AGP Executive Report

Tariff Pressure on Alcohol Exports: Oregon and Colorado treasurers say U.S. wine and craft beer exports were hit hard by 50% tariffs and Canadian retaliation, with bans in eight of 10 provinces and an estimated $582M drop in imports since March 2025. Trade Talks in Motion: Prime Minister Mark Carney says he expects to speak with U.S. President Donald Trump before the Wednesday deadline as negotiators meet in Washington, with Canada warning a deal may be hard to reach. Heat-Driven Farm Fallout: European farmers warn of an unprecedented crisis as heatwaves and drought slash vegetable and grain yields, threatening shortages and “catastrophic” harvests. Healthy Menu Rules in Abu Dhabi: Abu Dhabi’s tourism-licensed outlets must offer minimum healthy options under SEHHI standards, with full enforcement starting Oct. 1. Convenience Coffee Arms Race: U.S. c-stores are upgrading coffee quality and consistency to fend off drive-thru competition, pushing bean-to-cup tech and more customization. Hospitality & Food Events: North Texas’ SHEF Food + Wine returns with 40-plus chefs and proceeds tied to scholarships and workforce development. Vodka Spotlight: Weber Ranch 1902 Vodka wins Best New Vodka at the 2026 San Francisco World Spirits Competition.

Food Safety Crackdown (India): FSSAI says six food companies withdrew misleading label claims and trademarks after regulator notices, including Livyor Ventures’ “vegan & healthy” claim on roasted edamame and other packaging revisions. Heat & Hospitality Pressure (Europe): With heatwaves emptying outdoor seating and hitting turnover by about 20% in parts of Italy, insurers are leaving a growing protection gap for cafés and restaurants. Retail & Automation (China): JD.com’s 7Fresh Coffee opened a 24-hour unmanned robotic coffee shop in Beijing, with customers ordering via kiosk or app and robots handling the full drink process. Wine Under Climate Stress (Hungary): Record heat and drought are threatening Hungary’s grape harvest, with experts warning yields could drop around 30% as Danube water levels fall. Beverage Supply Chain & Packaging: London Packaging Week highlights new fine food and beverage packaging moves—lighter glass, recyclable mono-materials, and added digital features like NFC and traceability. Alcohol Policy Push (Liberia): Liberia’s Alcohol Policy Alliance renewed calls for stronger national alcohol-control legislation at a second national conference. Water Security (Global): A new clean-water venture aims to deploy containerised treatment and desalination systems as UN warnings frame the world’s water situation as “water bankruptcy.”

Italian Dining Legacy Hits the Market: East Passyunk’s Mamma Maria’s—an Italian staple since 1992—has closed and is now listed across three adjoining buildings on Passyunk Ave. and Jessup St., with asking prices of $1.5M and $2M, ending a key chapter in Philly’s ’90s/’00s Italian resurgence. Food Safety & Labeling: India’s FSSAI says six food companies withdrew misleading label claims and revised packaging after regulator notices, including Livyor Ventures pulling “vegan & healthy” claims tied to roasted edamame beans. Counterfeit Warning in Zimbabwe: Consumer authorities warn shoppers about fake Nivea lotion and Huletts sugar after seizures showed household brands are being pushed through informal street and night vending channels. Beer Tax Pressure in Ghana: Accra Brewery urges government to delay proposed excise duty hikes on locally made beer, warning higher rates could ripple through jobs, farmers, and investment. Alcohol Market Shift in Minneapolis: Bauhaus Brew Labs reopened under new ownership with a new focus on adjusting alcohol levels in drinks, aiming at changing consumer preferences as drinking adults hit record lows.

Menu Rahmah Expansion: Malaysia’s Domestic Trade ministry says 3,210 food and beverage premises have registered as Menu Rahmah operators as of July, with the biggest participation from food stalls/food courts (1,016), as the program shifts from a temporary cost relief push to ongoing affordability support. Heat & Hospitality Insurance Gap: Reuters reports Europe’s heatwaves are cutting hospitality turnover sharply—Padua survey results show more than 80% of businesses seeing ~20% declines—while insurers often struggle to cover losses tied to indirect impacts, widening the protection gap. Wine Under Climate Pressure: Germany’s winegrowers are scrambling to protect vines as heat and low river levels bite; one grower is using straw to trap moisture, warning the “tipping point” is near. Plant-Based “Milk” Fight: A roundup of dairy-vs-plant labeling disputes highlights ongoing legal pressure over whether oat and other beverages can use “milk” terms, with courts and regulators taking different approaches. Tourism Tax Watch: Scotland’s city-wide visitor levy has started in Edinburgh, with other UK cities watching closely as tourism taxes spread. Water Infrastructure: Mexico’s Conagua awarded the Rosarito desalination plant contract (about $270m), aiming for first desalinated water by mid-2029. Self-Serve Alcohol Rules: Sydney regulator blocks Boathouse’s bid to loosen liquor rules, keeping tighter controls on how alcohol can be served.

Cost-of-living relief in Malaysia: KPDN says 3,210 food and beverage premises have registered as Menu RAHMAH operators as of July, with the biggest uptake from food stalls/food courts (1,016), as the program is positioned as ongoing support plus expanded subsidized sales under MADANI RAHMAH. Inflation watch (food & drinks): In Bohol, headline inflation eased to 6.7% in July from 7% in June, driven by slower price growth in food and non-alcoholic beverages and transport. Tariff pressure on alcohol: Canada and the U.S. are nearing a deal to avert 50% tariffs on about $20B in Canadian goods starting Aug. 19, with alcoholic beverages among the sectors at stake; talks hinge on Canada lifting retaliatory measures. California insurance gap: California’s FAIR Plan is facing another rate increase, but coverage remains limited to specific perils—leaving many homeowners exposed on liability and other gaps. Climate hits beverage supply: Champagne harvest is starting earlier than usual as heatwaves and drought accelerate ripening, with producers drawing on reserve wines and exploring adaptation. Retail drinks demand shift: Starbucks CEO Brian Niccol is pushing a “Back to Starbucks” service-first turnaround aimed at restoring speed and human connection.

Food Inflation Watch: Philippines’ Bohol saw headline inflation ease to 6.7% in July (from 7% in June) as food and non-alcoholic beverages and transport cooled, with fish, vegetables and meat price gains slowing. Heat & Supply Pressure: UK drought and record heat are already reshaping shopping baskets—farmers warn of weaker cereal and oilseed harvests, and produce shortfalls could push up food costs. Water Safety Push: Nigeria’s FG and Nestlé launched a nationwide campaign to improve drinking-water quality awareness, training local teams to spread water safety practices. Dairy Output Boost: Philippines’ National Dairy Authority reported dairy production up 21.2% in H1 2026 to 25.38M liters, supported by investment and rising demand. Hospitality Deals: Worcestershire’s “Taste Worcestershire” returns with a free digital pass for dining offers running through October. Local Food & Drink: A Christchurch cafe and pick-your-own farm reopened with local product lines and a refreshed menu. Alcohol & Hemp Policy: Montana hemp processors praised a US Senate delay on a THC ban that could have tightened rules on hemp-derived beverages. Cinema F&B Shift: India’s multiplexes are leaning harder on food and beverage sales as ticket affordability pressures grow.

Water & Health: Manila Water Foundation keeps expanding school WASH support in the Philippines, handing over refrigerated drinking fountains and tumblers to boost safe drinking access for 160,000+ learners. Public Health & Water Quality: Nigeria’s federal government and Nestlé Nigeria launch a nationwide campaign to push safer drinking-water practices, training local teams to spread guidance on testing and household treatment. Dairy Supply Chain: The Philippines’ National Dairy Authority reports local dairy output up 21% in H1 2026, citing higher production and farm-gate price gains. Alcohol Industry Under Pressure: Colorado’s treasurer says Trump-era tariffs are raising costs for craft beer and wine, including aluminum can pricing, while U.S.-Canada trade talks hinge on lifting retaliatory alcohol measures. Wine Market Strain: California wine-linked layoffs hit a major logistics supplier tied to E. & J. Gallo, blamed on shifting consumer purchasing patterns. Hospitality & Drinks Culture: Ferrero buys better-for-you breakfast brand Purely Elizabeth, signaling continued functional, protein-forward momentum in food and beverage-adjacent categories. Foodservice Tech: A robot-run noodle shop in Beijing begins trial service, handling ordering, cooking and delivery with minimal staff. Hospitality Jobs: Delaware Restaurant Association opens public voting for its new Excellence in Service Award, spotlighting bartenders, servers and managers.

Leadership Change: Bulla Dairy Foods names Peter Hall as its new CEO, bringing FMCG and drinks manufacturing experience as the company leans into higher-margin growth and expands capacity at its Colac ice-cream plant. Spirits & Brands: Alliance Global Group reports a 3% rise in first-half net income to ₱16B, citing stronger spirits margins and a shift toward non-VIP gaming. Water & Public Health: The Netherlands and Bangladesh are teaming up on safer drinking water access via smart piped systems and digital payments, targeting “last mile” connectivity in climate-vulnerable areas. Circular Economy: South Africa spotlights extended producer responsibility as landfill pressure and new rules push producers toward circular-economy compliance. Packaging & Events: London Packaging Week returns in September with a focus on what’s next for packaging across premium drinks and food. Beverage Culture: A new “peachy bourbon smash” recipe leans into fresh-fruit cocktail trends, while a Madawaska brewpub plans a community-funded opening later this year. Wine & Climate: Extreme heat is forcing earlier sparkling wine harvests in Italy, reshaping schedules for producers.

EU Packaging Rules: From Aug. 12, the EU’s PPWR starts applying, including PFAS limits in food-contact packaging and a requirement from 2027 that restaurants and cafes accept customers’ own containers for takeaway to cut plastic waste. Food Policy Watch: The FDA has delayed a formal definition of ultraprocessed foods, pushing the question to Congress as lawmakers consider how to regulate packaged items like chips and soda. Water Crunch: Puerto Rico’s drought-driven rationing is leaving hundreds of thousands waiting for water trucks, with drought, reservoir sediment issues, aging infrastructure and mismanagement blamed. Beverage & Trade Politics: A U.S. poll suggests beer—especially tariffs on Mexican beer—could be a motivator for voters ahead of November. Industry Moves: Molson Coors is turning a former coal mine into a solar farm, aiming to power part of its Golden operations with 16,000 panels. Luxury Spirits: Louis XIII’s new Black Pearl Cognac release adds a temperature-controlled “cooling cellar” serving system, priced at £21,000.

PFAS & “forever chemicals” Scrutiny: A new push to ban more PFAS in the EU is putting renewable-energy supply chains (including EV battery materials) under fresh pressure, with drinking-water contamination and health risks driving the debate. Public Health & Enforcement: Seoul plans to formally designate Cheonggye Stream as a no-drinking/no-smoking zone and start fining violators—an example of cities tightening rules around beverages in public spaces. Water Stress Hits Food & Drink: Europe is losing nearly a quarter of treated water to leaks, while drought and cross-border water governance (including Switzerland’s shared-lake negotiations) show how water policy can quickly become a food-and-beverage issue. UK Food Inflation Cools: Reuters reports UK food and non-alcoholic beverage inflation has fallen to a near two-year low, helped by supermarket competition and better supplier cost hedging. Hemp Beverages Politics: A Louisiana voter survey finds 70% prefer regulating hemp beverages over banning them, shaping the next policy fight. Food Marketing Crackdown: India’s FSSAI warns influencers and celebrities to stop promoting unverified health claims, signaling tighter enforcement for beverage and supplement brands. Packaging & Compliance: Packaging-industry updates highlight how brands are responding to accelerating sustainability rules with new functional coatings and materials.

Self-Pour Expansion: iPourIt hired self-pour veteran Laurel Johnstone as Eastern Territory Manager, signaling continued investment in self-pour tech for restaurants, hotels, breweries, and entertainment venues. Beer & Community Events: Niagara Parks teamed with Niagara College Teaching Brewery for “A Shot of History” at Old Fort Erie, pairing War of 1812-era rations with curated craft beer samples and live historical programming. Functional Drinks Leadership Shift: Olipop named Electolit CEO Christian Patiño Webb as its next CEO as the prebiotic soda brand pushes growth after crossing $500M in sales, amid rising competition from major beverage players. Health Research Watch: A Florida Atlantic University study linked higher ultra-processed food intake to increased prostate cancer risk in men, adding pressure on food and beverage brands facing scrutiny over UPF consumption. Tariff Shock for Drinks Supply Chains: A CFIB report warns Trump’s looming 50% tariff threat could hit Canadian exporters hard, with alcohol flagged among the trade irritants. Local Liquor Policy: A Massachusetts select board discussed canceling Captain’s Bar & Grille liquor license after it wasn’t exercised for an extended period. Drive-Thru Coffee Trend: A report highlights how drive-thru coffee chains are adding food to compete, reflecting broader demand shifts in beverage-led quick service.

Delivery Labor Rules: Australia’s Fair Work Commission approved “employee-like” minimum standards for on-demand delivery gig workers, including food, beverages, and supermarket groceries, with a $31.30 hourly floor starting Aug. 17. Water & PFAS: Michigan’s PFAS Action Response Team says it has identified 350 groundwater sites exceeding criteria and will keep sampling wells near fire training centers while pushing private well testing. Packaging & Compliance: UK thermoforming packager Macpac earned BRCGS AA+ accreditation after an unannounced audit, aiming to reassure food and drink customers across Europe. Sustainable Supply Chains: A1Rwater is commercializing atmospheric water generation (AWG) as a beverage brand, purifying and mineralizing humidity-derived water for can packaging. Coffee Seasonality: Starbucks’ Pumpkin Spice Latte returns Aug. 25, with search demand spiking earlier than usual and competitors rolling out fall menus ahead of schedule. Beer Tax Pressure: Ghana’s Accra Brewery is weighing a shutdown over revised excise duties that could hit margins and jobs. Wine Climate Impact: Italy’s extreme heat is pushing sparkling wine harvests about 10 days earlier, including Franciacorta. Hospitality Growth: Gujarat is preparing a new hotel and tourism policy with tax concessions, faster approvals, and incentives for wellness centers.

Functional Beverages: Greenhouse (Canada) is rolling out clean-label protein shakes into convenience stores and gas stations, betting on protein’s shift from sports niche to mainstream “on-the-go” demand. Foodservice & Supply Chain: Hydrbrew° launched a functional iced coffee RTD positioned as steady focus plus hydration (caffeine with L-theanine, Lion’s Mane, and electrolytes) aimed at replacing energy drinks. Packaging Rules: A new palm-leaf tableware report argues “compostable” and “plastic-free” aren’t the same under UK/EU regimes, highlighting polymer-free areca/palm options as compliance-friendly. Wine Industry: Wine Growers BC is coordinating support for wineries affected by the Summerland wildfire, including staff accommodation, animal lodging, and temperature-controlled storage. Retail Expansion: Gardners Candies’ peanut butter meltaways have expanded to 1,000+ Wawa locations, with sales up 24% vs. 2025 through July. C-store/Convenience Growth: Google is bringing restaurant ordering back into Google Maps via an AI “Ask Maps” flow, steering more ordering journeys inside the app. Climate & Agriculture: Extreme heat is reshaping Italy’s sparkling wine harvest timing, with Franciacorta grapes reportedly picked about 10 days early.

Climate & Water Stress: Europe’s water crisis is worsening as heat dries soils and shrinks rivers, with the EU warning that 30% of Europeans face water scarcity each year and pushing its Water Resilience Strategy to protect the water cycle and food security. UK Heat Impacts: England braces for a fifth heatwave as amber health alerts roll out and drought conditions expand, with the Environment Agency flagging “flash drought” across much of the country. Food Safety & Water Links: Researchers say a cyclospora outbreak is likely tied to sewage contamination, where oocysts survive treatment, contaminate waterways, and spread through irrigated crops. Wine & Weather: Kent is being pitched as a new UK wine hotspot after “perfect” weather boosted vineyard growth and output, while Italy’s sparkling wine sector is harvesting up to 10 days early due to extreme heat. Industry Watch: Armenia’s processing industry grew 7.4% in H1 2026, with beverage production up 16.6% year-on-year. Functional Drinks Marketing: New reports and guides keep pushing botanical tea and “cycle” wellness positioning, alongside claims about refined glycerin demand across personal care, pharma, and food.

FDA Food Additives: The FDA proposed a rule that would require companies to notify the agency when they add ingredients they label “generally recognized as safe” (GRAS), aiming to tighten oversight of new or changed food chemicals. California Craft Spirits: California’s pandemic-era law letting craft distillers ship spirits direct to consumers is set to expire Dec. 31, with major lobbying from wine industry, wholesalers and truckers pushing to end the practice. Hemp THC Drinks: A bipartisan bill would keep hemp THC beverages federally legal and regulated like alcohol, using a three-tier distribution model and a per-milligram federal tax. Water & Cybersecurity: Lawmakers are weighing new authority for EPA to assess cybersecurity risks across drinking water and wastewater systems after recent attacks highlighted weak protections. Restaurant Expansion: True Food Kitchen opened in Boulder, Colorado, bringing its chef-driven, ingredient-forward menu plus cocktails, mocktails and cold-pressed juices. Industry Leadership: Kultura Beverage Group named Cathy Popick EVP, Commercial Strategy, as it builds out national account and route-to-market capabilities. Energy Drinks: Alani Nu is bringing back Witch’s Brew and adding two limited fall flavors. Climate Pressure: England’s drought worsened, with most regions under water stress and heat alerts—raising pressure for agriculture and water-dependent supply chains.

Spirits Launch: Absolut® TABASCO™ lands in Australia and New Zealand, pairing Absolut Vodka with a natural TABASCO®-pepper essence (no added sugar) to tap rising demand for spicy vodka. Functional Drinks M&A: Nichols is buying Dublin-founded vitamin drink brand VitHit for €75m, betting on its vitamin-fortified RTD portfolio and growth in UK/Ireland. Confectionery Expansion: Orkla Snacks agrees to acquire European Candy Group for €239m to scale Bubs vegan gummies after viral demand and shortages. Alcohol Demand Split: New Hampshire and Delaware buck the US sobriety trend, reporting higher per-capita alcohol consumption even as overall adult drinking hits a record low. Water & Hospitality Pressure: Ohakune faces an extended tap-water outage, forcing eateries and schools to stay closed longer. Packaging Waste Rules: South Korea is weighing a ban on single-use paper cups in larger cafes, potentially expanding beyond franchises. Food Safety Crackdown: Mumbai restaurants are undergoing deep cleaning after Maharashtra FDA enforcement actions over hygiene violations. Climate Impact on Ingredients: Cambodia’s Kampot-Kep sea salt producers warn monsoon shifts and flooding are disrupting solar evaporation.