BEAR, DE - Food industry redistributor Dot Foods is expanding its Northeastern distribution network, announcing it is setting up shop in Bear, Delaware, later this year. The new $36 million facility joins the company’s other Northeast locations in Maryland and New York.
“It is a great day when we get to announce a new distribution center,” said President Dick Tracy in a press release. “The Delaware location will give us more capacity in the East. This is a high-volume area of the country where we expect to see continued growth. Our Delaware location will service customers in Eastern Pennsylvania, New Jersey, New York, and Connecticut. We’ve received a warm welcome from folks at both the state and local level in Delaware, and we look forward to continuing to build more relationships as we establish operations in the area.”
Set to be built on the 35 acres of land at 301 American Boulevard, the new distribution center will total over 188,609 square feet, which includes main and outbuilding facilities like an 111,000-square-foot refrigerated, frozen, and dry storage space, a 12,600-square-foot office space, and a 9,700-square-foot garage. In total, the company will hire 125 people, up to 200 of which by 2022, to work warehouse, truck driver, and administrative roles at the new facility.
“We’re really glad to see this great project move forward,” said Damian DeStefano, Director of the Delaware Division of Small Business. “Dot Foods’ choice to locate its new facility in Delaware is a testament to the state being an excellent place for businesses to grow and thrive.”
Along with the new facility, Dot Foods also established trucking operations for Dot Transportation in New Castle, with plans to hire 50 drivers who will eventually move to the Bear distribution center.
“We’ve already started hiring in the region and have great truck driving careers available today,” Tracy continued. “Our New Castle terminal is up and running. If you’re interested in joining our team, I encourage you to visit DriverforDot.com. Our drivers are a key part of our business, and we have some great opportunities at our newest location. We’re excited about the talent available in this area as we hire drivers, warehouse personnel, and office staff.”
Dot Foods plans to break ground in October on the Bear facility, with it in full operation by fall of 2019.
For more of the latest news like this, stay tuned to AndNowUKnow.
BENTONVILLE, AR - Walmart and its subsidiary Sam’s Club is taking a big stance on food safety—specifically food safety surrounding leafy greens. Following this year's earlier E.coli outbreak, the retailer is implementing blockchain technology to try and curb these incidents.
In an open letter to suppliers, Walmart and Sam’s Club plan to require leafy green suppliers to trace their products all the way back to the farm using blockchain technology. These systems are expected to be in place this time next year. Due to this change, information gathered by these suppliers will be accessible through tech that offers real-time, end-to-end traceability from farm to table.
In a blog post, Walmart noted that blockchain allows for digitized sharing of data in a secure, trusted way. It’s essentially a form of record-keeping that is open to users.
Frank Yiannas, VP of Food Safety explained how blockchain simplifies the process of lettuce making its way from the field to your plate.
“In the future, using the technology we’re requiring, a customer could potentially scan a bag of salad and know with certainty where it came from,” Yiannas stated. “[...] We’ve been working with IBM to digitize the [food system], so the information is captured on the farm with a handheld system. It’s [also] captured at the packing house at the supplier.”
The blog post noted that Walmart plans to use the power of blockchain to speed up identifying, researching, and reacting to food safety situations.
Will other retailers follow suit? AndNowUKnow will continue to report the latest in industry news.
SACRAMENTO, CA - I know it was hard to get your eyes off that ripe and juicy, perfectly green pear, but two industry leaders were able to pull it off somehow while on their quest to find the ANUK apple! Our Snack Magazine cover contest for September tried to trick our readership into thinking it was all about the pear, but the apple waiting in the wings was tucked within the shot and the $100 prize was just the right incentive to find it.
The buy-side winner was Brandi McGuire-Sisco, Category Analyst for Topco Associates.
"Thank you for providing a fun contest! The Snack and AndNowUKnow are always a welcome sight in my inbox/mailbox. It’s wonderful to see write-ups on colleagues and their successes," Brandi shared with ANUK. "I also enjoy seeing new and innovative products not only being advertised, but also feature articles on those items showing additional information, and uses. To you and your staff, please keep up the good work."
The supply-side winner was Mike Mendez, Marketing Coordinator and Junior Art Director/Creative for NatureFresh Farms, who took home the big W for this issue’s contest.
Bummed you didn’t win this round? Fear not, my friends! Try your hand at lady luck with October’s issue coming out soon! Also, be sure to subscribe to The Snack Magazine here (subscription is valued at $129 per year) and keep your eyes peeled for the future contest announcements made in our daily ANUK newsletters.
September 2018 Snack Magazine: Issue 35
Submissions must include the person pointing to the logo on the cover—we want to see your smiling face in there! On top of that, according to the contest rules, the countdown only begins once we announce the contest on ANUK’s newsletter.
Congratulations to our September winners! Will you be $100 dollars richer after next month’s contest? We’ll have to wait and see!
SACRAMENTO, CA - Today, over 1 million viewers of the Dr. Oz show will hear from several members of our industry in a special segment dedicated to produce. The show is titled, "Is Salad Safe to Eat Again? The Lettuce Industry Speaks Out."
California Leafy Greens Marketing Agreement (LGMA) CEO Scott Horsfall is featured in a one-on-one conversation with Dr. Oz talking about the food safety requirements that LGMA members must uphold. They also discuss what it means to have a culture of food safety.
The segment also includes a “Salad Summit” featuring the following:
- Natalie Dyenson, Vice President of Food Safety and Quality at Dole
- John Boelts, Farmer and First Vice President of the Arizona Farm Bureau
- Toby Amidor, Food Safety Consultant and Nutritionist
Panel members chat with Dr. Oz and audience members about the ways they ensure that salads are produced safely. Dr. Oz emphasizes the importance of eating leafy greens for good health and allows the industry to provide quite a bit of positive information on the safety of leafy greens.
Local listings are available here. So tune in and see the special segment for yourself!
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.