“Rates keep going higher and higher, adding difficulty to the already complex produce industry.”
Intergrow Greenhouses, a farming company located in Upstate NY, focusing on the production and sale of greenhouse grown tomatoes, is thankful to have their own private trucking fleet to help service their customers. Stating the primary goal of their own fleet is to give the best possible service to top tier retail customers. Understanding the importance of “On-time, In-Full” is fresh, perishable produce they have taken transportation into their own hands!
“When you contract a load through an outside broker or carrier you lose some of the visibility and control required to really deliver the best service possible. That’s why we’ve invested in our own fleet and in a freight market like this it has really paid off having the ability to run our own loads.” Explains Dirk Biemans, President of Intergrow Greenhouses.
“Although we are close to major markets, there is a lot of freight needing to be moved in this area of the US and there is, and has been more demand than supply in the market. That’s why we are so grateful to be running some of our own trucks.” Says Bill Cook, a 30yr transportation veteran and current Logistics Manger at Intergrow Greenhouses. “During the peak season we have as many as 50+ loads a week shipping out of our facilities, of course our own band of guys can’t handle of that high volume, so they remain on our retail accounts, providing consist and reliable transportation for the business. “ Currently expanding their business with another 10acre greenhouse, Intergrow says they are first and foremost a grower and farmer but saw the need to deliver consistent quality service to their customers in order to grow their business. “Here at Intergrow we’re not only striving for the highest quality product but also reliability. Our customers need to have confidence we can deliver of premium product, reliably and consistently throughout the year.” says Kris Gibson, VP of Sales and Marketing “This last part of the puzzle, transportation, has really helped us grow these past years.”
As rates increase Intergrow has also seen their own fleet benefiting them in other ways… cost control. “Our own transportation costs have increased as well, but in a controlled in regimented manor.” Says Biemans. “We are not at the mercy of the market for some of our most important loads. “Rates keep going higher and higher making it adding difficulty to the already complex produce industry. No matter the freight market you are expected to deliver product under your contracted price.”
Intergrow is currently looking to hire additional drivers to their fleet and asks anyone interested to email Bill Cook at logistics@intergrowgreenhouses.com.
A notable increase in volume of Peruvian mandarin exports is being seen so far this season, rising by at least 25 percent compared to the 2020 season.
Until June 20, Peruvian early variety mandarin exports totaled over 54,000 metric tons (MT) at US$61 million, according to Agraria. This shows a 25 percent increase in volume and a 30 percent rise in value year-on-year.
It’s estimated that in July, mandarin exports could reach over 62,000MT at $71 million, which would mean a growth of 31 percent in volume and 35 percent in value year-on-year, the publication reported.
Early Peruvian mandarin varieties include satsumas and clementines, as well as later hybrids. Early variety mandarins are usually exported between the first week of April and the second week of July. The season normally ends in October.
Peruvian exports of satsuma and clementines to the U.S. totaled over 14,000MT at $19 million with shipments falling eight percent in volume and remaining similar in value. Despite the decrease in exports to the U.S., it remains the main destination for early variety mandarins with a 26 percent share.
The UK is the second most important destination for mandarin exports of early varieties with a 22 percent share. Exports reached over 10,000MT for $12 million, a 15 percent increase in volume and an 18 percent rise in value year-on-year.
Peruvian exports of late variety mandarins to the Netherlands grew 68 percent in volume and 72 percent in value, totaling over 5,000MT for $9 million.
Canada saw a decline in volume and value year-on-year, 22 and 24 percent less, respectively. The country holds a nine percent share of Peruvian satsuma mandarins and clementines, a six percent decline from last year.
After the early mandarin season, the late varieties follow between June and September among which Murcott, Nadorcott and Malvaceo stand out.
Through June 20, late variety mandarin exports totaled almost 14,000MT, a 69 percent increase year-on-year.
The main destinations were China, with a 37 percent share and the U.S. at 34 percent.
Naturipe started shipping its proprietary Seedless Muscadine Vine Drops in the past week or so.
Native to the Southeast, the original Muscadine is a unique grape that is crisp, sweet, tart and packed with nutrients, the company says.
“We’re excited about this year’s Vine Drop crop because we expect to drastically surpass our original anticipated volumes,” says Jim Roberts, President of Sales at Naturipe.
“We’re excited to bring this uniquely seedless variety to market for consumers everywhere to experience the flavor they have always enjoyed, without the seed. We will be packing the Vine Drops in a 1 lb clamshell at a great introductory price to encourage consumers to try this wonderful fruit.”
July marks the start of Naturipe’s harvest for the seedless Muscadine in Georgia. This will continue through the first frost, which is usually in October.
