IMMOKALEE, FL - Procacci Brothers President Mike Maxwell is the newest addition to the Eastern Produce Council’s Executive Board, succeeding Sal Zacchia who passed away this Spring.
“I’ve been involved with the Eastern Produce Council for many years, including serving as a Director over the last year,” Mike tells me when I ask him about his new position. “The EPC is a tremendous resource for networking, business development, and produce education. In my opinion, there is no organization that has been more influential in furthering the interests of our industry. I’m honored and excited to take on this new challenge as a member of the EPC Executive Board.”
With over 450 current members, the Eastern Produce Council aims to advance the sales and awareness of fresh fruits and vegetables and organizes a vast network of members that includes retailers, wholesale distributors, growers, venders/brokers, logistics and transportation professionals, as well as commodity groups, food service, and other associations.
Mike served as a Director for the Produce Marketing Association before becoming Procacci Brothers' President, where he is committed to building strong and unique programs, including private labeling, direct-store-delivery, and providing access to a diverse range of products and pack sizes.
ANUK wishes Mike luck in this important new role! For more produce industry news, stay up-to-date with AndNowUKnow.
SOUTH SAN FRANCISCO, CA - A new investment by Jeff Bezos has the man behind the Amazon Whole Foods buyout getting into the fresh produce business, according to a report from Business Insider. Bezos reportedly has taken his place alongside the likes of Eric Schmidt of Alphabet, SoftBank Vision, and DCM Ventures to get in on the ground floor of Bay Area-based vertical farming startup, Plenty.
With the new investors signing on, Plenty announced it will now open a 100,000-square-foot farm in Kent, Washington, where the startup hopes to grow pesticide-free, “backyard quality,” fresh fruits and vegetables for consumers in the Seattle and Vancouver, B.C., areas. This second farm marks the first occasion Plenty will grow beyond its home in South San Francisco.
Business Insider reports that Plenty’s new farm will grow 4.5 million pounds of greens annually, which, according to the USDA, is enough to feed around 183,600 Americans. Set to come online in spring 2018, Plenty’s twist on the classic produce farm means that all of its crops will grow on glowing, LED-lit, 20-foot-tall towers, taking all soil, pesticides, and even natural sunlight out of the growing equation. Those of us in the biz know this is called indoor vertical farming, and allows for a climate-controlled, year-round growing option.
In Seattle, Plenty has said it will begin growing leafy greens and herbs first, but will later expand to fruits, such as strawberries, tomatoes, and watermelons. CEO and Co-Founder Matt Barnard told Business Insider the company will begin selling in 2018 under it’s newly achieved organic certification, and may be even looking at delivery as one option for distribution.
“Seattle’s emphasis on delicious, healthy food and energy and water efficiency makes the area a natural fit for our next Plenty farm,” said Barnard in a press release. “At nearly 100,000 square feet, Seattle will be home to our first full scale farm and help set the standard by which our global farm network makes locally-grown, backyard-quality produce accessible to everyone. We’re excited about what’s next and look forward to building the Seattle team.”
To date, after Bezos’ contribution, Plenty has raised $226 million, which Barnard said will help the company fund new farms around the world in order to drive down prices and costs.
Will the Amazon leader move further into fresh produce investments as he seems to be keeping a watchful eye on the food industry? AndNowUKnow will keep you apprised with the latest.
LOS ANGELES, CA - After teaming up with Freida's Produce, Steinbeck Farms, and Suntava Purple Corn, June Pagan’s Purple Earth Cuisine was set to present at Los Angeles Food Policy Council’s Future of Food event, only to be given a Certificate of Recognition itself. At the L.A. City Hall-stationed event, approximately 500 people gathered to see purpose vegetables in action, as demonstrations and tastings were on display.
“It was a magical week, in that I connected with so many like-minded caring Permaculture devotees. It’s very exciting. The community gardens represent a place to reduce stress, to connect with your neighbors and to create a source of nourishment, which is desperately needed,” Pagan told me.
Over the course of the week, Pagan used Frieda’s purple veggie donations by having a purple pizza tasting for over 350 people, serving Purple Earth Cuisine for photographers in Montebello’s community garden, and contributing to Feed the People, a community group that is affiliated with Seed Library of Los Angeles.
