WASHINGTON, DC - The U.S. Department of Agriculture (USDA) has imposed sanctions on four produce businesses for failure to meet contractual obligations to the sellers of produce they purchased and failing to pay reparation awards issued under the Perishable Agricultural Commodities Act (PACA). In total, the four businesses failed to pay $222,176.
Direct from the USDA Agricultural Marketing Service:
The following businesses and individuals are currently restricted from operating in the produce industry:
- Stephan Eckel, doing business as Paniolo Produce, operating out of Winchester, California, for failing to pay a $108,340 award in favor of a Missouri seller. As of the issuance date of the reparation order, Stephan Eckel was listed as the sole proprietor of the business
- Alko Green Fresh LLC, operating out of Las Vegas, Nevada, for failing to pay a $19,900 award in favor of an Illinois seller. As of the issuance date of the reparation order, Jorge Ortega was listed as the manager and member of the business
- Ayar Produce NY Inc., operating out of Brooklyn, New York, for failing to pay a $45,089 award in favor of a Texas seller. As of the issuance date of the reparation order, Necati Ayar was listed as the officer, director, and major stockholder of the business
- Island Fresh of Puerto Rico, operating out of Bayamon, Puerto Rico, for failing to pay a $48,847 award in favor of a Florida seller. As of the issuance date of the reparation order, Jorge Mayendia was listed as the officer, director, and major stockholder of the business
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.
By issuing these penalties, USDA continues to enforce the prompt and full payment for produce while protecting the rights of sellers and buyers in the marketplace.
For more information, and to read the press release in its entirety, click here.
DAVIS, CA - As much as many of us may want to, there is simply no way that we can garner all of the world’s knowledge on our own. Enter Engage3, which works to make predictions and innovations that help its partners gain a competitive edge. Most recently, the industry partner launched its Price Image Management (PIM) Suite for independent grocers and convenience stores, which will track their competitive price position and optimize prices to maximize traffic and margin. Woodman’s Markets, Pyramid Foods, Carlie C’s, Yesway, Village Beach Market, and others have all selected PIM as they aim to increase revenue.
“We are thrilled to be able to bring the industry’s most complete competitive intelligence data and our next generation Price Optimization solution—that is proven to drive both trips and margin growth—to independent retailers,” said Edris Bemanian CEO Engage3. “Independent grocers and convenience stores face a highly competitive environment, and we are excited to partner with them to help level the insights playing field with world-class competitive pricing intelligence and advanced shopper-based price optimization models.”
Independent retailers face the same pricing pressures as national retailers, but due to budget constraints, many rely on using their own store personnel to collect competitive prices and intuition to set prices, a press release explained. Through PIM, independent retailers have access to highly localized competitive prices that are refreshed as frequently as hourly for high-velocity items. Advanced AI and ML combines the retailer’s own data with market competitive data to set optimized prices and drive increased traffic while protecting and growing margins.
Yesway, for example, turned to Engage3 to track fuel prices every hour to ensure competitive rates and to save its in-store associates time.
“In our competitive environment, speed and accuracy of data is essential. Engage3’s Price Image Management Suite allows us to price retail with agility and confidence, raising us to an enhanced level of competitiveness and algorithmic pricing,” said Darren Renwick, Senior Fuel Procurement Manager at Yesway.
This serves as only one representation of how the system works, as it is an exciting opportunity for grocers to engage in competitive pricing across all sectors.
Will you be the next grocer to adopt this framework? ANUK will be here to report if so.
KEENE, NH - The retail industry is one that moves at a quick pace, every day revealing new changes and faces. Over the past week, C&S Wholesale Grocers (C&S) has been on the leading edge of some of these evolutions, first announcing last week that it had entered into a definitive purchase agreement with Piggly Wiggly® Midwest to expand its footprint, and now revealing that it has appointed Mark McGowan as its new Senior Vice President, Retail, effective immediately.
McGowan comes to C&S with more than 30 years of grocery industry experience and a long history of partnership with the wholesaler in his leadership positions with other retail partners, according to a press release.
Most recently, McGowan served as President of Stop & Shop, where he led and oversaw over 65,000 employees spanning across a total of 416 stores.
Bob Palmer, Chief Executive Officer, remarked on McGowan’s recent appointment to his new role.
“We are very excited to have Mark’s leadership in this important market. With last week’s announcement on C&S’s agreement with Piggly Wiggly Midwest with the intent to purchase the Wisconsin-based wholesaler, his leadership will be critical as we expand into the Retail and Franchise space, which is an active part of C&S’s growth strategy,” he commented.
