By Iyer Amruthur, Business Development Specialist, ALC San Antonio
The Legend of Topo Chico has a near and dear place in every Texan’s heart as the premier choice for natural sparkling mineral water. From an ancient story of an ailing Aztec princess whose father, Movtezum I Ilhuicamina, searched far and wide for a cure; wise priests told the king his daughter must bathe in the mystical waters to the north of them. The tribe embarked on a search, for health.
The king took his daughter to the springs by a mole-shaped hill called Topo Chico. After bathing in, and drinking the waters, legend has it that she was immediately cured. Now we see this same spring as one of the most popular sources of beverages in the world! Topo-Chico began selling its mineral water to the U.S. in the 1980s, with its primary market being the Mexican-American communities.
Texas was the biggest consumer of the Topo Beverage, and soon it developed a cult following which exploded in 2010. With retro-green-tinted bottles, and a mythical location in one of Monterrey, Mexico’s inactive volcanoes, they took the market by storm. That is until they closed one of the biggest deals in their history.
In 2017 Coca-Cola, the world’s largest soft drink company acquired Topo Chico for 220 Million Dollars. With the added supply chain, marketing, and business expertise they were able to expand their sales by 25% in the first quarter. Before the acquisition, 70% of all Topo Chico sales were in Texas but with Coke’s distribution network, they were able to easily reach areas they were unable to before. Soon they started to pop up in convenience stores, additional Walmart’s, and even Costco.
Coke understands the effect the supply chain can have on companies. One thing that the company recognized about Topo-Chico is that the following was cult-like, it was based in certain demographics, and it had a certain image people loved. As Kellam Mattier, a VP of innovation at Coke said, “It’s important for us to maintain the relevance with the core Topo Chico fan base while introducing the brand to new people.” This helps the original company, traditionally regional, to bring that same company feel to the whole nation.
Now with 2021 on the horizon, Coke will debut Topo Chico’s first Hard Alcoholic Seltzer in Latin American cities and will be launching in the U.S. in 2021. This shows the perfect synergy, and what happens between a loved brand, and an expert distributor. Logistics has a lot of the focus on trucks, but before trucks even hit the road, someone needs to make routes, orders, and deals. This is what Coke brings to the table, and why you may see Topo Chico in a store near you soon.
With the bottled-water industry booming to $16 billion in 2017, the market was shifting slightly away from soda. In this gap today, Topo-Chico fits perfectly and is growing just like the legend from long ago.
Iyer Amruthur is a business development specialist in the ALC 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.
A 25 percent decline in Argentine lemon exports are estimated compared to a year ago. This would result in producing only 190,000 metric tons (MT) this coming season, according to a report by the USDA.
Reasons for the projected decline is due to a decrease in production, available fruit supply in the Northern Hemisphere’s fruit-producing countries and strong competition from South Africa.
Exporters are also concerned about the continued threat of fruit rejections by the EU due to the presence of Citrus Black Spot (CBS) as occurred in the 2019-20 season.
Lemon exports to the U.S. for the 2020-21 season are estimated to be about 40,000MT. However, this is an uncertain estimate due to the impact of the Covid-19 pandemic on consumption patterns.
Argentine lemon production forecasts at 1.03MMT, a 30 percent decrease in comparison to last year, due to cold damage early in the season and dry growing conditions. A drought is restricting production of all citrus fruit in Argentina by reducing fruit size. This season fresh lemons for processing are forecast to decrease significantly to 731,000 MT, down 31.5 percent compared to 2019-20, as a result of the decrease in production.
U.S. citrus imports grew significantly during the third quarter of the year while volumes of other key fruits during the period such as avocados and bananas saw declines, according to the USDA.
Total imports of fresh citrus between June and September this year rose by 20 percent over 2019 to $682 million. Easily the largest increase in citrusy came from mandarins with imports soaring by 55 percent to $225 million.
Both Chile and Peru were responsible for the dramatic increase. Both have seen strong growth in soft citrus volumes in recent years. South Africa and Uruguay also increased shipments. Limes and oranges both rose by 10 percent to $134 million and $123 million, respectively, while lemons saw a 3 percent decline to $95 million.
