WASHINGTON, DC - In its latest effort to enforce the Perishable Agricultural Commodities Act (PACA) and ensure fair trading practices within the U.S. produce industry, the Department of Agriculture (USDA) has cracked down on five produce business, imposing sanctions after each company failed to meet their contractual obligations to produce sellers and pay reparation awards issued under the PACA.
Direct from the USDA Agricultural Marketing Service:
These sanctions include suspending the businesses’ PACA licenses and barring the principal operators of the businesses from engaging in PACA-licensed business or other activities without approval from USDA. By issuing these penalties, USDA continues to enforce the prompt and full payment for produce while protecting the rights of sellers and buyers in the marketplace.
The following businesses and individuals are currently restricted from operating in the produce industry:
- Chefd Inc., operating out of El Segundo, California, for failing to pay a $91,439 award in favor of a New York seller. As of the issuance date of the reparation order, Emily Waldorf, Peter Boyes, Lawrence Perkins ,and Jason Ackerman were listed as the officers, directors, and/or major stockholders of the business.
- OKA Group LLC, operating out of Doral, Florida, for failing to pay a $44,526 award in favor of a Florida seller. As of the issuance date of the reparation order, Yesmin Rodriguez was listed a member or manager of the business.
- Countryland Farms LLC, operating out of Nashville, Georgia, for failing to pay a $4,075 award in favor of a Texas seller. As of the issuance date of the reparation order, Gary Barfield was listed a member or manager of the business.
- Golden Horse LLC, operating out of Secaucus, New Jersey, for failing to pay a $6,910 award in favor of an Illinois seller. As of the issuance date of the reparation order, Oi Cheng and Kong Cheng were listed a members or managers of the business.
- Nile Food Importing Corp., operating out of Brooklyn, New York, for failing to pay a $5,600 award in favor of a California seller. As of the issuance date of the reparation order, Mohamed Elsehetry was listed as the officer, director, and/or major stockholder of the business.
PACA provides an administrative forum to handle disputes involving produce transactions; this may result in USDA’s issuance of a reparation order that requires damages to be paid by those not meeting their contractual obligations in buying and selling fresh and frozen fruits and vegetables. USDA is required to suspend the license or impose sanctions on an unlicensed business that fails to pay PACA reparations awarded against it as well as impose restrictions against those principals determined to be responsibly connected to the business when the order is issued. Those individuals, including sole proprietors, partners, members, managers, officers, directors or major stockholders, may not be employed by or affiliated with any PACA licensee without USDA approval.
The PACA Division, which is in the Fair Trade Practices Program in the Agricultural Marketing Service, regulates fair trading practices of produce businesses that are operating subject to PACA, including buyers, sellers, commission merchants, dealers, and brokers within the fruit and vegetable industry.
In the past three years, USDA resolved approximately 3,500 PACA claims involving more than $58 million. PACA staff also assisted more than 7,800 callers with issues valued at approximately $148 million. These are just two examples of how USDA continues to support the fruit and vegetable industry.
For more information, contacts, and to read the full press release, please click here.
BENTONVILLE, AR - We talk a lot about grocery wars over here at AndNowUKnow, but with big-name retailers constantly innovating, we aren’t too far off the mark. In a continued bid to outrank Amazon in the online grocery space, Walmart announced its InHome Delivery program earlier this summer. Now, this platform has officially launched in Kansas City, Pittsburgh, and Vero Beach.
“We’re obsessed with simplifying grocery shopping and finding ways to make our customers’ lives easier,” read a blog post on Walmart’s website. “That’s why InHome goes the extra step so that our customers can live their lives without worrying about making it to the store or being home to accept a delivery.”
Given that the program delivers grocery inside of shoppers’ homes, one may wonder how exactly the delivery system works. Associates use smart entry tech and a wearable camera to access the home, which means consumers know who is delivering their groceries—and they can also watch as they’re placed into their fridge.
The service is thought to be a direct rival of AmazonKey, which allows associates to access your home, garage, or car.
Will this service prove successful? Only time will tell, and AndNowUKnow will be watching the clock.
