Posts Tagged “feature”

Central USA Produce Shipments are Mostly Steady

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At least for some shippers in the Red River Valley, it was looking a little dim in September due to drought.  However, October rains have increased yields —  and loading opportunities have improved for those who haul red potatoes out of the region, located on the borders of North Dakota and Minnesota.

The last of the spuds are now being dug.  It’s looking like valley potato shipments for the 2012-13 season will be quite close to the five-year average.  Currently, only about 250 truckloads a week or being shipped, but loadings are still increasing as the focus moves from harvest, and storage to shipping.

From central Wisconsin, russet potato loads are averaging around 500 truckloads per week…..Peak shipments of cranberries for the Thanksgiving holidays are now underway from central Wisconsin.

Nebraska continues light loadings of potatoes.  In the southwestern part of the state potatoes are being shipped from the Imperial, Neb area.  The other most active part of the state is around O’Neill in the northeastern part of the Nebraska.

In the Lower Rio Grande Valley of South Texas, grapefruit and orange shipments have been slowly ramping up.    Because California’s season ended early, there’s been good demand for Texas citrus, although loadings have been limited and there’s not much citrus yet to be found in the retail stores.

If you are loading grapefruit or oranges in South Texas, it should be a little more simple than 20 years ago when there were at least two dozen citrus companies.   That number has shank to only four, primarily due to  mergers and acquisitions.  This should be reducing the number pick ups required for some hauls.

Central Wisconsin potatoes – grossing about  $3400 to Houston.

Red River Valley red potatoes – about $4300 to Orlando.

 

 

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Produce Industry is Urged to Give Loyality, Respect to Drivers

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The USA needs around 111,000 more drivers to move the nation’s freight, according to Doug Stobiber, vice president of produce transportation for L&M Transportation Services of Raleigh, NC.  He was speaking at the produce industry’s largest gathering recently, the annual convention of the Production Marketing Association (PMA), held in Anaheim, CA

While Stoiber notes better pay and higher freight rates for drivers is important, he placed just as much emphasis on truckers being repected.

He points out there is a shortage of qualified drivers and it is only going to get worse, primarily because fewer younger drivers are entering the industry, combined with greater numbers of older truckers retiring.  While the average age of the commerical driver is 48 years old, the ones under 30 years of age amount to less than 10 percent.

Current law requires commerical driver’s operating interstate be at least 21 years old.  President Obama is in favor of permitting states to lower the age limit to 18 years old.  While supporters of this proposal are looking at ways to increase the number of drivers with CDLs (commerical drivers license), opponents point out the high accident rate among teenage automobile drivers, saying they are too young and immature to drive a big rig.

Starting this year, the nation’s largest generation (baby boomers) are reaching 65 years of age.  They are retiring at a rate of 10,000 each day.

Stoiber made some economic comparisions between hauling dry freight, compared to fresh produce.   There are liabilities as a produce trucker.  Those remain until the papers are signed and the receiver accepts the load.  The use of a refrigeration unit on a trailer adds an additional $1,500 in costs to a coast-to-coast haul.  Overall, there are fewer risks with dry freight. Even with all the economic factors involved in produce hauling, Stoiber emphasizes the need for the produce industry giving drivers more respect.  This will go along way in attracting more drivers to haul produce.

“Truckers have been viewed as obstacles to doing business instead of partners in the supply chain,” Stoiber said.

He encouraged the audience to pay higher freight rates and to think in terms of price per consumer unit instead of $1,000 per load.    It comes down to more than just a good freight rate.   Loyalty and respect are very important to truckers, he said.

Stoiber also addressed issues brought forward by a group encourging better practices in dealing with produce truckers.  The North American Produce Transportation Working Group (NAPTWA) earlier this year released guidelines for making fresh produce hauling more attractive. Tips range from decreasing detention time when loading and unloading, to allowing drivers to watch loading.

The best practices are regularly reviewed and updated as federal regulations and other factors change the way truckers are allowed to operate, said Stoiber, who is a member of NAPTWA. The best practices are free on the working group’s website at www.naptwg.org.

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Shaun Smith: His Lease-Purchase Plan is Working

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Few things in the trucking industry are frowned upon more than lease-purchase plans.  Go to work for a trucking company, lease a truck from that carrier with the idea of one day owning it.  Failure  for the deal to work out is blamed on everything from low driver pay to high interest rates and the carrier not providing the driver with enough miles   The truck eventually goes back to the carrier, when the driver can’t make the payments.  Then the process is just repeated.

