Posts Tagged “feature”
Records for both truck rates and shipping volumes were broken in the second quarter of 2018, according to a new report from the USDA.
The Agricultural Refrigerated Truck Quarterly, reviewed truck rates from April through June this year and provided an outlook for refrigerated trucks through the end of 2018.
“Indicators point to sustained high rates and tight capacity for the trucking industry, including the refrigerated truck market, through the end of 2018 and possibly beyond,” the report said.
In addition, the report said Hurricane Florence may have effects on the truck market in the months ahead, adding pressure to an already tight market.
“With demand for truck services projected to remain high, these combined factors could keep truck capacity scarce and rates high for the foreseeable future,” the report said.
Hauling the freight
Trucks continue to be the dominant carriers of freight, carrying 70.2 percent of domestic freight in 2017, according to the American Trucking Associations. Strong economic growth kept truckers rolling in the first half of the year, as real gross domestic product increased 4.2 percent in the second quarter of 2018, the USDA reported.
While the economy was heating up, unemployment reached a 10-year low of 3.8 percent in May.
Construction, manufacturing, or local driving positions through ride-sharing services offer competition to long-haul trucking positions.
Some trucking companies have increased drivers’ wages as a result.
Through the first half of 2018, ATA reported the freight tonnage hauled by trucks increased 7.9 percent,up from a 3.8 percent increase in 2017.
The report said DAT Solutions reported strong demand for trucking services caused truckload spot rates to reach a record high in June, topping a 15-month run of spot market rate increases. In the refrigerated truck market, DAT reported the national average spot market truck rate hit the highest point ever recorded, at $2.69 per mile in June, up $0.58 from June 2017, and $0.11 higher than the contract rate. While increases in contract rates typically lag four to six months, after a sustained increase in spot market rates, this year the lag has been only a few weeks.
Refrigerated truck market
Strong demand for trucks and large volumes has mostly affected truck rates for shipments of 500 to 2,500 miles, according to the USDA. The U.S. average refrigerated truck rate reached a record high in the second quarter, for shipments between 501 and 1,500 miles ($2.96 per mile), up 12 percent from the previous quarter ($2.64 per mile).
The U.S. average truck rate for shipments between 1,501 and 2,500 miles was still higher than usual at $2.45 per mile, but was 3 percent lower than the record high of $2.54 per mile, set in the first quarter of 2018. In contrast, average truck rates for shipments less than 500 miles, and over 2,500 miles, have remained within normal ranges.
Fruit and vegetable shipments
Reported U.S. truck shipments of fresh produce during the second quarter of 2018 were a record 9.65 million tons, 21 percent higher than the previous quarter, and 1 percent higher than the same quarter last year.
Shipments from Mexico were the highest in the second quarter, totaling 2.85 million tons and accounting for 30 pecent of the total reported shipments of fresh fruits and vegetables. Loadings from California totaled 2.24 million tons, accounting for 23 percent of the reported shipments. Movements from the Pacific Northwest totaled 1.55 million tons, representing 16 percent of the reported total.
The study noted until 10 years ago, California and Florida were the two biggest suppliers of fresh fruit and vegetables, during the second quarter. In recent years, both states have lost market share to the Pacific Northwest and Mexico, the USDA said.
The volume of shipments from Mexico through Texas reached a new high of 1.30 million tons during the second quarter of 2018, an increase of 8 pecent over the same period last year (1.21 million tons).
Five commodities accounted for 42 percent of the reported truck movements during the second quarter of 2018:
- Watermelons, seedless (11 percent);
- Potatoes (11 pecent);
- Apples (8 percent);
- Onions, dry (7 percent); and
- Strawberries (4 percent).
The versatile new Vector™ 8611MT, a multi-temperature trailer refrigeration unit, enables a trailer to be divided lengthwise into two refrigerated compartments. Introduced recently by Carrier Transicold, the Vector 8611MT unit incorporates two evaporators and fans for two-zone cooling without requiring a separate remote evaporator.“The Vector 8611MT unit harnesses the innovative Vector platform to create a highly efficient, high-performance unit for center-divide trailers where the perishable and frozen compartments are side by side,” said Patrick McDonald, product manager, trailer products, Carrier Transicold. “The all-electric architecture of the Vector series enables the unit to independently manage the two zones more simply and efficiently than mechanically interconnected competitive units.”
