Organic produce sales topped $1 billion in the first quarter of 2016, according to the latest United Fresh Produce Association FreshFacts report.
Tracking sales data from January through March, the report found that organic fresh produce sales in the first quarter totaled $1.1 billion, up 15% from year-ago levels. Sales gains were boosted by an increase in the number of retailers offering organic produce, according to the release.
The growth in organic produce sales and other data from the report were featured in the workshop “Who’s Buying Your Produce?” at the
United Fresh 2016 convention in Chicago, according to a news release.
The FreshFacts report reveals that fresh produce accounts for 34 percent of total fresh sales in supermarkets, second only to meat. Total first-quarter sales of fresh produce were up 5 percent from year-ago levels, and volume was up 1 percent, according to the report.
The United Fresh workshop, to be led by Jen Campuzano and Matt Lally from Nielsen Perishables Group, will address shopping behaviors by generation, income and ethnicity, according to the release. The workshop presenters will also provide recommendations on market strategies for produce suppliers and retailers, according to the release.
The FreshFacts report, produced in partnership with the Nielsen Perishables Group and sponsored by Del Monte Fresh Produce, is
available online and can be downloaded with no charge for United Fresh members and $50 for non-members, according to the release.
Beyond its examination of organic sales and trends for the top ten fruits and vegetables, the first quarter FreshFacts report explores consumer perceptions of local produce and generational demand, according to the release.
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Even refrigerated carriers have their challenges hauling fresh produce, but it is an awesome mountain for rail entities, which is why there have been so many failures over the years.
Now we hear Railex LLC is ending service to the Southeast. although it claims it will be back one day.
The rail logistics transporter, based in Riverhead, NY, ceased operations in Jacksonville, Fla. August 13th with its refrigerated perishables..
Rumors of the closing had been circulating since July. The company apparently felt it was in its best interest to reassess the Southeast receiving location and close the Jacksonville location. Railex was unable to properly structure its operations at the Jacksonville facility that was too small. The company was operating with a short-term lease.
Railex is working with the Union Pacific and CSX railroads to find a service plan allowing timely deliveries to Southeastern customers through a different location. Railex is hoping to negotiate a service agreement within the coming months.
The Jacksonville location was intended to be a temporary solution to satisfy customers that had long demanded Southeastern service.
“For various reasons beyond our control, Railex could not run the traditional unit-type train service into Jacksonville,” Paul Esposito, executive vice president of corporate affairs said. “The transit times were two days longer than what we had planned and what our customers expected. Now, two years later, during the peak summer season, with transit variabilities as well as the decline in truck rates, we find it difficult to sustain any significant volume into the area.”
The carrier transported apples, carrots, onions, potatoes and wine to receivers via 64-foot refrigerated railcars.
Railex ships from Delano, CA, and Wallula, WA., and unloads and distributes at a Rotterdam, N.Y., refrigerated warehouse near Schenectady, N.Y.
The company opened the Jacksonville location in June 2014.
Rail companies have a history of basing their rates to a significant degree, on truck rates.
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McDonald’s is talking up a milestone in providing children increased access to fruit through sliced apples served in Happy Meals.
Since 2004, the Oak Brook, Ill.-based foodservice operator reports serving more than two billion packages of sliced apples in Happy Meals, according to a news release.
In 2012, McDonald’s began serving the sliced apples as the default side item instead of french fries.
McDonald’s needed suppliers to develop the capacity to offer the product at restaurants nationwide. The success at McDonald’s led to fresh-cut apple availability at retail, schools and other quick-service restaurants, according to the release. McDonald’s has 14,000 locations in the U.S.
“As the first restaurant to offer fresh-cut apple packages as a side choice for children in April 2004, McDonald’s helped transform the children’s meal nutrition landscape by being the first to successfully create a market for convenient and easy, fresh-cut apple packs,” McDonald’s officials said in the release. “Today, all children in the U.S. under the age of 12 have only ever known a Happy Meal that included the option of apple slices.”
