CORAL GABLES, FL - Del Monte Fresh Produce recently announced that it has signed an agreement with RENE Produce to form a joint venture. The two companies will sell and market tomatoes and other products grown in Mexico to customers in the U.S. and Canada.
“We are very excited to join forces with RENE, one of Mexico’s outstanding fresh produce operators,” said Dennis Christou, Vice President of Marketing at Del Monte, in a company press release. “The joint venture with RENE will allow us to sell and market Round, Roma, Specialty, as well as Organic tomatoes on a year-round basis in the U.S. and Canada. We are also looking forward to working with RENE in the development of diversified vegetables, including some of our proprietary varieties. RENE’s expansive farming operations have been augmented in 2015 with the addition of greenhouses in the state of Jalisco. Combined with our iconic Del Monte® brand, unparalleled distribution footprint, and customer portfolio, this joint venture further demonstrates our continuous commitment to the category.”
Christou added that another area in which the two companies complement each other is their commitment to sustainability, as well as community.
“RENE has an excellent reputation for the strong support they provide to their employees and their families,” Christou continued. “Like Del Monte, RENE has been supporting their employees and their families with housing programs, child education services, breakfast programs for children, and community healthcare clinics.”
Rene Carillo, CEO of RENE Produce, stated that, “As growers, our aim has always been to live by our philosophy of Reliability, Always. We feel very strong about our growing operations, and now with the joint venture with Del Monte, utilizing their superb Sales/Marketing team, we feel we can be one step closer to customers in their marketplace.”
For the latest in fresh produce updates, stick with us at AndNowUKnow.
WASHINGTON, D.C. - The U.S. Department of Agriculture (USDA) has imposed sanctions on three produce businesses for failure to pay reparation awards issued under the Perishable Agricultural Commodities Act (PACA).
According to a press release, the following businesses and individuals are currently restricted from operating in the produce industry:
- Global Produce Trade Inc., operating out of Signal Hill, Calif., for failing to pay a $43,350 award in favor of a North Carolina seller. As of the issuance date of the reparation order, Paulina Romero Marin, Letitia Romero Marin and Sergio Ledesma Ramirez were listed as the officers, directors and/or major stockholders of the business.
- Classic Produce, operating out of Bronx, N.Y., for failing to pay a $114,400 award in favor of a Texas seller. As of the issuance date of the reparation order, Vianney Capellan was listed as the officer, director and major stockholder of the business.
- Border Produce Services LLC, operating out of McAllen, Texas, for failing to pay a $7,892.00 award in favor of a Texas seller. As of the issuance date of the reparation order, Arturo J. Garcia was listed as a member of the business.
PACA provides an administrative forum to handle disputes involving produce transactions; this may result in a reparation order being issued 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 3,400 PACA claims involving more than $58 million. PACA staff also assisted more than 8,500 callers with issues valued at approximately $151 million. These are just two examples of how USDA continues to support the fruit and vegetable industry.
CASHMERE, WA - It’s that time of the year where it seems like the only thing on everyone’s mind is apples, apples, apples! While harvest is kicking off left and right in some of the best growing regions around the country, Crunch Pak is turning its focus onto one variety in particular as this year’s apple-to-watch.
“Honeycrisp is a hugely popular apple that everyone is looking to get their hands on—we are excited to provide a product that satisfies growers, packers, customers, and, ultimately, the end consumer,” Megan Wade, Product Development Manager, tells me. “With total crop volume on the rise for the last five years, Crunch Pak has access to more high-quality fruit than ever, which is helping us provide our customers with tailored strategies and products this season.”
Set to start hitting the market the week of September 17th, Crunch Pak is debuting a refreshed 12 oz bag design as well as several innovation items featuring Honeycrisp apple slices retailers will want to feature front and center in their produce aisles.
“We are anticipating a great season with really good quality. So far, the weather has been really great for the Honeycrisp and we are targeting our slices reaching the market this week,” Mike Auvil, Procurement Manager for Raw Product, says. “The fresh crop is up 20 percent and we plan to expand our own line to more customers as there is more supply available.”
Because the beginning of apple season coincides with back-to-school, Megan explains that Crunch Pak’s Honeycrisp variety is the perfect high-volume item to fit into shoppers’ busy calendars as they adjust to the changing season and the new routines that come with it. To emphasize that to shoppers, Crunch Pak is working closely with its retail partners to provide highly visible, attention-grabbing packaging, promotions, and consumer savings.
