Posts Tagged “United Fresh Produce Association”
by Produce Marketing Association
Newark, Del. – Richard Owen, the vice president of Global Membership & Engagement of the Produce Marketing Association, issued the following statement regarding the conclusion of negotiations between the United States, Canada and Mexico to update the free trade agreement among the three countries:
“The members of the Produce Marketing Association are pleased that negotiators have concluded discussions on an updated United States-Mexico-Canada Agreement (USMCA) on trade. A single agreement is the best way to address the extensive relationships and investments in produce and floral production and sales that have developed in North America. This agreement is consistent with our overarching goals of free and fair trade and we hope that the new agreement will be quickly ratified by all three countries.
We are encouraged by the certainty that this new agreement provides to companies doing business in North America. The 6-year review and 16-year duration of the agreement give confidence for future investment to further build and expand trade among the countries as our members work to supply consumers’ expectations of a vast range of fresh produce and floral products year-round. Some of our members sought provisions on seasonal products not included in the final agreement, and we appreciate commitments from negotiators to continue to examine opportunities to address their concerns.”
About Produce Marketing Association
Produce Marketing Association (PMA) is the leading trade association representing companies from every segment of the global produce and floral supply chain. PMA helps members grow by providing connections that expand business opportunities and increase sales and consumption.
By United Fresh Produce Association
“United Fresh is encouraged by the news that a revised tri-lateral agreement has been reached between the United Stated, Mexico and Canada. The strong relationships our members have established between these three countries have helped enable the growth of the fresh produce industry over the last quarter century. Coming on the heels of United Fresh’s annual Washington Conference and the inaugural Global Trade Forum in which this issue was front, and center and where attendees heard directly from key U.S. negotiators, the announcement of this revised agreement highlights the importance of our continued engagement on key policy issues by those in the produce industry. United Fresh looks forward to working with Congress to achieve the swift approval of this new agreement.”
It’s common knowledge and has been for decades that the majority of truckers, especially long haul truckers oppose have higher weight limits since the last weight increase from about 73,280 pounds to 80,000 pounds occurred 30 years ago. The primary reasons drivers are against putting more weight in their trailers are pretty obvious.
First of all, the added weight results in greater wear and tear on their equipment. Added weight also results in increased consumption of diesel fuel and less miles per gallon. Equally important is the guys and gals behind the wheel of big rigs realized hauling more weight with the negatives just mentioned, certainly doesn’t mean they will be receiving more money in the form of higher freight rates.
This said, the rest of the information below is mostly what is coming from the other side of this issue.
New federal legislation that would give states the option to raise the Interstate system truck weight limit to 91,000 pounds for vehicles with six axles is supported by 32 organization such as United Fresh Produce Association, the National Potato Council and groups representing other industries such as food, manufacturing, beverage and forestry industries.
The group sent a letter in support of heavier trucks to Chmn. Bill Shuster (R-Pa.) and Ranking Member Peter DeFazio (D-Ore.) of the U.S. House Transportation and Infrastructure Committee.
The legislation was introduced by U.S. Rep. Reid Ribble, R-Wis., and is called the Safe and Efficient Transportation Act (H.R. 3488, known as SETA). Supporters claim the bill that is consistent with safety concerns and say heavier trucks won’t harm highways and bridges. They also state the legislation would result in fewer trucks to move more product in a safe way, thus reducing truck traffic.
With nearly 70% of all U.S. freight moved by trucks and total freight tonnage expected to grow nearly 25% over the next 10 years. This legislation claims it will increase truck capacity by 13% without adding more vehicles and ultimately reduce energy use and greenhouse gas emissions.
They also state the higher weight limit would reduce transportation costs for fresh produce.
“With trucking being the overwhelmingly dominant mode of domestic transport for fresh fruits and vegetables, it is imperative that our industry be able to move commodities by promoting efficiency and cost-savings, as well as safety and maintaining infrastructure as much as possible,” read a statement issued by the United Fresh Produce Association.
This will be a key component of the transportation message that United Fresh will deliver to Congress at the Sept. 28-30 Washington, D.C. Conference by United Fresh.
The letter previously mentioned referenced a recent study revealing a 91,000 pound truck with six axles can stop at the same distance traveling at 60 miles per hour as its 80,000 pound counterpart with five axles. NPC believes the study proves that truck weight reform is a commonsense and safe approach to lower the number of truck miles driven, improve highway safety and reduce wear to pavement. Rep. Ribble plans to offer H.R. 3488 as an amendment to the transportation act for highway funding.
