Posts Tagged “feature”
Consumers are less likely to not buy Idaho-branded bagged russet potatoes due to price changes than potatoes from other states, according to a new study.
The Idaho Potato Commission commissioned the study conducted by economist Timothy Richards of Arizona State University, which used retail scan data for the two-year period.
The numbers indicate that Idaho potatoes have a higher consumer preference and can command a more premium retail price or markup.
“The research showed that for russets, Idaho russets are less price elastic than non-Idaho russets,” said Seth Pemsler, vice president of retail and international programs for the commission. “When price goes up on Idaho (russets), the resulting lost volume is significantly less than non-Idaho russets.”
Photo courtesy of Idaho Potato Commission
Pemsler said the findings suggest that if retailers don’t discount Idaho russets to the same degree as non-Idaho russets, there wouldn’t be a significant effect on volume sold.
The study showed that overall price elasticity of bagged Idaho russets was 1.26 compared with 1.91 for bagged russets from other areas.
The study breaks down data from the entire U.S. and eight separate regions over the two-year period, according to an executive summary of the research.
In addition, Idaho potatoes are the least vulnerable to competitive pricing.
Based on scan data of 5- and 10-pound bags, Idaho russet potatoes have the highest profit margin potential compared with potatoes from other origins.
“The fact is that even if you pay 10 cents a bag more for Idaho russets, you can charge 20 cents per bag more at retail,” Pemsler said
Bulk potatoes were not evaluated because of inconsistencies found in the data due to the nature of price-look-up stickers and misidentification of variety and brand/origin at checkout registers.
Bagged potatoes represented 70 percent of all potato volume tracked during the two-year study.
Pemsler estimated about 60 percent of retailers in the U.S. carry both Idaho and non-Idaho bagged russets. The data has not yet been published but more details are available from the Idaho Potato Commission at Seth.Pemsler@potato.idaho.gov.
Everyone is aware of the five-year drought in California. While the drought may not be officially over, those rains are reducing produce shipments on some items and will have an effect of loadings heading into spring.
California strawberry shipments have been hit hardest by the rains, while citrus loadings have also been affected, but not as much.
The rains post phoned the strawberry harvest along the Central and Southern Coast areas of Santa Maria and Oxnard, due to waterlogged fields A significant amount of strawberries were damaged and had to be dumped or sent to the processors.
The good news is more spring like weather is expected for the next 10 days or so.
There is a big bloom in California strawberries in Santa Maria and Oxnard, which should result in good shipments within a few weeks. At Watsonville, the heaviest production area for strawberries, the new season likely will be delayed to the end of March or early April, a couple of weeks later than last year.
Both Florida and Mexico are at the end of their strawberry season, but trying to extend shipments later than normal to help cover the losses in California volume. Caution is urged loading strawberries from any of these three areas as high market prices resulting from low volume sometimes tempt shippers to load product they normally would not otherwise send to the fresh market. Just make sure the receiver of this fruit knows what they are getting.
Ventura County strawberries and vegetables – grossing about $3300 to Dallas.
Florida Produce Shipments
The Plant City area of Florida is shipping over 600 truck loads of strawberries a week, but as mentioned in the previous paragraph, watch for late season quality issues….Likewise, the light Mexcian strawberry volume is mostly crossing the border in South Texas and averaging about 125 truck loads as its season in winding down.
Back in Florida, perhaps the heaviest shipments are occurring with tomatoes with over 600 truckloads being shipped weekly. Other leading items such as cabbage and grapefruit have much smaller volume. Florida vegetable shipments in general will be increasing as we get further into March.
Florida tomatoes, and vegetables – grossing about $2600 to New York City.
By Frieda’s Inc.
LOS ALAMITOS, CA — Food trendsetters and health experts continue to sing the praises of fermented foods such as Kimchi, Korean refrigerated pickled vegetables.
Consumer Reports, Thrillist, and Food Network’s Healthy Eats blog are among many trends lists that called out fermented foods like kimchi, kombucha (fermented tea), and kefir (yogurt-like drink) as this year’s hot items.
As more research reveals the correlation between good digestive health and overall wellness, dietitians and other health professionals continue to recommend adding fermented foods like kimchi to one’s diet for a healthy dose of probiotics.
“More shoppers are looking to eat better and are getting their recommendations from retail dietitians. We are definitely seeing that in our sales over the past few years,” said Karen Caplan, president and CEO of Frieda’s Specialty Produce.
Frieda’s offers Nice & Mild “funky fresh” kimchi, Hot & Spicy kimchi that’s “fire in the bowl,” and “fiery and delish” Extra Hot kimchi—all with “friendly fermentation!”