Frieda’s Produce supplied Pagan with purple sweet potatoes, purple potatoes, and purple kohlrabi. Steinbeck Farms offered up purple cauliflower, and Suntava Purple Corn gave Pagan corn flour. After Pagan worked diligently to showcase food highlighting disease-preventative measures, the Certificate of Recognition was a welcome treat!
“I’ve known June Pagan for over 30 years, and she has always been a pioneer in healthy eating options," commented Karen Caplan, CEO of Frieda's Produce. "She contacted us when she first launched her PurpleEarth Cuisine, as she knew we are kindred spirits: Purple and purple foods are our trademark. She is truly a food artist.”
As Pagan continues to navigate the food industry, her hard work will not go unnoticed.
Congratulations to Purple Earth Cuisine for putting your health-focused stamp on the community in which you serve.
AUSTIN, TX - New Year’s resolutions are right around the corner, but instead of letting businesses and customers fret about new-year-new-you proposals, Whole Foods Market announced that its global buyers and experts have done all the heavy-work them. The group created a list for the most anticipated trends in the food industry for 2018 so that businesses can rest assured their resolutions are researched and well-thought-out. Broken down into a few easy-to-digest points of reference, Whole Foods’ recent press release outlines what business trends we should expect to see for the coming year, especially in produce.
Festive and Floral
Edible flowers step up to the plate, reaching beyond the centerplace arrangement. For customers looking for a subtly sweet taste and an aromatic experience, this is a great pick! For shoppers tired of the same herbs seasoning their holiday dishes, get a head start on this trend by trying them in place of go-to herbs. Elderflower is the Most Valuable Petal (MVP) to add pizazz to dishes year-round.
Mushroom Varieties
Customers are looking to mushrooms as more than just a dietary supplement. The wellness-supportive ingredient includes varieties such as reishi, chaga, cordyceps, and lion’s mane, and they are heading to bottled drinks, coffees, smoothies, and teas near you! Another great way to incorporate this must-have item into your store is to showcase it as a mushroom broth, preserving the earthy, creamy notes.
Transparency for Product and Production
“Curiouser and curiouser,” cried Alice in her adventures in Wonderland. Fast-forward to 2018, and “curiouser and curiouser” our industry’s customers are looking to become, as they strive to gather more insight into product labeling and the stories of the farms behind their food. Consumers are looking to travel into our Wonderland of produce for GMO transparency, Fair Trade certifications, production responsibility, and animal welfare standards when it comes time to make dinner.
Plant-Based Taste and Technology
Diets are becoming more diverse, and one that has garnered much popularity is the plant-based diet. Science has reportedly advanced to such a degree that plant-based ingredients and proteins can be changed. For example, “bleeding” vegan burgers and “not-tuna” sushi from tomatoes are some alternatives for consumers. Nut milks and yogurts are also going to face this same alteration process this coming year to keep up with the rising interest in the plant-based lifestyle.
Root-to-Stem Recipes
Customers are wanting the whole thing—whatever produce they purchase, they just want it all! Whole Foods’ experts found that consumers are looking to use everything their food has to offer, including the fruit or vegetable’s leaves and stem. This trend works great for recipes, such as pickled watermelon rinds, beet-green pesto, and broccoli-stem slaw. Always the innovators, consumers are looking to grocers for help in their dinnertime ventures.
Powder Players
Adding energy- and health-boosting items to our meals is easy-as-pie with the addition of powders, which are a great way to add nutrients to daily must-haves. Lattés, smoothies, nutrition bars, soups, baked goods, and more are all made better when customers find they can get more bang for the buck. Some powders to showcase to your customers are matcha, maca root, and cacao for energy boosts; ground turmeric for medicinal purposes; spirulina, kale, herbs, and roots for smoothies; and protein powders for new nutrients and skin- and hair-lengthening collagen.
