UNITED STATES - The long-debated 12-nation Trans-Pacific Partnership (TPP) deal has finally been reached, potentially strengthening trade relations between around 40 percent of the world’s economy.
According to the USDA, the TPP would eliminate or significantly reduce tariffs on American products and deter non-science based sanitary and phytosanitary barriers that have put American agriculture at a disadvantage in TPP countries in the past.
“An agreement on the Trans-Pacific Partnership (TPP) negotiations provides a more level playing field in trade for American farmers,” explained U.S. Agriculture Secretary Tom Vilsack in a released statement. “Despite these past barriers, countries in the Trans-Pacific Partnership currently account for up to 42 percent of all U.S. agricultural exports, totaling $63 billion. Thanks to this agreement and its removal of unfair trade barriers, American agricultural exports to the region will expand even further, particularly exports of meat, poultry, dairy, fruits, vegetables, grains, oilseeds, cotton and processed products.”
The twelve countries that will be affected by the TPP are Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the U.S., and Vietnam.
If ratified, the Trans-Pacific Partnership would be the largest pact governing international commerce in more than two decades, according to Bloomberg, encompassing 40 percent of the world’s economic output. President Obama released a statement saying the trade pact would eliminate more than 18,000 taxes on U.S. products and includes enforceable labor and environmental standards.
"Failing to grasp this opportunity would be a mistake: worse than just losing out on potential gains, our producers would fall behind other countries that are negotiating their own preferential arrangements in TPP countries,” continued Vilsack. “We are committed to working with Congress within the framework of the recently-passed Trade Promotion Authority to obtain a strong bipartisan understanding of and support for this historic trade deal that benefits farmers, ranchers, and all those who live, work and raise families in rural communities.
The deal has not been without opposition, however. Vermont Senator and presidential candidate Bernie Sanders, as well as Massachusetts Senator Elizabeth Warren have been the most vocal in their opposition to the deal, saying it would favor corporations and will undercut U.S. wages.
Congress will now have at least 90 days to review and officially approve the deal.
BELLINGHAM, WA - While it has been a tumultuous several months for the Haggen chain, plans appear to be solidifying as the company steps back to center around the core stores it identified as continuing to be profitable.
The chain has been busy in court, filing motions for approval on two separate asset purchase agreements and looking for a court hearing to propose global bid procedures.
According to a press release, the company has deals for the sale of 36 stores in two stalking horse bidder agreements that it is looking to get approved. Smart & Final LLC has reportedly signed an agreement for 28 stores in both California and Nevada, while Gelson’s Markets has signed off an asset purchase agreement for an additional 8 California stores.
As for the auction, the chain reports it is looking for a hearing on October 19th, with parties interested in participating in the sale of its stores having to submit interest by October 26th. Though all dates are tentative and still subject to approval by bankruptcy court, the auction itself is slated for November 9th, with all bids having to be in by November 2nd. A hearing to consider the results of the auction on November 24th.
According to the release, a sale hearing will be held on November 13th if no auction takes place for a stalking horse package, or if one of the stalking horse bidders is the successful bidder for its package after the auction and the contracts identified in the original bid have not changed.
A complete updated list of the stores agreed to by Gelson’s and Smart & Final can be found below:
Any party interested in finding out more about the process, which the company said has been designed to be fair and transparent to maximize value, should contact Sagent Advisors, LLC at (212) 904-9400. Sagent has been retained to handle the sale process and will be able to provide more information.
PLEASANTON, CA - Welcome to What’s In Store.
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BANCROFT, WI – Tasteful Selections is launching a new campaign with non-profit organization Katie’s Krops to take action in the fight against hunger.
The campaign, dubbed “Meet Your Grower,” highlights local Katie’s Krops growers and educates customers about local hunger relief efforts. In addition, for every specially marked bag of Tasteful Selections’ Ruby Sensation and Honey Gold potatoes sold from October through January, the company will donate a portion of the profits to Katie’s Krops as part of the campaign, according to a press release.
Tasteful Selections will provide select retailers with customized demonstrations, display contests and POS materials this fall to promote the campaign.
