If you ask any truck driver out there, especially produce drivers, what is one of the biggest headaches they face each and every day you will end up with a resounding answer across the room…”Hours of service!”
A truck driver has always needed to be part mechanic, dispatcher, and accountant but with the HOS in place today they need to be part calculus professor as well. At least that is the way it seems when you look at ELD’s or log books and work out all of the math and hope a DOT inspector does not find a mistake while he is looking over your shoulder.
Since perishable shippers rely on reefer service, September 29th will be a great day. Drivers will be given a little more control of their destiny, and shippers will have more open windows for pick up and deliveries. The Federal Motor Carrier Safety Administration (FMCSA) listened to owner operators, carriers and fleet managers and are offering more flexibility while maintaining the highest safety standards. What does this mean for drivers?
Short-Haul Exception: The maximum allowable workday is changing from 12 to 14 hours and the distance is extending from 100 air-mile radius to 150 air-mile radius. As any produce driver out there knows when it comes to multiple sheds, this will be a major benefit!
Adverse Driving Conditions Exception: This can extend the duty day by two hours if adverse driving conditions are encountered. Snow, ice, sleet, fog or unusual road or traffic conditions that were not known prior to beginning the duty day or immediately before beginning driving after a qualifying rest break or sleeper berth period, or immediately prior to dispatching the driver.
If you are subject to a 30-minute break requirement: This requirement can now be satisfied by taking an on-duty, not driving break, in addition to an off-duty break. After an 8-hour driving period there will be a few options, including combination of activities as long as the 30 minutes are consecutive and satisfied by time. These options include: off-duty; in sleeper berth; and off-duty, not driving.
Sleeper Berth Provision: This allows drivers to split the 10-hour off duty period after meeting certain requirements: One period is at least 2 hours long, the other involves at least 7 consecutive hours in the sleeper berth, both must add to at least 10 hours. When paired together, neither period will count against the 14-hour driving window. An 8-hour sleeper berth period by itself can no longer be excluded from the 14-hour driving window.
To all of our produce professionals out there, here is to putting the drivers and shippers back in the driver’s seat! September 29th cannot come fast enough.
****
Derek Robinson is a business development specialist in the Savannah office and has been with the Allen Lund Company since 2015. Robinson attended Savannah Technical College, specializing in Aviation Structural Mechanics.
Washington apple shipments for the 2020 fresh crop are forecast at 134 million 40-pound cartons, nearly the same as the 2019 crop of 133.9 million cartons, reports the Washington State Tree Fruit Association of Yakima.
“The 2020 Washington state apple crop looks to be similar in size to last year’s,” Jon DeVaney, association president, said in a news release. “Harvest is underway and growers anticipate being able to meet strong consumer demand with an ample and high-quality harvest. Our members are growing large crops, but with more varieties to choose from and while continuing to raise the already high standards of quality that domestic and international consumers have come to expect.”
For the second year in a row, gala variety apples will be the biggest volume variety. Galas will account for 23 percent of the state’s crop, compared with 17 percent for red delicious, 14 percent for fuji, 13 percent each for Honeycrisp and granny smith and 5 percent for cripps pink.
The surging Cosmic Crisp variety will account for about 1.2 percent of the total crop.
Organic apple production is predicted to hit to 21 million cartons, or 16 percent of the fresh crop. That compares with organic production of 15 million cartons in 2019.
The fresh apple forecast is based on a survey of association members.
South African citrus imports have risen sharply this season, increasing between 15 and 38 percent over last year.
Summer Citrus from South Africa reports it became clear early in the season consumers in the northern hemisphere wanted citrus products because they are a great source of vitamin C.
It now appears that South Africa’s soft citrus such as naartjies and clementines are doing well, and oranges are particularly sought after by US consumers.
The Citrus Growers Association reports the South African citrus industry expects to export about 140 million cartons this year, compared with 127 million last year. The increase is due to the new cultivation of soft citrus and lemons that has begun bearing fruit.