But, it is apple season, which means there are quite a few brands and varieties vying for shelf space and consumer interest, leading me to ask Megan what sets Crunch Pak’s Honeycrisp variety and offerings apart from competitors.
“One of Crunch Pak’s points of differentiation in a very competitive and fast-paced category is our ownership of raw product. We can react quickly to crop conditions as well as consumer preferences. We see buyer and consumer focus on organic and have product lines that reflect that demand, including everything from snack trays to large foodservice options,” Megan notes. “Additionally, we connect directly with our consumers by using social media. It’s a great way to crowdsource trends and preferences.”
You heard it here first, it’s the season of the Honeycrisp and retailers around the country won’t want to miss out on this hot variety.
SALINAS, CA - The annual produce transition from Salinas, CA, to Yuma, AZ, is on the horizon and signs are pointing positively according to The Nunes Company. I recently checked in with Sales Manager John Amaral and Vice President of Sales Doug Classen to get an idea of what this year’s transition will look like for the leafy green provider.
“We anticipate continued success and growth in the organic production, which now includes over 35 organic items to complement our conventional product line of 40 items,” said Doug.
In comparison to last year’s transition to Yuma, harvest for iceberg lettuce in Huron is scheduled to begin anywhere between October 15 and October 20.
“There are no interruptions at this time,” John explains to me when I ask what hallmarks the company is expecting during the transition. “In Salinas, most crops are half a week to one week ahead of schedule heading into October.”
Further down the road, the first week of November is when the company will begin harvesting its other products in addition to iceberg—such as its broccoli, cauliflower, and other leafy greens. Both John and Doug tell me that anticipated volumes will be similar to last year, depending on the weather as always, but so far everything is in place for a smooth start to the Arizona season.
For the latest in crop updates, stick with us at AndNowUKnow.
STELLARTON, CANADA - Rocking the industry this a.m. is Empire Co Ltd.’s announcement that the Sobeys-parent-company will be acquiring privately-held and Ottawa-based grocer Farm Boy Inc., which is valued at $800 million Canadian dollars, in an effort to boost its presence in Ontario and more.
The newest retailer to join the Empire lineup specializes in farm-to-table wholesale, but it will have to jump through a few hoops before its roots settle. The company will be acquired by Berkshire Partners, following which it will settle as a separate company within Empire’s structure.
“This is a great addition to our portfolio at a time when we are moving from defence to offence. We believe that with the leadership of our new colleagues, current CEOs Jean-Louis Bellemare and Jeff York, we can turbo-charge Farm Boy’s growth. We intend to enable the leadership team of Farm Boy to do what they do best—grow a highly successful retail format at double digit rates,” added Empire President and CEO, Michael Medline, according to a press release. "As we continue to make excellent progress with Project Sunrise and emerge from the heavy-lifting phase, we are excited to advance our growth agenda with this powerful and proven concept."
As part of the deal, 26 Farm Boy locations will strengthen Empire’s stance in markets like Toronto and southwestern Ontario, according to a press release. New sites will pop up and some existing Sobeys locations will convert into the new Empire banner. Medline shares that the company hopes for Farm Boy’s business to double in size.
“Farm Boy is a superb strategic and financial acquisition. It strengthens our reach in the key Ontario and GTA markets, it will be a growth vehicle in urban and suburban markets, and its very strong private label program will bolster our Ocado-driven e-commerce business,” said Medline. “Farm Boy has a best-in-class brand with stellar customer loyalty. Its fresh, ready-to-eat and private label offerings are particularly appealing to urban and suburban consumers – it truly is ‘all about the food’ at Farm Boy. We believe we will be able to build on their historical industry leading same-store sales growth of 5.3% and five-year EBITDA CAGR of 21% to double the size of the business in the next five years.”
Further, Farm Boy products will join Sobeys’ Ocado-based e-commerce business that is set to launch in the Toronto area in 2020.
Farm Boy’s current Founder and Co-CEO Jean Louis Bellemare and Co-CEO Jeff York will continue to lead, and they have also agreed to reinvest in the company return for a 12 percent interest of Farm Boy’s continuing business, according to the news source.
At the beginning of 2019, the deal is expected to close, subject to closing terms.
“As you prepare for the next phase of growth, you don’t just team up with anyone. Empire understands what it will take, shares our vision for the brand, and in President and CEO Michael Medline, and CFO Mike Vels, we have access to executive leadership with deep experience in making acquisitions like this successful. We had many choices, but our trust and confidence in Empire and its dedication to our brand and its growth made this the perfect partnership,” Bellemare shared.