As one of the U.S.’s oldest grape varieties, Muscadines come with a rich history. They were first discovered by Englishmen in 1585 on Roanoke Island, North Carolina where the Mothervine continues to thrive today. Muscadines have been long known for their use to make sweet wine. In fact, the wine industry was largely based on scuppernongs and muscadines in the 1800s and early 1900s until Prohibition.
But the deliciousness and intriguing history of these berries is not the reason they are a star superfruit. Muscadines are Mother Nature’s richest source of polyphenolic antioxidants and are packed with many good-for-you nutrients.
“Muscadines are packed with polyphenols, making them among the most nutritious fruits out there,” says Wendy Reinhardt Kapsak, Registered Dietitian and President and CEO of Produce for Better Health Foundation.
“Polyphenols are naturally-occurring, healthful compounds found in plants. Acting as antioxidants, they promote digestion and brain health; reduce inflammation; protect against heart disease and type 2 diabetes; and even reduce the risk of certain cancers,” she continues. “Add these gems to your breakfast, lunch and dinner or simply eat them as a snack, and they will do wonders for your health – and excite your tastebuds.”
Authored by David Magana, senior analyst for fresh produce and tree nuts for Rabobank, the report signals good prospects for both short-term and long-term consumption gains.
For 2021, the report said healthy consumer demand for avocados is fueled by economic recovery, sustained retail sales and increasing foodservice activity.
Increased shipments from Peru and Mexico will offset a lighter California crop in 2021. However, avocado availability in the U.S. may be tight in some weeks later this summer when California’s and Peru’s seasons end and Mexico transitions to the new season.
Per capita avocado consumption, has jumped from 4 pounds in 2010, rising to 8.5 pounds in 2018. Following that trend of per capita gains of about 8% annually, per capita avocado consumption could exceed 11 pounds per year by 2026.
Consumer demand for avocados has been increasing, and one promising element of future demand is changing U.S. demographics, according to the report. Younger generations feature a greater proportion of Hispanic consumers.
About 25% of Gen Z consumers are Hispanic, compared with the 17% share among millennial consumers and 12% among Gen X consumers.
“Hispanic consumers in the U.S. tend to consume more avocados than the average U.S. consumer,” the report said.
Mexico’s per capita consumption, as a point of reference, is 18 pounds, which the report said “shows the headroom that remains” in less mature markets.
About 40% of U.S. households said they purchased avocados in the past 12 months, according to the report. That is lower than fruits such as blueberries, lemons, watermelon, grapes, oranges and strawberries and significantly lower than apples and bananas, which are purchased by about two-thirds of households.
Still-rising production prospects in Mexico, Peru and Colombia point to further increases in shipments to the U.S. and other markets.
Mexico will continue to be the main provider of avocados to the U.S. market, with shipments to the U.S. rising by single-digit percentages in 2021.
Acreage of avocados continues to rise in Mexico, with current acreage near 568,000 and about 50,000 acres of non-bearing groves yet to produce commercial fruit.
California’s avocado production has been flat to declining over the past two decades, but rising imports have allowed U.S. per capita consumption to gain.
Avocado production and exports from Chile have been flat to declining, reflecting tight water availability in some regions and growth in competing markets in Europe and Asia.
Peru has become an increasingly important supplier of avocados to the U.S. market. Avocado planted acreage in Peru is estimated at 106,000 acres in 2021, up from about 72,000 acres in 2016. Exports from Peru in 2021 are expected to reach a new record of 460,000 metric tons, a 26% increase compared with a year ago and almost 160% higher compared to 2016.
Avocado production and exports in Colombia will expand rapidly, the report said, with most shipments directed to European and Asian markets.
There should be increased exports of Argentine lemons to the U.S. this season, despite a reduced export forecast by the USDA.
The USDA said that it now expects the world’s top lemon-growing country to export 180,000 metric tons (MT) of the fruit, down 10,000MT from its earlier estimate. Around 45,000MT are expected to be sent to the U.S., up by around a third from a year ago.
The lower total export projection also comes despite the production outlook improving.
During the spring of 2020, a severe drought during blossom and fruit set in the main lemon growing area of the country was expected to reduce fruit volumes.
However, precipitation during the summer rainy season allowed Argentine lemon trees to recuperate, increasing production above low initial estimates.
Production of 1.15 million MT is now expected, 120,000MT more than the earlier forecast. However, the figure remains below normal, with 1.49 million MT produced last year.
The projected decline in exports largely due to below-normal production, adequate fruit supply in Northern Hemisphere fruit-producing countries, and strong competition by South Africa.
