ELK GROVE, CA - Citrus, full of delicious immunity-boosting vitamin C, is essential in our daily lives if you ask me. Sunkist Growers is recognizing that need for many and has announced it will donate three truckloads of fresh California-grown citrus fruit to California schools and food banks.
“As the longest-standing cooperative, we have a commitment to care for our communities,” said Jim Phillips, Chief Executive Officer and President. “Sunkist Growers is proudly owned by 2,500 California and Arizona farmers, and the member group continues to grow, pick, pack, and ship its more than 40 fresh citrus varieties to communities all over the world.”
Assembly member Jim Cooper joined Sunkist for its first delivery to Elk Grove Unified School District on Friday, March 20. This is the first of many donations and provided nourishment to community members.
“During these uncertain times, every act of kindness goes a long way. Sunkist Growers has stepped up, and I commend and applaud their generosity to help those in need, especially those in Sacramento County who are having difficulties accessing healthy food options,” said Cooper (D-Elk Grove). “This donation truly makes a difference.”
According to a press release, the National Institute of Health notes fruits and vegetables are the best source of obtaining the much needed vitamin C that plays a vital role in strengthening our immune system. Sunkist’s donation comes at a critical time seeing as one Sunkist Cara Cara orange provides 100 percent of the recommended daily dose of vitamin C.
“We want to make sure people have access to fresh California citrus through their local schools and food banks, now more than ever,” Phillips added. “As a California-native, I am proud to be part of this community and thankful to be able to do our part. We extend our deepest gratitude and thank Assemblyman Jim Cooper for joining us for our first delivery.”
Sunkist offers over 40 varieties of fresh citrus, and its growers—large and small—work to offer quality fruit that consumers enjoy worldwide.
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CALIFORNIA - If our personal world reflects the one outside of it, consumers are now acutely aware of how fresh produce can serve as nature’s medicine. And the one everyone seems most aware of is citrus.
Between this awareness and significant late spring showers, the category has become highly sought after.
“Citrus, in general, is tight,” Alex Teague, COO of Limoneira, shared, explaining that the company is seeing this tightening effect on the retail side of business due to not just COVID-19, but to rain as well. Additionally, he added, “Lemons to foodservice are down pretty significantly due to the COVID-19 crisis. At Limoneira, we’re ensuring that our customers get what they need, and we’re thankful for all of our dedicated employees at this important time.”
It seems Mother Nature is showing in spades what she is capable of, but the industry and those it serves are rising to meet her.
“As the situation around COVID-19 continues to evolve, we have been listening to our customers and responding to their needs. We’ve seen firsthand how our customers and their hardworking teams have been on the frontlines and caring for our communities. As you know, they’ve been keeping stores stocked and clean, and their employees and guests healthy and safe. We’re so thankful for all that they are doing,” said Christina Ward, Director of Global Brand Marketing, Sunkist Growers.
Christina agreed that, while recent rains are obviously good for growing conditions, the weather has played a role in the harvesting schedule. As a result, the market is compounded with a sudden spike in demand for citrus and a slight delay in picking, but she assures me that Sunkist supply is there and the team continues to grow, pick, pack, and ship its citrus to do its part.
“Naturally, this time of year we see consumers gravitating to our fruit because of all the nutritious benefits, including vitamin C. And if refrigerated and stored properly, fresh citrus can last up to four weeks. For many reasons, the current situation has consumers stocking up,” she said.
Bee Sweet Citrus Sales Representative Jason Sadoian shared that the grower is focusing on being the best partner it can be during challenges that might be presented at this time.
“Right now, we are encouraging our retail partners to plan ahead and pay close attention to current trends to see if more bags are profitable to stock versus bulk items. With increasing pressure being placed on buyers and sellers, the industry needs to unify and work together to ensure that we are meeting nationwide demand for citrus,” he emphasized.
