ROCHESTER, NY – New York Apple Growers (NYAG) is greeting the new year with the launch of a new apple variety: RubyFrost®. With a rollout across participating retailers in the northeast and mid-Atlantic regions of the East Coast, NYAG is excited for the potential of this variety.
According to a press release, RubyFrost is being marketed as a seasonal wintertime apple available for a limited time. Developed by Cornell University, RubyFrost is prized for its vibrant color, excellent crisp texture, and delicate balance of sweet and tart flavors.
“We tested this apple this past January in select New York stores and the results were very positive,” shared Jeff Crist, Vice Chairman of the Board of Directors of NYAG. “In-store surveys revealed that consumers really liked the sweet and tart flavor and crisp texture of this apple.”
“Families who enjoy eating apple slices will find that ‘Rubyfrost’ not only tastes great, it does not brown quickly after slicing,” agreed Susan Brown, an apple breeder with Cornell’s New York State Agricultural Experiment Station. “It is great as a quick, healthy, enjoyable snack, great on a cheeseboard or fruit salad and also performs well in baking.”
In order to maximize sales and exposure for this new variety, NYAG will be supporting its retail partners with a variety of in-store demonstrations, POS materials with high graphic bins, online coupons, food blogger outreach, public relations and social media activities. NYAG has also launched a website dedicated to providing consumers with nutritional information, recipes and pairing ideas, as well as information about the growers responsible for bringing this new variety to market.
Together with SnapDragon™, RubyFrost has been in the works since 2011. As the trees mature, NYAG is expecting significant increases in harvest size beginning in 2016.
Stay tuned to AndNowUKnow for more updates on the new varieties making an impact on the fresh produce industry today.
DAYTONA BEACH, FL - Trader Joe's is expanding its distribution center in Daytona Beach with a new $12.46 million construction project. Once completed, the facility will boast a new 101,125 sq. ft. freezer warehouse complex, helping to grow the retailer's capabilities in the area. The building is set to be located adjacent to another 524,000 sq. ft. facility which has been under construction since October.
“They are moving ahead at a fast pace out there,” shared Mike Garrett, Director of Permits and Licensing. “They are not letting grass grow under their feet.”
“It’s nice to see someone come in with a project, get approvals and permits and go right to work. They are doing that,” agreed Richard Walton, Daytona's Planning Director. “They are going right along with the site plan that was filed.”
According to the Daytona Beach News-Journal, the center is projected to be completed by the close of 2015. Once finished, it will service Trader Joe's Southeastern United States region and employ 450 workers and 100 delivery drivers.
Public records obtained by the News-Journal reveal that Trader Joe's plans to spend at least $55 million total on renovating the facility, including $7.8 million to purchase a development site in Consolidated-Tomoka. A third 6,000-square-foot truck maintenance and wash station is also in the works, but no building permit application has been filed for this project yet, Garret revealed.
“That would be the final thing, but as far as time line goes, we have no valid deadline when they plan to be done,” Garrett said.
Stay tuned to AndNowUKnow as we continue to track the expansion plans of Trader Joe's.
PHILIPPINES – Criminal charges have been filed against 127 government executives in the Philippines, including former Bureau of Plant Industry (BPI) Director Clarito Barron, over allegations of collusion with traders in a ‘garlic cartel’ that caused prices of garlic to skyrocket last year.
From 2010 to 2013, garlic prices rose from $3.69 to $8.94 per kilo and then went even higher in 2014. In July of last year, Justice Secretary Leila De Lima ordered the National Bureau of Investigation (NBI) to investigate the soaring garlic prices.
According to ABS-CBN News, the NBI probe covered all issuances of PQCs (Plant Quarantine Clearances) and SPS-ICs (Sanitary and Phyto-Sanitary Import Clearances) by the BPI from 2010-2014.
BPI, an agency under the Department of Agriculture, issues all of the required PQCs and SPS-ICs for the importation of garlic.
