While some winter vegetables from West Mexico have been crossing the border at Nogales, AZ since mid November, volume has been gradually increasing. Peak shipments occur during January, February and March.
Importer/exporter and shipper EarthBlend of Nogales was receiving a steady supply of Sonoran soft squash and cucumbers, and Sinaloa volume in mid November. Volume is now significantly more now and will get even better after the New Year.
Among its first items for shipping were Sonoran soft squash and cucumbers. It has good volume with beans, soft squash (Italian, yellow and grey), hard-shell (butternut, spaghetti, acorn and kabocha), cucumbers (slicer, European and Persian), bell peppers (mini sweet peppers, green, red, yellow and orange) and hot peppers (jalapeno, serrano, poblano and Anaheim).
When spring arrives it will be loading watermelon, honeydew and roma tomatoes.
This will be Earth Blend’s first season to have steady shipments of melons. The past three years the company has been increasing its roma crop volume, starting the harvest in mid-April and finishing mid-June.
EarthBlend’s peak shipments with Mexican watermelons and honeydew will occur from mid-March through the end of May.
Importer Rich River Produce of Rio Rico, AZ started shipping Mexican vegetables in mid October, a full month ahead of when it normally starts. However, weather factors and strong domestic demand has interrupted a steady flow of product.
Rich River Produce specializes in chili peppers and other hot pepper varieties. Besides hot peppers, the company also has good supplies of bell peppers, cucumbers and roma tomatoes.
The company works with eight to nine growers throughout theMexican winter growing regions.
Between January and September of 2023, the Peruvian avocados were exported to 36 different countries with a total market value of $953 million. Compared to the previous year, this was a 9% increase from the $874 million reached in 2022, according to The Peruvian Exporters Association (ADEX).
In terms of volume during this period, 594,778 tons were exported, 3.3% more year-on-year.
The industry struggled with challenging weather conditions during August, which reduced the month’s harvest volume year-on-year from 48,401 tons to 45,041 tons. However, regions like Pasco and Ica experienced more than an 85% increase in production volume.
The United States stands as the third main destination of Peruvian avocados this year, with a total import value of $135 million. Only The Netherlands and Spain have a bigger share of the market with $293 million and $185 million in total value, respectively.
Chile and the U.K. finish the top five list of Peruvian avocado importers with a shared import value of $97 million, according to ADEX.
Leading export companies were Avocado Packing Company S.A.C., Westfalia Fruit Perú S.A.C., Camposol S.A., Virú S.A., Sociedad Agrícola Drokasa S.A., Agrícola Cerro Prieto S.A., and Agrícola Pampa Baja S.A.C.
Wishing everyone one of you and those you love a Merry Christmas! Pray for peace in a turbulent world. May the love of Jesus Christ live within all of us.
Growers estimate 12.7 percent more acres were planted in Idaho this year compared to last.
There will be enough supply to meet demand through the rest of the 2023-24 season due to higher yields, according to Markon Cooperative of Salinas, CA, in a press release.
The North American Potato Market News reported growers produced 434.22 million cwt. of potatoes this season, about 35.48 million cwt. more than 2022 (cwt. is the abbreviation for hundredweight, which is roughly 100 pounds).
The warm summer months contributed to excellent quality and a high pack-out of No. 1 quality potatoes.
40- through 50-count potatoes will remain limited; 90- through 100-count will be readily available throughout the season.
Sun World International announced the addition of eight importers to its portfolio of North American licensees. These are Canadawide Fruits, Direct Source Marketing, Flavor Farms, Fresh Latina, International Produce Group (IPG), Pandol Bros, Sbrocco International and Sun Fresh International.
The new additions bring the company’s panel of licensed importers to 28 companies.
Each of these companies holds a license to distribute and market Sun World’s full line of proprietary grapes in the United States and Canada from licensed Chilean, Peruvian, Brazilian, European, and South African suppliers.
Additionally, licenses include the right to import fruit from new and existing varieties developed by Sun World, marketed under the company’s leading consumer brands, such as AUTUMNCRISP, MIDNIGHT BEAUTY, SABLE SEEDLESS, ADORA SEEDLESS, and SCARLOTTA SEEDLESS.
“We are pleased to be able to bolster and expand our global footprint through the appointment of these extraordinary importers,” says Petri van der Merwe, global licensing co-director for Sun World.
“As we continue our strategic growth and expand our marketing efforts for our consumer brands, like Autumncrisp, we are ensuring ease of access to our proprietary fruit. Our goal is to maximize the revenue for our licensed growers while increasing consumer exposure to our proprietary table grape varieties and consumer brands,” he adds.