Russell Wysocki, President and CEO of RPE Inc., and Co-Owner of Tasteful Selections, said that part of the aim this year is to help raise awareness about Katie’s Krops and end hunger.
“We want to make it easier for people to support those in need within their own communities, especially during the holiday season,” said Russell Wysocki, President and CEO of RPE Inc., and Co-Owner of Tasteful Selections.
This is the third year Tasteful Selections has partnered with Katie’s Krops and Founder and Chief Executive Gardener Katie Stagliano.
“This year’s campaign provides a great opportunity to engage and educate the public about Katie’s Krops mission and how proceeds from the sale of the Katie’s Krops Tasteful Selections packages can really make a difference for those in need in their local communities.”
Katie’s Krops donates thousands of fresh produce to organizations helping people in need from Katie’s flagship garden in South Carolina and by awarding grants to youth-led gardens. There are currently over 80 Katie’s Krops gardens growing across the country in 30 states. The goal is to create and maintain 500 gardens nationwide.
RPE and Tasteful Selections will continue to donate proceeds from packages of Tasteful Selections potatoes to help fund Katie’s Krops gardens.
HOKKAIDO, JAPAN - Short of watching the Harry Potter movies, you’re not likely to walk into an area and find yourself surrounded by a bunch of floating pumpkins.
Unless you’re in Naganuma, Hokkaido, one of the largest producers of pumpkins in Japan.
According to The Japan News, Naganuma farmers have begun using aeroculture (agriculture suspended off the ground) to grow kabocha pumpkins.
“I can harvest the pumpkins standing up, without having to bend at the waist,” Junya Nagamori, Manager of a the Shinsei Shoji greenhouse farm, told Naohiro Yoshida and Yomiuri Shimbun of The Japan News. “It’s also cooler in the greenhouses during summer because the vines block the sun.”
Not only does this method help cool the greenhouse, which is important in Japan’s tropical climate, but the growers also say that the suspension helps provide better color to the gourds by giving sun exposure to the parts that would normally be buried.
Having come to be known as “flying pumpkins” in the area, Masaei Takada, owner of Shinsei Shoji, told the reporters that these pumpkins have better quality and texture than on average this year. As a result, the company’s pumpkins were trading for a higher price than conventionally soil-grown pumpkins at about ¥3,000 (about $25) per 10 kilograms (about 22 pounds). That’s more than a dollar per pound of pumpkin.
Hokkaido’s prefectural government also credits the area’s extreme differences in daytime and nighttime temperatures, The Japan News reports, for contribution to what is described as delicious pumpkins with both a crumbly and soft texture.
So while the method may appear a little strange and spooky, especially at this time of year, it also appears to be effective.
MONTVALE, NJ - In A&P’s latest filing to the U.S. Bankruptcy Court, the company detailed $12.6 million in payments for executives and company insiders prior to the company’s bankruptcy announcement.
In the months before the company announced its bankruptcy, A&P reportedly paid out $4.6 million to company Chairman Gregory Mays. Payments from an undisclosed $6 million trust to top executives at Montvale-based A&P came to light several weeks ago, but details about these and other payments were not revealed until the bankruptcy court required the company to itemize payments made to corporate insiders during the year before the bankruptcy announcement.
Some of the company’s executive payouts, according to news source North Jersey, include the following:
- Greg Mays received $4.6 million in consulting fees and other payments during the year before the July 19 bankruptcy filing, including a $2.5 million payment from the special trust.
- Chief Executive Paul Hertz received a $1.5 million trust payment and a $225,000 bonus.
- Chief Administrative Officer Christopher McGarry received $2.3 million during the year leading up to the bankruptcy filing, including his salary, a $1.5 million trust payment, and a $225,000 bonus.
- Senior Vice President and Chief Financial Officer Tim Carnahan and Chief Strategy Officer Nirup Krishnamurthy each received trust payments of $250,000.
- Chief Merchandising Officer, Eric Kanterman, received a $100,000 bonus in May, and a $400,000 retention payment July 17, two days before A&P filed for bankruptcy.
- Top executives received monthly car allowances of $700 to $800 and reimbursements for expenses.
