Archive For The “News” Category
Port Manatee, Palmetto, FL., has received approval for an $8.3 million project that will nearly double the size of its dockside container yard.
The project, through a construction contract approved by the Manatee County Port Authority on July 28, will add 9.3 acres to the 10-acre paved facility adjoining the port’s berth 12 and 14 docks, according to a news release.
“Expansion of the dockside container yard to encompass 19.3 acres not only will accommodate dynamic demand from such longtime users as Port Manatee-based World Direct Shipping and Del Monte Fresh Produce Co., but also will literally and figuratively pave the way for further global commerce opportunities at our flourishing seaport,” Carlos Buqueras, the port’s executive director, said in the release. “The expansion project is a cornerstone of the two-year, $38 million capital enhancement initiative under way at Port Manatee.”
World Direct Shipping has imported produce and other goods from Mexico since 2014, and Del Monte is in its fourth decade at the facility, importing bananas, pineapples and avocados from Central and South America, according to the release.
The project includes installation of 150 electrical receptacles for plugging in refrigerated cargo containers, bringing the port’s total reefer plugs to 600.
“In these challenging times for our nation, Port Manatee continues to thrive as a vital economic engine for our region and beyond, serving as a preferred gateway for numerous key commodities,” Priscilla Whisenant Trace, chairwoman of the Manatee County Port Authority, said in the release.
By Derek Robinson
If you ask any truck driver out there, especially produce drivers, what is one of the biggest headaches they face each and every day you will end up with a resounding answer across the room…”Hours of service!”
A truck driver has always needed to be part mechanic, dispatcher, and accountant but with the HOS in place today they need to be part calculus professor as well. At least that is the way it seems when you look at ELD’s or log books and work out all of the math and hope a DOT inspector does not find a mistake while he is looking over your shoulder.
Since perishable shippers rely on reefer service, September 29th will be a great day. Drivers will be given a little more control of their destiny, and shippers will have more open windows for pick up and deliveries. The Federal Motor Carrier Safety Administration (FMCSA) listened to owner operators, carriers and fleet managers and are offering more flexibility while maintaining the highest safety standards. What does this mean for drivers?
Short-Haul Exception: The maximum allowable workday is changing from 12 to 14 hours and the distance is extending from 100 air-mile radius to 150 air-mile radius. As any produce driver out there knows when it comes to multiple sheds, this will be a major benefit!
Adverse Driving Conditions Exception: This can extend the duty day by two hours if adverse driving conditions are encountered. Snow, ice, sleet, fog or unusual road or traffic conditions that were not known prior to beginning the duty day or immediately before beginning driving after a qualifying rest break or sleeper berth period, or immediately prior to dispatching the driver.
If you are subject to a 30-minute break requirement: This requirement can now be satisfied by taking an on-duty, not driving break, in addition to an off-duty break. After an 8-hour driving period there will be a few options, including combination of activities as long as the 30 minutes are consecutive and satisfied by time. These options include: off-duty; in sleeper berth; and off-duty, not driving.
Sleeper Berth Provision: This allows drivers to split the 10-hour off duty period after meeting certain requirements: One period is at least 2 hours long, the other involves at least 7 consecutive hours in the sleeper berth, both must add to at least 10 hours. When paired together, neither period will count against the 14-hour driving window. An 8-hour sleeper berth period by itself can no longer be excluded from the 14-hour driving window.
To all of our produce professionals out there, here is to putting the drivers and shippers back in the driver’s seat! September 29th cannot come fast enough.
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Derek Robinson is a business development specialist in the Savannah office and has been with the Allen Lund Company since 2015. Robinson attended Savannah Technical College, specializing in Aviation Structural Mechanics.
In 2018, the supply of fresh fruits available for Americans to eat, after adjusting for losses, totaled 58.3 pounds on a per capita basis.
USDA’s Economic Research Service (ERS) maintains an historical data series on national per capita supplies of over 200 food commodities available for domestic consumption.
Citrus fruits accounted for 14 percent of this 2018 total, down from a 24-percent share in 1970, partly reflecting Americans’ expanded fresh fruit options.
Loss-adjusted per capita availability of fresh citrus fruits fell to a low of 6.3 pounds in 2007 before trending upward to 8 pounds in 2018. Over 1970-2018, loss-adjusted per capita availability of fresh oranges and grapefruit declined, while availability of lemons, limes, and tangerines increased.
The data in the ERS historical series predate the Coronavirus (COVID-19) pandemic and do not reflect its impacts on food supply chains and food demand.
