Archive For The “News” Category
Lettuce shipments from the Salinas Valley are expected to decline in coming weeks as the seasonal transition gradually shifts to the Imperial Valley in the California desert, as well as just to the East in the Yuma, AZ district. However, it will probably be around Thanksgiving before the change is completed. Sandwiched in between this the Huron district on the westside of the San Joaquin Valley. Lettuce shipments from Huron should get underway about the third week of October and last about a month.
Strawberry Shipments
The Watsonville area adjancent to Salinas is loading about 500 truck loads of strawberries weekly. There is much lighter volume coming out of the Santa Maria district, with Ventura County have very light movment as its fall season has just started.
Kiwfruit Shipments
Imports of kiwi from Chile and New Zealand are in a rapid decline, while California kiwi shipments are just gearing up. The California produce loads are predicted to hit about 6.5 million trays this season, down from 9-plus million trays last season.
California Nuts
No we’re not talking about California Gov. Jerry Brown, or the state’s assembly. California expects to load about 495,000 tons of walnuts this season, slightly below a year ago.
Date Shipments
California is the largest shipper of dates, with shipments forecast to be up about 20 percent this year, primarily from the California desert and Yuma, AZ.
Michigan could have a record, or at least near record apple crop this season, but there may be fewer loads available for produce haulers. In a nutshell, there’s not enough farm laborers and there are worries of fruit actually rotting on the trees.
Question. Unemployment is at 7.8 percentange, but some reports state it’s more like 17 percent when including people who have quit looking for work. So why is there a labor shortage? If there is a driver shortage amounting to 20,000 a year, as claimed by the American Trucking Associations, with unemployment so high, what’s the problem?
Could it be that government assistance has become so common and so excessive that folks figure why should they work when there are food stamps, free cell phones, housing assistance, etc.?
Michigan agricultural organizations teamed up to send “help wanted” postcards to more than 300 farm labor contractors, mostly in Florida and Georgia, informing them of the state’s large apple crop and need for hundreds of qualified workers for the next few weeks.
About 20 to 30 percent of the state’s apples remain to be harvested. If the fruit isn’t picked by early November there’s a good chance it will be lost.
Apple pickers are paid $15 to $20 and hour, plus are provided with housing during the season. The crop is estimated to be about 30 million bushels this season.
When it comes to driver respect, few people understand it better than Jimmy DeMatteis, and too many fail to practice what he preaches in this regard.
After all, he grew up with a dad who started hauling produce in 1951. His father eventually formed a brokerage in 1963 that eventually became Des Moines Truck Brokers. Jimmy has since became president of the company.
“Everything we do is useless unless we have a driver in that seat. When a driver walks into our office, our people (staff) get up, and walk over to that driver and shakes his hand. I’ve been in an environment where they see a driver and they get up and walk out of the room, or start staring at their monitor and suddenly start acting like they are busy,” DeMatteis says.
He believes the trucking industry needs to do a better job of recruiting, and that is only going to happen by making the driving jobs more attractive. First and foremost, he states that shippers and brokers alike need to recognize the value of drivers.
“I think produce shippers in general are one of the worst offenders. They tend to look at trucking strictly as a necessary evil. They fail to see it as an intregal part of the supply chain,” DeMatteis says, whose company expects to arrange about 9,000 loads this year.
He notes there are trucking jobs available where drivers can earn $50,000 to $60,000 a year, without having to be on the road for three weeks at a time. These are jobs “where you’re not treated like dirt.”
While DeMatteis sees plenty of room for improvement by shippers and brokers in their treatment of truckers, he also sees the other side of the coin.
“Some drivers with an 18 wheeler are driving 25 mph over the speed limit. They need to wise up and realize this is a profession. Some of these guys drive like they are reliving the NASCAR race they saw on Sunday. If you want to be treated like a professional, act like a professional,” he states.
Then he adds that there are too many “stupid” people driving four-wheelers as well.
