BENTONVILLE, AR - 2020 feels like living in an episode of The Jetsons. Decades ago, we would have never expected to see phones that recognize your face, accessories that monitor your heart rate, or cars that quite literally drive themselves. For our industry trailblazers, however, evolving technology is vital to expansion. One retailer is no stranger to this, as Walmart announces a new milestone, expanding its partnership with Gatik to carry out a driverless supply chain operation in Arkansas.
The company began the autonomous vehicle pilot last year, where the vehicles operated on a two-mile route between a store that is not currently open to the public and a Neighborhood Market in Bentonville, Walmart revealed in a press release. Now, more than 70,000 miles later, the retailer will be working even harder with Gatik to stay on top of the use of driverless vehicles in the industry.
The pilot is being expanded to a second location, where a longer delivery route will be tested, and the autonomous vehicles will be used to deliver items from a Supercenter to a Walmart pickup point. The operation is set to begin next year on a 20-mile route between New Orleans and Metairie, Louisiana, allowing shoppers who live further away from the New Orleans location to enjoy the benefits of the retailer’s popular pickup service.
Just how far will this company go with nobody in the driver’s seat? Keep checking with AndNowUKnow as we find out.
OXNARD, CA - Mission Produce knows avocados through and through, and the green gold maven is giving an inside look into the company’s state-of-the-art ripening centers and skilled ripening process. Requiring sensitive practices, the program created by Mission not only reduces shrink, but will provide value to avocado programs across retail, wholesale, and foodservice as well.
“We have experts on both the science and on the art. The science behind ripening is key, but there is an art to how you handle the fruit,” explained Director of Operational Excellence Jason Payne. “You must know the science to create the art. The art is knowing the timing, age, dry matter, and operation of the rooms.”
Due to to the fact that avocados come from various regions around the world, conditions like seasonality, origin, age, and handling practices in each location affect the outcome of the fruit and require skillful ripeners to be able to balance the different factors.
According to a press release, a master avocado ripener will be able to carefully balance each of the effects while also taking into account dry matter, temperature, and humidity. With so many factors playing a role in the success of each avocado crop, Mission has become an expert in skillfully handling each avocado that it comes in contact with.
“Mission’s goal is to provide its customers with the best product available,” said FDC Manager Stacy McFann. “We continually develop, research, and educate our staff on new industry techniques to provide increased shelf life and have continued to adopt innovative practices within the ripening process. Mission strives to be the industry standard in service and product excellence.”
Mission has 11 operational, state-of-the-art ripening facilities across the globe, and is now building its 12th and largest facility in Laredo, Texas.
Each of the nine locations in North America are strategically located no more than 24 hours via truck ride away from customers, ensuring maximum freshness.
“When I ripen fruit, I think of how I would want to receive the fruit as a retailer, wholesaler, and as a consumer,” said Ripe and Inventory Manager George Bahamonde. “You must love what you do, as well as take pride and ownership in the end result. I think what sets Mission apart in the industry is primarily its commitment from everyone here to ensure we deliver the best fruit to our customers. The commitment, drive, devotion, knowledge, passion, training, and ownership of everyone has been the key to Mission’s success.”
How will Mission continue to expand its avocado ripening programs as it looks to grow the category? AndNowUKnow will continue to bring you all of the latest news and updates.
ZAANDAM, THE NETHERLANDS - Ahold Delhaize recently announced a refinancing strategy that will allow it to better advance its sustainability goals, such as lowering food waste, reducing carbon emissions, and promoting healthy eating with its shoppers. This €1 billion ($1.2 billion) Sustainability-linked Revolving Credit Facility (Facility) is a line of credit that refinances the retailer’s existing 2015-dated €1 billion facility.
“This is an important facility for Ahold Delhaize that ensures we maintain our financial flexibility. After having issued the first euro-denominated Sustainability Bond in the Retail industry in June 2019, we believe that linking this facility with our significant Healthy & Sustainable ambition will deliver a positive outcome for all stakeholders,” remarked Natalie Knight, Chief Financial Officer.
According to a press release, Ahold has previously announced several initiatives regarding sustainability, all of which this current line of credit helps to promote. For example, Ahold plans to cut both food waste and carbon emissions in half by 2030.
A breakdown of the retailer’s goals from this Facility milestone include the following:
- Food waste reduction: as measured by percentage reduction in tons of food waste per million Euro food sales
- Carbon emission reduction: as measured by percentage reduction of Scope 1 and Scope 2 CO2-equivalent emissions and aligned with Ahold Delhaize SBTi-certified 2030 targets
- Promotion of healthier eating: as measured by percentage of own- brand food sales from healthy products
Through this Facility, Ahold Delhaize draws a connection between its cost of borrowing and its achievements of the above goals.