WASHINGTON, D.C. – The United Fresh Produce Association announces the release of the Broker/Shipper Transportation Agreement template. Crafted by members of the United Fresh Supply Chain Logistics Council in partnership with the Transportation Intermediaries Association (TIA), the template is designed for members’ use when entering into the specific business relationship between shipping companies and third party transportation providers.
“This broker:shipper contract is the first of its kind to serve the produce industry,” said Ken Lund, Vice President, Support Operations, Allen Lund Company, Inc., “This template will save those Association members who use it many hours. It was put together by experts who worked hard to create a fair document to allow the parties to do more business together. I am very proud of the United Fresh Produce Association as they continue to provide tools for membership to help them be more effective and profitable.”
“In today’s age, transportation contracts are a necessity,” said James Lee, Vice President, Legal Affairs, Chop Tank Transport. “As produce is an exempt commodity, and produce transportation is unregulated per se, the importance of United Fresh Produce Association and TIA coming together to create a fair and ethical model contract to be used by both shippers and logistics providers cannot be stressed enough. I am proud to be even a small part of the membership from both organizations who contributed their time, energy, and expertise in order to make this happen.”
The Broker/Shipper Transportation Agreement template is a free resource for United Fresh members and can be downloaded at http://www.unitedfresh.org/resources. For more information or questions about the template, contact Dan Vaché, Vice President, Supply Chain Management and staff liaison to the United Fresh Supply Chain Logistics Council at firstname.lastname@example.org or 425.629.6271.
A presentation on consumer trends by the Nielsen Perishables Group seems to contradict the widely held belief hat fresh produce consumption is just not increasing on a per-capita basis. The talk was presented recently at the annual United Fresh Produce Association Convention in Chicago.
Jonna Parker, a director for that organization, said over the past five years, dollar volume of fresh produce has increased about 25 percent while unit volume is up 10-13 percent.
Of the top 10 growth items in the grocery sector, six are fresh produce, including two value-added products, specialty fruit, avocados, pineapples and cooking greens, with that last category topped by kale, she said.
Statistics show that annually the average American household spends $338 on fresh produce, compared to only $299 on meat, which comes in second place in dollar sales.
While most customers claim produce is the most important department in picking a store, there are still many trips to the market that do not include a produce purchase. More than half of the times that a person goes to the supermarket they do not put a produce item in their basket.
Currently, the average shopper makes about 40 to 50 supermarket trips per year. Parker said higher-income households (in excess of an annual income of $100,000) are far more prolific produce buyers. They make 51 trips per year and purchase about $454 worth of fresh produce. The least affluent consumers make about 40 trips per year to the supermarket and spend just $221 on produce.
Orlando, FL – The Transportation Intermediaries Association (TIA) is pleased to announce the release of the TIA & United Fresh Produce Association’s joint Broker-Shipper contract. This is the latest model contract offered exclusively to TIA members. All of TIA model contracts are exclusive to TIA members and can be found under the member’s only section of the TIA website.
The two organizations began working on the model agreement over six months ago with a small working group consisting of members of both organizations. On the importance of the model agreement and both organizations working together, TIA and United Fresh member Kenny Lund notes:
“Shippers and logistics companies worked together to create a model contract that is fair to both parties. Now, United Fresh Produce Association and TIA have taken it to the next level by adapting the model contract for produce transportation. Once again it is a balanced and it will save member companies time and money when they use it”
“I am very proud of the time commitment by members of both associations to put this model contract together. The level of expertise in the working groups was impressive and has led to a helpful document.”
TIA member James Lee, Vice President, Legal Affairs for Choptank Transport speaks about the importance of TIA and United Fresh Produce Association creating this model agreement:
“In today’s age, transportation contracts are a necessity. As produce is an exempt commodity, and produce transportation is unregulated per se, the importance of United Fresh Produce Association and TIA coming together to create a fair and ethical model contract to be used by both shippers and logistics providers cannot be stressed enough. I am proud to be even a small part of the membership from both organizations who contributed their time, energy, and expertise in order to make this happen.”
In addition to the TIA-United Fresh Produce Association Broker-Shipper model agreement, TIA is pleased to announce updated versions of the Co-broker, Broker-IMC, and Broker-Forwarder model agreements.
TIA Contracts Subcommittee Chairman Chip Smith, Chief Operating Officer for Bay and Bay Transportation speaks about the importance of TIA developing these model contracts.