MSN reports that charges were filed against the executives by the Department of Justice (DOJ) and include direct bribery, profiteering and cartel under the Price Act, monopolies and restraint of trade under the Revised Penal Code, use of fictitious names and obstruction of justice were filed against them with the Department of Justice (DOJ).
Aside from Barron, other notable individuals charged include:
- BPI-Plant Quarantine Service Chief, Luben Marasigan
- BPI-PQS Officer-in-Charge, Merle Palacpac
- Lilia Cruz, aka Lea Cruz, head of the Vegetable Importers, Exporters and Vendors Association of the Philippines Inc. (VIEVA Phils.)
- Chairman of the National Garlic Action Team (NGAT) and National Onion Action Team (NOAT)
According to MSN, Barron denied the allegations, saying the DOJ failed to establish that collusion took place in the garlic trade.
“The results of the investigation of the DOJ-Office of Competition is unfounded as its conclusions are based on weak accusations tainted with politics. It was not properly determined how collusion took place. It was just declared that there was one between traders and officials of the BPI,” Barron said.
He added, “If prices rise, we no longer have control in these. It is the Bureau of Customs that is expected to monitor this.”
The case will now be assigned to a panel of Department of Justice prosecutors who will then set the preliminary investigation.
Stay tuned to AndNowUKnow as we continue to track this developing case.
NIXA, MO – The residents of Missouri, Kansas, Oklahoma and Arkansas have a new produce player entering the mix with the opening of Market Fresh Produce's Monett Repacking Facility. Market Fresh was joined by the Monett Chamber of Commerce for the ribbon-cutting ceremony on Wednesday, January 7, 2015.
“The facility will allow us to service Missouri, Kansas, Oklahoma and Arkansas,” Tyler Phipps, General Manager, said. “Reworking, ripening, cross-docking and redistribution services will be offered as we are able to handle the rapid growth we expect.”
According to a press release, the facility was purchased from the Harlin Fruit Company. After the acquisition, Market Fresh began to renovate the complex, upgrading it to a repacking facility. From August 2014 through the new year, the company worked to install a state-of-the-art hands-free wash and dry room for the employees, LED lighting, new security system, six walk-in coolers.
Steve Phipps, Market Fresh CEO and Owner, shared that in the long-term the company plans to expand the facility's footprint outside of just tomatoes until it is able to offer a full category selection, creating a local produce program for the community.
“This is an exciting time in the life of our company,” he said. “Having a local facility will provide further research and development opportunities as Market Fresh continues to be one of the most innovative brands in the produce industry.”
Market Fresh offers full line procurement and category management in tomatoes, potatoes, onions, sweet potatoes, peppers, avocados, and kiwi.
Stay tuned as we continue to track the latest news from Market Fresh.
AUSTIN, TX - The industry’s biggest buyers and retailers are already lining up for one of the year’s hottest shows in produce – the Viva Fresh Produce Expo.
Bret Erickson, CEO, Texas International Produce Association; Tommy Wilkins, Director of Sales and Business Development for Grow Farms Texas; and Jimmy Bassetti, President, J&D Produce, joined us to discuss why this exciting convention is a must-see event for grower/shippers and retailers alike.
You can listen to our exclusive interview with Bret, Tommy, and Jimmy above.
Previously on AndNowUKnow, H-E-B’s Hugh Topper, Group Vice President of Fresh, also chimed in on the event, telling us, “Connecting with suppliers is key to our success and the Viva Fresh Expo brings all of Texas and Mexico to us. It’s the best of both worlds, a regional expo that stretches international boundaries.”
For more information on the Viva Fresh Produce Expo and what to expect from Austin, Texas, check our previous coverage by clicking here.
Don’t miss it!
Texas International Produce Association
HIGHLAND, NY – A fire swept through the A. Zimmerman & Son Orchards apple storage and packaging plant, causing millions of dollars in loss.
