WASHINGTON, DC - The U.S. Department of Agriculture (USDA) has imposed sanctions on four produce businesses for failure to pay reparation awards issued under the Perishable Agricultural Commodities Act (PACA).
According to a press release from the USDA, the following businesses and individuals are currently restricted from operating in the produce industry:
- Jose Mendez, doing business as All Fresh Cold Storage, also trading as JMB Logistics, operating out of Los Angeles, California, for failing to pay a total of $195,058 in connection with two awards in favor of sellers in Arizona and Ohio. As of the issuance date of the reparations orders, Jose B. Mendez was listed as the sole proprietor of the business.
- Write On Marketing Inc., operating out of Los Angeles,California, for failing to pay a total of $219,906 in connection with three awards in favor of sellers in Arizona, California and Florida. As of the issuance date of the reparation orders, Arnulfo Diaz and Jose G. Salazar Jr. were listed as the officers, directors and/or major stockholders of the business.
- Chefd LLC, operating out of El Segundo,California, for failing to pay a $49,189 award in favor of a California seller. As of the issuance date of the reparation order, Big Wave Sound Productions, John Camphuse, Susan Camphuse, Caibou Consolidated LLC, D2 Doll Partnership, Forum Family Fund LLC, Chris Growney, John C. Hood, Kris Langley, Jim Langley, MB Investors LLC, Morgan Hunter Capital LLC, Kyle Ransford, Mark Sprague and Ross Westreich were listed as managers and/or members of the business.
- Little Mexico Wholesale Inc., operating out of Bronx, New York, for failing to pay a $53,630 award in favor of a Texas seller. As of the issuance date of the reparation order, Josefina Aguirre and Bartolome Aguirre were listed as the officers, directors and/or major stockholders 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 3,350 PACA claims involving more than $63 million. PACA staff also assisted more than 8,000 callers with issues valued at approximately $156 million. These are just two examples of how USDA continues to support the fruit and vegetable industry.
SEATTLE, WA - After over a year of searching for a location, then months of pushback from locals, Amazon has officially announced it has dropped plans to build one of two campuses for its infamous HQ2 in New York City. Amazon said it has no current plans to search for a new location for HQ2’s second campus and instead will stay the course on efforts to build previously announced facilities in Northern Virginia and Nashville.
“After much thought and deliberation, we’ve decided not to move forward with our plans to build a headquarters for Amazon in Long Island City, Queens,” the company stated on its blog. “For Amazon, the commitment to build a new headquarters requires positive, collaborative relationships with state and local elected officials who will be supportive over the long-term. While polls show that 70% of New Yorkers support our plans and investment, a number of state and local politicians have made it clear that they oppose our presence and will not work with us to build the type of relationships that are required to go forward with the project we and many others envisioned in Long Island City.”
AndNowUKnow shared news of opposition from the city of New York earlier this month, when reports surfaced that New York had been relatively cold in its embrace of the e-tailer. New York City Council members, state Senate nominees, and other key officials, including freshman Representative Alexandria Ocasio-Cortez, whose district borders the proposed Amazon site, have all voiced opposition to the project.
“The question is whether it's worth it if the politicians in New York don't want the project, especially with how people in Virginia and Nashville have been so welcoming,” a source told the Washington Post.
Will this mean trouble and mounting pushback for Amazon as it looks to continue to grow its presence in major cities across the U.S.? AndNowUKnow will be monitoring the newswires.
WENATCHEE, WA - When I think fruit, the first thing that comes to mind for me is apples. I have no idea why, but maybe it has something to do with my near-daily consumption of apple juice in elementary school. Regardless, I get excited when I hear about apple updates because it means I’m first to know about the goings on of my favorite crunchy spheres. Recently, I got my dose of apple news from Brianna Shales, Communications Manager for Stemilt, who told me all about Fuji apples and where its season is headed.
“The 2018 apple crop is smaller in volume than the year prior, but with great fruit sizing and still plenty of promotion opportunities,” Brianna said. “Fuji is a great variety to focus promotional efforts around. At Stemilt, we’re at the point of the season where we have more Aztec Fuji’s being freshly packed. Aztec is a high color strain of Fuji with great dessert flavors, and this quality is what will drive consumers to purchase this super-sweet apple.”
Brianna explained to me that bulk promotion is where the focus should be with Fuji and other apple varieties, whether promoting conventional, organic, or both. The most recent crop has brought larger sized apples and more opportunities for retailers to upsize and promote bulk in a bigger way than the previous crop year. The company also has advice when it comes to retail promotion.
“The key with any apple promotion is that even if you want to highlight Fuji, you should bring multiple varieties into an ad at one time,” said Brianna. “This lifts the entire category. Retailers can also promote Fuji apples in bags right now. Packs like our 5 pound Apple Lover pouch bags help drive up purchase sizes and volumes of apples sold.”
With a 30-year-old organics program, Stemilt has positioned itself well, producing both organic and conventional apples. The company’s organic apples are marketed under the Artisan Organics™ label. In addition to organic Fuji apples, the company also grows organic varieties of top apples like Honeycrisp, Gala, and Piñata. An organic-focused ad with several high-flavor apple varieties is a great way to win over shoppers.
Though the days of fall apple picking are long gone, it is comforting to know that the changing of the seasons doesn’t mean the end of quality apples.
“The best Fuji’s are yet to come with the Aztec strain. Retailers have a lot of great fruit coming their way, which will make for great spring and summer apple sales,” concluded Brianna.
For more fruit and vegetable crop updates, keep reading AndNowUKnow.
LOS ANGELES, CA - While some people relish the opportunity of getting to pick the movie, the snack, the whatever, I tend to buckle under the pressure. I worry too much about whether every single person I’m picking for likes action or comedy, or sweet or salty, and I become a stress ball. But in a new multimillion-dollar campaign, The Wonderful Company is making sure consumers like me stay in human form when tasked with snack duty, since Wonderful® Halos® exist, duh!
Wonderful Halos’ “The Checks-All-The-Boxes Box” campaign transforms boxes of Halos into every parents’ snack dream and emphasizes the mandarin brands’ capacity to fit any occasion, including, but not limited to, “Yes-I-Brought-Enough-For-The-Whole-Team Box” for soccer practices, “My-Kid’s-Involved-In-Everything Box” for school recitals, and even “For-The-Love-Of-Pete-Don’t-Touch-That-Cake-Yet” box for birthday parties.
“80 percent of parents bring snacks for their kids’ events—and 50 percent of them are bringing snacks more than five times per year,” said Adam Cooper, Vice President, Marketing. “The new multimillion-dollar campaign is designed to tap into these snack duty occasions and empower parents to choose a 5-pound box of Wonderful Halos over other sugary snacks as the good choice solution.”
Via in-store point-of-sale materials, social media ads, digital integrations with event planning sites, consumer emails, a national FSI, and an expanded influencer campaign, Wonderful Halos is reminding consumers Halos ae healthy, convenient, single-serve, allergen-free, and require no additional prep or refrigeration—which Wonderful pokes fun at in season-long digital investments—and as such are the perfect snack.
Halos is also partnering with the Holderness Family, who have two million followers on social media and are known on YouTube for their annual “Christmas Jammies” viral music videos, according to a press release. The Holderness Family released a new original song and music video, “Snack Panic Attack,” on Facebook, Instagram, and YouTube to highlight Halos as the perfect healthy snack for any parent with snack duty anxiety.
The company is also taking its “Grove of Goodness” POS display program one step further by adding 15,000 pieces of Snack Duty POS to retail stores. This includes new displays that feature lifestyle imagery and new bin bases, both of which reinforce “The Checks-All-The-Boxes Box” campaign’s messaging.
Wonderful Halos are sold in 3-pound and 5-pound bags and 5-pound boxes and are available nationwide through May.
To stay up-to-date on the latest news highlighting fresh fruit and veg, stay tuned to AndNowUKnow.
CALIFORNIA - California’s wet winter is not over yet, much to the chagrin of fresh produce purveyors looking to keep categories dry and harvesters at work. A Pacific storm system known as the “Pineapple Express” could shower a record 10 inches of rain and 8 feet of snow throughout areas of California, which will not only raise concerns for crops like strawberries, broccoli, cauliflower and celery, but also increase the risk of flooding and mudslides.
"We can expect steady periods of rain starting tomorrow morning through Thursday night," said NBC4 Meteorologist Shanna Mendiola. "Two areas of low pressure (one in the Gulf of Alaska, and another north of Hawaii) will come together tomorrow and Thursday, fetching tropical atmospheric river moisture."
