WASHINGTON, DC - Recently, the U.S. Department of Agriculture (USDA) announced that Hicksville, New York-based company OM Vegetable satisfied a reparation order totaling $17,518. The order was issued under the Perishable Agricultural Commodities Act (PACA) involving unpaid produce transactions. This is an update to the previous sanction imposed this June.
Direct from the USDA Agricultural Marketing Service:
The Hicksville, New York, company has met its obligations and is now free to operate in the produce industry. Amandeep Singh was listed as the officer, director, and major stockholder of the business and may now be employed by or affiliated with any PACA licensee.
PACA provides an administrative forum to handle disputes involving produce transactions; this may result in USDA’s issuance of a reparation order that requires damages to be paid by those not meeting their contractual obligations in buying and selling fresh and frozen fruits and vegetables. USDA is required to suspend the license or impose sanctions on an unlicensed business that fails to pay PACA reparations awarded against it, as well as impose restrictions against those principals determined to be responsibly connected to the business when the order is issued. Those individuals, including sole proprietors, partners, members, managers, officers, directors, or major stockholders, may not be employed by or affiliated with any PACA licensee without USDA approval.
Once a reparation order is fully satisfied and it is confirmed that there are not any outstanding unpaid awards, USDA lifts the employment restrictions of the previously named, responsibly connected individuals. USDA also requires any unlicensed company that fully satisfies all unpaid reparation awards to obtain a license if it continues to operate in the industry.
The PACA Division, which is in the Fair Trade Practices Program in the Agricultural Marketing Service, regulates fair trading practices of produce businesses that are operating subject to PACA, including buyers, sellers, commission merchants, dealers, and brokers within the fruit and vegetable industry. In the past three years, USDA resolved approximately 3,625 PACA claims involving more than $104 million. PACA staff also assisted more than 7,600 callers with issues valued at approximately $166 million. These are just two examples of how USDA continues to support the fruit and vegetable industry.
For contact information and to read the release in full, please click here.
ST. PAUL, MN - There is a unique exchange of knowledge that occurs between buyers and suppliers in the fresh produce industry. One is constantly learning from the other, and Verdant Technologies is reaping the benefits. A deep well of buy-side knowledge will now be informing its operations, as the company has named retail vet Harlan Ewert as its new Sales Director-West, effective immediately. He brings procurement, leadership, and lean process improvement expertise, set to lead all Western sales initiatives for Verdant and report to Scott Harker, Vice President of Sales.
“Consumers demand freshness in their produce, and the success of the industry depends on it. HarvestHold™ brings a solution to an ever-changing world, whether pandemic or supply chain-related, to meet this expectation,” said Ewert.
As the former Produce Category Manager for Kroger, Ewert drove significant category growth and led numerous strategic initiatives for the company, a press release stated. During his over 30-year tenure, he served in various roles across the country, focused on implementing best practices, maximizing category strategy, managing high-performing teams, and aligning company and customer goals.
In previous positions, Ewert led a sizable team of procurement specialists, was a frequent presenter at Kroger leadership programs, and has been closely connected with many produce suppliers in a vast range of commodities.
“We are thrilled to welcome Harlan to the company. His deep knowledge and disciplined approach to the category make him a valuable part of our team. He is highly respected in the industry and brings retail and grower insights to our sales team that will strengthen the HarvestHold offering to the entire supply chain,” said Chief Executive Officer, Gordon Robertson.
Ewert joins Verdant at a pivotal time in its growth, as HarvestHold recently received EPA approval in September 2021.
“I look forward to continuing to collaborate throughout the industry and accelerate the introduction of HarvestHold,” Ewert shared. “I am very excited to be joining the Verdant team.”
Cheers to Harlan Ewert on this exciting appointment!
CARLISLE, PA - A ribbon is a gift—whether it is placed prominently on a Christmas package or drawn out impressively in front of a new facility. The latter has been given to our industry this week, as The GIANT Company debuted a new GIANT Direct E-commerce Fulfillment Center (EFC) in Philadelphia, Pennsylvania. The 124,000-square-foot facility will service a greater number of customers in Philadelphia and, for the first time in its history, in southern New Jersey. A ribbon-cutting ceremony was held with remarks from GIANT President Nicholas Bertram and Ahold Delhaize USA Supply Chain President Chris Lewis.
