Posts Tagged “feature”
The Westside district of the San Joaquin Valley is now shipping cantaloupe 
and other melons. However, after the Colorado listera outbreak last season involving a number of consumer deaths from eating cantaloupe, sales across the USA were affected. As a result, even though California cantaloupes were not associated with the outbreak, shipments were impacted. As a result fewer Westside district acres were planted this season.
The early portion of what is expected to be record breaking table grape shipments from the San Joaquin Valley is building. Best volume is currently coming out of the Arvin district near Bakersfield. Within days however, there will be light volume of grapes available from as far north in the valley as Fresno and Tulare counties. Including the grapes from Coachella (which are finished), California could ship over 100 million, 19-pound cartons this season.
There’s also other items now being shipped such as tomatoes from the Tracy, CA area, and a number of vegetables from the Fresno area and other parts of the valley.
You may be surprised at the amount of onions California ships, with the heaviest volume coming out of Fresno, Kern and Tulare counties. However, since you can haul onions in everything from flatbed trailers to dry vans, rates are significantly lower.
San Joaquin Valley onions – grossing about $5400 to New York City.
San Joaquin Valley fruit, veggies, melons – about $7500 to New York City.
Everything from peaches to apricots, cherries and blueberries will soon be in 
good volume out of the Pacific Northwest, ramping of loading opportunities for those with refrigerated equipment.
Washington state cherry shipments are underway and in peak volume, which should continue through July, with lighter loadings continuing into August. Record cherry shipments are being predicted. Apricots also are being shipped, continuing into the third week of July.
Shipments are expected to be significantly higher for Northwest peaches this season, compared to 2011. Peaches get underway the third week of July and should continue into October.
Oregon blueberry loads became available recently from the southern production areas of the state. Further north in the Williamette district, “blues” have just started.
The Yakima Valley of Washington state is still shipping some apples and pears from the 2011-2012 season.
Washington state fruit – grossing about $6400 to New York City.
Fred Plotsky and his staff at Cool Runnings arrange about 8,000 loads a year. 
He sees the biggest issue facing trucker is financing, followed by the rules and regulations on the trucking industry.
“However,” he adds, “If you can’t get the financing, the rules and regulations don’t matter.”
The president of Cool Runnings, based in Kenosha, WI, says truckers are facing rising costs with everything from tires to fuel and labor. An engine overhaul that was $13,000 two years ago now costs $20,000 to $21,000. The mechanics who work on those diesel engines have hourly rates that have increased from $60 to $100 per hour.
While the produce rates have gone up in recent weeks, the price of disel fuel remains high as well. For example, Fred says a truck averaging five miles per gallon, running 3,700 miles per week, at today’s diesel prices, that is costing $3,000 a week, which is hard to finance.
While Cool Runnings charges a two percent fee for advances on loads, Fred points out a lot of truck brokers charge three to five percent.
“The broker has to borrow to finance advance loads. The bank is not loaning you that money for free,” Fred states. “Financing is tight. You either pay the bank, or the broker for the cash advance. It is going to cost you more either way.”
It used to be the average cash advance was around $500 to $700 for the fuel to cover a trip from Idaho to Chicago. The advances are around $1,500.
“You are talking two percent of $1,500 when it used to be two percent of $700. The truckers have to find a way to finance this themselves, while the others who do not figure it out fall by the wayside,” Fred says.
Cool Runnings works with a lot of owner operators and small fleet operations. “The guys who used to have 20 trucks now own eight or 10. If he had 10 trucks, now he only has three or four trucks,” Fred says. “They just don’t care anymore. They’ll say, `I’m tired of fighting the rules and regulations and everything else.'”
One example of excessive government interference, Fred notes, are the CARB (California Air Resources Board) rules in California. The requirements, some of which have to do with reducing emissions, increase the costs of operation and is make it very difficult for truckers to comply, much less continue to operate profitably.
He knows one trucker who delivers freight to Utah and runs to Idaho and to pick up potatoes and French fries for delivery to Chicago. That trucker receives a consistent, steady fair rate. The trucker also does not have to comply with California’s CARB rules.
“Now that those rules are stabilized, just don’t keep changing them,” Fred states.