“This milestone is a marker of McDonald’s continuing to play an important role in every community and our ongoing efforts to help increase access to fruit and other nutritious food for children,” Steve Kerley, vice president and general manager of McDonald’s in the Philadelphia region, said in the release. “The decision to serve real apple slices with Happy Meals more than a decade ago helped make it easier for parents to ensure that their children are getting wholesome options.”
McDonald’s is the world’s largest chain of hamburger fast food restaurants, serving around 68 million customers daily in 119 countries.
Founded in the United States in 1940, the company began as a barbecue restaurant operated by Richard and Maurice McDonald. In 1948, they reorganized their business as a hamburger stand using production line principles. Businessman Ray Kroc joined the company as a franchise agent in 1955. He subsequently purchased the chain from the McDonald brothers and oversaw its worldwide growth.
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By Growers Express
Salinas, CA — Fresh on the heels of a June announcement that Growers Express had acquired Misionero Vegetables of Gonzales, Calif., they announced this week that they have also acquired long time Green Giant Fresh supplier and partner—Curran’s of Biddeford, Maine.
Both of these recent acquisitions will bring increased production, processing and distribution to this ever-expanding fresh vegetable grower/shipper, most notably with the addition of Misionero in the West and Curran’s on the East Coast.
Curran’s, formerly of Saco, Maine, has been a valued supplier of premium Green Giant Fresh value-added products since 2006, and has had a successful relationship with Growers Express since 2009. Jamie Strachan, CEO Growers Express said, “Curran’s commitment to the Green Giant Fresh program and the success of the brand made this a desirable partnership for us as we continue to expand Growers Express.”
Curran’s recently expanded its operation into a new 55,000-square-foot facility in Biddeford, Maine in the fall of 2015. This new state-of-the-art facility allows for substantial expansion of products and capacity for continued growth.
“The acquisition of this ideally located tried and true partner is strategically significant for us,” said Strachan. Continuing, “from their New England location, we will be able to reach 40 percent of the population of the United
States and Canada, as well as reduce lead times which will better ensure product quality and shelf life upon delivery.”
“Growers’ mission has them evolving into a next generation healthful foods company,” said Bert Roberge, new director of sales for Growers Express, “and our shared values of integrity, relationships and teamwork are a perfect fit.” Already acting as an extension of the industry leader, this new acquisition helps poise Growers Express for continued customer service and growth into the future.
Roberge concluded, “We are thrilled to join forces with Growers; it’s an honor to represent—and officially join—a company with such focus on quality, exceptional customer service and proven industry leadership as their East Coast division.”
About Growers Express
Founded in 1987, Growers Express is comprised of eight produce growers whose farming practices and standards, combined with their generations of experience and passion for farming, have contributed to making Growers Express one of the nation’s industry-leading suppliers of premium fresh produce. Headquartered in Salinas Valley—known as the “salad bowl of the world”—our total year-round ground base exceeds 40,000 acres. Our continually evolving and innovative line includes 40+ commodities, value-added products, bunching items, meal solutions, fresh herbs and a new organic line in 2015 under the banner Farm Day Organic.
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There is no substantiated evidence of human health risk from genetically engineered crops, according to a new study by the National Academy of Sciences, nor did it find “conclusive cause-and-effect evidence” of environmental problems.
However, NAS called resistance to current GE characteristics in crops a major agricultural problem.
Nearly 900 studies were examined by researchers on the effects of GE maize, soybean and cotton, along with public meetings and webinars.
“The committee focused on listening carefully and responding thoughtfully to members of the public who have concerns about GE crops and foods, as well as those who feel that there are great benefits to be had from GE crops,” said Fred Gould, committee chair and University Distinguished Professor of Entomology and co-director of the Genetic Engineering and Society Center at North Carolina State University.
“Studies with animals and research on the chemical composition of GE foods currently on the market reveal no differences that would implicate a higher risk to human health and safety than from eating their non-GE counterparts,” the 420-page report found. “Though long-term epidemiological studies have not directly addressed GE food consumption, available epidemiological data do not show associations between any disease or chronic conditions and the consumption of GE foods.”