Additionally, although the EU on May 1, 2021, reopened the market to Argentine fresh lemons and oranges after the detection of citrus black spot (CBS) last year, some exporters may need additional investments to ensure their compliance with the EU’s technical requirements, the USDA report said.
The export forecast for this year is also well below the 256,000MT sent abroad last year.
At the beginning of that season, local contacts were optimistic about export prospects due to decreased supply in the northern hemisphere, increased consumer demand and expanded market access.
However, the EU’s detection of CBS in May 2020 saw Argentina voluntarily withdraw from the EU market in mid-July 2020 with approximately 20,000 MT of lemons reoriented to processing and/or exported to non-traditional markets like the U.S., which reopened for Argentine lemons in 2017 after a 17-year hiatus.
“The fresh lemon export business remains profitable, however, with production costs, such as labor, inputs, energy, inland and ocean freight increasing, and high inflation rates, the competitiveness of the lemon sector has been affected,” it said.
“Furthermore, although the continuous depreciation of the Argentine peso and the elimination of export taxes make exports more price-competitive in foreign markets, a decrease in export rebates and high-interest rates, partially offset that advantage.”
During MY 2019/20, the EU remained the largest export market for Argentine fresh lemons with 51 percent of Argentina’s total exports, followed by Russia, with 23 percent, and the U.S., with 13 percent.
After regaining market access to the U.S. in 2017, Argentine lemon exports to the U.S. have shown an upward trend, rising from 10,640MT in 2018 to 33,963MT last year.
For 21, with about forty-five certified exporters, fresh lemon exports to the U.S. are estimated at about 45,000 MT, depending on the recovery of pre-covid consumption patterns in the U.S. and the impact of a 25 percent tariff levied in October 2019 by the US on EU fresh citrus imports, the USDA said.
The analysis of Argentina’s request for market access to the U.S. for sweet citrus is ongoing.
An estimated 20% reduction in cherry shipments compared with earlier expectations is predicted in a new report from the Northwest Cherry Growers.
Expectations and comments from the fourth and last cherry crop estimate indicate about a 20% total crop reduction from the heat.
“That reduction is spread throughout the Northwest but was particularly damaging to the bing and rainier cherry crops, which were in the peak of harvest in many regions when the heat arrived,” the group said. Skeena also was heavily affected by high temperatures and winds, according to the report.
With supermarket ads only second to peaches in mid-July, the group said cherry promotions should line up for a strong showing through the end of July.
“While our latest orchards will continue to deliver a small but steady supply until the end of August, the shipments for the 2021 yellow cherry season have significantly decreased over the past seven days,” the group said.
On July 16 the industry’s daily shipment average for the previous week remained over 350,000 boxes a day, which is still within the normal range of a July crop.
By way of comparison, Northwest Cherry Growers said the shipments for the same week were 377,000 boxes a day in 2020 and 467,000 boxes a day during the 2019 season. As of July 14, Northwest cherry shippers had moved about 13.7 million 20-pound boxes so far this year.
North Carolina produce shipments dipped slightly from 2019, U.S. Department of Agriculture statistics show.
Fresh produce shipments in the state totaled 1.09 billion pounds, down 2.3% from 1.11 billion pounds in 2019.
Here are shipment figures by commodity for 2020, compared with 2019 and 2010:
Sweet potatoes: 532.6 million pounds in 2020, up 1% compared with 525.4 million pounds in 2019 and down 19% from 659.5 million in 2015.
Seedless watermelon: 143 million pounds in 2020, down 21% compared with 181.5 million pounds in 2019 and down 6% from 152.4 million pounds in 2015.
Cabbage: 21.3 million pounds in 2020, down 3% compared with 22 million pounds in 2019 and down 40% from 35.1 million pounds in 2015.
Potatoes: 20.6 million pounds in 2020, up 41% compared with 14.6 million pounds in 2019 and down 2% from 21.1 million pounds in 2015.
Blueberries: 18.1 million pounds in 2020, down 40% compared with 26.1 million pounds in 2019 and down 48% from 34.3 million pounds in 2015.
