Archive For The “News” Category

Increase in Most Mexican Berry Exports is Forecast During 2025

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Thanks to rising exports, increased domestic demand, better water access, improved berry varieties, and modern agricultural practices, Mexico expects significant growth in its 2025 berry production. Blackberries are forecast to reach 250,000 MT, raspberries 219,000 MT, and strawberries 700,000 MT—a year-over-year increase of 3%, 7%, and 6%, respectively.

Blueberries are the only berry projected to see a decline, with production expected at 73,500 MT, representing a 9% decrease compared to 2024 due to a shortened harvest period.

The Berry Annual Voluntary Report from the USDA highlights that Mexico’s berry exports will continue to surpass domestic consumption in 2025, maintaining its position as the top U.S. fresh berry supplier. According to the report, overall berry exports, including strawberries, raspberries, blackberries, and blueberries, are forecast to grow to 752,000 MT in 2025, up 5% from 716,000 MT in 2024. This growth is driven by strong U.S. demand and the weakened peso relative to the U.S. dollar.

In 2024, Mexicans consumed an estimated 2,400 grams (5.3 pounds) of strawberries per person, followed by 1,200 grams (2.6 pounds) of blackberries, 314 grams (0.7 pounds) of raspberries, and 146 grams (0.3 pounds) of blueberries. Strawberries remain the most consumed berry in the country, underscoring their strong domestic popularity. Mexico leads globally in blackberry production, ranks second for raspberries, and remains in the top 10 for both strawberries and blueberries.

Blackberries: Steady growth

A 3% production increase in 2025 reflects Mexico’s recovery from COVID-19-related slowdowns. Growth is modest compared to raspberries and strawberries due to aging plants and slower adoption of improved varieties. Mexican growers produce about 18 MT of blackberries per hectare, with each hectare supporting around 7,500 plants. Blackberry plants begin producing fruit after five months and can continue for up to 10 years with proper care, yielding three flowerings per year. Michoacán, Jalisco, Colima, Baja California, and Sinaloa account for 99% of national production.

Raspberries: Leading growth at 7%

Raspberry production is forecast to see the highest increase at 7%, driven by improved water management, skilled labor retention, and expanded planting areas. In 2025, the planted area is projected to reach 11,220 hectares. Production has steadily risen since 2019, surpassing 190,000 MT in 2023. Modernized farming practices have allowed producers to achieve higher yields while using less water and fertilizer. The key raspberry-producing states are Jalisco, Michoacán, and Baja California.

Strawberries: Expanding with new techniques

Strawberry production is projected to reach 700,000 MT, a 6% increase from the previous year’s estimate of 661,260 MT. Growers are expanding planting areas and implementing innovative agricultural practices to maximize yields with fewer resources. Strawberry growers have reduced water and fertilizer use while achieving higher yields and are adopting new varieties for improved plant management. Major production areas include Michoacán, Guanajuato, Jalisco, and Baja California, where summer production is most prominent.

Blueberries: Facing a temporary setback

Blueberry production is forecast to decline by 9% due to a delayed harvest start, which shortened the harvesting period. Despite this setback, Mexico remains the sixth-largest blueberry producer globally. Domestic consumption continues to grow as health-conscious consumers increasingly incorporate blueberries into their diets.

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Aldi Plans to Open 225 Plus New Stores in 2025

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BATAVIA, IL — ALDI, the fastest-growing grocer in the U.S., today announced recently its plan to open more than 225 new store locations in 2025 as part of the next phase of its five-year national growth strategy.

This is the most stores ALDI will open in one year in its nearly 50-year U.S. history as more shoppers than ever look to save up to 36% on an average shopping trip.*

The new stores will open through a combination of organic growth and converting select Winn-Dixie and Harveys Supermarket stores to the ALDI format. In total, ALDI will convert approximately 220 Southeastern Grocers locations to the ALDI format through 2027.

As part of the strategy, ALDI has closed a transaction to divest approximately 170 Winn-Dixie and Harveys Supermarket stores that are not part of the ALDI conversion plan to a consortium including C&S Wholesale Grocers, Southeastern Grocers senior leadership and private investors. This transaction allows ALDI to create a focused conversion portfolio in the Southeast as it progresses its expansion plans across the country.

“When we announced our acquisition of Southeastern Grocers, we shared that we intended for a meaningful number of Winn-Dixie and Harveys Supermarkets to continue to operate, and we’re delivering on that promise while also supporting ALDI growth. Over the last year, we’ve seen firsthand how C&S Wholesale Grocers, Southeastern Grocers and their teams have continued to deliver great quality, service and value to their customers, and we are confident they will lead the company successfully into its next chapter,” said Jason Hart, CEO, ALDI.