Cool Runnings History
Although it has been nearly 26 years, it seems almost like yesterday when I first met Fred Plotsky. I was riding in a car with a friend and business associate named Gary Robinson in Highland Park, IL during a week I was working in Chicago. Gary had just sold his truck brokerage, Cool Runnings.
How would you like to meet the new owner of Cool Runnings? He’s really a great guy,” Gary asked me. In a moment, Gary had Fred dialed up on his car phone. I met up with Fred later that day and the rest is history. We have been friends ever since.
Fred and I immediately found a few things in common. We both had an interest in produce trucking for starters. Both of us loved to fish. Fred goes after northern pike, especially on fishing expeditions to Canada, while this southern boy prefers the warmer climates and large mouth (you might find Fred reporting to work at the Cool Runnings offices in Kenosha, WI, wearing shorts in January).
Fred also has love for listening to radio, and only a few months earlier in 1986 I had launched the Produce Truckers Network and had two radio stations airing it — WRVA in Richmond, VA with Big John Trimble and WMAQ in Chicago with Fred Sanders.
Both of us are sports fans with Fred a great follower of the Chicago White Sox and the Milwaukee Brewers. He is forgiving of my support of St. Louis Cardinals.
Over the years I’ve learned to respect Fred as a loving husband, great father, little league baseball coach — and a fair and honest businessman.
It has sort of become a tradition with Fred and I to occasionally have lunch together — usually involving chicken wings and root beer. It was during such a recent visit, Fred shared some thoughts on Cool Runnings, which he has owned since July 1986, as well as what is happening with the trucking industry, and what he views as the major concerns and issues with the professionals driving the big rigs. — By Bill Martin
During some summers when produce shipments are in peak volume, so much 
product needs to be moved, and the demand for refrigerated equipment is so great, that already high rates then go through roof. It certainly has not happened this summer, and if anything, produce rates declined leading up to the Fourth of July holiday. The Fourth, being on a Wednesday, is felt by some to lessening the impact on rates.
Rates from major some shipping areas, for example in California, dropped 5 to 10 percent and more from the San Joaquin Valley, Salinas Valley, and Santa Maria.
A number of factors apparently resulted in the lower, although still healthy produce rates. For example, stone fruit shipments out of the San Joaquin Valley are down this year, freeing up some equipment. Other areas are shipping a lot less produce than normal such as Michigan (with fruit) and many Southeastern (watermelons, bluesberries and vegetables) states and in the South (Texas watermelons and melons in loutheastern states).
Still, the heaviest produce volume, on a national basis, usually occurs between May and August – and that still holds true this year.
In California, table grape shipments are winding down in the Coachella Valley, but the big volume is yet to come – from the San Joaquin Valley. Grapes have started from the Arvin (Bakersfield) district….The Salinas Valley remains heavy with vegetables shipments.
Southeastern Arkansas is in peak loadings with tomatoes.
Kentucky and Tennessee are now shipping tomatoes, zucchi, strawberries and peppers. Most shipments are on a regional basis.
Although we usually don’t think too much about ports and imported produce this time of year, various ports around the U.S. are receiving summer citrus. for example, there are arrivals of navel oranges from Peru. There is various types of citrus arriving from South Africa, Argentina, and Uruguay.
San Joaquin Valley fruit and vegetables – grossing about $7,500 to New York City.
South Texas watermelons – $3000 to Chicago.
2012 may be a year many Michigan produce shippers will prefer to forget, not 
to mention for produce haulers who like to haul out of this state.
Your best opportunities this summer will be with Michigan vegetables, which have been mostly unaffected by adverse weather. Normal volume is seen and shipments will continue into the fall. Another plus is with blueberries. As a top shipper of “blues” in the country, Michigan blueberries are forecast at about 80 to 90 million pounds, which is pretty normal.
On the downside is with other fruit. Michigan ranks in the top five in apple shipments, but certainly will not this year. Very few new crop apples survivied the April freeze. Any apples you load in next few weeks will be the last remains from the 2011-12 season. The state’s cherry shipments were also clobbered by weather, with 85 to 90 percent of the cherries wiped out. Heavy hits also were suffered with the state’s peaches and grapes.