Bell peppers: 16.5 million pounds in 2020, down 33% compared with 24.6 million pounds in 2019 and down 32% from 28.4 million pounds in 2015. Greens: 11.7 million pounds in 2020, down 18% compared with 14.2 million pounds in 2019 and down 59% compared with 28.4 million pounds in 2015. Apples: 10.8 million pounds in 2020, up 59% compared with 6.8 million pounds in 2019 and up 11% compared with 9.7 million pounds in 2015. Cucumbers: 10.9 million pounds in 2020, down 5% compared with 11.2 million pounds in 2019 and down 40% compared with 18.1 million pounds in 2015. Seeded watermelon: 6.7 million pounds in 2020, up 1.5% compared with 6.6 million pounds in 2019 and down 60% compared with 16.7 million pounds in 2015. Tomatoes: 3.4 million pounds in 2020, down 18% compared with 4.7 million pounds in 2019 and down 32% from 5 million pounds in 2015. Beans: 2.6 million pounds in 2020, down 44% compared with 4.6 million pounds in 2019 and 63% compared with 7.1 million pounds in 2015.
New York vegetable shipments are just getting started with full volume expected in August.
Torrey Farms of Elba, NY grows, harvests, packs and ships everything it grows, while its sister company, Paul Marshall Produce and its drivers deliver prouct to customers.
The company expects 2,400 acres of onions this season in addition to its cucumbers, green beans, squashes and potatoes. Most items got underway around July 10 – 15, while onions will start in early August.
Torrey Farms ships vegetables to destination all along the East Coast and as far west as Chicago.
About 70 percent of its produce goes to the retailer, with the balance directed to wholesalers and food service operations.
While Parker Farms is favorably known in the south for its marketing of broccoli, sweet corn, squash and peppers in partnership with nearly half a dozen farms on several thousand acres, come summertime, the company turns a great deal of attention to New York state.
Parker Farms of Oak Grove, VA works with Kludt Bros. Farm in Kendall, NY, who operate over 1,000-acres of vegetables, growing mainly broccoli and sweet corn.
Working with Kludt Farms in the summer allows Parker Farms to be a year-around vegetable supplier. the company distributes vegetables from Florida to Maine, with most its business east of the Mississippi, except for some sweet corn and other items it delivers to Texas.
In New York, broccoli starts in the middle of July with corn following around July 20 and lasting until early August.
GLASSBORO, NJ — New Jersey’s locally grown peaches are now available in supermarkets, community farmers markets and on farms, and New Jersey peach producers are celebrating a near-perfect growing season. This is one of the best Jersey-peach seasons in years, growers report to the New Jersey Peach Promotion Council, the association representing the industry.
New Jersey’s Jersey Fresh peaches are marketed and shipped throughout the northeast and Canada under the labels Jersey Fruit, Atlantic Sunrise, Top Crop, Circle M Farms, Just Picked, Melicks Town Farm, Nichols Orchard.
“The orchards got enough rain and sunshine, with no major late spring frost, to result in beautiful peaches with maximum size and flavor,” says Bonnie Lundblad, PPC chair. Lundblad is also sales representative of Sunny Valley International, New Jersey’s largest peach marketer.
“We had a good growing season and have peaches for wholesale and retail on our farm and in the farmers markets we supply,” says John Melick, owner of Melick’s Town Farms in Oldwick, Bridgewater and Califon.
New Jersey ranks fourth in the country for peach production, which averages 50 – 54 million pounds and is valued at $30-35-million.
The Jersey Peach website www.jerseypeaches.com includes a page for requesting further information and contacting grower/purveyors. It also lists varieties, grower/shipper contacts, consumer tips on buying and handing, and recipes. Information is also available on Facebook.com/newjerseypeaches; and on Instagram newjerseypeaches
The New Jersey Peach Promotion Council is a it voluntary organization of growers, shippers, wholesalers and allied industries dedicated to maintaining a viable peach industry in the Garden State while preserving farmland.
The market dynamics that have led to higher transportation costs were a long time coming and won’t quickly be solved.
Industry leaders discussed some strategies to deal with the problems during a recent United Fresh Reimagine webinar on the future of transportation.
“We project this is a multiyear problem, probably 48 months or longer,” said Todd Bernitt, Vice President – Managed Services for Robinson Fresh.
“The driver pool problem may take a decade or longer to play out,” he said about the driver shortage.
He said a normal load-to-truck ration should be 2.5 or 3 loads per truck. Now it’s about 8-1.
“We’ve seen peaks I’ve never seen before,” Bernitt said, citing 30-1 ratios from Florida this spring and 40-1 from Texas during the winter storms earlier this year.
“All of this is market based,” said Brian Kocher, President and CEO of Castellini Company LLC. “All of this fits together. Regional growing will change the strategy, as with urban, greenhouses and vertical farms. We’re building as much flexibility as we can and advise our partners to do that.”
One simple solution to improving driver retention is to treat drivers and transportation companies better, said Jeff Moore, Vice President of Sales for Tom Lange Company Inc.
“Treat carriers like your best supplier or your best customer,” Bernitt said.