Creighton Abrams once said, “When eating an elephant, take one bite at a time.” AI is that elephant in the logistics space that everyone seems to be talking about. Let’s not kid ourselves here, we humans love the opportunity to have something within our grasp, that ultimately will make our lives less laborious, and can provide boundless information whenever and wherever we need it. Within the past week, I would have loved to have had something tell me how to make a beef Wellington from scratch or provide me with college football picks. That time will come, I’m sure, but even before the time comes the conversation about policy and ethics of AI will certainly be debated in many forums.
Ultimately, the idea is that AI can and will eventually surpass a team of people in breadth and scope of work, in mere seconds, it will become the new standard. I opened ChatGPT recently and typed in, “How will AI help supply chains?” The answer was shocking. In a matter of seconds, it gave me a plethora of ways that AI could be beneficial, such as demand forecasting, inventory management, predictive maintenance, blockchain for transparency, and risk management. For those thought-provoking scholars, that means AI can carve vast efficiencies in any supply chain. In a recent article from Nasdaq, “AI is being used worldwide to improve production times and boost safety in manufacturing plants in what is referred to as the ‘Industry 4.0’ era.” Will the human element still be applicable? The short answer is yes. While AI is revolutionizing the supply chain by optimizing processes, predicting demand, and enhancing efficiency, it will never replace the invaluable human connection, compassion and sensible foresight that supports the industry.
So, where would I guess the logistics industry to be in 5 to 10 years from now? Perhaps we’ll see a litany of providers offering up to customers a comprehensive “AI” program to help manage their supply chain stem to stern, or, most likely, staying the course and navigating the nuances of logistics using the best and brightest talent in the industry, which is none other than human capital. This remains essential for fostering collaboration, resolving complex issues, and navigating the unpredictable challenges inherent in the dynamic world of supply chain management. AI may streamline operations, but the industry’s success will always count on the symbiotic relationship between technological innovation and the irreplaceable human element that is required to cultivate and grow businesses.
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Jon Manning is the general manager of the ALC Cincinnati office. He started in the logistics industry working in transportation sales role in 2002. Manning graduated from Bowling Green State University with a B.A.C. degree in Communications.
Berry Fresh of Compton, CA is again bringing in Sweet Karoline blackberries from Mexico.
With blackberry supply from Mexico on the horizon, Sweet Karoline is forecasted to begin entering the market in late December, according to Berry Fresh. Heavier supply is anticipated in later February and volume will continue through spring, the release said.
“Let’s bring blackberries into the spotlight!” Jyoti Bhogal, vice president of sales and marketing for Berry Fresh, said in a news release. “We are excited about this year’s season and our plans to promote Sweet Karoline with our retailer partners and straight to the end customers as well. Customers are asking for this variety now, and we have plans to expand our distribution.”
Berry Fresh says that as more people add berries to their shopping list, varieties like Sweet Karoline help keep blackberries top of mind for both health and flavor enthusiasts.
In an article published in the Journal of Commerce (JOC), Mark Szakonyi goes in depth regarding the options that carriers are considering to face drought-driven restrictions imposed in the Panama Canal. Unless unexpected rainfall were to hit the country, transit restrictions are expected to be in place for the next few years.
“Restrictions, which effectively reduce the maximum stowage capacity of larger vessels and limit the overall number of transits, will likely force carriers to alter networks as they try to push higher costs onto shippers,” says Szakonyi.
Panama Canal authorities have announced that the soonest relief to restrictions- which were imposed in July- could come in 2028.
More concerning is the fact that the easing of restrictions would come when the government of Panama leaves aside years of underinvestment and supports $2 billion in investment to build a new reservoir and more pipelines.
“We greatly appreciate the current weather conditions are a factor,” Ocean Network Express (ONE) CEO, Jeremy Nixon wrote in a letter to Panamanian President Laurentino Cortizo Cohen on Oct. 30. “However, we also understand that no significant projects have gone ahead in Panama to increase the freshwater supply to the locks from other catchment areas.”
Draft limits are reducing the capacity of container ships transiting the canal by approximately 20% across all size classes, says Michael Kristiansen, president of Panama-based consultancy CK Americas.
Larger vessels lose approximately 350 TEUs of capacity for each foot of draft lost; with the draft now limited to 44 feet, down from the designed 50 feet, larger ships must give up about 2,100 TEUs of otherwise usable space.