Meteorologists across the state expect to see heavy rain starting Wednesday night and the heaviest rainfall on Thursday. The following list has estimated rainfall totals across several locations in the state, according to data compiled from Reuters, NBC Los Angeles, and Weathermelon:
- Santa Maria and Salinas Valley: 1 to 2 inches
- Riverside County: 2 to 3 inches
- Foothills: 2 and 4 inches
- Coachella Valley: ¾ inch
- Sierra Nevada Mountains: 7 to 8 feet (of snow)
In Weathermelon’s report from Tuesday of this week, David Robidoux wrote that coastal California crops have all seen excessive rain over the past month, leading to decreased supplies and issues with quality. He noted prices for strawberries, broccoli, cauliflower, radishes, and celery have all risen in the past week.
The National Weather Service issued freeze warnings for the San Joaquin Valley earlier this week, but in speaking to Bee Sweet Citrus' Vice President – Farming, Keith Watkins, ANUK learned that while the company will be looking for ice marks on its California citrus, it does not expect much damage to crops.
AndNowUKnow will continue to report on California fresh produce as this storm continues, so keep reading for the latest.
CINCINNATI, OH - Kroger is once again redefining shoppers’ brick-and-mortar experience, introducing a new mobile payment solution and debit card to reward consumers with faster checkout and a more frictionless retail experience.
"Kroger is redefining the customer experience by creating innovative ways to pay at our stores and online," said Gary Millerchip, CEO of Kroger Personal Finance and Corporate Strategy Integration Lead. "Kroger Pay and the Kroger REWARDS debit card are two more ways we are transforming our payments model to benefit our customers."
Kroger Pay is a quick, safe, and easy-to-use mobile payment solution and iOS/Android feature that securely combines a customer’s payment and loyalty card information (including 1-2-3 REWARDS cards and any major debit, credit, or prepaid card), according to a press release. With this feature, all shoppers have to do is scan their custom PIN or biometrics at checkout to access digital coupons and personalized offers and pay for their groceries at the traditional checkout lanes and self-checkout stations.
"Kroger Pay is one of the few mobile wallets that pairs loyalty and payment," said Mary Ellen Adcock, Group Vice President of Operations. "The application of this exciting technology is another step in our front-end experience transformation."
Kroger Pay was first launched across the retailer's Columbus, Ohio, division and is scheduled to roll out to 10 more markets in the spring before launching nationwide later this year.
In addition, Kroger is also introducing its new KrogerREWARDS debit card, which streamlines payment by connecting directly to shoppers’ checking accounts. The card also offers shoppers bonus fuel points and discounts, with the perk of rewards doubling each time the card is used.
"Our new Kroger REWARDS debit card is a lower-cost payment option, enabling us to offer our customers additional savings when they are shopping in a store or online or fueling up," continued Millerchip. "Through Restock Kroger, we are lowering operating costs, and our new debit card is another way we are doing just that while also rewarding customers who use it."
While currently available to shoppers in Ohio and Colorado, the Kroger REWARDS debit card will be available in all Kroger Family of Stores by spring.
How will Kroger’s latest move affect the grocery retail landscape? AndNowUKnow will continue to keep an eye on all things fresh.
RIVER EDGE, NJ - Vision Import Group, importer of fresh produce servicing North America, has hired SpartanNash and Caito Foods veteran Tony Mitchell as Vice President of Sales and Business Development. In this role, Mitchell will oversee all aspects of sales, product development, and new business for the company.
“I’m excited for the opportunity to help the Vision Import Group cultivate their business model and grow their business across the country,” Mitchell stated in a recent press release.
Previously, Mitchell worked for Caito Foods and SpartanNash for 27 years in a variety of roles, but most recently as Vice President of Produce and Floral Merchandising.
The press release noted that in his new role, Mitchell will continue Vision Import Group’s commitment to flourishing grower and customer partnerships.
“We are very excited to have Tony join our company and his addition will complement our companies’ values and goals,” stated Ronnie Cohen, Principal of Vision Import Group.
Congratulations from all of us here at AndNowUKnow to Tony on this new role!
