ONTARIO, CANADA - Connection. This is the word I heard continuously throughout my recent interview with Leona Neill, Director of Marketing and Packaging at Red Sun Farms. We sat down to discuss the Southeast Produce Council’s (SEPC) upcoming Southern Innovations event, and it’s safe to say that the company will be forming valuable connections with attendees from across the supply chain.

“We look forward to featuring our updated packaging, which includes key design elements based on retailer feedback,” Leona told me. “Our team will also share some of the incredible work at our farms around water and nutrient recycling, minimal food waste due to pruning practices, and lighting technology.”

The team plans to build on existing and new connections by sharing some of the developments made since they last met. This includes the execution of Red Sun Farms’ new logo, the rebranding of its packaging, and supporting the needs of its retail partners in a time when produce demand is constantly changing.

Of course, Red Sun Farms is helping to lead the charge in the evolution of consumer demand, bringing unique, coveted varieties to market, such as its Sweetpops.

“Sweetpops snacking tomatoes are all about delivering an explosion of flavor in a snack-size tomato,” said Leona. “This variety has already established a dedicated following of consumers who have connected with the brand and helped redefine the expectation of sweetness in tomatoes. The packaging on this new variety was designed with the millennial generation in mind, creating a connection and making the exploration of this tomato an experience.”

In bringing products such as this one to market, Red Sun Farms builds on the shared vision and passion of a team in Mexico and Canada who are committed to selling the very best high-tech greenhouse peppers, tomatoes, and cucumbers with a year-round supply. The leadership team has since built a vertically integrated business model that ensures quality, food safety, flavor, and supply throughout the year, and brings these standards and business models into every new venture.

As Red Sun Farms hits the show floor at SEPC, it will certainly place these values at the forefront of its business connections.

“Southern Innovations is filled with renewed energy to build and grow customer programs and provides an opportunity to gain new educational tools. SEPC has demonstrated a commitment to improving these elements at every show, and it has been our privilege to work with the organization since its first show,” Leona continued. “There is a unique atmosphere built around southern hospitality and our extended produce families. The excitement of coming together again with such an incredible industry makes this event a must-attend in our trade show calendar.”

Looking to connect? Be sure to check out booth #110 at Southern Innovations 2021.

Red Sun Farms

WASHINGTON, DC - Today, the U.S. Department of Agriculture (USDA) has announced that Arizona-based company, Lorex Produce has satisified a $48,826 reparation order issued under the Perishable Agricultural Commodities Act (PACA) connected to unpaid produce transactions.

Direct from the USDA Agricultural Marketing Service:

The Rio Rico, Arizona, company can continue operating in the produce industry upon applying for and being issued a PACA license. Francisco Alejandro Lopez Rodriguez and Enok Aristiga Ayala were listed as members 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.

For more information, and to read the release in its entirety, click here.

USDA's Agricultural Marketing Service

DENVER, CO - The potato category serves as a bellwether of change in the produce aisle, and as such, we should be keeping a close eye on the market to keep pace with evolving demand. Potatoes USA has us covered, recently releasing a report to outline movement across the potato category this past year.

In the report, which outlines data collected by IRI, Potatoes USA stated that from July 2020 to June 2021, potato sales increased in dollars by 3 percent, but declined slightly in volume by 0.3 percent compared to the previous July–June marketing year. Elevated purchasing that occured in 2020 played a role in this slight decline, resulting in falling volume sales across three categories. However, compared to sales prior to the pandemic, buying cycles show an increase in value and volume. Consumers reportedly bought an additional 577 million pounds of potatoes in this period compared to the year prior.

According to Potatoes USA’s release, refrigerated potatoes had the largest growth, with a 10.6 percent increase in dollars and a 5.3 percent increase in volume. The frozen potato segment also grew, with dollar and volume sales increasing by 6.3 percent and 4.6 percent, respectively. This growth came even despite an increase in overall average pricing. Sales of prepared sides increased compared to the same period in 2019 and 2020, but have not returned to pre-pandemic levels just yet. The two largest volume-driving categories are chips and fresh potatoes, which each increased in dollar sales but fell in volume by 1.8 percent.

The russet category, which makes up 60 percent of the volume share of fresh sales, fell by 3 percent in dollars and 3.4 percent in volume. The second largest fresh potato variety, red potatoes, also fell in dollars by 3.1 percent and volume by 1.9 percent. On the flipside, yellow potato sales increased by 9.7 percent and volume increased by 7 percent. Additionally, petite and medley potatoes saw double-digit increases in both value and volume. Potato bags from 1 lb to 4 lbs grew with an 11.5 percent increase in dollars and a 7.4 percent increase in volume.

