A new report shows that Florida’s seaports are poised to recover from a loss of $14 billion over last year.
Leading the recovery is the strong growth in cargo volumes that started in the second part of last year and the recent gradual restart of the cruise industry.
The value of trade decreased more than 16 percent in 2020, according to the annual report from the Florida Seaports Transportation and Economic Development Council (FSTED).
“We knew it was going to hit cruise — obviously with that being shut down — but cargo was a little bit of a rude awakening, to see the impact on that,” Michael Rubin, president and CEO of the Florida Ports Council said.
“The good news, again, is that cargo is back up, and it seems to be doing well.”
The report confirms that most of the declines came in the first part of the year due to the uncertainty around COVID-19.
The recovery occurred in the fall, but most of Florida’s ports experienced declines for the year.
Breakbulk cargo experienced an overall year-over-year increase though, growing 8.8 percent to 7.8 million metric tons (MT) last year.
Despite the current challenges to cruise operations in Florida, the report concludes that the fundamentals of the cruise industry remain strong.
They believe the combination of pent-up demand and widespread vaccinations will result in a full, long-term recovery for the industry.
“With $3.3 billion in capital improvements at Florida’s seaports identified over the next five years, we expect our ports to continue playing a leading role in job creation and economic growth,” FSTED Program Administrator Michael Rubin said.
Among the projects slated are rehabilitation and repairs for berths, construction of new cruise and cargo terminals, and channel and harbor deepening efforts.
Florida’s governor also announced that he plans to devote $250 million from the federal stimulus monies to the ports.
Goodlettsville, Tenn. – Dollar General (NYSE: DG) today announced an operational partnership with Feeding America®, as well as a $1 million donation to the organization, to provide access to food resources in rural and otherwise underserved communities and to proactively address food insecurity across the country. The Company also plans to offer produce in up to 10,000 communities over the next several years, with a meaningful number of those stores in current United States Department of Agriculture (USDA) defined food deserts.
“Food insecurity impacts communities across the country, and given that Feeding America projects that 42 million people may face hunger as a result of the pandemic, we want to be part of the solution for those facing this issue,” said Todd Vasos, Dollar General’s CEO. “With our extensive store footprint, often in communities others have chosen not to serve, Dollar General is uniquely positioned to help combat hunger by offering convenient access to a variety of nutritious foods at affordable prices. Our work with Feeding America builds on these efforts by providing in-kind donations of perishable foods to help nourish and feed those in need. Together with Feeding America and local community food banks, we look forward to making a measurable impact in the fight against food insecurity.”
Produce and Healthier Foods Goals With approximately 75 percent of the U.S. population living within five miles of one of its general merchandise stores, millions of Americans rely on Dollar General to provide convenient, affordable access to the everyday products they need and want, including the components of a nutritious meal such as milk and dairy products, bread, frozen and canned vegetables, canned fruits, grains and more. Dollar General also has partnered with a registered nutritionist to create DG Better For You meals, which provide healthier recipes for each meal of the day with items sourced from DG stores, and created the Good & Smart® private brand to provide yet another healthier option to customers.
The Company currently offers fresh produce in more than 1,300 stores, providing the top 20 items typically sold in grocery stores and approximately 80 percent of produce categories carried by most grocers. Dollar General plans to expand this offering in up to 10,000 stores, including a meaningful number of stores located in food deserts.
Feeding America Partnership In partnering with Feeding America, Dollar General is excited to bring together the nation’s largest domestic hunger-relief organization and the nation’s largest retailer by store count to positively impact food insecurity concerns, especially in rural America.
Dollar General’s work with Feeding America will be highlighted by a $1 million donation, as well as in-kind donations of perishable and nutritious food to community food banks. At full operational capacity, Dollar General seeks to provide up to 20 million meals each year*. This will not only help alleviate hunger in the communities it calls home, but also nearly double the number of stores in which Feeding America services.
The partnership further aims to enhance Feeding America’s rural hunger initiatives and provide more food donations to 95 percent of member food banks across the country. Additionally, it aims to support otherwise underserved communities with valuable food resources through Dollar General’s unique real estate footprint with approximately 75 percent of its stores serving communities of 20,000 or fewer individuals.