“Kimchi is popular with the health and wellness set, as well as foodies everywhere,” said Caplan. “You can find recipes and pictures of kimchi in just about everything from Korean-inspired tacos and burgers to a Bloody Mary. Even the Idaho Potato Commission’s recent recipe contest winner is a kimchi potato recipe!”
Caplan also added, “The upcoming Chinese New Year promotion is a great opportunity to showcase this versatile fermented food along with other Asian vegetables.”
About Frieda’s Inc.
Frieda’s Specialty Produce has been inspiring new food experiences for friends, families, and food lovers everywhere since 1962. From kiwifruit and dragon fruit to Stokes Purple® sweet potatoes and habanero peppers, Frieda’s has introduced more than 200 unique fruits and vegetables to the U.S. marketplace. Founded by produce industry trailblazer Dr. Frieda Rapoport Caplan, subject of the 2015 documentary “Fear No Fruit,” the family company is owned and operated by Frieda’s daughters, Karen Caplan and Jackie Caplan Wiggins, in Orange County, California. Find Frieda’s on Facebook, @FriedasProduce, and Friedas.com.
If you thought produce hauling was bad in January, you’ve probably not found February to be any better. But it’s that time of the year. Hang in there, March is coming and volume on many items will be picking up as we head into spring. In the meantime, here’s a national outlook for some of the better loading opportunities.
Apple Shipments
Washington state’s Yakima and Wenatchee valleys are providing the lion’s share of apple shipments, and the single biggest volume for any fruit or vegetable right now, moving around 3100 truck load equivalents per week. Michigan and New York state are loading some apples, but nothing close to Washington.
Washington apples and pears – grossing about $6200 to New York City.
Potato Shipments
As has been the case for months, one of the heaviest volume produce item is with Idaho potato shipments. Originating primarily from the Burley and Twin Falls areas, the state is averaging around 1900 truck load equivalents per week. However, keep in mind with a big crop and low f.o.b. prices, shippers are looking for the cheapest transportation available, and often that is with the railroad….Colorado’s San Luis Valley is shipping about 600 truck loads of potatoes, while Central Wisconsin is moving about half that volume.
Idaho potato shipments – grossing about $5100 to New York City.
Imported Produce
Mexican imported produce continues crossing the border near McAllen, Tx. Avocados last week amounted to around 875 truck loads and volume is expected to increase. Mexican tomatoes are around 500 truck loads per week. There’s many other items in much smaller volume ranging from limes to watermelon crossing the South Texas border.
Imported cantaloupes are in good volume primarily from Guatemala and Honduras arriving mostly at Southern Florida ports and ports in Southern California…..Peruvian grape arrivals are pretty much finished. Problems with Chilean grape quality are supposed to be improving now, but still keep an eye on what’s being loaded. But Chile’s the only game in town now with grapes, with most arriving at Ports in the Philadelphia area.
Here’s a look at loading opportunities for two favorite St. Patrick’s Day vegetables. We also take a look at Yuma vegetable shipments, and California asparagus.
Cabbage and potato volume should be very good for shipments leading up to St. Patrick’s Day, which is March 17th.
South Florida cabbage shipments have started and will be in good volume heading into March. Shipments will continue through May.
Potato Shipments
There will be plenty of spuds available for the holiday with new crops of red potatoes and white potatoes from South Florida as well as late season storage red potatoes from the Red River Valley of North Dakota and Minnesota. Idaho continues to heavily ship russet potatoes, but reds and whites are an Irish favorite.
Yuma Vegetable Shipments
Winter Yuma vegetables shipments are always a roll of the dice and this season seems no different, except maybe the issues are different. Many of the same shippers out of Salinas also farm in Yuma, AZ. In Salinas they are used to dealing with mildew. The problem is rare in the desert, but has been a major problem this season, especially with head lettuce and romaine. Mildew is caused by rain, warm temperatures and humidity. The result has been a lot of fields have been disced.
The result will be lighter volume for the last month or so with Yuma vegetable shipments. There’s also growing concerns with Yuma tending to finish up a few weeks early, that Salinas may get off to a slow start this season and there could be major shipping gaps from late March, through April and perhaps into May.
Yuma vegetable shipments – grossing about $3800 to Chicago.
Asparagus Shipments
California asparagus shipments should get underway in early to mid-March, from the Stockton-Delta area. It is estimated the state has 9,000 to 10,000 acres of “grass” and volume is expected to be similar to last season. There also is good news in that water supplies have improved a lot over a year ago with reservoirs continuing to rise.
Asparagus shipments typically get a boost from the Easter observance (April 16th), which is one of the most popular times of year for the vegetable.
