An executive transition takes place as the company’s 12-year CEO departs and this experienced leader is named successor…
And Now U Know - Fresh Produce Industry News

late EDITION — 10/30/2024

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Wed. October 30th, 2024 - by Melissa De Leon Chavez

EMERYVILLE, CA - Top level leadership has changed at Grocery Outlet. The company has announced that effective immediately, Eric Lindberg has been appointed Interim President and Chief Executive Officer, replacing RJ Sheedy, who has stepped down from the position and resigned from the company’s Board of Directors. The Board has now tapped a leading global executive search firm to begin the process of identifying a permanent CEO.

Eric Lindberg, Chairman of the Board, Interim President and CEO, Grocery Outlet
Eric Lindberg, Chairman and Interim President and Chief Executive Officer, Grocery Outlet

“On behalf of the Board, I want to express my deep appreciation to RJ for his contributions to Grocery Outlet over the past 12 years,” said Eric Lindberg, who is also currently Chairman of the Board. “RJ played a critical role in scaling and evolving our business and has set the stage for continued strong growth in the future. The fundamentals of our business—the significant value and treasure hunt shopping experience we bring to customers—remain strong and the runway in front of us is substantial. I look forward to working with our employees, independent operators, and supplier partners to deliver outstanding execution on our strategy and unlock Grocery Outlet’s earnings potential.”

With more than three decades of leadership experience at the Grocery Outlet, Lindberg brings a deep knowledge of its operations and strategy.

Eric Lindberg was appointed Interim President and Chief Executive Officer after RJ Sheedy announced his departure from the position and resigned from the company’s Board of Directors

He previously served as CEO or Co-CEO from January 2006 through December 2022, during which he led Grocery Outlet’s transformation from a closely held family-owned business to a sponsor-backed private company, taking on significant outside capital from Berkshire Partners and Hellman & Friedman, and then ultimately to a publicly traded company in 2019, a press release explained.

Erik Ragatz, Lead Independent Director, Grocery Outlet
Erik Ragatz, Lead Independent Director, Grocery Outlet

“Grocery Outlet is an exceptional business with an almost 80-year track record of generating outsized growth and returns through its highly differentiated business model,” said Erik Ragatz, Lead Independent Director. “We are fortunate to have a leader of Eric’s quality and experience to shepherd this transition. The Board looks forward to working with Eric to drive the business as we search for our next leader who will guide our mission of 'Touching Lives for the Better,' delivering Grocery Outlet’s unique offering to millions of existing and new customers and, in the process, producing outstanding returns for our shareholders.”

Under Lindberg’s leadership, Grocery Outlet increased its store count by more than 250 percent and its net sales by nearly 500 percent, expanding to markets across the country. Lindberg has served as a Director since January 2006 and as Chairman of the Board since January 2023.

To read the full release, click here. We will keep you covered on all industry updates, so flip back to our pages.

Wed. October 30th, 2024 - by Anne Allen

SOUTH LAKE TAHOE, CA - California’s higher elevation regions are preparing for some cold, wet conditions as a cold system prepares to arrive from the Gulf of Alaska. Regions from Truckee to South Lake Tahoe will be seeing early precipitation throughout the rest of this week. 

According to reports from ABC 10, a Weather Impact Alert has been issued for Thursday and Friday in the Sierra for inches of snow at pass level and as much as one to two feet for the peaks and summits. 

Snowfall is expected to arrive late tonight through Friday, resulting in as much as nine inches at the passes to as much as 24 inches at the peaks. As the source noted, that would put the Central Sierra Snow Lab at around 12-20 inches at 6,768 feet in elevation; for November 2, the average is 6.3 inches.

California’s higher elevation regions are preparing for some cold, wet conditions as a cold system prepares to arrive from the Gulf of Alaska

This early precipitation could be a sign of a good snow season for the state, though it's currently too soon to forecast what winter may have in store.

This water year spans from October 1, 2024, to September 30, 2025. The average snowfall for an entire water year is 360.24". Last water year, California saw above-average snowfall at 384.28". The year before that was the fifth snowiest year on record, reaching 755.8" of snow.

For more updates on the weather and California’s water source, keep reading AndNowUKnow.

Tue. October 29th, 2024 - by Chandler James

UNITED STATES - Consumers expect the berry patch to be ripe and ready year-round. With the holidays now underway here in the States, blueberries in particular are one superfood on shoppers’ plates for breakfast, lunch, and dinner. Recent reports showed that demand is exceeding supply in the category, so I got in touch with some industry experts.

Tim Youmans, Vice President of Sales, California Giant Berry Farms

“Trade demand for blueberries is very high and has been for multiple weeks due to delayed supply increases from both Mexico and Peru,” California Giant Berry Farms’ Vice President of Sales Tim Youmans stated. “Pricing has kept pace with demand but will start to taper down, commensurate with the increase in volume expected over the next few weeks. Quality has been excellent, and consumer demand strong.”

According to The Source, offshore blueberry supplies are now arriving at ports on both coasts. The majority of supplies are currently being delivered to the East Coast, but product will be making its way to the West Coast shortly as the Peruvian season ramps up. Volumes from Mexico will also be arriving in the States as we move into November.

Reports from California Giant Berry Farms and Homegrown Organic Farms detail strong demand for blueberries heading into the holiday season

“At this time, demand exceeds supply and is expected to continue throughout October and possibly early November,” Jacob Gracia, Imports Category Manager at Homegrown Organic Farms, added. “Volume out of Mexico is projected to increase in November and we anticipate improved supply into the holiday season.”

From cocktails to desserts and even classic savory dishes, blueberries will be incorporated across all eating occasions throughout the holiday season. Their nutritional properties make for an immunity-boosting addition to any recipe, and trends show that consumers are becoming more experimental in the kitchen.

“The market should be well supplied with blueberries just in time for the Thanksgiving holiday—giving shoppers the opportunity to add unique colors and flavors to their holiday menu,” Tim continued. “California Giant Berry Farms is positioned well to service our customers with high-flavor and superior-quality berries as we move into November and the winter months.”

ANUK has you covered on all category updates this holiday season, so stick with us.

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And Now U Know - Fresh Produce Industry News

morning EDITION — 10/30/2024

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Zespri™ The final shipments of the producer's largest-ever crop set sail for these international markets. Jason Te Brake discusses... by Stephany Robayo View

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Tue. October 29th, 2024 - by Melissa De Leon Chavez

GRAND RAPIDS, MI - SpartanNash is at it again, announcing that it has entered into an Asset Purchase Agreement with Markham Enterprises, Markham Oil, and its affiliates, a three-store chain of convenience stores and fuel distributors in mid-Michigan.

Masiar Tayebi, Executive Vice President and Chief Strategy and Information Officer, SpartanNash

“Markham Enterprises fits well in our current retail portfolio, as we look to expand our fuel center and convenience store footprint,” said Masiar Tayebi, Executive Vice President and Chief Strategy and Information Officer, SpartanNash. “We are in the process of refreshing many of our existing fuel centers, so this acquisition is another exciting milestone in our investment in this part of our business—and in our strategic growth plans overall. We will continue to leverage insights from our fuel centers and convenience stores to continuously innovate our products and operations across our wholesale business, unlocking new customer potential.”

Following the closing of this transaction in early December, SpartanNash will continue employment of Markham Enterprises’ 42 team members.

SpartanNash has entered into an Asset Purchase Agreement with Markham Enterprises, Markham Oil, and its affiliates

According to a press release, this deal follows the company's acquisition of Fresh Encounter, announced earlier this month.

Denise Markham, President and Chief Executive Officer, Markham Enterprises

“Our team is impressed with SpartanNash's business model and the importance they place on their People First culture,” said Denise Markham, President and Chief Executive Officer, Markham. “We are excited for the ways SpartanNash will expand this business and continue to serve the Perry, Howell, and Lansing communities—and our associates.”

The transaction is expected to close in December. Terms of the deal were not disclosed.

Did you know ANUK reports on news in our industry every day? Don’t forget to click back!

Tue. October 29th, 2024 - by Peggy Packer

CHELSEA, MA - Nothing says colder weather recipes like hard squash and Brussels sprouts! The produce aisle will abound with these offerings in the coming months, and Morning Kiss Organic has the supplies to meet rising demand. The grower has announced the availability of five varieties of organic squash—Butternut, Acorn, Spaghetti, Buttercup, and Delicata—and organic Brussels sprouts.

“Squash varieties like Butternut, Acorn, and Spaghetti, along with our organic Brussels sprouts, are quintessential to fall dining, and we are thrilled to offer consumers these organic options,” says Mike Guptill of Morning Kiss Organic.

In addition to squash, Morning Kiss Organic is proud to offer organic Brussels sprouts. These bite-sized delights are rich in vitamins C and K, folate, and fiber, a press release noted. Known for their potential to support immune health and reduce inflammation, Brussels sprouts are a great addition to any diet. They can be enjoyed roasted, sautéed, or even shredded in salads.

Morning Kiss Organic announced the availability of five varieties of organic squash—Butternut, Acorn, Spaghetti, Buttercup, and Delicata—and organic Brussels sprouts

Working closely with East Coast suppliers, including local New England farms, Morning Kiss anticipates an excellent crop this season. Both squash and Brussels sprouts are not only hydrating but also packed with antioxidants, vitamins, and essential minerals. Their versatility makes them perfect additions to meals, whether served as sides or featured in plant-based main courses.

As part of its commitment to sustainability, Morning Kiss Organic utilizes just-in-time inventory management to minimize product spoilage, ensuring retailers can maintain profitability while providing fresh produce to customers.