SAN FRANCISCO, CA - Hold onto your hats and be sure to write down any and all marketing questions that pop into your head from now until February 20th because the fourth annual BrandStorm™ is almost here! If you’ve been seeking some tips on how to implement fresh and current marketing strategies, then I better see you in San Francisco amongst our industry’s finest—it’s as easy as that!
This year, one of our industry’s biggest meetings of the marketing minds (BrandStorm) is taking the curious on a deep dive into consumer purchasing behavior and trends, with conversations centered around new and innovative marketing ideas, tactics, and strategies that are sweeping fresh produce and beyond. The event kicks off with a sold-out tour of Viansa Sonoma in Sonoma Valley and a few of its star-studded products from Sonoma Brands. Following the tour, the next two days are jam-packed with education sessions galore, including must-attends like Foodservice: The Next Produce Marketing Frontier; How Brands Behave Today: What Fresh Produce Marketers Can Learn From Food Companies; Experiential Marketing: The Tradeshow Experience, and more. Lastly, the show concludes with a general session to end all sessions—Super Bowl LIII – The Red Carpet of Advertising.
If you need a nudge in the right direction (westbound toward San Francisco), Kim St George, Mann Packing’s Director of Sales and Marketing; Karen Nardozza, Moxxy Marketing’s President and CEO; and Julie DeWolf, Sunkist Growers’ Director of Retail/Shopper Marketing, shared a few of their reasons for partaking in another year of marketing excellence.
“BrandStorm has grown into the premier event for produce marketing and brand professionals to gather, network, share ideas, and generate excitement through motivating speakers and interactive sessions,” Kim told me. “I’ve been involved in United Fresh’s BrandStorm even before it was marketed under this name. We’ve refined the event over the years and built it into the ‘can't-miss event of the year for marketers’! I’m looking forward to sharing new learnings and experiences with my fellow industry colleagues at the 4th Annual BrandStorm.”
Karen shared that: “This upcoming BrandStorm will be my third time attending, and I always bring others from Moxxy as well. The opportunities for learning and networking are fantastic. The topics discussed are relevant and applicable for both junior and seasoned marketers. I always come away inspired by the speakers and my fellow produce marketers. This time I’ll also be facilitating an X-Change session on Marketing 101. It’s an honor to participate and share my knowledge.”
Julie added, “BrandStorm is the premier conference for marketers in our industry, with actionable content and great networking opportunities. Everyone from C-suite executives to coordinators attend, and all attendees will be able to take something valuable back to their desks that will assist in maximizing their efficiency or providing new ideas to their management teams.”
BrandStorm is a project of United Fresh’s Produce Marketing & Merchandising Council that has grown exponentially each year. With only 130 in attendance at the inaugural event four years ago, the United Fresh team is expecting upwards of 300 attendees this year, which I hope includes you!
For more information on BrandStorm 2019, click here.
See you at Hotel Nikko on February 20th for another great BrandStorm!
LAKELAND, FL - Publix isn’t done with its expansion in the western U.S. just yet. According to documents filed by the retailer, Publix has purchased 1.6 acres of land near downtown Nashville, Tennessee, for $10 million. Tennessee is the westernmost state that Publix operates in currently and one that the company has continually been investing in.
The Nashville Post reported that Publix will build a 39,600-square-foot, three-story building on the site which will also include a two-level parking structure. And though Publix already operates more than 40 locations in Tennessee, when built, the store will be the company’s closest to Nashville’s urban city core, the Post noted. The street address for the location is 2223 8th Avenue South.
Brenda Reid, Media & Community Relations Manager at Publix, said the company does not yet have a target opening date for the store.
In the past, local news sites and surveys alike have found that Nashville residents were in need of expanded grocery options in the city’s downtown area. Currently, Publix has multiple Nashville developments underway, including a smaller, 26,000-square-foot prototype store north of Nashville’s Gulch.
As Publix continues to push westward and expand its footprint in the Nashville market, AndNowUKnow will keep our ears to the ground for updates.
CARMEL VALLEY, CA - The organic produce space is growing and, with it, so is the breadth and the diversity of “organic consumers” en masse. In fact, organic shoppers are more mainstream and diverse than most contemporary stereotypes of pro-organic shoppers, according to a recent survey conducted by organic produce purveyor Earthbound Farm.