- Mays had the highest expense account reimbursements, with over $16,000 in reimbursements during the month before bankruptcy.
Bankruptcy Judge Robert Drain and legal experts had previously questioned the company’s decision to set up the $6 million “executive management plan secular trust,” which many believe is equivalent to creating a retention plan for its top executives in the face of many lower level employees being threatened with layoffs.
For more on this story as it develops, keep looking to AndNowUKnow.
PERU - Retailers, get ready to promote. Asparagus volume will be ramping up within the coming weeks as new fields in Ica, Peru come into production.
Despite the recent fluctuating market, growers are now responding with improved volumes from both Peru and Baja and, as a result, supplies should be excellent for the next couple of months.
This is an exciting time of year for Southern Specialties and Gourmet Trading. Both companies are looking forward to fantastic overall quality from the new fields in southern Peru, but will continue to monitor volumes and yields as they approach the year’s end.
“We have good quality as we did last year,” said Carlos Solf, Southern Specialties’ Director of Procurement. “Demand has been good as well. There are a lot of opportunities to promote small sizes, which have great flavor, cook quicker, and have more stalks to the pound. We can provide excellent quality at prices that provide great value to the consumer.”
Lately, the market has been variable with significant peaks and valleys, Solf added. The Guanajuato harvest this season ended somewhat faster than usual, which kept supplies on the short-end for late August and for most of September. Subsequently, prices were pushed up to levels not usually seen for this time of year. With the improving volumes and the softening airfreight rates, however, market pricing should start to adjust.
“The recent lack of volume and related high prices did stall retail movement,” said Gourmet Trading’s Jan McDaniels, Sales. “Volumes have significantly increased from the new fields over the past week so we are expecting excellent supplies for the next couple of months. The improving volumes from both Peru and Baja, coupled with the softening airfreight rates, are allowing the market pricing to adjust so we can restart volume shipping and promotions with all sectors.”
As of October 1, 2015, the USDA reported prices of Peruvian imported asparagus at South Florida at $17.00 - $21.00 for jumbo sizes, $17.00 - $20.00 for extra large sizes, $17.00 - $20.00 for large sizes, $16.00 - $18.00 for standard sizes, and $11.00 - $14.00 for small sizes.
McDaniels added that Gourmet Trading is excited to work with increasing volumes of non-fumigated asparagus from the company’s Baja fields, especially for its West Coast customers.
“The improving volumes are also allowing us to expand the bagged asparagus program to better service our retail and food service customers,” said McDaniels. “We are looking forward to great volume from both regions for the October and November period.”
Stay tuned to AndNowUKnow as we continue to track the asparagus market.
UNITED STATES - Hurricane Joaquin has now officially been upgraded to a Category 4 storm by the National Hurricane Center, and is still on track to potentially affect the eastern United States.
"Hurricane Joaquin is now an extremely dangerous Category 4 Hurricane wreaking havoc in the central and eastern Bahamas tonight through Friday morning," explained ABC News Meteorologist Melissa Griffin. "It then turns north and begins a weakening trend."
There’s still "a lot of uncertainty" about whether it will hit the East Coast, National Hurricane Center Director Rick Knabb said in a news conference on Thursday as the warm waters in the Bahamas brought the storm up to a 130 mph Category 4.
“We still don't know where Joaquin will go next,” Craig Fugate, the Administrator of the Federal Emergency Management Agency also mentioned at yesterday's conference, saying the agency will not take any chances with the public’s safety.
"One way or the other, North Carolina, South Carolina, Virginia and on up will get between 5 and 10 inches of rain—even without a direct landfall," CNN Meteorologist Chad Myers said. "If we get a landfall, we get 15 inches of rain and winds of 80 mph.
Even without direct landfall, Myers says, there will be significant flooding through the Carolinas, Virginia, and up the East Coast. Precautions are already underway in the region, with governors in the coastal states warning residents to be ready for wet storms, power outages, and road closures. So far, North Carolina, Virginia, and New Jersey Governor Chris Christie have declared states of emergencies for their states.