“Converting the remaining locations to the ALDI format is critically important to our nationwide commitment to help shoppers fill their carts with quality groceries for less. As shoppers continue to feel sticker shock at the checkout, the value ALDI delivers can’t be beat,” added Hart.

Grand openings for the first several converted Southeastern Grocers stores are underway, with approximately 100 converted locations re-opening as ALDI stores by the end of 2025.

In addition to its Southeast expansion, ALDI will add to its established footprint in the Northeast and Midwest regions, grow its presence in the West with more stores in Southern California and Arizona, and enter new communities, like Las Vegas. As ALDI grows its footprint to serve more customers, it also brings its employee-focused culture and industry-leading pay and benefits to more communities.

“ALDI continues to see more shoppers come through our doors as they experience our quicker, easier and more affordable shopping experience firsthand,” said Hart. “With our expansion across the country, ALDI is earning the trust of more shoppers in more communities than ever before, bringing us closer to becoming America’s first stop for groceries.”

Last year, ALDI opened nearly 120 stores, bringing its total store count to over 2,400 and solidifying its position as the third-largest grocery chain by store count in the U.S. More than one-in-four American households shop at ALDI for its affordable, quality groceries, which is double the amount from just six years ago. With shoppers saving money with every trip, more shoppers are flocking to ALDI than ever before.

With the lowest prices of any national grocery store* ALDI is a welcome solution to inflation as it enters more communities nationwide. In 2024, 19 million new shoppers were drawn to its quality, affordable groceries, quicker, easier shopping experience, shelves stocked with only the best products at even better prices, and ultra-popular, on-trend ALDI Finds. Customers can conveniently shop in-store, through curbside pickup, or via delivery to get the essentials they need how, when and where they need them.

Deutsche Bank served as financial advisor to ALDI. Skadden, Arps, Slate, Meagher & Flom LLP was transaction counsel to ALDI and Kayne Law Group served as co- real estate counsel to ALDI.

About ALDI U.S.
ALDI is America’s fastest-growing retailer, serving millions of customers across the country each month. Our disciplined approach to operating with simplicity and efficiency gives our customers great products at the lowest prices of any national grocery store.* ALDI strives to have a positive impact on its customers, employees and communities by being socially and environmentally responsible, earning ALDI recognition as a leading grocer in sustainability.** In addition to helping protect the planet, ALDI helps customers save time and money through convenient shopping options via in-store, curbside pickup or delivery at shop.aldi.us. For more information about ALDI, visit aldi.us.

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US Imports of Chilean Citrus Experience Slight Decline

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The Chilean Citrus Fruit Committee has reported that exports totaled 397,417 tons during the 2024 season, slightly down from 399,824 tons in 2023. This represents a moderate 0.6% year-on-year.

“The start of the 2024 season was impacted by drought conditions, especially in the Coquimbo region,” said the committee Executive Director Monserrat Valenzuela. She added that “the rains that came later in the season arrived after the typical start of the clementine harvest, which affected the yield of this variety.”

In Chile, clementines are grown across 9,884 acres with 70% of the total area in the northern Coquimbo Region, according to the Natural Resources Information Center (CIREN).

“There has been a recovery of lemon orchards following the 2022 frost,” Valenzuela noted, “which has contributed to an increase in export volumes.”

Markets and competition

The United States remained the leading market for Chilean citrus, with exports of 50,353 tons of clementines, 60,467 tons of lemons, 128,958 tons of mandarins, and 97,602 tons of oranges during the 2024 season.

Fruit guild Frutas de Chile highlighted Japan as another key destination, particularly for lemon exports.

“The United States is undoubtedly the main market for Chilean citrus. In the 2024 season, it received 98% clementines, 95% of mandarins, 93% of oranges, and 63% of lemons. Lemons also have a growing market in Japan and South Korea, which received 21,000 tons and 10,200 tons, respectively,” said Valenzuela.

Regarding competition, Chile faces strong challenges from South Africa, Australia, Argentina, Peru, and Uruguay.

“South Africa and Australia maintain a steady supply of high-quality oranges, while South Africa and Argentina also offer strong competition in lemons. Peru, with its easy-peeler varieties, is always a significant competitor,” Valenzuela explained.

“The need to explore new markets remains a challenge to prevent the U.S. from becoming a ‘monomarket’ for Chilean citrus,” added the executive director of the Chile Citrus Committee.

