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Texas Produce Firms File Bankruptcy

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Two Texas produce firms have recently filed for Chapter 11 bankrupty and if they stay in business with this protection from creditors, produce haulers should be extra cautious doing business with them.

The produce companies in San Antonio, TX are  in question are Delta Produce LP and Superior Tomato and Avocado.  The firms, which are believed to be related, are facing compliants from the Perishable Agriculture Commodities (PACA).  As of December 29th around $600,000 in PACA claims have been filed by other produce firms, which are owed monies.

Delta has filed a $100 million lawsuit against H.E. Butt Co. seeking damages against the retail chain alleging coercion by a buyer, according to a filing in the U.S. Bankruptcy Court in the Western District of Texas.  H.E. Butt has denied the claims stating Delta failed to keep up with a changing marketplace.

The PACA comes under the umbrella of the U.S. Department of Agriculture and requires U.S. produce companies buying or selling fresh produce in commercial quanities to be licensed by USDA.  This helps to provide protection to the produce industry when dealings between produce companies cannot be resolved between themselves.

Trucking is not afforded these same protections and often have no recourse when monies are owed, except through the courts.  This can be costly, not to mention the inconvenience of fighting a company for money who may be located in a different state thousands of miles away.  Also, PACA protected produce companies get their monies first, if any is left in a bankruptcy.

Bill Martin of haulproduce.com for decades has been calling for trucker protections under the PACA.

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The Lettuce is Alright

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This probably won’t make big news, but head lettuce grown in Arizona fields south of Phoenix and shipped to a few areas in the west have been pulled from the market.  The grower and shipper of the lettuce is Growers Express of Salinas, CA.  The vegetable company is already receiving high praise as it pulled its product from the market even though there is nothing known to be wrong with it.  Apparently a separate lettuce field not too far away was found to have Somenella.  As a precauation Growers Express decided to remove it’s lettuce from retail stores, even though none of its lettuce had tested positive for food containmation.  In the wake of the Colorado cantaulope debacle last year resulting in several deaths, extra precautions are apparently being taken by some produce companies.

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National Produce Shipments

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It’s the slowest time of the year for produce shipments, but as usual, California which accounts for about 50% of the nation’s loads a year is your best best.   So far, citrus from the San Joaquin Valley (as well as in Florida) have dodged damaging freezes.  California has light shipments of strawberries from Oxnard, Santa Maria and Orange County.  There also are light loadings of Mexician tomatoes crossing into Southern California….Western Arizona (Yuma area) is providing the best loading opportunities with head lettuce and romaine, and to a lesser extent with broccoli and cauliflower….In the Midwest, the Stevens Point, WI area may be your best bet with potatoes….In the Southeast, it’s pretty slim pickings, but check out mixed veggies from Southeastern Georgia, and citrus  and strawberries from Central Florida.

Yuma lettuce – grossing about $6400 to New York City.

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Why Create haulproduce.com?

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Why was haulproduce.com created?  Simply put, there is a need.  That need is good, accurate, reliable and timely information.  This knowledge can be used by those who are transportating fresh fruits and vegetable to improve their bottom line, making business operations more profitable.

From pre-cooling melons, to proper loading procedures, maintaining refrigeration temperatures and humidity levels, to timely deliveries of perishable items, hauling produce is a different ballgame.

The harvesting and shipping of fresh produce items in a particular area can range from three to four weeks from year to year, depending on the weather.  Likewise, the start and completion of shipments of those same items can vary each year.

Additionally, volume from this same district area can change greatly from one year to the next.  Then there is always the concern over  quality of the product.  It is important that the party to whom you are delivering has no surprises relating to quality, size, color, and taste of the product.

Having this information at your finger tips reduces your chances of having the load rejected, or facing a deduction in your freight rate.

It is important to know where loads will be available from season to season.  Loadings of lettuce, for example, come from different shipping areas, depending upon the time of the year.  Shifts from one shipping area to another may have gaps in some instances, but may overlap in others.  These shipping areas also may vary significant in volume from year to year and even during the season itself.

In addition to all these factors, rates for hauling produce can fluctuate greatly, even from the same area to the same destination depending upon everything from truck availability to produce volume and the perishable nature of the product.

In essence, to be a good produce trucker, it requires being a cut above most of types of  other haulers.  And being among the best, depends on knowing the business and using the information available.  Thus, haulproduce.com is here to help.

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About HaulProduce.com

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DSCN4604HaulProduce.com has a purpose of providing helpful and insightful information first of all to the professionals who haul nearly 100 percent of the nation’s fresh fruits and vegetables to destinations all over the United States, Canada, and now Mexico.  There are health related features here as well since truckers are more often becoming health conscious and realize the benefits of eating fresh produce.  There also is information on “In-Transit Issues” to help deliver a better product and hopefully reduce the chances of a claim or rejected load.  Other issues covered range from trucking equipment to occasional political issues.