While DeMatteis believes the majority of carriers are trying to conduct business the right way, he is critical of “the market squatters that are just trolling the load boards, waiting for the home run, and secure that $10,000 load from California to Boston (especially during the summertime peak produce shipping season).
He understands the market dictates rates, and the majority of time one is dealing with spot markets.
“The market squatters aren’t doing anything to be sustainable in the long run. They need to operate like a business. I’m not saying you should not take advantage of a market; everyone does. It is good business. But when you are churning and burning through customers, you can do that until there is nothing left. When I feel abused by a carrier, that’s the last guy I’m going to call when I need a load,” DeMattheis states.
He explains it is better when business is done right and you negotiate a fair rate, check one another out, provide the service, pay promptly and at the end of the haul you feel as if you can build upon a business relationship. There needs to be more of this in trucking, DeMatteis believes.
McDonald’s recently announced it would offer value menu customers a side of salad, fruit or vegetables as an alternative to French fries in the fast food giants top 20 markets, including the USA.
Additionally, McDonald’s said it would promote and market only water, milk and juice as the beverage for children’s Happy Meals and work to heighten kids’ interest in produce options.
Finally, the restaurant chain said it would have all of its advertising directed at children include a message about nutrition or wellbeing, as well as dedicated panels on Happy Meal boxes or bags.
The chain said it worked on the pledges with the Alliance for a Healthier Generation, which was created by the Clinton Foundation and the American Heart Association.
An independent, third-party assessor will be brought in by McDonald’s to track its progress on the commitment, which the company expects to roll out in up to half of the 20 markets within three years, completing implementation by 2020.
It’s a similar plan for healthier means recently announced by Burger King, which launched a low-fat, crinkle-cut French fry called Satisfries. The chain said the fries have 40 percent less fat and 30 percent fewer calories than the fries at rival McDonald’s.
McDonald’s said specific options for substitute menu items would vary by market.
A company filing bankruptcy is never good for anyone. In the produce industry there is the Perishable Agriculture Commodities Act (PACA) administered by the USDA, whereby creditors receive a certain amount of protection, and hopefully get at least a portion of the money they are owed repaid.
I’ve advocated for decades that product truckers be offered the same protections under PACA that are afforded those in the produce indutry. Under a bankruptcy truckers would be among the last in line to be paid, which usually means they will receive nothing.
I was reminded of this when Progreso Produce Limited I LP filed for Chapter 7 bankruptcy liquidation for the Boerne, Texas, business Sept. 30. The 40-year-old company is listing more than 60 creditors including many fresh produce companies.
The company is reported to have debts ranging from $1 million to $10 million. Assets of less than $50,000 are reported. The bankruptcy trustee notes there doen’t not appear to be any property available to the trustee to pay creditors.
River Ranch Closing
Meanwhile, produce, grower-shipper-processor of fresh vegetables, River Ranch Fresh Foods is closing operations. The Salinas, CA, based company will cease operations, effective Nov. 8.
Taylor Farms Retail will service retail value-added accounts beginning Nov. 9, plus Growers Express will handle all field-pack commodity requirements.
River Ranch, which was formed 34 years ago, was purchased by Taylor Fresh Foods three years ago with the hope of improving financial performance and regaining viability.
Consumer purchases have moved apples ahead of bananas into third place in total retail sales, trailing only berries and packaged salad in the 52 weeks ending May 29, according to Steve Lutz, executive vice president of Nielsen Perishables Group. Lutz said apples showed the biggest retail sales growth of any top major produce category, rising about 16 percent over the previous year.
Among the gains by various apple varieties with higher retail saies in the past year included pink lady, fuji, pinata, Honeycrisp, red delicious, ambrosia, Jazz, granny smith and gala, in addition to niche varieties such as Lady Alice, Envy, Opal and Junami.
The best apple consumers are willing to spend on healthy foods and fresh meals, and convenience and price are not a key purchase driver, Lutz said. With the income to afford choice, consumers are looking for unique flavors are driven to the category in pursuit of health, he said.