“The immediate threat is for severe flooding on Friday and Saturday, the second is tracking the path of Hurricane Joaquin as those forecasts become clearer over the next 24 to 72 hours,” Christie said in a statement.
For more on the pressing weather event, stay tuned as AndNowUKnow gives you the latest.
SALINAS, CA - Church Brothers is taking numerous steps to further food safety.
The company's Vice President of Quality Food Safety and Regulatory Affairs, Drew McDonald, has been nominated as the incoming Chair of the Center of Produce Safety’s (CPS) Technical Committee, as well as Vice Chair of the United Food Safety, Quality and Technology Council.
McDonald is a 21 year veteran of the leafy greens industry, having worked on both the buy-side and the supply-side. According to Church Brothers, he is well known for taking part in an LGMA digital series (below), where he shared his insights when it comes to creating a culture of food safety.
Steve Church, CEO of Church Brothers and Treasurer for the Leafy Greens Marketing Association, said the Church Brothers and True Leaf Farms support CPS in its campaign and are proud to have Drew be part of the effort.
“Safety for our products and our people is a key value at Church Brothers and True Leaf Farms; we believe in funding research that supports a safe, food supply chain,” Church said in the release.
In fact, in addition to McDonald’s recent nomination, the company and its processing arm True Leaf Farms have pledged $125,000 in support of the CPS campaign for produce safety.
As we previously reported, this is a major funding initiative designed to secure $20 million in funding for the cause over the next five years. The CPS itself is a collaborative partnership using the combined expertise of scientific, academic, industry, and government coming together to enhance food safety.
MINNEAPOLIS, MN - Supervalu has just announced President and CEO Sam Duncan will be retiring from his positions on February 29, 2016, following the end of the Company’s fiscal year.
“SUPERVALU is a terrific organization and we have accomplished a great deal together during the past two and one-half years,” said Duncan. “I am also looking forward to finishing the year strong and continuing to drive sales and cash through my remaining time at the Company, as well as providing time and support to ensure a smooth transition for my successor. After 46 years in the grocery and retail business, this is a bittersweet moment, but I am also excited by the opportunity to have more time for my family and personal interests following my retirement."
Duncan has served as President and CEO of the company since February 2013 following its sale of five retail grocery banners to Albertsons. Under Duncan’s leadership and direction, Supervalu has repositioned its three core business segments: Independent Business, Save-A-Lot and its five remaining regional Retail Food banners, as well as helped deliver increases in shareholder value. According to a press release, Duncan at 63, is retiring to spend more time with his family in the Pacific Northwest.
“Sam has made a tremendous contribution to Supervalu during his tenure as President and CEO,” said Jerry Storch, Non-Executive Chairman of the Board. “He helped stabilize the business following the sale of the five retail grocery banners and has led a turnaround in the performance of the entire company including improving the performance of all three of its core business segments. The Company is in a better place today because of Sam’s leadership. The Board is very grateful and appreciative for Sam’s contributions to the Company.”
Storch also confirmed that the Board has already begun the process for naming the next CEO, and is considering both internal and external candidates.
Along with the revelation of Duncan’s announcement, Supervalu has also noted that Bruce Besanko has been promoted to the newly-created role of Executive Vice President, Chief Operating Officer, who will now report to Sam Duncan. Susan Grafton has also been promoted to Executive Vice President, Chief Financial Officer, and will report to Bruce Besanko. Both appointments are effective immediately.
In his role as Chief Operating Officer, Besanko will have oversight of finance and the company’s independent business operations, five regional Retail Food banners, and the company’s merchandising, marketing, and pharmacy functions, according to a press release.
“I’m very pleased that Bruce has been promoted to the role of COO for our Company,” commented Duncan. “He has done a superb job as CFO for Supervalu, working with me and the leadership team on all aspects of the Company’s turnaround success. In this role, I am confident he’ll help lead our operations teams to successfully plan and execute against our future business strategies.”
Duncan also commented on Grafton’s new role, explaining that she has a tremendous financial background and has been instrumental in helping the company reposition its financial organization and the overall business.
The company also confirmed that this announcement will not impact its continued exploration of a separation of its Save-A-Lot business.