Archive For The “News” Category
Plenty of loading opportunities for apples will be available this season as another large crop is predicted for the new season just getting underway….Meanwhile Frontera Produce Ltd. is celebrating a quarter century of shipping.
Apple shipments for the U.S. 2018-19 season are estimated at 11.5 billion pounds, up less than 1 percent compared with last year.
In its August 10 apple crop report, the USDA forecast Washington state apple shipments at 7.2 billion pounds, down 4 percent from 7.5 billion pounds a year ago.
“In Washington, apple harvest is expected to be of average quality this year,” according to the USDA. “There are some concerns about the hot weather that the crop has been facing so far this year, but producers are prepared to protect the crop from sun damage and have enough water to keep the crop irrigated.”
The USDA reported some New York growers had frost damage during bloom in isolated areas of the state. New York production was rated at 1.3 billion pounds, unchanged from a year ago.
Meanwhile, the USDA said a large crop with good sizing is anticipated by growers in Michigan, with forecast production of 1.175 billion pounds, up 40 percent from 840 million pounds in 2017.
A small crop last year led to a heavy bloom this spring in most Michigan growing regions.
State apple forecasts for this season, in millions of pounds (and last year’s production):
California — 225 (260)
Michigan — 1,175 (840)
New York — 1,300 (same)
North Carolina — 100 (115)
Oregon — 175 (155)
Pennsylvania — 528 (504)
Virginia — 225 (220)
Washington — 7,500 (7,200)
West Virginia — 102 (110)
United States — 11,406 (11,452)
Fronteria Produce
Frontera Produce Ltd. of Edinburg, Texas, is celebrating its 25th anniversary this year as the company continues to add more products to its lineup.
The shipper recently partnered with Continental Fresh LLC, Miami, to offer year-round supplies of mangoes and limes. The new partnership adds to Frontera’s Mexican and Peruvian grower relationships by bringing in product from Brazil and Ecuador.
“Moving into the next 25 years, Frontera will continue to advance our business by leaning on our core principle values of integrity, transparency, and excellent communication, that have taken us this far,” says Amy Gates, Vice President of Frontera Produce.
Following a number of years where intermodal and rail shipments of fresh produce have been down, some observers think volume will be increasing at the expense of trucking.
Rising fuel prices and increasing truck rates should make refrigerated shipments by intermodal and rail more competitive, according to a new USDA report.
The first quarter 2018 edition of the USDA’s Agricultural Refrigerated Truck Quarterly, issued in July, reported 2017 investments in refrigerated facilities and technology have increased the long-haul capacity for shipping fresh fruits and vegetables by intermodal and rail.
“Furthermore, increasing fuel costs and a driver shortage for trucks may further increase demand for shipping fresh produce by intermodal and rail,” the publication said.
Rising fuel rates figure to make intermodal and rail more competitive. Diesel prices rose from $2.47 per gallon at the end of 2016 to $2.87 per gallon by the end of 2017. On July 23, the U.S. Energy Information Administration reported the average price for a gallon of on-highway diesel in the U.S. was $3.22 a gallon.
The publication cited Tiger Cool Express who feels rising diesel prices make trucks a less competitive option to intermodal and rail since diesel fuel makes up a higher percentage of the variable costs associated with truck operating costs.
Diesel fuel averaged close to $4 per gallon in 2012, the USDA said, which was the peak year for shipments by intermodal and rail.
Later fuel price declines led to decline in intermodal and rail shipments of fruits and vegetables.
Now rising fuel prices could be good news for intermodal and rail, the USDA said.
In addition, strong economic growth in 2017 increased demand for shipments by truck, putting upward pressure on truck rates while decreasing capacity.
2017 availability ranged from adequate to shortage conditions, which potentially will cause some shippers to consider seeking shipments of fresh produce via intermodal or rail, the USDA said.