On the environmental impact, NAS found the use of insect-resistant or herbicide-resistant crops did not reduce the diversity of plant and insect life on farms, though the panel said the long-term environmental changes cannot be assessed at this time.
NAS did not find the effects of GE crops on agriculture as completely beneficial.
“Evidence shows that in locations where insect-resistant crops were planted but resistance-management strategies were not followed, damaging levels of resistance evolved in some target insects.” Also, data on the commodity crops show no evidence that GE crops increased yields.
On the issue of regulation, NAS said the committee did not believe mandatory labeling of GE foods was necessary based on human health concerns, but the issue may be influenced by “value choices,” such as social issues.
The new report comes as leaders on the Senate Agriculture Committee are feverishly working on compromise legislation to build a federal solution to GE food labeling as many food companies fear Vermont’s mandatory labeling law that went into effect in July.
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By Cargo Data
Industry leaders have been working with regulators to understand how enforcement will be approached. The following points will most likely characterize regulatory enforcement:
1) Enforcement for of the Sanitary Transportation requirements will begin 12 months from release of the Final Rule for large firms. This means enforcement will begin March 2017 for many large perishables handlers. Enforcement for smaller firms will begin March 2018.
2) Inspectors will not generally be interested in reviewing reams (or gigabytes!) of data related to in-transit temperatures, product accept/reject reports, or other detailed information. Instead:
3) Compliance will likely be considered satisfactory when subject firms can demonstrate they have developed and implemented systems which satisfy the requirements of FSMA.
For example: Since FSMA mandates that all authorized individuals in the supply chain (shippers, carriers, Receivers) must remove suspected adulterated or abused products from the supply chain, can each participant demonstrate its system supports such action?
Cargo Data recommends Lightning NFC as a vital element of your new FSMA compliance program. The Lightning NFC system is designed specifically to provide each participant in the cold chain with immediate temperature data review and automatically archives the data to the Cloud. Lightning NFC supports FSMA by making it easy to check cold chain integrity and to make informed decisions about product safety.
Lightning NFC temperature recorders can be ordered online.
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Associated Wholesale Grocers and Affiliated Foods Midwest Cooperative plan to merge their distribution businesses.
The transaction, which is subject to the approval of Affiliated Foods Midwest shareholders, is expected to close later this year, according to a news release.
“This exciting endeavor is exactly what we need to allow our retailers to compete, grow and be profitable,” Martin Arter, president and CEO of Affiliated Foods Midwest, said in the release.
Associated Wholesale Grocers currently supplies members that operate more than 3,000 stores in 30 states. Affiliated Foods Midwest supplies members that operate more than 800 stores in 15 states.
Barring any changes, members of both cooperatives will be members of Associated Wholesale Grocers when the deal is finalized.
“Expanding our collective distribution areas into several new adjoining states and adding over 800 new member stores will make our unified cooperatives stronger together, leveraging not only the additional scale and buying power but also employing and implementing the best practices of each that have been developed over the 80 to 90 years that our respective cooperatives have been in business,” David Smith, president and CEO of Associated Wholesale Grocers, said in the release.
About AWG
Associated Wholesale Grocers (AWG) is a retailer-owned cooperative serving retail member stores with a complete assortment of grocery, fresh meat, fresh produce, specialty foods, health care, and general merchandise items. AWG has an extensive distribution network and nine distribution centers which serve retail outlets in over 26 states. AWG provides its retail members, many of them family-owned businesses, with assistance in establishing a strategic position in their marketplace that builds upon their unique strengths. Our procurement and marketing departments are positioned to assist members in developing plans to excel in virtually any effort, and resources are structured to provide support services that allow members the best opportunity to win at retail.
AWG has been distributing success since 1924 and sales have grown steadily since then. (Click the history tab below to learn more.) Once again, 2015 was a record year for AWG with sales reaching $8.94 billon.
