CALIFORNIA - As the FDA continues its investigation into the source of the recent romaine E. coli scare, the organization is now targeting its efforts on six specific California ag counties: Monterey, San Benito, San Luis Obispo, Santa Barbara, Santa Cruz, and Ventura. The FDA also noted that additional counties may join the list as the investigation continues. Further, there is still no confirmed source for the E. coli outbreak.
“We have had boots on the ground collecting environmental, soil, and water samples for laboratory analysis to identify whether they contain E. coli since last week. Should positive samples be identified, we will update the public promptly,” FDA Commissioner Scott Gottlieb, M.D. said in a tweet dated November 28. The FDA did note in a release that it was still in the “preliminary” stages of its traceback information gathering process, but “current evidence” indicates this romaine was harvested in the Central Coast growing regions of northern and central California.
There is currently no recommendation for consumers or retailers to avoid romaine lettuce from outside the previously listed counties. Romaine lettuce harvested from areas that include, but are not limited to, the desert growing region near Yuma, the California desert growing region near Imperial County and Riverside County, the state of Florida, and Mexico, does not appear to be related to the current outbreak. Additionally, there is no evidence hydroponically- and greenhouse-grown romaine is related to the current outbreak.
The FDA also noted that it will be moving forward with its previously announced voluntary labeling agreement with suppliers. Romaine lettuce entering the market will now be labeled with a harvest location and a harvest date or labeled as being hydroponically- or greenhouse-grown.
As the produce industry continues to lie in wait for the FDA to unearth the source of the E. coli, AndNowUKnow will provide you with the latest updates available.
LAPORTE COUNTY, IN - The spooky season might be long gone for the mainstream folks, but us goths know spooky is more than just a season—it’s a way of life. Fellow goth chain, I mean, retail chain, Dollar General recently embodied some spooktacular vibes after eyeing an abandoned warehouse in LaPorte County, Indiana, as the next location for its latest distribution center.
According to news source NWI.com, the 680,000-square-foot warehouse is currently undergoing a $24 million renovation. Dollar General is set to occupy almost 300,000 square feet of that space and create 80 jobs. The chain also requested a five-year tax abatement for the $8 million worth of new equipment it is planning to use in that space. A LaPorte County Council will vote on the tax abatement in January.
The Westville facility, as the warehouse is known as, is housed on 90 acres along U.S. 421 and has been a food warehouse since the 1970s—which is perfect for Dollar General since it too will be using the facility to store and distribute food.
The Kokomo Perspective reports that Matt Reardon, Director at the Office of Economic Development for LaPorte County government, said Dollar General plans to move into the building in May of 2019 and be completely moved in by August. Renovations are slated to finish by June of 2019.
For the latest haunts grocery retail chains are restoring for fresh food purposes, stay tuned to AndNowUKnow.
MONTEREY, CA - Calling all retailers and buying organizations! The time has come for you to register for the fourth annual Organic Produce Summit! That’s right, registration is now open for qualified individuals from retail or buying organizations directly dealing with consumers. And if OPS isn't incentive enough to sign up ASAP, these organizations are also eligible for complimentary registration and accommodation for the July 10-11, 2019 event!
“We are thrilled with the tremendous feedback and response from the organic community the past three years, and we’re looking to make OPS 2019 the best yet. We’re putting together a dynamic program that features impactful and relevant educational sessions touching on important industry issues and objectives, and a series of keynote presentations from leaders in the organic retail community,” said show President Susan Canales. “Our sold-out trade show floor has been slightly enlarged to accommodate 10 more booths than last year, but we will retain the intimacy and energy our attendees are seeking. We’ll be releasing components of our program in the coming months and expect another outstanding event.”
According to a press release, OPS 2019 will mirror the successful formats of the past three Organic Produce Summits, including an informative series of educational sessions, engaging keynote presentations, and a show floor that will feature 140 organic growers, shippers, and processors from across North America. This year, retailers and buyers will also have the opportunity to tour one of the nation’s largest and well-respected organic fresh produce organizations, with complete details of the field tour program to come in the next few weeks.
The 2019 Organic Produce Summit will be held at the Monterey Convention Center, in Monterey, CA. General attendee registration will open in mid-January, 2019. For further information about the fourth annual Organic Produce Summit, click here.