About Feeding America Feeding America® is the largest hunger-relief organization in the United States. Through a network of 200 food banks and 60,000 food pantries and meal programs, we provide meals to more than 40 million people each year. Feeding America also supports programs that prevent food waste and improve food security among the people we serve; educates the public about the problem of hunger; and advocates for legislation that protects people from going hungry. Visit www.feedingamerica.org, find us on Facebook or follow us on Twitter.
About Dollar General Corporation Dollar General Corporation has been delivering value to shoppers for more than 80 years. Dollar General helps shoppers Save time. Save money. Every day.® by offering products that are frequently used and replenished, such as food, snacks, health and beauty aids, cleaning supplies, basic apparel, housewares and seasonal items at everyday low prices in convenient neighborhood locations. Dollar General operated 17,426 stores in 46 states as of April 30, 2021. In addition to high-quality private brands, Dollar General sells products from America’s most-trusted manufacturers such as Clorox, Energizer, Procter & Gamble, Hanes, Coca-Cola, Mars, Unilever, Nestle, Kimberly-Clark, Kellogg’s, General Mills, and PepsiCo. Learn more about Dollar General at www.dollargeneral.com.
Wisconsin potato shipments got underway in the central part of the state a few days early in August for the 2021 crop.
Shippers are reporting acreage and volume will not change significantly from last season, and the crop outlook is generally favorable, though weather factors could influence the outcome of the crop through the end of harvest this fall.
The Wisconsin Potato & Vegetable Growers Association of Antigo WI expects acreage to stay flat with some growers making slight fluctuations between certain varieties and others shifting slightly between reds and yellows.
Alsum Farms of Friesland, WI expect almost identical acreage compared to a year ago. Acreage of red potatoes was cut back a little, increased on yellow-flesh potatoes and was about steady for russets.
Yields may be average this year, limited by early season cooler weather and extreme heat in June.
Alsum Farms, began shipments in early August, a couple of days later than a typical harvest start because of the hot weather in early June.
Bushman’s of Rosholt, WI reports a good looking good crop. The company expects an average crop.
The global produce industry is a fascinating and entirely unique business model, with arguably one of the most delicate operational chains that spans global markets and meticulously juggles countless daily moving pieces. The industry is also no stranger to incident response, troubleshooting, and navigating large-scale challenges whether weather-related, a hiring or labor challenge, government policy adjustments, or other such challenges. All this to say this is an incredibly efficient and nimble industry that is arguably very capable of pivoting quickly when faced with new challenges.
The industry is currently facing one of the biggest global challenges we have experienced to date. It has everyone in the supply chain from growers to customers asking, “where in the world is my container?”
It is well known that Covid-19 has disrupted the entire global logistics chain, effecting every industry and every business around the world. Simply put, the global supply market was unprepared for the surge of demand for virtually every product. Whether Pelotons, electronics, home furnishings, shoes, gardening supplies, you name it, people were seeking to buy. Demand went through the roof and the supply chain was caught off guard and playing catch up.
“The supply demand was unprecedented. It was like taking back-to-school and holiday predictable demand periods, putting them together, and that still didn’t properly represent demand levels,” shares Tim Clarke, President of Vanguard International USA.
Demand for products out of the Greater Asia regions has been so strong that freight rates can be upwards of $20,000 for a container on the spot market. In many instances this represented a quadrupling of ‘normal’ rates. Rising demand for shipping containers was so strong that in many cases steamship lines would load empty containers on vessels just to get them back to Asia as fast as possible to be reloaded.
“The demand has just continued to push freight costs up and up and to date we still have not seen a ceiling,” comments Clarke.
“One carrier source we work with shared that the demand on the frozen food industry side of things is so high they (carrier) are being offered $6,000 over their current rate and noted they have not found the top of what price will be offered. Luckily, they have continued to work with us within our given contracts because they are looking at our long-term relationship, but this is not the case in every scenario,” shared Clarke.
