IRVINE, 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 where the rain is falling, the sun is shining, and everything in between.
Snow Totals Above Normal in Most of the West
The graph below shows snow totals in the major mountain ranges in the West as it relates to water created later in the season. All the blue and green is great news because this represents above average numbers. The highest snow to water totals are in the Sierra Nevada Mountains of California which is great news for farmers of the San Joaquin and Sacramento Valleys.
The mountain ranges in Colorado and Utah, which supply water to the desert growing regions of southern California and Arizona, are also above average so far this year.
This year’s storms in the West are a dramatic change compared to last year, which was extremely dry. This year's numbers are about 200 percent higher than last year's totals. This will be good for all the reservoirs in the Western states.
Lake Mead outside of Las Vegas is only at 40 percent of capacity and in very dire straits. Normal capacity is about 75 percent. Before this winter, there was fear of levels dropping too low to pull water from the reservoir. Hopefully, this year will recoup some water.
The Cascade Mountains of Washington and Oregon are below average so far this year, but with the overall totals they get throughout the year being down a small percentage, this should not affect them overall.
We will check back on this in a month. As of right now, it appears there will be plenty of water this summer for all crops coming out of California.
California Wine Country to Flood in the Next Few Days
Wine grape growing regions of California will see heavy flooding over the next few days. They are expecting up to 9 inches in some areas. This same storm will dump water into the Sacramento Valley region of California as well.
COASTAL CALIFORNIA
The growing regions of Oxnard, Santa Maria, and Salinas will see a chance of rain this week. There is small chance of rain for Wednesday and then a larger chance for Saturday. Oxnard could see up to 0.5" of rain on Saturday. Santa Maria may see about 0.15" on Wednesday and then another 0.5" on Saturday. Salinas is expecting a light shower for Wednesday and then more rain on Saturday.
FLORIDA
Rain is coming to Florida today and tomorrow. Belle Glade, Immokalee, and Plant City are all expecting over 1" in the next two days. Temperatures are expected to be stable over the next 10 days with maximum temperatures in the mid-80°s and minimum temperatures in the mid-60°s. After tomorrow, there is no more rain in the 10 day forecast.
MEXICO
Culiacán is beginning to heat up once again. Last night's low temperature was 52°—the first time it has been in the 50s in over a week. Today's maximum temperature will be 92° with a minimum temperature of 53°. The remainder of the week will see highs in the 90s and lows in the mid-50s. I would expect volumes to increase a bit on all items coming out of this region.
Ciudad Obregón, Sonora, is expecting a chance of rain at the beginning of next week. Right now the forecast is for light showers on Monday, Tuesday, and Wednesday. This is a growing region that is getting ready for its spring season.
The Bajío region of central Mexico is experiencing perfect growing conditions right now. Maximum temperatures are in the mid-80s and minimum temperatures are hovering around the 50 mark, with no rain in the 10 day forecast. We should see good quality on wet vegetables coming from this region right now.
The berry regions of central Mexico are also experiencing perfect conditions. The main areas in the state of Michoacán and Guanajuato currently have high temperatures in the mid-80s and lows in the low-50s down to the high 40s depending on the exact location.
Thank you again for your support, and we will be back later this week with another update.
SYDNEY, AUSTRALIA - Brambles announced yesterday that it plans to sell its IFCO reusable plastic container (RPC) business to buyout firm Triton and Luxinva—a unit of the Abu Dhabi Investment Authority—for an enterprise value of $2.5 billion.
“The sale will allow Brambles to focus on our strategic priorities and to pursue continued revenue growth within our core markets, while also reviewing additional opportunities in emerging markets, through product and service innovation and use of technology through the supply chain. Our ambition remains to lead the platform pooling industry in customer service, innovation, and sustainability,” stated Brambles’ CEO Graham Chipchase, in a press release.
The transaction is subject to customary regulatory approvals and is expected to be completed during the second quarter of 2019.
"In August 2018, we announced that we would seek to separate IFCO through either a demerger or a sale by way of a dual-track process,” Brambles Chairman Stephen Johns said. “As well as progressing the demerger option, a robust and competitive sale process generated strong interest. We are pleased today to announce the sale of IFCO, which we believe delivers greater value for shareholders, including a significant return of cash proceeds to shareholders. The IFCO team has been an important and valued part of the Brambles business, and on behalf of the Board I’d like to thank them for their contribution over the past eight years. The interest shown in IFCO during the separation process is testimony to how highly appreciated the IFCO business is, and we wish Wolfgang Orgeldinger and his team every success in the future.”