Last week in our report on the growing volume from Mexico with many vegetables, we noted it often comes at the expense of California. An excellent example of this is labor costs.
California’s minimum wage is headed to $15 per hour by 2023. A new law also requires agricultural workers to be paid overtime after eight hours, down from 10 hours previously. Asparagus is cut by hand and is one of the most labor intensive crops in the produce industry.
This past year loaded shipping container volume reached an all-time high at the Port of Oakland, CA.
The port reported a 7.6 percent increase handling the equivalent of 1.83 million loaded 20-foot containers last year — which beat the previous record of 1.82 million 20-footers in 2013.
The port attributed the milestone to a year-long containerized export boom, as well as growth in imports. It noted the record is important since loaded container volume is a key measure used to calculate fees paid by Oakland’s marine terminal tenants. Increased volume means the port gained business in 2016, even though it consolidated five terminals into four.
“This is a gratifying outcome,” Port of Oakland Maritime Director John Driscoll said in a press release.
Port officials said total 2016 volume — full and empty containers — equaled 2.37 million 20-foot containers, up 4 percent from 2015.
Containerized export volume jumped 10.5 percent in 2016. In December, exports were up 13.5 percent — the fourth straight month of double-digit export growth.
Oakland import volume increased 4.7 percent last year, while December imports were up 6.1 percent.
Exports accounted for 52 percent of Oakland’s loaded container volume in 2016.
Port of Oakland History
Originally, the enclosed coaster body of water, 500 feet wide, had a depth of two feet at mean low tide. In 1852, the year of Oakland‘s incorporation as a town by the California State Legislature, large shipping wharves were constructed along the Oakland Estuary, which was dredged to create a viable shipping channel. 22 years later, in 1874, the previously dredged shipping channel was deepened to make Oakland a deep water port.
In the late 19th century, the Southern Pacific was granted exclusive rights to the port, a decision the city soon came to regret. In January 1906, a small work party in the employ of the Western Pacific Railroad, which had just begun construction, hastily threw a crossing over the SP line to connect the WP mainline with trackage built on an area of landfill. This act, protested by the SP and later held up in court, broke the railroad’s grip on the port area. The courts ruled that all landfill since the date of the agreement did not belong to the SP. This ruling ended SP control and made the modern Port of Oakland possible.
Decent volume of Mexican vegetables continue to cross the border into the U.S. at Nogales, AZ.
Good quality and ample volume is available with vegetables ranging from squash, to bell peppers and cucumbers. Heaviest volume is with bell peppers and cucumbers (each averaging about 500 truck loads per week), and squash, around 400 truck loads weekly. There are less amounts of items such as watermelon, eggplant, red, yellow and orange bell peppers and mini peppers out and beans, among others.
There has been pretty good volume a lot of perfect weather, which may result in many vegetables peaking earlier than usual and possibly resulting in an early end to shipments in early March.
Still, there is a wide range of items, including soft squash, such as zucchini, yellow and gray, and hard squash such as acorn, butternut and spaghetti as well as green beans, fresh pickles, green and colored bell peppers and eggplant, American and English cucumbers, and roma tomatoes.
There will be increasing volume of some vegetables crossing the border into Nogales in March and April with conventional and organic bell peppers, mini sweet peppers and long English cucumbers.
Of note is a number of Nogales distributors, as well as an increasing number of Mexican growers have been contracting directly with U.S. wholesalers and retailers. This is a significant change in the way Mexican vegetables are distributed from just a few years ago. Many of those Mexican growers are working closely with U.S. growers from California.
Mexican table grapes, which start increasing in volume as most Mexican vegetable items are headed to a seasonal end, will start sometime the last half of April, if not early May. Mexican grapes provided the heaviest volume for the U.S. during the spring until California’s San Joaquin Valley gets going in June.
Mexican vegetable shipments through Nogales – grossing about $4600 to New York City.
Organic produce in various categories continues to show significant growth in popularity.
According to FreshFacts on Retail, published by the United Fresh Produce Association for the third-quarter of 2016, weekly dollar sales of organic vegetables per store were up 7.6 percent compared to the third quarter of 2015. Dollar sales of organic fruit were up 17.5 percent.
Organic Attitudes and Beliefs 2016 published by The Organic Trade Association found over 82 percent of American families say they buy organic sometimes, one of the highest levels in the survey’s seven-year history.
Almost 5 percent of all the food sold in the U.S. in 2015 was organic.
Suppliers of organic produce were reporting sizeable increases.
Naturipe Farms LLC of Salinas, CA, the world’s larger produce of organic blueberries, doubling its production of organic blueberries in Argentina and Chile.
