BRONX, NY – Teamsters Local 202 announced that a tentative contract agreement has been reached with Hunts Point Market, averting a possible strike.
“Our members stood strong and the market knew we were serious,” said Daniel Kane Jr., President of Teamsters Local 202. “We said we deserved a fair wage, we fought for it and we got it.”
According to the New York Times, the three-year agreement would give workers a raise of $20 a week the first year, $22 the second year and $24 the third year. This would be a compromise between the union’s earlier push for a raise of $25 a week each year and the merchants’ counter of $16 in the first year and $22 thereafter.
“We’re not too far from our demands, so we feel confident that it will be ratified by the rank and file,” said Kane. He added that it would be “the largest wages and benefits package we’ve received in the last 20 years.”
According to a press release, this contract deal comes on the heels of a strike vote that members took earlier this week. 95% of the members approved the strike after merchants gave what was deemed a “final offer” with raises far short of those proposed by the union. After the strike vote, merchants raised their wage offer.
The union’s 1,300 members at the market will have final say. They will vote on the tentative deal this Wednesday.
Stay tuned to AndNowUKnow for the latest on this developing story.
FLORIDA - Could Kroger be planning a “Florida invasion?” Industry insiders have been wondering just that ever since CFO Michael Schlotman's admission that Kroger would soon be entering a “new market.”
“We’re going into a new market,” Schlotman explained in October. “We have a really good feel of exactly where that’s going to be. But we want to make sure the time’s right for the organization, because we have 2,650 stores that we don’t want to get distracted from every day just to say we’ve gone into a new market organically.”
Currently, Kroger only operates a single store in the Florida region - a Harris Teeter Supermarket in Fernandina Beach. Gimme Credit Director of Research Carol Levenson, however, believes that "all signs point to management's willingness to make a major acquisition." Others have wondered if talks are in the works with Bi-Lo Holdings to acquire some of the locations the retailer operates in the Sunshine State.
It was these types of comments that led ABC's Cincinnati affiliate, WCPO-9, to declare that Kroger could be “plotting a Florida invasion.”
According to the Jacksonville Business Journal, Kroger is also looking to expand its operations in Chicago, the Northeast, the upper Midwest and Oklahoma. With Florida emerging as the 3rd most populous state in the United States, its market cannot afford to be ignored by any retailer with growth aspirations.
Whether Kroger will be able to successfully carve out a space for itself in a state mostly dominated by Publix and Wal-Mart is of course another question. Regardless of what happens, this is sure to be a key topic of discussion for retail executives for months to come.
To make sure you stay in the know, stay tuned to AndNowUKnow as we continue to bring you the latest market news and updates.
ROSEMONT, IL - Even as Reinhart Foodservice’s Good Roots Produce brand closes in on a major milestone for 2015, big plans are still in store for the program.
Since its unveiling in late summer 2014, Good Roots has seen a sensational amount of praise and encouragement from customers and suppliers. Rob Ondrus, Produce Category Director for Reinhart, tells me that there’s still plenty of room to grow upon that early success.
“When we launched the line, we had a timeline for growth and expansion laid out. We knew that we could hit 500,000 cases easily,” he says. “We are now accelerating the program expansion plans and are working on wave 3 which will include more regional items and value added products.”
Reinhart initially started the Good Roots program with a limited assortment of about 35 core repack items across 8 supplier partners. Based on the response from the company’s divisions and interest from its supplier partners, Reinhart has added a few flanker products and expanded the lineup to include approximately 50 items. The goal, Ondrus tells me, is to hit 1,000,000 cases in 2015.
“This was probably one of the best overall product launches for us in terms of divisions supporting the program and our suppliers locally,” Ondrus continued. “We are really excited that we have grown the category sales overall and not just traded cases between suppliers.”
The Good Roots and Markon brands are continuing to work in tandem to grow the total produce category. Overall, expanding the supplier base, adding items, and developing the Good Roots brand will be the focus for 2015.
“The goal is to carefully grow the Good Roots product range, address operator needs for new ideas, source closer to our distribution facilities, and fill in some of the voids we have with the Markon brand,” says Ondrus.
Building upon the success Good Roots has seen so far is a remarkable ambition, and we look forward to seeing the impact the program will have on the total produce category.