How can we use growth in the potato category to drive basket share across the produce aisle? Keep reading ANUK as we uncover the answers.

Potatoes USA

GRAND RAPIDS, MI - Watching an industry leader grow in tandem with its employer is a beautiful thing. This is the case with SpartanNash’s Tyler King’s growth trajectory, as the company recently promoted the longtime team member. King will exit his role as Senior Director to assume the position of Vice President of Finance.

In this role, King will also serve as Finance Business Partner for the company, providing advisory for its retail business segment. This operation is led by Executive Vice President and General Manager of Corporate Retail Tom Swanson. King will offer strategic insights to support SpartanNash’s 148 retail stores in attaining financial goals and company objectives, a press release explained.

King joined SpartanNash in 2007 as Manager of Retail Inventory. Since then, he served as Director or Retail Inventory from 2015 to 2018, Director of Retail Accounting from 2018 to 2020, and most recently as Senior Director of Finance from 2020 to 2021. He began his career at Borders Group as Associate Director of Finance and earned his bachelor’s degree in Business Administration from Saginaw Valley State University.

As he takes on the mantle of VP of Finance, King will report to Executive Vice President and Chief Financial Officer Jason Monaco.

“Tyler’s experience in delivering strong company financials has helped SpartanNash’s retail business segment establish a go-forward strategy that is grounded in sound financial decisions,” Monaco said. “As a part of our People First culture, we recognize potential and are committed to growing top talent. We are excited for this next step in Tyler’s career with SpartanNash as we continue to drive the customer growth strategy and operational excellence.”

Congratulations to Tyler King on landing this new role!

SpartanNash

FRESNO, CA - We recently received word from the California Fresh Fruit Association (CFFA) that Japan has granted market access for California plums, as reported by the United States Department of Agriculture (USDA). This successful effort eliminates phytosanitary barriers keeping California plums out of the Japanese market, which required multiple rounds of technical negotiations that were disrupted somewhat when the COVID-19 pandemic hit.

“Trade barriers threaten the health and viability of the industry. This represents a significant opportunity for California plums, as Japanese consumers value premium fruit and recognize California fruit’s superior quality. As the global economy rebounds from the COVID-19 pandemic, expanding market access will continue to be critical to the industry’s success,” said Ian LeMay, President.

CFFA applauds efforts made by the USDA Animal Plant Health Inspection Service and Agricultural Research Service’s negotiators and experts, as well as the Fresno County and Tulare County Agricultural Commissioner offices. Each of these ag champions made invaluable contributions to the process, a press release explained.

Strict packing and fumigation protocols have reportedly been put in place. Given the success of the existing California nectarine program in Japan, the state’s stonefruit exporters have already demonstrated a commitment to meeting Japan’s requirements.

As this new channel for demand opens up, ANUK will be sure to keep our eyes on all markets across the globe.

California Fresh Fruit Association

LAKELAND, FL - Publix is continuing to set its focus on fresh, natural, and organic products as it expands its innovative new store format in the Florida market. The retailer recently announced the opening of the newest Publix GreenWise Market in the Water Street neighborhood of Tampa, Florida.

“So many exciting things are happening in downtown Tampa, and we are pleased to be part of that,” said Publix President Kevin Murphy. “Our curated mix of high-quality, specialty make-at-home and grab & go items will add a level of convenience for residents and visitors looking for easy meal solutions as they enjoy the events and activities available in the surrounding area.”

The new store is the second of the company’s new format, a specialty, natural, and organic store located in a high-rise, multi-use building, according to a press release. The first new-concept Publix GreenWise Market is located in Tallahassee, Florida.

Publix GreenWise Market offers a large variety of organic groceries and familiar favorites to appeal to health-conscious and gourmet foodies. Setting its focus on natural products, the new store includes locally curated items and a variety of fresh produce offerings, in addition to grab-and-go options and tons of ingredients for shoppers looking to keep cooking at home.

The new, 26,000 square-foot location will be connected to the district cooling system located in Tampa’s Water Street neighborhood, according to a press release, and the chilled water from the cooling system offers improved energy efficiency and better stability for the store’s air-conditioning and refrigeration systems. This is the first time Publix has connected to a district cooling system for refrigeration, and the second time it has done so for air conditioning needs.

The Publix GreenWise Market banner is owned and operated by Publix Super Markets, which currently operates more than 1,200 grocery stores across seven Southeastern states.

Where will this innovative format pop up next as the retailer continues to center its growth around fresh? AndNowUKnow will report as soon as we find out.

Publix

MILLEN, GA - In this industry, the end product is not simply seen as a cash cow, but as the culmination of years of hard work and innovation. That level of passion, in the eyes of many, is what makes fresh produce folks so special. In recognition of this, the Southeast Produce Council (SEPC) gives out a Next Generation Award annually, and the organization recently announced this year’s nominees.