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Brokers as Buoys: Keeping You Afloat in a Flood of Disruptions

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By Charlie Fabricant ALC Corporate

The United States has experienced an unprecedented increase in severe weather events, with 2023 accounting for the highest annual total of severe storms and one of the highest financial costs on record. Per the National Oceanic and Atmospheric Administration, regarding severe storms, i.e., storms that cost the country $1B or more, “The 1980–2024 annual average is 9.0 events (CPI-adjusted); the annual average for the most recent 5 years (2020–2024) is 23.0 events (CPI-adjusted).” It is estimated that 23% of all road delays can now be attributed to weather, directly costing the industry between $2 and $3.5 billion dollars annually, not even including rising insurance premiums and maintenance costs. The total economic loss associated with climate risk in supply chains will reach $120 billion annually by 2026. As shippers plan for uncertainty, what kind of logistics partner will they be able to trust to be as adaptable as the times demand? Let’s discuss. 

The COVID-19 pandemic, and the supply chain collapse that went with it, emphasized the need for companies to add both resilience and flexibility to their business operations. The same lessons apply to the climate crisis. Traditional supply chains are already being disrupted, whether it’s due to drought conditions causing the Panama Canal to reduce shipments, more frequent and powerful hurricanes damaging both ports and roadways, or fluctuating temperatures and precipitation patterns making winter storms harder to predict. With an uncertain regulatory market and technological changes, the logistics world is looking at a significant shakeup.

Traditional wisdom has long heralded asset-based carriers for reliability and brokers for flexibility. However, as market dynamics change, so do long-held industry advantages. More and more shippers are shortening their bid timelines, acknowledging the increased market volatility over recent years. As mini bids take up a growing amount of total volume, carriers need to be able to adjust to constantly changing lanes and prices. Although brokers work with asset-based carriers to service our customers, they do not have the same large capital expenditures that make rapid operations adjustments difficult. As with everything in the transportation sector, collaboration is crucial, but as climate disruptions and regulations increase, brokers are better positioned to assist customers with sourcing resilient and flexible transportation options.

*****

Charlie Fabricant graduated from Vanderbilt University in 2021 with a double major in Economics and Human & Organizational Development with a minor in Environmental Sustainability. He joined the Nashville office as an undergraduate intern in 2021 and became a transportation broker along with the company’s Environmental, Social, and Governance (ESG) coordinator. In 2024, he was promoted to ESG programs manager.

charlie.fabricant@allenlund.com

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Maersk will continue avoiding the Gulf of Aden and Continue Around Cape of Good Hope

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Maersk has said that, even after the ceasefire agreement and the announcement from the Houthi organization to stop attacks on ships, the logistics organization will continue to avoid the Gulf of Aden and the Red Sea. 

Although Yemen’s Houthis said they would limit their attacks on the Red Sea corridor to only Israeli-affiliated ships after a ceasefire, uncertainty and tensions remain high. 

The Houthis announcement was sent to shipping companies and other organizations last week. 

The Danish company said the safety of its crew, vessels, and cargo is an utmost priority and that it will continue to sail around Africa via the Cape of Good Hope. 

“Returning to the area without fully ensuring safe passage could result in our networks needing to be adjusted again, which would prove complicated both operationally and indeed for supply chain management,” the company added. 

They also announced that the Gemini Cooperation and their East West network started phasing in via the Cape of Good Hope as planned on February 1, 2025. 

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Border Crossing delays Resulting in Late Shipments

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Mexico is currently experiencing extremely long border crossing delays into the U.S. at most entry points due to a scheduled customs system update this past weekend, according to Markon Cooperative of Salinas, CA.

In a press release, the company reports crossing delays began Monday, February 10, as Mexican customs agents began having problems generating documents as a result of the update. A contingency plan is in place to clear loads and cross shipments; however, the process is very slow going.

The result is long truck lines on Wednesday, February 12, with reports of trucks waiting as long as eight hours at South Texas points of entry. Expect late shipments into the McAllen, Texas, area this week, and in some instances, products arriving into U.S. warehouses a day late.

Outbound produce shipments in major points of entry cities, such as Nogales, AZ, and McAllen, TX, will be delayed for the rest of this week. It’s recommended to notify domestic carriers of potential delays in advance.

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Peruvian Mandarin Exports Last Year Increased 19%; with U.S. Being the Top Market

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2024 began with moderate exports, but fresh mandarins from Peru experienced an increase starting in June, recording several months with results higher than those of 2023, according to Agraria.