Yet, the heart of HaulProduce.com is the produce trucking reports providing information ranging from when shipping areas become active, to when these areas may have shipping gaps, to information relating to volume and quality of produce available for hauling.  When produce rates are listed they are based upon being straight loads in 48-foot refrigerated trailers.    Rates can also vary on a day-to-day, if not hourly basis, thus quoted rates are to give you a general idea of what is being paid.  You should add more to your freight rate when there are multiple pickups and drops, brokerage fees, gate fees, unloading charges and possible other expenses that affect your bottom line…

As HaulProduce.com grows and evolves, look for new features on this site.  Wishing you safe travels and profitable hauls.  — Bill Martin

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Northeast Produce Shipments

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Upstate New York state is accounting for more produce shipments than the rest of the Northeast combined.  New York’s biggest volume is with apples out of the Hudson Valley, as well as areas in the Central and Western part of the state. The Western half of New York also is significant for cabbage.  Orange County New York has a moderate volume of onions, as does the Oswego area in the Central part of the state….There is also light shipments of apples from the Applachian District of Maryland, Pennsylvania, Virginia and West Virgina….Aroostock County Maine is in the far northern part of the state and is shipping around 250 loads of potatoes a week.  Overall, the Northeast certainly isn’t a hotbed of loading opportunities, but if you are needing a load, all options should be considered.

Maine potatoes – grossing about $2100 to Philadelphia.

Western New York cabbage –  $2200 to Atlanta

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Texas Grapefruit

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Texas grapefruit each winter is typically one of my favorites for eating.  First, I can usually count on the taste and quality to be good.  Second, since I live in the Midwest, freight rates from the Lower Rio Grande Valley are lower than to much farther destinations, thus retail prices are more reasonable.  So far, my store has been carrying grapefruit that is relatively small in size, but the quality and taste has been there.  One caution.  I’ve been buying it in the three-pound bags which normally contain about 7 pieces of the citrus.   However, upon close examination of the grapefruit in the bags, some bags contain one piece of fruit with a dark discoration indicating it is breaking down….Grapefruit will store longer if you refrigerate it, but I prefer keeping and eating it at room temperature for the full flavor.

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Northwest Produce Shipments

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When it comes to getting produce loads out of the Northwest this time of the year, we’re looking primarily looking at apples, pears, potatoes and onions.  The fruit is primarily in Washington state, while the potatoes and onions are not only in Washington, but in Idaho and Oregon.  When talking truck load equivalents, keep in mind this includes loads by rail, which are heavier from this region than most.  In the Yakima and Wantchee valleys about 4,300 truck load equivalents of apples and pears are being shipped weekly.  In Washington’s Columbia Basin and the Umatilla Basin in Oregon, both spuds and onions are being loaded.  Potato movement from the Twin-Falls-Burley area of Idaho is around 2,000 truck load equivalents per week.

Idaho potatoes – grossing about $5700 to New York City.

Washington fruit – about $4100 to Chicago.

Washington potatoes – about $2300 to L.A.

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Washington Apple Loads

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Washington State apple shipments should be huge this season which continues through summer from storages when the new crop starts coming on in late July or August.   Over 104 million boxes are expected to shipped during the 2011-2012 season, primarily from the Yakima and Wantechee valleys.   During the last week of December alone, 3.2 million 42-pound boxes of apples were shipped.  Typically when you have a large fruit crop, it results in smaller sizing, but quality is reported as quite good.   Shipments have been really heavy since the crop from the previous season had all been moved, leaving a gap between it and the new season.  Thus, demand for apples has been strong.

Washington apples – grossing about $6400 to New York City.

Washington (Columbia Basin) potatoes and onions – about $4400 to Detroit

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Kiwifruit Selection

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These furry looking little “critters” are one of my favorites!  Great for breakfast or snacks.   My local supermarket has been carrying Kiwis from both Italy and New Zealand.  Nobody loves Italian pasta more than I, but I’m sorry the kiwi from Italy I’ve bought is hard a rock.  I take it home and two weeks later it’s still that way.  Out of desperation, I finally cut it open.  It lacks juice, sweetness and taste.  On the other hand the New Zealand kiwi has been excellent…..When purchasing kiwi look for firmness when feeling the fruit that “gives” slightly when pressing it.  Kiwi with wrinkels is showing shrink, and will be — if not already, over ripe and past its prime….Pricewise, it’s been one of the best buys in the produce department.

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