Middle East Feast
We’re going international, folks! In 2018, consumers are said to be looking more and more for the Middle Eastern flavors they know and love. Influences from the region can be seen in the insatiable need for traditional items, like hummus, pitas, and falafels. Now, however, consumers are wanting to get more than just their toes wet with exciting Middle Eastern spices. These adventurous customers are looking for the endless variety of spice-filled dishes hailing from the region’s cultures; spices like harissa, cardamon, and za’atar are making their way into the spotlight. Produce items like eggplant, pomegranate, cucumber, parsley, mint, tahini, tomato jam, and dried fruits are also ways to infuse foods with more of Middle Eastern flare.
Crunch Time
Pop, crunch, and crunch—OH MY! Crispy delights like popped cassava chips, puffed pasta bow ties, seaweed fava chips, and puffed rice clusters are becoming more popular. And, hooray! The indispensable chip has healthy options: soon-to-be fast-selling jicama, parsnip, and Brussels sprout versions. Break it down, STOP! It’s crunch time...
Thanks to the findings by experts employed by Whole Foods, these are just some ideas your business can use to capitalize on the incoming year’s trends. To see the rest, check out Whole Foods' website here, and to stay in-the-know, keep checking back with us at AndNowUKnow!
PASADENA, CA - Sweaters and blankets are not the only fuzzy things that are proving to be popular during the cooler months. However, unlike warmer clothing, kiwifruit brings sparks of tartness and sweetness to brighten cloudy days. Capitalizing on the holiday shopping season, retailers are having success showcasing California kiwifruit while it is in season, October through May, in holiday-themed packaging to tap into the seasonal cheer.
“The whole kiwi category is garnering more and more attention from retailers and consumers,” said Howard Nager, Vice President of Business Development, in a recent press release. “While kiwifruit may not produce huge volume for a retailer right now, they are finding they can drive incremental sales with very little effort, and we’re seeing the greatest volume with Mighties 2-pound clamshells.”
Mighties kiwi from Sun Pacific boasts of approximately 50 percent of the California kiwifruit production on the market. After shipment of the California-grown fuzzy fruit began the first week of October, grocers have been utilizing the consumer demand for healthy, holiday snack options to their advantage. Mighties have made their debut at many retailers in secondary locations throughout the produce aisle.
And, like the saying goes, teamwork makes the dream work, as can be seen in the marketing placement of Sun Pacific’s Mighties kiwifruit and the fan-favorite Cuties alongside each other. When the two are seen side-by-side, retailers have, according to the press release, shown a triple digit volume and dollars sales lift for Mighties. As is true of all well-suited partners who complement each other, Cuties also shone a little brighter to consumers because sales for the popular fruit reportedly also increased.
“We are doing a really good job of not only branding but education on this rising superfruit,” said Nager. “From health-conscious parents who want a vitamin-packed snack for their busy kids to foodies that love the flavor profile and color, Mighties is quickly becoming a staple produce purchase.”
There are no needed tricks for your consumer to use to make this holiday treat ripe on command because Sun Pacific pre-conditions its California kiwi crop so that it is ripe and ready-to-eat upon purchase. What makes Sun Pacific’s kiwifruit’s ripeness so unique is the company’s use of a proprietary process that ensures a consistently sweet, delicious flavor. This consequently eliminates guesswork for consumers, giving everyone peace-of-mind.
While the ripeness might be on point, your business might be asking, “How does Sun Pacific market towards all audiences?” Well, to make sure consumers know just how healthy and nutritious kiwifruit is, the company has packaged its produce to educate everyone who reads it about the benefits of kiwifruit indulgence. A spife, or a combination of a spoon and knife utensil, and the brand’s original cut, scoop, and eat messaging reinforce to families looking for healthy, holiday snack options that Mighties kiwifruit is available and ready-for-the-eatin’.
Sun Pacific reported that one-third of parents who have purchased Mighties, and more than 80 percent of children prefer the brand, so it must come as no surprise that Sun Pacific’s 40,000 acres of fruit in California has made the brand one of the largest growers of kiwi in North America. Plans to plant more kiwifruit are being made by Sun Pacific to keep up with retailer demand, with an expected growth of tripled kiwifruit crop and an estimated 70 percent of California’s kiwifruit production.