Congratulations to Mark McGowan as he takes up the mantle on this new role!
OXNARD, CA - As members of the produce industry, we are fortunate to have the strong relationships that we do. These relationships are especially pertinent on the buy-side, and the upcoming PMA Foodservice Expo is a boon for fostering new partnerships and strengthening existing ones. As Westfalia ramps up for the event, I got in touch with Angela Tallant, Director of Sales and Marketing.
“Partnerships between avocado suppliers and foodservice customers is key, as up-to-date information on market conditions and fruit quality is paramount to accurate foodservice distribution,” she began. “This show is invaluable and allows quality and intimate time to meet with your partners.”
Angela explained that Westfalia sees the growth potential within the foodservice category. Innovation is a key characteristic of the sector, and fresh ideas are essential. By providing critical seasonal information, the supplier keeps its partners in the know on proper handling and upcoming seasonal changes in pricing.
“Westfalia’s global position offers the U.S. market a consistent year-round supply and versatility from multiple origins,” she continued. “We are expanding our procurement and sourcing team to ensure that we have the most up-to-date information from all countries of origin that supply the U.S. market’s avocado demand.”
So, what will Westfalia be showcasing at the upcoming event? Ripe and ready-to-eat avocados, of course.
“We are most excited to connect with current customers that we supply to, and to develop new relationships and partnerships. This is a great show to focus specifically on establishing foodservice business, and we will highlight our unique ability to offer specific specs and pack styles,” Angela concluded. “Our globally integrated supply chain and R&D team provide us with great industry insight, and we value our customer relationships and have the drive and supply to grow the category.”
Be sure to stop by booth #1102 at the show for even more of Westfalia’s insights on boosting avocado sales at foodservice.
WASHINGTON, DC - In its pursuit to uphold the Perishable Agricultural Commodities Act (PACA), the U.S. Department of Agriculture (USDA) has imposed sanctions on Southern Produce Distributors Inc. (SPD), in Faison, North Carolina. SPD has allegedly failed to pay $3,488,367 to 33 sellers for produce. Under the rules of the PACA, SPD will be sanctioned, barring the company and the principal operators from conducting PACA-licensed business or other activities without approval from the USDA.
Direct from the USDA Agricultural Marketing Service:
SPD failed to pay $3,488,367 to 33 sellers for produce that was purchased, received, and accepted in interstate and foreign commerce from April 2017 to June 2018. This is in violation of the PACA. SPD cannot operate in the produce industry until June 25, 2023, and then only after they apply for and are issued a new PACA license by USDA.
The company’s principal, Kelley Precythe, may not be employed by or affiliated with any PACA licensee until June 25, 2022, and then only with the posting of a USDA approved surety bond. The company’s other principal, Sterling Cook, has challenged his responsibly connected status.
USDA is required to publish the finding that a business has committed willful, repeated, and flagrant violations of PACA as well as impose restrictions against those principals determined to be responsibly connected to the business during the violation period. 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.
By issuing these penalties, USDA continues to enforce the prompt and full payment for produce while protecting the rights of sellers and buyers in the marketplace.
For more information, and to read the press release in its entirety, click here.
BRITISH COLUMBIA - Today, we at ANUK honor a tenured career that has been advancing our industry for almost 30 years. Oppy recently revealed that Doug Grant, Executive Vice President and Chief Operating Officer, has announced his upcoming retirement on July 31, following nearly three decades of leadership under the fresh produce purveyor.
Grant first joined Oppy’s leadership ring as Director of Information Technology, where he made an immediate impact by guiding the company’s digital transformation. Grant made his mark by exploring innovative ideas throughout his tenured career, according to a press release, and was promoted to his current role of Executive Vice President and Chief Operating Officer in 2019. In this role, he oversaw operations, quality control, manufacturing, transportation, supply chain management, grower relations, government regulations, sustainability, and Oppy’s South American offices.
Further demonstrating his expertise in the sector, Grant has authored numerous white papers covering e-commerce, traceability, and GS1 Databar, as well as articles for The Center for Produce Safety, where he serves on the executive committee. Since 2003, Grant has participated on 15 industry committees, beginning with PMA’s EDI/e-commerce committee, which he chaired through the process of developing the industry’s first standard Electronic Data Interchange (EDI) documents, the release noted.
“Doug is one of the most influential people to have walked through Oppy’s doors. The world-class technology system that we have today is because of him and his team,” said Chairman, Chief Executive Officer, and Managing Partner John Anderson. “Beyond Oppy, Doug has been a dedicated leader in the industry, contributing his expertise on critical subjects in produce. On behalf of Jo-Anne and I, and everyone at Oppy, we thank Doug for all he has done and wish him and Sherry a long, happy, and healthy retirement.”