ANAHEIM, CA - If you were setting up your Fresh Summit booth yesterday and heard a lot of screaming and cheering, it is because colleagues of our industry were breaking through the finish line outside of the Anaheim Convention Center. Depending on the rider and what course they took, this meant anywhere from 275 to nearly 320 miles, and 18 or 25 hours in the saddle, but it all came down to three and a half days of cycling to raise the bar for how many salad bars Tour de Fresh could donate to schools across the United States.
While the initial oversized check California Giant Berry Farms’ Morgan Maitoza and Cindy Jewell presented to United Fresh President and CEO Tom Stenzel read $174, 649, donations kept rolling in so that by the time the check was presented the official number was a record-setting $175,000 total.
“Let me just say thank you, thank you to all the riders for what you’ve done this week, those of you who’ve done it before, all the sponsors, Cal Giant Foundation who had the original vision for this, thank all of you for what you’ve done. $175,000 is the highest total Tour de Fresh has ever raised in a single year—add that to what came from their first five and we are going to beat a million dollars next year...unless there is someone who would like to chip in now,” Tom Stenzel shared to laughter and cheers from Finish Line Ceremony attendees.
Donations Still Accepted - Help Put More Salad Bars in Schools Here
Senator Ling Ling Chang of the 29th District also spoke to the monumental different Tour de Fresh is making sharing that, as a Member of the California Senate California Education committee, the cause is one close to her heart and spoke to a new bill to tackle food-related issues.
“Clearly our work is not done on this front, but it’s not just about what politicians are doing in Sacramento, but the work Tour de Fresh is doing that is already changing lives,” Senator Chang said. The Senator went on to share how impressed she was with the cyclists of the Tour de Fresh, having used to ride her bike from Anaheim to Huntington Beach herself. On that note she added, “I’m thinking, next year I might join you all for that trek. I want to grow up to be like you, thank you all for having me here today, it truly is an honor, thank you for what you do.”
Council Member Stephen Faessel, Anaheim City, District 5 spoke to the grandness of the upward of 300 miles trekked to make Tour de Fresh 2019 a success before emphasizing that it really comes down to the kids the ride serves.
“Your legs are probably a little tired, I don’t doubt that. But the money and hard work you’ve raised really has paid off,” he said. “It’s about the meals you will be providing, the extra help you’re giving to these kids to make healthy choices.”
It’s about family, a point emphasized both by nominated speaker for the riders Raina Nelson of Renaissance Food Group and by Morgan as she brought up and honored the support and logistics team to thunderous applause.
“When Cindy Jewell and Cal Giant’s vision of riding bikes to put salad bars in schools became a reality I wanted to be a part of that mission, and I keep coming back for the pain. A couple of years ago, we coined the name Tour de Family, and it’s so true. To raise money for over 50 salad bars to nourish and fuel these kids, millions of kids, and extension of our Tour de Family. Accomplished something great for a cause that is even greater, this ride has been the best yet. Coming back to do it again and again,” she said.
Also coming back again and again are another necessary component of Tour de Fresh: the sponsors that work about as behind the scenes as it gets.
“We have a lot of sponsors that put this thing on every year and we can’t thank you all enough. We thank God every year they show up, help us out, and help us get from Point A all the way to Point Z to get here,” Cindy Jewell, Vice President of Marketing for California Giant Berry Farms, said at yesterday’s Finish Line Ceremony.
One of those sponsors, Gold Coast Farms, was present for a delicious dinner they provided the whole team after a grueling Day Two and looking down the barrel at Day Three.
Bill Munger, Vice President of Sales and Marketing for the sponsor, not only thanked this year’s participants but explained that the cause was near and dear to him.
“For us, as a sponsor, it means so much that you would take time out of your lives to spend this week raising money for salad bars—the school salad bar program is really dear to me. My niece is a teacher in Elk Grove, California, and that school is almost 90 percent under the poverty level. They are eating at school,” he shared, explaining that his niece encountered a day where she discovered her students weren’t familiar with zucchini. “So, thanks to what you are doing, kids around the country are going to know what a zucchini is now.”