ERS calculates national supplies of food commodities available for domestic consumption by adding domestic production, initial inventories, and imports of a particular commodity, such as oranges; then subtracting exports and end-of-year inventories.
To calculate per capita estimates, these national supplies are divided by the U.S. population. For loss-adjusted availability, ERS applies commodity-specific loss rate estimates to account for some of the spoilage, plate waste, and other losses in food stores, restaurants, and households. Loss-adjusted food availability is designed to approximate consumption.
Fresh Del Monte Produce, Coral Gables, Fla, has added six energy-efficient reefer container ships to its fleet.
The Del Monte Gold is the first in service, traveling from Hong Kong on its way to the Panama Canal, according to a news release. It and the other ships has a capacity of 1,276 TEUs (twenty-foot equivalent units) with 634 electrical plugs for 40-foot high cube reefer containers, which can maintain temperatures down to 13 degrees Fahrenheit.
Helmuth Lutty, senior vice president of shipping operations, said Fresh Del Monte has been working on this goal since 2017.
“As one of the world’s leading producer, marketer and distributer of fresh fruits and vegetables, we have set a very high bar for all the reefer containers and ships in our fleet,” Lutty said in the release. “These six new vessels set the bar even higher, and allow us to deliver the high-quality fresh fruits and vegetables we are known for while meeting our sustainability goals.”
“We have been working towards this goal since 2017 and could not be more excited to see it come to fruition,” said Helmuth Lutty, Senior Vice President of Shipping Operations for Fresh Del Monte Produce. “As one of the world’s leading producer, marketer and distributer of fresh fruits and vegetables, we have set a very high bar for all the reefer containers and ships in our fleet. These six new vessels set the bar even higher, and allow us to deliver the high-quality fresh fruits and vegetables we are known for while meeting our sustainability goals.”
Each Del Monte vessel includes:
- Hull and bow designs for fuel efficiency;
- Hybrid scrubber systems to reduce emissions;
- Shore power connections; and
- Preventive Maintenance System technology for efficient combustion on main and auxiliary engines.
Globally, shipping fruits and vegetables accounts for Fresh Del Monte’s largest energy use, according to Hans Sauter, chief sustainability manager.
“In 2018 we committed to lead by example and reduce our vessel emission by 10%,” he said in the release. “With the addition of these six new container vessels we are well on our way, estimating a savings of nearly 19 thousand metric tons of fuel each year.”
The names of the other new ships are Del Monte Rose, Del Monte Harvester, Del Monte Spirit, Del Monte Valiant and Del Monte Pride.
By Jim Prevor, PerishableNews.com
It was just February 28, 2020, right before the shutdowns began in America for the coronavirus, that Joe Coulombe, the founder of Trader Joe’s, passed away. He was 89 years old.
We’ve been visiting Trader Joe’s since before it was purchased by brothers Karl and Theo Albrecht, of Aldi fame, in 1979. We confess that we never once considered it to be racist or in any other way objectionable. We would have said the store was kind of light-hearted in its promotion, with staff running around in Hawaiian shirts, nautical décor, etc.
Coulombe grew up on an avocado farm in Del Mar, CA. He did a stint in the Air Force and then earned a Bachelor’s degree with a major in economics. He continued at Stanford to get an MBA.
The genesis of Trader Joe’s was competition. Coulombe worked for Owl-Rexall, the drugstore chain, and he had been asked to develop Pronto Markets, a convenience store concept. Eventually, Rexall was going to close the division, and Coulombe bought the company—having to sell his house, borrow from Bank of America and get his employees to buy stock. He ran it for several years as a convenience chain and then heard that 7-Eleven was coming into the Pasadena market. He felt he would lose out in a competitive battle. He explained his thoughts in a 2006 article in Stanford Business, which is published by Stanford’s Graduate School of Business:
“The guy with the most money wins. He gets the best locations. It’s very simple,” Coulombe says now, but he knew it then.
His best hope for survival was to come up with a new idea so the stores didn’t compete head on with 7-Eleven. He had to appeal to a particular demographic group that would seek out his stores, even if he couldn’t put them in the best locations.
It took more than a year for the idea to crystallize. Part of his inspiration came from an article in Scientific American detailing a new generation of college-educated adults. Up to 60% of young people would be going to college, the article told him, up from just 2% in the early 30s, when he was born. Clearly, college was a factor that would transform society.