Fresh mandarins from Peru reached 33 international markets throughout 2024, with the U.S. as the main buyer, representing 57 percent of exports. It was followed by Mexico, with a 10 percent share and the Netherlands, with 8 percent.

Shipments to the U.S. totaled 129,406 tons for $171 million, which meant an increase of 45 percent in volume and 61 percent in value compared to 2023. Likewise, the average price in this market rose to $1.32 per kilogram, which was 11 percent higher.

Last year, mandarin shipments reached 230,038 tons, for $300 million, which represented a growth of 19 percent in volume and 35 percent in value compared to 2023.

In addition, the average price of the product stood at $1.30 per kilogram, showing an increase of 14 percent compared to the previous year.

Mexico, for its part, stood out as the market with the greatest growth in the last year, with exports of 20,481 tons for $30 million, which represented an increase of 130 percent in volume and value compared to the previous year.

The Netherlands was in third place, acquiring 20,272 tons for $25 million, which represented a decrease of 16 percent in volume and 9 percent in value. However, the average price in this market rose to $1.25 per kilogram, 8 percent higher, partially mitigating the drop in purchases.

On the other hand, throughout 2024, nearly 100 exporters participated, with Consorcio de Productores de Fruta S.A. standing out as the main player (20 percent share). It was followed by Procesadora Laran S.A.C., with 15 percent; and San Miguel Fruits Perú S.A., with 8 percent. For their part, agro-exporters mostly chose DP World for their shipments, concentrating 40 percent of the total; followed by APM Terminals, with 27 percent; the Terminal Portuario General San Martín – Paracas, with 26 percent; and Terminales Portuarios Euroandinos, with 7 percent.

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Exports of Peruvian Fruit Top $6B in 2024

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Peruvian fruit exports exceeded $6 billion in 2024, according to Agraria, citing the head of the Ministry of Foreign Trade and Tourism (Mincetur), Desilú León Chempén.

She noted blueberry shipments abroad exceeded $2 billion, while avocado shipments amounted to more than $1.3 billion. Regarding avocados, she pointed out it is a product that is positioning itself in different markets, and there are still more destinations to reach.

A large quantity of Peruvian grapes are being exported to Japan and China. New agreements are expected to be closed soon with Indonesia and India.

Peruvian exports reach the destination markets with very important quality certifications.

With the inauguration of the Chancay megaport, Peru has an enormous opportunity, she said, which considerably reduces travel time.

“The first shipments have already left, which have taken 23 days to reach Asia, that is, a saving of 14 days in the transfer of our fresh products,” she said.

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European Company Chooses Grand Forks for New Potato Production Facility

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Since its founding in 1986, Agristo has been supplying customers across Europe andbeyond. The company continues to expand within Europe to meet growing demand in the European markets, while also strengthening its European export position through investments in Belgium (Wielsbeke) and France (Escaudoeuvres). The European market for frozen potato products has seen steady growth, but this increase requires a significant boost in production capacity. Given the large consumption volumes in Europe, even small growth percentages in the market demand substantial expansion in production capacities.

The same growth trends are evident in the North American markets of frozen potato products, where demand is rising faster than in Europe, and consumption volumes are higher. In selecting production locations, Agristo has consistently focused on two key criteria: availability of raw materials (potatoes) and sufficient market scale for its private label segment. Seeing strong potential in both potato supply and market growth in North America, Agristo is now ready to invest in its first production facility in the United States, focusing on high-quality products, innovation, and state-of-the-art technology.

After years of extensive potato trials in various U.S. states, Agristo has identified Grand Forks, North Dakota, as the ideal location for its new facility. The company is confident in the region’s high-quality potato farming and is collaborating with local authorities to prepare an industrial plot and enhance logistical connections to reach Agristo’s U.S.-based clients. Once negotiations are finalized, Agristo plans to invest up to $450 million in a cutting-edge production facility. This investment is expected to create 300 to 350 direct jobs in North Dakota and will stimulate indirect investments in agriculture and supply chain, boosting local and regional economies.

Agristo wishes to express its sincere thanks to all those involved in this project, and the company is confident that this investment will positively impact local communities throughout the Midwest, while at the same time strengthening Agristo’s North American and global position.

Negotiations for the plant’s construction are ongoing, with the aim to finalize agreements by mid-2025.

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Alico, Inc. is Planning to Discontinue Citrus Operations

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Alico, Inc., of Fort Myers, FL has announced a strategic transformation to become a diversified land company with each of its properties now expected to create profitable agricultural revenue opportunities that are not citrus-related until the Highest and Best Use (“HBU”) for these acres can be realized, according to a press release.