The USDA said that since 2012, the overall trend for intermodal and rail shipments of fresh fruit and vegetables has been decreasing for shipments originating in California and the Pacific Northwest, registering a 42 percent decrease between 2012 and 2017.
Combined rail and intermodal shipments decreased from 1.6 million tons in 2012 to 937,265 tons in 2017. Between 2016 and 2017, rail shipments decreased 22,055 tons and intermodal shipments decreased 3,230 tons.
The report said the 2014 demise of Cold Train — a major provider of refrigerated railcar service through its partnership with BNSF Railway — cut the availability of intermodal and rail service for fresh produce.
Still, the USDA said the January 2017 announcement by Union Pacific that it had acquired Railex LLC’s refrigerated railcar and cold storage distribution facilities in Delano, CA, Wallula, WA, and Rotterdam, N.Y. could signal more volume for that service.
The report noted that Union Pacific said it would increase the frequency from 3 to 5 days per week for Cold Connect on east-bound departures from California and Washington.
In 2017, the USDA reported intermodal shipments of iceberg and romaine lettuce increased from the previous year. Reported shipments increased 24 percent (10,125 tons) for iceberg lettuce and 28 percent (7,280) for romaine lettuce. On the other hand, shipments of lemons decreased 50 percent (112,230 tons).
Reported rail shipments increased 5 percent (8,925 tons) for potatoes in 2017.
While trucks will always be the most economical option for some shippers, the report said improvements in the refrigerated supply chain for intermodal and rail could make it a more attractive option, particularly for long-haul routes.
“Even if shipments by rail typically take several days longer than by truck, shippers may be willing to trade time for capacity and lower costs if the truck capacity crunch and rising diesel prices persist,” according to the report.
by NatureSweet®
San Antonio — Tomato industry leaders Lipman Family Farms and NatureSweet are joining forces to better serve customers and quick service restaurants by ensuring year‐round premium, high‐quality, high‐flavor slicing and salad tomatoes. NatureSweet brings to the table years of greenhouse growing expertise, while field grown tomato leader Lipman brings deep experience serving food service customers.
As the better burger, quick service and fast casual restaurant industry continues to grow in the United States, changing consumer taste demands high‐quality and exceptionally tasting ingredients, and Lipman Family Farms and NatureSweet help deliver on that promise.
“We’re pleased we’ll be able to assure a 52‐week supply of exceptional slicing and salad tomatoes to our valued clients,” said Lipman Family Farms CEO Kent Shoemaker. “NatureSweet is known for their successful snacking tomatoes and innovative packaging, and we’re glad to share our strengths and expertise in a partnership. Our goal is to bring the high flavor, high color, high density characteristics of our field grown Crimson variety to the greenhouse product we create with NatureSweet. Our food service customers need access to premium product on a year‐round basis. They also need greenhouse and field grown options.”
It’s a 100 percent joint venture between both companies with equal investments. The tomatoes will be cobranded and distributed under the Lipman name.
This is a first‐of‐its kind initiative to bring together the biggest food service names and the industry‐leading tomato suppliers. The partnership is planned to launch in October 2018.
About Lipman Family Farms:
Lipman Family Farms is a full service tomato and vegetable company operating in both open field and protected agriculture. Lipman is the largest open field tomato grower in North America. Lipman’s seed to shelf supply chain control – research & development, farming, processing, repacking, logistics and marketing – delivers the consistency and quality that has made Lipman Family Farms North America’s most dependable source of fresh tomatoes and vegetables.
About NatureSweet®:
NatureSweet® Tomatoes is the leading grower of premium, branded, best‐tasting fresh tomatoes in North America. Always vine‐ripened and hand‐picked at the peak of freshness, only NatureSweet® tomatoes guarantee great taste all year round. NatureSweet® tomatoes are carefully grown, harvested and packaged by more than 9,000 full‐time Associates, and are sold at major grocers, mass retailers, club stores and food service operators in the United States, Canada and Mexico.