As sustainability-linked goals become more common due to the fact that interest rates are cut if the borrower meets their intended targets, will we see more of this financial strategy across grocery? AndNowUKnow will report.
DONNA, TX - As I look back on the hubbub surrounding Thanksgiving, my mind instantly turns to the new year and the excitement to come. Before we know it, 2021 will be at our doorsteps, bringing along with it new opportunities. For Kingdom Fresh, that door is opening up a little wider as its programs in Puebla, Torreón, and Culiacán, Mexico, are coming to a head.
“So far, we’re seeing phenomenal pulls in our green bell peppers and eggplant productions. We have high yields coming from our Puebla farm, and quality has been pretty steady,” Jaime García, General Manager, tells me. “Our yellow squash, cucumber, and zucchini programs from our Torreón location are also looking great as well.”
Known for its tomato program, Kingdom Fresh is pushing its doors open for more opportunities. With the addition of new items to its ever-growing portfolio, the grower has its eyes set on becoming a one-stop shop for retailers, complementing its year-round tomato category with dry veg items.
“We have a good foundation to work with. Right now, we are building on those strong bones by selling more items in the same program for retailers,” Jaime explains to me. “We want Kingdom Fresh to grow by adding in new and different items so we can have a wider window of products to meet all of our customers’ needs.”
To prepare for the next holiday rush, the grower has already started harvesting its eggplants, bell peppers, and zucchinis in Culiacán, with grape tomatoes soon to follow. Demand has been great for cucumbers—selling in 36 packs and bushels—and there is also extra demand for squash and zucchini this season.
With Thanksgiving come and gone, Kingdom Fresh saw a good tomato market for the past month. And as Christmas rounds the corner, the market, as Jaime puts it, could go up again around mid-December.
Opportunity is knocking, and fresh produce is at the door! Retailers, stock up now while you can on the freshest produce and industry insights as ANUK brings you the latest.
NEWARK, DE - The Produce Marketing Association (PMA) Virtual Town Hall series has served as a highly valuable resource for the industry this year, and PMA will be capping off 2020 by hosting an exclusive conversation with Bruce Taylor of Taylor Farms and John Anderson of Oppy. CEO Cathy Burns will host the forum as the leaders share insights and perspectives on the year's events. This session will serve as a roadmap for how the fresh produce industry can capitalize on new opportunities in 2021.
“Without a doubt, 2020 has been a world-changing year and for the fresh produce and floral communities, the impact of those changes continues to be felt,” said Burns. “During our next Virtual Town Hall, I’ll be joined by Bruce Taylor and John Anderson for a candid conversation about where our industry has been and where it is headed in the next 12 months as we move forward together to create the new extraordinary.”
The Virtual Town Hall series began in March, as the impact of COVID-19 took a toll on the industry and our consumers. Experts from inside and outside of the industry came together to lend their insights to such an important conversation. The topics varied, focusing on the challenges facing the industry at the moment and often featured breakouts where attendees could discuss, problem-solve, and share actionable, tactical resources. The Virtual Town Hall on December 16, titled “New Year, New Outlook,” will be the 37th town hall of the year. According to a press release, the series will pick up again in 2021 on January 6.
Burns will join the conversation right off the virtual stage having just spoken at the Milken Institute Future of Health Summit. Her session, “Feeding Change: Food is Medicine” featured U.S. Representative Chellie Pingree (ME), Roy Steiner of The Rockefeller Foundation, and Pam Schwartz of Kaiser Permanente as they discussed how food as medicine could be implemented and scaled. They also highlighted successful food access programs like Brighter Bites, which is one of PMA’s strategic partners.
Registration for the event is open to all but is required to gain access to the broadcast. PMA invites attendees to submit topics and questions in advance via this link.
Be sure to register now to take part in this exciting event.
UNITED STATES - The message here: Help is on the way. That is what fresh produce industry sources in Texas, Arizona, and California share with AndNowUKnow as vaccines are now shipping across the country this week. These sources revealed that their fresh produce industry essential workers are projected to receive the vaccine by late February or March 1, 2021, at the latest.
According to CNBC, 2.9 million doses of the vaccine from Pfizer plants began shipping via FedEx and UPS to hospitals, clinics, and additional distribution points. Each Friday, allocations will be announced by government officials moving forward, according to a briefing this morning. East Coast shipments have rolled out and West Coast shipments will roll out in the next four to six hours if they are not already in the region.
Orders of the vaccine will continue rolling out as the operation moves forward. A report in MarketWatch noted that a Food and Drug Administration advisory committee will meet for the second time in a week to discuss whether or not to authorize Moderna Inc.’s COVID-19 vaccine candidate as well.