As the current state keeps immunal fortitude at the forefront of consumers’ minds, it looks like our industry is working tirelessly to ensure nature’s medicine stays in supply.
ROSEMONT, IL - As retailers work to meet unprecedented demands amongst this challenging time, operators from different sectors are investing their support into the grocery sector. One of the industry’s leading foodservice distributors, US Foods, announced updates on the impact of the coronavirus (COVID-19) on the foodservice industry and its business, detailing a $1 billion strategy and extensive retail support.
“As the COVID-19 situation continues to evolve, our priority is the health and safety of our associates, customers, and communities,” said Pietro Satriano, Chairman and CEO. “While the full business impact of COVID-19 is not yet known, we are taking immediate action to reduce our costs to match the slowdown we’re seeing in restaurant, hospitality, and education-case volume. We are also leveraging our supply chain resources to support the retail industry as they experience unprecedented increases in consumer demand. Finally, I would like to thank our associates for their outstanding efforts in continuing to serve our customers during this difficult time.”
The distributor has secured new opportunities to support and sell to retail outlets like grocery stores, and to contract some of its workforce to companies experiencing increased demand. These actions are expected to partially mitigate the declines currently seen in sales to restaurants, hospitality, and education customers.
The company also said it is taking aggressive steps to reduce operating costs and strengthen its liquidity position by preserving cash, including:
- Actively managing all areas of working capital
- Eliminating all non-critical capital spend
- Temporary furloughs to match changes in demand
- Freezing hiring, deferring corporate wage increases, and reducing executive and board compensation
- The company is a long-time supplier to the healthcare industry and armed forces and continues to support these customers as they work to serve our communities in this difficult time. US Foods is also supportive of efforts to provide relief for the restaurant industry and is helping its restaurant and hospitality customers adapt to the current situation with tools and resources to build and manage carryout and delivery capabilities
Additionally, in light of the rapidly evolving impact of COVID-19 on the economy and foodservice and restaurant industries, US Foods is withdrawing its fiscal 2020 guidance.
Despite this, the company noted it has a strong balance sheet that will enable it to weather the economic impact of COVID-19. In turn, it has proactively drawn $1 billion under its existing revolving credit facilities to retain as cash on hand. According to a press release, US Foods has no debt maturing until fiscal 2022 and is actively working to explore additional financing opportunities if needed.
For more updates on COVID-19 as they pertain to our industry, keep checking in with us at AndNowUKnow.
UNITED STATES - Grocery retailers big and small, regional and national, are once again proving to be leaders of our industry. As COVID-19 continues to develop and alter the grocery supply chain, companies like Kroger, Walmart, Trader Joe’s, Sobeys, Wegmans, Raley’s, Weis Markets, Stop & Shop, and more are implementing a new strategy to ensure their stores are well-stocked and that their employees are taken care of—by either offering workers bonuses or increasing their pay.
Kroger announced over the weekend that it will be awarding appreciation bonuses for its associates. According to a press release, the grocer will provide a one-time bonus to every hourly frontline grocery, supply chain, manufacturing, and customer service associate, amounting to $300 for every full-time associate and $150 for every part-time associate.
“Grocery workers are on the frontlines, ensuring Americans have access to the food and products they need during this unprecedented pandemic,” said Rodney McMullen, Kroger's Chairman and CEO. “Our associates are working around the clock to keep our stores open for our customers. I am incredibly grateful for all they are doing. The true heroes in this story are our associates, and we want to provide them with additional resources and support to help them continue their remarkable effort.”
Walmart joined Kroger in awarding bonuses, which total nearly $550 million for hourly associates, according to a press release. On top of the special bonus, Walmart will also accelerate the next scheduled quarterly bonus for its store, club, and supply chain associates a month early, which will add up to $180 million. In addition, the grocery giant also raised the minimum wage for its e-commerce warehouse employees by $2, Seeking Alpha reported.