It’s no surprise Hispanics are avocado buyers, but a recent Hass Avocado Board study shows that even as consumption of the fruit has risen in many demographic groups, Hispanic consumers continue to outpace others in many areas.
The study, Hispanic Avocado Shopper Trends, and a companion document giving retailers ideas on how to capitalize on the findings, Hispanic Avocado Shoppers Trends Action Guide, is based on retail data from the IRI Consumer Network, according to a news release.
Hispanic household purchase trends of avocados outpace non-Hispanic households in these areas:
- The percentage of total U.S. households that buy avocados
- The average avocado spend per household; and
- The percentage of households that buy avocados at the “super” level ($25.36 and more a year)
“Hass avocados are continuing to gain widespread popularity,” Emiliano Escobedo, executive director of the Hass Avocado Board, said in the release. “And this study shows that Hispanic households are particularly involved in the avocado category and play an important role in its growth.”
In 2017, Hispanic household avocado purchases averaged $33, 45 percent more than the $22.69 spent by non-Hispanic households, according to the release, and average per-trip purchases were $4.46, compared to $3.83 for non-Hispanic households.
The Hispanic “super households” (the HAB breaks down purchase levels into super, heavy, medium and light) are the main reason for the gap between their purchases and non-Hispanic households, with 36 percent of them in the super category, versus 24 percent of non-Hispanic households meeting that level.
Hass Avocado Board
HassAvocadoBoard.com is the essential online resource for the Hass Avocado industry providing timely relevant data and research for the domestic producers and importers it represents.
By Index Fresh
Riverside, C.A. — Since its opening on January 9, 2018, the Index Fresh facility in Pharr, TX, has seen steady progress and is rounding out support for the company’s operations across the United States. The leading avocado marketer broke ground on this 60,000 sq. ft. ripening, packing and distribution center just over a year ago in June.
“The bagging and repacking in the facility has increased in the last few months,” said Manrique Palacios, Distribution Center Manager of Index Fresh in Pharr.
With its proximity to the Pharr-Reynosa International Bridge, the facility has been a great point of contact for Index Fresh expanding its Mexican program this year, said Santiago Pacheco, VP of Operations at Index Fresh.
“Mexico is a year-round source and we bring all of our Mexican products through Pharr. It’s an integral part of our operation. We use it for staging, for shipping loads into the Midwest, Northeast, and the West.,” said Dana Thomas, President and CEO of Index Fresh.
Index Fresh is the first occupant in the Pharr Produce Park, a big step for Pharr’s economic development as construction of other facilities continue at the Produce Park.
The Index Fresh facility is equipped with 2600 pallet positions, 10 ripening rooms, and three bagging machines. “We are expecting our second Mexican season and complete our first year of operations. We are performing an analysis to enhance our bagging capacity for the next season and working on business development to expand our ripening volume in Texas and the Midwest,” said Palacios. “We are also open to offering 3PL services that include storage, ripening, bagging, and distribution to potential customers.”
ABOUT INDEX FRESH
Index Fresh is a worldwide marketer of avocados, sourcing from all major growing regions around the globe, including California, Mexico, Peru, and Chile. Headquartered in California, the company has facilities spread across Texas, Pennsylvania, Iowa, Ohio, Colorado, and Illinois. Early this year, Index Fresh also started operations at its new packing, bagging, and ripening facility in Pharr, TX.
Here’s a preview of Red River Valley potato plantings for product that will start shipping in late summer….Also, Mastrondardi Produce has opened another greenhouse operation….In Wisconsin, shipper is now distributing Badger State grown celery in the mid-west.
The USDA recently reports slightly fewer potatoes planted in North Dakota this as acres declined from 75,000 in 2017 to 74,000 acres this year. The report shows more russets and fewer red potatoes were planted in North Dakota. In 2017 reds accounted for 27 percent of the potato acres, in 2018 that fell to 18 percent. Meanwhile russet acres jumped from 37 to 44 percent. White and yellow potato acres remained relatively steady at 36 and 2 percent respectively.