Some carriers have been forced to offload cargo at terminals at either end of the canal, and then rail those boxes across the isthmus. Container lines have been generally spared from long transit delays, however, thanks to pre-scheduled transit appointments.
Carriers considering options
In Nixon’s letter to President Cortizo he explains that upon growing concerns and the lack of service reliability, ONE is considering other routings via the Suez Canal.
This month, Zim Integrated Shipping Services added a call at the Port of Lázaro Cardenas in Mexico to allow Asian imports to arrive in the Midwest.
ONE, similar to other container lines, invested heavily in larger vessels that were able to move through a larger set of locks, which was completed in 2016 at a cost of $5.25 billion.
Ports along the US East and Gulf coasts similarly invested billions of dollars to be able to handle the larger ships, which has helped fuel a two-decade shift of trans-Pacific imports away from the West Coast.
The lack of scheduled service is squeezing seasonal refrigerated (reefer) operators that charter vessels on an ad-hoc basis and must wait in line similar to the bulk carriers and tankers.
Nixon also raised concern about the reduction in daily transit slots for neo-Panamax vessels- those with capacities ranging from 10,000 to 15,000 TEUs that can transit the canal thanks to the new set of locks that opened in 2016- with the number falling to five starting Jan. 1 compared with the 10 available just three months ago.
Political solutions
Panamanian politicians seem more focused on copper than water, amid the largest protests in three decades over mining concessions. Rising political instability and social unrest frame the upcoming national election in May.
Ultimately, the government must either expand the canal authority’s geographic remit so it can push through water management projects or limit current restrictions that prevent it from building new reservoirs.
Canal officials hope construction contracts currently in the offing can be awarded by the end of 2024, with work completed in 2028.
Depending on the severity of this drought, and potentially others to come, carriers may do as ONE warned: shift service away from the canal.
Deploying smaller vessels is another option.
Carriers could also adjust services to send more cargo from South Asia through the Suez Canal, though it would add distance for some origins, Kristiansen said. The US East Coast is approximately 2,200 nautical miles farther from Shanghai via the Suez Canal than via a Panama Canal routing.
Yet another option would be for carriers to change some Asia–North America services to so-called around-the-world strings, transiting the Suez on the backhaul from North America to Asia, Kristiansen says.
That would require an additional deployment of ships in the string to maintain weekly service frequency. Although less than ideal, it would slightly mitigate industry-wide overcapacity.
Israeli company BDA/Dorot Farm, a grower group of fresh and sweet carrots, is launching its crop for the upcoming season in the North American region.
Dorot Farm supplies jumbo carrots to markets, foodservice and fresh-cut companies, according to a news release. The marketer provides cello carrots in 1-pound, 2-pound, 3-pound and 5-pound bags to major retail chains in the Northeast and Canada.
“The new crop from Dorot Farm looks good, and I’m very happy with the field’s conditions,” Ami Ben-Dror, CEO of BDA/Dorot Farm, said in the release. “We will be ready to deliver our new crop to all of our loyal customers around the world.”
BDA/Dorot Farm is a top exporter of fresh and sweet carrots around the world, exporting to North America, Europe, and Africa, according to the release.
The company’s shipping is handled through BDA Marketing Inc. of Melville, NY.
As of the first week of November, Peruvian grape exports to the U.S. totaled 10,295 tons, up 33 percent from 2022. The leading Peruvian exporters at this point are Ecosac Agrícola S.A.C., with 16 percent, and Sociedad Agrícola Rapel S.A.C., with 9 percent.
Also as of the first week of November, Peruvian grape shipments totaled 26,581 tons, 12 percent more than the same week last year.
With this, to date, shipments have already reached 111,521 tons, which has placed this season 54 percent ahead of last year, as reported by freshfruit.pe.
The early November totals revealed product was exported to 32 destinations, of which 3 accounted for 67 percent of all shipments. These were the U.S. with 39 percent of the volume, followed by the Netherlands with 20 percent, and the UK with 9 percent.
Shipments to the Netherlands totaled 5,246 tons, which was 22 percent higher than the same week last year. The leading Peruvian exporters were Ecosac Agrícola S.A.C., with 27 percent, and Pura Fruit Company S.A.C., with 8 percent.
To the UK, shipments of Peruvian grapes totaled 2,376 tons, which meant an increase of 2 percent compared to 2022. The most prominent exporters were Sociedad Agrícola Rapel S.A.C., with 19 percent, and Ecosac Agrícola S.A.C., with 18 percent.