“Walmart associates have gone above and beyond the call of duty in serving our customers during these unprecedented times,” said Doug McMillon, President and CEO, Walmart. “We want to reward our associates for their hard work and recognize them for the work that is in front of us.”
Whole Foods, Wegmans, Weis Markets, Target, and Canadian retail giants Sobeys, Loblaw, and Metro all are offering a $2-an-hour increase to their grocery staff, in the same vein as Walmart. Additional buy-side heavyweights are taking care of their own, like UNFI, who is echoing the latest moves of industry leaders with full-time and part-time direct labor associates and drivers receiving a Temporary State of Emergency Bonus of $2 per hour on top of their regular wages and overtime hours for time worked through March 31, the company stated in a press release.
Sacramento native Raley’s also recognized the dedication of its team members and announced it will be giving a one-time award to all its hourly employees. And, according to Mass Live, Stop & Shop’s 70,000+ workers along the East Coast will receive a 10 percent pay raise.
And last, but certainly not least, cult grocery icon Trader Joe’s has started a bonus pool for its employees—a “special bonus pool” that will be divided equally among store employees based on their hours worked during a sales period, a memo disclosed, obtained by Business Insider.
"We want to acknowledge the incredible hard work and dedication of our Crew Members in supporting each other and our communities by sharing the financial benefit of this sales increase with our store crew who have worked so hard during the past several weeks, and for as long as this challenge remains," the memo said.
As grocery retailers continue to implement top-of-the-line strategies to keep the industry strong during this time, AndNowUKnow will continue to follow along with the latest updates.
COQUITLAM, BC, CANADA - The global grower, marketer, and distributor of fresh produce is building on its extraordinary berry and citrus partnership with the Ocean Spray® Family. Come this May, Oppy plans to launch a grape line with the esteemed brand.
“The Ocean Spray brand is a household name that has earned consumers’ trust by consistently delivering exceptionally high-quality products for decades, which makes our partnership a natural match,” said Oppy’s Senior Vice President of Categories and Marketing, James Milne. “The growing range of produce that Oppy offers under this well-known and beloved brand also meets top quality standards and exceeds customer expectations across the board.”
The marketer will offer its high-brix grapes under the widely recognized Ocean Spray label, which has become synonymous with quality and trust.
Oppy will launch the Ocean Spray-branded grape line with the Mexican season. Once that season finishes, Oppy wil then transition to its well-established California program in the summer and move into imports by the fall.
“We’re thrilled to be continuing our robust partnership with Oppy and deliver high-quality, nutritious fruit to families worldwide,” said Chris O’Connor, Chief Marketing Officer at Ocean Spray.
According to a press release, the Ocean Spray- branded grapes will leverage a unique consumer opportunity identified in a 2019 independent survey, which noted that 70 percent of respondents couldn’t name any brand of grapes at all. The study subsequently indicated that Ocean Spray outperformed existing grape brands across all metrics including purchase intent as well as appeal, setting the stage for a successful program moving forward.
For more partnerships in this dynamic industry of ours, keep checking AndNowUKnow.
DALLAS, TX - We are an industry of action, and the current climate is far from hindering us and our vision to impact the fresh produce space in new and dynamic ways. As communities and businesses shift operations to accommodate recent health concerns, forward-thinkers in the fresh produce industry are taking the initiative to help ease the flow of communication. DMA Solutions, for one, is now offering companies within the fresh food space a free communications consultation to thoughtfully position consumer messaging and communications during this unparalleled time.
“We understand the challenges that marketers are facing relative to their communications with the consumer,” Dan’l Mackey Almy, President and Chief Executive Officer, stated. “It would be our pleasure to assist any company within the fresh produce supply chain to help create compelling and useful information for shoppers.”
DMA shares that GlobeNewswire stated 66 percent of social media users believe their social media usage habit will increase in the event they are confined to their home due to the coronavirus (COVID-19). DMA understands that people are seeking to connect with brands they trust to find comfort and inspiration-based content that relates to their increased at-home realities. Each and every day, DMA Solutions is at the forefront of communication with consumers on behalf of fresh produce brands.