Second, he read about the coming of the Boeing 747, a larger plane that would greatly reduce the cost of foreign travel. Coulombe began to see the demographic slice he wanted to attract: the growing group of people who were well educated and looking for something different—perhaps a bit exotic—but with a keen eye for a bargain.
As he tells it today, he saw his customers as teachers, musicians, journalists—the overeducated and underpaid.
The final piece of the puzzle fell into place on a Caribbean vacation. Lounging on the beach, he saw what Trader Joe’s would look like: a South Seas trading post with fishing nets and oars adorning the walls.
Trader Joe’s became a leader selling premium items, such as specialty cheese. For a while, it was the number one seller of Brie in America.
After he retired, Coulombe served on many boards, including those of Denny’s and Bristol Farms. He was always focused on the idea retailers needed to be uniquely aligned with their clientele. For him, that was often the idea of a new generation of Americans who were far better educated than in the past but not necessarily highly paid. Coulombe used to joke that Trader Joe’s would get great press because journalists fell in that well educated but not necessarily well paid bracket.
May Joe rest in peace.
Now, all of the sudden, a high-school senior claimed that Trader Joe’s was an exemplar of cultural exploitation because it markets many ethnic products under trade names such as Trader José for Mexican foods or Trader Ming’s for Chinese food.
By mock way of explanation of its theme, the Trader Joe’s website says the Trader Joe’s name came from Joe having “been to the Disneyland Jungle Trip ride.” The Wall Street Journal suggested that the inspiration behind Trader Joe’s name may have been the Trader Vic’s restaurant chain, which claims to be the home of the original Mai Tai.
The culture being what it is today, The Wall Street Journal explains that Trader Joe’s surrendered instantly. Trader Joe’s claims it had already decided to phase out the “offensive” names:
“While this approach to product naming may have been rooted in a lighthearted attempt at inclusiveness, we recognize that it may now have the opposite effect—one that is contrary to the welcoming, rewarding customer experience we strive to create every day,” said Kenya Friend-Daniel, the company’s director of public relations.
When the current period of ultra-cultural sensitivity is past, perhaps it will be realized that these “concerns” help no one at all. Nobody gets better educated. Nobody makes more money. Nobody is happier.
Indeed, as The Wall Street Journal pointed out, the high school student who did this will now get into an Ivy League school. Aside from that, we can say the world will be a little less fun and the real problems of the world today will be neglected a little longer.
Retail potatoes sales in the U.S. have skyrocketed during the Covid-19 pandemic, increasing 31 percent in dollars and 32 percent in volume in the three months from mid-March. Consumers are believed to be cooking more at home over recent months and favoring produce items with long shelf life. All potato categories across the retail store, except deli-prepared sides, increased in dollar and volume sales.
Most potato categories saw double-digit growth in both measures as dehydrated potatoes experienced the largest increase in dollar and volume sales. Dollar sales increased by 59 percent, and volume sales increased by 49 percent.
Deli-prepared sides decreased by 23 percent in dollars and 51 percent in volume. Over the 13 weeks, total potato sales saw dollar sale increases of 13 percent or more. Fresh potato sales increased by 46 percent, and volume increased by 35 percent.
Every fresh potato type except for fingerlings showed double-digit dollar sales growth. Fingerling potatoes were the only category that decreased in volume sales, down by 7 percent. Yellow potatoes showed the largest increase in both dollar and volume sales. Dollar sales increased by 54 percent, and volume sales increased by 42 percent.
Aldi will open another 70 stores by the end of the year and currently has 2,000 stores.
The company’s continuing expansion will also include entering the greater Phoenix market and, in 2021, building a new distribution center in Loxley, Ala., to support more expansion on the Gulf Coast, according to a news release. Aldi has invested more than $5 billion in recent years to remodel existing stores and add hundreds of new ones.
“Each new store is an opportunity to serve another community, which is an honor and responsibility we do not take lightly,” Jason Hart, ALDI U.S. CEO, said. “As we continue to expand, we promise to do everything in our power to offer the lowest prices, every day, without exception. In fact, as food costs are rising across the country, we’re lowering prices on hundreds of items to meet our customers’ increased need for savings.”
Along with its aggressive growth in recent years, Aldi has increased its fresh food selection by 40 percent. It has also expanded its e-commerce presence, with delivery available through third-party services for more than 10,000 zip codes and curbside pickup an option at nearly 600 stores.
Aldi’s entry into the greater Phoenix market later this year will include four new stores. Arizona is the 37th state for Aldi.