Those that were there to see riders at the podium also got to hear from those directly impacted by their hard work.
Manish Singh, Director of Food Services for Los Angeles Unified Schools, expressed how much the district appreciates the several salad bars they will be getting thanks to the hard work done by the Tour to help enhance programs they are putting in place to help expand children’s exposure to all kinds of fresh fruits and vegetables.
“Salad bars are something we are growing with. Also, recently we started a farm to school program, and I can tell you we have been working with one of the growers and has been so well received, nothing hits the trash can,” Singh shared proudly. “Everything we are serving to the kids, they are consuming it, they are devouring it, and asking about when they can have the next one.”
South Whittier School District also will be a recipient of the Salad Bar for Schools programs, talking to how the district is 96 percent free and reduced, giving students access to what they can’t get at home, welcoming Tour de Fresh and the good work it does to their family.
“When we started the Salad Bars for Schools booth about ten years ago, we had no idea what it might blossom into. We are now pushing 6,000 salad bars to schools across the country, primarily in those low-income areas where they can’t afford it but are now getting fresh fruits and vegetables. It’s because of the passion people like you have brought to this,” Tom concluded as the ceremony came to a close.
To the organizers at California Giant Foundation who brought this event to life, the sponsors who give it a foundation and room to grow, the support crew and logistics operators whom without the ride would not be able to exist, and of course the riders, who literally put their blood, sweat, and tears into this cause, I thank you for the honor of five years of getting to see and be a part of such an amazing part of our industry.
NOGALES, AZ - The Fresh Produce Association of the Americas (FPAA) has finalized an exciting list of speakers for its 51st Annual Produce Convention and Golf Tournament. The Convention will be held November 7-9, 2019 in Tubac, Arizona, located just north of one the largest ports of entry for fresh fruits and vegetables from Mexico.
The speakers and valuable education sessions will be held on Thursday, November 7, 2019 and are a good way for visitors to immerse themselves in the Nogales produce industry and the global initiatives and opportunities in the business.
“Every year we work to bring engaging speakers to cover relevant topics that impact our members and their partners in the industry,” said Lance Jungmeyer, FPAA President. “The caliber of speakers and the knowledge they bring to the table is a valuable part of our annual event. This year is no exception.”
This year key produce industry leaders will tell their story about how they became part of the produce industry and their experiences. Story telling speakers include, Raquel Espinoza from Produce House, Walter Ram from Giumarra Companies, and Jaime Chamberlain from Chamberlain Distributing. The keynote speaker this year will be Rick Stein from FMI, who will present on the Power of Fresh.
The FPAA is also excited to present the 75th anniversary celebration of the association itself, through a historical gallery that will be open in the tack room of the resort. Guests will have the opportunity to look through artifacts dating back to 75 years. The association was founded in 1944, first as the West Mexico Vegetable Distributors Association. Later, the name was changed to the Fresh Produce Association of the Americas, to represent the changing nature of the supply chain.
“FPAA has such a great history, and a great future,” said FPAA Chairman Scott Vandervoet. “We can’t wait to share in the celebration and storytelling with our Members and guests.”
To commemorate the history, the FPAA worked on a historical project with Axel Holm, son of Walter Holm, co-founder of the West Mexico Vegetable Distributors Association. This project will also be featured at the historical gallery. There will also be a raffle and treats for guests to enjoy.
Don’t Miss the Culinary Showcase:
Chefs from Arizona and Mexico will take center stage as they incorporate the flavors of produce from Nogales at the event, “4th Culinary Showcase-Top Dishes out of Mexico’s Top Produce.” Attendees will have the opportunity to sample appetizers, learn about different dishes, taste the fresh produce incorporated in the recipes and at the same time enjoy the music of Marimba Sahuaro from Nogales, Sonora.
The FPAA Convention will be held at the Tubac Golf Resort & Spa, which is located a few miles north of Nogales, Arizona. Tubac is also conveniently located just 45 minutes south of the Tucson International Airport. Companies interested in registering for the event or that have more questions are encouraged to contact the FPAA office at (520) 287-2707 or visit www.freshfrommexico.com.