I know I am one consumer who can’t wait to add these offerings to my basket!

Tue. October 29th, 2024 - by Anne Allen

DENVER, CO - Household penetration is always a hot topic in the produce industry. Exemplifying the power that potatoes have in the produce aisle, Potatoes USA recently released its latest sales data. It states that 85.2 percent of households purchase fresh potatoes at nearly 11 times per year. Potatoes are not only a beloved choice but also a top performer in the produce section.

Nick Bartelme, Global Marketing Manager of Retail, Potatoes USA

“Potato dollar sales remain strong, generating $4.4 billion over the past year,” said Nick Bartelme, Global Marketing Manager of Retail, Potatoes USA. “Their consistent ranking in the top five fresh produce categories, among 130 categories, for dollar sales demonstrates remarkable resilience in the face of challenging market conditions.”

As a powerhouse in produce sales, potatoes account for 9.7 percent of total produce pounds and 21.1 percent of all vegetable pounds, making them the top seller in fresh vegetables by volume, according to a press release. Potatoes continue to be a top seller and play a major role in retail success.

From June 2023 through July 2024, potato sales contributed an additional $1.3 billion in sales when compared to sales in June 2018-2019 prior to the pandemic. In addition, those same 12 months represent the second-highest potato volume sales in six years with an additional 322 million pounds moved compared to pre-pandemic (2019). This upward trend in sales and volume growth is a testament to strong consumer demand and the value that potatoes bring to retailers’ bottom lines.

Potatoes USA has released its latest sales data, showing that 85.2 percent of households purchase fresh potatoes at nearly 11 times per year

“As we’ve shared with retailers before, one of the most promising insights from this year’s study is the potential for further growth,” said Bartelme. “If just half of the households that currently purchase potatoes were to make one additional purchase per year, it could drive a potential $218M in sales and 231M extra pounds, significantly impacting the market. Retailers could see major gains from this simple shift in consumer behavior.”

With 85 percent of households already buying potatoes, this increase in purchasing frequency could yield considerable growth for both growers and retailers, the release noted.

“Potatoes continue to be a reliable, year-round sales powerhouse for produce departments, contributing significantly to retail success,” Bartelme added.

For more category insights, ANUK has you covered.

Tue. October 29th, 2024 - by Stephany Robayo

NEW ZEALAND - Zespri™ is spreading the joy of kiwifruit all around the globe! The grower’s last charter vessel of the 2024 kiwifruit season has departed the Port of Tauranga bound for Japan, and around 4,610 tonnes of Zespri Green Kiwifruit are onboard and expected to reach Tokyo at the start of November, before sailing onto Kobe.

Jason Te Brake, Chief Executive Officer, Zespri™
Jason Te Brake, Chief Executive Officer, Zespri™

“Fruit quality this season has been some of the best we have seen in the past five years and we’ve been hearing great feedback from our customers in market, which is positive when we have a lot more fruit to sell and to meet the strong demand we’re seeing across our markets,” started Jason Te Brake, Chief Executive Officer. “The New Zealand sales season is expected to wrap up for SunGold in Europe at the end of this week, while Green will run through to the end of November, and the season will finish up in late November/early December in Asia.”

There has been significant effort from the industry this season to deliver a record crop of more than 190 million trays (684,000 tonnes) to more than 50 markets around the world, a press release shared. Zespri has used 62 charter vessels to ship this season’s kiwifruit from New Zealand, including three to Northern Europe, 13 to the Mediterranean, three to North America’s West Coast and 43 to Asia. That’s up from 51 charter vessels last season, with the season’s final container shipments carrying the remaining 4,400 tonnes of the crop, also expected to conclude in the coming weeks.

Zespri™'s last charter vessel of the 2024 kiwifruit season has departed the Port of Tauranga bound for Japan, with around 4,610 tonnes of Zespri Green Kiwifruit

“Our sales and marketing teams are focused on maintaining strong sales rates to ensure we close the season well and deliver the best possible result to our growers. Europe’s been performing really strongly with France a particular standout, along with strong sales in Germany, Spain, and the Netherlands,” added Te Brake. “In the U.S. we continue to be the number one kiwifruit brand driven by strong SunGold performance.”

The release went on to note that in response to increasing demand and intensifying competition, Zespri has been discussing the expansion of ZGS with New Zealand producers and will confirm shortly if it will be holding a producer vote to plant more hectares of Zespri SunGold Kiwifruit in the northern hemisphere.

There has been significant effort from the industry this season to deliver a record crop of more than 190 million trays (684,000 tonnes) to more than 50 markets around the world

“In Asia, it’s been a huge season in Greater China with volume up 40 percent on last year and we continue to buck the trend in fresh produce with both value and volume up year-on-year. In difficult market conditions, sales have also been tracking well in Japan and Korea,” said Te Brake.

To get all the details, check out the full release here.

When you’re craving an industry update, click back to AndNowUKnow for more.