MISSION, TX - The second annual Viva Fresh Expo registration is now open, and you may want to register while you can.
Slated for March 31 through April 2 of next year, the second annual Viva Fresh Expo will take place at San Antonio, Texas’ JW Marriott Hill Country Hotel & Spa.
The host of the Viva Fresh Expo TIPA (Texas International Produce Association) is looking forward to a show that tops last year's success, according to President & CEO Bret Erickson.
“Last year’s Viva Fresh Expo proved to be an overwhelming success, with triple-digit retail and foodservice buyer attendance, standing room only meeting rooms, and a busy convention hall,” Erickson said in a press release. “The numbers were impressive, but the feedback from attendees was extremely positive, highlighting the importance of this region and a well-executed show focused on quality produce.”
Themed the “Gateway to the Americas,” this show is the successor to a sold out debut that took place last spring in Austin, Texas.
So if you wish to exhibit or sponsor the event, you’re encouraged to do so earlier rather than later.
“Connecting with suppliers is key to our success, and the Viva Fresh Expo brings all of Texas and Mexico to us,” Hugh Topper, Group Vice President for H-E-B, said, according to the release. “It’s the best of both worlds—a regional expo that stretches international boundaries.”
The event highlights produce grown in Texas, as well as the neighboring Southwest States and Mexico, with a focus on networking and quality education.
“Being the first to introduce virtual field tours was exciting – we were able to bring the farm to the comfort of a hotel conference room,” Dante Galeazzi of Crescent Fruit & Vegetables, said. “We maximized the time and education opportunity for all attendees creating a real-time dialogue and interactive experience that we are excited to continue.”
And this newest event promises more big ideas and big flavors, including:
- Chef-inspired events and receptions highlighting the health and flavor of Southwestern U.S. and Mexico-grown produce.
- Creating a positive networking environment to bring buyers and sellers together.
- Quality education with a luxurious backdrop from San Antonio Hill Country’s JW Marriott
If you were at the 2015 Expo, you know you don’t want to miss this one. If you weren’t, now is your chance!
Registration for retail and foodservice buyers is free and a travel stipend is provided. Buyers, attendees, exhibitors, and sponsors may all register online at www.vivafreshexpo.com, as well as review additional information.
LA MOLINA, PERU - After nearly four years of collaboration between Peru’s Ministry of Agriculture and Irrigation (MINAGRI) and National Service of Agrarian Health (SENASA), Peruvian blueberries are finally being welcome across the Canadian border.
Worth over $186 million, the Peruvian blueberry market has officially satisfied requirements stipulated by the Canadian Food Inspection Agency (CFIA), who has since published the phytosanitary export requirements.
Phytosanitary requirements agreed between the CFIA and SENASA to export this fresh fruit are:
- All production sites processing and packing fresh blueberries must be certified by SENASA.
- Request an import permit from the CFIA, for each export consignment.
- SENASA will issue the phytosanitary certificate, stating the following additional statement:
- "This shipment has been inspected and found free of all life stages of any pests regulated by Canada."
MINAGRI, who noted both Canada and the U.S as two of the biggest import markets in the world, commented that this new deal will represent a huge opportunity for Peruvian exporters and could help boost the country’s agricultural growth.
Peru currently has around 1000 hectares (2,470 acres) of blueberry production mainly throughout the regions of La Libertad, Ancash and Lima. However, officials from the country expect this to easily increase up to 4,000 hectares (9,880 acres) in the coming years, according to a press release.
Before the addition of Canada, the country had been exporting fresh blueberries to the U.S., the Netherlands, the U.K. and Hong Kong.
Also noted in the phytosanitary requirements is that Canadians would accept blueberries treated with methyl bromide, but its possible application must be evaluated by the exporters in conjunction with SENASA.
SENASA said it was continuing to work toward gaining access to many more markets, including China, Japan, South Korea, Taiwan, South Africa, Chile and Colombia.
UNITED KINGDOM - With rumors of a significantly shorter buyer list for Tesco's dunnhumby, as well as the possibility that the UK-based retailer could only receive one-third of the originally anticipated price, the sale of the data firm is shaking up.
As we have previously covered, Kroger revisited its deal with Tesco earlier this year in regards to the North American counterpart of the data firm, dunnhumbyUSA, purchasing a majority stake and renaming the company to 84.51°. Now, Sky News reports, this plan could cut the originally anticipated £2 billion (about $3.07 billion) into about one third the profit.