The strong, but seasonal produce trucking rates off the West Coast sound 
pretty good, until one starts to consider what it takes to get a Westbound freight haul. The hard economic times in the USA has taken its toll on many truckers. Some in trucking report dry freight grossing as little as $2000 from the Mid-west to California.
Bradley Cook drives a truck for Frank’s Transport, a one-truck operation out of North Miami Beach, FL. HaulProduce.com recently caught up with him at a Flying J Truck Stop, after delivering a load of juice. He was hoping to get a load of freight out of Tulsa, OK for the West Coast to pick up a load of produce.
The 35-year-old has been trucking either long haul or locally since 1998, and this is about as tough as he has seen it.
“I’m working this truck like a dog trying to make ends meets,” he says, pointing to the conventional Peterbilt he is driving. The owner operator he is driving for once had three trucks, but now it is down this single tractor.
It is not easy when outbound dry freight is paying only $1.35 to $1.40 per mile, while eastbound produce loads are grossing about $2.25 per mile, “if you are lucky. The people paying for the East bound (produce) want to pay you the Westbound rates,” he says, “although they pay the better rates because they have little choice.”
It also does not help that other produce shipping areas often do not pay that well. He cites per mile rates of out of Florida being $1.25, while Texas loads are averaging about $1.50 per mile. The high cost of number 2 diesel fuel only makes it worse.
“The price of fuel is so high the produce people and everyone else are relying on the freight charges of 20 years to help make up for it (cost of deliveries),” Bradley says.
Adding to the challenges of hauling produce are the delays in loading and unloading the often occur.
“With produce, I often face delays anywhere from one to eight hours. The product may still be in fields, even though I’m at the facility on time to load,” Bradley states. “I am picking up in California and supposed to deliver in Massachusetts. If I am late for delivery (because of loading delays), that Massachusetts receiver will not pay full price for that load upon arrival.”
Another primary “beef” with Bradley is dealing with four wheelers, and particularly those driving cars who cut off big rigs.
If a wheeler cuts me off then hits the brakes, I’m going to hit my brakes, but I can’t stop on a dime. I’ll end up going five truck lengths through that guy’s vehicle,” Bradely states.
In some Western states he notes speed limits on some highways are 80 mph. “You can cut me off, and I’m going to end up killing you (with my truck, which can’t stop),” he says.
Bradley believes as part of obtaining a driver’s license four wheelers should have to ride in big rig for three weeks to get a better understanding of what it is like to operate an 18 wheeler and “experience the centrifical forces of nature.”
Similar problems exist with four wheelers who tail gate big rigs and when the trucker hits the brakes, if the other driver is not paying close enough attention he can end up “going through your DOT approved trailer bumper — and die.”
By the United Fresh Produce Association
The North American Produce Transportation Working Group (NAPTWG) will 
host a webinar on produce transportation best practices on Wednesday, July 18 at 11:00 am PT/2:00 pm ET. The session will give an overview of the best practices and delve into the roles and responsibilities of the shipper, carrier and receiver in facilitating a seamless, safe, and sustainable global supply-chain. Speakers include industry veterans with varied perspectives: Dan Vaché, vice president of supply chain management, United Fresh; Doug Stoiber, vice president, L&M Transportation Services, Inc.; Jim Gordon, operations manager, Ippolito Fruit & Produce LTD.; and Doug Nelson, special services manager, Blue Book Services, Inc. A question and answer period will follow the presentation and the session will be posted on the website as a resource.
“As summer quickly approaches, the webinar will be especially valuable to anyone involved in the movement of perishables and refrigerated cargo via truck,” said Dan Vaché, vice president of supply chain management for United Fresh. “It’s vital that the entire industry be on the same page when dealing with the movement of fresh fruits and vegetables. We need to ensure the cold chain remains intact and to prevent complications in the distribution and delivery of our fresh and wholesome products.”
Registration is complimentary to all interested parties. Register now!
This is the first in a series of educational webinars the NAPTWG will hold. For more information, please visit the NAPTWG website, or contact Dan Vaché, vice president of supply chain management, at 425-629-6271.
