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AFOA October 2012

AFOA October 2012. Oils New Paradigm David Dzisiak Dow AgroSciences. Anti-fat Sentiment Is Declining. Majority Seek Good Fat Consumption. 49% of Consumers Actively Consuming “Good Fats”. Limit Bad / Consume Good. 64% of Consumers Actively Consuming “Good Fats”. No Strong Effort.

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AFOA October 2012

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  1. AFOA October 2012 Oils New Paradigm David Dzisiak Dow AgroSciences

  2. Anti-fat Sentiment Is Declining

  3. Majority Seek Good Fat Consumption 49% of Consumers Actively Consuming “Good Fats” Limit Bad / Consume Good 64% of Consumers Actively Consuming “Good Fats” No Strong Effort Limit Bad ONLY Consume Good ONLY The 2010 Gallup Study of Healthy Fats & Oils Multi-sponsor Surveys, Inc.

  4. US/capita Food VegOil Consumption Canola Soybean Trans-fat labelling Decline of ph soy Palm Corn

  5. N.A. Canola Production Expands Omega-9 type canola oil is now a large part of NA production and processing 7 sites now processing high stability canola using about 35% of total capacity approx 2.5B lbs high stability canola oil supply

  6. New York Times Feb 9,2012 …….As controversy grew, many food manufacturers and restaurants gave in to pressure to remove trans fats — also known as partially hydrogenated oils — and began using alternatives like canola or sunflower oil. • CDC National Health and Nutrition Examination Survey • Trans fat levels fell 58 percent by 2009 • LDL “bad” cholesterol, fell ~10 units, to 119.2 mg/dl from 128.2 • HDL“good” cholesterolrose to 55.8 milligrams from an average of 49.6 milligrams.

  7. MonounsaturatesAre Healthful Oils high in monounsaturated fat raise good (HDL) cholesterol levels and decrease bad (LDL) cholesterol “The potential of an effective cholesterol-lowering diet to reduce the risk of cardiovascular disease may be significantly enhanced by inclusion of a moderate amount of monounsaturated fat”

  8. “Better-For-You” Products Driving Sales Growth At Leading CPG Companies* *Source: H. Cardello, Hudson Institute Neilson: Food, Drug & Mass Merchandise Sales Tracking

  9. CPG’s With Above Average “BFY” Product Sales Had Superior Margins* *Source: H. Cardello, Hudson Institute Neilson Data and Company Annual Reports

  10. Efficient Crop Production Growers report yields by variety for Crop Insurance Yields are competitive with elite industry varieties

  11. Oilseed Innovation

  12. New York NY

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