ST. LOUIS, MO - Schnuck Markets announced today that it is on the hunt for a proper site in St. Louis to build a new million square-foot warehouse. To put into perspective just how massive a structure that would be, 17 football fields could fit comfortably inside the new warehouse with room to spare. According to St. Louis Today, this would more than double Schnuck's current storage space in the area.

Once completed, Schnucks intends for the new facility to replace its current Bridgeton warehouse, which the company has outgrown, despite two expansions since 1971. Schnucks currently expects the new warehouse to be operational by the summer of 2016.

According to St. Louis Today, Schnucks will be hiring an independent company to manage and staff the new warehouse, although it will still be closely involved in the design of the massive project. In the meantime the Bridgetown facility will continue to operate as usual. Once the new warehouse is finished, Schnucks intends to keep it open, albeit with a smaller operation than it is currently responsible for.

Congratulations on the commencement of this impressive undertaking, Schnucks!

Schnuck Markets

UNITED STATES - The Food and Drug Administration has proposed important revisions to regulations governing the fresh produce industry in order to implement portions of the FDA Food Safety Modernization Act (FSMA) and prevent the spread of foodborne illness. According to a press release, the new rules would cover:

• Produce-safety.
• Preventive controls for human food.
• Preventive controls for animal food.
• The foreign supplier verification program.

“Ensuring a safe and high-quality food supply is one of the FDA’s highest priorities, and we have worked very hard to gather and respond to comments from farmers and other stakeholders regarding the major proposed FSMA regulations,” shared FDA Commissioner Margaret A. Hamburg, M.D. “The FDA believes these updated proposed rules will lead to a modern, science-based food safety system that will better protect American consumers from potentially hazardous food. We look forward to public comment on these proposals.”

The FDA explained that these rule changes were made in response to extensive feedback from the public and the fresh produce industry.

“Based on valuable input from farmers, consumers, the food-industry and academic experts, the FDA is proposing to update these four proposed rules to ensure a more flexible and targeted means to ensure food safety,” said Michael R. Taylor, Deputy Commissioner for Foods and Veterinary Medicine.

What will the new rules cover?

• Revise the water quality testing provisions to account for natural variations in water sources as well as adjusting the FDA's approach to the use of manure and compost in farming.
• An exemption for farms with $25,000 or less in produce sales from the produce-safety rules (as opposed to measuring the exemption based off total sales of all food produced on the farm).
• A clarification for food processors who produce human and animal food products. If a human food processor uses by-products to produce animal food, they do not need to comply with the full animal food safety rules provided they are already fully complying with the human food safety rules.
• A revision to the foreign-supplier verification law to give importers more flexibility in constructing supplier verification measures based on assessed risk and previous experience with the company in question.

Beginning on August 29th, the FDA will be accepting comments on these proposed revisions for 75 days, and will consider these comments before issuing the final rules in 2015.

FDA

MISSISSAUGA, ONTARIO - Chantler Packaging Inc. has added a new technology called EnduroPouch™ to its family of innovative flexible packaging. This trademarked bag is created with proprietary technology and provides cost savings to both the packer and retailer, all while embracing sustainability.

“EnduroPouch™ was designed to give a simultaneous benefit in environmental packaging reduction and consumer convenience,” Grant Ferguson, Chantler Packaging VP of Sales and Marketing, tells AndNowUKnow.

The bag was created as a solution to a common problem occurring with regular bags for grapes and cherries and has now been adopted by other companies for mini cucumbers and peppers. That problem was that traditional produce pouches handles constantly break and leave retailers with produce that goes to waste.

EnduroPouch™ offers a reinforced handle that allows Chantler to use as much as 40% less packaging. That packaging reduction creates an immediate environmental difference by using less material as well as the changes in the packaging’s construction and manufacturing processes.

Another major environmental impact is not quite as obvious. “When shoppers see a traditional pouch with broken or ripped handles, they assume that the food inside must be bad as well. That means that they don’t buy it, and the good food goes to waste,” Grant says. “The fossil fuel and the carbon footprint it takes to grow the food that has gone to waste due to ripped handles is a major issue. One that EnduroPouch™ helps to fix.”

With benefits in convenience and food safety, consumers have been following the pouch trend. The EnduroPouch™ maximizes on this and allows brands to increase consumer engagement. Its design allows brands to communicate all of the environmental benefits, freshness guarantee and company history all on the packaging.

Combining high-quality graphics, gravure printing and innovative techonology, the EnduroPouch™ is a great option for growers, packer, retailers and consumers alike.

Chantler Packaging

UNITED STATES - On Wednesday, the Federal Reserve announced that it will be holding the federal funds rate near 0% for “a considerable time” into the future. This key short-term interest rate has broad influence on the interest rates charged on loans for everything from new farm mortgages to lines of credit for retailers across the United States.

