Posts Tagged “feature”

Wonderful Citrus Expanding Summer Halo Volume with Imports; Vandenberg Also Sees Increase

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Wonderful Citrus of Delano, CA will import summer citrus from Chile, South Africa, Peru, Uruguay and Argentina and Chris Cockle, with volume expected to be up significantly.

2021 will be the first year the company will have a year-round supply of Halos featuring high quality and value, meaning it will be on ad by supermarkets.” Cockle said, adding that the 2021 summer season will feature promotable Halo volumes for the first time.

Wonderful has exclusive access to one of the largest growers in the Southern Hemisphere, in South Africa, providing consistent high quality and reliable supply.

The company notes transportation costs are up this year, but Wonderful has options to increase efficiency across the country for shipping. Wonderful also has an exclusive third-party packing house in Savannah, GA.

Summer citrus volume for Yonkers, N.Y.-based Jac Vandenberg should see slightly increased volume, says John Paap, brand manager for the company.

With expected volume of close to 1.7 million cartons, the importer sources citrus from Argentina, Australia, Chile, Peru, South Africa and Uruguay, Paap said. About 1% of Jac Vandenberg’s volume is organic, and Paap said the company intends to expand its organic citrus offering in coming years.

Jac Vandenberg of Yonkers, NY expects a slight increase volume with summer citrus.

Vandenberg expects to import 1.7 million cartons of citrus from Argentina, Australia, Chile, Peru, South Africa and Uruguay. About 1% of the company’s volume is organic.

Vandenberg has a full lineup of citrus products, which includes lemons, oranges, mandarins, grapefruit and tangelos.

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Organic Fresh Produce Sales Up 9% in Q1 2021; Top $2 Billion for the Quarter

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Monterey, CA— Total organic fresh produce sales for the first quarter of 2021 saw a continuation of last year’s growth, increasing by 9.3 percent from the same period in 2020 and topping $2.2 billion for the quarter, according to the Q1 2021 Organic Produce Performance Report released exclusively by Organic Produce Network and Category Partners. 

Organic fresh produce sales and volume in the first quarter of 2021 maintained a trend established in March of last year, with elevated sales across the entire supermarket, as consumers continued at-home eating in light of restaurant closures. However, moving into the second quarter of 2021, it is apparent that the pandemic closures are beginning to ease, and the question has now become if—and how fast—consumers will return to their pre-COVID food purchasing behaviors.

The 9.3-percent year-over-year sales growth of organic fresh produce for the first quarter of 2021 outpaced conventional produce sales, which grew by only 2.9 percent. Organic fresh produce volume grew by 5.7 percent, while conventional volume saw a decline of 0.6 percent. 

The top 10 organic produce categories continued to perform very well, with 8 of the top 10 categories generating increases in both dollars and volume. Of these top 10 categories, only organic carrots and apples failed to generate year-over-year dollar and volume gains during the first quarter.

The top 10 organic categories drove 72 percent of total organic volume and 70 percent of total organic sales. In conventional produce, these same categories drive only 64 percent of total sales and 67 percent of volume.

“Once again, sales of organic fresh produce continue to be a major growth opportunity for retailers across the country. At the same time, as the country enters a post-COVID environment, with restaurants reopening and other foodservice options available, it appears the double-digit growth rate will be slowing,” said Matt Seeley, CEO of Organic Produce Network.

Packaged salads remain the single largest driver of organic dollars, accounting for 17 percent of all organic sales. During the first quarter of 2021, packaged salad dollars saw a year-over-year increase of 9.5 percent. Organic berries have become a key winter category, driving over 15 percent of total organic produce dollars during the first quarter. The first quarter of 2021 was a strong quarter for berries, generating a year-over-year sales increase of 8.8 percent.

“Within the top 10 categories, fresh herbs (+28.2 percent), lettuce (+34.7 percent), and tomatoes (+14.7 percent) generated the largest percentage gains in dollars,” said Steve Lutz, senior vice president for insights and innovation at Category Partners. “In terms of Q1 volume, bananas, carrots, and apples rank as the top drivers of organic volume at retail, generating a remarkable 37 percent of total organic volume. Bananas alone drive 17 percent of all organic volume.”

Year-over-year organic sales and volume increases during the first quarter of 2021 were strong in every region of the US. The West and Northeast are historically the strongest regions for organic produce sales and the two regions generated the highest increases in dollar growth.

The Q1 2021 Organic Produce Performance Report utilized Nielsen retail scan data covering total food sales and outlets in the US over the months of January, February, and March. The full Q1 2021 Organic Produce Performance Reportis available on the Organic Produce Network website at https://www.organicproducenetwork.com/education.

