the influx of high-pressure processing (HPP) technology, the refrigerated dips and spreads market continues to experience elevated growth.

Here’s how the Top 5 players played a role in the uptick in sales of this category.

Changes from last year’s report

• Added Hormel Foods to the list.
• Removed Tribe Mediterranean Foods.

Significant events in 2016

• Sabra Dipping Co. achieved LEED-Gold New Construction certification for its new 106,475-square-foot expansion at its Chesterfield County, Va., headquarters plant. It also expanded its line of all-natural guacamole and introduced a series of new refrigerated dips and spreads.
• Garden Fresh Gourmet, Ferndale, Mich., launched a new line of fresh refrigerated soups.
• Cedar’s Mediterranean Foods, Inc., Ward Hill, Mass., launched new flavors of Organic Hommus.

ALL-NATURAL INGREDIENTS BRING FRUITS, VEGETABLES TO THE FOREFRONT

In recent years, the perimeter of the store, including produce, has been catching up with U.S. consumers’ need to differentiate themselves. Consumers can select from a dizzying amount of products and buy them pre-cut, in varying pack-sizes or with a dip or some other food pairing.

In fact, pre-cut, packaged or seasoned products have been some of the biggest and most consistent sources of growth in the produce department over the past few years, according to a study produced by Nielsen, New York.

Find out how the Top 5 players in this category experienced growth.

Significant events in 2016

• Dole Food Co., Thousand Oaks, Calif., acquired TucFrut’s farms and packing facilities in Molina and Linares, Chile.
• Hani El-Naffy, president and COO of Fresh Del Monte Produce Inc., Coral Gables, Fla., will start to transition his role as an officer of the company.
• Ready Pac Foods, Irwindale, Calif., placed second in this year’s Best New Retail Products Contest, part 2, for its new organic chopped salad kits, introduced in July 2016.