“TIA model contracts help level the playing field for the contracting parties by eliminating over-reaching clauses commonly promoted by one side or the other while comprehensively covering all the critical contract elements. By promoting industry best practices, we help advance the professionalism and fair trade for all.”
Transportation Intermediaries Association (TIA)
TIA is the professional organization of the $162 billion third party logistics industry. TIA is the only organization exclusively representing transportation intermediaries of all disciplines doing business in domestic and international commerce. TIA is the voice of transportation intermediaries to shippers, carriers, government officials and international organizations.
Cherries posted the highest growth in the fruit category, with dollar sales increasing 16.9 percent and volume increasing 36.7 percent, according to United Fresh Produce Association Q3 2014 edition of the FreshFacts on Retail report, which examines overall retail trends in produce. Overall findings show fruit and vegetable volume remaining steady compared to the previous year, while dollar sales increased slightly due to a small increase in average retail price, during the quarter. Produced in partnership with the Nielsen Perishables Group and sponsored by Del Monte Fresh Produce, FreshFacts on Retail measures retail price and sales trends for the top 10 fruit and vegetable commodities, as well as value-added, organic and other produce categories. The Q3 2014 report also features a more detailed look at the berries, citrus and packaged salad categories, as well as produce in the deli. Highlights of Q3 FreshFacts on Retail In addition to cherries posting the highest growth in the fruit category, the report’s other key findings revealed:
- Packaged salad posted the highest growth in the vegetable category, with a 9.1 percent increase in dollar sales and volume increasing 6.8 percent.
- Value-added fruits posted average weekly dollar and volume sales growth of 10.5 percent and 3.1 percent, respectively.
- Average weekly dollar and volume sales for snacking vegetables both increased by double digits compared to Q3 2013.
- Shoppers continued to seek out organic produce, resulting in significant dollar and volume sales increases for organic fruits and vegetables.
The Q3 quarterly FreshFacts report also features a spotlight on consumer demand of value-added convenience produce items. Multiple convenience items experienced double-digit growth, including fresh-cut fruits, mixed melons, snacking vegetables and value-added vegetable side dishes.
The study shows that during this quarter, fruit and vegetable volume remained steady compared to the previous year, while dollar sales increased slightly due to a small increase in average retail price. The report, produced in partnership with the Nielsen Perishables Group and sponsored by Del Monte Fresh Produce, measures retail price and sales trends for the top 10 fruit and vegetable commodities, as well as value-added, organic and other produce categories.
It also features a more detailed look at the berries, citrus and packaged salad categories, as well as produce in the deli. Highlights of this quarter’s report include the following:
•Cherries posted the highest growth in the fruit category, with dollar sales increasing 16.9 percent and volume increasing 36.7 percent
•Packaged salad posted the highest growth in the vegetable category, with increased dollar sales 9.1 percent and volume increasing 6.8 percent
•Value-added fruits posted average weekly dollar and volume sales growth of 10.5 percent and 3.1 percent, respectively
•Average weekly dollar and volume sales for snacking vegetables both increased by double digits compared to Q3 2013
•Shoppers continued to seek out organic produce, resulting in significant dollar and volume sales increases for organic fruits and vegetables.
This quarter’s FreshFacts report also features a spotlight on consumer demand of value-added convenience produce items. Multiple convenience items experienced double-digit growth, including fresh-cut fruits, mixed melons, snacking vegetables and value-added vegetable side dishes.
WASHINGTON, DC – United Fresh President & CEO Tom Stenzel issued this statement in response to a national poll of parents’ opinions of school lunch standards released today by The Pew Charitable Trusts, The Robert Wood Johnson Foundation, and the American Heart Association.
Parents nationwide want their children to have healthier meals and snacks at school, according to the poll. An overwhelming 91 percent of parents support requiring schools to include a serving of fruits and vegetables with every meal and more than 72 percent of parents support national nutrition standards for school meals and snacks sold in schools.
This new national poll underscores the strong support by parents for the new healthier school meal standards that require more fresh fruits and vegetables. Their voice joins public health authorities, the National PTA, teachers and others in their steadfast support for healthier school foods.
The childhood obesity crisis is real – with early onset of diabetes and the enormous burden of healthcare costs on society. Moms and dads know the challenge of helping our kids’ make healthier choices – but we don’t opt out of trying. We put our kids’ health first and Congress must continue to do the same. There can be no going back to water down the modest requirement that children take at least one-half cup of fruit or vegetable at breakfast and lunch. Instead, we should be looking for ways to reach our public health goal of half the plate being fruits and vegetables, not just half a cup.
The national poll was commissioned by The Pew Charitable Trusts, The Robert Wood Johnson Foundation, and the American Heart Association and was conducted by Hart Research Associates and Ferguson Research between June 19 and 28, 2014 among registered voters who are parents of public school children.
Founded in 1904, the United Fresh Produce Association brings together companies across every segment of the fresh produce supply chain, including growers, shippers, fresh-cut processors, wholesalers, distributors, retailers, foodservice operators, industry suppliers and allied associations. We empower industry leaders to shape sound government policy. We deliver the resources and expertise companies need to succeed in managing complex business and technical issues. We provide the training and development individuals need to advance their careers in produce. And, through these endeavors, we unite our industry with a common purpose – to build long-term value for our members and grow produce consumption. For more information, visit www.unitedfresh.org or call 202-303-3400.
These are some of the questions that were answered by Sal Marino, vice president of CargoNet, who is based in New Jersey. He was speaking at the 2014 United Fresh Produce Association’s annual convention and exposition in Chicago recently.
The leading target for thieves are food and beverages, accounting for 25 percent of cargo thefts, followed by electronics at 14 percent. Others include household goods (11 percent), apparel and accessories (10 percent), containers (9 percent), metals (8 percent), with miscellaneous items making up the balance.
Leading America in cargo thefts is the state of California (23 percent), followed by Texas (19 percent) and Florida (10 percent).
When is cargo theft most likely to occur? 21 percent of the incidents happen on Friday, 19 percent on Saturday and 14 percent on Sunday. Marino says the weekends are more risky because a lot of trucks have to wait to get unloaded in the upcoming week. It also depends where the truck is parked over the weekend.
Marino said most thefts occur at warehouses and distribution centers. Truck stops ranked fourth as locations for cargo theft.
When it comes to cargo theft of produce items, nuts make up a third of the top 10 items. Almonds ranked first as the primary target for theft, followed by tomatoes, avocadoes, grapes, apples, bananas, mangoes, pineapple, pistachios and walnuts.
When a cargo theft occurs, Marino said it is very important report the theft to authorities as soon as possible and get the word out about the loss. The more specific details you provide the better.
It was in early June that truck broker Kenny Lund saw the spot market on produce freight rates hit $10,000 for loads between California and the East Coast. While part of the reason was seasonal volume increases for fresh fruits and vegetables, and truck availability, he saw other factors contributing to the rise in rates.
Lund was speaking at the 2014 convention and exhibition of the United Fresh Produce Association in Chicago June 11th.
The vice president, support operations, for the Allen Lund Co. Inc. of LaCanada, CA cited the recently completed 72-hour U.S. Department of Transportation check points held across the country. This was delaying truck schedules.
Another factor was the CARB (California Air Resources Board) regulations, which Lund said were resulting in more truckers refusing to come to California. It takes a minimum investment by truckers of $8,000 to comply with CARB regulations.
“It is impossible to be compliant and move significant amounts of refrigerated product into and out California,” Lund stated
He noted less than 30 percent of refrigerated carriers are compliant with CARB and truckers simply do not have the money to become compliant.
In an effort to assist produce haulers, he noted Allen Lund Co. provides $1.5 million a week in advances to drivers.
Lund, who has been with company founded by his father and namesake 25 years, said there were over 50,000 carriers in the United States, but the average trucking company has less than six trucks.
“90 percent of the trucking companies have six or less trucks,” he noted. At the same time the percentage is very low of trucks having team drivers.
Getting more specific, Lund said refrigerated carriers are dominated by owner operators and companies with less than five trucks.
As for CARB, Lund said he has “fought tooth and nail with them” (California bureaucrates). Since the CARB rules were implemented in 2004 fines have been extended to brokers, shippers, receivers and specifically to drivers.
“It (CARB rules) has driven a lot of drivers away from California,” Lund stated.
He also was critical of hours-of-service regulations, and particularly the 34-hour restart. While the restart requirement may be okay for local trucking, it is not good for long haul drivers.
During a question and answer session, Lund said the reason more large refrigerated carriers do not haul produce is because “it comes down the driver having a stake in that load. I see a lot of large carriers get in and out of hauling produce. It comes down to not having enough good drivers,” Lund concluded.