Shaun Smith of Sanford, FL has been with KLLM Transport Services, Jackson, MS since last January.  The 12-year trucking veteran has entered into a lease-purchase plan with the large carrier and says it is working out fine.  He is making good money, logging a lot of miles and is making a living for his wife and four kids, who ages range from two to 14 years old.

The 34-year-old driver says he is averaging 3,000 miles a week, or about 150,000 miles a year.  He drives a 2008 Freightliner with a Detroit DD15, pulling a 53-foot trailer with a  Carrier Ultama XTO X Series reefer unit.

Shaun enjoys trucking because he gets to see a lot of the country, plus make a decent living while doing so.  His primary complaint is with heavy traffic, especially in large cities such as New York and in California.

He started trucking after finishing high school, got married, and then went into water well drilling in Mississippi.  He then moved to Florida, working in a warehouse for a fast food company.   But trucking remains his first love.

“KLLM is a good company.  I’ve got one more year before this truck is paid for,” Shaun says.  “I got it on a lease-purchase plan.  If you have the money to buy a truck right off the lot, then that’s a good way to do it.  Under a lease-purchase plant you had better have a good carrier.”

Shaun had just delivered a load of soda pop from California to Oklahoma.  He was waiting to pick up a load of muffins in Tulsa  for delivery to Concord, NC.

He also hauls a lot of produce loads.

“I have no problem with hauling fresh fruits and vegetables.  You have to keep a close eye on the temperature.  But I like hauling it as well as anything,” he says.

As far as being the road so much, Shaun observes, “You have to have a strong mind and be able to be away from your family.  It can be hard.  But it is a good career.”

 

 

 

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Nielson Report Sees Strong Fall Holiday Season

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Strong fresh produce sales are predicted for the autumn holiday season, according to a recent forecast by a retail analyst, based in Chicago.  (This should also bode well for produce haulers because more product should be available.)

The report from the Nielsen Perishables Group says momentum is good following a solid summer selling season.

35 of 44 fresh produce categories posted volume gains in the summer of 2012, in large part because there were no significant losses of crops or food safety issues, according to the report.

The Nielsen Perishables reported both volume and sales of fresh produce were up 4 percent compared with the same period a year ago, for the 13 weeks ending August 25th.

Retailers offer smaller discounts on fresh produce items, which the Nielson report believes led to the volume of fresh fruits and vegetables purchases on promotions declining last summer.

Cherries were among the most successful produce items becasue of a huge 2012 crop driving a 20% growth in sales, the report notes.

There was nearly a 30 percdent price drop in avocados, driving sales up an anstounding remarkable 46percent. Value-added vegetables were also strong performers, with new products boosting sales, according to the report.

Nielsen projects continued strength in the fresh produce department for fall retail produce sales.

For produce alone, Nielsen forecasts holiday dollar and volume sales to grow 5 percdent and 4 percent respectively. Consumers may be troubled by economic uncertainty revolving around November elections.

“If consumers revert to their focus on price, expect to see steeper discounts designed to draw in shoppers during the vital holiday season,” according to the report.

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Thanksgiving Shipments on Some Items May be Less Than Normal

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Shipments of some Thanksgiving produce favorites could be light this year.

For example , in the Glades/Lake Okeechobee region of Florida the was excessive rains during plantings from mid-September to mid-October.  This may significantly reduce loads of green beans for the holidays, perhaps has much as 50 percent.  Also be on the look out for wind damage to some vegetable items such as green beans, due to winds from Hurricane Sandy.

Other growing regions  in south Florida will likely face similar reduced shipments.

Sweet potatoes

Sweet potato sales have increased to the point where normal times of the years, sales are close to those around the holidays.

Mississippi sweet potato shipments are expected to be lighter for Thanksgiving because of weather factors.

Cranberries

In Massachusetts and Wisconsin cranberries loads may down 10 percent.  These two states account for the vast majority of fresh cranberry shipments.  Make sure companies paying for the freight are aware the berries are smaller than normal this season.

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Choosing a President: Self Interests Versus Saving the Country

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In the brief history of our nation we have experienced a few crossroads, and we are at one of them today. Many of us have abandoned the principals that made this country the most powerful and prosperous nation the world has ever seen.

Moving forward we can either continue to abandon our founding principals, and therefore continue a downhill path of economic destruction, or we can reclaim the values that allowed us to rise to the top. We are beomg bombarded with political rhetoric from all sides. We will be faced with the choice of who will lead us, and in what direction we want to be led. For each American that will mean we must examine our core values and determine if our own self interest is more important than saving the country.

