Author Archive

California Shipping Update with Salinas Lettuce and San Joaquin Valley Grapes

By |

DSCN9845Salinas Valley lettuce shipments continue with less ups and down in volume.  Meanwhile, San Joaquin Valley table grape shipments will enter it biggest volume period of the season starting in September.

After a rocky start last spring hauling head lettuce and leaf lettuce out of the Salinas Valley, shipments have become more reliable and steady in the second half of the season.

However, there seems to be less overall volume this year, due in part to the stormy, water deluged fields earlier this year, and the fact a number of head or Iceberg major growers reduced acreage, in part because of the weather and partly due to past low prices.  Those can result from over production, but just as importantly a lot of homegrown and eastern commercial operations are in full production from the Northeastern U.S. and eastern Canada.

Salinas Iceberg shippers are averaging over 1200 truck loads of product a week, and over 900 truck loads of romaine.

Leaf Lettuce Shipments

Spring plantings of leaf lettuce were erratic in a similar fashion to head lettuce.  Items such a romaine, as well green and red leaf lettuce shipments haven’t been exceptional this season out of Salinas.  There are freight advantages for buyers on the East Coast sourcing product much closer to home than California.  As a result, a lot of California lettuce shipments are limited to the Western U.S.

Salinas Valley lettuce shipments, as well as broccoli, cauliflower and other vegetables – grossing about $4100 to Dallas, $7000 to New York City.

Grape Shipments

A generally hot weather pattern in the San Joaquin Valley since May apparently hasn’t hurt table grape quality, but if it continues could affect the quality of product being distributed around the country – particularly with red grapes and black grapes.  It’s not unusual for the valley to have hot spells in summer, but not stretching out this long.

California growers are expected to ship 111.4 million 19-pound boxes of grapes this season topping last season’s nearly 109 million boxes.  Over 60 percent of the volume will be shipped after September 1st.

San Joaquin Valley grapes, stone fruit and apples – grossing about $4600 to Chicago.

Read more »

New Wal-Mart Distribution Center is Coming at Port Canaveral

By |

DSCN9838Wal-Mart will build a distribution center for fresh produce and other perishable items with land acquired from Port Canaveral in Florida.

Final approval of the sale of 271 acres of land to Wal-Mart Stores East LP was recently granted by the board for Florida’s Port Canaveral, according to a news release. Terms of the transaction were not revealed.
The port had acquired the land on State Road 524 near Interstate 95 in Cocoa, in December 2014 at a cost of $1.95 million, according to the release. Originally, the port had plans to develop the area into a cargo distribution complex.
However, discussions that began in 2016 between the Canaveral Port Authority and Wal-Mart Stores resulted in a change in plans.
The port will use proceeds from the sale of the acreage to reduce debt, increase monetary reserves and address capital improvements.
According to a statement released by Wal-Mart last year, the retailer planned to use the ground to open a distribution center and refrigerated warehouse complex that will store fresh produce and other perishables and staff more than 200.
“Ultimately, Port Canaveral hopes to realize some economic benefit once the distribution center is complete and operational by way of increased cargo business through the port from Wal-Mart,” Canaveral Port commission chairman Tom Weinberg said in the release. “The Port views this sale as a win-win for the region as a whole, as it stands to prosper from the distribution center, the first of several proposed development projects which could revitalize the SR 524 corridor and the surrounding communities.”
About Wal-Mart
What started small, with a single discount store and the simple idea of selling more for less, has grown over the last 50 years into the largest retailer in the world. Each week, over 260 million customers and members visit the company’s 11,695 stores under 59 banners in 28 countries and e-commerce websites in 11 countries. With fiscal year 2017 revenue of $485.9 billion, Walmart employs approximately 2.3 million associates worldwide.

Read more »

Washington Stone Fruit Volume is Peaking: Mango Shipping Update

By |

HPmangos

Stone or soft fruit shipments from Washington state are peaking.  Meanwhile, here’s a round up mango shipments from key countries.

As the Washington state summer soft fruit shipping season enters final months, peak loadings are now underway for the next month.

For example, Stemilt Growers LLC of Wentachee, WA will be peaking with shipment of  Artisan Organic peaches and nectarines that started in late July.

Based in south central Washington state, Artisan Organics peaches and nectarines are grown in arid and almost desert-like climates.  These climates coincide with warm days, which allow peaches and nectarines to achieve high sugar levels and cool nights that allow the tree to rest and give stone fruit the opportunity to establish beautiful coloring. The climate combined with volcanic soils gives peaches and nectarines the necessary nutrients to flourish.

The company’s Douglas family transistioned to growing organic fruit about a decade ago.

Washington stone fruit, apples and pears – grossing about $4800 to Chicago.

Mango Update

by National Mango Board

The Mango Crop Report from the National Mango Board has been updated.

Mango volume shipped on week ending 7/29/17 was approximately 3.2 million boxes.

  • During the same week last year, volume shipped was approximately 2.9 boxes.

Mexico Mango Shipments

  • Mexican mango shipping season began in January and will run until October with a projection of approximately 74 million boxes.

Volume on week ending 7/29/17

  • Volume shipped from Mexico was approximately 3.2 million boxes for a total of 62 million boxes for the season.
  • During the same week last year, volume shipped from Mexico was approximately 2.9 million boxes for a total of 60.4 million boxes.

Haiti Mango Crop

  • The Haitian season began in March and will ran until August with a projection of approximately 2.1 million boxes.

Volume on week ending 7/29/17

  • Volume shipped from Haiti was approximately 5,053 boxes for a total of 2.2 million boxes for the season. During the same week last year, volume shipped from Haiti was not available.

Brazil Mango Crop

  • The Brazilian season will begin in August and will run until November with a projection of 7.8 million boxes.

Please note:

  • U.S. entry ports report incoming mango volume on different schedules; some report daily and some weekly. This will cause discrepancies between the volume shipped from the source and the volume arrived at the U.S. entry ports in any given week.
  • Boxes are 8.8 lbs (4.0 kg). Boxes from Haiti are 9.9 lbs (4.5 kg)

Read more »

2018 Should Mean Big Rebound in California Avocado Shipments

By |

DSCN98462018 will be a big rebound for California avocado shipments, if some observers are correct.   Conventional avocado volume is expected to hit  2.275 billion pounds in 2017.

The Hass Avocado Board of Mission Viejo, CA believes there will be a 90 million-pound increase from 2,189 billion pounds in 2016.  There should be a lot more avocados for hauling next year, with early projections ranging from 400 million to 425 million pounds.  Those statistics include avocados from California, Peru, Chile and the Dominican Republic.

Mexico exported 1.7 billion pounds of avocados to the U.S. the shipping year ending in June, which was off from the original estimate of almost 2 billion pounds.

U.S. avocado volume has been increasing an average of about 15 percent over the past 10 to 15 years, but 2017 was the first year when the total shipments declined.

As supplies of California and Peruvian fruit taper off in late August and into early September, loading opportunities will be limited until Mexico’s aventajada crop starts ramping up in September.  California’s 200-million-pound crop was about half the size of last year’s.

With Mexico’s next crop starting in September, it is expected to significantly boost loading opportunities with an expected  1,000 or more trucks per week.  Mexico will hit its stride after Labor Day,with 45 million to 50 million-pound being shipped a week.

Peru doubled its exports to the U.S. this year compared to 2016, according to the Peruvian Avocado Commission in Washington, D.C.

Peruvian growers will export 140 million pounds of avocados to the U.S. this summer, compared with 70 million pounds last year, and  next year’s crop should be even larger.

About Hass Avocado Board

The Hass Avocado Board (HAB) is an agriculture promotion group established in 2002 to promote the consumption of Hass Avocados in the United States. A 12-member board representing domestic producers and importers of Hass Avocados directs HAB’s promotion, research and information programs under supervision of the United States Department of Agriculture. Funding for HAB comes from Hass avocado producers and importers in the United States.

Ventura County cabbage and greens – grossing about $6900 to New York City.

Read more »