OPN is a marketing organization serving as the go-to resource for the organic fresh produce industry. The company’s mission is to inform and educate through a strong digital presence with an emphasis on original content and complimented by engaging live events which bring together various components of the organic food community. The OPN audience includes organic producers, handlers, distributors, processors, wholesalers, foodservice operators, and retailers.  www.organicproducenetwork.com

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Berries Lead 8 percent Rise in Q1 for U.S. Fruit imports

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U.S. total fruit imports rose by 8 percent over last year to $6.4 billion in the first quarter of 2021, with much of the increase led by berries.

Fresh blueberries, strawberries and raspberries all saw increases of about 25 percent. Imports of blueberries rose by 28 percent to $377 million, while strawberry imports were up 25 percent to $596 million, and raspberries also increased by 25 percent to $302 million. Blackberries had a more modest increase of 11 percent to $145 million.

However, two of the biggest fruit import categories – avocados and bananas – dropped by 5 and 6 percent respectively to $674 million and $470 million.

Table grape imports through mid-February were off 14 percent at $388 million, while in the second half of the quarter it increased by 13 percent to $480 million.

With citrus, there was a 28 percent rise to $232 million which driven mostly by limes, which grew by 43 percent to $156 million.

Imports of fresh melons dropped by 14 percent to $193 millon.

Frozen fruits saw a significant 38 percent uptick to $341 million, while fruit juices were up 21 percent to $559 million, and processed fruit grew by 2 percent to $464 million.

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Eastern Cantaloupe Growers Association Launches Shipping Campaign for 2021

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LAGRANGE, GA – The Eastern Cantaloupe Growers Association (ECGA), a leading food safety and advocacy group for Eastern Cantaloupe growers in the Midwest and eastern U.S., has announced the launch of its Flavor of Sunshine campaign to support the 2021 Eastern Cantaloupe season. The annual campaign helps drive business for retailers with consumer-facing marketing components such as branded PLU stickers on the fruit, recipes and a social media campaign that promotes the benefits of Eastern Cantaloupes.

Also called Athena melon, muskmelon and rockmelon, among other names, Eastern Cantaloupes are grown throughout the Midwest and all along the East Coast. In its outreach to retailers, ECGA notes that melons produced in these regions, which are available from mid-June through early September, benefit from the wetter climate and rich soil, and consequently tend to be larger and sweeter than those grown in the western U.S.

“Eastern Cantaloupes go from field to store in as little as 24 hours,” said Tony Phillips, COO at Frey Farms of Keenes, IL and ECGA president. “They’re picked when ripe, ready to eat and give off an enticing aroma that hints at their incredible sweetness. They’re also larger than other cantaloupes, so they catch the eye of any shopper walking through the produce area.”

“Our members are proud of the Eastern Cantaloupes they grow, with their exceptional sweetness and unique flavor profile,” said Debbie Johnson, ECGA executive director. “They’re also proud of the strong partnership they have with buyers and retailers in the Midwest and eastern U.S. and are excited about the Flavor of Sunshine campaign and the positive impact it will have on retail sales.”

“Eastern Cantaloupes have the benefit of providing immediate satisfaction to retail customers,” said Matt Solana, VP of operations at Jackson’s Farming Co. of Autryville, NC and ECGA treasurer. “They take home a melon with its even, straw color and sweet smell, and cut into it that same day to enjoy the delicious flavor that so clearly says, ‘Summer is here!’ For the American consumer, there’s a positive association between cantaloupes and summertime that runs deep.”

About ECGA
The Eastern Cantaloupe Growers Association was founded in 2013 to foster programs that serve the needs of the Eastern Cantaloupe industry. Headquartered in LaGrange, GA, the organization is committed to strict adherence of the highest food safety standards and provides educational programs on the proper production, packing, handling, storing, processing and distribution of Eastern Cantaloupes and similar melons. It also conducts unannounced safety audits at member farms and packing facilities. In addition, ECGA members benefit from marketing initiatives that educate buyers, grocers and consumers about the benefits of Eastern Cantaloupes. Learn more at https://ecga-usa.org/.

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Prepackaged Fresh Produce Sales Soar Amid COVID-19 Pandemic

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CLEVELAND — A new Freedonia Group analysis projects US sales of fresh produce packaging to grow 3.7% per year to nearly $7 billion in 2024, as demand continues to rise among both consumers and foodservice establishments for produce sold in some form of packaging – including pouches, bags, and rigid plastic containers.