With so much growth on the horizon, stay tuned into AndNowUKnow, where we will continue to report on the latest fresh produce industry trends.
CARTAGENA, COLOMBIA – Fresh to the U.S. market and ready to impress, Mission Produce and Colombia-based Cartama have teamed up to bring avocados from Colombia into the United States for the first time ever. Working with grower and exporter Hasspacol, the first shipment is scheduled to arrive early this week in Port Everglades, Florida, making it the first Colombian fruit on U.S. soil.
“Being the first to import Colombian fruit to the U.S. reinforces Mission’s global footprint and leadership in the avocado category,” said Mission Senior Vice President of Global Sourcing Jim Donovan in a recent press release. “It’s crucial for Mission to capitalize on all available sources to serve our growing customer base. Our partnership with Cartama in Colombia has been in the works for a number of years, and when this opportunity finally came to fruition, we were ready.”
The first containers of Colombian avocados destined for the U.S. were loaded onto vessels at the Port of Cartagena on November 2, during a ceremony that included Colombian avocado growers and packers, Colombian Secretary of Agriculture Juan Guillermo Zuluago, Instituto Colombiano Agropecuario (ICA) officials, and a special message from the President of Colombia, Juan Manuel Santos.
“ICA is Colombia’s agriculture and food safety authority, and has been instrumental in developing the phytosanitary requirements for export to the U.S.,” said Cartama CEO Ricardo Uribe. “We worked closely with Emilio Arevalo, the Technical Director at ICA, and with APHIS, in assuring that the strict requirements of the export protocol were met and that all future farms adhere to this protocol.”
The fruit for the first arrival was grown by Hasspacol, and packed at Cartama’s facility in Pereira, Colombia, under the Mission and Hasspacol label. “I’m proud to be the first Colombian grower to supply the U.S. market. Proud for my company, my team, and my country,” said Commercial Director of Hasspacol Jose Luis Gonzalez. “We know we have high-quality fruit, and now everyone else will know, too.”
The first shipment sailed on a Hapag Lloyd service November 3, with delivery scheduled today, November 6. Once the shipment clears inspections it will be moved directly to Mission’s Atlanta forward distribution center for further inspection, before being delivered to the final customer.
Mission Vice President of Sales & Marketing Brent Scattini indicated that there is strong interest in Colombian fruit from a retailer perspective. “Since the announcement about Colombia being allowed into the U.S., we’ve had customers asking about it and several wanting to be the first to receive the fruit. We expect volume to build throughout the season as well as in years to come. Having an additional source, another option, is good for our customer base,” he said.
“Our customers expect us to be pioneers in the global avocado supply chain,” added Mission CEO Steve Barnard, affirming the opening of Colombia will have a positive impact on the U.S. market. “Our involvement in Colombia extends Mission’s footprint to yet another country and enhances our ability to serve our customers as this category continues to boom globally.”
Will the Colombian fruit alter the U.S. market for the better? AndNowUKnow will continue to report.
WASHINGTON, DC – The U.S. Department of Agriculture (USDA) has filed an administrative complaint under the Perishable Agricultural Commodities Act (PACA) against Huxtable’s Kitchen Inc.
According to a USDA press release, the company, operating from California, allegedly failed to make payments to six produce sellers in the amount of $551,829 from October 2015 through May 2016.
Huxtable’s Kitchen Inc. will have an opportunity to request a hearing. Should the USDA find that the company committed repeated and flagrant violations, it would be barred from the produce industry for two years. Furthermore, its principals could not be employed by or affiliated with any PACA licensee for one year and then only with the posting of a USDA-approved surety bond.
In the past three years, USDA resolved approximately 3,500 PACA claims involving more than $58 million. Its experts also assisted more than 8,000 callers with issues valued at approximately $140 million. These are just two examples of how USDA continues to support the fruit and vegetable industry.
INDEPENDENCE, KY - Looking oh-so-fresh these days, Crosset Company has unveiled www.crosset.com With its new look and enhanced functionality, the company’s website has launched a redesigned digital home base.