The company’s new distribution center in Alabama will serve new stores in southern Alabama, the Florida Panhandle and Louisiana, which will be the 38th state for Aldi. The retailer already has 180 stores in Alabama and Florida, plus four regional headquarters and distribution centers in the area.
The four most valuable crops in Monterey County remained unchanged from 2018 to 2019, led by leaf lettuce, which saw an increase of nearly 15 percent, boosted by better pricing for romaine.
Overall, the county’s ag production value increased 3.5 percent in 2019, to almost $4.41 billion, according to the Monterey County 2019 Crop Report, issued by the county’s agricultural commission.
Of the top 10 crops, ranked by production value, seven categories are vegetables, with the exception being strawberries, in the No. 2 slot again, and wine grapes and nursery products. All 10 crops are the same crops from the 2018 list.
Strawberries saw an increase of about 5 percent, with a bump of more than $34 million, to $732.76 million, mostly due to improved fresh strawberry prices.
Head lettuce, Monterey County’s third-most valuable crop, increased almost 12 percent to $514.09 million. Increased production and higher average prices for carton-packed lettuce are the main reasons for the increase.
Overall, vegetable crops saw an increased production value in 2019 of about $228 million, at just under $3.1 billion. The fruits and nuts category dropped about $15.7 million in value to $1.03 billion, but that includes a 25 percent drop in wine grape crop value. Dropping wine grapes from the category gives fruit and nuts a $46 million (5.7 percent) boost from 2018 to 2019.
Monterey County’s top crop values, followed by 2019 and 2018 rankings, are:
Leaf lettuce: $840.56 million, 1/1;
Strawberries: $732.76 million, 2/2;
Head Lettuce: $514.09 million, 3/3;
Broccoli: $457.39 million, 4/4;
Cauliflower $212.38 million, 5/6;
Misc. vegetables: $196.84 million, 6/7;
Celery $186.39 million, 7/9
Wine Grapes: $186.1 million; 8/5
Nursery: $143.98 million, 9/8; and
Spinach: $127.12 million, 10/10.
Laredo, TX—Integrated Design-Build firm A M King has begun construction of a 262,000-sf ripening and cold storage distribution center for Mission Produce Inc., the world’s largest grower, packer, and shipper of Hass avocados.
The new mega-facility will be located in Laredo’s Pinnacle Industry Center on 32.6 acres adjacent to the Rio Grande River and the Mexican Border. It will allow the company to capitalize on the continued popularity of its signature product in the nation’s busiest land port. Mission plans to initially hire 75 employees when the project is complete in May 2021.
Mission Produce, founded in 1983, owns and operates state-of-the-art avocado packing facilities in multiple global locations, including California, Mexico and Peru. Hass avocados are grown in these tropical and subtropical climates, with each tree producing between 150 and 500 avocados per year. In addition, the company’s distribution network includes 11 forward distribution centers in North America, China and Europe. All facilities are GFSI (Global Food Safety Initiative) certified and are fully compliant with regulations such as FSMA, SFCR, HACCP and the Codex Alimentarius. The new distribution facility in Laredo will be its largest to date, eclipsing the company’s headquarters facility in Oxnard, CA by nearly 50,000 sf.
“We are happy to join Mission Produce in the design and construction of the largest avocado plant in the country,” says A M King Vice President Dan Crist. “Our food industry expertise, coupled with our track record of successfully completed cold storage and distribution projects, makes this an ideal partnership.”
“The Laredo, Texas facility will shorten our replenishment time to our network and add flexibility in managing inventory,” said Mission Produce’s President and CEO Steve Barnard. “The City of Laredo is strategically positioned on the border of Texas and Mexico, making it an ideal location for the distribution of Mexican avocados into the United States. By investing in Laredo, we are redoubling our commitment to serving customers, providing value-added services, creating jobs, and leading the avocado industry.”
A M King provided Mission Produce with full site consultancy services, which included analysis of the property currently needed by the business today, as well as for future planned expansions. Mission Produce required as much flexibility as possible while still incorporating easily adaptable economical infrastructure and layout. A M King also worked in tandem with Mission Produce to determine adequate site infrastructure requirements for securing local economic development incentives.
Additionally, A M King managed the complicated process of acquiring the site while meeting all zoning and municipal ordinances specific to site development of greenfield land in the City of Laredo. Working together with A M King, Mission Produce was able to execute the property purchase of the best possible location for this advanced, world-class facility to begin development within an accelerated time period.