In 2018, the supply of fresh fruits available for Americans to eat, after adjusting for losses, totaled 58.3 pounds on a per capita basis.
USDA’s Economic Research Service (ERS) maintains an historical data series on national per capita supplies of over 200 food commodities available for domestic consumption.
Citrus fruits accounted for 14 percent of this 2018 total, down from a 24-percent share in 1970, partly reflecting Americans’ expanded fresh fruit options.
Loss-adjusted per capita availability of fresh citrus fruits fell to a low of 6.3 pounds in 2007 before trending upward to 8 pounds in 2018. Over 1970-2018, loss-adjusted per capita availability of fresh oranges and grapefruit declined, while availability of lemons, limes, and tangerines increased.
The data in the ERS historical series predate the Coronavirus (COVID-19) pandemic and do not reflect its impacts on food supply chains and food demand.
ERS calculates national supplies of food commodities available for domestic consumption by adding domestic production, initial inventories, and imports of a particular commodity, such as oranges; then subtracting exports and end-of-year inventories.
To calculate per capita estimates, these national supplies are divided by the U.S. population. For loss-adjusted availability, ERS applies commodity-specific loss rate estimates to account for some of the spoilage, plate waste, and other losses in food stores, restaurants, and households. Loss-adjusted food availability is designed to approximate consumption.
British Columbia blueberry shipments are taking a hit this summer due to weather factors adversely affecting quality, as well as a labor shortage.
Caution is urged when loading the fruit due to possible rain related quality issues. Shipments normally last through September.
Westberry Farms of Abbotsford, B.C. reports blueberry growers in Canada’s British Columbia are facing serious challenges as poor weather and labor shortages have created difficult conditions for harvesting.
The harvest started in mid-July and producers have struggled to salvage their fruit and maintain normal production levels. B.C. blueberry shipments are forecast down significantly from 200 million pounds in 2019. While it may be hard to predict how low volumes may end up, weather-related issues from cool and wet weather along with serious flooding in some fields along the Fraser River have made it difficult for picking machines to get out and harvest.
Fraser Berry Farms has expressed concerns about the quality of fruit from excessive rainfall.
British Columbia’s blueberry industry has more than 25,000 acres in production and demands large amounts of labor. The Covid-19 pandemic, according to the Grower’s organization, has made labor availability few and far between. A dip in the workforce of more than 50 percent – especially for handpicking – has created real problems.
While total avocado volume is small compared to Mexico, California avocado shipments for 2020 is expected to reach nearly 400 million pounds — nearly an 85 percent increase over last year.
Loadings are expected to continue into September with limited volume extending into October.
This year’s crop has benefited both from naturally being a larger crop in the alternate-bearing cycle and excellent growing conditions.
This year’s crop has benefited both from naturally being a larger crop in the alternate-bearing cycle and excellent growing conditions.
Henry Avocado Corp. of Escondido, CA has finished its avocado program in the southern part of California, but will continue to ship from the north, in August through October.
Shipments will take place in Ventura County, transition to the Santa Barbara/Goleta area and then move northeast into the Santa Maria area and as far as Morro Bay and the San Luis Obispo.
The company points out it takes longer to grow in the northern area, so they have fruit available later in the summer and into the early fall, depending on the size of the crop.
Eco Farms of Temecula, CA, report loadings to retail supermarkets made up for the company’s drop in foodservice business that resulted from restaurant closures prompted by the corona virus pandemic.
California’s avocado season actually peaks in May and June, before the official start of summer. Peak weeks for California this year were the last week of April and the first week of May. May was the biggest month for California avocado shipments.
The market needed avocados at that time because Peruvian imports were late arriving in the U.S.
Del Rey Avocado Co. Inc. of Fallbrook, CA expects Del Rey to finish its California shipments in mid-October, about a month later than most other shippers.
U.S. imports of Peruvian asparagus arrive year-round, but peak supplies are expected beginning in September and continuing through the end of the year.
Importers say volume will be flat to slightly lower, in part because of COVID-19 stresses on labor and transportation.