ARVIN, CA — Tasteful Selections® in partnership with RPE, is bringing the newest and smallest item to the potato category. From the family who loves growing bite-size potatoes, we bring you a gourmet treat in the shape of the world’s smallest potatoes—Nibbles!
“We take great pride in being one of the largest grower/producers of bite-size potatoes,” Tim Huffcutt, Marketing Director said. “We are dedicated to innovation, we strive to perfect our bite-size varieties and we maintain our consistent sizing protocols. Through all the work, sometimes we miss the treasure at our own feet. Today, we have found that treasure and we are sharing it with our consumers.”
Measuring in as the smallest potato on the market, Nibbles potatoes provide a unique presentation, with great taste, texture and a variety of convenient cooking options.
“Nibbles are fun, one-of-a-kind-size potatoes with really big flavor,” Huffcutt, said. “Big taste in a really small bite—consumers will love everything about the new potato offering.”
Nibbles potatoes will be making their debut at this year’s Produce Marketing Association (PMA) Fresh Summit Oct. 18-19 in Anaheim, California. Come experience the smallest potato in the world with Tasteful Selections and RPE& at booth 4192.
BAKERSFIELD, CA - The news of Bolthouse Farms’ break from Campbell Soup Company rocked the produce newswire earlier this year. In the interim, the company has been working at breakneck speed to outline expansion plans, product launches, and more. I had the pleasure to speak with Jeff Dunn, CEO, to find out more.
“These past 120 days or so have been about carving ourselves out as an independent company again,” Jeff began. “It’s been about getting back to being a produce company. Essentially, Campbell’s applied a shelf-stable playbook to a fresh agricultural business.”
As Bolthouse blazes down this road, it’s moving ahead with its best agricultural practices and organics programs that push forward its reboot in the produce sector.
“We’re getting back to being intimate with our customers and deepening the relationships with our carrot growers. We’re looking for opportunities to innovate the category and innovate the carrot space,” Jeff detailed for me, before explaining that the company is bringing three, brand-new platforms to this year’s PMA Fresh Summit.
“We have three new beverage platforms: a protein Keto line, a shot line, and a CBD line,” Jeff remarked. “We’ve set a critical milestone for ourselves to re-establish Bolthouse’s growth trajectory and growth strategy.”
Bolthouse prides itself on its mission—of plants powering people—all while turning that vision into products consumers are dying to get their hands on.
“We’re setting the vision about creating a plant-powered food economy and focusing on how we can be a leader in that space,” he noted.
While Bolthouse continues to shake up the sector and bring innovation to its products and mission, I know that the company is in good hands with Jeff at the wheel.
To hear more about the company’s products, expansion plans, and more, be sure to visit the Bolthouse booth #3265 at PMA Fresh Summit.
ARLINGTON, VA - When Lidl US first announced a wave of 25 new stores to open on the East Coast, we thought that was a huge undertaking. However, Lidl recently announced another wave of stores to hit Long Island by next summer. The latest announcement would bring four more stores to the area, and I'm honstly quite jealous.
“We appreciate all the support we have received across Long Island as we prepare to open our first Lidl food markets in the region,” said Johannes Fieber, President and CEO. “Our teams are working hard to get ready and cannot wait to introduce shoppers to Lidl’s award-winning shopping experience. Lidl food markets will bring fresh choices, convenient shopping, and bigger savings to shoppers across Long Island.”
According to the press release, shoppers in East Meadow, Oakdale, Patchogue, and Lake Grove will be among the first to experience Lidl’s simple and efficient approach to grocery shopping and its price-cutting effect in the region. The wave will bring the total number of Lidl food markets to be opened in the region to eight, including stores in Plainview, W. Babylon, Huntington, and Center Moriches, which will open by early next year. As part of the transition, Lidl will remodel Best Market stores currently located in the four communities.
“I am excited for Lidl’s expansion to Long Island,” said New York State Senator Phil Boyle. “Lidl will provide excellent customer service and great savings. From its philanthropic work to its commitment to employees, I proudly welcome Lidl to our community."
Lidl recently announced that all employees working at the new Lidl stores in Nassau and Suffolk counties will receive full medical benefits regardless of the number of hours they work per week.