DALLAS, TX - Continuing its restructuring trend, Albertsons and its southern division banner, Tom Thumb, are shuttering stores that have thus far been deemed unprofitable. In addition to the stores set to close by December 1, one more Tom Thumb store in the Dallas suburb of Irving, Texas, will be closing by January.
The store closing is located at 3533 Belt Line Road at Northgate. There are currently no Albertsons set to close in Irving. However, according to local news source, The Dallas News, Albertsons' Tom Thumb banner is building new locations in Uptown Dallas and east of downtown near the Deep Ellum DART train stop.
Are these store closures and openings a sign of success or a harbinger of stormy days ahead? AndNowUKnow will continue to report the latest in retail happenings.
TEMPLE, PA - As a vegetarian, there’s no produce item I seem to celebrate more than the mighty mushroom. Not only are the fungi and its countless varieties taking the top spot as the go-to meat alternative, they are also guiding culinary influencers to new inspirations and innovations that are locking mushrooms as a leader in food fads and a must-have item in shoppers’ carts—a feat Giorgio Fresh has worked to achieve for the last 90 years.
For almost a century now, the third-generation family-owned company has operated as a pioneer for the category and has invited more consumers to celebrate the versatility and deliciousness of mushrooms. I spoke with Greg Sagan, EVP Sales and Marketing, to learn more about what new and exciting innovations Giorgio Fresh has in the works to keep mushrooms a triumph in and out of the produce industry.
“We’ve long been known for innovation in the industry, and we have worked hard to bring innovation straight to the consumer. In the past year, we launched BLENDABELLA (a portabella tapenade) and Savory Wild (our portabella jerky) both of which have been received well by consumers and show that we continue to stay on trend and on top of product development,” Greg tells me.
Giorgio began in 1928 when Pietro Giorgio built his first mushroom houses in Temple, Pennsylvania, thus beginning a proud and long-standing tradition of growing high-quality mushrooms. This tradition of excellence has continued decade after decade, increasing tenfold with every addition of canneries and modern facilities.
“It is our obsession with detail that has led us to set the industry standard for quality and reliability. Today, as we continue to grow, we are investing considerable time and energy into the innovative management philosophy called Kaizen. This program stresses the value of seeking ‘continuous improvement’ in everything we undertake—from growing and processing to service and delivery,” Greg explains.
This holiday season has already been busier than ever for the mushroom provider, which released new packaging for all of its fresh mushrooms—including whites, browns/portabellas, exotic, and organic—as well as debuted a new line of stuffed mushrooms.
“Consumers are at the core of everything we do, and when it came time to refresh our brand, we really thought hard about our consumers and what they want, which is simplicity. As a result, our labels have a cleaner look, and we’re hoping this clarity drives shoppers to our website for recipes,” Greg says.
Specifically, Giorgio streamlined the consumer shopping experience by color-coding each segment to help them stand out on store shelves and by making names more prominent on the labels so that they are clear and easy to see. Throughout the holidays and beyond, Giorgio is expanding its recipe arsenal with new mushroom-centric recipes on their website, which is also featured on the new packaging.
And, as we cozy up to the winter months and all the entertaining they bring, Giorgio is launching its new line of stuffed mushrooms with three delicious flavors: a Fiesta Cheese Blend; a Cheese and Imitation Bacon Bits Blend; and an Artichoke, Spinach, and Cheese Blend—all of which are offered in a convenient microwavable tray that is perfect for any and all holiday needs.
Congratulations to Giorgio Fresh on 90 years, and here’s to 90 more chock full of innovations, excellence, and every type of mushroom!
HONG KONG - Some of the U.S.’s preeminent retailers are readying for the eventuality of a new round of tariffs on goods from China, the Wall Street Journal reported this week. The financial news source cited Walmart, Amazon, Dollar General, and Target as grocery retailers who are already working to renegotiate prices and shift product assortment in order to avoid rising costs—and, in turn, raising prices.
“If we get tariffs as discussed in January, prices are going to go up,” Walmart Chief Financial Officer Brett Biggs told the WSJ. The most current round of tariffs—a 10 percent fee levied on $200 billion in Chinese goods—came into effect in September; additional fees of 25 percent are expected to be leveed at the beginning of 2019.