“The Vector 8611MT unit will especially appeal to food service and grocery distribution operations for the flexibility it offers in creating center-divide configurations,” McDonald added. “Uniquely, our split evaporator design creates a 15-inch-wide area for center-wall placement, providing a more efficient accommodation of pallets that allows up to 17 percent more cargo than competitive systems requiring trailers to be divided precisely down the middle.”
As with other units in Carrier Transicold’s Vector platform, the new unit features E-Drive™ all-electric technology, in which the diesel engine runs a 21 kVA electric generator that powers the refrigeration system. Vector units have built-in electric standby capability, so when parked for loading, unloading or staging, they can be operated via an electric power source, providing full refrigeration capacity while eliminating refrigeration unit engine noise, emissions and fuel consumption.
The innovative Vector 8611MT unit architecture eliminates most refrigerant valves and significantly reduces the number of braze joints and potential refrigerant leak points compared to mechanically interconnected competitive models. Uniquely, the Vector 8611MT unit has independent air control, enabling it to optimize airflow and pulldown to both zones. If heating is required, it has the advantage of consistent electric heat, rather than hot gas heat. This reduces system complexity and enables the unit to shut down the compressor and other refrigeration components when heating is required, greatly reducing the power load on the engine, resulting in further fuel savings.
The Vector platform’s reduced system complexity also simplifies diagnostics and maintenance requirements for service technicians.
For additional details on the Vector 8611MT trailer refrigeration unit, which will be commercially available in the first quarter of 2019, turn to the experts in Carrier Transicold’s North America dealer network.
About Carrier Transicold
Carrier Transicold helps improve transport and shipping of temperature-controlled cargoes with a complete line of equipment and services for refrigerated transport and cold chain visibility. For more than 45 years, Carrier Transicold has been an industry leader, providing customers around the world with advanced, energy-efficient and environmentally sustainable container refrigeration systems and generator sets, direct-drive and diesel truck units, and trailer refrigeration systems. Carrier Transicold is a part of UTC Climate, Controls & Security, a unit of United Technologies Corp., a leading provider to the aerospace and building systems industries worldwide. For more information, visit www.transicold.carrier.com. Follow Carrier on Twitter: @SmartColdChain.
Grape shipments from California are moving in record volume as the season approaches a conclusion.
Between October 13th and November 30th, California grape shipments totaled over 27.7 million 19-pound boxes to domestic and export markets. The USDA report the number beats the previous seven-week record during that time frame set in 2013.
California grape grower-shippers also broke the record for the three-month shipping period from September 1st to November 30th, with over 55 million boxes of grapes, according to the California Table Grape Commission. The previous record was also set in 2013.
Shippers also set a new record for the five-week period of September 8th to October 12th.
Shipments are expected to continue through the end of January.
Romaine E.coli
The Food and Drug Administration has named Adam Bros. Farm in Santa Barbara County, California as one potential source of the E. coli outbreak linked to romaine — but it cautions that the finding does not explain all the illnesses in the outbreak.
Investigators found E. coli in the sediment of an irrigation reservoir used by Adam Bros. Farm, but the FDA continues to search for other sources of contaminated product.
“While the analysis of the strain found in the people who got ill and the sediment in one of this farm’s water sources is a genetic match, our traceback work suggests that additional romaine lettuce shipped from other farms could also likely be implicated in the outbreak,” FDA commissioner Scott Gottlieb and deputy commissioner Frank Yiannas said in a statement. “Therefore, the water from the reservoir on this single farm doesn’t fully explain what the common source of the contamination (is). We are continuing to investigate what commonalities there could be from multiple farms in the region that could explain this finding in the water and potentially the ultimate source of the outbreak.”
The investigation has produced records from five restaurants in four states, with those restaurants sourcing from 11 distributors, nine growers and eight farms, according to the FDA.
Currently, there is no one company that is a part of all the supply chains being investigated.