“We redesigned and restructured our website to better communicate the Crosset Company organic produce advantage and the broad range of products and services we offer our customers and growers,” said Bob Lummis, Crosset Company Sales/Merchandising Manager. “Crosset has been at the leading edge of the growing consumer demand for organic produce. We jumped in early-on to help our customers realize the potential of a well-executed organic program. In fact, we are the largest distributor of organic produce east of the Mississippi River. In addition, our new website visually reflects the beauty and freshness of the organic and conventional produce and floral products we move from farm to market every day.”
The company addresses several aspects of the industry, as it has proven itself to be a leader in the distribution of organic fresh produce, as well as a premier full-line, full-service wholesaler of fresh produce and floral products. To garner the attention of its vast array of customers, the new website is reported to be fully responsive, mobile optimized, and easy to navigate, and it will become the central platform displaying the company’s full range of products and services.
“We bring generations of produce experience to help our customers and growers get ahead and stay ahead,” said Lummis. “We invite retailers, grocery wholesalers, foodservice distributors, and growers to browse our new site and learn more about how we put our experience, scale, network, and high-touch service to work for them…delivering fresher, delighting shoppers, simplifying supply chains, and driving profitable growth.”
So, what is all the excitement actually about, and how does it help you? The website’s main focus is to deliver information, insight, and resources for customers in order to ensure they are able to profitably grow their businesses. The “Resources” section of the website has been further developed, and there is a new Crosset Company blog. Customers can also download merchandising tools and tune into the new Produce Talk, a weekly newsletter that will give customers up-to-date information about conditions on the supply chain, trends, new and seasonal items, merchandising timing, promotional opportunities, and more.
Stay tuned into AndNowUKnow for more fresh produce news and to hear how Crosset Company and others continue to push the consumer engagement envelope with evolving platforms.
HOUSTON, TX – Good things are coming in twos for Sysco this week; the foodservice company announced robust first quarter fiscal 2018 results this morning—with solid growth in sales and profits—and the completed acquisition of leading Costa Rican food distributor Mayca Distribuidores.
“We continue to consistently execute our customer-centric strategy in a cohesive and effective manner, as our U.S. Foodservice Operations delivered solid first quarter results, more than offsetting the softer performance of our International Foodservice Businesses,” said Bill DeLaney, Sysco’s CEO, in a company press release. “In doing so, we largely mitigated the unfavorable near-term financial impact of multiple devastating hurricanes in several of our key markets. I am exceedingly proud of our 65,000 associates who collectively supported our customers, communities, and each other throughout the quarter.”
First quarter fiscal results included:
- Sales increased 4.9% to $14.7 billion
- Gross profit increased 3.8% to $2.8 billion; gross margin decreased 20 basis points to 19.07%
- Operating income increased 9.9% to $623 million; adjusted operating income increased 5.6% to $662 million
- Earnings Per Share (EPS) increased $0.11 to $0.69; adjusted EPS increased $0.07 to $0.74
- Operating income was $781 million, an increase of $36 million, or 4.8%, compared to the same period last year
Though the company noted “mixed results across…various businesses” in its international foodservice operations, sales for international foodservice operations rose 6.4% to $2.9 billion. Though operating income and adjusted operating income were down, Sysco noted its excitement about the acquisition of Mayca Distribuidores in a separate press release.
“We are excited to officially welcome our partners from Mayca into the Sysco family of companies,” said Scott Sonnemaker, Sysco’s SVP-International Foodservice Operations, Americas. “Increasing our international presence has been a large part of our strategy in recent years, and the success and growth we have seen in Costa Rica are great examples of our strategy at work.”
Sysco initially entered into partnership with Mayca in 2014 after purchasing 50% of the company. The Costa Rican company has been in business since 1995, and in addition to its distribution business, has a retail cash-and-carry affiliate with twelve locations, and three additional locations under construction, in addition to a cold-storage company and a truck leasing company. In April, Mayca moved into a 170,000 square-foot facility, one of the largest foodservice distribution centers in Central America, designed to represent the best in technology and energy efficiency.
“The closing of this acquisition is a huge benefit to our associates and customers,” said Jose Maroto, Mayca’s CEO and President. “Our customers will continue to benefit from the wide variety of Sysco’s product assortment, eCommerce solutions, services and expertise.”