Grant has also made significant pushes on the sustainability front during his career, as he recently spearheaded a unique adopt-a-highway program in Peru which removes waste pileups beside major highways by engaging with citizens, local partners, and authorities; this initiative will serve as a blueprint for similar models in the future, continuing his lasting impact.
Grant also received the Canadian Marketing Association’s Produce Man of the Year award in 2003, and last year was named as one of the industry’s 35 Vanguard leaders by Produce Business.
“His contribution to industry efficiencies, which are the backbone of the fresh produce supply chain, will be a lasting legacy of Doug’s career,” said Canadian Produce Marketing Association’s Vice President of Policy and Issue Management Jane Proctor. “His calm demeanor and expertise helped move along files when it seemed a solution was almost impossible. He will be greatly missed around industry tables.”
As Grant steps down from his role, Steve Roosdahl, Vice President of Operations, will take on Grant’s top-line responsibilities within Oppy’s operations, transportation, and supply chain. Vice President of South American Operations Eric Coty has now taken over the region completely, and IT is reporting directly to Executive Vice President and Chief Financial Officer Kiran Rao.
Congratulations to Doug Grant on a successful career and his recent retirement! AndNowUKnow will continue to keep our eye out for the next play from the many movers and shakers of our industry, so keep reading.
SUMMERLAND, BC - As PMA Foodservice sits just days away, companies across the fresh produce industry are making exciting announcements to up the anticipation for the event. Boosting eagerness for the show, Okanagan Specialty Fruits® (OSF) revealed that it will be rolling out new products across its innovative Arctic® apple variety as part of its showcase.
“Besides the many benefits of Arctic apples, what really sets us apart is how our apples are grown,” said Neal Carter, President and Founder. “Arctic apples are grown specifically for slicing. This offers customers a premium product with a superior, fresh from the orchard taste you won’t experience anywhere else.”
The new products include 40 oz sliced foodservice packs that will be available in both Arctic® Golden and Arctic® Granny varieties, as well as new diced and half slice options, according to a press release.
Those in attendance at the PMA Foodservice exhibition, being held July 21–22 in Monterey, California, are encouraged to stop by booth #719 to learn about the benefits of Arctic apples and sample the products for themselves. A 2 oz package option will also be on hand, a great option for school lunch programs.
“With a better flavor and an impressive 28-day shelf life, Arctic apples provide the foodservice industry with the ability to save time, money, and reduce unnecessary food waste,” explained Bob Wilkinson, Director of Sales. “Each time we introduce a new product line, we are able to expand these benefits to more foodservice operators, while increasing menu, ingredient, and processing possibilities.”
How will OSF continue to expand its Arctic apples lineup? AndNowUKnow will share the latest updates.
DONNA, TX - You can almost feel the excitement in the air as the industry events that we know and love come back in full swing. The PMA Foodservice Conference and Expo will be taking place July 21–22 in Monterey, California, and Kingdom Fresh is one of the many companies eagerly awaiting its kick-off.
“We’re excited to get back to seeing our customers after 18 months of not being able to,” says Jaime García, General Manager. “We can now reconnect with our foodservice partners, and this show will be a great avenue to do so now that California has loosened social distancing restrictions more. I really think it’s going to be a great show.”
Kingdom Fresh offers a multitude of products at the foodservice level, which is exemplified by the outstanding relationships with its allies in the sector.
“This is a very important show for us based on our presence in the foodservice segment of the industry,” Jaime adds. “We have a strong customer base that attends this show and a good reputation with the sector as a whole. It’s great to continue to add on to that, and every year we’re growing and focusing on extending more fresh produce offerings to foodservice.”
For Kingdom Fresh, this anticipated event is not just a chance to reunite with customers and industry members, but to address any upcoming developments or challenges for its partners.
“It’s a great opportunity to listen to foodservice operators and find out what changes they are implementing after last year. Any information we can get to make their distribution easier and more efficient, and to stay up to date on any alterations to their buying processes, is vital,” explains Jaime.
As the foodservice sector evolves, so too does the supplier, as Kingdom Fresh has made key moves to expand its offerings and provide dry-veg items in addition to tomatoes.
“This year is a little different than before. A few years ago, we started diversifying from tomatoes, and we want our foodservice customers to know that we now have yellow squash, zucchini, bell peppers, cucumbers, and Jalapeño and Serrano peppers. We are also preparing for our mini cucumber program at the end of this year, and we’re looking for new outlets to showcase this item,” says Jaime.