Despite challenges in the lackluster economy, Lutz said Nielsen data reveals fresh fruits showed an eight percent increase in retail dollar sales over the past year, accompanied by a 4 percent gain in volume. Produce is an increasingly important food choice for a majority of U.S. households.
Intrusive and excessive government regulations have been reported numerous times in HaulProduce.com and further proof of probably the greatest threat to the trucking industry, and particularly owner operators, comes from Dale Gray of Trenton, ON.
Dale is a veteran and drove a truck in the military before becoming a driver in civlian life in 1997. For over two years now he has been driving for Scotlynn Commodities Inc., of Vittoria, ON a Canadian transportation operation that has a sister company with several farms in Ontario and the USA that grows numerous items ranging from sweet corn to pumpkins.
Trucking both in the states and in Canada, Dale says American “rules are not as lienient.”
Although the hours of service regulations in both countries are similar, he prefers those in Canada because it allows him to be more profitable. For example, he can legally truck 13 hours in his country, compared to only 11 hours in the states.
“I prefer the the 13 hours driving time, because I can drive more hours. It makes a difference if you are paid by the mile,” Dale says.
He also notes he can split his sleeper berth hours by doing 8 1/2-hour increments during the day. In the US, the hours must be in 10-hour blocks.
“I can’t sleep for 10 hours,” he states. “Canadian rules are more user friendly.”
Speed limits are another matter, according to the 57-year-old driver. He notes Canadian speed limits in most of the country are 100 to 110 kilometers (65 – 70 mph). He prefers the higher American speed limits which range from 55 mph in California to 80 mph in Utah (75 mph in North Dakota where this interview took place).
Dale drives a 2012 maroon 386 model Peterbilt powered by a 485 hp Paacar MX diesel. The truck has a 60-inch sleeper with a 244-inch wheelbase and 13 speed tranny with overdrive. He pulls a 53-foot Utility trailer with a 2100 Advance Carrier refrigeration unit. Dale notes the reefer has a 120-gallon fuel tank that will run for a week.
“The reefer unit has a larger fuel tank so it can be shipped by rail,” he says.
Dale’s favorite thing about trucking is even though he is a company driver it is similar to being your own boss. “There is no one looking over your shoulder all of the time. In part of my military career, I was stuck in an office. I didn’t like that,” he states.
The worst part of driving is the attitudes of both four wheelers and truckers seems to have worsened over the years.
Dale hauls a lot of fresh produce grown by Scotlynn, plus he delivers a lot of frozen doughnuts and dry freight. On this particular day he was waiting to pick up a load of macaroni in Grand Forks, ND for delivery in Ontario.
A new warehouse, plus plans to redevelop four central warehouses to meet wholesaler’s’ changing needs and re-route traffic around the market to allow for a more unobstructed flow of business, are among big changes being planned for the San Francisco Wholesale Produce Market, according to the San Francisco Business Times.
Hopefully, the changes will improve making it easier for 18 wheelers to manuever when delivering refrigerated loads of fresh produce.
Serving nearly 30 wholesalers and distributors, the 300,000-square foot market in Bayview is bursting at the seams with generations of family-owned businesses that are picking up steam, new vendors entering the market and a few large companies that need to expand to keep up with demand. Collectively, they recorded $500 million in sales last year, the Times reports.
“We keep having to find more space for so many of the vendors,” said the market’s general manager Michael Jains. “I guess it’s a good problem to have, but we’re excited for what’s next.”
Janis and his team are gearing up to break ground on an adjacent 84,000-square-foot facility next month — the first phase of a $100 million renovation and expansion that will take shape over the next 10 years.
With help from the city, the project seeks to modernize and expand the market to 500,000 square feet, increasing merchant sales to a projected $737 million and growing the number of full-time workers to 1,000.
The project also calls for lighting and landscaping enhancements, as well as the creation of a “front door” entry point to make it easier for customers and visitors to enter and navigate the market.
According to Janis, the improvements are a needed to secure the long-term sustainability of the market, which plays an important role in the Bay Area’s food system by servicing most of the region’s restaurants, hotels, markets and grocery stores.
