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Pasta Market Trends Into 2023

Philadelphia Macaroni Company has noted food market trends anticipated for 2023. Many of the trends, such as sustainable product innovation and unique flavorings, are evolved behaviors that gained traction this year. Others, like convenience and value-added services, are products of the current economic environment as consumers reprioritize their spending habits.

Sustainable Product Innovation

• Consumers are focusing on responsible sourcing, such as vertical farming, animal welfare, upcycled foods, and environment-friendly packaging.
• Retailers and consumer packaged goods (CPG) companies are investing in transparency programs to help shoppers easily identify products that meet their sourcing standards.
• Environmentally-conscious foods continue ranking, and plant-based pasta comes in as the #3 trend in the annual Whole Foods trends report. With increased demand for plant-based alternatives across the store, Whole Foods sees opportunity for continued growth in the pasta category with a new generation of products popping up on shelves.
• Pasta is a great plant-based meal base, with most brands using only wheat, water, and enrichments to provide a high-value for consumers nationwide. PMC pasta is made with flour from our milling division, Minot Milling, which sources grain from local producers and elevators. Most pasta cartons are fully recyclable, and PMC works with customers to source sustainable pasta additives such as cage-free eggs.

Unique Flavorings

• Food is an exciting and inexpensive way to experience new cultures, and global flavors continue gaining traction in many grocery stores. In response, retailers and CPG companies see product and flavor innovation as a way to differentiate their brand from the rest.
• Pasta is an excellent vessel to experiment with new flavors. With so many shapes to choose from and each providing a unique eating experience, the potential flavor and shape pasta-bilities are endless!

Value & Convenience

• Over the past year, consumers have shifted many of their spending habits, such as buying in bulk or choosing private label products over name brand. Value is expected to be the biggest trend in 2023.
• The comfort food category saw spikes in interest throughout the pandemic, and now consumers are looking for added health benefits in their favorite comfort dishes.
• Convenience has also become a large selling point, both in the sense of “quick quality” dishes (simple yet convenient foods to meet daily nutrition goals) as well as value-added delivery programs to support busy households.
• Pasta remains one of the most affordable and versatile meal bases in the grocery store. Additionally, most pasta is manufactured with key nutritional enrichments – semolina offers a good source of protein, and many brands opt to enrich their pasta with important vitamins and minerals such as iron and folic acid.

Sources: Whole Foods; Walmart; Food Institute; Specialty Foods Association; Innova Market Insights.

Durum Harvest Update From Minot Milling

The 2022 durum harvest was a rebound year for the Northern Plains’ farmers. Production returned to normal yields and above-average quality. The harvest was a relief for the U.S. pasta industry, as North American durum stocks had dropped to a record low level. Last year’s drought-stricken crop continues impacting the U.S. market today, resulting in tight supplies and near record-high market values. In order to maintain supply of high-quality durum, the U.S. milling industry imported 40 million bushels from Canada last year.
However, things are looking up. The 2022 U.S. durum harvest came in at 64 million bushels, up 68% compared to only 38 million bushels last year. The 2022 Canadian durum harvest was 3.5 times larger than the U.S. harvest at 225 million bushels, up 100% over last year.
2023 U.S. domestic durum usage is projects to increase 16% compared to 2022, and exports are projected to increase by 78%. Canadian imports are key to replenishing U.S. durum stocks to normal levels. In response, the U.S. pasta industry and Philadelphia Macaroni Company are feeling much better about durum supply and market volatility going into 2023 than we did in 2022. We are happy to see a stronger durum crop, but we still see low carryover levels and larger demand forecasted.

PMC Celebrates National Pasta Month

Each October, we celebrate National Pasta Month. During this time, the National Pasta Association and its communications program, Share the Pasta, focus our attention on the heritage, joys, and healthy benefits of enjoying of pasta.

To share the joy of pasta, we want to provide historical context for pasta’s uncertain origins. Some argue the Roman poet Horace was the first to write about pasta, mentioning the word “laganum” which is a possible ancestor of today’s lasagna. There is the idea that Marco Polo introduced Asian noodles to Italy in 1296. However, proof of dried pasta was found in Italy in the year 800. During the 800s Muslim occupation, Sicilians learned how to improve their pasta manufacturing and drying techniques. By the 1100s, pasta made on the island was exported to mainland Italy and parts of Europe.

Ultimately, pasta as we know it was not made by any one person, region, or ethnicity. Modern pasta is the product of centuries of cross-cultural cooperation and innovation. The result is hundreds of pasta shapes to choose from when mealtime hits. From easily-manufactured to strictly-homemade, the pasta-bilities are endless.

For ~175 years, Philadelphia Macaroni Company (PMC) and A. Zerega’s Sons have manufactured consistent, quality pasta for consumer enjoyment. With over 300 shapes to choose from and additional custom capabilities, PMC is your go-to partner for all things pasta in the Industrial, Retail, and Foodservice markets.

Source: De Vita.

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To keep the celebrations going, we also want to recognize our Executive Vice President, Nora Stabert, appointed Vice Chair of the National Pasta Association (NPA) earlier this year. Stabert represents PMC on the NPA Board of Directors, a role previously held by her father, Bill Stabert, and her grandfather, Luke Marano Sr.

Stabert joined PMC in 2018 as Vice President of Strategy. She has supported our organization through transformational changes, including PMC’s acquisition of A. Zerega’s Sons in 2020 and the ongoing implementation of our new, tier 1 Enterprise Resource Planning system. She also oversees the strategic direction of our corporate social responsibility program.

First founded in 1904 as the National Macaroni Manufacturers Association, NPA membership now includes manufacturers, marketers, millers and suppliers in the pasta industry. NPA serves as a cohesive advocate, promoter, and center of knowledge for the pasta industry, members of the government, and consumers.