Looking at the USA market, we are seeing first-hand the supply chain infrastructure completely break down. As of the last week of July there were 3,000 full containers sitting on the rail lines just outside Chicago that caused train traffic to completely halt. The containers were unable to be unpacked because storage facilities are so full there is no available warehouse space. Now these containers that should be on their way via train or truck are serving as expensive floating or stuck-in-place temporary storage solutions.
Not only are we seeing containers sitting empty or floating full waiting out the backlog, but now we are also seeing a shortage of container chassis. Containers normally come off ships, but their return is so delayed that they cannot take the containers off the boat, and when they do, there is no guarantee a chassis will be available to move it. Industry truckers are hamstrung by long weight times at ports and the shortage of equipment. You need a chassis to pull a container to the point of loading.
The result is that the once clinically dialed supply-on-demand process that defined the industry is seeing major disorganization, delays, and price surges, ultimately resulting in customers asking, “where in the world is my container?”
The added challenges when the global movement of perishables is involved
To help provide some current ‘color’ – at Vanguard International the focus is quickly turning to the upcoming California grape season. USA Citrus is wrapping up, and the California stone fruit season is in the latter half. With the perishable nature of fruits and vegetables shipping schedules must be precisely maintained to manage growers’ risk and customers’ demanded arrival dates – think ETA integrity!
Producers are given specific deadlines and always know the window of time that product can be delivered and when containers need to be returned. Those once committed and reliable timelines are becoming less and less reliable and, in many cases, negatively affecting the quality of product on arrival.
“Carriers will actually change the dates (earlier and later) with little to no notice and there is literally nothing we can do about it,” shares Tim Clarke, President of Vanguard International USA.
“Our options when this happens looks like scrambling for another vessel, plugging into the container yard, and dealing with the additional charges, or in some cases we have to work with our growers to take fruit back and absorb all the charges associated with that.”
When we look at the kickoff of the California grape season as usual production starts in Mexico, then moves to the desert of California, and then transitions to the San Joaquin Valley. With the current port challenges, we outlined in detail in the first part the desert producers set in stone that they simply would not ship by sea. As a result, for the first shipments this year, Vanguard pivoted to air shipments.
“The volumes for this year’s grape season and quality are all looking very strong, so we are continuing to explore the best transport options to safely get the product to our customers and safeguard our growers’ interests,” says Clarke. “It is safe to say everyone is watching the situation closely and are on pins and needles, including our sales teams, our inspectors, our growers, and our customers. We are in unchartered waters right now.”
Central to the pivot to air is the uncertainty around vessel schedules and the lack of equipment. However, shipping by air drives up landed prices significantly which is of course going to be passed on along the chain and ultimately to consumers. As you might imagine this has a huge impact on the volumes that can be shipped and sold. As production ramps up we are seeing growers more accepting of sea shipments on direct routes regardless of the challenges – meaning the container does not need to be transloaded onto a different vessel to reach its final destination.
It isn’t just the exporters and growers that are experiencing challenges. The ripple effect of the current situation is being felt at every link in the supply chain. Clarke shared an example of the situation that the local trucking industry is experiencing.
A common route from the Port of Long Beach to Exeter, California and back is something local truckers can usually do two times per day. The normal wait time to load a container, chassis, and a generator set, to keep refrigeration at the proper temperature, would be on the conservative side, two hours. The wait times now are on average 6- 8 hours, meaning only 1 trip per day. This cuts revenue by 50% for an industry that cannot afford to see those margins reduced.
To share just one example – a container of mangoes and pineapples from Taiwan to Vladivostok, Russia should take six days. With all the many challenges a recent shipment took 48 days. All you need to do is take a quick look in YOUR fruit bowl to know how devastating the impact of this can be.
While customers are still asking, ‘where in the world is my container?’ when you finally do get a container of goods the price is sky-high. Overall, we are seeing prices increasing from $4,500 to $12,000 to ship from point A to point B. At the end of the day, that increased cost is going to impact the final price of goods to the consumer, which consumers are already seeing and expecting to surge even higher.