To understand more about what dunnhumby is, watch the brief vieo below.
Tesco has reportedly announced that whoever purchases the firm will also have to negotiate with Kroger in the next five years, the parent responsible for more than half of dunnhumby’s current revenue.
The possible elusiveness of future funds has reportedly cut the list of interested parties. While it has not been confirmed who is out of the race and who’s in, rumored inquiring shoppers previously included:
- Nielsen
- Former Tesco Executive and head of Dixons John Browett
- dunnhumby Founders Edwina Dunn and Clive Humby
- WPP
- TPG
While one bidder told Sky View that Tesco made an “aggressive” forecast for the data firm with a suggested possibility of a nearly £1 billion (about $1.5 billion) growth in revenue and almost £200 million (nearly $308 million) in profit by 2020, firms reportedly requested that Tesco offer a longer contract with dunnhumby to make bids more practical.
Those that could possibly have backed away from bidding, according to the report, but have not been confirmed are:
- Apax Partners
- CVC Capital Partners
- Clayton Dubilier & Rice
General Atlantic Partners, who have been in a joint bid with WPP, and Silver Lake Partners are also reportedly on the fence.
AndNowUKnow will continue to follow this story as it develops.
MCLEAN, VA – Gladstone Land Corporation has acquired three farms made up of 850 acres of irrigated farmland in Kern County, California, for $19 million. This equates to approximately $22,352 per acre of farmland.
Though wine grapes make up a majority of the property’s crop, Gladstone will finance the new tenant-farmer’s development of the property into an almond orchard at an expected cost of $8 million. An “industry leader in almonds, tomatoes, and frozen vegetables” has entered into a 15-year, triple-net lease that provides for a fixed return for the first four years, thereafter converting to a revenue-sharing rent structure that includes a rental floor, according to a press release.
“For the first time, we are also entering into a revenue-sharing arrangement that will go into effect in four years,” said David Gladstone, CEO. “The minimum base rent during the revenue-sharing period is still sufficient so as to not impair our ability to meet future distributions, and we believe the revenue-sharing component will add to our future profits, allowing us to increase our distributions.”
Metropolitan Life Insurance Company, or MetLife, helped to fund this acquisition. This move marks another large step into permanent crops for the real estate investment trust.
“We expect the entire property will be planted with almonds soon,” said Bill Reiman, Managing Director of Gladstone’s western division. “This property is in a location of proven high-yield almond production and excellent groundwater resources. This acquisition adds to our presence in southeastern Kern County, which, like most of our properties’ regions, is an area of high-value agriculture.”
Gladstone is also refinancing its existing credit facility with MetLife. Under the modified facility, the blended interest rate on all previously-disbursed amounts under the long-term note payable was reduced by 26 bps, and the fixed rate term of the note was extended by 44 months. In addition, the spread on the revolving line of credit under the facility was reduced by 25 bps. Gladstone added that this agreement should provide the company with significant savings over the next several years, which he hopes will be passed on to the company’s shareholders.
Gladstone Land currently owns 41 farms, comprised of 14,876 acres in six different states across the U.S., valued at approximately $261 million. These states include Arizona, California, Florida, Oregon, Michigan, and Nebraska.
The company recently made its way into Nebraska this past August with the acquisition of 2,559 acres of farmland in the state.
For more on Gladstone Land, where it’s headed, and David Gladstone’s approach to acquiring farmland, check out our interview by clicking here.
DENVER, CO - Monterey Mushrooms is pairing up with King Soopers to help educate consumers on the health benefits of mushrooms in all 145 stores just in time for back to school.
“At King Soopers we know it starts with food,” Kelli McGannon, Director of Public Affairs for the retail chain, said in a press release. “That is why we are excited to have our registered dietitians partnered with Monterey Mushrooms to provide great recipes and tips for our in store Health Matters kiosks. We know the importance of continual wellness education for our customers and how small changes make a big difference.”
According to the company, Monterey Mushrooms and King Soopers created educational content on the value of mushroom for health and Vitamin D to be in all King Soopers Health Matters kiosks.
“It’s been so exciting to work with King Soopers,” Sandy Malouff Quintana, Sales Manager for Monterey Mushrooms, stated in the release. “I see Monterey Mushrooms Vitamin D line as a vehicle to drive sales. Living here in Colorado and knowing just how cognizant Coloradoans are in terms of nutrition, I know that this is going to be a home run.”
