MANCHESTER, CT - Ahold Delhaize has been in the newswire quite a lot recently, most notably after it announced its $480 million investment plan. That investment includes the 15-year lease of a two-million-square-foot facility in Manchester, Connecticut, which will up the company’s supply chain efficiency along the East Coast.
Ahold plans to acquire the property in April 2020, after which it will spend the majority of the year renovating it to suit its distribution needs. The facility will service about 200 Stop & Shop supermarkets in New England and New York.
Chris Lewis, Executive Vice President of Retail Business Services—Ahold’s service company—noted that this new warehouse will create about 500-700 jobs in Manchester.
In a report from NBC Connecticut, the news source also explained that this facility is one of seven that the retailer plans to add to its self-distribution model. This model will cut down on the amount of time trucks spend traveling to stores. By doing so, Ahold will save roughly a million dollars ever year.
Will Ahold continue to add more warehouses to its roster? AndNowUKnow will keep you up to date on the latest in retail news.
MONTEREY, CA - The Organic Produce Summit is giving out its holiday gifts a week early by opening up retailer registration for the fifth annual Organic Produce Summit—now!
“We are thrilled with the tremendous feedback and response from the organic community the past four years, and we’re looking to make OPS 2020 the best yet,” said Susan Canales, President of the Organic Produce Summit.
Following the overwhelming success of the past four Organic Produce Summits, OPS 2020 will retain a similar format, including an informative series of educational sessions, engaging keynote presentations, and a sold-out trade show floor, featuring over 150 organic growers, shippers, and processors from across North America, according to a press release.
“We’re putting together a dynamic program that features impactful and relevant educational sessions touching on important industry issues and objectives, and a series of keynote presentations from leaders in the organic retail community,” continued Canales. “Our sold-out trade show floor has been slightly enlarged to accommodate 10 more booths than last year, but we will retain the intimacy and energy our attendees are seeking. We’ll be releasing components of our program in the coming months and expect another outstanding event.”
In addition, OPS 2020 will also include a tour of the nation’s largest and most respected organic fresh produce organizations—an opportunity retailers and buyers would be silly not to take advantage of!
As we wait with bated breath for the full schedule and more details, be sure to mark your calendars for July 8-9, 2020, when OPS 2020 will take place at the Monterey Convention Center in Monterey, California.
General attendee registration for OPS 2020 will open January 7th. For further information about the fifth annual Organic Produce Summit, click here.
AndNowUKnow will continue to keep you ahead of the latest on our industry’s trade shows.
NEW ZEALAND - They say that there is no more profitable investment than investing in yourself. This may seem obvious, but when companies set out to invest in themselves, there are many paths they can take. T&G Global Limited, for example, recently invested in itself by acquiring the domestic fresh produce division of Freshmax NZ, to boost its New Zealand business. The purchase deal, valued at $30 million, shows a strong commitment to its domestic business, and is in line with the company’s strategy for growth.
“We are proud to lead the consolidation of these two strong businesses which we believe will be a welcome catalyst of change to drive more efficient and effective ways of working with New Zealand growers and retailers,” said T&G CEO Gareth Edgecombe. “Freshmax NZ brings a strong team, operations, and facilities and a large distribution services business which are all complementary additions to T&G’s NZ Produce business.”
The acquisition is a significant opportunity to expand and strengthen the company’s presence in New Zealand, according to a press release. The agreement will allow T&G to deliver better service to growers and customers, provide a platform for an enhanced supply chain, and supply the highest quality fresh produce to customers year-round. Edgecombe went on to explain that the move will deliver an enhanced product offering with the aspiration of becoming the partner of choice for growers and customers.
“This acquisition demonstrates a strong commitment to our domestic business on which we were founded 122 years ago and signals the importance of having a vibrant home market for our Kiwi-based company with a global footprint,” he said.
The acquisition is expected to bring excellent trading relationships and strong ongoing supply relationships in key categories. The purchase deal includes three market sites (Auckland, Wellington, Christchurch) and distribution services throughout New Zealand.
“We’re excited to bring together the combined strengths of the Freshmax and T&G teams, suppliers, and customers into our business, and build a stronger combined presence in the New Zealand market,” said Managing Director of New Zealand Produce at T&G, Andrew Keaney. “We’re confident the acquisition will present opportunities for operational improvements for the wider fresh produce industry, deliver enhanced services to growers, and open up new commercial avenues for our collective trade partners.”
The deal has been signed and is subject to a number of conditions, including review by the Commerce Commission. Both Freshmax NZ and T&G Global’s NZ Produce business will continue business as usual until the necessary conditions are satisfied and the transaction closes.
Congratulations to T&G Global on this exciting acquisition!
SACRAMENTO, CA - Good morning, AndNowUKnow readers!
Today, I am bringing you some of the category and weather news from around the industry. Check back twice weekly to see the latest around all growing regions.
FOUR DAYS OF RAIN TO HIT CALIFORNIA STRAWBERRIES
Look for production out of California to possibly be impacted all next week due to rain. The forecast is for back-to-back storms to move into California starting Sunday and remain at least through Christmas day. Look for daily rain totals to range between .25” to .50”.