Crystal Valley Foods of Miami, FL imports Peruvian asparagus from Peru year-round, although it typically peaks in the fall from September/October through December.
The USDA reports the four-year volume compound annual growth for Peruvian asparagus from September through January is relatively flat at 1.6 percent.
Southern Specialties of Pompano Beach, FL is receiving lower volumes from Peru compared to the same period last year, with blame pointed at the COVID-19 virus. However, the company has seen volume pick up in August.
Through mid-July, U.S. imports of Peruvian asparagus were 28.5 million pounds, down 40 percent from 48.4 million pounds.
Alter Produce of Calexico says the actions of the Peru government related to COVID-19 could affect the flow of product the balance of the year, because there is no real clear answer. The import outlook is really up in the air depending on how the Peruvian government decides to deal with the pandemic.
But the bottom line is Peruvian growers will be forced to harvest their fields, otherwise they will miss the window before Mexico comes in with big volume in early 2021.
Fresh Del Monte Produce, Coral Gables, Fla, has added six energy-efficient reefer container ships to its fleet.
The Del Monte Gold is the first in service, traveling from Hong Kong on its way to the Panama Canal, according to a news release. It and the other ships has a capacity of 1,276 TEUs (twenty-foot equivalent units) with 634 electrical plugs for 40-foot high cube reefer containers, which can maintain temperatures down to 13 degrees Fahrenheit.
Helmuth Lutty, senior vice president of shipping operations, said Fresh Del Monte has been working on this goal since 2017.
“As one of the world’s leading producer, marketer and distributer of fresh fruits and vegetables, we have set a very high bar for all the reefer containers and ships in our fleet,” Lutty said in the release. “These six new vessels set the bar even higher, and allow us to deliver the high-quality fresh fruits and vegetables we are known for while meeting our sustainability goals.”
“We have been working towards this goal since 2017 and could not be more excited to see it come to fruition,” said Helmuth Lutty, Senior Vice President of Shipping Operations for Fresh Del Monte Produce. “As one of the world’s leading producer, marketer and distributer of fresh fruits and vegetables, we have set a very high bar for all the reefer containers and ships in our fleet. These six new vessels set the bar even higher, and allow us to deliver the high-quality fresh fruits and vegetables we are known for while meeting our sustainability goals.”
Each Del Monte vessel includes:
Hull and bow designs for fuel efficiency;
Hybrid scrubber systems to reduce emissions;
Shore power connections; and
Preventive Maintenance System technology for efficient combustion on main and auxiliary engines.
Globally, shipping fruits and vegetables accounts for Fresh Del Monte’s largest energy use, according to Hans Sauter, chief sustainability manager.
“In 2018 we committed to lead by example and reduce our vessel emission by 10%,” he said in the release. “With the addition of these six new container vessels we are well on our way, estimating a savings of nearly 19 thousand metric tons of fuel each year.”
The names of the other new ships are Del Monte Rose, Del Monte Harvester, Del Monte Spirit, Del Monte Valiant and Del Monte Pride.
It was just February 28, 2020, right before the shutdowns began in America for the coronavirus, that Joe Coulombe, the founder of Trader Joe’s, passed away. He was 89 years old.
We’ve been visiting Trader Joe’s since before it was purchased by brothers Karl and Theo Albrecht, of Aldi fame, in 1979. We confess that we never once considered it to be racist or in any other way objectionable. We would have said the store was kind of light-hearted in its promotion, with staff running around in Hawaiian shirts, nautical décor, etc.
Coulombe grew up on an avocado farm in Del Mar, CA. He did a stint in the Air Force and then earned a Bachelor’s degree with a major in economics. He continued at Stanford to get an MBA.
The genesis of Trader Joe’s was competition. Coulombe worked for Owl-Rexall, the drugstore chain, and he had been asked to develop Pronto Markets, a convenience store concept. Eventually, Rexall was going to close the division, and Coulombe bought the company—having to sell his house, borrow from Bank of America and get his employees to buy stock. He ran it for several years as a convenience chain and then heard that 7-Eleven was coming into the Pasadena market. He felt he would lose out in a competitive battle. He explained his thoughts in a 2006 article in Stanford Business, which is published by Stanford’s Graduate School of Business:
“The guy with the most money wins. He gets the best locations. It’s very simple,” Coulombe says now, but he knew it then.