For more updates on Reinhart’s Good Roots Produce brand, stay tuned to AndNowUKnow.
FRESNO, CA - The California Fresh Fruit Association (CFFA) is welcoming Cal Poly grad Ian F. LeMay as its new Director of Member Relations and Communications. In his new position, he will be responsible for membership recruitment and retainment, along with a multitude of legislative concerns for Association members at both the state and federal levels.
"I have had the pleasure of working with Ian for a number of years in his role with the Congressman, and I have always found him to be an articulate and vocal advocate for California agriculture,” shared CFFA President Barry Bedwell. “We believe he is a natural fit along with our current staff to continue to enthusiastically represent our members."
"We are very pleased that Ian has agreed to become part of the team at CFFA,” agreed Family Tree Farms' David Jackson, Chairman of the CFFA. “His background and education, as well as working agricultural issues for Congressman Costa, should translate into real value for our membership."
Before signing up with the CFFA, LeMay served as District Director for Congressman Jim Costa, working on a variety of constituent and agricultural issues, including water supply and availability.
He received his education at Cal Poly where he studied agricultural business with a concentration in marketing. He lives in Fresno, California with his wife, Molly, and their newborn baby.
CHARLOTTE, NC – 3D printing is here, but what could it mean for the industry?
Mike Nagle, Business Development Manager for Advanced Technology Systems will be a speaker at PMA’s upcoming technology event, Tech Talks, in Charlotte, North Carolina on February 4, 2015. He recently shared some of his insights with PMA’s Ashley Boucher about this emerging technology and its applications for the fresh produce industry.
“The 3D concept is there, and I actually think there is some opportunity for the produce world to learn from 3D printing, and I also think there’s an opportunity for 3D printing to learn form the produce industry,” he said.
Mike worked with a number of farm and food related companies, both from the farm and equipment side. He also worked for companies that are manufacturing seed-making equipment and automation companies making food, giving him a unique perspective on the industry.
He said that the industry is already using 3D printing for packaging in the prototyping and production phases of making the packaging itself. Speaking about the benefits 3D printing can give to companies, Mike says, “If there are design changes, if they want it to be greener with their design process and use the least amount of material as possible, 3D printing allows them to make a cheap tool and then be able to make a custom part based on the demand of the customer.”
Looking forward, Mike thinks that 3D printing will help lead to greater transparency, where there has previously been a bit of mystery surrounding the manufacturing processes. It will also allow for companies to receive immediate feedback from consumers and to make modifications and changes based on that information.
In his presentation at Tech Talks, Mike says that he wants to show attendees how companies are using the technology today and how it is helping them, because that is the key.
The PMA Tech Talks sets the stage for innovative thinking and groundbreaking ideas. It’s been designed to develop conversation and connections through powerful videos and presentations. For more information on the event, click here.
WASHINGTON D.C. - The Federal Trade Commission (FTC) has approved a Modified Final Order pertaining to Bi-Lo Holding's $265 million acquisition of 154 Delhaize America locations. Under the new agreement, Bi-Lo is no longer required to divest three of the stores which it had originally been ordered to by the FTC.
After reviewing charges that the acquisition would damage competition in markets in Florida, Georgia and South Carolina, the FTC had previously ordered Bi-Lo to sell 12 of the to-be acquired locations to a predetermined set of buyers. One of these buyers, Rowe's IGA, later decided against purchasing the four Sweetbay stores it was allocated in the FTC's original order. Because Bi-Lo was unable to find a new buyer for three of the four locations, the FTC was required to issue a Modified Order.
According to the Imperial Valley News, the Modified Order says:
- Bi-Lo is freed of its obligation to divest the four locations to Rowe's IGA
- Bi-Lo is required to divest its store in Wauchula to Sunripe Market within 30 days of the finalization of the Modified Order.
Stay tuned to AndNowUKnow as we continue to monitor Bi-Lo's merger negotiations with the FTC.
SANDPOINT, ID - Litehouse Foods is expanding its Instantly Fresh™ herbs line with a new flavor: Mint.
Instantly Fresh™ herbs make a great complement to sweet and savory meals. Stacey Miller, Senior Brand Manager at Litehouse Foods, tells AndNowUKnow, “They make an excellent alternative to fresh herbs by offering convenience without sacrificing taste, while also providing shoppers a way to spice up dishes without adding extra salt or calories.”