Walmart has been one of the more proactive major retailers; the company has reportedly already pulled some planned purchases forward to get ahead of potential cost increases. And the WSJ noted that Amazon has “cut back purchases and orders for certain of its private-label products where the tariffs make it no longer profitable to offer those goods to customers at sub-competitor prices.”
Dollar General told the WSJ that, in addition to renegotiating prices with Chinese vendors, the company has canceled orders and made adjustments to its product mix, while Target noted simply that it has “many levers” to use to remain price competitive.
To learn more, read the WSJ’s article in its entirety here.
DALLAS, TX - As we skate into December, the New Year is on the minds of consumers and producers alike. DMA Solutions Inc. has released both its Social Media and Produce Marketer’s calendars for next year, and are revamping content in the spirit of the ‘new year, new me’ mentality we all find ourselves in come January 1.
The new and improved Produce Marketer’s calendar will include a new category: Produce Industry and Education. It serves to highlight “valuable training and learning opportunities throughout the year that professionals should take advantage of for leadership and career development,” according to a recent DMA press release.
Vice President Megan Zweig commented, “When you look at the big picture, there is an overwhelming amount of important dates, events, and opportunities that can make all the difference in a marketer’s success on behalf of a brand, that’s why we take the time to vet the most important information and present it in one digestible calendar—to make it easy for fresh produce marketers to advance their approach to marketing in the coming year and their knowledge.”
Other new additions to the marketer’s calendar include:
- Comprehensive conference and trade show lists focusing on fresh produce, media, leadership development, influencers, and marketing
- National/regional holidays, promo opportunities, and important industry events for marketers to capitalize on throughout the year
- Tips directly from the DMA team outlining specific needs of fresh produce marketers
- Promo suggestions and inspirational quotes each month to inspire development and innovative marketing
2019’s Social Media calendar will also see changes, described by DMA Social Media Manager Kendra Knieriem as “a resource that we not only plan to use internally but will also be incredibly valuable to other social media professionals and help inform their strategy.”
Additions to this year’s Social Media calendar include:
- Food holidays related to the industry to foster engaging content year-round
- Tips and articles directly from DMA’s social media team
- Top current, on-trend hashtags to extend content reach
Both calendars are available in print or for download on the DMA Solutions website. Click here for the 2019 Produce Marketer's Calendar and here for the 2019 Social Media Calendar. AndNowUKnow looks forward to flipping through these, and other new year’s produce content, as we approach the beginning of 2019.
DEFOREST, WI - The Little Potato Company is making big waves this season—after debuting a new look and new product offerings at the PMA Fresh Summit in Orlando, Florida, earlier this year.
I spoke with Richard Vann, Vice President of Marketing and Product Innovation, to learn more about the company’s rebranding efforts, its new flavors, and how these innovations are helping retailers reach new heights in value-added potato sales.
“We’re introducing two new flavors: Tomato Basil in Microwave Ready and Roasted Red Pepper & Onion in our Oven Ready | Grill Ready products,” Richard told me. “We’ve completely redesigned them from the ground up.”
Richard told me that the new look and new packaging introduced a number of features designed to ease consumer experience.
“The packaging is very different. We really looked at it from the consumer experience perspective, tried to make sure it was really easy for the consumer, clearer for them to see, understand. Also put a lot of little features in, like handles for the tray, we’ve removed the sleeve to make it more environmentally friendly, and we’ve updated the packaging so now you can see potatoes...” Richard noted.
To learn more watch my brief video interview above.
For more fresh-focused news from the produce industry, keep reading AndNowUKnow.
IRVINE, CA - Everyone seems to know that avocados are experiencing a renaissance as of late. In the past forty years, the avocado has traversed the tides of popular opinion—nearly quadrupling per capita consumption as it grew from an unfamiliar niche item to a fan-favorite fruit.
I spoke to Jan DeLyser, Vice President of Marketing with the California Avocado Commission (CAC), to learn more about the erstwhile-dubbed “alligator egg’s” impressive journey and the CAC’s 40th anniversary.
“Avocados have gone from—maybe a 2 lb per capita consumption—to well over 7 lb—almost 8 lb per capita, just in the United States,” said Jan. “I think you're just gonna see more and more of that.”