The North American Produce Transportation Working Group (NAPTWG) is comprised of more than 25 national and regional produce industry associations, transportation service providers, grower/shippers and perishable receivers. In cooperation with United Fresh Produce Association, NAPTWG works to provide best practice resources to those involved in the fresh produce supply chain.
Normally we would see a bump in rates for hauling produce as the Fourth of 
July holiday approaches – when Independence Day falls on any day but Wednesday. This is not to say there will not be a increase in produce rates, but some observers are saying it may not be as high, or may not even occur this year for the holiday. Regardless, strong demand for refrigerated equipment will continue before and after the Fourth, and rates are expected to remain healthy in the coming weeks.
In Southeastern Arkansas, peak tomato shipments are continuing. While it has been an excellent growing season, triple digit temperatures have moved in. If the extreme heat continues the mid July conclusion to tomato shipments may happen even before that.
In Virginia, some are not aware the state ranks fourth nationally in tomato shipments, and 6th nationally in potato, apple and snap bean volume.
Moving to the Northwest, Washington state cherry shipments are in heavy volume. Loadings should continue until September and the state is on a course for record shipments.
In California, rates have had only minor fluctuations since early June. The Salinas Valley has lighter than usual volume with broccoli and cauliflower, plus lettuce shipments have been hampered as East Coast receivers took advantage of coastal shipping areas such as New Jersey, which started weeks earlier than normal. This put Eastern lettuce shipments on a collision coarse with West Coast lettuce shipments. Eastern receivers could save $7 to $8 per carton on lettuce, just on shipping costs, when they purchased eastern lettuce as opposed to that product from California.
Salinas Valley vegetables – grossing about $8500 to New York City
As California table grape shipments will soon be starting from the San Joaquin 
Valley, it is a good two-week swing from a year ago, when the vineyards were 10 to 14 days later than normal. This year, the product is being shipped a few days earlier than normal – and two weeks or more earlier than in 2011. Projections call for 101.6 million, 19-pound boxes of California grapes to be shipped, up 4.5 million cartons from a year ago.
Stone fruit shipments are coming out of the Southern San Joaquin Valley in light to moderate volume and will pick up in volume quickly as the harvest moves northward. The Bakersfield area is shipping potatoes and carrots.
California cherry shipments from the northern part of the valley are winding down, as Washington state will soon take center stage with loads of cherries.
There are still grapes from Mexico and California’s Coachella Valley being shipped in volume. Those areas will still be providing loads into mid July.
One word of caution. There are reports of some red grapes from Coachella having splits, cracks and being low in color. Make sure whoever is paying the freight is aware of this situation before you load — and of course check for quality yourself at the loading dock.
Demand for trucks remains heavy from the Salinas Valley as many vegetables are in peak production. There’s also good volume with strawberries from the nearby Watsonville district. The Santa Maria area has lighter, but consistent movement with vegetables.
San Joaquin Valley stone fruit and vegetables – grossing about $8300 to Baltimore.
Bakersfield area carrots and potatoes – about $6800 to Atlanta.
Produce shipments on the East Coast are a mixed bag this year and some areas 
are shipping more normal volumes, with other areas doing less.
Shipments of New Jersey blueberries, along with vegetables continue to be loaded in normal volumes. Jersey peach loadings are ramping up and should be in peak volume soon, continuing through July.
Further south in the Mid-Altantic area, sometimes referred to as the Eastern Shore, Delaware, Maryland and Virginia are shipping a variety of vegetables, with more coming into play as we enter July. This area, however, has struggled over the years, as it tries to provide shipments during a gap between states to the south of it, and New Jersey to the north, which in theory is supposed to begin shipments when Delaware, Maryland and Virgina are finishing.
However, it’s a gamble every year and if the southern states are late coming in, or Jersey is early, the the Mid-Atlantic states tend to face poor markets, and fewer loading opportunities for produce haulers. As a result this area does not have as many shippers as it used to.
Meanwhile, there are fewer Georgia vegetables, Vidalia onions and peaches this year due to weather factors, although the vegetables were easily hit the hardest of the three.
Vidalia, Georgia onions – grossing about $3200 to New York City.
New Jersey blueberries – about $1800 to Boston.