About AFWC
The AFWC story began in 1931 when a group of independent grocers near Plainview, Nebraska, joined together to form a wholesale buying group. Its founders built a business model in the cooperative spirit and continues the same business practices today – focusing on the independent grocer.
Affiliated Foods Midwest is a retailers’ cooperative based in Norfolk, Nebraska and Elwood, Kansas and serving the states of Oklahoma, Kansas, Colorado, Wyoming, Nebraska, Missouri, Illinois, Wisconsin, Iowa, South Dakota, North Dakota, Minnesota, and Michigan. Affiliated Foods Midwest built a new distribution center in Kenosha, Wisconsin in 2009.
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Ever heard of jackfruit? Some are considering it America’s next big meat alternative.
Diners familiar with Indian kathal ki biryani, Vietnamese sinh to mit, or Filipino halo-halo may already be familiar with the jackfruit, that relative of the fig that can grow to an enormous size and smells either exquisitely perfumed or nauseating, depending on the person.
It has been used as an alternative in Asia for possible thousands of years as a meat alternative. according to Daniel Staackman of Upton’s Naturals, a vegan food company/cafe that sells pre-seasoned and pre-packaged jackfruit among its line of products.
The jackfruit tree that is easily grown and drought-resistant, with very nutritious fruit that happens to bear a striking resemblance to meat when cooked. Every part of this native Southeast Asian tree can be used. In fact, green jackfruit, aka the “meaty” part of the fruit usually only available canned in the United States, is actually the entire fruit — rind, flesh, and seed — before it has had a chance to mature (or grow to up to 100 pounds).
There are a number of companies selling the pre-cooked and seasoned fruit as a meat substitute, with a rapidly growing market across the U.S. By marketing the young fruit as healthful vegan food, brands have found a way to use the fruit at early stages, when it is much easier to preserve and ship. And many restaurants and brands have recently started marketing jackfruit as a “vegan pulled pork,” citing other vegan cooks and recipe developers as inspiration.
But while it might seem like this fruit — a far cry from slow smoked pig — came out of nowhere in the United States, its development as profitable product has been happening simultaneously in India, a country where (according to advocates and entrepreneurs) currently 80 percent of the jackfruit grown goes to waste. But how are groups in both countries — from agricultural experts to vegan chefs — developing the supply chain and market for this fruit? And could the jackfruit be key to fighting food insecurity worldwide?
The reason we weren’t already eating jackfruit all the time is that jackfruit is difficult to work with. “A whole jackfruit is a commitment. They can be the size of a toddler,” says cookbook author Andrea Nguyen, whose books Into the Vietnamese Kitchen and Asian Dumplings feature jackfruit recipes, albeit for the fully ripe fruit. The resin under the rind sticks to anything that isn’t oiled, and gloves must be worn to break it down. Its smell when fully ripe is also too close to that of the infamous durian for many people.
Jackfruit is grown in many countries, but India — with a vegetarian population in the hundreds of millions — is the only one with a history of using the young fruit as a stand-in for meat, most often in stir-fries, curries, and a popular rice dish called kathal ki biryani. The Bengal word for the fruit translates as “tree mutton” or “the meat which grows on a tree.” In northern India, it’s known as Brahmin’s meat, or “meat” for the revered portion of the Hindu population made of priests, teachers, and religious scholars.
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Lake City, Minn. – Members of the Next Big Thing Growers’ Cooperative recently released their estimates for the 2016 crop of SweeTango, the sweet, tangy, and remarkably crunchy apple that was developed by the University of Minnesota to feature the best characteristics of the Honeycrisp and Zestar! apple varieties.
The projected crop yield is 450,000 standard 40-lb boxes, which is an 18% increase over last year’s crop of 380,000, and 9% larger than the 2014 harvest of 413,000 boxes.