Organic Produce Sales are Showing Strong Increase

By |

014Organic produce sales displayed a strong increase in 2016 after sales had cooled a bit the previous year.
The Organic Trade Association’s 2017 Organic Industry Survey showed an 8.4 percent increase compared with the previous year as organic fruit and vegetable sales increased to $15.6 billion in 2016.
In a comparison, organic fruit and vegetables sales in 2015 were $14.4 billion, up 10.5 percent.  The fruit and vegetable sector accounted to nearly 40 percent of all organic food sales in 2016, and the 8.4 percent growth rate compares with the overall 3.3 percent gain for total fruit and vegetable sales.
Fresh produce has generally accounted for about 90 percent of the organic fruit and vegetable sales.  The balance of  sales is with canned, frozen, or dried organic fruits and vegetables.
The OTA survey, produced in February and March by Nutrition Business Journal for the Organic Trade Association, noted organic fruits and vegetables now make up almost 15 percent of the produce that Americans eat.
The OTA survey places overall organic food sales at $43 billion, up $3.3 billion or 8.4 percent higher compared with the previous year. That is well above the nearly flat 0.6 percent growth in total food sales, according to the release. The survey shows organic food now accounts for 5.3 percent of total food sales.
“The organic industry continues to be a real bright spot in the food and ag economy both at the farm-gate and check-out counter,” Organic Trade Association CEO and executive director Laura Batcha said in a news release.
Batcha said there are challenges to the category’s growth.
“We need more organic farmers in this country to meet our growing organic demand, and the organic sector needs to have the necessary tools to grow and compete on a level playing field,” she said. “That means federal, state and local programs that help support organic research, and provide the organic farmer with a fully equipped tool kit to be successful.”
The survey numbers from the organic association differ widely from the United Fresh Produce Association’s FreshFacts on Retail report, which pegged organic produce sales at retail (not including processing or foodservice outlet sales) at $4.46 billion in 2016, up 13.2% from 2015. Additionally, the United Fresh numbers — from Nielsen Fresh — said organic sales in 2016 accounted for 9% of all fresh produce sales. The 9% organic market share number from FreshFacts is 40% below the OTA’s 15% estimate for organic’s share of the produce market.

Read more »

Pennsylvania Apple Shipments are Underway; California Apple Loading Update

By |

DSCN9847Pennsylvania apple shipments have started, plus an update on how apples are moving from California operations.

Rice Fruit Co. of Gardners, Pennsylvania have recently started its stone fruit season, which will continue until Labor Day.  Shipments started with the company’s  Premier Honeycrisp apple, an early season Honeycrip varietal.  It will be shipped until mid-August.

The apple grower/shipper started with stonefruit, which is a short, fast and furious season, before quickly turning to apples, including the seasonal varietal ginger gold, the first-to-market Premier Honeycrisp and shortly thereafter, gala.

Rice Fruit Co. today is the largest fresh apple packing facility east of the Mississippi.  Besides the fruit grown by R&L Orchards, the company packs fruit for about 75 other fruit-growing families, mostly in Adams County, but some from as far away as Virginia and New York. The company packs fruit year-round, using 18 controlled atmosphere storage rooms. In the spring and summer months, it also stores and repacks fruit from the southern hemisphere.

California Apple Shipments

California’s apple shipments got underway in mid-July and continues through early October.  The early California apple forecast projects  about 1.6 million boxes of which about 1.2 million boxes will go to processing.

No doubt California is a minor shipper of apples compared to Washington state that ships more apples in a week than the Golden State does over an entire year.  California does not store apples, unlike Washington which places most of its fruit in storage for a near year around shipping season.

Calfiornia is the first state in the U.S. to ship apples from a new crop every year.

Although a large percentage of California apples are sold domestically, nearly 20 percent of California apple volume is moved offshore to places such as Canada, Mexico and Southeast Asia.

Primavera Marking of Linden, CA, which ships 90 percent of its apples to retailers,  just started harvesting Galas the week of July 24   It will start shipping Fujis around Aug. 15, Granny Smiths around Aug. 28 and Pink Ladies the week of Oct. 16.

 

Read more »

Produce Grower Village Farm to Start Growing Marijuana in Joint Venture

By |

marijuanaA budding new relationship with a medical marijuana company Village Farms International Inc. is resulting in plans to grow 25 acres of greenhouse cannabis to start.

Emerald Health Therapeutics Inc. and Village Farms announced recently they’re forming a joint venture for large-scale, “high-quality, low-cost” cannabis production in one of Village Farms’ British Columbia greenhouses.

Village Farms will initially contribute a 25-acre greenhouse facility in Delta, British Columbia under the terms of the agreement.  It will be a 50-acre parcel of land, which will be converted to marijuana production for medical use and — where law allows — the recreational market, the companies said in a news release.  Emerald Health Therapeutics is a Health Canada-licensed producer of medical cannabis.

Each company will have a 50 percent ownership stake in the venture.

The partners said they are planning for 1.1 million square feet of initial potential greenhouse marijuana production, estimated to yield more than 75,000 kilograms of product per year upon completion of full licensing and greenhouse conversion.

The deal also allows for an option to add two more greenhouse facilities in the future.

Mike DeGiglio, CEO of Village Farms, said the partnership is a “transformational opportunity for their company,” which grows vegetables in greenhouses at several sites in Texas and British Columbia. He said the partnership with Emerald Health is a chance to grow “a substantially more profitable agricultural product.”

“This is a tremendously exciting and potentially lucrative opportunity for Village Farms,” he said on a conference call announcing the venture.