“While some companies are tempted to take a back seat and stay quiet, the reality is, fresh produce remains extremely top-of-mind for consumers,” added Almy. “Now is the time for marketers to provide helpful and clear communication through email marketing, social media, and website content to serve customers and consumers.”
With industry innovators like DMA Solutions raising the bar for fresh produce companies, the future is full of opportunities.
OTTAWA, ON - As the industry continues to ensure that health and safety are top priority, trade associations have either postponed or cancelled events to protect industry members. The Canadian Produce Marketing Association (CPMA) recently announced that it too will be cancelling its 2020 CPMA Convention and Trade Show.
“CPMA is committed to offering our members, and Convention and Trade Show exhibitors and registrants, a positive and memorable Convention and Trade Show experience and this will continue as we execute the transition from our 2020 event to our 2021 event in Vancouver,” said Ron Lemaire, President. “At this time, we are also actively engaged at all hours with government officials across various sectors with implications on the produce industry to ensure the continued flow of produce throughout the supply chain.”
In a statement, CPMA also encouraged businesses throughout the produce supply chain to make use of its COVID-19 Updates page. CPMA also shared that it continues to work on the industry’s behalf to minimize business disruptions.
“The produce industry looks forward to gathering at Canada’s largest event for the produce sector—the CPMA Convention and Trade Show,” said Oleen Smethurst, Chair of the Board of Directors. “The CPMA Board of Directors has made the right decision to cancel this event. The health of our global community is our top priority and we fully support government efforts to eliminate the transmission of COVID-19.”
Mario Masellis, Chair of the 2020 CPMA Convention and Trade Show Organizing Committee, added, “The 2020 CPMA Convention and Trade Show was shaping up to be an incredible production with top entertainment, and many new exhibitors and attendees. I would like to thank the entire organizing committee for their efforts in planning this event and we look forward to the 2021 CPMA Convention and Trade Show in Vancouver, B.C.”
Exhibitors, sponsors and attendees who have already paid will have the option to carry forward their booth purchases and sponsorships to the 2021 CPMA Convention and Trade Show. Additional options can be found here.
The association also noted that its Annual General Meeting (AGM), which is traditionally conducted as part of the Convention and Trade Show agenda, will be changed to a virtual meeting. Details on this event will be sent to members as soon as they are confirmed.
As we continue to cover the latest in all industry news, keep reading AndNowUKnow.
NEWARK, DE - At this point in time, companies and associations are coming together from all facets of the industry to aid in the well-being of fresh produce. The Produce Marketing Association’s (PMA) Chief Executive Officer, Cathy Burns, recently released an initial video statement to address COVID-19 concerns. On Friday, the association released another video statement from Burns, detailing PMA’s next steps as challenges continue to evolve.
She began the video noting that PMA has decided to take the following actions in light of its members’ concerns.
“We will be quickly developing consumer campaigns to drive purchases of fresh fruit, vegetables, and floral centered around the Joy of Fresh™. This includes collaborating with Dr. William Li, best-selling New York Times author of Eat to Beat Disease on upcoming media opportunities, including Good Morning America,” Burns began. “We are also creating member tools to help you tell the story of how our industry feeds the world through fresh fruits and vegetables and provides joy through fresh flowers.”
Burns went on to describe a members-only Virtual Town Hall that is scheduled for March 25 at noon Eastern Time, featuring a COVID-19 expert and breakout sessions focused on global trade, grower-shippers, supply chain, foodservice, retail, and floral. PMA is also using new tools to deliver CGT value across its Women’s and Student Programs, including virtual, online programs for women and curriculum boosts for students and faculty.
“We are repurposing our existing Floral Facebook Group and LinkedIn Fresh Ideas Marketing Community on COVID-19, home to a combined 1,100 members. We are connecting retailers with foodservice distributors and wholesalers to facilitate the supply chain as well as leveraging our industry marketing experts (members) to provide marketing advice to the industry. More details to come on this.”
