Posts Tagged “produce”
In case you haven’t noticed strawberries in retail supermarket are costing about 30 percent more, or about a dollar more per 16 ounce claimshell package, than only a few weeks ago. After a summer of plentiful supplies, this is the time of year when strawberry production is in a transition from the bountiful fields at Watsonville, CA to areas further south, such as Ventura and Orange counties, as well as in Mexico. It will be the first of the year before supplies increase, and perhaps some break in what you are paying in the stores.
Long gone are days of 99-cent-per-pound apples. Yet, this fruit is one of the better buys in produce departments. Despite a freeze wiping out the vast majority of apples in Michigan last spring, plus cold weather hitting New York apples hard, the nation should have nine percent more apples than a year ago – thanks to a humongous crop in Washington state. Still it depends on the variety, what you will pay. For example, two of my favorites, the Gala and the fuji apples are selling at my store for $1.77 per pound. However, another favorite of mine, the Ambrosia apples, costs about 50 percent more.
Table grapes have been another wonderful eating experience this year. California’s crop has been so sweet and cruncy I sure hate to see the season end. I’m noticing the late season grapes from California are not quit as good as the super tasting product that has been available for month. Grapes also have been one of the best buys in the produce department. The California product will soon be replaced by grapes from Chile. We can only hope Chile has as good a crop.
Other good buys in the produce department continue to be bananas and kiwifruit.
USA imports of fresh fruit and vegetables have increased significantly since the 1990s, and this has increased loading opportunities during a time of the year when it is an off season for a majority of American grown produce items.
These off season suppliers for fresh produce are primarily the Southern Hemisphere countries countries near the equator for bananas.
While it is trendy and cool to be associated with locally grown produce these days, locally grown is minor compared to the strong growth in volume and variety of fresh produce that is imported. These imported fruits and vegetables has allowed U.S. consumers to eat more produce, and for truckers to haul more produce, on a year-round basis. This is product that normally would not be available.
The USDA states that between 1990-92 and 2004-06, annual USA imports of fresh fruit and vegetables surged to $7.9 billion from $2.7 billion, with the share of total USA imports for agriculture rising to 13.3 percent from 11.5 percent. USA exports of fresh produce also increase, but less. As a result, the United States has increasingly become a net importer of fresh produce.
As of 2007, USA fresh produce trade was dominated by a few regions. Fresh vegetable imports from Mexico and Canada were over $3.2 billion, which comprises the single-largest trade channel among regions of U.S. fresh produce trade.
USA fruit trade is more diverse than vegetable trade in terms of foreign trade partners. Whereas fresh vegetable trade is largely concentrated within North American Free Trade Agreement countries and Asia (95 percent of exports and 84 percent of imports), fresh fruit trade with those regions is less significant (85 percent of exports and 28 percent of imports).
Because fresh produce is highly perishable and seasonal, geography has traditionally played a major role in the global trade patterns of fresh produce.
The main sources of USA fresh fruit imports are banana-exporting countries, and the Southern Hemisphere and NAFTA regions. The banana exporters — Colombia, Costa Rica, Ecuador, Guatemala, Honduras and Panama — are the largest providers of fresh fruit to the United States.
Together, these countries supply 36 percent of total U.S. fresh fruit imports, with bananas making up more than three-quarters of the fresh fruit value shipped by these equatorial countries to the United States. Southern Hemisphere countries — Argentina, Australia, Brazil, Chile, New Zealand, South Africa and Peru — supply 32 percent of U.S. fresh fruit imports. The NAFTA region supplies 27 percent of U.S. fresh fruit imports.
The structure of the U.S. fresh fruit import mix, however, has changed substantially, particularly since the 1990s, as grape and tropical fruit imports have grown faster than bananas.
Blueberries are a good example of an item that has grown quickly and hugely over the past decade. Other fruits and vegetables, such as asparagus from Peru, are also inching toward the list of items that are outpacing banana imports.
Produce loading opportunities from the Lower Rio Grande Valley of Texas are expected to increase in coming years as a new highway connecting West Mexico to south Texas opens in the new few months. Now another project is expected to increase produce loads from Mexico to markets in the USA and Canada.
A plan to change how millions of boxes of mangos are treated for the Mexican fruit fly and bacterial contaminants could be a boon Valley’s growing produce industry — and ultimately produce haulers.
The USDA has lifted a procedural barrier allowing construction along the U.S.-Mexico border of facilities that blast mangos and other fresh produce with a highly focused beam of electricity, eliminating pathogens and pests. McAllen, TX becomes the first city in the Southwest with the technology.