Among the key drivers of growth will be increasing sales of ready-to-eat (RTE) salads, as well as pre-cut produce such as apple slices, melon spears, and carrot sticks – which are typically sold in clamshells, cups, and other plastic containers. Sales of these and other prepackaged fresh produce have soared during the pandemic due to:

  • surging grocery sales – including more packaging-intensive online grocery orders – as consumers began eating out far less and cooking in way more
  • increased concerns about the safety of loose bulk-bin items that have been handled by others in stores
  • rising demand for convenience foods, including RTE produce, which require minimal or no prep before consumption, unlike their unpackaged counterparts, which often need to be washed, peeled, and/or chopped

Sales of plastic containers increased 5% in 2020, the biggest gain of the main produce packaging types – boosted by their intensive use with RTE produce. The sharp increase recorded in organic produce sales further bolstered plastic container demand, as these premium brands tend to employ value-added rigid packaging for product differentiation purposes, whereas non-organic brands tend to employ bags or pillow pouches due to their lower cost.

Through 2024, sales of plastic containers are expected to outpace those for all other major packaging categories, as clamshells and other plastic containers continue to supplant commodity bags and pillow pouches due to their good protective and display properties.

About the Freedonia Group – The Freedonia Group, a division of MarketResearch.com, is the premier international industrial research company, providing our clients with product analyses, market forecasts, industry trends, and market share information. From one-person consulting firms to global conglomerates, our analysts provide companies with unbiased, reliable industry market research and analysis to help them make important business decisions. With over 100 studies published annually, we support over 90% of the industrial Fortune 500 companies. 

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Stemilt’s Skylar Rae Cherries Will be Shipped into Early July

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WENATCHEE, Wash. – Stemilt began harvesting and packing Skylar Rae® brand Tip Top cultivar cherries early this week.

“The crop is projected to have good sizing, great quality, high sugar levels and of course, World Famous flavor,” explains Brianna Shales, marketing director. “We already have consumers contacting us, asking when they they’re available, so we know cherry lovers are getting excited.”

“This year, retailers can expect to start loading around June 7 with the first and largest peak starting in mid-June, she said.” The season for this variety should continue in early July.

Stemilt will be packing Skylar Rae® cherries on its hybrid cherry line that is designed for light colored cherry varieties. With more cushion and a slower run time, Stemilt ensures quality is not sacrificed during the packing process.

“Skylar Rae® cherries are an anomaly and such a tasty summer treat,” states Shales. “We are excited to bring this cherry back into the produce spotlight this summer and continue on our mission of delighting consumers through excellence with Skylar Rae® cherries through the month of June and into the early part of July.”

 

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Pallet Shortages are Putting the Shipments of Fresh Produce at Risk

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By United Fresh Produce Association

WASHINGTON, D.C. – Although conversations are occurring within the North American (and global) industry relative to the current acute pallet shortages, we believe that many do not yet realize the factors impacting the situation and the potential scope of the issue, including the availability of produce to consumers.

A multitude of issues are impacting pallet availability including:

  • Efforts of wholesalers, distributors and retailers to ensure sufficient inventory of non-perishables given previous pandemic-related impacts.
  • The availability of lumber to repair and build new pallets.
  • The escalating price of lumber when it is available.
  • Non-perishable inventory dwell time increase. 
  • Lack of available trucks to relocate pallets.

The lack of pallets is adding stress to a supply chain that is already facing significant challenges which include a lack of available trucks and shipping containers, ongoing labour challenges, fluctuating fuel costs, pandemic-related challenges and a pending shortage of resin used to make reusable containers and pallets.  At this time expectations are that the pallet shortage will continue for months, perhaps for the balance of 2021 – all at a time when many North American produce items are just beginning seasonal harvests and shipments.  

To give a sample of the scope of the issue, we’ve compiled the following information:

  • The shortage of lumber and wood products has increased the cost of raw lumber 200% to 350% and is making the cost of wood pallets increase incrementally. 
  • In one example, it was noted that over the past few weeks, pallet costs have increased more than 400%, IF the pallets are even available, and often they are not.  
  • One farmer was told by one pallet supplier that they are not taking any new customers due to an inability to fill even existing customer demand.
  • Companies are forced to bring pallets from other jurisdictions thereby incurring border and transportation costs.
  • Pallets are being held in-house due to delayed and cancelled orders from pallet services, leading to higher storage charges and increased congestion within operations.

Working together, the supply chain must balance organizational goals relative to overall availability of goods with availability of food.  If there is not a concerted effort across the supply chain to ensure pallet availability for shipment of produce, there is little doubt that it will be very difficult, if not impossible, for the grower/shipper community to meet buyer, and ultimately consumer, demand for produce.  Simultaneously, growers and shippers are working hard to remain compliant with pallet requirement specifications where they can, but this is proving challenging.  Temporary modifications or exceptions to pallet requirements, as long as they do not jeopardize safety, would prove advantageous until this pallet shortage is resolved.