As industry leaders are working around the clock to solve the supply chain challenges everyone is facing, another massive domino is quickly approaching. Not only are back-to-school supplies attempting to be delivered, but retailers are also seeing delays in shipments and are placing holiday orders early. So back-to-school and the holiday buying season is stacking on top of an already very fragile global system causing only more pressure and rising costs. Even with the bulk of these items being non-perishable, the problem is simply the congestion this will create for all industries.
“I’ve had many conversations with industry leaders and the general consensus is that the pressure we are experiencing on our supply chain will likely not be relieved until the second quarter of 2022,” shared Clarke. “But then again, we know that there can be another unknown domino that changes that prediction just around the corner. I’ve learned to only expect the unexpected right now.”
The Canadian retail industry reviews market share numbers for major supermarket operators and examines the growth potential for U.S. fresh produce exports, according to a new report.
Published by the USDA’s Foreign Agricultural Service, Canada is the largest overseas market for U.S. high-value, consumer-oriented products, with exports reaching nearly $17 billion in 2020. This represents 25% of the total value of U.S. consumer-oriented exports worldwide.
The report said:
Canada’s retail market is mature and largely consolidated, with five retailers comprising more than 75% of the total retail grocery market;
The remainder of the market is represented by smaller regional retail chains that include 6,800 independents and 27,000 small and independent convenience stores;
Approximately 90% of Canada’s nearly 38 million consumers live within 100 miles of the U.S. border;
The top three consumer-oriented agricultural product categories were bakery goods, cereals, & pasta ($2.2 billion), fresh vegetables ($1.9 billion), and fresh fruits ($1.6 billion);
U.S. products dominate in imported goods in the Canadian market, but recently implemented Canadian trade agreements with 3rd country trading blocs – CETA (Canada-European Union Comprehensive Economic and Trade Agreement) and the CPTPP (Comprehensive and Progressive Agreement for Trans-Pacific Partnership) – have contributed to increased agricultural export competition in the Canadian market;
By surface area, Canada is the second-largest country, but over 80% of Canadians live in the country’s 15 largest cities;
In 2020, Canada’s food and beverage retail sales surged by a record 10% from the previous year – reaching $109 billion, including alcohol sales of $20 billion – as COVID-19 response measures drove double digit losses in food service;
Consumer demand and established distribution channels with U.S. suppliers continue to fuel produce sales growth, with Canadians spending 21% more on fruits and vegetables than U.S. consumers;
Online sales in 2020 were up 105% over 2019;
Investment in e-commerce will be vital to keeping up with consumer demand, and several of Canada’s largest retailers announced new supplier fees in 2020 to offset the cost of fulfillment center investments;
Unable to develop online fulfillment capabilities independently, many smaller grocery retailers also partnered with delivery platforms (e.g., Instacart) or offered in-store pick-up services;
The rise in e-commerce has also led to an increase in data and loyalty memberships;
The success of loyalty programs has been attributed to the customization of promotional outreach (e.g., newsletters, coupons) to targeted customer demographics. KPMG’s 2019 Customer Loyalty Report underscored this fact before the pandemic, noting how Canadian consumer loyalty programs like Air Miles, Triangle Rewards, and P.C. Optimum are enmeshed in Canadian consumer culture.
Canada’s leading grocery retailers continue to consolidate ownership of the segment and increase their bargaining power relative to suppliers, enabling retailers to set more favorable terms, fees, and requirements.
The consolidating nature has left multiple suppliers feeling pressured and powerless in their relationships and contract negotiations with grocers. Following new fees suppliers’ associations and politicians began calling for a legislated retail grocery code of conduct to restore greater balance to negotiations with retailers. Some retailers have been advocating for a voluntary code rather than have one imposed upon them.
Lush leaves, warm waters, flourishing flora, are just a few of the things that come to mind in a picturesque way when one thinks of California. But California is not just a “start-all, end-all” vacation spot. Coastal California actually has a lot more to do with you than you think.
Do you enjoy complete and balanced meals? Of course, you do! It’s important to maintain your body and keep yourself properly hydrated and hit all the food groups. Fruits, vegetables, meat, dairy, grains, are all main staples but chances are your fruit didn’t come from a couple of miles down the road, it more than likely came from one of our powerhouse produce states.