Limes came almost entirely from Mexico, while the increase in oranges was driven by South Africa and partially offset by a decline from Chile.
Meanwhile, avocado imports experienced a huge decline of 26 percent to $531 million during the quarter. This decline was driven both by Mexico, whose volumes fell by 24 percent to $424 million, and Peru, whose shipments fell by 22 percent to $102 million.
Chilean imports in the third quarter last year were $20 million, just $1 million. Colombia, meanwhile, managed to roughly double its shipments from 2019 to $4 million. Banana imports fell by 7 percent to $457 million, driven by Guatemala’s volumes falling by 9 percent to $220 million.
Costa Rica and Ecuador saw declines of 11 percent each to $91 million and $43 million, while Honduras saw a 15 percent increase to $41 million. Blueberry imports remained stable at $183 million, with a sharp increase from Peru offset by an equally sharp decrease from Canada.
Avocado shipments are expected to be strong with stable volumes over the coming weeks, with an increase in the run-up to the Super Bowl.
The Del Rey Avocado Company reports supplies have been steady over recent weeks, hitting around 50 million pounds per week into the U.S. market.
This pace is likely to continue as volumes are expected to pick up in the new year. A weekly increase in volume to match the demand for the Super Bowl is seen from the middle to the end of January. However, it remains to be seen whether the U.S. market will see volumes of up to 78 million pounds per week for two or three weeks as in previous years.
Mission Produce notes Mexico is producing good volumes through December and leading into the Super Bowl on February 7, the biggest avocado sales period of the year. Volumes over 50 million pounds through December and will continue to grow as we get closer to the Big Game.
Pelion, S.C. – WP Rawl, the premier grower, processor and shipper of leafy greens honored fallen military heroes by participating in Wreaths Across America Day this December.
WP Rawl’s dedicated truck and trailer traveled from Pelion, South Carolina to Columbia Falls, Maine to pick up thousands of fresh evergreen wreaths to be placed on the headstones of veterans – a symbol used for centuries to recognize and honor the fallen.
Each year National Wreaths Across America Day takes place in over 1,600 locations in all 50 U.S. states, at sea, and abroad continuing the tradition by participating in annual wreath-laying ceremonies.
For the first time in five years of participating, the company picked up wreaths for two national cemeteries in their home state of South Carolina. Over 28,500 wreaths were delivered to Fort Jackson and Beaufort National Cemetery for the headstones of the brave men and women who made the ultimate sacrifice.
Beaufort National Cemetery held a parade on Saturday, December 19th where trucks were escorted into the cemetery with a crowd of cheering volunteers. WP Rawl driver and Army veteran, Craig Ruff had the honor of delivering both loads of wreaths. “It was an honor as a peace time veteran to retrieve a load of wreaths from Maine and then to deliver them to the two national cemeteries,” said Ruff. “It was a humbling experience and great joy meeting all of the folks that want to honor our military heroes. I am grateful for WP Rawl for giving me the opportunity as an employee and veteran. Thank you! I am packed and ready for next year!”
“In a year of so many uncertainties, we were happy to be able to continue the tradition of supporting Wreaths Across America.” said Ashley Rawl, vice president of sales, marketing and product development. “What better way to support our local heroes then by showing our thanks to the many men and woman who are to thank for the many freedoms we have today.”
WP Rawl has supported the Wreaths Across America organization throughout the years by donating services, sponsoring wreaths and sending employees who volunteered to lay wreaths on fallen veterans’ graves.
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About WP Rawl Dating back to 1925, WP Rawl is a fourth generation family farm which has grown to become a grower/shipper/processor, specializing in year-round bulk and value-added leafy greens and vegetables in the Rawl®, Nature’s Greens® and Palmetto Gardens® brands.
Over a recent 16-year period North Carolina sweet potato volume has jumped by 42 percent. That translates into consumer consumption hitting 7.2 pounds per capita.