York shared in this sentiment and looks forward to the prospects with this next move.
“What an extraordinary opportunity for Farm Boy. Together with Empire, an iconic Canadian brand with a national grocery presence, Farm Boy will significantly accelerate its growth agenda,” York commented. “We will strengthen the already strong Farm Boy brand, starting with urban and suburban markets in Ontario and eventually rolling out to other areas of Canada. We are particularly excited by the eventual reach of the Ocado e-commerce platform and can’t wait to showcase our high-quality, local products to many more Canadians.”
For more news on how retailers are banding together to strategically strengthen business, stick with AndNowUKnow.
SACRAMENTO, CA - Hello again! It’s us, The Snack Magazine, with another round of our Find the Apple contest! So, get those fingers a-going and send us a photo of yourself pointing out the AndNowUKnow logo on the September issue of The Snack for a chance to win $100 cash.
If you haven’t received a hard copy of this month's issue that features a gorgeous green pear, click here for the digital cover and try your luck. But before you snap that selfie—or have a teammate do it for you —be sure to do the following:
Show your face
I know it’s Monday, but we still want to see your beautiful, smiling faces!
Be sure you are pointing at the AndNowUKnow apple logo
Pictured below is what our logo looks like, but it certainly won’t be that easy to spot!
If you can answer yes to both questions, email your photo to [email protected] to qualify; the race starts now! Remember that we choose two winners, one from the buy-side and one from the supply-side.
Join the coveted winners circle with the likes of:
- Irene Jamarillo of Beachside Produce
- Laura Bartlett, Beachside Produce’s Sales and Marketing Administrator
- Two-Time victor Danny Ortiz of Sysco
- Sobey’s Produce Sourcing Specialist, Organic Dry & Wet Veg Lead, Monina Knox
- Sherry Harper of Beachside Produce
- Francesca Fordice of J. Marchini Farms
- David Carrick of EarthFresh Foods
- Jennifer Velasquez of Golden Sun Marketing
- Kate Reeb of Veg-Fresh Farms
- Scott Hakes of Ciruli Brothers
Interested in receiving a copy of The Snack so that you’ll be prepared for our next challenges? Subscriptions are valued at $129 per year, click here to subscribe.
BAKERSFIELD, CA - When it comes to fresh produce, keeping it short and sweet is always best. Matching the namesake of its label and the industry’s need to get to the point, Western Veg-Pro has introduced its Short N Sweet Market Updates. A twice-weekly newsletter, the recently launched tool looks to ensure retail partners have the inside track to all it offers.
“We want to keep our customers informed and further enhance our business-to-business communication. In our industry, knowledge is power, and this will give retailers and those we work with everything they need to know every Tuesday and Friday,” Dylan Lym tells me.
In these updates, subscribers can expect everything from crop and weather updates, to voices from the company and even recipes to inspire cross-merchandising and retail strategies. And because Western Veg understands the inbox can get crowded, it’s offering an extra incentive to show you Short N Sweet’s merit.
“We are sure once buyers try this they will find it valuable, so we are offering the chance at a $100 giveaway for those who subscribe now through December 31,” Dylan reveals.
This is just the beginning, he assures me, as the company also looks to increase its consumer-facing content through its Short N Sweet website. A taste of what that boost has to offer might even make its way into the market updates now and then for operators to see the company’s market and brand strategy on the shoppers’ side.
Curious? You can subscribe here, and might even find yourself $100 richer. Still need convincing? Western Veg-Pro will be holding an exclusive event at PMA Fresh Summit in Orlando Florida, October 19-20. Keep an eye out for more information on where you can see what this expanding company has up its sleeve.
ZAANDAM, THE NETHERLANDS - Ahold Delhaize introduced a new store concept last week. The Delhaize banner opened the first iteration of a new convenience-focused supermarket based on the brand’s recently updated positioning.
"Delhaize is listening more than ever to its customers in order to respond even better to their current needs,” said Delhaize CEO Xavier Piesvaux, in a press release. “I believe that we have succeeded with this new store, and we will soon launch even more new concepts.”
In that press release, the company noted that the new store concept was developed after a thorough analysis of customer needs; it leaves the classic store design to respond to the ever-evolving expectations of today’s consumers.
