UK Government Regulates Junk Food and Bolsters Prospects for Health Food Industry

- FN Media Group Presents Microsmallcap.com Market Commentary

NEW YORK, July 6, 2021 /PRNewswire/ -- The UK government just enacted a regulation that prevents late-night advertising of junk food. The National Health Service (NHS) has begun to crack down on the promotion of unhealthy foods in an effort to reduce costs on national healthcare. Framing public health as a national struggle, the UK is setting a legislative precedent that may lead standing first-world governments in the same direction. The decision echoes a similar 2011 campaign to ban sugary drinks in New York City, and it bears further similarities to the Japanese government's policies on promoting physical activity and overall health. Specialty and organic food stocks to watch include Else Nutrition Holdings Inc (TSXV:BABY) (OTCQX:BABYF), The Hain Celestial Group, Inc. (NASDAQ:HAIN), Sprouts Farmers Market, Inc. (NASDAQ:SFM), Beyond Meat, Inc. (NASDAQ:BYND), and SunOpta Inc. (NASDAQ:STKL) (TSX:SOY).

Policy and Consumer Trends Drive Rapidly Growing Specialty Food Market

As consumer markets expand, specialty food companies are cropping up to fulfill the demand for alternative diets. These emerging markets go hand-in-hand with the growth of corporate messaging on environmental responsibility, as many consumers begin to associate meat consumption with environmental harm. Electric vehicles, renewable energy, and alternative foods paint a pattern of consumer responsibility that drives revenue in these companies. More and more segments of standard markets are being directed toward green marketing, including plant-based alternatives and organic foods.

One such company leading these efforts is Else Nutrition Holdings Inc (TSXV:BABY) (OTCQX:BABYF), a specialty foods company that focuses on non-soy plant-based alternatives to baby and toddler formula. Given the growing number of vegan and non-dairy consumers, Else Nutrition is looking to present an alternative to traditional dairy products that rely on environmentally harmful dairy farms. The specialty foods company is making serious inroads into the retail market with revenues to show for it.

Else Nutrition has continued expanding operations into physical retail locations with Huckleberry's Natural Market in Washington, Idaho, Montana, and Oregon. The locations include placement within a standalone retail location as well as 15 department locations within Rosauers Grocery. Since then, Else Nutrition has captured more and more of the retail market, with Else Plant-Based Complete Nutrition for Toddlers now listed on 1000+ retail outlets and currently available for purchase in more than 700 retail outlets including Sprouts Farmers Market, Big-Y, Raley's, Natural Grocers, AFS, Haggen, PCC, Mother's Markets and many dozens of independent stores.