If the growing areas of Oxnard, Santa Maria, and Irvine do receive the predicted rain, look for production to be curtailed and potential quality issues on product harvested next week.
Besides strawberries, these regions are currently producing celery, broccoli, cauliflower, lettuces, and other berries. You may want to load up on product later this week or over the weekend to avoid any quality issues after Christmas.
COOL DOWN FOR MEXICAN PERSIAN LIME REGION
Martinez de la Torre, Veracruz, the lime capital of the world, may see a decrease in production this week. A storm will come through the region today bringing up to .25” of rain and cooler temperatures for the remainder of the week.
Maximum temperatures which have been in the mid-80°s will cool to 71° today and will be 65° tomorrow. These cooler temperatures in the 60°s will remain through Saturday. Minimum temperatures, which were in the 70°s yesterday, will cool to the mid-50°s starting today and lasting through next Tuesday, Christmas Eve. These temperatures would be considered a cold snap for this part of the world.
These cooler temperatures, coupled with the Christmas season—which is notoriously a tough time for farm labor in Mexico—may lead to a further reduction of limes out of this region.
FLORIDA COOLDOWN STARTS TOMORROW
Florida temperatures the last week have seen highs in the upper 80°s and lows in the upper 60°s. This will change starting tomorrow as showers come through the area bring cooler temperatures. Expect maximum temperatures only in the mid-70°s through at least Christmas and minimum temperatures in the mid-50° to lower 60°s. There is more chance of rain for Saturday through Monday.
These cooler temperatures will hit the growing regions of Plant City, Immokalee, and Belle Glade. These are your major winter growing areas for everything from strawberries, vegetables, and tomatoes.
CALIFORNIA CITRUS SAW FREEZING TEMPERATURES LAST TWO NIGHTS
The last two nights in the citrus regions of the San Joaquin Valley saw minimum temperatures drop down to near freezing. The city of Visalia saw the minimum temperature on Sunday and last night get down to 33°. The minimum temperatures will remain in the 30°s through Friday. This should not affect the citrus production, but I wanted to bring it to your attention. This region of California is also expecting some rain next Monday through Wednesday.
Thank you as always! We will be back later this week with another report.
FRESNO, CA - As the West Coast continues onward through a wet December, growers are bracing their operations to keep supply and quality on the up and up. Baloian Farms, in particular, is one grower doing the absolute most to keep its pepper production on schedule.
With the California season nearing its conclusion, the Sonora season in the middle of its run, and the Sinaloa season kicking off now, Jeremy Lane, Sales Manager, sat down to chat with me about how Baloian Farms’ team is staying on track despite Mother Nature’s barrage of rain.
“Our operations teams have gone above and beyond—both working ahead of weather systems and, after they have passed, doing everything they can to prevent problems and mitigate any that might develop,” Jeremy revealed to me. “There has been quite a bit of rain in the production areas, both in California and Mexico. That normally isn’t ideal for peppers, especially in shade houses where it is difficult to vent.”
Despite the weather, Jeremy noted that Baloian Farms’ pepper crop is experiencing excellent color and conditions out of its California operations.
“And, considering all of the weather we’ve experienced in our Mexico operations thus far, quality is surprisingly very nice, which is a real credit to everyone in operations from harvest to post-harvest handling,” Jeremy complimented his team. “Right now, we’re anticipating the same volumes of supply as last year, but as we come off the promotional volumes on retail grade, our supply will lighten. This is because the Sonora growing regions yield more foodservice-grade peppers. Sinaloa is relied upon to service a majority of retail businesses with a fixed supply of retail grade.”
Despite challenges this season both by Mother Nature and low pricing at market, enormous efforts continue to ensure quality peppers are planted, farmed, packed, cooled, and shipped by the strength of providers like Jeremy and his team.
Keep checking back with AndNowUKNow for more market updates like this.
CORAL GABLES, FL - Reflection comes at the end of every year, perhaps more so now that a brand-new decade is right around the corner. For Fyffes, reflection on the behalf of the Chamber of Exportation Costa Rica (Cadexco) resulted in an award. It granted the company the ‘Exporter Grand Award’—the highest recognition the association gives out.
A press release noted that, every year, Cadexco awards a group of Costa Rican companies that export their goods globally. Anexco, one of Fyffes’ exporters of pineapples, has a new modern, state-of-the-art packhouse that helped cinch the award.
Fyffes’ Special Project Manager, Marc Jackson, has travelled intensively worldwide to bring the best innovation and technology to the packhouse, an investment that testifies to Fyffes’ long-term commitment in Costa Rica to remain a sustainable exporter of pineapples for decades to come. The farm currently employs over 1,000 workers and exports more than 8 million boxes of pineapples every year. And with new facilities on the horizon, that number is expected to keep growing.
“There were over 20 awards given during the ceremony to various exporters, and to win the most coveted award was a fantastic achievement,” noted Declan O’Neill, Fyffes Regional Manager for its pineapple division. “It is a great motivation to our team of managers and all our people in Anexco. All of us present on Fyffes’ behalf were incredibly proud as we did not know we were contenders for the big accolade.”