Instantly Fresh™ is:
- Non-GMO
- Salt-free
- Preservative-free
- Additive-free
- Only made of one ingredient: the mint itself
Litehouse recommends retailers merchandise Instantly Fresh™ products in the refrigerated section of the produce department in order to offer shoppers a direct choice between them and fresh herbs. Another key place to merchandise is on the top shelf of displays/racks next to fresh vegetables. Litehouse herbs are freeze-fried, preserving the flavor of the product.
WASHINGTON D.C. - Four PACA violators in New York, Florida, Illinois and California have been restricted from operating in the produce industry, according to a USDA press release.
Joseph Aiello & Sons Inc., a Albany, New York-based company, failed to pay a $7,747 award in favor of a Minnesota seller. Joseph J. Aiello Jr. was listed as the Officer, Director, and major stockholder of the business.
Vegfruitworld Corp., a Opa Locka, Florida-based company, failed to pay a $5,184 award in favor of a Georgia seller. Hugo T. Coral, Jose J. Quezada and Levy P. Zapata were listed as Officers, Directors, and/or major stockholders of the business.
Nico Mexi Foods Inc., a Chicago, Illinois-based company, failed to pay a $7,547 award in favor of an Illinois seller. Nicolas Ibarra was listed as the Officer, Director, and major stockholder of the business.
Campesinos International Trading Inc., a Ventura, California-based company, failed to pay a $16,040 award in favor of a California seller. Arturo Hernandez, La Esperanza Farms Inc. and Carlos Tapia were listed as the Officers, Directors, and/or major stockholders of the business.
In the past three years, the USDA resolved approximately 4,600 claims under the PACA involving more than $87 million. Individuals, including sole proprietors, partners, members, Managers, Officers, Directors, or major stockholders may not be employed by or affiliated with any PACA licensee without the approval of the USDA. The Agricultural Marketing Service (AMS), PACA Division, regulates fair trading practices of produce businesses operating subject to PACA.
MEXICO - Controladora Comercial Mexicana SAB is reportedly nearing an agreement to unload a package of 160 stores to rival retailer, Organizacion Soriana SAB, in a package valued at $3 billion (44 billion pesos).
Late last year, AndNowUKnow reported on similar rumors centered around a possible deal between Controladora Comercial Mexicana and Grupo Comercial Chedraui. That deal would have sent over the majority of Controladora Comercial Mexicana's 200 retail locations to Grupo Comercial Chedraui for over $4 billion. Importantly, it would have allowed Controladora Comercial Mexicana to retain ownership of the real estate associated with those stores. Instead, the real estate would be leased to Grupo Comercial Chedraui for its use in running its retail operations.
The new agreement stands in contrast to these previous rumors, according to Bloomberg. Sources close to Controladora Comercial Mexicana report that the current deal would include full ownership of all real estate associated with the stores.
So far, Controladora Comercial Mexicana has declined to comment on these ongoing negotiations beyond sharing that it's “continuing the process of analyzing strategic alternatives.” Bloomberg, however, reports that a deal is expected to be finished by the end of January.
Stay tuned to AndNowUKnow as we continue to track the progress of these important negotiations.
NETHERLANDS – Even though it’s 2015 and we don’t have flying cars or vacation homes on Mars, we do have some pretty cool advancement in robotics.
The European research project, Clever Robots for Crops (CROPS), has created the world’s first working sweet-pepper harvesting robot. According to CROPS, the robot was developed in Wageningen and is able to locate, to approach, to hold, to detach and to collect ripe fruits.
The project has been coordinated by Wageningen UR Greenhouse Horticulture and was co-funded by the Dutch Horticultural Product Board. The four-year research project had 13 partners from 10 different countries and led to the creation of a universal robotic platform for producing and harvesting high volume crops.
The robot works autonomously and uses 3-D cameras to evaluate the size, color development and ripeness of the peppers to ensure they are ready for harvest.
While it is not commercially viable yet, its experiments in the commercial greenhouse have yielded valuable data and information to continue to build from.
According to physics.org, a new European research project has been awarded to Wageningen UR for a three-year period. This project will specifically focus on the further development of the pepper harvest robot.