And we must evaluate if it is even worth the effort. Over the past several years this column has pointed out the problems in our society and how we have lost our core values. We have let our educational system fail us, and we now have a very low and poorly educated workforce who cannot compete in a global economy.

We have not been responsible for our diet and exercise. The result is over one third of all Americans are obese, and this has increased our health care costs. We have let ourselves become envious and we now covet the success of others, and we have turned the American dream of wealth and prosperity into something “evil.”

We have lost the uniquely American value of self-reliance, and replaced it with a nanny state of social dependence. We have fallen into the trap of letting the rest of the world demand that we solve their problems rather than demanding that they stand on their own two feet.

We have failed to live within our means, and now debt is crushing our economy. The list goes on and on. Now we are indeed at a crossroads. Do we reverse course, or do we continue an inevitable slide into a third world “has been” nation?

These issues must be considered when we choose our next leader. Let’s assume that we want to return to prosperity, and to the values that brought us to a point of greatness. What should we look for in our next President?

For starters, we need a leader who can bring back and inspire American individualism to stand on your own two feet as a person, not a dependant on society. Individualism is the trait of character that instills self-reliance and personal responsibility. That will insure that Americans stay in school, work hard, and get a good education.

We need a leader that emphasizes solutions to problems rather than wallows in empathy and self pity. Empathy has never solved a single problem in anyone’s life, but solutions to problems have. And we need a leader that praises success, and encourages individuals to seek wealth and happiness.  The fact is wealthy people contribute to our nation’s financial stability while poor people are an economic and social burden on the nation.

We need a leader that understands that living within your means is not “radical,” “extreme,” or  a “Draconian” idea. We need a leader that can have the self discipline to let the rest of the world grow and sort out their own problems rather than getting involved in their business.

Other countries must learn to stand on their own two feet as we have.  A good case in point is China. In the 1940’s China had a revolution and they purged their country of foreign influence. They went through some very bad times. They killed and murdered their own people. They suffered famine and hardship. And they had a very difficult time establishing their identity as a nation, but they have been evolving over the past 60-plus years from a communist nation to a capitalist nation.

Karl Marx had it backwards. And if China continues their path toward capitalism, they will overtake our economy within the next five to 10 years. No system is perfect. All systems of government will have people who won’t make it. The question is what system provides the best prosperity for the most people. And that solution for government is obvious. It is capitalism.

China has learned that, and they will continue their evolution towards capitalist prosperity. Solutions for our problems and the future of our success will not come easy. Nothing in life worth having ever comes easy. That is why welfare and handouts never improve people’s lives. They only prolong the inevitable.

We should not look for the easy way out. Let each of us examine our own values and look in the mirror. If this country is worth saving, then we must choose wisely. If not, then maybe we should have a plan “B” and be ready to leave the country. After all, most of our ancestors immigrated here to escape some nation that was heading downhill. They did it, and if need be, we can do it. — Larry Oscar

Larry Oscar is a graduate from the University of Tulsa and holds a degree in electrical engineering. He is retired and lives with his wife on a lake in Oklahoma where he brews his own beer, sails, and is a member of numerous clubs and organizations.

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Fall Produce Shipments in the Western Half of the USA

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Here’s a look at available fresh produce loads in the Western half of the USA where volume is primarily steady, or increasing.

In South Texas, avocados from Mexico are providing  over 600 truckload equivalents per week and the volume will be increasing in the weeks ahead….South Texas grapefruit loadings are very light, but have started, and will hit good volume around mid- November….In West Texas in the Hereford area, as well as in nearby Eastern New Mexico, there is light volume with potatoes.

Looking at  the San Luis Valley of south-central Colorado, about 500 truckloads of russett potatoes are being shipped weekly.

Idaho has another huge crop of russet potatoes.  While the railroads move a significant amount of the state’s spuds, the majority of the volume still is shipped by truck.  Nearly 1,700 truckload equivalents of potatoes are providing loads on a weekly basis.

California’s San Joaquin Valley is shipping everything from grapes to carrots and tomatoes, among other items.  Over 2,000 truckloads of grapes are being shipped weekly from vineyards spread between the Bakersfield area  to Merced.   Decent volume with tomatoes also are available, but a seasonal decline will continue in coming weeks.