Just to name a few: Texas, Florida, and California. These three states play a big role in getting those delicious dinners and popping picnics to come together. Did you know California by itself produces more cash receipts from produce than the entire Mountain/Pacific region states combined or that about half as much comes from Texas, which has 86% of its land [ocregister.com]used for agricultural production?
While this is fantastic for our country to have so many geographic options for crops, sometimes those regions come with a bit of a headache down the road. As you know historically, California has experienced drought from the early 2000s to today, and if you’re a Texas resident you know we’ve been feeling the same. What does that mean at the end of the day for our nation?
Let’s step back for a second and have some breakfast, and figure things out. As you may have heard one of the trendiest foods incorporated into breakfast this side of the decade has been avocados, maybe you’ve seen them aesthetically spread onto toast.
Along with many other functional foods, avocados have almost doubled in price (complimented with far more than double the demand) since a few years ago. Unfortunately, that breakfast might be a little bit more expensive on the west coast now. California is one of our nation’s leaders in producing avocados.
In 2014, California’s last notable drought [businessinsider.com[businessinsider.com] top exports such as avocados, berries, cruciferous vegetables, i.e. cauliflower, cabbage, kale, as well as grapes, and lettuce rose in price anywhere from 17 to 62 cents depending on the product.
It’s not all bad news, we can look at some silver linings while we wait on the clouds to come back and rehydrate our fields. Texas shares a similar palette on many in-demand produce products with California and has seen a recent increase in exports of avocados to pick up the slack left behind.
According to data from the USDA [data.ers.usda.gov] website, avocado demand grew from 155,379 ($1000’s) in December 2020 to 231,835 in Jan 2021 and 315,128 by March of the same year. Many times, when we see a lack of a commodity in one area, we’ll look to grow it somewhere else, or import it.
Texas has the perfect climate for avocados, and also controls some of the main border entries for Mexico, which exports billions of dollars worth of avocados [agmrc.org] every year to us. This new entry point/origin for produce shifts the freight market as well to create demand for trucks in Texas while decreasing the demand in California.
To sum things up, when it starts to “Never rain in [Southern] California” we see the whole nation shift their focuses on backups, imports, and inevitably higher costs. So be sure to avoca-do yourself a favor and pick up some delicious guacamole ingredients while we wait out this drought and get produce to your state from wherever its’ freshest!
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Iyer Amruthur is a business development specialist in the Allen Lund Company, San Antonio office and has two years of logistics experience. Iyer attended The University of Georgia where he obtained a Bachelor’s Degree in Marketing, with a minor in Communications.
Reidsville, GA – Shuman Farms has RealSweet® high quality, premium sweet onions from Peru on hand and are currently making the transition from Vidalia® to Peru. Shuman began growing sweet onions in Peru more than 20 years ago to meet the year-round consumer demand for premium sweet onions. Peru provides the ideal climate, soil, and growing conditions and allows retailers to keep premium sweet onions on shelf from September to March.
The Peruvian sweet onion is very similar to the Vidalia onion in terms of taste, sweetness, and appearance, with the characteristic flat shape and yellow color that consumers recognize as a premium sweet onion.
Shuman Farms imports their sweet onions through the Port of Savannah which allows them to maintain a year-round, full-time workforce in Tattnall County, Georgia. In addition to the positive economic impact in Shuman Farms’ own backyard, importing sweet onions through the Port of Savannah helps to support over 497,000 jobs in the Southeast United States.
“I am proud of the product we grow in Peru and the contribution we make to the economy of Georgia and the southeastern United States,” said John Shuman, President and CEO of Shuman Farms. “Whether it’s from the soils of Georgia or Peru, we will always be committed to providing American consumers high-quality, healthy produce year-round.”
The quality of this year’s crop looks very good and will lend well to bag promotions throughout the fall. Shuman Farms will be executing several innovative marketing promotions this fall with their RealSweet brand in both the in-store and digital spaces. By partnering with likeminded brands across the produce department Shuman Farms will be offering consumers meal solutions which will ultimately drive sales throughout the store.