“Starting with the introduction of our GIANT Heirloom Market format in 2019 followed by the opening of our Philadelphia flagship Riverwalk GIANT in March and three more new stores across the city still to come this year, The GIANT Company has been laser-focused on how we can best serve Philadelphia families,” said Bertram. “Today is the culmination of more than two years of collaboration between our team, Ahold Delhaize USA Supply Chain, and our partners at Swisslog and AutoStore resulting in a state-of-the-art facility that will propel our GIANT Direct offering across greater Philadelphia and for the first time, southern New Jersey. Our new GIANT Direct EFC represents the future of grocery and the future of The GIANT Company, as we are one step closer to realizing our full omnichannel aspirations.”
As part of GIANT’s commitment to optimizing and growing the GIANT Direct division, the retailer has become the first Ahold Delhaize USA banner to implement this new EFC technology, a press release explained. This streamlines order fulfillment by using the latest in robotics, machine learning, and vertical integration. The company worked with Ahold Delhaize USA company Peapod Digital Labs, Swisslog, and AutoStore on the project.
“The opening of this facility is an exciting step forward as we continue to collaborate to evolve the supply chain network for the future,” added Lewis. “Solutions like micro-fulfilment centers will be an important part of the self-distributed network, positioned to serve customers whenever, wherever, however they want to shop.”
Within the GIANT Direct EFC, two space-saving, 3D grids contain totes filled with fresh and non-perishable groceries. When a customer places an order, team members and robots quickly gather the items for bagging, which are then placed into temperature-controlled totes and onto trucks for delivery to customers.
The facility will stock more than 22,000 products, enabling the company to meet increasing customer demand with greater capacity, faster order fulfillment, and room to grow home grocery delivery. The center is expected to fulfill up to approximately 15,000 home delivery orders per week, a press release stated.
Starting November 16, the facility will also provide GIANT Direct delivery to select New Jersey towns, with plans to expand in southern New Jersey over the next several months.
With the busy holiday season fast approaching, the company is looking to hire an additional 125 team members at the EFC.
The new facility builds on GIANT’s strong presence in Philadelphia. In addition to three GIANT Heirloom Markets and its new Philadelphia flagship Riverwalk store, as Bertram noted above, the GIANT Company will open a new store on Cottman Avenue on Friday, November 12, followed by a GIANT on Columbus Boulevard and a GIANT Heirloom Market in the Fashion District by the end of the year.
Stick with us as we await the company’s next announcements.
WASHINGTON, DC - With the holidays fast approaching, many buyers, suppliers, and consumers are wondering what the season will hold due to ongoing shipping issues. Despite port congestion, a monthly Global Port Tracker report from the National Retail Federation (NRF) and Hackett Associates revealed that imports are expected to remain at near-record levels for the remainder of 2021.
“Dockworkers are unloading ships as fast as they can, but the challenge is to move the containers out of the ports to make room for the next ship,” NRF Vice President for Supply Chain and Customs Policy Jonathan Gold said. “We need better empty return procedures and more chassis, truck drivers, rail capacity, and warehouse workers to keep the system moving. Retailers have enough inventory on hand to make sure shoppers won’t go home empty-handed this holiday season. But there are still items sitting on the docks or waiting on ships that need to make it to store shelves and online sellers’ warehouses. Retailers want to make sure customers have product choices.”
Last week, over 70 ships were reportedly waiting to dock at the West Coast Ports of Los Angeles and Long Beach, with the wait at Los Angeles averaging two weeks throughout the past month. According to a release, those delays have pushed back the vessels’ arrival at other port on their schedules, causing some carriers to announce plans to divert to other locations. However, congestion is still building.
These congestions and supply chain disruptions began in 2020 and have continued into the current “peak season” for shipping as retailers normally begin stocking up for the holidays. Many retailers, however, anticipated the challenges and began bringing in holiday goods months ahead of the usual schedule to ensure inventory. This year, NRF forecasts that holiday sales will grow between 8.5 percent and 10.5 percent over 2020.