The Poughkeepsie Journal reports that the fire department received the alert at 3:47 am, and prompted a response from 19 fire departments.
Strong winds and a temperature of 9 degrees caused some water valves to freeze and required the fire trucks to be rotated in and out.
Time Warner Cable News reports that the packing facility held 30,000 boxes that were filled with millions of apples.
Employees were able to save some of the machinery, but everything else was lost. The cause of the fire is still unknown.
Our heartfelt condolences goes out to the employees of A. Zimmerman & Son Orchards.
LEEDS, WEST YORKSHIRE - With a possible price war at hand, Asda and Sainsbury's have their sights set on capturing a bigger piece of the UK retail pie.
Just before last week's trading update by Tesco, Asda and Sainsbury's announced a series of price cuts that together amount to £450 million. The bulk of the price cuts will come from Asda, the country's second largest retailer, according to the Telegraph. The retailer plans to slash prices by £300 million in Q1 2015. For its part, Sainbury's is planning to cut prices on 1,000 products by a total £150 million over the next three years.
“We are investing £150m per year for the next three years in some of our customers’ most popular purchases, with a total of 1,000 prices cut since we announced this investment in November,” shared Mike Coupe, Chief Executive of Sainsbury’s. “This will come as welcome news to customers who might be feeling the pinch after Christmas.”
This latest round of price cuts is actually a part of a previously announced campaign by the two retailers. Asda started this price war as far back as late 2013 with the declaration of its commitment to slash prices by £1 billion over the ensuing five years, a program which Q1's £300 in cuts is a part.
What makes this latest news significant, however, is that it represents Asda's single largest price investment strategy in the company's history, according to a press release.
“We invest in price year round but we're kicking off January with our Biggest Ever Rollback - spending £300 million to bring more value across our stores and online on the products customers buy week in, week out,” shared Barry Williams, Chief Merchandising Officer for Food at Asda. “We're going further than ever before, rolling back those every day, can't live without items at a bigger percentage than we've ever been able to do previously.”
Analysts such as Shore Capital's Clive Black believe that the pace of these price cuts are a reaction to the difficult market British retailers operated in during 2014.
“The British grocery market had a tumultuous 2014, amongst the worst in living memory for investors and management alike,” he told the Telegraph.
It may be the hope of Asda and Sainbury's that this latest round of cuts will reverse this trend and paint a brighter picture for 2015. Stay tuned as we continue to follow this story.
SANTA PAULA, CA - Limoneira released its Q4 2014 and FY 2014 financial report this week, reporting $16.3 million in company revenue during the quarter. This exceeded industry estimates by almost $1 million, who had only forecasted revenues of $15.4 million for Limoneira, according to CNBC.
“Fiscal year 2014 was another exciting year for Limoneira, as we made significant progress across all aspects of our business,” said CEO Harold Edwards. “Our annual revenue increased 22% and surpassed $100 million, driven by our expanding agribusiness and in particular higher than historical lemon pricing. Throughout fiscal year 2014, we were successful in leveraging our fixed costs across higher sales volume, resulting in over 40% year-over-year growth for EBITDA and net income in fiscal year 2014. Our strong operating cash flow of $15.7 million in fiscal year 2014 provided the financial flexibility to invest in our strategic initiatives, while continuing to pay shareholders a quarterly dividend, which we increased 20% in fiscal year 2014.”
“We made a number of important investments in our core agribusiness, including the acquisition of a citrus packinghouse in Yuma, Arizona and an investment in a citrus packing operation in La Serena, Chile,” Edwards continued in the company's press release. “These acquisitions enhance Limoneria’s ability to be a year-round supplier of lemons and expand our participation in the international market. In addition, we remain on track to complete the expansion of our lemon packing facilities in Santa Paula during fiscal year 2015, which, once complete, is expected to approximately double our annual lemon packing capacity and reduce per carton packing costs.”