In Minnesota, the USDA reported 46,000 acres of potatoes planted, 2,000 fewer than last year. Unlike North Dakota, there was little change in the potato type percentages. Russets made up 69percent of the Minnesota potato crop, the same as last year. Next were reds at 19 percent (down 1 percent), whites steady at 10 percent and yellows moving from 1 to 2 percent.
Ohio Greenhouse
Mastronardi Produce is opening a sixth greenhouse in the U.S., with a 20-acre facility in Wapakoneta, Ohio.
The farm, known as The Ohio Greenhouse Company, will operate year-round, growing Sunset-brand products for shipment to retailers in Ohio, Michigan, Pennsylvania, New York, Indiana, Illinois, Kentucky and West Virginia.
Mastronardi Produce grows on more than 4,000 acres. The new Ohio farm gives the company the ability to triple the acreage there.
Wisconsin Shipping Celery
By Alsum Produce
Markesan, Wisconsin — Alsum Farms & Produce grower partner, Trembling Prairie Farms Inc. started harvesting Wisconsin celery July 16th with the season expected to go through the first week of October. Fields are located in the muck soils of Green Lake County.
In 2012, Trembling Prairie Farms started with 3 acres of celery and today has expanded to over 45 acres. The farm starts with a Midwestern selected celery variety that grows extremely well in the Wisconsin climate.
The process of growing celery starts in local greenhouses in late February to early April and is then transplanted in 12 different plantings. Celery planting in the muck soil begins on May 1 with the goal of the last planting to be in the ground by July 1.
By Fresh Produce Association of the Americas
Nogales, AZ — The Arizona State Transportation Board announced they will fund the full build-out and expansion of State Route 189 (Mariposa Road) to the tune of $134 million. SR 189, is the main thoroughfare for trucks crossing the Mariposa Port of Entry in Nogales and heading northbound on I-19 to area warehouses.
The full-funding announcement is a revision from earlier budget commitments to complete the work in two phases over the course of several years. The funding package also leverages state, federal, and local funding that make up the entire $134 million price tag.
“The road improvement should speed roundtrip delivery from the port of entry to some warehouses by 20 minutes or more per truck, giving companies a valuable incentive to locate their operations in Nogales,” said Lance Jungmeyer, Fresh Produce Association of the Americas president (FPAA).
“This is the culmination of many years of hard work in unifying support from groups across Arizona about this important roadway,” Jungmeyer said. “From Flagstaff to Phoenix to Tucson, communities were all talking about the importance of funding this much-needed expansion. We are always looking for ways to speed up the produce superhighway that is Nogales, and this funding is an important step in our continued success.”
Nogales and Santa Cruz County are committing approximately $45 million over the course of several years from their share of a fee paid by produce trucks crossing the border. The State Legislature committed $25 million of general fund money to this project. The road is also recognized as vital on a Federal level as well as evidenced by the investment of $25 million for the project through the award of a Federal Tiger Grant.
The project will fund important enhancements to the entire length of SR 189 and will also construct a flyover ramp connecting SR 189 to I-19, which eliminates stoplights and left-hand turns that currently hamper movement of heavy trucks onto the interstate. The project is also designed as a crucial safety measure by separating the ingress and egress of local high school traffic from the intersection where it meets with the commercial traffic on SR 189. The project has been fast-tracked to begin in 2019.
Added Jungmeyer, “SR 189 is the artery that drives our economy by facilitating the movement of trucks and passengers into and out of Arizona, and we are excited about the positive benefits this will bring to our members in the form of faster, safer, more reliable deliveries to their warehouses. Ultimately this will be a major win for our customers and the end consumers because we will have faster deliveries of the fresh, high-quality produce that is synonymous with Nogales.”