Preliminary projections estimated a yield of 465,000 boxes for 2016, however severe storms on July 8 in Suttons Bay in northern Michigan produced hail up to 2” in diameter that caused extensive damage to the crop in that region, thereby reducing the overall estimate. Other growing regions across the U.S. and Canada have not been adversely affected by weather to date.
The timing of the harvest varies by growing region, as orchards are spread across differing climates in locations like Washington, Minnesota, Wisconsin, Michigan, New York, and Nova Scotia, Canada. Washington will begin harvest first in early August, which means SweeTango will start appearing in the market around Labor Day.
As the SweeTango apple crop has continued to grow over the past decade, so does the length of the season. Once a hyper-seasonal fruit due to limited yields from a relatively small number of young orchards, SweeTango’s season is now expected to extend from early September to late December. This is great news for SweeTango’s enthusiastic and loyal consumer following.
Theron Kibbe, executive director of Next Big Thing Growers’ Cooperative noted, “We are looking forward to a good size SweeTango crop of excellent quality, with sizes that retailers are successful with. We have a robust marketing program in place that will drive shoppers to stores with SweeTango apples on their lists. We also will be partnering with retailers with in-store activities designed to increase trial and introduce new shoppers to SweeTango’s tangy-sweet flavor and exceptional crunch.”
NEXT BIG THING
Headquartered in Lake City, Minn., Next Big Thing, A Growers’ Cooperative is a 45-member cooperative of family growers, spread over five time zones from Nova Scotia to Washington State, that grows and markets managed varieties of apples, beginning with SweeTango. You can find more information on SweeTango at http://www.sweetango.com or on Facebook at http://www.facebook.com/sweetango.
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By Frank Yiannas
Vice President, Food Safety – Walmart
With 795 million people in the world reportedly going hungry, food waste is an ugly problem to face. In the U.S. alone, it’s estimated that consumers throw away $29 billion worth of edible food each year in their homes. Walmart is especially concerned with reducing food waste – not only because we’re the world’s largest grocer, but as an integral part of our EDLC philosophy that provides you everyday low prices.
Two culprits of food wastage are confusion caused by food labels and the tossing of imperfect, but perfectly usable, fresh produce.
Consumers often mistake date labels as food safety indicators; however, most of the labels are created based on peak quality. Adding to the confusion is the different language used on labels, including “best by”, “use by” and “sell by”. That’s why, in the last year, we started requiring suppliers of nonperishable food products under our Great Value private label to use a standardized date label, “Best if used by”.
The switch will go into full effect this month and involves thousands of products.
What really got our attention was a report released in 2013 by the Harvard Food Law and Policy Clinic and the Natural Resources Defense Council, The Dating Game: How Confusing Food Date Labels Lead to Food Waste in America. My team has been working on a solution since then.
After surveying our customers about how they would choose a food label that indicated a change in quality but not safety, there was a clear winner: “Best if used by”. I expect the standard labels to have an even bigger impact on waste reduction since many of our suppliers sell products under their own labels outside of Walmart. This is significant, as the global economic impact of food wastage comes to about $750 billion each year.
Although food waste has been making headlines in recent months, including an in-depth article in the Guardian, Walmart has been doing its part for more than a decade to create a zero waste future by affecting change in the way we do business and throughout our supply chain, especially where fresh produce is concerned.
For years we’ve worked with farmers to repurpose fruits and vegetables that may be slightly blemished or oddly shaped. These items usually make up a very small part of a harvest and aren’t a major contributor to food waste; however, we know every bit counts. A customer may not take home a triangle-shaped apple from our produce bins, but that apple is just as tasty when made into apple juice.
Earlier this year we began selling Spuglies, Russet potatoes that were less than perfect on the outside thanks to rough weather in Texas. Working with our supplier, we found a way to offer these at a value price. Our wonky veg test at Asda in the UK was so popular, we now offer it year round when farmers have enough supply.
Because customers around the world shop very differently, our team here in the U.S. has been working for months on our first spec for this type of produce. We’re exploring the ways to make these items available while providing value to our customers and supporting farmers.
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