Shuman Farms will also continue to uphold its foundational pillar of giving back with specially marked pink RealSweet bags in October for breast cancer awareness and Feeding America® bags in November and December to shed a light on food insecurity in the U.S. In addition to POS and digital support of both programs, Shuman Farms will also make donations to the Breast Cancer Research Fund and Feeding America respectively.
“Giving back to the communities where our products are sold has always been an important aspect of our company,” Shuman continued. “It is at the core of who we are and what we believe. We are grateful to work with organizations making a difference across the U.S. and honored to support them in any way we can.”
Shuman Farms has started shipping premium RealSweet onions from Peru mid to late August and continue through March 2022.
About Shuman Farms, Inc.
Headquartered in the center of the Vidalia® growing region in southeast Georgia, family-owned Shuman Farms has been in the sweet onion industry for more than 35 years. Today, Shuman Farms is an industry-leading, year-round grower and shipper of premium sweet onions. Learn more about Shuman Farms at shumanfarmsga.com.
Northeastern Apple shipments are looking good as the leader New York come out of a long winter with no significant damage and a strong bloom, which has laid the foundation for an excellent crop across virtually all eastern varieties.
United Apple Sales of Lyndonville, NY and a third-generation apple grower in the western part of the state, indicates the company is excited about a very strong crop after last year’s season which suffered from drought.
The shipper reported a good spring and summer with ample rain and consistent sunshine. The cool nights in the Northeast helped develop high color fruit and great flavor. The primary varieties handled by United Apple Sales are Fuji, Gala, Ginger Golds, and Macs. Each are showing a good balance between increased volume and larger fruit sizing.
Picking for early varieties is on schedule with Paula Red and Ginger Golds which started in mid-August. Gala and McIntosh will start in early September, while Honeycrisp gets underway in mid-September. Fujis pickings will start in late September.
J. Marchini Farms of Le Grand, CA has been shipping figs since the beginning of June, which is the first short crop which lasts only a few weeks.
The fig season has now started with its main fig crop going from August to October and includes three different varieties. These include the Black Mission, Brown Turkey and Kadota varieties. Black Mission figs have a delicate, purple-black skin that conceals a dark pink flesh and are a versatile fruit that are good in a variety of savory and sweet dishes. They can be made into jellies and jam, added to other dishes or enjoyed raw.
The Kadota variety has a yellowish green thick skin with an amber color flesh when ripe. They are practically seedless, so they are often canned or dried. The Kadota is less sweet than other fig varieties which makes them good for cooking and baking.
The Brown Turkey variety has a brownish-dark purple skin with a pink flesh. They have a milder flavor and are less sweet than the Black Mission variety which makes them good to add to deserts or salads. They will have these varieties from now through the fall.
The California fig season is short and sweet but it’s the best time of year to eat a fresh fig.
They may be small in size, but Brussels
Sprouts are big in nutrition, flavor and versatility! Packed with
vitamins, antioxidants and nutrients, Brussels Sprouts provide important health
benefits to keep your body strong, and can be enjoyed raw,
grilled, steamed, fried, and roasted.
Here
are six ways Brussels sprouts are good for your health:
1. Brain Health: Brussels sprouts deliver folate, which works
with vitamin B12 – found in fish, poultry, meat and dairy – to help prevent
cognitive impairment.
3. Eye Health: Brussels sprouts contain disease-fighting
phytonutrients, which help protect your eyes from cataracts
and age-related macular degeneration.
4. Heart Health: Sprouts are rich in antioxidants, which can
help reduce inflammation and promote a healthy heart when part
of your regular diet.
5. Gut Health: Just half a cup of Brussels Sprouts contain 2
grams of fiber, which is 8% of your daily fiber needs. Fiber helps
support a healthy digestive system and reduces the risk of heart disease.
6. Immune System Health: A 1-cup serving of Brussels Sprouts contains
more than 130% of the daily value of vitamin K and high levels
of naturally occurring vitamin C as well as B vitamins – all necessary nutrients
for a strong immune system.