Posts Tagged “Delta”
If these Texas produce firms remain in business, produce haulers should be extra cautious.
Two produce companies in San Antonio, TX are making news with multiple sources regarding possible bankruptcy fillings. The operations in question are Delta Produce LP and Superior Tomato and Avocado. The firms, which are believed to be related, are facing compliants from the Perishable Agriculture Commodities (PACA). As of December 29th around $600,000 in PACA claims have been filed by other produce firms, which are owed monies.
The PACA comes under the umbrella of the U.S. Department of Agriculture and requires U.S. produce companies buying or selling fresh produce in commercial quanities to be licensed by USDA. This helps to provide protection to the produce industry when dealings between produce companies cannot be resolved between themselves.
Trucking is not afforded these same protections and often have no recourse when monies are owed, except through the courts. This can be costly, not to mention the inconvenience of fighting a company for money who may be located in a different state thousands of miles away. Also, PACA protected produce companies get their monies first, if any is left in a bankruptcy.
Bill Martin of haulproduce.com for decades has been calling for trucker protections under the PACA.