“The once-vaunted supply chain continues to come under pressure from all sides,” Hackett Associates Founder Ben Hackett said, citing issues ranging from port congestion in the United States to electrical shortages impacting production in China. “It does not look like the congestion will improve any time soon, with most commentators suggesting problems will continue well into 2022—and that is assuming COVID-19 does not spike again.”
United States ports covered by Global Port Tracker handled 2.14 million twenty-foot equivalent units (TEU) in September, the latest month for which final numbers are available. While that was down 5.9 percent from August of 2021, it was up 1.4 percent year over year. A TEU is one 20-foot container or its equivalent.
Although ports have not yet reported October numbers, Global Port Tracker projects the month at 2.19 million TEU, down 1.2 percent from October 2020. If this occurs, it will be the first year-over-year decline since July 2020, after which unusually high import volumes began to arrive due to stores that were closed because of the pandemic being reopened.
Even with the year-over-year decline, October would be among the five busiest months on record since NRF began tracking imports in 2002. Busy cargo is expected to continue through the end of 2021, with November forecast at 2.17 million TEU, up 3.3 percent year-over-year, and December at 2.18 million TEU, up 3.5 percent.
Currently, January 2022 is forecasted at 2.21 million TEU, up 7.6 percent from January 2021; February projected at 2 million TEU, up 7 percent year-over-year; and March at 2.17 million, down 4.1 percent year-over-year.
Overall, the first half of 2021 totaled 12.8 million TEU, up 35.6 percent from the same period last year. For the full year, 2021 is expected to reach 26 million TEU, up 17.9 percent over 2020 and a new annual record topping last year’s 22 million TEU. Cargo imports during 2020 were up 1.9 percent over 2019 despite the pandemic.
Will these projected number meet the mark this holiday season and beyond? Stick with AndNowUKnow to receive the latest supply chain updates.
ORLANDO, FL - The Colombia Avocado Board (CAB) is taking a B2B approach to drive consumption in the United States. As we’ve learned over the past couple of years, branding is the key to landing product in shoppers’ baskets, which is why the CAB has reinvented its look to do just that. The organization has revealed all-new branding as part of a strategic plan to increase Colombian avocado imports to the U.S. by building relationships with buyers and sharing information about the category.
“As we kicked off our new strategy, it was important that our logo captured the essence of the diverse ecosystem and tropical rainforests of Colombia,” said Pedro Aguilar, Chairman. “The Andes is the backdrop of our home, and the shades of green in the logo emulate the rich green colors of the country’s flora and fauna, while the tree plays homage to the wax palm, the national tree of Colombia.”
Colombia’s direct access to the Atlantic and Pacific oceans makes the country uniquely positioned to deliver avocados to the East Coast of the U.S. in ten days or less, and the West Coast in under two weeks. According to a press release, this provides a strategic advantage to Stateside buyers.
“When looking at the projected retail and foodservice demand in the United States, Colombia is perfectly positioned to help meet those demands head on and provide another market solution,” said Aguilar.
William Watson, Managing Director, also commented on how Colombian avocados can help maximize retail ROI.
“Our goal is to build awareness for CAB and align with importers and buyers of avocados to show them that the Colombian Avocado program has the quality and volume to provide another category solution for a hungry U.S. consumer,” Watson shared.
The press release added that Colombia is also ecologically diverse, boasting of great diversity along with three different tropical mountain ranges which provide the perfect avocado growing conditions for a year-round season.
“We have fantastic growing conditions, consistent rainfall, and the capability to create extended seasons for avocados,” said Aguilar.
Aguilar also noted that this unique terrain allows Colombia to have two growing seasons for avocados that make avocados available 365 days a year: one running October through March and representing two-thirds of the total harvest, and the other running from May through August and representing the remaining portion of the crop.
“This is an exciting time to be part of a category that has shown such rapid growth and work with an organization that is poised to grow into the space as they create new marketing and awareness tools,” Watson concluded.
The Colombia Avocado Board and its new brand will be featured at the New York Produce Show, December 13—16.
We can’t wait to see how this branding ushers in a new era for the category.
MONTEREY, CA - As industry members start fleshing out their plans and accommodations for the Organic Grower Summit (OGS), presented by Western Growers and the Organic Produce Network (OPN), the organizations are building excitement by honoring Vic Smith. The Chief Executive Officer of JV Smith Companies has been selected to receive the Grower of the Year award for his impact on the organic sector through leadership and innovation.