The North Carolina Sweet Potato Commission reports much of the increase is attributed in large part to consumers searching for healthy food choices. This ranges from fries, to fresh cuts, and sweet potato tater tots.
While the majority of the N.C. crop remains the conventional orange-fleshed covington variety, there is growing consumer interest in organics. There is a perception among consumers that ‘organic’ means healthy. However, research finds no difference in nutritional value between organic and conventionally grown. So it becomes a matter of producers meeting consumer demand.
Of the newer varieties, purple sweet potatoes with their purple-tinted skin and violet flesh are gaining in popularity. Plus, being a novelty is an attraction to some consumers.
Vick Family Farms of Wilson, N.C., reports shipping more organic and specialty varieties as niche items, such as reddish-purple, white-fleshed murasaki, to retail supermarkets. These were developed at the University of Louisiana in the early 2000s, and the sweet bonita, with its tan skin and white flesh. Vick also still grows a few acres of beauregards, red-copper tubers with deep orange flesh. Nash Produce of Nashville, N.C. is seeing an increase in demand for its organics, bonita and murasaki varieties.
A revised estimate of the production and exports of Chilean cherries predicts an even greater increase compared to what was announced in early November.
The Asoex Chilean Cherry Committee, exports of 326,184 metric tons (MT) (63,236,847 cartons of 5 kg) are predicted, which would be an increase of 38.3 percent over last season. The original estimate was expected to reach 310,352 MT. The figure was also a record in exports for the Latin American country.
Among the top countries receiving Chilean cherry exports are the U.S. South Korea, Brazil, China, India, Vietnam and Thailand.
SINGAPORE – ZIM Integrated Shipping Services Ltd. is expanding its refrigerated shipping capabilities with 1,000 new containers equipped with Carrier Transicold’s PrimeLINE® refrigeration unit. Carrier Transicold is a part of Carrier Global Corporation (NYSE: CARR), a leading global provider of healthy, safe and sustainable building and cold chain solutions.
The new, 40-foot high-cube containers will help the Haifa, Israel-based shipping line accommodate growth and solidify its commitment to having ample refrigerated resources to support its customers during these challenging times. Many of the new containers will ship highly temperature-sensitive perishable cargoes and high-value pharmaceutical products.
“With thousands of PrimeLINE units already in service to our fleet over many years, the refrigeration system has proven itself to be a highly capable performer,” said Moti Azari, reefer trade manager, ZIM. “The unit’s excellent refrigeration capabilities, energy efficiency and record of reliability, backed by Carrier Transicold’s responsive field support team, are all vitally important to our fleet operations, especially so, during these unprecedented times amidst the Covid-19 pandemic.”
The PrimeLINE unit offers rapid temperature pull-down, tight temperature control, high energy efficiency and high air-flow performance, which are integral to the transportation of high-value cargoes, especially pharmaceutical products. Its efficiency is attributed primarily to an advanced digital scroll compressor that reduces power draw, which also results in reduced carbon dioxide (CO2) equivalent emissions. Carrier helps customers meet the rapidly evolving supply chain demands to make their cold chain activities more efficient through the Healthy, Safe, Sustainable Cold Chain Program.
“We appreciate the opportunity to continue supporting ZIM with our PrimeLINE units, which have been the industry sales leader for more than a decade with best-in-class refrigeration performance,” said Kay Henze, international key account manager, Global Container Refrigeration, Carrier Transicold.
To learn more about the PrimeLINE refrigeration unit, turn to the experts at Carrier Transicold or visit transicold.carrier.com.
About Carrier Transicold
Carrier Transicold helps improve transport and shipping of temperature-controlled cargoes with a complete line of equipment and services for refrigerated transport and cold chain visibility. For more than 50 years, Carrier Transicold has been an industry leader, providing customers around the world with advanced, energy-efficient and environmentally sustainable container refrigeration systems and generator sets, direct-drive and diesel truck units, and trailer refrigeration systems. Carrier Transicold is a part of Carrier Global Corporation, a leading global provider of healthy, safe and sustainable building and cold chain solutions.