Jan explained to me that, in the not-so-faraway-past, guacamole had been considered “kind of ‘it’” for this creamy green treat. But in the past forty years, avocado usage has exploded—taking the chartreuse fruit across the lengths of the pizza pie and into the depths of the dagwood; the avocado has even penetrated into the icy snowscape of the ice cream world.
“I just think we're gonna continue to see usage ideas that are very creative,” Jan noted. “When I think of social media and all of the opportunities to have consumers communicate our messages in their voice. It's really exciting to think what the next 40 years brings.”
For more, watch our brief video interview above.
And stay tuned to AndNowUKnow for more fresh news.
UNITED STATES - While we are still in the thick of the romaine E. coli outbreak, leaders from around our industry are already stepping up and attempting to settle matters that will help with inevitable outbreaks in the future. The Western Growers Association recently put out an educational piece intended to create a conversation between buyers and sellers regarding the legal ramifications of romaine that was received, in-transit, or being prepared for shipment.
“The primary purpose of this informational piece is to provide guidance to both the seller and buyer communities,” Matt McInerney, Sr. Executive Vice President of Western Growers, told me. “Western Growers tips its hat to the PACA division for providing the guidance that will at least give both parties standing to understand, from a technical standpoint, compliance and responsibilities. I think this piece gives a line of sight and an opportunity for both parties to know where they stand. In most cases, the buyers and sellers already have a very well-established relationship, so we’re using this piece to bring about conversations that will hopefully reach amicable conclusions regarding these issues.”
Within said piece, Western Growers provides insight on the gray areas seemingly unnavigable in the midst of an outbreak crisis, zeroing in on the allocation of risk and how it depends on the terms of sale, which includes the complexities of F.O.B contracts and shipping dates and damage or loss to the produce.
Western Growers includes the U.S. Department of Agriculture’s Perishable Agricultural Commodities Act Division’s examples to bring clarity, including the following scenarios:
Scenario 1:
A seller contracts to sell produce to a buyer. Prior to shipment of the produce, the FDA issues an advisory warning that the produce is the subject of an E. coli outbreak.
In this instance the effect of the advisory warning renders the produce unmerchantable at shipment. Since the advisory was issued prior to shipment, the risk of loss remains with the seller. If the seller ships the produce, the seller may voluntarily recall the produce based upon the advisory. If the seller decides not to recall the produce, the buyer would have a claim against the seller for breach of the warranty of merchantability and could reject the produce.
Scenario 2:
A seller contracts to sell produce to a buyer. After the buyer has received and accepted the produce, the FDA issues an advisory warning that the produce is the subject of an E. coli outbreak. In this instance, the advisory warning rendered the produce unmerchantable after it was received and accepted by the buyer. Since the advisory was issued after the buyer received and accepted the produce, the risk of loss had shifted to the buyer who must pay for the produce. This result is supported by a legal decision involving Chilean grapes where the presiding officer held that a buyer must pay for the grapes although a “Stop Sale” directive had made all Chilean grapes unmerchantable. The presiding officer stated that the seller should not suffer this loss because the “Stop Sale” directive was issued two weeks after receipt and acceptance of the grapes.
Scenario 3:
A seller contracts to sell produce to a buyer. While the produce is in transit from the seller to the buyer, the FDA issues an advisory warning that the produce is subject to an E. coli outbreak. In this scenario, the advisory warning renders the produce unmerchantable while in transit from the seller to the buyer. The advisory establishes a breach of the warranty of merchantability. However, resolution of this scenario depends on which party bears the risk of loss which, as discussed earlier, is dependent on the contract terms. If the terms are F.O.B. and the produce is in transit, the buyer bears the risk of loss in transit and must pay for the produce. If the contract terms are “delivered” or “delivered sale,” the seller bears the risk of loss in transit, and since the buyer in this situation has yet to receive the produce, the buyer would likely be able to reject the produce because the risk of loss rests with the seller.
These scenarios discuss the possible impact of an FDA advisory on produce contracts, but outcomes may vary depending on specific terms entered into by the parties.
To read Western Grower’s piece in its entirety, click here. For more information on contract obligations, read PACA Guidance on Commercial Contracts Because of FDA Advisory.
While this guidance offers clarity to both buyers and sellers, will it serve as the tool our industry needs? Keep following AndNowUKnow as we continue to navigate the latest outbreak.