Jar wars: the Italian plot to weaken Nutella

Nutella faces virtually no major competition as a mass-marketed brand with 54 percent of the global market for chocolate spreads. (AFP)
Updated 21 November 2018
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Jar wars: the Italian plot to weaken Nutella

  • Nutella, invented by family-owned firm Ferrero, is a favorite among sweet-toothed youngsters at home and abroad
  • Barilla is preparing to launch a chocolate spread next year in a major challenge to Nutella

MILAN: Chocolate spread Nutella has long had pride of place on supermarket shelves but faces imminent attack from an Italian rival usually found in the pasta section.
Italy’s Barilla, known internationally for its spaghetti and maccheroni packaged in blue boxes, is preparing to launch a chocolate spread next year in a major challenge to the brand that became a global phenomenon in the 1980s, sources said.
Nutella, invented by family-owned firm Ferrero, is a favorite among sweet-toothed youngsters at home and abroad and generates annual sales of more than €2 billion ($2.3 billion).
With 54 percent of the global market for chocolate spreads, Nutella is the leader and faces virtually no major competition as a mass-marketed brand.
Cokokrem of Turkey’s Yildiz Holding is the second most popular spread with a share of only 2 percent, according to market research provider Euromonitor International.
But two sources familiar with Barilla’s plan say its new spread, Crema Pan di Stelle, seeks to exploit a perceived weakness of Nutella: its use of palm oil.
The ingredient has drawn a consumer backlash due to health and environmental concerns. Ferrero launched an ad campaign in 2016 to defend its use of palm oil, saying it was safe when refined at controlled temperatures and that the company only bought oil from sustainable palm plantations.
Barilla decided to mount a challenge to Nutella after sensing that Ferrero was starting to encroach on the pasta-maker’s lesser-known biscuit business, one of the sources said.
Industry sources said Ferrero will launch a Nutella-filled biscuit next year, seen as a direct challenge to Barilla’s own chocolate cookie brand, Baiocchi.
Ferrero declined to comment on the new biscuit.
To take on Nutella, Barilla has prepared a recipe that contains sunflower oil, 10 percent less sugar, Italian-only hazelnuts and cocoa from sustainable farms, one source said.
Barilla, also a family-owned firm, has presented its spread to buyers at major supermarket chains and could launch it as soon as January in Italy, the sources said.
Still, it faces a tough challenge.
One industry expert said it could cost several million euros just to secure a spot on the same supermarket shelves as Nutella, which commands a premium eye-level position.
“Crema Pan di Stelle will increase competition for Nutella in Italy thanks to the considerable brand awareness it has among domestic customers, but Barilla will find it difficult to take the challenge abroad,” said Marco Eccheli, director at the Italian unit of consulting firm AlixPartners.
Contacted for a comment Barilla said it would answer questions about new products in coming weeks.
The name Crema Pan di Stelle is taken from another of Barilla’s successful biscuits brands, Pan di Stelle or ‘bread of the stars’ which is sold mainly in Italy.
“It will contain crumbles of Pan di Stelle cookies to make it taste crunchy,” the source said.


Hugh Jackman reveals Global Teacher Prize finalists ahead of Dubai ceremony

Updated 21 February 2019
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Hugh Jackman reveals Global Teacher Prize finalists ahead of Dubai ceremony

  • The awards ceremony will take place on March 24
  • Out of 10,000 nominations from 39 countries, 10 finalists were chosen

DUBAI: Hollywood A-lister Hugh Jackman has lauded teachers as the “real superheroes” ahead of the  million-dollar Global Teacher Prize ceremony to be held in Dubai next month.

Speaking in a four-minute long video message, the actor revealed the 10 finalists who will be up for the prize on March 24.

Recalling his own experience, Wolverine star Jackman spoke of his “transformative” experience with his acting teacher.

Hugh Jackman and his acting teacher. (Supplied)

And he described the teaching profession as “the most important job in the world.”

“My favorite uncle was a teacher, my sister’s a teacher, my brother’s a teacher… My hope for every single person on the planet is that you have at least one,” he said.

“All of us go through insecurity and doubt, trepidation, along this journey of life, and those teachers that see the best in us and are patient enough to allow us to grow into that, they are like gold,” he added.

Out of 10,000 nominations from 39 countries, 10 finalists were chosen, including teachers from the UK, India, Japan, and Kenya.

The Dubai-based Global Teacher Prize was set up by global education charity Varkey Foundation to recognize one teacher “who made an outstanding contribution to the profession as well as to shine a spotlight on the important role teachers play in society.”

“I hope their stories will inspire those looking to enter the teaching profession and also shine a powerful spotlight on the incredible work teachers do all over the world every day,” said Sunny Varkey, the founder of the Varkey Foundation.

The winner will be announced at the “Global Education & Skills Forum” on March 24.

On the eve of the forum, chart toppers Little Mix, Liam Payne, and Rita Ora will perform at the Dubai Media City Amphitheater in a tribute concert organized by the foundation.

Here's the video announcement: