Chief among those concerns is the use of cellulose (read: wood pulp), an extender whose use in a roster of food products, from crackers and ice creams to puddings and baked goods, is now being exposed. What you're actually paying for -- and consuming -- may be surprising.
Cellulose is virgin wood pulp that has been processed and manufactured to different lengths for functionality, though use of it and its variant forms (cellulose gum, powdered cellulose, microcrystalline cellulose, etc.) is deemed safe for human consumption, according to the FDA, which regulates most food industry products. The government agency sets no limit on the amount of cellulose that can be used in food products meant for human consumption. The USDA, which regulates meats, has set a limit of 3.5% on the use of cellulose, since fiber in meat products cannot be recognized nutritionally.
"As commodity prices continue to rally and the cost of imported materials impacts earnings, we expect to see increasing use of surrogate products within food items. Cellulose is certainly in higher demand and we expect this to continue," Michael A. Yoshikami, chief investment strategist at YCMNet Advisors, told TheStreet.
Manufacturers use cellulose in food as an extender, providing structure and reducing breakage, said Dan Inman, director of research and development at J. Rettenmaier USA, a company that supplies "organic" cellulose fibers for use in a variety of processed foods and meats meant for human and pet consumption, as well as for plastics, cleaning detergents, welding electrodes, pet litter, automotive brake pads, glue and reinforcing compounds, construction materials, roof coating, asphalt and even emulsion paints, among many other products.
Cellulose adds fiber to the food, which is good for people who do not get the recommended daily intake of fiber in their diets, Inman said. It also extends the shelf life of processed foods. Plus, cellulose's water-absorbing properties can mimic fat, he said, allowing consumers to reduce their fat intake.
Perhaps most important to food processors is that cellulose is cheaper, he added, because "the fiber and water combination is less expensive than most other ingredients in the [food] product."
Indeed, food producers save as much as 30% in ingredient costs by opting for cellulose as a filler or binder in processed foods, according to a source close to the processed food industry who spoke with TheStreet on the condition of anonymity.
Inman said that in his 30 years in the food science business, he's seen "an amazing leap in terms of the applications of cellulose fiber and what you can do with it." He said powdered cellulose has a bad reputation but that more of his customers are converting from things like oat or sugar cane fibers to cellulose because it is "snow white in color, bland and easy to work with."
Most surprising, said Inman, is that he's been able to remove as much as 50% of the fat from some cookies, biscuits, cakes and brownies by replacing it with powdered cellulose -- but still end up with a very similar product in terms of taste and appearance.
"We're only limited by our own imagination," Inman told TheStreet. "I would never have dreamed I could successfully put 18% fiber in a loaf of bread two years ago."
He said cellulose is common in processed foods, often labeled as reduced-fat or high-fiber -- products like breads, pancakes, crackers, pizza crusts, muffins, scrambled eggs, mashed potato mixes, and even cheesecake. Inman himself keeps a box of Wheat Thins Fiber Selects crackers, manufactured by Kraft Foods(KFT)' Nabisco brand, at his desk, and snacks on them daily, clearly unmoved by the use of wood pulp in its ingredients.
"Most consumers would be shocked to find these types of filler products are used as substitutes for items that they believe are more pure," Yoshikami said. "We would expect increased disclosure to follow increased use of cellulose and other filler products as the practice increases in frequency."
To that end, TheStreet rounded up a list of popular foods that use cellulose. It's by no means an exhaustive list, and we suggest consumers read food labels carefully. Still, click through the slideshow to find out if your favorite foods contain the "all-natural" wood pulp...
(Please note the following lists are not exhaustive. Some companies list all ingredients on their Web sites. Other items were found in a local grocery store near TheStreet's headquarters on Wall Street in New York City.)
Pepsi(PEP) uses cellulose in the following products:
Aunt Jemima Frozen Blueberry Pancakes
Aunt Jemima Original Syrup
Kellogg(K) uses cellulose in the following products:
MorningStar Farms Chik'n Nuggets
MorningStar Farms Chik Patties Original
MorningStar Farms Buffalo Wings Veggie Wings
Eggo Nutri-Grain Blueberry waffles
Eggo Strawberry Waffles
Eggo Blueberry Waffles
Cinnabon Pancakes Original
Cinnabon Pancakes Caramel
Cinnabon Snack Bars Original
Weight Watchers International (WTW) uses cellulose in the following products:
Vanilla Ice Cream Sandwich
English Toffee Crunch Ice Cream Bar
Giant Cookies & Cream Ice Cream Bar
General Mills(GIS) uses cellulose in the following products:
Fiber One Ready-To-Eat Muffins (Wild Blueberry & Oats; Mixed Fruit, Nuts & Honey; Apple Cinnamon Bun, Banana Chocolate Chip)
Fiber One Original cereal
Fiber One Chewy Bars (90 Calorie Chocolate, 90 Calorie Chocolate Peanut Butter)
Fiber One baking products (Apple Cinnamon Muffin Mix, Banana Nut Muffin Mix, Blueberry Muffin Mix)
Pillsbury Moist Supreme Classic Yellow Cake Mix
Pillsbury Mozzarella and Pepperoni Pastry Puffs
Pillsbury Cheese and Spinach Crescent Pastry Puffs
Pillsbury Artichoke and Spinach Bread Bowl Bites
Pillsbury Buffalo Chicken Crescent Pastry Puffs
Pillsbury Cream Cheese and Jalapeno Bread Bowl Bites
Betty Crocker whipped frostings (Strawberry Mist, Chocolate, Cream Cheese)
Betty Crocker Vanilla Amazing Glazes
Duncan Hines Cake Mixes (Devil's Food Cake Mix, Dark Chocolate Fudge, Strawberry Supreme, Fudge Marble, Classic Yellow, French Vanilla)
McDonald's (MCD) uses cellulose in the following products:
Fish Filet Patty
McRib
Premium Caesar Salad
Chipotle BBQ Snack Wrap
Premium Southwest Salad with Grilled Chicken
Southern Style Chicken Biscuit
Strawberry Sundae
Natural Swiss Cheese (used in McRib, Quarter Pounder with Cheese, Angus Mushroom & Swiss, Premium Grilled Chicken Club Sandwich, Premium Crispy Chicken Club Sandwich, Angus Mushroom & Swiss Snack Wrap)
Shredded Cheddar/Jack Cheese (used in Ranch Snack Wrap (Crispy and Grilled), Honey Mustard Snack Wrap (Crispy and Grilled), Chipotle BBQ Snack Wrap (Crispy and Grilled), Premium Southwest Salad with Grilled Chicken, Premium Southwest Salad with/without Crispy/Grilled Chicken, Premium Bacon Ranch Salad with/without Crispy/Grilled Chicken, McSkillet Burrito with Sausage)
Barbeque Sauce
Sweet 'N Sour Sauce
Shredded Parmesan Cheese (used in Premium Caesar Salad with/without Crispy/Grilled Chicken)
Biscuit (Large and Regular) (used to make Bacon, Egg & Cheese Biscuit, Sausage Biscuit with Egg, Sausage Biscuit, Southern Style Chicken Biscuit, Big Breakfast with/without Hotcakes)
Vanilla Reduced Fat Ice Cream (used in Strawberry Sundae, Hot Caramel Sundae, Hot Fudge Sundae, McFlurry with M&M'S Candies, McFlurry with OREO Cookies, Chocolate Triple Thick Shake, Strawberry Triple Thick Shake, Vanilla Triple Thick Shake)
Sugar Free Vanilla Syrup (used in Premium Roast Coffee, Espresso)
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