WP Rawl of Pelion, S.C., a grower/shipper/processor of leafy greens, again participated in Wreaths Across America’ Honor Fleet. The company has participated in the event for the past three years, according to a news release.
Volunteers all over the U.S.honor fallen veterans each December by participating in an annual wreath-laying ceremony. The wreaths, adorned with a red bow, are placed on the graves of fallen veterans.
The annual tribute began in 1992 with Morrill Worcester and his wife Karen Worcester at Arlington National Cemetery. In 2007 Wreaths Across America was formed to honor fallen veterans and since has grown to over 1,400 locations, in 50 states, at sea and abroad. The mission of Wreaths Across America is to ‘Remember, Honor and Teach.’
This year, WP Rawl picked up the wreaths in Columbia Falls, Maine and carried them to Beaufort National Cemetery in South Carolina. The truck’s exterior was displayed with a picture of a national cemetery and included a message of awareness for Wreaths Across America.
“It was very nice to see the turnout this past weekend at the National Cemetery in Beaufort. It was packed. I enjoyed seeing everyone pitching in and helping out,” Darren Gambill, WP Rawl truck driver and a U.S. Army Veteran. The playing of the bagpipes was very moving. It was great to be able to experience this for the first time.”
“Many of our Rawl family members and family of employees are veterans or families of veterans,” Ashley Rawl, vice president of sales, marketing and product development for the company, said in the release. “Participating in Wreaths Across America is a great way to show our gratitude to veterans like Darren as well as honor those who made the ultimate sacrifice for us.”
By The Idaho Potato Commission
Eagle, Idaho – It’s no surprise that during the six week period between Thanksgiving and New Year’s Day more Idaho® potatoes are sold than during any other time of year. From creamy mashed potatoes for Thanksgiving to crispy latkes for Hanukkah to steaming big bakers for New Year’s Day, the versatile vegetable shines during the holiday season! While the preparation options for potatoes are endless, Idaho grows enough potatoes to feed millions of folks in the United States and around the world all year long.
Chew on This…
- Approximately 311,000 acres of Idaho® potatoes (that’s about 13 billions pounds) are harvested each year.
- That’s enough to fill 500 football stadiums 10 feet high!
- Ninety percent of those 311,000 acres will grow russet potatoes like Burbanks, Norkotahs, Rangers and Westerns.
- The remaining 10% will grow niche varieties like golds, reds, fingerlings and more.
- 412 pounds of Idaho potatoes are sold every second!
- Wondering how the potatoes are used?
- 43% are used in processed products (frozen and dehydrated)
- 43% are sold fresh
- 14% are grown for certified seed
- Idaho® potatoes are transported across the country via trucks (70%) and rail (30%).
- What makes Idaho® potatoes different from potatoes grown in other states? It’s a combination of Idaho’s rich volcanic soil, warm days, cool nights and an abundance of clean, fresh water from the majestic mountains.
- Who loves Idaho® potatoes the most? News Yorkers! Followed by folks from Ohio, Florida, Pennsylvania and Texas.
Visit www.idahopotato.com for more fun facts, recipes and cooking tips.
About the Idaho Potato Commission
Established in 1937, the Idaho Potato Commission (IPC) is a state agency that is responsible for promoting and protecting the famous “Grown in Idaho®” seal, a federally registered trademark that assures consumers they 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. These ideal growing conditions are what differentiate Idaho® potatoes from potatoes grown in other states. For more information, visit www.idahopotato.com.
by Branch: A Family Of Farms
South Bay, Fla. – Branch: A Family of Farms, the country’s largest distributor of sweet corn, is in the midst of a promising season of leafy green production out of their Belle Glade and South Bay, Fla. farms.
The region and its crops were spared by Hurricane Michael in early October which allowed Branch to ship its full offering of leafy greens without interruption.
“We are very lucky that we can meet demand of leaf lettuce from our Florida farms,” says Brett Bergmann, president of Branch. “We look forward to providing our customers with fresh, quality product this holiday season.”