In conclusion, Burns explained that PMA is continuously tracking COVID-19 impacts on trade and labor, namely the potential for border closures, the impact on seasonal worker availability, cross-border trucking, and communicating this globally.
For more information as it pertains to PMA’s actions regarding the COVID-19 virus, visit the association’s website here. Burns encourages members to sign up for the Virtual Town Hall next Wednesday as soon as possible, so click here to join in. For more updates as the industry navigates this challenging time, keep reading ANUK.
MEXICO CITY, MEXICO - Across the globe, Walmart is a retail force. As it continues to expand worldwide, ANUK has kept close tabs on where and when the retail giant is opening up both stores and facilities. Most recently, Walmart de México announced the opening of a $27 million distribution center in Tepotzotlán, a town just north of Mexico City.
“In 2020, we plan to open three new distribution centers in the first half of the year,” stated Liliana Avalos, Corporate Communications Manager for Walmart de México y Centroamérica, to news outlet T21. “The center in [Tepotzotlán] is for e-commerce, and two more in Mérida and Chihuahua will operate as omni-channel centers.”
According to a report from FreightWaves, the new distribution center will stand at 646,000 square feet and will employ roughly 350 people. It is worth 600 million pesos, T21 noted, which rounds out to an estimation of $27 million.
After opening 134 stores in Mexico just last year, this center strengthens Walmart’s logistics network in its largest market outside of the United States.
Avalos continued, noting that, “Since the announcement of our investment plan to strengthen our logistics network in December 2016, we have allocated close to eight billion pesos [$328 million dollars] that allow us to be more agile in delivering merchandise both to homes and to our stores throughout the country.”
As Walmart continues to fortify its position as a central player in the global market, AndNowUKnow will keep you up to date on the latest in all things related to retail.
CALIFORNIA - Federal and state governments have officially deemed agriculture as “critical infrastructure.” In light of this announcement, the California Farm Bureau Federation (CFBF) is doubling down on its commitment to California’s farmers, ranchers, and agricultural businesses, especially as the industry navigates Governor Gavin Newsom’s statewide stay-at-home order.
“As people who work in a sector defined as critical, farmers, ranchers, and people working in agricultural businesses recognize our special responsibility to maintain normal work schedules,” said CFBF President Jamie Johansson said. “We encourage local, state, and federal agencies to interpret the guidelines as broadly as practicable, to be sure everyone in agriculture can stay on the job, producing food and farm products during this crisis.”
Specifically, the CFBF is positioning itself as a key resource to California’s grower industry, working to answer questions, alleviate any confusion around this decisive action, and reassure agencies that it is committed to smoothing the production, marketing, and transportation of food and farm products.
“The state Office of Emergency Services has made it clear: People involved in agriculture, food production, distribution, and transportation of food or agricultural products—anyone working in the food supply chain—people in those critical jobs are allowed and should continue to show up for work,” Johansson clarified.
To ensure people working in agriculture can do their jobs safely, the CFBF has redoubled its work with employers to make sure they’re aware of the latest guidelines from health officials and government agencies, according to a press release. This includes County Farm Bureaus around California and CFBF.
“Based on the questions we’ve been receiving from farmers, we know they’re being diligent in having employees engage in sanitary practices,” Johansson noted. “That’s already a high priority for reasons both of food safety and employee health. Farmers take a number of steps on a regular basis to protect themselves, their employees, their families, and their crops.”
Johansson continued on the essential nature of our industry.
“County Farm Bureaus provide a critical local resource for farmers, ranchers, and people in agricultural businesses. County Farm Bureaus and those of us at CFBF will remain available to respond to our members and work with government agencies to assure continuity of critical food and agricultural activity,” he reflected.
AndNowUKnow will continue to report on the latest developments as they affect the fresh produce industry.