The press release noted that IFCO generated revenues of $1.1 billion, EBITDA of $248 million, and underlying profit of $133 million.
For the latest in sales, acquisitions, and more, stick with us at AndNowUKnow.
TORONTO, ONTARIO - Consumers already know Walmart has their back for fast and convenient food, but what about for healthy options? In an effort to offer both ease and health to its shoppers, Walmart Canada is inviting Freshii products into the fold. Walmart Canada will offer a large, curated selection of salads, wraps, lunch kits, snacks, and cold pressed juices at 100 stores and online at Walmart.ca by the end of April.
“We are always looking for new ways to offer our customers an expanded product assortment and added choice,” said Bertrand Loumaye, Chief Merchandising Officer, Walmart Canada. “We are pleased to collaborate with Freshii, a well-loved, local Canadian brand to bring our customers nutritious and on-the-go options in an affordable way.”
To date, Walmart Canada is the only supermarket to offer Freshii’s fresh grab and go products, according to a press release. The fast-casual chain said it continues to be driven by the goal of making superfoods such as kale and quinoa convenient and affordable for everyone.
“We are excited to collaborate with Walmart Canada to bring healthier, fresh food to every neighborhood,” said Freshii Founder and CEO Matthew Corrin. “Reaching Walmart Canada’s clientele is a huge step for our brand, and we look forward to winning the hearts of their customers.”
Will Walmart stores in U.S. and Mexico follow in their Canadian brethren’s footsteps? Time will tell, then ANUK will follow.
IRVINGTON, NY - BrightFarms is kicking its expansion plan into high gear to ensure more consumers in markets across the U.S. have access to local produce. This week, the grower announced more details of its plans, including new sustainable greenhouse farms in New England, New York, and North Carolina. In addition, BrightFarms revealed it will be exploring acquisitions and partnerships with existing greenhouse growers as it dives into the new markets.
“We are committed to transforming the produce category to provide the freshest, tastiest, and most responsibly grown produce,” said CEO Paul Lightfoot. “Consumers are placing high demand for locally grown, fresh salads. With local greenhouses across the Mid-Atlantic and growing, BrightFarms is well positioned to meet those demands for national retailers.”
The new 280,000-square-foot greenhouses are aimed at bolstering BrightFarms’ network of local and sustainable farms, particularly across the Mid-Atlantic and into the South. The grower currently operates greenhouses in Illinois, Ohio, Pennsylvania, and Virginia, with the new facilities upping that tally and meeting the needs of shoppers in Central Massachusetts, Hudson Vally, and North Carolina.
According to a press release, BrightFarms plans to break ground on the greenhouses by the end of 2019, with production starting in the spring of 2020. The greenhouses, which will sit on 20 acres and create 55 of what the company calls “green-collar” jobs, will produce more than two million pounds of leafy salad greens and herbs per year while meeting BrightFarms’ sustainability goals by using approximately 80 percent less water, 90 percent less land, and 95 percent less shipping fuel than competitors.
Since the turn of the new year, BrightFarms has upped the ante on its national expansion by appointing a new CFO, teaming up with five new retailers, and landing $55 million in Series D financing.
To stay in the know on the comings and goings of produce, AndNowUKnow will continue to keep you covered.
NEW ENGLAND - Five UFCW local chapters throughout the Northeast are currently negotiating contracts with Stop & Shop. This week, one chapter, Local 1445, voted unanimously to approve a labor strike.
This Friday, the retailer issued the following updates on the status of negotiation.
“We are working hard to reach strong new contracts that ensure that Stop & Shop continues to be a great place to work...” the retailer noted. “Stop & Shop has committed up to $2 billion to upgrade our stores over the next several years to better serve our customers and communities as we also lower prices and expand opportunities for our associates.”
Stop & Shop continued: “The current three-year contracts with UFCW locals in Massachusetts, Connecticut, and Rhode Island expire on February 23. However, contract negotiations may extend beyond the expiration date. We are proud of our relationship with our associates and optimistic that we will be able to reach a new agreement. We are continuing to negotiate in good faith and remain committed to reaching a resolution as quickly as possible.”