Branch’s farmers grow a full assortment of leaf items including green and red leaf, Boston, romaine, endive, escarole, parsley, dill, cilantro and Chinese cabbage. This year’s forecasted cool winter provides ideal growing conditions for Florida leafy greens.
Branch growers invest in trialing new varieties each new season to provide the best items available. This year’s new offerings include a new green leaf variety and three romaine varieties which were bred specifically for the Florida environment. These varieties have good head size and weight and are excellent for romaine hearts. Additionally, a new endive was introduced that grows in a more upright and conical manner. This helps reduce shrink through minimizing rib breakage as well as making it easier to pack.
“Our primary goal from our research and development process is to continuously improve upon the eating experience for the consumer and of course improve upon how existing varieties perform in the Southern climates,” said Bergmann. “We thrive from having collaborative conversations around product innovation with customers. More so than ever before, it’s imperative to be continuously innovating and planning out varieties and supply needs well in advance.”
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About Branch
Since 1957, our founding principles still drive us at Branch: integrity, quality, service – a commitment to our industry and the sustainability of our environment. As a family owned and operated business, we are a premier grower, packer, shipper of sweet corn in the United States also offering our customers green beans, leafy greens, radishes and celery.
BOISE, Idaho – The 22nd Famous Idaho Potato Bowl will feature BYU and Western Michigan, after each team officially accepted invitations Sunday. The Famous Idaho Potato Bowl will be played Friday, Dec. 21 at Albertsons Stadium on the campus of Boise State University. Kickoff is set for 2 p.m. MST, and will air on ESPN.
This will be the sixth all-time meeting between BYU and Western Michigan. The previous five matchups all came between 1962 and 1970, with the Cougars winning three times.
“We’re excited to host BYU for the first time and welcome back a Western Michigan program that was a great participant a few years ago,” said Famous Idaho Potato Bowl Executive Director Kevin McDonald. “This is a fantastic matchup for our community with two teams they will really be able to get behind, along with two young quarterbacks and two up-and-coming coaches.”
BYU (6-6) is making its first appearance in the Famous Idaho Potato Bowl. Western Michigan (7-5) is making its second trip to the game. The Broncos competed in the 2014 edition against Air Force.
The Cougars won two games in November against fellow FBS independent programs UMass and New Mexico State to secure a 6-6 record and solidify their 36th bowl appearance. BYU is back in the postseason after a one-year hiatus in 2017 snapped a streak of 12 consecutive bowl berths.
The Broncos used a late touchdown to beat Northern Illinois in their regular-season finale, snapping a three-game skid and cementing their bowl eligibility with a 7-5 record. This is Western Michigan’s ninth bowl appearance and first since playing in the Cotton Bowl following the 2016 season.
In the past we have known of some Idaho potato shippers that have provided free bowl tickets to truckers. If you happen to have a layover and would be able to attend the game, you might check this out.
Mexican produce shipments crossing the border at Nogales, AZ typically has its heaviest volume the first three months of each New Year and this time around looks no different.
West Mexico vegetables, most of which goes through Nogales for distribution around North American, is expected to be mostly normal.
The Fresh Produce Association of the Americans, based in Nogales, reported tropical storms during the growing season may slow the start of the season for some crops, but in total volumes are expected to be on track with previous years. Most years Nogales grows 1 to 3 percent in total volume.
Chamberlain Distributing Inc. of Nogales point to excessive rains that brought challenges with some crops in Sonora and Sinaloa, with some produce being affected more than others. Some seasons may even end sooner than usual, especially in Sonora, with items ranging from cucumbers to bell peppers and squash.
MAS Melons & Grapes of Rio Rico, AZ expresses optimism and notes most crops are looking good. The company is now winding down vegetables harvests from Caborca and Hermosillo. Harvest is not moving on to Colima, and will continue until about March. This means continuous shipments of watermelons, honeydews and mini watermelons lasting until mid-July.
Vamdervoet & Associates Inc. of Nogales has been shipping good volumes of honeydew, although Sonora production may end sooner than normal this season. The company report as many as 100 loads of watermelon a day has been crossing the border at Nogales.