About the Fresh Produce Association of the Americas:
The FPAA is a nonprofit trade association headquartered in Nogales, Arizona, that represents over 120 U.S. member companies involved in growing, packing, sales and transportation of fresh fruits and vegetables grown in Mexico. Produce from Mexico accounts for approximately 37 percent of fruit and vegetable consumption in the U.S. during the winter months. The Mariposa Port of Entry located in Nogales is the largest port of entry for fresh produce imported into the U.S. from Mexico.
Fresh categories are driving nearly 49 percent of all dollar growth across fast-moving consumer goods (FMCG), according to Nielsen’s latest Total Consumer Report, with fresh and perishable foods accounting more than $177 billion in sales.
Although fresh categories are performing well in Retail stores, the sector still has some room for improvement, according to the June 2018 report.
Some findings include:
- Ecommerce is still maturing within food and beverage, but fresh perishables are an opportunity in stores today. Amazon and Whole Foods merged a year ago, and ecommerce within grocery continues to grow, but is still maturing. During the past year, online food and beverage sales represented 13 percent of the overall dollar volume seen online. Fresh and perishable foods generated sales nearly 14 times as high as all online food and beverage sales this year.
- On-the-go fresh produce fails to keep pace with clean snacking. Americans are not rushing to on-the-go fresh produce opportunities although they rank eating more fruits and vegetables as the top factor for healthy eating. They often prefer other snack options. On-the-go fresh produce — pre-cut produce that has been portioned intentionally for snacking purposes — declined by nearly 2 percent in dollars and 6 percent in unit volume over the past year. On the flip side, salty snacks are proof that consumers are seeking indulgence in their snacking purchases, too, as sales grew nearly $1 billion year over year. Still, clean-label products represented more than 35 percent of salty snack dollars in the past year.
In the battle of the burgers, frozen is still winning, but fresh is catching up; meanwhile, alternative protein growth remains strong. Frozen patties are still the staple in the burger category, as frozen meat-based burgers have seen 2 percent dollar growth from last year. However, fresh meat burger patties (up 8 percent) and prepared burgers from the deli section (up 15 percent) are both growing and asserting their importance to the future of the category. Within the past year, sales of alternative-protein burgers have experienced dollar sales growth of nearly 21 percent. However, alternative-protein burgers represent just 6 percent of the overall burger category. Despite this, frozen alternative-protein burgers grew 17 percent year over year, which highlights an area for potential expansion.
By Idaho Potato Commission
EAGLE, ID – With much anticipation the Idaho Potato Commission (IPC) unveiled Big Idaho® Potato 2.0. Weighing in at 4 tons, the fiberglass potato is just as impressive as the original, but with a few subtle differences. While the Truck is still 28 feet long and 11.5 feet high, it’s a little trimmer in the middle (10 feet wide), and two tons lighter so it can travel to more places.
When folks saw the original potato, the most commonly asked question was, “Is it real?” There’s no doubt the Tater Team (the Truck’s traveling trio), will continue to be asked that same question. If the potato was real, it would…
- Be the equivalent of 21,562 medium-size potatoes
- Make 20,217 servings of mashed potatoes
- Make close to 1 million French fries
- Take nearly 7,000 years to grow
- Take about 2 years to bake
The Big Idaho® Potato Truck originally launched in 2012 in celebration of the IPC’s 75th anniversary and was supposed to be on the road for just one year. Instead, it became an instant success from coast-to-coast and a part of pop culture. After traveling 155,000 miles, visiting more than 7,200 cities and being included in more selfies than we’ll ever be able to count, the original potato became too road worn to travel and is now retired in its home state of Idaho. During its seven years on the road, the Truck did some pretty cool things!
- Traveled on a barge around New York Harbor passing by the Statue of Liberty and going under the Brooklyn Bridge
- Took a lap on a NASCAR track in the Poconos
- Appeared in many iconic parades including the Memorial Day Parade in Washington, D.C., Chicago’s St. Patrick’s Parade, the SeaFair Festival Parade in Seattle and the Pro Football Hall of Fame Parade in Canton, OH
- Visited NASA in Houston where an astronaut did the “moon walk” on the big potato and declared America now has its own “Spud-nick”!