In its “Annual Organic & Other Lifestyle Choices” survey, Earthbound Farm offers fresh insights and compares a spate of lifestyle habits including music and hobby choices, pet ownership, meal priorities, and other factors not previously studied among shoppers choosing organic. And if you had assumed these consumers were all tie dye and patchouli or, conversely, a bunch of don't-talk-to-me-or-my-son moms, you might be surprised by the company’s findings.
“Organic should and can be for everyone,” says Deverl Maserang, President and CEO. “We’re thrilled that these results show a growing and diverse community of people who choose organic fairly frequently.”
The survey results come as Earthbound Farm is reaffirming its commitment to making organic offerings available to more people throughout the nation. The company is launching its “I Choose Organic” campaign February 4-17 on its social media channels, a campaign celebrating the many benefits of organic and the personal reasons people are increasingly choosing organic food.
The company noted that lifestyle preferences revealed in the “Annual Organic & Other Lifestyle Choices” survey show today’s organic consumer is increasingly hard to distinguish from a mainstream consumer.
Earthbound Farm also noted in its press release that some results were not surprising; for example, health is still the number one reason to purchase organic, and the younger the consumer the more organic they say they buy. Still others were contrary to common assumptions of organic shoppers, and of the more-than-500 consumers surveyed, 40 percent say they plan to increase their household’s organic consumption in 2019.
According to the survey, organic shoppers demonstrate a handful of commonalities:
- 48 percent of all organic consumers say they’re open to any kind of organic product
- People with kids at home are more likely than those without kids to buy organic (52 percent vs 41 percent)
- Millennials, Gen Z and Gen X are more likely than Boomers to choose organic (upwards of 50 percent for the younger gens, and only 30 percent for Boomers)
- Notably, Millennials/Gen Z are the most likely to say they purchase organic food “All the time” (20 percent for Millennials/Gen Z vs 8 percent for Gen X and 7 percent for Boomers)
- Only 8 percent of organic consumers in Rocky Mountain and Pacific states say they are “loud and proud” about their organic choices, while that number rises to 36 percent of organic consumers in South Central states
Further, the company notes that there are a number of likes and dislikes that many in this diverse group share:
- 48 percent of organic shoppers still say “no way” to organic Halloween candy, and 34 percent only say yes if it’s on sale
- Fresh fruits and vegetables are the most commonly purchased organic product category (84 percent saying they purchase), followed by fresh eggs (56 percent), fresh dairy (55 percent) and fresh meat (54 percent)
- Alcoholic beverages was the category with the fewest consumers saying they buy an organic option at least occasionally (10 percent)
- Most likely items to buy organic: fresh fruits and vegetables rank first, eggs rank a distant second
- Most likely meal occasion for which to buy organic: dinner, with lunch the runner up
And, perhaps most importantly, the survey sheds light on why consumers opt for organic options:
- 75 percent of organic consumers say they choose organic because it’s healthier for themselves or their families. The next closest reason (at a significant distance) was because “it’s higher quality” at 45 percent
- Quality/taste combined: 57 percent either say it tastes better or because it’s higher quality
- 44 percent say they choose organic because it’s better for the environment
- 34 percent of organic consumers say they choose organic because it’s better for the farmers and field workers
Findings also show that organic shoppers are most likely to say they’ll listen to any kind of music, followed by rap or hip-hop. Pet owners are more likely than non-pet owners to choose organic. Forty-nine percent of organic consumers consider themselves a sports fan, and those surveyed said they choose organic for wintertime holidays the most and Labor Day and Memorial Day the least.
Earthbound Farm’s study went beyond demographics, too, to try to suss out info on what real people who buy organic are really like in their daily choices. The company sought to find out when consumers prioritize organic in their lives and when they don’t.
Meal occasions for organic show variance in prioritization. Seventy-one percent of household shoppers with children in the home say it would be somewhat or very important to them to feed their child’s classmates or teammates an organic snack if they were on snack duty. But, only 52 percent of house shoppers say it would be important to them to include organic food at a dinner party.
Additionally, the company noted in its press release, Earthbound Farm is partnering with nonprofit Big Green to financially support Learning Gardens in schools in an effort to build a healthier future for kids across America.
For more on Earthbound Farm, organic fruits and vegetables, and all manner of fresh produce news, keep reading AndNowUKnow.