The E-beam facility will be built at 23rd Street and Military Highway on land owned by the Abasto Corp., directly across the street from the 42-acre Warehouse Kingdom development. The valley’s E-beam facility should create a competitive advantage for the McAllen metro area as it seeks to gain a larger share of the Mexican produce market. But consumers across the nation could also benefit from a larger array of high-quality fruits and vegetables that last longer on the shelf.
The high-tech procedure is supposed to virtually eliminate the chance of pests and pathogens such as fruit flies crossing the border.
The $22 million facility, which will eventually employ up to 200 people, will use a non-nuclear alternative to gamma-based irradiation to sterilize fruit and vegetables crossing the border in both directions.
To kill microorganisms, produce has traditionally been treated with a gas called ethylene oxide that is being phased out for health and environmental reasons. But a shift to treating produce in hot water baths created its own host of problems, among them a reduced shelf life and lower success in killing contaminants.
ScanTech’s technology eliminates both problems by essentially electrocuting the fruit without generating heat. The irradiation method uses less energy, does not involve dangerous radioactive materials and is supposed to be as safe to operate as a household microwave.
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.”
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.
On any given day there will 100 or more trucks either loading or unloading on the Atlanta State Farmers Market. Most of those loads involve fresh fruits and vegetables.
The original market was actually located on Atlanta’s West End district in 1939 before moving to its current location in 1959. It has since expanded into a 150-acre compound housing everything from cold storages, docks, offices for wholesalers, brokers and others, as well having a resturant, police force and other agencies and facilities.
The Atlanta produce market is owned by the state of Georgia and operated by the Georgia Department of Agriculture Markets Division. It is located a middle-class industrial district about 10 miles south of downtown Atlanta and only a couple of miles from Hartsfield-Jackson International Airport.
Rail lines crisscross the property. The complex is just off the east side of Interstate 75 and only a couple of blocks south of Interstates 85 and 20, providing easy access from the to the Southeastern USA.
The market’s Oak Room restaurant has a large, varied menu with good food, which of course serves produce fresh from the marketplace.
Georgia has about a dozen state farmers scattered around the state, which are home to more than 150 companies employing 3,700 farmers, packers, retailers, receivers, and staff with an estimated payroll over $75 million. The Atlanta market is home to 85 percent of those businesses. In 2009, those markets brought in receipts totaling almost $1 billion. The Atlanta market brought in more than half that amount and operates in the black with revenues of almost $6 million last year.
While Texans tend to boast about how big everything is in the Lone Star State, it is a major shipper of fresh produce, ranking in the top 10 for its volume with fresh fruits and vegetables. Many Texas produce shippers also have invested in farming operations in Mexico, and a lot of the product crosses the border into the Lower Rio Grande Valley for distribution throughout the USA and Canada.
The valley, and more specifically, Pharr, TX will be even more important in the future as a distribution point for Mexican grown produce. It is located on Highway 281 which runs north all the way into Canada. Also of importance is the 3.2-mile-long Pharr-Reynosa International Bridge connecting Mexico and south Texas. It is the longest port-of-entry bridge.
While Pharr remains relatively small with a population of 75,000 residents, the city has purchased 90 acres just west of the bridge with aim of developing a produce district with warehouses for produce destined for shipping throughout North America.
Pharr also will gain importance with the completion of the Autopista Durango-Mazatlan cross continental Mexican highway. It is a 143-mile-long stretch of highway scheduled for completion by the end of this year. It was built with the intention of trucks hauling West Mexican produce to ports of entry in Texas. The new highway ends very near Pharr.
The new road is supposed to reduce transit times of trucks from West Mexico by a full day to points in the eastern half of the USA and Canada.
The state of Texas, not including Mexico, grows and ships over 70 different fruits, vegetables and nuts. It is the fourth ranking shipper of watermelons in the USA, accounting for 15 percent of the country’s watermelons. This time of the year Lower Rio Grande Valley grapefruit becomes a major item for loads.
The Lone Star State also is a major grower/shipper of onions, cabbage, spinach, and carrots.
The California coastal valleys of Salinas and Santa Maria typically remain the 
major sources of supply of lettuce through mid-October. Huron, which is located on the west side of the San Joaquin Valley, usually fills the lettuce supply gap in late October through much of November before harvest switches to the desert in California and Arizona. Some of the hardier items, such as broccoli and cauliflower, will continue in the Salinas area until the shift to the desert (California’s Imperial Valley and the Yuma, AZ area) around Thanksgiving.
There has been strong shipments of California vegetables since early summer. A primary reason is the extreme drought in the Midwest and the upper Midwest, which knocked out some home-grown crops.
Additionally, there was the hurricane that hit New Orleans and continued on through the South hitting Kentucky and Tennessee and knocking out some of those local tomato harvests. It all helped to benefit shipments of California tomatoes.
