Lessons from the Leaf Food Innovate 2018 March 2018
Highly dynamic times in the food and beverage industry........... RISING PUBLIC HEALTH CONCERNS Global obesity crisis Sugar tax (passed/proposed) Activist advocacy groups CONSUMERS REDEFINE HEALTH & WELL BEING Good for me Good for others Good for the planet SWEET UNDER FIRE Sugar Artificial Sweeteners proposed new label highlighting calories and added sugars 2
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SUSTAINABILITY: Impact of PureCircle Stevia vs Sugar Lowest Carbon Footprint Lowest Water Footprint Lowest Land Footprint At least 12-82 % 88 % 1/5 Uses the land of sugar cane Less carbon than other natural sweeteners. Less water than other natural sweeteners. Size of Delaware = Amount of stevia needed to replace 20% of today s sugar consumption. 12% 48% 82% WATER 2015 Carbon Study KgCo2-e/kg SE* Comparative Carbon Footprints 2015 Carbon Study Liters/Kg SE* Comparative Water Footprints
Sweet in so many ways........... 5
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It s been quite a journey........... 2001 PureCircle (www.purecircle.com) was established in 2001 dedicated to the production and marketing of high purity stevia ingredients 2004 Reb A shown to major F&B companies First commercial contract secured 2007 PureCircle Limited ( PCL ) incorporated as a new global public company 2008 Expansion of direct CPG contracts +250 customer, now including nearly all of the major Global Key Accounts Start of Major Regulatory clearances: June: JECFA / August: Switzerland / October: ANZ / December: FDA GRAS 2009 Today 7
POSITIVE MARKET RESPONSE Global new product launches with stevia Top 10 global category by number of product launches 70% of launches occurred in the past 4 years 2,842 3,193 3,526 2 year CAGR Snacks Other Beverages 1,464 Juice Drinks 1,452 3,700 11% 2% 8% 20% 311 479 623 1,00 5 1,883 2,504 '09 '10 '11 '12 '13 '14 '15 '16 '17 5 yr CAGR 1yr MEA +71% +17% LTAM +50% +22% NTAM +29% -2% Europe +25% +14% APAC +23% +9% Total +29% +10% Dairy Sweeteners & Sugar RTDs Carbonated Soft Drinks Bakery Sugar & Gum Hot Beverages 1,339 1,066 1,039 960 884 674 603 15% 5% 6% 22% 15% 33% 33% Growth in number of launches driven by NTAM, LTAM, and Europe, while key beverage categories represent the fastest growing categories.
BITTER Early stevia products had taste challenges INTENSE LINGER REB A DELAYED ONSET 10
The stevia leaf has more to offer than just Reb A........... 40+ Steviol Glycosides in the leaf EACH WITH UNIQUE ATTRIBUTES TASTE SYNERGIES 12
Vertically integrated supply chain all the way back to the farm gave us insight from multiple perspectives. Our Supply Chain Farm to Consumer PLANT BREEDING & AGRONOMY PROGRAM HARVESTING EXTRACTION & PURIFICATION APPLICATION CONSUMER PRODUCTS 13
PURECIRCLE STEVIA AGRONOMY PROGRAM Our PureCircle Stevia Agronomy Program was created to cultivate and grow the best tasting stevia at global scale Our Commitments RESEARCH & DEVELOPMENT Stevia Expertise From Seed to Leaf The science of naturally developing new stevia leaf varieties with more of the best tasting steviol glycosides. SCALING NATURALLY Sustainable Expansion for Commercial Viability Growing and scaling the best stevia varieties to support food and beverage needs. FARMERS Livelihood + Community Enhancement The commitment to grow high-quality stevia leaf while contributing positively to the farming communities.
PureCircle Bees
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Granny Smith Apple Honey Crisp Apple 17
STARLEAF TM : WHAT IT MEANS FOR TASTE Rich in extracts with more sugar-like in taste. Fuller sweetness without linger and aftertaste Less processed vs. other plant based sweeteners Easier to work with for food and beverage industry 18
Scaling Up Starleaf Stevia........... 19
Growing Around the World........... PURECIRCLCE 2020 PLANS: TENS OF THOUSANDS OF HECTARES AROUND THE WORLD YIELDING THOUSANDS OF METRIC TONS OF STARLEAF STEVIA 20
OUR COMMITMENT TO STEVIA FARMING COMMUNITIES
Taste is king --?? 22
This is a journey, and it takes a lot of patience and iteration........... I have not failed. I've just found 10,000 ways that won't work." Thomas A. Edison 23
Courage and commitment to change and adapt together........... "It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is most adaptable to change. " Charles Darwin 24
Thank you........... 25