The awards ceremony took place in the capital city of San José and hosted almost 1,000 guests, including the president of Costa Rica, Carlos Alvarado, who highlighted that the increased investment in technology and sophisticated production units shows confidence in the long-term future and development of Costa Rica.
Congratulations to Fyffes on this achievement!
ASHEVILLE, NC - Recently, Ingles Markets reported sales record highs for the 2019 fiscal year. The grocer’s financial press release stated the company had earned $4.20 billion for fiscal year 2019 compared with $4.09 billion in fiscal year 2018.
“We are pleased with another year of record sales, and with the steps we are taking for the long-term health of our company,” Robert P. Ingle II, Chairman of the Board, commented in the release. “Our associates continue to do a great job making sure our customers are happy.”
Highlights from the financial release include:
- Pre-tax annual income totaled $106.6 million for fiscal year 2019 and $80.3 million for fiscal year 2018
- Net income totaled $81.6 million in 2019 compared with $97.4 million in 2018
- Net income for the fourth quarter of fiscal 2019 totaled $20.9 million compared with net income of $18.4 million for the fourth quarter of fiscal 2018
- Net sales were $4.20 billion for the fiscal year ended September 2019 compared with $4.09 billion for the fiscal year ended September 2018
- Comparable store sales excluding gasoline in fiscal year 2019 increased 3.9 percent over fiscal 2018
The company further stated that interest rates on the company’s floating rate debt increased during fiscal year 2019, but overall debt levels decreased over the past twelve months.
Are we to expect more growth and expansion from this Southeastern chain? For more retail news, keep reading AndNowUKnow.
IRVINE, CA - Even before any other fast food chains broke into the plant-based sector, Taco Bell was well-known as a vegetarian-friendly option. With the ability to swap beans for meat, virtually every menu item is available to those looking for alternative protein options. As options like the Impossible and Beyond Meat plant-based burgers have come to light, Taco Bell now decided to make its foray into fake meat. Following the introduction of its new “veg-centric” menu just a few months ago, the chain recently released a ground beef alternative made primarily from oats.
New reports have emerged that Taco Bell first introduced its new oat-based “Oatrageous” Taco in Finland, which has since landed in Spain as well, with a full European release planned for 2020, according to delish. The taco’s “meat” filling is made from pulled oats and legumes, but is mixed with the same seasoning used in Taco Bell's ground beef, making the plant-based meat a viable alternative in terms of taste.
Taco Bell has released no official announcement to bring the Oatrageous Taco to the U.S., but if the new menu offering takes off, the chain may be forced to cave to demand.
Vegetarians in the U.S. can only hope that this new offering will pop up Stateside. Until then, stick with us at AndNowUKnow.
CANADA - The Great White North is known for many things, but in this industry, we look to it as a beacon for greenhouse growing operations. Not only are farmers growing premium vegetables, but they are promoting healthy lifestyles for everyone in the country. Red Sun Farms took this a step further when it introduced a program to encourage healthy living in the workplace. By providing produce boxes for a donation of five dollars a box, the company delivers fresh, quality vegetables straight from the Red Sun Farms’ greenhouses.
“I am so incredibly proud of our team,” said Jim DiMenna, President. “The Make-A-Wish foundation is such a great organization, and our team really hit it out of the park this time.
As an added incentive, all money collected from the boxes is donated to the Make-A-Wish Southwestern Ontario chapter, granting the wishes of children with life-threatening medical conditions to enrich the human experience. According to a press release, when DiMenna heard about the team’s plan, he decided to up the ante and match every dollar raised in support of the initiative.
In 2017 the team donated $5,720, which grew to $9,770 in 2018. This year it grew even more, hitting a record of $10,890. With the growth of donations year-over-year, the bar is set high for 2020, and the Red Sun Farms team is more than willing to take on the challenge.
For more comprehensive initiatives that encourage healthy lifestyles, keep checking in with us at AndNowUKnow.
MEXICO - Whoever came up with the phrase “cool as a cucumber” was probably talking about Bridges Organic Produce. Okay, maybe not. But that’s the attitude the company maintains even through the rainy season. Currently transitioning its organic cucumber crop from Hermosillo to Culiacán, Bridges expects to see routine quality and volume within the next few months. For more on all things cucumbers, I deferred to Oscar Trujillo, Nogales Category Manager at Bridges Produce.
“Our organic cucumbers come from Hermosillo and Culiacán Mexico from mid-September through May and are branded Rico Farms (Hermosillo) and Aztlan Organic (Culiacán). Both of these labels are sold exclusively through Bridges Produce,” Oscar told me.
As to be expected, the recent onslaught of rain slowed production slightly for the grower, but quality is otherwise on par with its expectations as no damages to crops were reported.
“Good quantities will continue to arrive from Culiacán, but we don't expect to have the next volume/promotional push until we transition back to Hermosillo in April,” said Oscar.
He continued by telling me that the cucumber market is currently very stable, and although there are many shippers in the organic market, high demand has kept pricing stable as well.
Keep checking in with us at AndNowUKnow as we investigate the state of the market across all categories.