These kiosks feature fun facts, like how mushrooms are the only plant source of vitamin D, as well as recipes like the Mushroom Blended Meatballs and Blended Classic Beef Burgers.
Not to be forgotten, the collaboration included creating a fun activity newsletter for the “Sooper Kids,” educating children on mushrooms with things like connect-the-dots and word searches, calling the produce a “fungus friend.”
Monterey Mushrooms supplies King Soopers with a full line of white and brown mushrooms, both high in vitamin D.
WENATCHEE, WA - Back to school snacking items are more popular than ever. That’s why CMI has introduced its HERO™ snack-sized apple program for school lunches. With HERO™ 2 lb apple pouch bags showcasing smaller fruit, CMI’s latest item may just energize fall retail programs.
And to test these kid-friendly packaging, CMI went directly to the target audience: Fourth graders.
“We actually went to classrooms and worked with elementary school children, teachers and parents,” said Katharine Grove, Marketing Specialist at CMI. “The goal was to create a brand specifically for kids that parents could feel good about as well. We know that parents and kids have different purchasing cues when it comes to buying fruit so it was important for us to understand how to motivate kids and apply those insights to our final packaging.”
CMI used this collaboration with kids to develop a HERO™ character for inclusion in the pouch bag art as well. The result is packaging that features bright colors, a heroic cartoon character and key words that trigger responses from kids like “Yum,” “Sweet,” “Juicy” and “Tart.” Messaging on the bags focuses on healthy eating with the empowering slogan, “The power to be a HERO™ is in your hands,” according to a press release.
Grove added that the smaller size profile of the crop in Washington this year will create more opportunities for retailers to promote small apples. “This is the year for retailers to jump on these programs. We have more small fruit and we’ve got the marketing vehicles like HERO™ to drive sales.”
“Per Nielsen FreshFacts, over the last 52 weeks 2 lb pouch bags had the highest volume growth rate of any package in the apple category,” Grove said.
If you’re looking to energize your apple category for back to school promotions, the time is now!
MOUNTAINVIEW, CA - Competitors take note, Google is entering the grocery delivery game.
Following similar moves by companies like AmazonFresh and Instacart, Google reportedly is beginning a new, fresh food delivery service, with testing starting in both San Francisco and another city that has yet to be chosen. The test will include fruit and vegetable delivery.
"For a lot of our merchants that have been successful with this, we’re not representing the whole store today," Brian Elliott, General Manager of Google Express said in an interview with Bloomberg. "It’s in our incentive, as well as the merchant’s incentive, for us to help customers get the full store delivered to them.”
Google Express, which already delivers merchandise like dry foods, will now be partnering with Whole Foods Market and Costco for this new venture, he said.
The move will put the company in even more direct competition with Amazon, who according to an April study has so far been the lowest-cost among rivals in New York. Online groceries are a $10.9 billion industry in the U.S., Bloomberg reports, and the market is expected to grow 9.6 percent annually through 2019.
Elliot believes the new fresh-food trial will be part of a move to distance itself away from making deliveries from warehouses, which can add complexity and requires refrigeration. He explains, “If I’ve got to pay someone to drive the product from point A to point B, the bigger the basket size, the more revenue I’ve got to offset that cost.”
Along with this announcement, Google also will be expanding next-day deliveries in the Midwest for more than 25 million customers in places such as Indiana, Wisconsin and Ohio. Google has already been offering this service in Manhattan and Chicago with Walgreen’s, Kohl’s, and other retailers.
YAKIMA, WA – FirstFruits Marketing recently donated $20,000 to United Way of Chelan and Douglas Counties for a number of uses in supporting those that have been affected by the complex fire in Chelan, Washington.
“We’re glad we can help with the wildfire relief and are thankful owners, Ralph and Cheryl Broetje, give us this opportunity to do so,” Naomi Lule, CFO of FirstFruits Marketing of Washington and Chair of FirstFruits Marketing of Washington Missions Commissions, said in a press release. “To us, this is about helping our friends and family in the community.”
According to FirstFruits, the initial response indicates that the greatest needs by those affected are for gas cards, meals, and lodging.
The generous donation will go towards assisting families, individuals, and organizations impacted by the wildfire. United Way will be using the donation to work with organizations that are assisting the fire relief, including:
- Red Cross
- Chelan Valley Hope
- Okanagan Community Action Council
- Grief Center
- Entiat Valley Community Services Foodbank
- NCW Chaplains Foundation
- Room One
The fire, whose cause is still under investigation, was 146 square miles according to reports and was 55 percent contained as of last week.