Following the acquisition, Maroto will continue to serve as CEO and add new responsibilities as Sysco’s VP of Business Development, Central and South America, to assist with executing Sysco’s strategy by growing business in Costa Rica and the surrounding regions. Osael Maroto, Mayca’s Operations Manager, will assume the role of President.
AndNowUKnow will continue to report with more important foodservice industry news.
NOGALES, AZ - With the beautiful Tubac Golf Resort as its backdrop, the produce industry descended upon Nogales, Arizona this week, uniting once again for this the 49th Annual Fresh Produce Association of the Americas (FPAA) Annual Produce Convention and Golf Tournament. As one of the largest entry points for Mexican produce in the United States, Nogales lent the perfect arena for discussing everything from the latest on NAFTA and expanding produce consumption, to our own CEO Robert Lambert touting some of the innovations we’ve seen throughout the produce industry.
Serving the needs of more than 100 North American companies involved in the growth, harvest, marketing, import, and distribution of Mexican produce, this year, like the years before it, provided a powerful voice for improvement and sustainability.
Kicking off on November 2 with a welcoming lunch and a session from ANUK’s CEO Robert Lambert, who offered insights on everything from from robotic harvesting to optical sorting and beyond. Those at the session followed along on their mobile devices with our proprietary real-time survey feature, engaging in some of the best and brightest innovations the industry has to offer.
Next, attendees were treated to one of the most comprehensive looks into the recent NAFTA modernization efforts that our industry has to offer, with panelists featuring President of the Canadian Produce Marketing Association Ron Lemaire, President of Fresh Evolution Martin Ley, Managing Member at Fresh International Javier Badillo; and Trade Economist for American Farm Bureau Federation Veronica Nigh and moderated by FPAA President Lance Jungmeyer. These highly respected representatives of the fresh produce industry from across sectors of the industry joined together to discuss what they would like to see in the revamped trade agreement.
And this was just the beginning of the educational sessions offered on day one. Wilson Produce gave a case study on how it has learned its company’s strengths as it has forged a future in the produce industry. With James Martin of Wilson Produce taking on a yearlong process of mapping the company’s history and attributes, Wilson Produce portrayed it visually in a mural-esque animated video that showed the company’s unified and singular mission.
Next, friend of AndNowUKnow Lori Taylor of The Produce Moms offered her insights on just exactly what moms think of Mexican produce. Touching on what moms look for as they shop in the fresh produce department, Taylor surveyed her online audience and shared the results with FPAA’s knowledge-hungry attendees.
Last but not least on the education front at FPAA was keynote Rick Stein, Vice President of Fresh Foods at FMI. Stein offered his thoughts on consumers in the fresh produce department, sharing with those at the show exactly what they buy more of and why through FMI’s yearly Power of Produce Study.
Ending the night with the always bustling and boisterous Opening Fiesta and Networking Event in the Ball Room, the FPAA crew was well-prepared for another day of knowledge, networking, and, as always, the annual golf tournament.
Following the Shotgun Start of the tournament at 9:30 am, some of the sleepier attendees made their way to the FPAA’s 2nd annual Culinary Showcase, featuring top dishes out of Mexico’s top produce categories. Offering samples of unique and delicious culinary creations from chefs and culinary teams, the event sponsored by the FPAA and the Mexican Consulate of Nogales brought a flavorful twist to the end of a day of learning.
As the day closed out with the annual Gala Event and “Pillars of the FPAA” Awards Ceremony, this year honoring James and Sylvia Chamberlain, Founders of J-C Distributing, a distributor of vegetable and tomato products from its 90,000-sq.-ft. facility operated out of Nogales.
Those at the Gala had an elegant sit-down dinner, danced the night away to musical entertainment, and sent off the ceremony with the Pillars of the FPAA recognition award ceremony and the annual United Fresh Salad Bar Program presentation, which highlighted the organization's recent 5,000th salad bar donation.
Thank you to our friends at FPAA for another chance to give the produce industry a look into this thriving border community. Here’s to an always growing Mexican growing sector, and to keeping this date on our calendars year-after-year.