Welcome back to The Food Industry Executive Newsletters Unauthorized. I'm James Thornton, joined as always by Susan Mitchell. Today, we're diving into some of the biggest shifts in food manufacturing—tech, regulation, and, well, a bit of revolution, really.Hey everyone! I love that you called it a revolution, James. It really does feel like the ground is shifting under our feet, especially with how fast technology is moving. I mean, 64% of food manufacturers have ramped up their investment in PLM software just in the last year. That's huge.Yeah, and for anyone not living and breathing acronyms, that's Product Lifecycle Management software. It's not the sexiest phrase, but it's become absolutely essential, especially as regulatory compliance gets more complex. I was consulting for a mid-sized bakery in the UK last year—lovely people, by the way—and they were scrambling to get their systems up to FDA standards. The PLM rollout was, honestly, a bit of a headache at first, but it made a world of difference in tracking data and managing projects.I hear that all the time. The top use case is project management, right? But it's also about data—like, 41% of manufacturers are seeing better product quality, and 37% are getting better data management. And with the FDA and FSMA tightening up, you just can't afford to be behind on traceability.Exactly. And it's not just about compliance. Cloud-based PLM and advanced analytics are, well, they're kind of game-changers. By 2050, a lot of folks expect these tools to be the backbone for real-time decision-making. Imagine being able to reformulate a product on the fly because you spot a supply chain hiccup—no more waiting weeks for the data to catch up.And that's not just wishful thinking. The Smart Manufacturing 2025 report says 40% of leaders see cloud PLM as the biggest impact, with analytics right behind. It's all about speed and agility now.Speaking of agility, let's talk about the race to cleaner labels. Nestlé, Conagra, J.M. Smucker—they're all phasing out synthetic colors, and the timelines are tight. Nestlé wants to be synthetic-free in the U.S. by mid-2026. Conagra's got a phased plan, but even their K-12 school products will be dye-free by 2026 or 2027. That's a lot of reformulation in a short window.It's a massive shift. And it's not just about consumer demand, is it? Regulators are pushing, too. But, Susan, you've seen this up close in the States, right?Oh, absolutely. I worked with a supplier last year—one of the big U.S. retailers basically said, "No more artificial dyes, period." The suppliers had to scramble. Some of them had to completely rethink their ingredient sourcing and R&D pipelines. It was stressful, but it forced a lot of innovation. I mean, necessity is the mother of invention, right?Yeah, and speaking of innovation, have you seen what Gourmey and DeepLife are doing in France? They're using digital twins and AI to optimize cultivated meat. It's wild—sequencing millions of avian cells, then using large language models to predict how different molecules will affect cell behavior. It's like, virtual R&D before you even touch a petri dish.That blows my mind. Digital twins let them fine-tune everything—media composition, metabolic efficiency—before they spend a dime on wet lab experiments. And with causal AI, they're simulating every stage of production. It cuts costs, but it also means better taste, texture, and nutrition. I mean, that's the holy grail for cultivated meat.It's a far cry from the old days of trial and error in the lab. Now, it's all about data, simulation, and speed. And honestly, with the pressure to reformulate and clean up labels, I think we're going to see a lot more of this kind of tech-driven R&D.Let's shift gears a bit—market pressures are just as intense. Take McCormick, for example. They're facing up to $90 million a year in tariffs on spices like black pepper, cinnamon, and vanilla. And with new tariffs on Aji Amarillo peppers kicking in July 9, 2025, it's only getting tougher.Yeah, and those aren't ingredients you can just grow in your backyard, at least not in the U.S. McCormick's planning selective price hikes, but they're also using analytics to find new sourcing options. It's a balancing act—consumers want those trendy flavors, but nobody wants to pay double for their favorite spice blend.And then there's the big corporate news—Mars is about to close its $35.9 billion acquisition of Kellanova. The FTC gave the green light, so now it's just the European Commission left to approve. If it goes through, you'll have Mars' sweets—M&M's, Snickers, Skittles—paired with Kellanova's savory brands like Cheez-Its and Pringles. That's a snacking powerhouse if I've ever seen one.It's a massive deal. And it's not just about scale—it's about combining sweet and savory portfolios to cover more of the market. But, you know, all of this is happening against a backdrop of regulatory deadlines. Full FDA and FSMA compliance is due by January 2026, so companies are juggling mergers, tariffs, and reformulation all at once. It's a lot.It really is. And I think that's a good place to wrap for today. The food industry is moving fast—tech, regulation, market moves—it's all happening at once, and we'll be here to keep you updated as it unfolds.Absolutely. Thanks for joining us on The Food Industry Executive Newsletters Unauthorized. We'll be back soon with more on the trends shaping your next meal. James, always a pleasure.Likewise, Susan. Take care, everyone, and see you next time.

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June 30, 2025 News for Food Industry Leaders