This letter is intended, in part, to act as a catalyst for industry awareness and should be shared with all stakeholders to ensure a consistent understanding of the issue and to encourage discussions and efforts towards a path forward.  All partners in the supply chain should have regular conversations with their pallet suppliers to understand the situation and pallet inventories/availability.

We welcome the opportunity to work collaboratively with all parties within the supply chain to mitigate the impacts of the current shortages and will reach out to stakeholders to identify a path forward that provides solutions to this increasingly disruptive threat and enables the continued flow of goods.

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Construction Beginning on Texas Cold Storage Facility for Mexican Produce Firm

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Construction of a south Texas distribution center for Mexico-based GAB Operations, with completion scheduled for October.

The new 45,590-sf facility, when complete, will provide increased cold storage capacity for fresh produce and serve as a hub for the company’s U.S. and Canadian customers.

Founded more than three decades ago in Guanajuato, Mexico, GAB specializes in the production, development, marketing and distribution of fresh and frozen vegetables and fruits.

Items range from broccoli to cauliflower, spinach and other leafy greens, varieties of lettuce, celery, sweet corn, snow peas, pumpkin, sweet mini peppers, berries, among others.

Additionally, the company operates under the brand name Mr. Lucky, which is one of the largest garlic and organic tomato producers in Mexico. It prepares fresh-cut produce for foodservice clients and provides pre-packed salads and private-label products for many U.S.-based produce companies.

GAB’s Laredo distribution center will be located in the Pinnacle Industry Center, which is just minutes from the Rio Grande River and the Laredo International Airport. It is neighbor to Mission Produce’s new 262,000-sf greenfield ripening, processing and distribution center, an A M King project that will be complete this summer.

GAB reports the GAB project will not only house the cold storage warehouse and offices of the GAB Laredo distribution center, but will also feature a trucker dormitory where its fleet drivers may rest before continuing their route.

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Port Congestion in California Continues with an Early Peak Shipping Season Seen

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Congestion of California ports continue, with Oakland surpassing Los Angeles/Long Beach as the epicenter of the crowding with the peak shipping season quickly approaching.

Maersk warned in a customer advisory Los Angeles and Long Beach “remain strained with vessel wait times averaging between one to two weeks,” according to American Shipper.

But the shipping giant was reported as saying that, “the situation is even more dire at the Port of Oakland, where wait times now extend up to three weeks.”

West Coast port delays are having severe fallout for liner schedules and the congestion is equating to canceled voyages as ships can’t get back to Asia in time to load cargo.

Even as U.S. import demand soars, the effective capacity in the trans-Pacific trade is being sharply curtailed.

Maersk reports 20 percent of its capacity from Asia to the West Coast has been lost so far this year as a result of operationally induced “blank”, or canceled, sailings.

It now sees 16 percent of its Asia-West Coast capacity to be lost from now until the end of June and 13 percent to be lost from now until the end of August.

Current cancellations are now running at the same percentage that carriers intentionally blanked in Q2 2020 to compensate for the sudden collapse of import demand when U.S. businesses were shuttered by nationwide lockdowns.

The Port of Los Angeles has aired a goal of June 1 for “few if any ships” at anchor in San Pedro Bay, however, that deadline will not be met.

The daily number of ships in the bay is down from January, though numbers have not fallen any further. As of 2 weeks ago, there were still 20 ships at anchor in San Pedro Bay.

Maersk expects an early start to the peak season this year as retailers prepare for a strong back-to-school season that will likely blend into the end-of-year holiday peak season that typically starts in August.

Both Maersk and Hapag-Lloyd, say the problem at Oakland is a shortage of available longshore labor.

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NZ Apple Exports Forecast is Lower Despite Earlier Optimism

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New Zealand apple exports will be off about 14 percent from a year ago despite earlier expectations of a near-record season, according to a
USDA forecast.

“…a number of factors have tempered expectations,” the report noted, with production now estimated to have slumped 8 percent from the previous year to 543,000 metric tons (MT).

Two of these factors have been hailstorms causing widespread damage in key apple areas, as well as generally smaller-sized apples this year due to a cooler summer.

In addition to reduced production, the impact on exports is being exacerbated by severe staffing shortages during the harvest. New Zealand’s Covid-19 response included limiting slots available for short-term foreign workers in mandatory 14-day quarantine on arrival, and international border closures.

Because of these shortages, orchardists were not able to do the number of harvest picks in each orchard block necessary to maximize the proportion of export quality fruit. Consequently, while all the apples are still expected to eventually be harvested there will be a greater volume destined for processing.

This is expected to reduce exports by 14 percent from 2020, down to 345,000MT in 2021, the USDA report said.

The volume of apples being processed in 2020/2021 is estimated to increase by seven percent to reach 125,000MT

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