Smith has been overseeing all of JV Smith’s farming, packing, and cooling operations—including over 32,000 acres of vegetable production annually, of which half is grown organically—since 1991. He began his first organic operation in El Toro, San Luis, Mexico, and within a year had purchased an organic carrot operation in Colorado. Today, he farms a wide array of organic specialty crops that include Romaine, Iceberg, celery, mixed leaf, and spinach.
This year’s Grower of the Year award is sponsored by AGCO and will be presented to Smith as part of the Keynote Presentation at OGS, according to a press release. The Grower of the Year presentation is a key part of an extensive educational program designed to share insights with organic producers, their service providers, and supply chain partners.
“We are honored to present the annual Grower of the Year award to Vic Smith. Vic is truly a grower’s grower, and his decades-long work exemplifies what hardworking, passionate organic farming is all about,” said Greg Milstead, Director of Sales, Southwest Region for AGCO.
Past winners of the coveted award have included The Lundberg Family (2019); Thaddeus Barsotti of Capay Organic (2018); and Vernon Peterson of Peterson Family Farms (2017).
“Over the past three decades, Vic has worked tirelessly to encourage water conservation, natural methods for pest control, and always found ways to share information about those practices with other organic farmers,” added Milstead. “His dedication to the environment and community is what makes the organic sector special and makes him so deserving of the title of Grower of the Year.”
OGS 2021 will be held December 1–2 at the Monterey Hyatt Conference Center in Monterey, California, with exhibition and general registration currently open, while the OGS trade show floor is sold out.
“In partnership with Western Growers, this year’s OGS will provide up-to-date resources and information to support the continued success of organic producers, with an emphasis on the role of ag technology,” said Tonya Antle, Co-Founder of the Organic Produce Network. “From seed to soil to harvest, our goal is to present the most relevant information on the most important subjects and issues facing organic production.”
Exhibitors at the show include companies involved with soil amendments, ag technology, food safety, packaging, and equipment connecting with organic field production staff, supply chain managers, pest control advisors, and food safety experts.
There will also be a host of in-depth educational sessions to further attendees’ knowledge about the current state of the organic sector.
Cheers to Vic Smith on earning this distinction!
KEENE, NH - Today, C&S Wholesale Grocers announced a pivotal new play to increase its retail sector penetration. The wholesaler disclosed that it entered into a definitive agreement to buy 12 Tops Markets stores, which became available following Tops' merger with Price Chopper/Market 32. Through this deal, C&S will convert the locations to Grand Union (GU) Supermarkets.
"The Grand Union stores will offer competitive prices on a wide variety of fresh foods and an extensive assortment of brand name groceries, as well as our signature private brands. Each store will contain localized assortments to meet their shoppers' needs," said Bob Palmer, Chief Executive Officer. "We are very excited to bring this iconic supermarket back to the communities it has fed for generations and continue our legacy of braggingly happy customers."
The wholesaler's new Grand Union stores in New York will be situated in Cooperstown, Cortland, Norwich, Owego, Peru, Rome, Saranac Lake, Sherrill, Warrensburg, two locations in Watertown, and in Rutland, Vermont, according to a press release.
This purchase agreement is set to close within the coming weeks, and the grand openings of the Grand Union locations are planned for mid-January through mid-February of 2022.
"With our recent announcement of the purchase of Piggly Wiggly® Midwest, this is another very exciting opportunity for C&S to further expand into the retail market,” said Rick Cohen, Executive Chairman. “This is an important component of our growth and future success. The Grand Union stores will showcase C&S's already successful retail strategies and be supported by our strong wholesale supply chain and programs to deliver solid retail performance.”
GU Markets is an affiliate of C&S Wholesale Grocers and will operate these new stores. Through the deal, C&S will continue to recognize the union workforce at the stores.
Widening its footprint in the lucrative retail sector, what will be C&S Wholesale Grocers' next move? Keep a tab open for AndNowUKnow for answers.
DELTA, BC - The future of packaging is to showcase how it can be repurposed or even eradicated once it has delivered product safely into consumer hands. Windset Farms® is running headlong ahead of this curve with a new sustainable packaging line offering paper punnets and paper lidding.