Fishers, N.Y. – New York apple shipments are now officially underway across the Empire State, from the lower Hudson Valley to the upper Champlain Valley – and growers are harvesting a vintage crop, New York Apple Association (NYAA) reports.
The state’s nearly 700 apple growers are now expected to pick about 32 million bushels by the time harvest concludes in November, a modern record. New York’s average production is 29.5 million bushels.
Excellent weather conditions – beginning during this year’s bloom and growing season, and continuing into harvest so far – mean that this year’s fruit will be large and juicy, with high natural sugars. Meanwhile, recent new plantings mean that consumers will find more of the New York state apple varieties that they love.
“This year’s apple harvest is on time, and is now in full swing across New York state,” said NYAA President Jim Allen. “Our consumers who have been waiting for us to get back into the market after last year’s short crop will have lots to celebrate this fall.”
Harvest of New York’s top variety McIntosh is now underway in the Eastern part of the state and will soon be harvesting statewide, Allen reported. Harvest of all other varieties, including consumer favorites including Zestar, Gala and HoneyCrisp, is underway across the state.
“We didn’t just recover from last year, we’ve roared back and more,” said Allen. Devastated by frosts that killed much of last year’s fruit in the bud, the state’s 2012 crop was 17.1 million bushels per U.S. Department of Agriculture.
To promote this year’s crop, NYAA has enlisted New York native and international soccer star Abby Wambach. In July, Wambach assumed the title of women’s world record holder for career goals scored. Television and radio commercials featuring Abby are airing now; she will also be featured in in-store signage starting later this fall.
“We want to score the soccer mom vote,” said NYAA’s Allen.
View the Wambach and “Blossom to Awesome” videos on NYAA’s YouTube channel, www.youtube.com/user/newyorkapples1.
About New York Apple Association, Inc.
A nonprofit agricultural trade association based in Fishers, N.Y., NYAA represents the state’s commercial apple growers. The grower-funded association supports profitable growing and marketing of New York apples through increasing demand for apples and apple products, representing the industry at state and federal levels, and serving as the primary information source on New York apple-related matters. For more information, visit www.nyapplecountry.com.
Source: New York Apple Association, Inc.
McDonald’s Canada is adding meatless entrees to its menu for the first time in nearly a decade with the introduction of a pair of vegetable wraps called the Mediterranean Veggie and Santa Fe Veggie. Each have joined the restaurant’s Signature McWrap line.
A recent study of Canadian consumers by Environics Research Group that found 76 percent of those surveyed want more vegetables in their diet, according to a McDonald’s news release. And 71 percent seek meatless items at least sometimes, even if they don’t consider themselves vegetarians.
51 percent in a study group said they were unsatisfied with current meatless options at restaurants.
The new McWraps are served on whole-wheat steamed tortillas. Ingredients include:
- Mediterranean Veggie: Roasted garlic hummus, feta cheese, tomatoes, cucumbers, red onions, shredded iceberg lettuce, onions seasoned with lemon and a feta sauce.
- Santa Fe Veggie: Roasted corn, black beans, a blend of light cheddar and Monterey Jack cheeses, tomatoes, red onions, shredded iceberg lettuce and tri-color tortilla strips mixed with chili lime glaze and a Southwest sauce.
Price is $4.39 at participating restaurants. The flavors extend the McWrap line-up launched in May.
“The new Signature McWrap veggie options are part of our ongoing commitment to evolve our menu to meet changing lifestyle preferences while creating entrée options that welcome new customers into our restaurants,” John Betts, president and chief executive officer of McDonald’s Canada, said in the release.
McDonald’s menu items can be found online has nutritional information. They are backed by an advertising campaign that includes television spots, radio, digital, in-store merchandising and other venues.
Canadian quick-service restaurant servings of non-fried vegetables are up more than 10 percent over last year, while total quick-service traffic remained flat, according to The NPD Group and Consumer Reports on Eating Share Trends.