The following day, the UFCW Local 1445 held a meeting and a strike authorization vote.
“Today, February 24, at Lombardo's in Randolph, Local 1445 held a meeting for Stop & Shop members. Almost a thousand members attended and all voted unanimously TO STRIKE!” Local 1445 announced on its website.
In total, the UFCW represents more than 8,000 Stop & Shop employees throughout Massachusetts. The labor union’s last contracts with Stop & Shop expired Saturday night, according to a report from local news source South Coast Today.
Though the union has voted to authorize a strike, no timetable has yet been set for the strike itself, which would still have to be authorized by a union committee.
Following news of the Local 1445’s vote, Stop & Shop issued a statement noting its commitment to reaching a mutually amicable resolution and noting, “We are proud of our relationship with our associates and optimistic that we will be able to reach a new agreement.”
“We understand that the members of one of the five union locals have voted to authorize a strike, although this does not necessarily mean the union actually will initiate a strike...” the company stated. “Full-time Stop & Shop associates are among the highest paid food retail workers in the region, and we are working hard to reach strong new contracts that will continue to provide Stop & Shop associates with competitive wages and affordable health care for eligible associates...”
For more on Stop & Shop and the UFCW’s negotiations, check in with AndNowUKnow for updates.
YAKIMA, WA - What’s the most delicious way to avoid a pinch this Saint Patrick’s Day? If you ask Domex Superfresh Growers, the company would tell you to grab a Granny Smith apple, of course! The long-beloved apple variety adds a festive pop of color that will catch consumers’ eyes and wallets through front-of-store displays. Whether organic or conventional, bulk or bagged, Superfresh Growers have Granny Smith merchandising tips for you.
“Granny Smith has been steadily holding fourth place for the past few years,” said Communications Manager Catherine Gipe-Stewart, noting that this year, IRI data charts Granny Smith apple dollars up 2.6 percent. “As retailers focus more on core varieties, it has begun to rise to third place. With Granny Smith trending, use the bright green of the apples to convert to ‘green’ at the cash register.”
According to a press release, Granny Smith is the single-most talked about apple in digital media and is popular with both millennials and the hispanic community. As a produce staple, Granny Smiths are popular in pies, for juicing, and even right out-of-hand. Gipe-Stewart suggested creating large bulk displays near the cash register and front-of-store to draw attention to the bright green color of Granny Smith apples and boost sales.
Looking for additional help in merchandising Granny Smith in-store? The Superfresh Growers marketing team is offering a digital content kit complete with recipes, photos, social media graphics, and other fun ways to engage with consumers. New this year is a recipe for Granny Smith Apple “Cookies”—we won’t tell if you don’t share with your consumers!
LOS ANGELES, CA - Kiwiberries look like kiwis—only they’re smaller, fuzz-less, and arguably one of the cutest things I’ve ever seen. Not only are they impossibly adorable, they deserve to be seen by consumers! Thank goodness then for Giumarra Wenatchee, which announced its fourth season of marketing New Zealand-grown kiwiberries in partnership with Seeka.
“As the exotic category continues to be of high interest to consumers, we are pleased to offer flavorful, fun-to-eat kiwiberries in convenient clamshell packaging,” said Jason Bushong, Division Manager of Giumarra Wenatchee, in a recent press release. “Kiwiberries have the same tangy-sweet flavor and nutritional benefits of traditional green kiwifruit, including being an excellent source of vitamin C and a good source of fiber.”
The press release noted that the fruit will be available for shipment to U.S. customers from now through the end of March. Kiwiberries are bite-sized with smooth skin and can be eaten out of hand without peeling. It is available packaged in 4.4 oz and 18 oz clamshells for easy “grab-and-go” merchandising.
“Kiwiberries make an excellent addition to our exotic lineup, as consumers continue to gravitate to small-sized fruits for a variety of uses, including snacking,” stated Gary Caloroso, Regional Business Development Director for the Giumarra Companies.
Stick around with us here at AndNowUKnow for the latest in miniature produce!
CARLISLE, PA - Following a purchase agreement announced by GIANT Food Stores in November 2018, the Federal Trade Commission has approved the acquisition of five corporately-owned Shop ‘n Save locations from SUPERVALU INC., the newly acquired subsidiary of United Natural Foods (UNFI). The stores will undergo a one-week conversion, opening again as MARTIN’S Food Markets on April 5, 2019.