In Washington state, apples from the Yakima and Wenatchee valleys may be providing the single largest amounts of fruit volume in the country.  A huge apple crop is averaging about 2,500 truckload equipments on a weekly basis.

 

 

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California Fall Shipping Update from Salinas, San Joaquin Valleys

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The Salinas Valley continues to provide the best loading opportunities with fall produce.  Shipments of vegetables are holding pretty steady from week to week.  Various types of lettuce is providing the heaviest volume.  When you combine lettuce, with volume coming from celery, broccoli and cauliflower, the Salinas Valley is averaging about 3,400 truck loads of vegetables a week.

This doesn’t include various lighter volume mixed vegetables, or berries.  While the Watsonville district is shipping around 500 truck loads of strawberries weekly, this volume is declining.  The nearby Santa Maria district is remain fairly steady with less volume, while shipments from Ventura County are very light, but increasing.

In previous reports there has been coverage of California citrus hauling prospects.  Here is some information on lemon shipments, most of which will originate from the California and Arizona deserts between now until February.  Loads will also be available from California’s San Joaquin Valley.  Overall, lemon volume could be up 20 percent over a year ago.

The San Joaquin Valley’s biggest volume currently is with table grapes and tomatoes.  Grape volume easily leads the pack.  From the Bakersfield are northward through the San Joaquin Valley, grapes are averaging about 1800 truckloads per week.

Mature green tomato shipments from Central California are totalling over 725 truckloads per week.

San Joaquin Valley grapes, tomatoes, etc.  – grossing about $6700 to New York City.

Salinas Valley vegetables, berries – about $4400 to Chicago.

 

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Southeastern Fall Produce Shipments are Gearing Up

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If you haul produce in the fall out of Florida, expect weather related small gaps in the early part of the sweet corn season as well as with small harvest and loading delays with green beans, bell peppers, cucumbers and squash.

Volume for  early bean shipments also is expected to be off and on.  However, loads are not expected to be until early December.

On some vegetables, including bell peppers, cucumbers and squash, be on the look out for quality issues resutling from frequent rains durng the growing season.

Sporadic harvesting and shipments could make things interesting for the active shipping period when deliveries for  the Thanksgiving holidays could get a little dicey.  I’m not saying this will happen, but just be aware of the potential problems.

Florida pepper shipments should be in decent volume by the end of  October.

If Georgia experiences favorable November weather, shipments there could continue through Thanksgiving.

However, southern Georgia fall veggies are having some problems with whiteflies.  For example, some yellow squash is looking more like albino (white) squash as the pests suck out the nutrients.  I’d be sure and let my receiver(s) know what you are preparing to load rather than find out if they’ll accept it upon arrival!

Besides squash, the pests also are affecting cucumbers, bell peppers and grean beans.  Sweet corn apparently isn’t being significantly hit.  Lower yields will mean less product for hauling.  Color of the fall vegetables also is being affected.  Unfortunately, color and general appearance often receive as much emphasis as the quality of product in this cosmetic world.

South Georgia vegetables – grossing about $2200 to New York City.

 

 

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A Look at Loading Opportunities from Around the Country

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Washington and Pennsylvania apple shippers are filling the gap left by major crop losses in Michigan and New York.   However, many Eastern growers who thought they would be shipping through the end of the year, probably will not as they run out of product.    As a result, the demand for Washington apple loadings likely will increase sooner rather than later.

Apple volumes  from Pennsylavania  were  up to 20 percent more than expected,  given the severe crop shortages in New York and Michigan.

Avocado Shipments

More avocados will be crossing the border from Mexico in the USA in the months ahead for distribution by truck throughout North America.

Mexico, which is the largest supplier of Hass avocados to the USA market, prediciting record loads for the 2012-13 crop and expects to export a record volume of avocados to the USA market during the 2012-13 season.

Mexico, projected exports of Hass to the United States from July 2012 through June 2013 will total more than 918 million pounds, up from around 782 million pounds during the prior year.

The most active shipping period and biggest volumes will occur from between October-through-December (around 291 million pounds) and the January-through-March period (around 269 million pounds).

Blueberry Imports

Blueberry imports from Chile just continue to increase and should be available from various USA ports in coming weeks.  The initial berries will be arriving via air shipments through the first half of December.  But as volume picks up, most blueberries will arrive at USA port via boats.  Biggest volume arrivals should be during January and February.

Lower Rio Grande Valley (Mexican crossings of citrus, fruit, veggies, avocados, etc. – grossing about $2200 to Chicago.

Washington apples – about $6000 to New York City.

 

 

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