His best hope for survival was to come up with a new idea so the stores didn’t compete head on with 7-Eleven. He had to appeal to a particular demographic group that would seek out his stores, even if he couldn’t put them in the best locations.
It took more than a year for the idea to crystallize. Part of his inspiration came from an article in Scientific American detailing a new generation of college-educated adults. Up to 60% of young people would be going to college, the article told him, up from just 2% in the early 30s, when he was born. Clearly, college was a factor that would transform society.
Second, he read about the coming of the Boeing 747, a larger plane that would greatly reduce the cost of foreign travel. Coulombe began to see the demographic slice he wanted to attract: the growing group of people who were well educated and looking for something different—perhaps a bit exotic—but with a keen eye for a bargain.
As he tells it today, he saw his customers as teachers, musicians, journalists—the overeducated and underpaid.
The final piece of the puzzle fell into place on a Caribbean vacation. Lounging on the beach, he saw what Trader Joe’s would look like: a South Seas trading post with fishing nets and oars adorning the walls.
Trader Joe’s became a leader selling premium items, such as specialty cheese. For a while, it was the number one seller of Brie in America.
After he retired, Coulombe served on many boards, including those of Denny’s and Bristol Farms. He was always focused on the idea retailers needed to be uniquely aligned with their clientele. For him, that was often the idea of a new generation of Americans who were far better educated than in the past but not necessarily highly paid. Coulombe used to joke that Trader Joe’s would get great press because journalists fell in that well educated but not necessarily well paid bracket.
May Joe rest in peace.
Now, all of the sudden, a high-school senior claimed that Trader Joe’s was an exemplar of cultural exploitation because it markets many ethnic products under trade names such as Trader José for Mexican foods or Trader Ming’s for Chinese food.
By mock way of explanation of its theme, the Trader Joe’s website says the Trader Joe’s name came from Joe having “been to the Disneyland Jungle Trip ride.” The Wall Street Journal suggested that the inspiration behind Trader Joe’s name may have been the Trader Vic’s restaurant chain, which claims to be the home of the original Mai Tai.
The culture being what it is today, The Wall Street Journal explains that Trader Joe’s surrendered instantly. Trader Joe’s claims it had already decided to phase out the “offensive” names:
“While this approach to product naming may have been rooted in a lighthearted attempt at inclusiveness, we recognize that it may now have the opposite effect—one that is contrary to the welcoming, rewarding customer experience we strive to create every day,” said Kenya Friend-Daniel, the company’s director of public relations.
When the current period of ultra-cultural sensitivity is past, perhaps it will be realized that these “concerns” help no one at all. Nobody gets better educated. Nobody makes more money. Nobody is happier.
Indeed, as The Wall Street Journal pointed out, the high school student who did this will now get into an Ivy League school. Aside from that, we can say the world will be a little less fun and the real problems of the world today will be neglected a little longer.
Wisconsin potato shipments remain light as the harvest has recently started. Good, steady volume is expected in September.
Farmers Potato Exchange of Antigo, WI started digging chip potatoes in late July and tablestock potatoes about two weeks ago.
Alsum Farms & Produce of Friesland, WI believes this may one of the best crops in years with 90 percent of the fields being average or above average for reds, gold and russets.
The company started with red and gold potatoes the last week of July and russets August 12th.
Okray Family Farms of Plover, WI reports Wisconsin’s potato production is located in the state’s 1.75 million-acre Central Sands region, which rests on deposits of sand and gravel.
Grower-shipper RPE Inc. of Bancroft, WI. expects a good potato crop, which has started on time.
Gumz Muck Farms LLC of Endeavor, WI notes potato quality is above average with good size and started harvest over a week ago.