- Helped fulfill a Make-A-Wish dream for a Virginia boy born with a rare form of dwarfism
- And starred in the IPC’s popular nationally-televised commercials!
The original potato was donated to Kristie Wolfe, a former Tater Team member, who is in the process of turning it into a tiny house in Idaho. And, if it’s anything like her other tiny houses – a Hobbit Inn in Washington state, a treehouse in Hawaii and a reclaimed Forest Service Lookout in Idaho – it will be a sight to see! Follow the transformation on Instagram @bigidahopotatohotel. The Big Idaho® Potato Truck’s charity component, A Big Helping – Idaho Potatoes Supporting Local Causes Nationwide, will continue. In many of the markets the Truck visits, it works with local charities to help raise funds and awareness about the organization or the important cause it supports. In 2017 the Truck donated $500 each to 32 charities across the country.
To see when the Big Idaho® Potato Truck will be in your neck of the woods visit www.bigidahopotatotruck.com.
About The Idaho Potato Commission
Established in 1937, the IPC is a state agency responsible for promoting and protecting the famous “Grown in Idaho®” seal, a federally registered certification mark that assures consumers are purchasing genuine, top-quality Idaho® potatoes. Idaho’s growing season of warm days and cool nights, ample mountain-fed irrigation, and rich volcanic soil give Idaho® potatoes their unique texture, taste and dependable performance, which differentiates them from potatoes grown in other states.
Among specialty produce items gaining in popularity with U.S. consumers are Asian vegetables and tropical items.
“What is interesting about the specialty category is the crossover between the products and which category they fall into,” said Alex Jackson Berkley, assistant sales manager for Frieda’s, based in Los Alamitos, CA, who recently appeared in a feature in the trade publication The Packer.
“Many fruit items that are popular in the Asian culture are also common in the Latin culture, like dragon fruit (photograph), lychee, rambutan, jackfruit and mangosteen.
“The Asian vegetable category has taken off as many people are becoming more familiar with the items through Asian restaurants,” Jackson Berkley said in The Packer.
“Retailers are looking to compete with the big Asian retailers by bringing in a variety of Asian items at a low retail price. This is going beyond bok choy and napa cabbage. Items like bittermelon, Chinese okra, gai lan and Chinese long beans are more common in the retail (setting).”
World Variety Produce of Los Angeles, which markets under the Melissa’s brand, has seen increasing interest in turmeric, petite baby bok choy and petite Shanghai bok choy, among other Asian items, while jackfruit continues on an upward trajectory despite its massive size.
“The trendiest fruit of them all in the category of tropicals is definitely the jackfruit,” Robert Schueller of Melissa’s added in The Packer article. “It has so much potential.”
“The only problem with the jackfruit and why not every retailer is carrying it is because it’s the largest of all fruit,” Schueller said. “These fruits are typically at least 12 pounds, but on average they are around 20 pounds.”
When the retail price is $2-3 per pound, jackfruit quickly becomes quite pricey.
“It’s a value when it’s per pound, but the thing is that retailers don’t want to deal with cutting it up because there’s a whole art to doing that … It would be considered kind of a tricky fruit to handle,” Schueller said.
Jackson Berkley also noted turmeric and jackfruit as growth items, particularly due to the plant-based eating trend.
Schueller attributed much of the buzz around jackfruit to its use among vegans as a meat substitute.
Both Jackson Berkley and Schueller mentioned dragon fruit has been a hot item as well.
HLB Specialities of Fort Lauderdale, FL report papayas and rambutan are best-sellers for the company, with rambutan experiencing the most growth since HLB began offering it three years ago.
Ecoripe Tropicals of Medley, FL points out rambutan, dragon fruit, durian, longan, lychee, mangosteen and soursop are among the items drawing the most interest for the company.