This month the company is producing its first crops of organic raspberries, blackberries and blueberries from Mexico and is investing in new production of organic strawberries, blueberries and blackberries in California and Florida.
Well-Pict Inc. of Watsonville started its new spring crop of strawberries from Ventura County, CA in mid-January, and will be shipping into spring.
Boskovich Farms Inc., of Oxnard, CA ships a number of organic vegetables led by kale, then Brussels sprouts, green onions and celery.
Stemilt Growers LLC, Wenatchee, WA is shipping organic apples and pears, with approximately 10 percent of it apple shipments coming from organic apples with galas, Honeycrisp, and granny smith among the top varieties.
CMI Orchards LLC in Wenatchee, WA has organic shipments that are up about 50 percent, with the trend expected to continue for the next four years. More acreage is being transitioned from conventional to organic. CMI offers 15 organic apple varieties and six organic pear varieties.
Viva Tierra Organic Inc., Sedro-Woolley, WA is handling organic apple supplies from Argentina and Chile that started earlier this month, in addition to its organic supply from Washington.
Citrus shipments from the Florida industry continues to decline, with the loading of oranges dropping another million boxes in the past month.
The USDA reports February 9th that orange growers will ship 70 million 90-pound boxes to market. The season, which peaks during the winter months, had shown some promise in November. At that time industry analysts predicted 72 million boxes.
However, in January, the forecast dipped to 71 million. That is a 14 percent decline from last season’s final Florida orange shipping report.
Valencia production estimates from January to February held even at 35 million boxes, but the prediction for early, mid-season and navel oranges dropped from 36 million to 35 million boxes.
“Today’s forecast reflects a true utilization of early, mid-season, and navel varieties. We hope for higher numbers of valencia production as we continue through the second half of the season,” executive director of the Florida Department of Citrus Shannon Shepp said in a news release.
Oranges make up about 65 percent of Florida citrus trees and fresh loadings account for about 4percent of orange shipments.
Overall production estimates of all oranges, which also includes California and Texas, dropped 1 percent, to 5.35 million tons, from January’s estimate. That is a 10 percent slump from overall shipments a year ago.
Citrus greening, weather and other issues have created challenges for Florida’s citrus production, which accounts for almost half of the total U.S. harvest.
In its February report, the USDA kept California’s orange crop estimates the same at 53 million 80-pound boxes to be shipped, with 44 million boxes of navel, early and mid-season oranges and 9 million boxes of valencias for shipping.
Florida grapefruit estimates remained steady at 9 million 85-pound boxes. California grapefruit production estimates were also the same from January, with 4.1 million 80-pound boxes.
Florida produce shipments, ranging from vegetables to melons, berries and citrus – grossing about $2500 to New York City.
Loading opportunities for produce haulers for imported Mexican fresh fruits and vegetables have been rising for the past two decades or more, and this trend is expected to continue.
The reasons range from favoritable climates (with the emphasis on the plural) south of the border, cheaper labor and growing costs, not to mention the outrageous political and regulatory climate in crazy California that is makes it ever more difficult to do business there.
For example, A.M. Farms, Stockton, CA., had grown asparagus there since the 1930s, but no longer farms the product. Dole Fresh Vegetables of Monterey, CA no longer markets asparagus from California and is concentrating its efforts with Mexican grown asparagus.
It used to be Mexican imports by U.S. businesses got underway around Thanksgiving and continued through March or maybe mid-April. Now some produce items are still crossing the border in late spring and early summer. For example, watermelon shipments are now available through most of June. Table grape, mangos and some leafy items go well into summer.
Peak loading opportunities of Mexican produce imports for the winter season, used to be January or February, but now it is closer to being March and April.
Some produce growers are moving farther south into Mexico building greenhouse operations, allowing a longer growing and shipping season. This helps them bridge the supply gap for the U.S. crops in May and June that are hitting big volume.
Just as some product from west Mexico now is imported through McAllen, TX, during the fall and winter to offer a freight advantages for the Midwest and Eastern markets, some product from Jalisco now comes through Nogales during the spring and summer to offer freight advantages to West Coast receivers.
Some U.S. tomato growers now ship from Mexico year-round by sourcing from new growing areas during what traditionally has been the off season. Sonora is a huge area for Mexican grown produce and it continues to expand. It used to be the state of Sinaloa was where the main volume originated.
Virtually all of Mexico’s grapes come from the Caborca and Hermosillo regions of Sonora, with shipments starting in April and continuing into July.
Imported Mexican melons, tomatoes and vegetables from Nogales – grossing about $2800 to Chicago.