Taking on cannabis production won’t come at the expense of Village Farms’ established tomato and cucumber production; it assures that end of the business will grow from its current 240 acres of production, DeGiglio said.

“I want it to be very clear that Village Farms remains steadfastly committed to our produce business and to provide our customers with the same quality and surety of supply and old-world experience they have come to know and expect over our three decades in business,” he said. “We fully expect to continue to expand capacity in our produce business to meet customer demand by exploring consolidation opportunities, as we have successfully done in the past, and through organic initiatives at our U.S. operations.”

The Delta greenhouse is expected to begin cannabis production by late 2018. which includes options for Emerald Health to lease or purchase from Village Farms additional 25- and 60-acre greenhouses adjacent to the first facility.

“Demand in the medicinal market is forecast to grow tenfold by 2024,” he said, noting that the new business has a potential for $9 billion in revenues.

DeGiglio said Village Farms production costs for cannabis will be less than $1 per gram, compared with an industry average of more than $2.

“We are confident we can be the low-cost provider in the industry,” he said.

The Village Farms/Emerald Health partnership has the potential to expand to up to 4.8 million square feet of greenhouse cannabis production — estimated to yield more than 300,000 kilograms of product annually — which would supply a considerable portion of the expected future cannabis demand in Canada or for export abroad, DeGiglio said.

“Based on our conservative market pricing forecasts and yield projections, conversion of our Canadian greenhouse facilities to cannabis production could generate revenue of 10- to 15-times that of our current Canadian vegetable production with EBITDA margins potentially expanding to more than 50 percent compared with our current Canadian vegetable margins,” DeGiglio said.

Read more »

Growing Imports are Providing Greater Opportunities for Produce Haulers

By |

DSCN9856The opportunities for produce haulers to haul imported fresh fruit and vegetables continues to increase as foreign farming operations increasingly recognize the demand in the United States and Canada for year around availability of produce.  Here we take a look at the exports of two South American countries, who are exporting a majority of their fresh produce to North America.

 Peruvian Blueberries

Five years ago there were virtually no blueberries being grown, much less exported by Peru.  Today, the South American country has 10,000 acres and continues to expand due to surging demand from the U.S., Europe, and China, according to the USDA report.

The U.S. is Peru’s primary export market, account for over 50 percent of blueberry exports in 2016 (54 percent).   Much fewer “blues” are exported to the Netherlands (24 percent), the UK (13 percent) and Canada (2 percent).
The USDA report points out total exports of Peruvian blueberries are projected to reach 40,000 metric tons in 2017, up 42 percent from 28,139 metric tons in 2016 and nearly four times the exports of 10,303 metric tons in 2015.  The bulk of Chile’s fresh blueberry exports to the U.S. arrive from September to December, though export shipments can begin in August and continue into April.
The majority of Peru’s blueberry farms are found in the northern coastal region of La Libertad, where the sunny and dry climate allows for nearly year-round harvest.
Peru’s blueberries rank third among that country’s fresh fruit exports.
Peruvian Asparagus
While Peruvian asparagus exports are expected to be lighter than normal during the first half of the season, shipments are expected to make up a lot of ground the second half of the season. However, by season’s end, total volume is expected to be close to normal.  Peak Peruvian exports should kick in around Labor Day.

Chilean Grape Wrap up

Grape exports to North America by Chile rose 11 percent in the 2016-17 season.  The Chilean Fresh Fruit Exporters Association reports that exports to North America totaled 364,770 metric tons, up 11 percent compared with 2015-16.
Additionally the USDA confirms U.S. imports of Chilean grapes from October 2016 through May 2017 totaled 341,000 metric tons, up 10 percent from the previous year.
North America buyers received half of Chile’s total 2016-17 exports of just more than 730,000 metric tons.  Chilean grape exports to all global destinations were up 4 percent in 2016-17.
In 2016-17, the Far East received 23 percent of Chilean grape exports, with Europe taking 17 percent and other destinations accounting for 9 percent of exports.

Read more »

Washington Potato Shipments are Underway; Plus Updates on Vidalia Onions and BC Blueberries

By |

DSCN9805Washington potato shipments for the new season are underway, while Vidalia onion loadings continue.  In British Columbia (BC), blueberry shipments are in peak volume.

Washington state’s potato season got underway in July with some early variety chipping varieties, followed by some colored varieties out of the Yakima Valley.  Then came some early processing spuds, followed by fresh market russets.

Fresh potato acerage in Washington has been stable at about 25,000 acres  for several years now.  Around 70 percent of the state’s potatoes are destined for export markets, comprised mostly of  processed products.   Most of Washington tablestock potatoes are shipped to Canada, Mexico and Taiwan. The state also has red potatoes coming out of the Skagit Valley.