Alico owns approximately 53,371 acres of land across eight counties in Florida, as well as approximately 48,700 acres of oil, gas and mineral rights in the state. Alico Citrus, which holds the Company’s citrus production operations, has faced increasing financial challenges from citrus greening disease and environmental factors for many seasons.

The Company has decided to not spend further capital on its citrus operations after the current crop is harvested in 2025. It will focus its resources on creating new opportunities for profitable growth while also acting prudently on behalf of shareholders.

Alico expects to maintain its commitment to the Florida agriculture industry through diversified farming operations on nearly all its land holdings following this citrus production transition. Alico also expects to entitle certain parcels of its land for commercial and residential development. The Company believes these strategic decisions improve its ability to provide investors with a greater return on capital that includes the benefits and stability of a conventional agriculture investment, with the optionality that comes with active land management.

“For over a century, Alico has been proud to be one of Florida’s leading citrus producers and a dedicated steward of its agricultural land, but we must now reluctantly adapt to changing environmental and economic realities. Our citrus production has declined approximately 73% over the last ten years, despite significant investments in land, trees and citrus disease treatments, and the current harvest will likely be lower in volume than the previous season.

“The impact of Hurricanes Irma in 2017, Ian in 2022 and Milton in 2024 on our trees, already weakened from years of citrus greening disease, has led Alico to conclude that growing citrus is no longer economically viable for us in Florida,” said John Kiernan, Alico’s President and Chief Executive Officer.

“This difficult decision is expected to provide Alico with a more stable future while maintaining our deep roots in agriculture by meaningfully reducing our working capital requirements for annual citrus production, reducing financial volatility and allowing the Company to focus on profitable non-citrus agricultural opportunities and entitlement work to achieve the HBU for all properties in our real estate portfolio.”

Alico plans to wind down Alico Citrus’ primary operations, which will include reducing most of its citrus production workforce effective immediately. The Company expects that approximately 3,460 citrus acres will be managed by third-party caretakers for another season through 2026.

Mr. Kiernan continued, “This strategic transformation is expected to provide Alico with a more stable future while maintaining our deep roots in agriculture. We recognize the personal impact this decision has on our valued employees and the Company is supporting them through this transition. Through these operational changes, Alico will remain a responsible corporate citizen and steward of both our land and communities, just as we have done for more than 125 years. For decades, while maintaining its agriculture leadership, Alico has opportunistically sold land in Florida for responsible purposes that benefit both the local communities and our shareholders, such as the approximately 40,000 acres of the Alico Ranch that were sold to the State of Florida since 2017 and the 760 acres of land donated in 1992 to establish Florida Gulf Coast University. We’ve explored all available options to restore our citrus operations to profitability, but the long term production trend and the cost needed to combat citrus greening disease no longer supports our expectations for a recovery. Alico thanks our entire Alico Citrus team for their unwavering dedication, hard work, and perseverance. Despite our collective efforts, Alico believes that this strategic decision is not only correct but essential. We remain committed to creating opportunities that will maintain our legacy of stewardship while also acting prudently on behalf of our shareholders, including working with local municipalities to develop plans that will benefit their Florida communities.”

Under this new strategy, Alico:

  • Expects to recognize positive cash flow for the remainder of the current fiscal year once land sales that have already been negotiated close, severance and restructuring costs are realized, and harvesting activities conclude.
  • Anticipates that cash reserves at the end of the 2025 fiscal year will be sufficient to meet future operating expenses for at least two additional years without any additional land sales being required.
  • Estimates that approximately 75% of its current land holdings are likely to remain agriculturally focused for the foreseeable future.
  • Expects that approximately 25% of its land holdings have near- and long-term potential for commercial and residential development, with approximately 10% of its acres targeted for development within the next five years.
  • Management estimates that the value of our current landholdings could be worth approximately $650 million to $750 million, with 75% of these acres valued for agriculture usage.

About Alico
Alico, Inc. currently operates two divisions: Alico Citrus, currently one of the nation’s largest citrus producers, and Land Management and Other Operations, which include land leasing and related support operations. While Alico Citrus will cease operations after the 2024/2025 harvest due to environmental and financial challenges, Alico remains committed to Florida’s agriculture industry, and will focus on its long-term diversified land usage and real estate development strategy. Learn more about Alico (Nasdaq: “ALCO”) at www.alicoinc.com.

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