Berries
Blackberry shipments are winding down on California’s Central Coast, but raspberries could go through the end of October.
Blackberries loadings tend to decline by the end of September and are finished by mid-October as the shipments out of Mexico pick up.
California strawberry and raspberry shipments have provided some problems for haulers over the summer. Both are more delicate fruit, especially raspberries. Much of this can be blamed on the horrendous summer heatthan began in June and continued through most of August. Good quality fruit results in more shipments (due to consumer demand), plus truckers deal with fewer rejections. Obviously the quality of the fruit has improved since the heat has subsided. The fruit holds up better when shipped.
Salinas area vegetables and berries – grossing about $4700 to Chicago.
Good brokers are known for sticking up for the men and women behind the 
wheel of the big rigs delivering perishable fresh fruits and vegetables. That can mean rattling the cage of a shipper or receiver who are making a tough job even tougher for long haul truckers.
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Darrell Miller, Mark Martin, Robin Bicksler, Brent Schmit and Tristan Schmit.
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Brent Schmit is president of Eclipse Dist., Inc. located about an hour’s drive west of Chicago in Elburn, Il. One of the most common complaints he hears from drivers relate to the attitudes of people.
For example, Brent points out a driver arrives at shipping point in California to make a pick up. “The lady behind the desk tells the driver to hang on for a second. She is on the phone talking to her girl friend or someone else and won’t give the driver the bill of lading,” Brent states. “The driver is already loaded. Then the driver gets the bill of lading and it states he was loaded out an hour earlier.”
Then upon arriving at destination late, the receiver looks at the bill of lading and says the driver left the loading dock at shipping point earlier than the driver claims to have left. But in reality that is not true.
“A little more cooperation with the drivers would help,” laments Brent. “If you miss an appointment out there at shipping point, they will push you off until the next day, or sometimes give you a later appointment (that day), if you are lucky.”
Brent adds if the trucker arrives at shipping at a certain time, then has to wait five hours, what is the shipper’s responsibility? he asks. Additionally, if the receiver is claiming they needed the truck earlier, and if the truck had been loaded five hours earlier, the load would have been delivered when needed.
“I think the way the economy has been, it has affected business, and over all it has been a slower year,” Brent states. “I understand all of that, but they (shippers and receivers) put the pressure on everyone. The drivers aren’t happy, because they are not making as much. The customers aren’t happy because they are paying more for freight, and they aren’t selling as much.”
Eclipse, which arranges about 3,000 loads a year, handles a lot of less-than-truckload.
“There’s not a lot of people that want to handle the LTL,” Brent says. Everybody wants the one pick up, one drop. There are fewer headaches. It takes a certan finess to get and LTL done. Not only are you up all night with the driver, making sure he gets loaded, they you are trying to get deliveries arranged so the produce is taken off the truck.”
About 90 percent of Eclipse’s loads are with produce with the remainder being out bound loads from the Chicago area involving dry freight. The truck brokerage has produce loads from all over the country delivered to Chicago area receivers.
Brent and his staff take pride in the job accomplished with the challenging LTL deliveries. He notes Chicago is one of the largest distribution hubs in the USA.
“This is where we shop, where we eat, where we go to restaurants — everything. It is an enjoyment for us because we brought all this produce in from California and elswhere,” Brent concludes.
Summertime loads for produce haulers in New Jersey growers are declining, 
but there are still a limited amount of peaches being shipped. However, peach shipments will wrap up within days. There’s also limited handling of basil and mint are also finishing and will be halted by frost that typically occurs in mid-October.
The fall season shipments for spinach, escarole/endive, lettuces, turnips, radishes, and white and sweet potatoes are just getting started. There also are less amounts of vegetables ranging from cabbage to collards, kale, beets, Swiss chard, pickles, cucumbers, .radishes, butternut and acorn squash, and herbs such as parsley, dill, coriander, arugula and cilantro.
The top volume fresh-market vegetables in New Jersey are: tomatoes, sweet corn, peppers, cabbage, cucumbers, lettuce, spinach, eggplant, escarole, snap beans and asparagus. The primary fresh-market fruits are strawberries, blueberries, peaches, and apples. Jersey also is one of the top five states in producing cranberries for processing.
New Jersey also ships apples, but unlike the major Western apple shipping states, the Jersey fruit is shipped after harvest. without being stored time in controlled atmosphere conditions. New Jersey apple loadings began in late-August, with the Gala, MacIntosh, Jonathan and Courtland varieties, and are followed by Red Delicious, Empire, Jonagold and McCoun. Golden Delicious, Rome and Stayman Winesap start shipments in mid- to late September. Braeburn, Fuji and Granny Smith will start in early-October.