“We are excited to add paper punnets and paper lidding to our product line. Sustainability has always been a top priority for Windset Farms, and paper is more widely recycled in different regions,” says John Newell, Chief Operating Officer.
To start, the paper punnets and paper lidding will be available for Windset Farms’ snacking tomato varieties, with additional sustainable packaging options being introduced in the New Year.
“Through discussions with numerous industry organizations, suppliers, and consumers, it is apparent that there needs to be major changes to how produce is packaged,” John tells me, explaining that an issue growers and consumers have faced is the lack of appropriate recycling facilities, particularly for plastics. “We hope paper punnets and paper lidding will help with that.”
Windset went even further to make sure the paper was sourced from suppliers who had undergone third-party certification to ensure social and environmental sustainability and consistency of supply.
“We are finally able to confidently introduce sustainable paper punnets and paper lidding to the market that are recyclable in most areas in North America,” John shares. “Our customers and consumers can be assured the paper comes from third-party-certified sustainable sources.”
This latest addition is just one step in Windset’s wider sustainability vision, which covers not only its packaging standards but its growing techniques as well.
“We strive to provide the best produce while leaving the lowest ecological footprint possible. Paper punnets and paper lidding provide an additional option for our customers and consumers who may not have access to plastic recycling facilities,” John concludes. “Long-term we plan to continue bringing new sustainable options to market!”
For the latest introductions and innovations throughout the produce supply chain, continue to follow AndNowUKnow.
UNITED STATES - The House passed a more than $1 trillion bipartisan infrastructure bill on Friday, sending it up to President Biden for his signature. This marks a critical step in the President’s economic plans and puts roughly $550 billion in new funding toward transportation, broadband, and utilities. According to a report from CNBC, the bill could be signed within days.
Several key components of the bill include modernizing the United States’ outdated transportation network, with historic investments for roads, bridges, waterways, and western water projects across the country.
Western Growers issued a statement regarding the bill’s passage and how it will deliver major water improvements for the West.
“Western fresh produce growers and indeed farmers throughout the West have reason to celebrate passage of this bipartisan infrastructure bill,” stated President and Chief Executive Officer Dave Puglia. “The inclusion of $8 billion dedicated to addressing critical water supply needs will provide significant benefits for family farmers and rural communities across the West experiencing climate change impacts, historic drought, regulatory pressures, and wildfire. The funding for additional water, forestry, and ecosystem restoration programs is vital to safeguarding our domestic agricultural production and long-term food security.”
Puglia went on to applaud the efforts of both the House and the Senate for coming together to pass this bill.
“We appreciate the good work of our House and Senate champions who understood the need for, and worked tirelessly to secure substantial investments in Western water supply priorities, including repairing aging dams and canals, building new surface and groundwater storage and conveyance facilities, and funding water conservation and recycling projects,” he added. “Following President Biden’s signature, we urge the Administration to quickly drive implementation of these provisions. Time, like water, is in short supply. We cannot let red tape and activist litigation stall or block the many long-overdue projects necessary to repair and enhance our aging water infrastructure and develop reliable new sources of water supply.”
As we continue to battle supply chain issues, this bill comes at a crucial moment. We will continue to report on how this legislation helps mitigate the situation.
NEW ROCHELLE, NY - A strong table grape season is in our sights, buyers! LGS Specialty Sales recently reported that it expects a good season from December of this year through May of 2022.
“We have a lot to look forward to with our upcoming grape season,” said Luke Sears, President and Founder, in a press release. “We’re partnering with one of the biggest Sweet Celebration and Cotton Candy growers in Chile, as well as importing new proprietary varieties out of Peru that include both conventional and specialty grapes.”
For those six months ranging December to May, LGS will provide quality red, green, and black seedless grapes from Chile and Peru. This will include specialty varieties like Cotton Candy and Candy Hearts. The grapes will be available for purchase in both clamshells and clear bags.
LGS also explained in the release that the growing region in Peru continues to expand with new varieties, reporting a 10 percent increase from the previous year. This volume is on schedule to meet both retailer and consumer needs this upcoming import season.
Stay tuned to AndNowUKnow as we continue to bring you the latest in fresh produce news.