Some highlights from Limoneira's Q4 financial report include:
- $16.3 million in revenue, compared to $14.3 million from Q4 2013.
- $15.0 million in agribusiness revenue, compared to $12.9 million from Q4 2013.
- $13.8 million in lemon sales, compared to $9.5 million from Q4 2013.
- $20.8 million in costs and expenses, compared to $15.9 million from Q4 2013.
- $4.5 million in operating losses, compared to $1.6 million from Q4 2013.
- $3.0 million in net losses ($0.21 on a per share basis)
In light of its financial performance in 2014, Limoneira has adjusted its 2015 outlook with respect to operating income to $9.4 million to $10.2 million. Earnings per diluted share are expected to be in the range of $0.42 to $0.46 for FY 2015.
“Regarding our real estate development business, we continue to make progress with the East Area 1/Santa Paula Gateway project,” Edwards added. “We expect to receive final approval to move forward on the project following the city council hearing in February 2015, and we are actively engaged in discussions with leading homebuilders. We plan to break ground on the project in 2015. We remain focused on entering into a deal that will optimize the success and profitability of the project.”
Stay tuned to AndNowUKnow as we continue to bring you the lastest financial news and analysis from the fresh produce industry.
CHINA - After a series of major food safety scandals, Chinese consumers, regulators and traders are growing increasingly concerned with the "grim" state of food safety in the country. Regulators and government officials have taken notice and are planning a series of measures to fix the situation.
This is important news for U.S. exporters who currently ship $111.8 billion worth of goods to China each year, according to November 2014 U.S. Census data. Agriculture exports, of course, make up a significant portion of these totals. In fact, according to the USDA, 20% of all U.S. farm exports go to China. The question has been raised as to whether an increase in consumer confidence in China's domestic market could have an impact on the volume of fresh food the country continues to demand from outside nations.
There is, however, broad agreement among regulators and interested parties that something must be done.
“The current situation in China with regards to food safety is weak at best, with insufficient regulation and monitoring systems that have been rocked by major scandals recently, including alleged tainted meat and baby food incidents,” explained AUSVEG Spokesperson Andrew White. According to a press release, AUSVEG is the leading horticultural body representing Australia’s 9,000 vegetable and potato growers.
"We must soberly recognize the current foundations of China's food and drug safety are still weak, with new and old risks together creating a grim situation," agreed a regulator with China's Food and Drug Administration.
Some good news on this front, however, is that help is on the way. According to Reuters, China will be strengthening up its “active” regulatory body in order to prevent future incidents. Recognizing that its resources have been overextended in the effort to keep up with the fastly growing economy and that the quality of its personnel, legal structures, management methods and food safety technology are insufficient, China's government is stepping up its efforts to fix the problem.
“We welcome the announcement by China’s food and drug regulator that they are looking into increasing ‘active’ regulation, but it is still worrying to us that these major lapses continue as China is one of Australia’s top vegetable importers,” White shared in light of this news.
The specific nature of these new regulations have yet to be disclosed. When further details do come to light, however, you can count on AndNowUKnow to keep you updated with the latest.
SOLEDAD, CA – Braga Fresh Family Farms is now offering organic iceberg and green onions as part of its Josie’s Organics line.
“We stay tuned-in to what our customers need. And because we’re a vertically integrated farming company that controls a lot of organic land, Braga Fresh is able to respond quickly, making new organic products available when the market isn’t meeting demand,” said Roger Zardo, Braga Fresh Director of Sales.
According to a press release, Josie’s Organics iceberg is available wrapped or naked, and the green onions are available in cello bags, iced and iceless. The iceberg wrap and the cello bags both feature the popular Josie’s Organics packaging design with its signature blue polka dots and friendly logo.
These two new products are just the latest to join the product line. As we previously reported, Braga Fresh added cauliflower to its Josie’s Organics line last month.
Aside from these new additions, the Josie’s Organics line also includes broccoli, celery, chard, kale and more with new products currently in trial.