While Washington potato sheds ship russets the year-round, its red, yellow and white potatoes usually are finished by March or April.

Vidalia Onion Shipments

Steady volume with Vidalia onions is expected to continue through Labor Day.  Truck shipments are expected to be very similar to last year’s total volume of 6.2 million 40-pound boxes, coming off of Southeastern Georgia’s nearly 12,000 acres,  As of July 26, there were still about 750,000 40-pound cartons of onions remaining in storage.

Bland Farms of Glennville, GA,  expects to be shipping Vidalia onions out of storage through late August or early September, with a smooth transition expected to Peruvian imports in September. Imported Peruvian onions will continue for the U.S. into early next year.

A little over 200 truck loads per week are being shipped out of the Vidalia district

Vidalia onions – grossing about $3000 to New York City.

BC Blueberry Shipments

British Columbia’s blueberry shipments should peak through August and could last into early September.  In a more normal year, most British Columbia “blues” would be shipped to markets in the Western U.S.  However, with East Coast blueberry volume slashed this year due to weather factors, more BC blueberries will be trucked into the Eastern Time Zone.  However, BC shipments could be off 30 to 50 percent this season due to poor pollination.  As the BC season closes around Labor Day, imports of blueberries from Peru and Argentina will start arriving at U.S. ports.

 

 

 

Read more »

NatureFresh Farms’ Mobile Greenhouse is Impacting Purchasing Decisions

By |

NatureFreshby NatureFresh Farms

Leamington, ON – The heat of the summer is settling in across the Midwest though this has not deterred NatureFresh™ Farms’ mobile greenhouse tour from missing a beat. Already nearly 50 events completed since mid-April, consumers continue to flock to #GreenInTheCity events to learn more about how greenhouse vegetables are grown.

“The mobile greenhouse has not only been a conversation starter but a difference maker in how we connect with our customers”, said Ray Wowryk, Director of Business Development.

The mobile Greenhouse Education Center (GEC) is a 38’ custom-built unit that is an exact snapshot of how NatureFresh™ Farms grows its vegetables in state of the art high tech greenhouses in Leamington, ON & Delta, OH. Equipped with fruit bearing plants and complimented by a live Bumblebee Eco-System, the GEC serves as an education resource to inform consumers about how greenhouse vegetables are grown.

“We care about the future of fresh and all that it entails; we need to collectively increase fresh produce consumption. NatureFresh™ can help do that with the GEC and by getting front and center with consumers, we share our story to help inform them of the value of greenhouse vegetables. Knowing who grows what you buy is important, understanding how its grown is just as important if not more”, commented Wowryk.

Supporting the GEC this summer are 5 college students who serve as NatureFresh™ Brand Ambassadors at each event. The team is responsible for event day operations and interacting with retail partners to ensure their customers have the best possible experience. With varied backgrounds ranging from agri-business to environmental science to marketing to biology, the team provides unique perspectives of the value of greenhouse grown vegetables.

“We are able to immediately impact consumers purchasing decisions at store level with the knowledge we share about how we grow greenhouse vegetables”, said Cole Burkholder, GEC Team Member & 3rd year Environmental Science Major from Ohio State University. Agriculture is nothing new to Burkholder whose family operates a farming operation of more than 500 acres of row crops in central Ohio. “The look on people’s faces when we explain the greenhouse growing process and they see the live plants with real fruit, it’s priceless, you kind of see that ‘a-ha’ moment in their eyes. We’ve even had customers show us their shopping carts when leaving to show us the tomatoes or bell peppers they have purchased because of our conversation. It’s a pretty good feeling!” commented Burkholder.

Now in it’s 3rd year, the #GreenInTheCity Tour has completed more than 200 events to date across eastern North America connecting with consumers at retail stores, summer camps, schools, and community fairs.  The 2017 tour will continue on through early November wrapping up at the Royal Agricultural Winter Fair in Toronto, ON November 12th.

To learn more about NatureFresh™ Farms and the #GreenInTheCity Tour, visit naturefresh.ca/GEC.

About NatureFresh Farms

NatureFresh Farms™ has grown to become one of the largest independent, vertically integrated greenhouse vegetable growers in North America. Growing in Leamington, ON and Delta, OH, NatureFresh™ Farms prides itself on exceptional flavor & quality. Family owned NatureFresh Farms™ ships Non-GMO greenhouse grown produce year-round to key retailers throughout North America.

Read more »