The renewed store location opened September 20th, 2018 in Nijvel, Belgium. It’s the first of nine newly reconceptualized stores expected to open in 2018, and the company is launching an additional 36 more in 2019. The remodels are part of an ongoing commitment on the part of the Delhaize brand to invest €200 million ($235.27 million USD) each year to renovate its owned and independent stores.
The new stores will feature the following:
- A “Fresh Atelier” offering ready-to-eat meal solutions freshly prepared on a daily basis, using recipes that contribute to a balanced diet. In order to combat food waste, the company plans to use fruit juices and soups of the day made using unsold products from the fruit and vegetables department
- A “fresh triangle” that the brand calls “the heart" of Delhaize’s new store concept. The fresh triangle includes the bakery department, fruits and vegetables, prepared meals, sushi, fish, meat, a new concept butcher’s shop, cheese and charcuterie, and a vegetarian range of products—all staffed by expert associates
- A wider selection of products—as many as 20,000 in-store items—and a spotlight on organics and environmentally friendly formats such as the bulk department
The new concept store will also offer digital channel shoppers a more streamlined experience. The store offers both “Collect,” which enables customers to pick up products they have ordered via Delhaize.be, and the chance to order online while shopping through five screens positioned within the store.
To read more about the new store format, click here.
AndNowUKnow will continue to report with important retail news.
SAN FRANCISCO, CA - For the first time since 2012, Del Monte Foods is undergoing a massive rebranding initiative that shines a light on its relationship with growers, health, and produce.
The move was orchestrated by its new Chief Marketing Officer, Bibie Wu, who started in March of this year and has hit the ground running with the marketing launch.
Wu worked with Doner LA to create the company’s first branding work since starting her role: “Growers of Good,” a video exemplifying its new strategy. This piece is part of a larger whole that includes TV spots that will air on TNT, TBS, Lifetime, Food Network, Cooking Channel, Bravo, and TLC. In addition to getting some time on the small screen, the campaign will get some digital and social media love, spanning the company’s platforms.
“We believe our brand can help provide delicious nutrition to today’s busy families and also connect with consumers on a personal level by telling the story of how we care for the produce, the farms, and our environment today—and how that will benefit our world tomorrow, so we can nourish families for another 100 years,” Wu shared in a Q&A with Marketing Daily.
The goal for the campaign is to focus on the company’s relationship with its farmers, the communities that it serves, and its natural resources.
“We previously pursued individual campaigns to support each of our businesses: vegetables, which were more meal-centric, and Del Monte Fruit Cup Snacks, which were more for snacking and lunches. We feel it’s time to reconnect the brands under this platform, given the product innovation we are planning, and to drive more scale and efficiency across the portfolio,” she commented
Wu explained the approach builds on Del Monte Foods' most recent vegetable advertising, which has been focused on the product benefit of three simple ingredients: Just green beans, water, and a dash of sea salt.
"The new campaign brings all subcategories—vegetable, fruit, and tomato—under the Del Monte brand together under the ‘Growers of Good’ message,” Wu said. “The new direction plants us firmly in our great farming heritage but also moves the brand forward to connect with consumers of all ages, including millennials, about what matters most to them: families and communities.”
The company’s campaign is integrating more digital and social aspects, but it continues to focus on strong ROIs on its TV investment, as well as coupons supporting item launches, a Pinterest partnership, and PR and shopper marketing.
How will Del Monte Foods' new marketing measures increase interest in the growers our industry knows and loves, and will that transform the face of produce, fresh and beyond, in other ways as part of a ripple effect? AndNowUKnow will keep you updated with the latest.
LONDON, UK - A UK grocer sentenced to 16 years in prison for his role in smuggling cocaine in crates of pomegranates, watermelons, strawberries, cauliflower, and broccoli is back in court this week.
John Fowler, who operated a greengrocer in the Covent Garden neighborhood of London’s West End, has been ordered to pay back more than £416,739 in profits he had gained through the drug trade—more than $540,000 USD—or face additional years in prison, according to the Evening Standard.
Fowler was described by the Standard as a “top lieutenant” and “right-hand man” of Kevin Hanley—a “top, top man” in the cocaine trade who transported “vast quantities of cocaine,” sourced from Venezuela, across Europe and the UK. Fowler was the front for the operation that ferried through at least £5 million ($6,452,000) of drugs.
Fowler appeared in court via video link from prison—and detailed plans to sell assets, including a flat in Bermondsey, to settle his debt. If Fowler fails to pay his debt in a timely fashion, he may face another four years in prison.
For more produce news, keep reading AndNowUKnow.