All of Kingdom Fresh’s offerings are grown hydroponically in greenhouses, providing its foodservice customers with high-quality fresh produce year-round.
As we approach this can’t-miss industry event, AndNowUKnow will be here to bring you all the latest updates, so keep a tab open for us.
WENATCHEE, WA - Red means stop. A red stop sign or traffic signal on the road tells you to pump the brakes in your car. A bright red cherry display, on the other hand, tells shoppers to stop their carts—even for just long enough to add a few extra items to it. As the time nears for retailers to hone in on impulse purchases for this coveted fruit, Stemilt Marketing Director Brianna Shales joins me to discuss the current cherry market.
“Stemilt has the longest cherry season in the industry, running from May to late August, so we are just over the halfway point in the season,” she tells me. “We are entering a peak harvest and shipping time in the next week or two. These cherries are coming from multiple locales, including our Stemilt Hill cherries that are grown by fourth generation farmer Kyle Mathison.”
Stemilt is currently entering a promotional period for cherries, as its Washington-grown varieties have entered their second peak. For a limited time, the grower’s premium Kyle’s Pick® cherry program is available, which features bright-colored cherries with a high brix, picked by Mathison himself. Beginning in August, the grower will also kick off its A Half Mile Closer to the Moon® premium cherry program, providing delicious cherries grown on orchards literally a half mile closer to the moon.
Offering any of Stemilt’s unique varieties is a sure-fire way to uplift the category as a whole, as they have become a mainstay in the homes of many shoppers.
“Our brand is well-known for quality cherries, so there is an advantage when carrying our branded bags, clamshells, or Top Seals. We are always working with our partners to help them follow the cherry season, because it is always changing,” Brianna adds. “Staying with the season and taking advantage of the opportunities that come with it helps retailers succeed in the category.”
Brianna also notes that grocers can take cherry sales into their own hands this summer by creating full and vibrant displays throughout the produce department.
“There are great opportunities to drive repeat cherry purchases with shoppers that have already experienced them this season, or to help encourage impulse purchases among consumers who haven’t. Now is the time for big cherry displays at the front of the department, and we are seeing a lot of that at retail right now. Placement and promotion are crucial with cherries, and it’s always fun to work with merchandising teams to set up big, bold displays to drive sales of this impulse item,” concludes Brianna.
Just as no ice cream sundae is complete without a cherry on top, no fresh produce department is complete without a delicious selection of high-quality cherries, and Stemilt is ready to provide its retail partners with just that this summer.
FOLSOM, CA - Advocating for an entire category of fresh produce is no easy task, and to bolster its operations, the U.S. Highbush Blueberry Council (USHBC) has named a new leader. The association recently announced that it has appointed Michigan blueberry grower and Co-Owner of True Blue Farms Shelly Hartmann as its Chair. She will succeed Chris Barnhill of North Carolina in this position.
“Over the years, I have seen first-hand a lot of success and opportunity unfold for the blueberry industry, and it has been especially exciting to serve on the USHBC board as we’ve entered an era of innovation,” said Hartmann. “As I embrace this new role, I’m looking forward to engaging more growers and stakeholders in our work as we shape how our industry continues to evolve into the future and prepare for the opportunities that lie ahead for blueberries.”
Hartmann has served on the USHBC Board for 10 years, most recently holding the position of Vice Chair. In addition to her work with USHBC, she began her farming operation in the early 1990s, and her family has been in the blueberry business for generations. Today, True Blue has grown into a producer and marketer of millions of pounds of blueberries.
In tandem with Hartmann’s role on the USHBC Board, she is also actively involved in other industry organization and programs including her Governor-appointed role of Treasurer of the Michigan Blueberry Commission, serving as a member of the Board of the Michigan Agricultural Environmental Assurance Program Advisory Council, and her position on the planning committee for the National Blueberry Festival that takes place annually in South Haven, Michigan.
Kasey Cronquist, President of USHBC and North American Blueberry Council, commented on Hartmann’s recent appointment to Chair.
“Shelly brings passion and dedication to the growth and success of the blueberry industry, and for these and many other reasons, I know she’ll be an excellent chairperson for our organization. During Chris Barnhill’s tenure, we have made tremendous progress on initiatives that have driven blueberry demand, and Shelly’s enthusiasm and leadership will continue to drive the USHBC toward new opportunities and the innovation we need going forward,” he said.
Hartmann will complete this year’s term and will be eligible to serve additional terms as Chair of the USHBC.
Congratulations to Shelly Hartmann on this exciting new role!