Like any food facility that A M King designs and builds, putting sanitary design measures in place is paramount. In this facility, there will be a number of elements with this focus, including floor drains for room washing and washable surfaces (concrete floor, IMP walls); structural steel tubes in lieu of W beams (avoiding surfaces for dust collecting), and installation of sinks in the packaging areas. In addition, several sustainability processes will be implemented, such as rainwater management, heat island reduction, daylighting and focus on energy performance.
During construction, A M King will enforce new safety policies and procedures for infectious diseases in accordance with CDC and OSHA recommendations, as well as local and state requirements. Some of those include temperature checks, social distancing, use of masks and gloves, handwashing stations and limiting group gatherings.
The scope of work on this project will include design and construction of ripening rooms; coolers; forced air cooler; cooler dock; dry goods storage; a bagging and production area; offices and dispatch; Border Patrol office; and USDA office.
Functionality is the focus on all operational areas, such as storage, staging, ripening, packaging, shipping and receiving. All the rooms are designed to facilitate company processes from receipt of the avocados from growers to delivery to vendors. The main office and the shipping office feature unique aesthetics and are designed with large open areas for offices and employee welfare. Broad views will be enjoyed through curtain walls and over the balcony of the two main sides of the building, including the dock. There will be an interesting combination of volumes with intersecting angles.
Recently, A M King designed and constructed a smaller-scale cold storage distribution center in Charlotte, N.C. for West Coast-based Henry Avocado Corporation. This facility was designed with the capability to distribute approximately 300,000 avocados per day along with storage capacity for an additional one million avocados.
A M King is an integrated Design-Build firm based in Charlotte, NC with offices in Greenville, SC and Chicago, IL. The firm consistently and successfully delivers quality projects throughout the United States. With an experienced team committed to protecting clients’ assets, the company provides property consulting, design and engineering, construction and facility services in the sectors of food processing, food distribution, industrial manufacturing and commercial properties. A M King’s exemplary track record demonstrates that the company is focused on its mission to be the best in the industry.
Mission Produce Inc. is the world’s most advanced avocado network. The company owns and operates state-of-the-art avocado packing facilities in multiple growing locations including California, Mexico, Peru and Colombia, and it also sources product from countries such as Chile, New Zealand and Guatemala. In addition, Mission Produce’s global distribution network includes 11 forward distribution centers in North America, China and Europe. Over the past 35 years, Mission Produce has become recognized as the leader in the worldwide avocado business.
Organic food sales in 2019 exceeded $50 billion, including $18 billion for organic produce.
“The category continues to be the star of the organic sector and often the starting point for organic food buying,” The Organic Trade Association wrote in a news release. “Millennials and younger generations have grown up with organic and remain the growth drivers for this category.
“Organic produce makes up almost a third of all organic food sales, and organic fruits and vegetables — including fresh, frozen, canned and dried — have now captured 15percent of the fruits and vegetables market in this country,” OTA wrote.
The report describes the $18 billion in organic produce sales for 2019 as a nearly 5 percent increase from the previous year.
The United Fresh Produce Association’s FreshFacts on Retail 2019 Year in Review, which uses retail scan data from Nielsen, lists organic sales for fresh produce specifically as $5.9 billion, up 5.5 percent from 2018. Per the report, organic fresh vegetables surpassed $3.3 billion in 2019, up 3.8 percent from 2018, and organic fresh fruit made nearly $2.2 billion, up 7.0 percent.
OTA’s recently released 2020 Organic Industry Survey indicates continued interest in organics from many shoppers.
“Our 2020 survey looks at organic sales in 2019 before the coronavirus outbreak, and it shows that consumers were increasingly seeking out the organic label to feed their families the healthiest food possible,” Laura Batcha, CEO and executive director of OTA, said in the release. “The pandemic has only increased our desire for clean, healthy food. Our normal lives have been brought to a screeching halt by the coronavirus. The commitment to the organic label has always resided at the intersection of health and safety, and we expect that commitment to strengthen as we all get through these unsettled times.”
The outlook for organic in the immediate wake of the pandemic is uncertain, according to OTA. Organic sales growth could slow because many consumers may be more price-sensitive, or growth could remain steady as consumers look for “cleaner” products in an effort to protect their health.
“It’s hard to know what’s ahead of us, but consumers will continue to trust in and depend on the organic label,” Batcha said in the release. “Organic producers and processors — indeed the entire organic supply chain — have been working around the clock through this difficult time to keep our stores filled with healthy, toxic-free and sustainably produced organic food and products. Organic is going to be there for the consumer.”