“I am pleased to welcome Lidl into our community,” said New York State Assemblyman Andrew Garbarino. “Lidl has established a unique approach to grocery that will enhance the experience for Long Islanders. With an attractive store model and streamlined processes, Lidl will bring efficiency for shoppers and greater wages and benefits to its team members.”
With the huge amount of positive responses Lidl has been receiving in recent openings, will U.S.-based grocers like Whole Foods have to rethink their strategies? Keep reading AndNowUKnow as we cover more retail news.
WASHINGTON, DC - Today, the U.S. Department of Agriculture (USDA) imposed sanctions on Nicholas Allen, responsibly connected to Allens Inc., based in Siloam Springs, Arkansas. Allens Inc. failed to pay $9,759,843 to 40 produce sellers for 2,312 lots of produce. This is in violation of the Perishable Agricultural Commodities Act (PACA).
Direct from the USDA Agricultural Marketing Service:
Nicholas Allen challenged the initial determination that he was responsibly connected to Allens Inc. However, the USDA recently affirmed that Nicholas Allen was responsibly connected to the company during the violation period.
As a result, Nicholas Allen may not be employed or affiliated with any PACA licensee until September 25, 2020, and then only with the posting of a USDA-approved surety bond. In addition, Nicholas Allen cannot be licensed in the produce industry until September 25, 2021, and then only with the posting of a USDA-approved surety bond.
The PACA Division, which is in the Fair Trade Practices Program in the Agricultural Marketing Service, regulates fair trading practices of produce businesses that are operating subject to PACA, including buyers, sellers, commission merchants, dealers, and brokers within the fruit and vegetable industry.
In the past three years, USDA resolved approximately 3,500 PACA claims involving more than $58 million. PACA staff also assisted more than 7,800 callers with issues valued at approximately $148 million. These are just two examples of how USDA continues to support the fruit and vegetable industry.
For more information, contacts, and to read the full press release, please click here.
IRVINE, CA - Good morning, AndNowUKnow readers!
Across the nation, overall the weather is calm now. There are however two incidents I would like to bring to your attention. Both involve heavy rains and each take place on the southeastern coastal regions of their respective countries. One incident is happening in Mexico while the other is here in the U.S. Details below…
TWO BIG STORMS CONVERGING IN LIME GROWING REGION OF MEXICO
There are two separate storms converging over southern Mexico this week. One storm has formed off the east coast of the Yucatan peninsula in the Gulf of Mexico while the other is sitting just off the coast of Guatemala in the Pacific Ocean. The combined power of these two storms will produce heavy showers over southern Mexico, northern Guatemala, and the Bay of Campeche. Expect flooding and mudslides, especially in the mountainous regions of Mexico and Guatemala.
Over the next three days, expect rain totals in excess of 6.00” in some of the lime and pineapple growing regions in the states of Tabasco and Oaxaca, Mexico.
The storm off the Pacific coast has the potential of becoming a tropical depression and possibly forming a cyclone by Wednesday. This storm will continue in a west-northwest direction at approximately 10 mph, hugging the coast of Mexico and possibly bringing rain and wind to the other states along the Mexican coast over the next few days.
If this storm continues its current path, it may move into the coastal states of Michoacán and Colima later in the week, which can cause issues with products grown in these regions such as limes, bananas, and berries.
HEAVY RAINS AND COOLER TEMPS COMING TO SOUTHERN GROWING REGIONS TODAY
There is a large storm moving across the southern coastal regions today, bringing heavy rains to Arkansas and southern Georgia.
Expect regions of Arkansas to receive well above 2.00” today while the growing regions of Moultrie, Georgia, will see approximately 1.50”.
Along with the rain will come cooler temperatures. Minimum temperatures in Georgia will drop by 20° tomorrow night, with a low of 70° tonight to a low of 49° tomorrow. These cold temperatures will continue through Thursday night before gradually warming again starting Friday.
Temperatures will rise over the weekend before cooling off again early next week.
We will be off the rest of the week for PMA events, but will be back next Tuesday with an all-new report. Thank you for your support.