“It is an honor for the SEPC to be able to recognize the next generation of produce leaders,” said David Sherrod, SEPC President and Chief Executive Officer. “These young individuals have proven to their peers that they are ready to take our industry to greater heights than ever before. We are thankful for all their current contributions and their future endeavors to make our world healthier!”

A press release explained that this award honors an SEPC member 39 years or younger who has been employed in produce for four or more years and has made a significant contribution to the industry. Qualified members must be in good standing with the SEPC through regular attendance and contributions to the council.

To see the list of SEPC members who received a nomination for the 2021 Next Generation Award, please click here. The recipient will be announced at Southern Innovations on Friday, September 10, during the General Session and Keynote Luncheon.

Congratulations to each of the nominees!

Southeast Produce Council

​​ROCKINGHAM, VA - As trade news writers, we are fortunate enough to observe the countless growth initiatives undertaken by industry operators. Production practices are one aspect of the supply chain not to be overlooked, and Shenandoah Growers is one purveyor ensuring that innovation continues. As such, the grower was recently awarded Sunless Production System of the Year in the 2021 AgTech Breakthrough Awards.

"At Shenandoah Growers, we're humbled to receive this award from AgTech Breakthrough as a recognition of our deep commitment to our 'biology first, technology to scale' philosophy," said Ulf Jönsson, Shenandoah Growers' Chief Technology Officer. "Our LED-powered indoor bioponic growing platform increases yields while reducing waste and environmental impact, enabling us to provide consumers with fresh, sustainable, and affordable indoor-grown produce and leafy greens."

At its Biofarms, the company has developed and implemented a proprietary bioponic growing program that enhances natural processes with carefully controlled light spectrum and exposure timing as well as temperatures, humidity, and water regimen. These technology and biology platforms have advanced the production of fresh, indoor-grown produce that delivers on the company's four key promises: organic, sustainable, affordable, and accessible.

According to a press release, Shenandoah growers has focused its research and development efforts over the past 10-plus years on how to scale organic indoor food production to meet growing consumer demand for fresh and affordable produce. With impressive unit economics, capital efficiency, market reach, and product offerings, Shenandoah Growers is poised to deliver affordable USDA certified organic produce, grown indoors and in soil, at scale.

The mission of the AgTech Breakthrough Awards is to honor excellence and recognize innovation in a range of agricultural and food technology categories. This year's program attracted more than 1,500 nominations from all over the world.

"Plants rely on sunlight to feed and grow through photosynthesis, but with growing demand for fresh and affordable products and climate change is making it difficult for farmers around the world, we can no longer solely rely on business as usual food production techniques," said Bryan Vaughn, Managing Director of AgTech Breakthrough Awards. "Congratulations to Shenandoah Growers for winning the Sunless Production System of the Year award. By leveraging cutting-edge science and technological innovation, the company is delivering produce year-round—all while conserving natural resources and reducing planetary impact."

Congratulations to Shenandoah Growers on earning this distinguished honor!

Shenandoah Growers

SANTA PAULA, CA - Being steeped in the news of today, it can be tough at times to see the forest for the trees. But this, I have learned, is a term our industry may as well have coined for how much we put it into practice. One who is never shy about the details and how to balance them with the bigger picture is Limoneira President and Chief Executive Officer Harold Edwards, who took some time to help clear my vision of the California citrus groves.

“We were not alone in facing the challenges of the past year and a half, such as supply chain issues and logistic disruptions, labor issues, and foodservice challenges,” he points out, observing that it is resilience and leaning into the strengths that get any produce company through.

For Limoneira, those are high levels of fresh utilization, hitting FOB goals, and an expanded retail business coming off the 2020 shutdowns.

“We moved through our crop almost to perfection, getting in and out of the season early, which meant we sold fresh all the way through with a lot of volume. But, we saw dampened results from imports and logistical issues, just as everyone else experienced. It is focusing on the positive side that gets us through the rough patches,” he reiterates. “Happily, our fresh utilization has never been better.”

This is especially strong news because, Harold reminds me, citrus’ obstacles did not begin and end with the pandemic, which has successfully eclipsed so many pre-existing issues.

“We are making our way through not one but two to three difficult years, where connectivity and scalability have been pulling, and we are doing what we need to do and gaining in strength. As a result, and against the odds, we are seeing great potential growth and volume up by 1.5 million,” Harold says.

Much of the hidden success story here, according to the leader, is how many companies, Limoneira included, followed the wave to retail. Within that space, new opportunities and relationships were formed. Likewise, if partnership and communication were upheld with foodservice accounts, organizations found themselves with an expanded rolodex.