For all the latest produce industry news, keep checking in with AndNowUKnow.
SALINAS, CA - The Los Angeles Times published an article on its front page yesterday morning calling attention to the thriving Salinas Valley in spite of the ongoing California drought.
In her article, reporter Rosanna Xia examines this discrepancy and explains that the issue that most Salinas Valley residents face is the lack of knowing how much water is left underground.
To read the full article by Rosanna Xia, please click here.
Rick Antle of Tanimura & Antle briefly discussed his thoughts on the matter, as Xia remarked that the Salinas Valley has been lucky to flourish under such circumstances.
As Xia reveals, the Salinas Valley has remained “an oasis” at a time when California has been experiencing a prevalent drought. This is because farmers have relied on the groundwater that lays hundreds of feet below the dirt, as opposed to the snowmelt from distant reservoirs. The issue, however, is that “no one knows exactly how deep it goes or how much water is left,” Xia writes.
In the article, Antle explains that one of the biggest issues his business faces isn’t a shortage of water, but of workers.
“Everything cycles,” Antle tells the Los Angeles Times. “It’s going to rain this year.”
According to the Los Angeles Times, a county report states that there are approximately 5.3 trillion gallons of water stored underground in one of the state’s most stressed groundwater basins. Each year, 3 to 4 percent of that amount is pumped out. When fresh water is pumped out, Xia explains that Salinas Valley’s porous soil presents the opportunity for more seawater to flow in and contaminate the remaining supply.
“The problem is, where is that breaking point?” Bardin Bengard of Tom Bengard Ranch tells the Los Angeles Times. “Our main water supply is underground. It’s not like you’ve got a reservoir where you can just look at it and go, ‘It’s empty.’”
Fortunately, like many farmers in the Salinas region, the Bengards rely on drip tape which feeds water directly to the roots as opposed to traditional flooding methods.
Officials are looking into a number of methods to help slow the seawater intrusion, including the installation of two inflatable rubber dams to capture more rain during wet months in 2010.
For now, the biggest hope lies with El Niño. Meteorologists are now predicting that there is a greater than 90 percent chance that El Niño will continue through the Northern Hemisphere during the winter, and around an 85 percent chance it will last into the early spring of 2016.
For the latest industry news, keep checking in to AndNowUKnow.
HERTFORDSHIRE, ENGLAND - While you were lounging around the barbecue this Labor Day weekend, Tesco, along with MBK Partners and the Canada Pension Plan Investment Board, announced it will be selling its South Korean Homeplus chain for over $6 billion, ($5.1 billion after taxes and other costs).
“This sale realizes material value for shareholders and allows us to make significant progress on our strategic priority of protecting and strengthening our balance sheet,” said Tesco’s CEO Dave Lewis. He told The Guardian this week that the money would be used mainly to redeem bonds and settle commercial debt over the next 18 months, but may also be used to purchase leases on some UK stores.
Currently, Tesco’s debt has reached over $33 billion, according to The Wall Street Journal, but this latest Homeplus deal could help reduce that debt by over $6 billion if approved by company shareholders.
Tesco will get £3.35 billion ($5.1 billion) after adjusting for tax and other costs from the sale of its Homeplus chain to a consortium led by Asian private-equity firm MBK Partners and the Canada Pension Plan Investment Board.
Moody’s and Standard & Poors credit rating agencies have cut Tesco’s debt to junk status since its financial troubles first began, but both agencies have commented that the sale of Homeplus was a step in the right direction, according to The Guardian.
“Our rating already anticipated that Tesco could enter into a transaction of this size,” said Sven Reinke, Senior Credit Officer at Moody’s. “Today’s announcement eases the negative pressure on the current rating. However, for positive pressure, Tesco’s underlying UK business needs to recover and I don’t think we are at that stage yet. We see signs of stabilization but not of a sustainable recovery.”
Tesco’s Homeplus chain operates 1,075 locations across South Korea and generated $7.7 billion in sales last fiscal year. According to The Washington Post, Singapore state investment firm Temasek Holdings Pte. Ltd. and the Canada Pension Plan Investment Board are both buying a 21.5% stake in Homeplus for $534 million as part of the deal.
Tesco’s sale is expected to officially close during the fourth quarter of this fiscal year.