WENATCHEE, WA - If you’re feeling a little lost in the sea of PMA booths, let this be your map: at booth #2865, here be dinosaurs! Yes, you read that correctly: dinosaurs! At Fresh Summit 2019, Stemilt Growers will be displaying its latest and greatest display and packaging—including its new dino-sized display campaign, Promosaurus—and celebrating the 30th birthday of its Artisan Organics™ brand.
“Promosaurus is all about building large apple or pear displays to elevate the success of promotions,” began Brianna Shales, Senior Marketing Manager. “Retail scan data proves that a large display footprint during an ad can lead to ten times the normal volume sold. We will showcase just how easy it is to build a display with our fruits to make that number a reality for your categories."
And, speaking of large, Stemilt will also be launching its Artisan Organics 5 lb resealable pouch bags, which will carry organic Gala, Fuji, and Granny Smith apples. As the new packaging option hits retail, the grower will be shipping eight 5 lb Artisan Organics apple bags in a high-graphic master carton that is ideal for building quick displays. This carton also complements Stemilt’s organic-specific Easy Pallet Display.
“The growth in organics has been phenomenal, yet we still have room to grow, especially on organic apples,” continued Shales. “As an industry, we’ve historically placed organic apples in smaller package sizes to help keep the retail price down. Our 5 lb value offering at PMA Fresh Summit goes against that norm and that’s because we want to help organic shoppers (who buy a lot of produce) fill their cart with organic apples. We need big and bold promotions in organics to grow organic apple sales.”
Shales also revealed that “big displays are an important part of a successful apple promotion, often moving up to 10 times the volume when the product isn’t on ad. We see the 5 lb Artisan Organics pouch bag opportunity as a way for retailers to go bigger than they ever have before on an organic apple promotion. Easy pallet displays are another option for retailers to display fruit for either bulk or bag promotions. It’s another way to bring Promosaurus to life inside the store. These high-graphic displays are eye catching, dominant, and do really well in high traffic areas to boost volumes sold.”
At the show itself, attendees can also don their favorite party hat and visit the miniature birthday party for the Artisan Organics brand that will be on display in the Certified Organics showcase. The display will feature quite a few of Stemilt’s organic apple and pear varieties, including new crop Artisan Organics fruits.
“Organics will be on centerstage for us at PMA Fresh Summit as we continue our 30th birthday celebration for Artisan Organics, while also highlighting the promotional opportunities for organics in this year’s apple crop,” Shales said. “Organics are mainstream today, and core organic consumers are big purchasers of produce. We see an opportunity gap at retail to promote larger volumes of organic apples to consumers and will look to promotions of our branded 5 lb bags to help fuel category growth.”
In addition to its Artisan Organics brand, Stemilt Growers will be showcasing its Lil Snappers® and Rushing Rivers® brands. According to a press release, Stemilt is one of the first in the industry to commit to no longer using anti-ripening agents on pears, seeing the use as a barrier to obtaining flavors that would delight consumers. Instead, the grower focuses on its RipeRite™ program and modern ripening rooms to ship pears to retail at ready-to-eat pressures.
“We’ve made a lot of changes in the name of flavor for our Rushing Rivers pears,” added Shales. “PMA is a great time to converse with retailers about their pear category and how we can keep working together to ensure their shoppers are having a great pear experience.”
And, while Anaheim is home to the magic of Disney, Stemilt is bringing the magic of Washington to the PMA show floor: Once again, magician David Harris will be on hand showing off a few slight of hand tricks!
“Of course we have to bring some of our own magic to the show, and David is the perfect way to do that. Overall, we are very excited about this year’s PMA and looking forward to meeting up with retailers in just a few days to show them the endless opportunities they have with Stemilt,” Shales said, before concluding: “It’s been a big year of celebration for Artisan Organics, complete with a fun company birthday party for the brand earlier this year. We look forward to continuing the festivities and discussing opportunities for promoting organics in a big way during PMA Fresh Summit.”
The ANUK team will see you at booth #2865, where, evidently, the magic will be happening—both the produce kind and otherwise! See you there!