Bernardi & Associates Inc. of Nogales admits quality hasn’t been the greatest on some Mexican vegetables since the season started last fall, but see that improving as the harvest moves along.
Del Campo Supreme Inc. of Nogales reports its tomato and pepper crops are looking good, despite delays in plantings due to rain. Still, the company expects to have normal volume this season. It expects to be shipping Mexican vegetables from mid December into May.
Chilean citrus imports by the U.S. grew at double-digit rates in 2018.
The Chilean citrus import season ended with easy-peelers in late October and early November. Navels are imported from June through October or so and lemons are imported by the U.S. from May through October.
This makes for a good match with the citrus season in the U.S., because 90 percent of Chile’s mandarins are shipped to the U.S. market.
Chilean citrus imports are very similar to the same varieties grown in the U.S., so that makes it very in high demand and assures increasing volume in coming years.
Chilean citrus imports to the U.S. this year have been up 30 percent.
Chilean clementine and mandarin exports grew from about 110,000 metric tons in 2017 to about 165,000 metric tons this year.
Chilean navel shipments to the U.S. — representing about 90 percent of all Chile’s navel exports — will show about a 12 percent increase compared with a year ago, and lemon shipments are projected to be 10 percent higher.
The U.S. takes about 50 to 60 percent of Chile’s lemon exports.
Chilean growers are continuing to plant more citrus trees because of strong demand from world markets.
The number of citrus exporters and new exporters, as well as citrus growers in Chile continues to increase. This is different than for crops such as stone fruit and grapes, since there is not as much potential for growth in demand compared with citrus.
Observers believe eventually the Chilean citrus industry begin consolidating. But currently the citrus industry continues attracting new players as it has been for the past decade.
Chile faces a similar challenge to U.S. grower/shippers as growing and labor costs increase and there is less labor availability. This is requiring growers to become more efficient in the future, with more mechanization and increased yields. There also is increasing competition.
Peru continues to increase its mandarin production in similar fashion to Chile. Uruguay is looking to increase citrus exports. Argentina lemons are now being exported to the U.S., and South African navel shipments to the U.S are growing.
This is resulting in more competition in the U.S. market, which is pressuring Chilean growers to open up new markets, diversify and offer new varieties to new markets.
Coast-to-coast there have been weather and natural disasters which have greatly reduced shipments of collard greens in the holiday season.
There have been hurricanes in the southeast and wildfires and Santa winds in California, as well as rain in Texas.
WP Rawl of Pelion, S.C., is a grower, processor and shipper of leafy greens and notes hurricanes Florence and Michael had the indirect effect of heavy rains and winds during a three-week period in the east and southeast. This resulted in trying growing season and stunted crops, including collard greens.
Growers in different regions of the country harvested fields earlier than usual because of the weather and high demand for Thanksgiving, leading to a lack of shipments for the holiday season.
“After the Thanksgiving holiday and unseasonable weather, our crops did not recover to the level we had in years prior,” Ashley Rawl, vice president of sales, marketing and product development, said in a press release. “Our team made a collective decision to delay harvesting for a few weeks to allow our crops the opportunity to grow.”
San Miguel Produce of Oxnard, CA., reported this is only the second time in two decades that the greens industry has seen such a national shortage.
“Most times shortages are regional and there are options to work with colleagues around the country to help fill gaps,” Jan Berk, owner and chief operations officer of San Miguel Produce, said in a news release. “Unfortunately, we have called other growers the past few weeks hoping someone might have extra or recovered sooner than expected … only to hear they are short too and looking to source collards.”
Growers have been pushing crops with additional fertilizer to spur growth for Christmas demand, according to San Miguel Produce, but there is still concern about availability to meet demand. It is peak season for the dark leafy greens category, according to the release, and many growers have invested in crops for many months to prepare for the season’s harvest.
Collards are sometimes associated with comfort and prosperity, according to the release, making them high in demand around the holidays. As a result some growers and shippers are promoting other greens in the place of collards.
“We consider this a great opportunity to encourage consumers to try other types of leafy greens,” Rawl said in the release. “With similar nutritional profiles, kale, mustard greens, and turnip greens are just as good for you and have similar tastes.”