“Our team is really excited to bring MARTIN’S Food Markets to these vibrant communities,” said Nicholas Bertram, President, GIANT Food Stores. “We put our customers at the heart of everything we do, and with the addition of these locations, our new neighbors can count on farm fresh produce and quality products their families will love.”
According to the press release, the following stores are part of the sale:
- 22401 Jefferson Boulevard, Smithsburg, MD
- 500 North Antrim Way, Greencastle, PA
- 409 North McNeil Road, Berryville, VA
- 147 Roaring Lion Drive, Hedgesville, WV
- 1317 Old Courthouse Square, Martinsburg, WV
The stores will close temporarily on March 27 at 6 pm, for extensive remodels to convert the existing locations into MARTIN’S Food Markets. Upon the reopening on April 5 at 8 am, shoppers will be treated to low prices on an expanded variety and assortment of local products, including a farm fresh produce department featuring more than 300 items. MARTIN’S BonusCard will also be available to customers, giving them access to weekly promotions and sales, coupons, and gas rewards. The MARTIN’S stores also offer shoppers a convenient mobile app that provides ready access to personalized digital coupons, mobile shopping lists, and more.
The acquisition is in line with a series of strategic investments that the company has made recently to its store fleet and family of brands in Pennsylvania. The first GIANT Heirloom Market opened this year in Philadelphia, with plans for three more locations to open in 2019. The company’s new GIANT DIRECT e-commerce hub was opened this year in the city of Lancaster, and more new stores are set to open in the East Stroudsburg and Walnutport communities later this year.
Keep reading AndNowUKnow for more grocery news.
WEST DES MOINES, IA - Hy-Vee is bulking up its pharmacies across Minnesota. The retailer has acquired all Weber & Judd pharmacies—a chain that has served the Rochester, Minnesota-area since 1862. All locations will be renamed Hy-Vee HealthMarket Rx.
“Weber & Judd has been an exemplary provider of pharmacy care for more than 150 years. Combining Weber & Judd with our Hy-Vee Pharmacy family is a perfect match because we both pride ourselves on providing an excellent experience to our customers,” said Randy Edeker, Hy-Vee’s Chairman of the Board, CEO, and President. “We are grateful for the opportunity to continue to provide this same personalized care for the Weber & Judd family of patients and communities.”
In a press release, the retailer noted that it anticipates Weber & Judd employees to continue working at their respective locations as Hy-Vee employees.
As part of the acquisition, all patient files will transfer to the new Hy-Vee pharmacies, and shoppers will have access to the retailer’s mobile app, which offers easy prescription management services and message notifications, free prescription delivery, automated refill ordering, immunization services, free blood pressure checks, private medication consultations, and registered dieticians. Weber & Judd pharmacy patients will receive a letter from their new Hy-Vee pharmacy with additional details.
To learn when each Weber & Judd location will reopen, click here.
For more details on grocery shakeups, acquisitions, and expansions changing the retail landscape, stay tuned to AndNowUKnow.
HEATHROW, FL - Greenhouse grower Village Farms continued its commitment to giving back by sponsoring and participating in the annual “Cars for the Cure” fundraiser. The event is a car show benefiting the American Lung Association and features an array of distinctive and unforgettable cars from across the globe.
“Village Farms was proud to be a sponsor and support Cars for the Cure in its fifteenth year,” said Helen Aquino, Director of Brand Marketing and Communications, in a press release. “Participating in an event like this for such a good cause was especially rewarding. We truly enjoyed getting out in our community to promote health and wellness and we loved hearing time and time again how much people enjoy the Garden Fresh Flavor® of our tomatoes!”
Throughout the day-long, family-friendly festival, a team of Village Farms volunteers gave away almost 2,000 pounds of the company’s Heavenly Villagio Marzano® tomatoes to a crowd of participants, attendees, and more volunteers. Even the Transformer Bumblebee was on hand to delight kids and create buzz about eating healthy.
A worthy cause, the American Lung Association is the oldest voluntary health organization in the U.S. and works to save lives by improving lung health and preventing lung disease. Village Farms will definitely be getting some karma points for this!
Keep reading AndNowUKnow to stay up-to-date on the industry’s charitable endeavors.