“For our part, we have been making investments in bagging equipment that further enabled this expansion of retail partnerships,” Harold shares. “We were able to successfully sustain foodservice accounts this year as we are slowly seeing reopens as well, coupled with the added retail business that I believe is here to stay.”

As we fall into the discussion of things opening back up, I ask about any spikes in demand on the foodservice side that indicate a return to pre-pandemic trends for that side of the business.

“There was certainly an initial euphoric response to restaurants opening again,” Harold observes. “We are starting to see that pull back a little bit. The demand is certainly there if we can get through the challenge of supply chain disruption, but the key takeaway there is that we are all in the same boat.”

We agree on this silver lining as we circle back to the struggles paralleling the victories. The supply chain continues to work to reprieve the line between the provider and the consumer, coupled with labor challenges and water access simmering in the background, but at the end of the day we are all in the same boat and there is a call to be answered.

“Despite the challenges, there is anticipated growth from the supply-side as foodservice recovers while retail maintains that growth. In that, it is important to remember that it is not enough to have any single aspect working to make that happen—at Limoneira we need the whole team to work together to see the success that we are achieving, and I believe we will continue to achieve,” Harold concludes.

With a balanced outlook and an understanding of what is needed to get things done, the forest, I am sure, will continue to remain in view for our industry and those we serve.

Limoneira

WENATCHEE, WA - Like a river rushes toward the ocean, shoppers will soon be rushing to grocery stores in search of seasonal pear varieties. Currently in the full swing of harvest for its Rushing Rivers^® conventional and organic Bartlett and Starkrimson pears, Stemilt is packing fruit fresh to order just in time to build out buyers’ back-to-school displays.

“It’s hard to believe we are already at that intersection between the summer and fall seasons for produce, but that’s what the start of pear harvest always signals for me,” said Marketing Director Brianna Shales, noting that early indicators point to a high-quality pear crop with a range of sizes for promotion and World Famous flavors. “Starkrimson and Bartlett pears are the first to come off the tree for Stemilt and are ready to promote at retail during the transition to fall sets and fall flavors.”

For the Starkrimson variety, supplies are trending toward normal fruit size, creating ample opportunities to promote bulk and bagged product at retail. Stemilt has two pouch bag offerings for this bright red fruit, including its back-to-school pack Lil Snappers^®. The 3 lb pouch bag is a great feature alongside bulk ads that feature red and green pears, a press release stated. Stemilt also has a larger 5 lb pouch bag pack for the Rushing Rivers pear brand.

“Starkrimson is a fantastic eating red pear and available for the early part of the pear season,” said Shales. “This year’s fruit is super juicy with high sugars and true dessert eating quality.”

Stemilt is actively harvesting its Bartlett variety and packing both conventional and organic fruit. Bags are a great opportunity for organic Bartlett, and Stemilt has a 2 lb Artisan Organics™ Lil Snappers option to help attract parents to buy organic and snack-ready pears. There are also key times in the early fall months to promote bulk organic Bartlett pears.

“Organic pears are a challenge to grow, but we’re a believer and long-time leader in them,” added Shales. “This year, we have increased volume on organic Bartlett as new acreage has come into organic production. Starting the season off with an organic Bartlett feature is a great way to build organic and pear sales.”

On the conventional Bartlett side, Stemilt will have a similar size crop as last year and is harvesting fruit to help with the extension of supplies into February. The grower will have good supplies of bulk and bag sizes, but fewer jumbo-sized Bartletts this year.

“We’re fussy about Bartletts and do all the little things during and immediately after harvest to ensure great condition and quality at retail,” said Shales. “Bartlett benefits from hydro-cooling soon after harvest and are packed fresh to order. We also utilize our RipeRite™ ready to eat pear ripening protocol and Thermal Tech ripening rooms to deliver a great eating experience from the very start of the season.”

Stemilt’s summer and winter pear varieties are grown in the Wenatchee and Entiat River Valleys of Washington. Great airflow, a mountain climate that protects pears, and volcanic soils all combine to make these locales ideal for growing pears.

“There are many layers that make our Rushing Rivers pears the best, but the locales these pears call home are the center of our brand and help connect shoppers to the flavor difference that we work hard to achieve,” said Shales. “A great experience will drive consumers to another purchase of pears, and that’s simply the best way to build the pear category.”

In September, Stemilt will begin harvesting winter pear varieties, including Bosc and Concorde. D’Anjou pears harvest next and start shipping in October following a cold treatment and ripening process that ensures ready-to-eat fruit.

Make room for these sales-driving varieties across the store and you are sure to see a rise in basket share for pears.

Stemilt