In its live updates, CNBC also reported that the vaccine is a two-dose shot. Health-care and front-line workers will likely be receiving the vaccine first, followed by vulnerable populations.
The vaccination rollout effort, dubbed Operation Warp Speed, has an ambitious goal of delivering more than 300 million doses of safe and effective vaccines. The initial doses were slated to be available by January 2021. This, according to the Department of Health and Human Services (HHS), is an action in a broader countermeasures strategy to accelerate the development, manufacturing, and distribution of COVID-19 vaccines, therapeutics, and diagnostics.
As one source tells me, the efforts also rely heavily upon the Department of Defense for logistical expertise, as well as de-risking the financial implications of vaccine development and streamlining the approval process.
Both shipping giants are safely transporting the thermal shippers from Pfizer storage sites in Michigan and Wisconsin to 64 states, territories, and major cities across the nation, the December 12 CNBC report continues. Additionally, at airports across the U.S., vaccines will be getting special treatment, which means that they will have priority access at the airport.
Stay tuned to AndNowUKnow as we bring you continued updates on the COVID-19 vaccine and the actions of our diligent and dedicated industry partners.
CANADA & THE NETHERLANDS - It’s no secret that the organic category continues to rise in the ranks, but we at ANUK saw a unique growth strategy come to light this week. Organic and value-added produce provider Organto Foods recently signed a Letter of Intent to acquire 100 percent of the outstanding shares of Fresh Organic Choice BV, a privately held Dutch corporation selling organic fresh-cut herbs. Closing of the transaction is subject to completion of final due diligence, definitive agreements, and acceptance of the TSX Venture Exchange.
“We are extremely excited to have Fresh Organic become part of Organto, expanding our organic fruits and vegetables portfolio and leveraging the operating platform that we have been building. Growth via acquisition has been one of our stated strategies, and we are pleased to be able to announce this first transaction as we ramp-up our acquisition program,” commented Rients van der Wal, Co-CEO of Organto and CEO of Organto Europe BV. “Wilco has built a successful business in a fast-growing category, based upon strong values and operating principles, and we are honored that he and his team will become part of Organto. By combining our collective strengths, we are confident that we will be able to profitably expand our fresh herbs and taste-maker categories for years to come. We are convinced that demand for fresh cut organic herbs will continue to grow, driven by the rise in home cooking and desire for new taste sensations, combined with the desire for the unique health benefits that herbs provide.”
Fresh Organic is based in the Netherlands and was started in 2017 by Owner Wilco Heemskerk, who will join Organto and lead the company’s organic herb and taste-maker portfolios.
The company operates an asset-light business model, which will enable a straightforward integration process with Organto. Its fresh cut packaged herbs portfolio includes mint, oregano, basil, chives, parsley, dill, thyme, rosemary, sage, tarragon, and others, sold in a wide range of branded packages. Product is sourced primarily from strategic local growers in the Netherlands, Germany, Spain, Italy, Germany, and Portugal, with sourcing programs in development Tunisia and Ethiopia.
With the increase in cooking at home during the COVID-19 pandemic, demand for fresh-cut herbs has been strong as consumers have sought the combination of taste intensity and health benefits that herbs provide. According to a press release, this trend is expected to continue as many consumers have indicated they will keep up with increased healthy home cooking once the pandemic has passed.
“I am extremely proud of what we have built at Fresh Organic and am thrilled that we will continue our legacy as part of the Organto family,” said Heemskerk. “Organto’s vision for the future, commitment to socially responsible business practices, and strategy to be a leader in fresh organic fruits and vegetables aligns with the goals of Fresh Organic, and I could not be more pleased to be part of this vision.”
Fresh Organic is expected to realize revenues of approximately CDN $2.1 million ($1.64 USD) in calendar 2020, with strong growth projected in the future. The business is expected to be both gross margin and EBITDA accretive to Organto once the transaction has closed.
For more organic growth across the industry, keep an eye out for more reports from AndNowUKnow.
CANADA - To me, football has never been more than the delicious finger foods I would snack on at Super Bowl parties. But, unlike me, many other people take a lot of pride in their football team. Thomas Fresh joins this crowd, as it launches a new local potato bag in support of the Saskatchewan Roughriders.
“The whole team at Thomas Fresh is very proud to have the privilege of working with such a storied franchise as the Saskatchewan Roughriders,” said Saskatoon Branch Manager, Robb McGill. “In Saskatchewan, Rider pride is something you are born with and stays with you no matter where life takes you. Working with the Riders for this promotion has given us all cause for excitement and a great deal of pride.”
The new packaging comes as a second installment of the packer’s local bag collection, following Alberta-grown potatoes, according to a press release. With more and more consumers looking to shop locally, many retailers have quickly adapted by sourcing fresh ingredients from local growers.
The bag is a celebration of both local potatoes and the local CFL team, sparking excitement amongst many shoppers.
“Our roots at Thomas Fresh have been a part of The Riders nation since 1957,” McGill said, “and we couldn’t be happier to have this opportunity.”
Shoppers will soon be swarming the produce department not only in support of their team, but local farmers as well.
As more companies create innovative ways to capture the eyes of consumers, we at AndNowUKnow will continue to report.
BELGIUM - As it has been seen many times before, the best way to drive growth is to introduce new innovations. Lidl is setting its course for expansion by recently announcing that it will be unveiling a new retail format in the Belgian city of Lokeren. Broken up into “food worlds,” the new store concept will serve as a way to meet the needs of shoppers through quick and easy layout, and inspire them with ingredients for fresh meals.
“We have noticed that customers have been in a hurry in recent years and do not always feel like spending a lot of time on the necessary shopping. Still, they want to eat fresh and healthy food,” said Isabelle Colbrandt, Head of Communication and PR for Lidl Belgium. “With this new test concept, we want to make shopping efficient but pleasant and above all inspire our customers about what is on their plate.”
The new Lidl test store will be opening at Dijkstraat 31 in Lokeren, and was built in a six-month time span, according to a press release. Sitting at just over 16,000 square feet, the store offers a spacious area for consumers to do their shopping.
Lidl also incorporated new decorations for the format that provided a warm atmosphere for those who enter. Using wooden furniture, the new store will bring warmth to not only customers but the 26 employees who have started at the new location.
Upon entering the test store, everything is simply laid out, allowing customers to easily navigate the space. Lidl’s new format offers fresh options like freshly squeezed orange juice, fresh made salads and meals, smoothies, and a large fresh fruit and vegetable selection for shoppers to enjoy. The new concept will continue to spotlight Lidl’s strong focus on providing 100 percent fresh fruits and vegetables in all of its stores.
“We are very pleased to be able to test this new concept for the first time in the second most important city in Waasland. The residents of Lokeren have been familiar with their Lidl for years, and now we offer them a surprising new concept. The first reactions are full of praise. For the time being there are no plans to expand the store concept further to other stores. We want to test it first and measure the experiences of customers and employees,” continued Colbrandt.
The new store layout and concept fall fully in line with Lidl’s strategies to reduce plastics and foodwaste by 2025.
Will this new test concept be the future for all new Lidl stores? Keep a tab opened for AndNowUKnow as we bring you the answers.
SEATTLE, WA - PCC Community Markets (PCC) is a staple in the Seattle community, and it has just found a new Chief in the form of a former Kroger Exec. Suzanne (Suzy) Monford was named President and Chief Executive Officer, effective December 16, 2020.
“I’m thrilled to join the PCC team as we continue to partner with our members, shoppers, and communities throughout the Pacific Northwest,” said Monford. “Since 1953, PCC has championed local producers, quality, and sustainability—the values I most cherish. As we look to the future, we will continue to draw on what makes us special, like our dedication to cooking from scratch daily in our stores, and to anticipate our shoppers’ needs, especially now, through innovation in our stores and our growing online business.”
With more than 30 years of experience in the grocery and restaurant industries, Monford brings a passion for creating healthy communities, a dedication to health and wellness, and a focus on innovation, a press release explained. She joins PCC after spending three years with Kroger as its Group Vice President of eCommerce, where she helped create and lead strategies for the grocer’s e-commerce partnership with Ocado into new markets across the U.S. She also led Fresh Food as the company introduced its new “Fresh for Everyone” master brand.
“Suzy brings to PCC a wealth of experience in natural foods, high-service retail, and executive leadership,” said Catherine Walker, Chair of the PCC Board of Trustees. “Equally important, she has committed her personal and professional lives to health and wellness with a community focus. Her knowledge of the grocery industry, her alignment with PCC’s mission and values, and her commitment to community make her an ideal choice for the CEO role.”
Throughout her time spent as President of Quality Food Centers (QFC) from 2017 to 2019, Monford ran the division of 65 stores in Washington and Oregon and developed a strong connection to the Seattle community. She helped launch delivery, led the campaign to eliminate single-use plastic bags, and launched the Tutta Bella restaurant. Monford also collaborated on the design of the chain’s flagship store in Kirkland to elevate the focus on fresh, local, and healthy.
In addition to her time with Kroger, Monford began her supermarket career working in leadership roles for H-E-B Central Market and H-E-B Grocery. She was also CEO of Andronico’s Community Markets in San Francisco Bay Area and gained international experience in leadership roles with Woolworths and Coles Supermarkets, both in Australia.
Congratulations to Suzanne Monford on this well-deserved role!