Investors of all stripes had worried that were the Fed to raise the federal funds rate, it would combine with the effects of a separate change in the Fed's bond-buying policy to increase the cost of business and expansion projects by a significant margin. The Federal Reserve however feared that the U.S. economy was still too weak to risk such a policy decision at this time.

"The labor market has yet to fully recover,” Federal Reserve Chairwoman Janet Yellen shared with reporters from USA Today.

“There are still too many people who want jobs but cannot find them, too many who are working part-time but would prefer full-time work, and too many who are not searching for a job but would be if the labor market were stronger,” she elaborated to PBS.

USA Today's Paul Davidson, citing Federal Reserve policy makers and a recent investor press release, projected that rates will stay at their current level till mid 2015.

The market reacted strongly to this news, as heightened market confidence among businesses, investors and consumers alike drove the Dow Jones Industrial Average to consecutive record highs during Wednesday and Thursday trading. At the end of Thursday's trading session the Dow sat at 17,265.99, 109.14 points higher than when it opened on Wednesday morning.

What will this mean for the produce and retail industries going forward?

The key takeaway is that growers and retailers looking for lines of credit in order to expand, update, or maintain their facilities will still have access to the low interest options which have played an important part in the growth the industry has enjoyed over the past several years.

According to USA Today, rates are expected to begin to increase this coming June and close in on around 1.3% by the end of the year. They are expected to rise again to about 2.8% by the end of 2016.

Stay tuned to AndNowUKnow for future market updates and their implications for the fresh produce and retail industries.

NEWARK, DE - The ‘Eat Brighter!’ movement is continuing to gain momentum. To date, more than 40 retailers representing more than 19,000 stores across the U.S. and Canada are supporting the initiative as new offerings allow more produce industry members to incorporate the Sesame Street character images, royalty-free, into their marketing strategies.

“We’re delighted by the response from both the supply-and buy-side of the industry,” said Cathy Burns, President of PMA. “We’ve spoken with each and every one of these companies, and they believe in the movement to help kids eat more fruits and vegetables. They are all industry leaders, and recognize that success is defined through the collaboration and support they lend to one another.”

According to a press release, new updates include:

• Canada joins the U.S. as an approved region
• PLU and co-branding guidelines for packaging labels have been added
• Thematic campaigns have been added to the marketing toolkit, including Autumn, Winter/Holiday and Spring/Grow
• School foodservice and commodity boards are now approved for participation
• Spanish and French translations are now available

Companies among the earliest adopters are introducing ‘Eat Brighter!’ into nearly 50 product lines for retail outlets in the U.S. and Canada. For a full list of suppliers and retailers participating in the movement, visit www.pma.com/eatbrighter.

Produce Marketing Association

‘Eat Brighter!’

MONROVIA, CA – Trader Joe’s is expanding in the South with its first store in Alabama. 

The new store will be approximately 12,600 square feet and is set to open in the second half of next year at The Summit Shopping Center in Birmingham, AL.

“We feel like this is an ideal location. There’s ample parking there that will service Trader Joe’s customers nicely, and we’re excited to have them on the property,” David Silverstein, Principal at Bayer Properties, told AL.com.

This new store should be good news for many Alabama residents. In a 2013 AL.com poll, readers chose Trader Joe’s as the retailer they most wanted in Alabama.

Trader Joe’s isn’t the only national retailer making the move into Alabama. Sprouts Farmers Market announced last month that it will be opening its first store in that state in 2015 as well.

Stay tuned to AndNowUKnow for further updates on this growing retail market.

Trader Joe’s

CORAL GABLES, FL – Del Monte Fresh Produce has been named as a finalist for the 2014 PMA Impact Awards in Excellence in Packaging for its new Del Monte® Fresh Watermelon Spear Multipack.

“Traditional fresh cut watermelon does not have the shelf life that would allow it to be packed this way; however, we have developed a product from the unique watermelon to the packaging, which helps bring the American consumer’s favorite fruit on-the-go with them,” Dionysios Christou, Vice President of Marketing, Del Monte Fresh Produce, told AndNowUKnow.

The multipack includes five individually wrapped 2.7 oz. Del Monte® watermelon spears, providing consumers with a freshly cut, crisp, sweet, healthy watermelon snacks.  For on-the-go consumers focused on healthy living, the spears come in an easy-to-open bag and are 100% fresh with zero additives or preservatives.

“We wanted to be able to offer a healthy and unique grab and go snack product to the health-conscious consumer.  The multipack has one spear for every day of the school or work week.  This is the first watermelon product in the industry to be packed as an individual snack as well as in a multipack,” Dionysios added.

The packaging is currently being used for Del Monte® watermelon spears and Del Monte Gold® Extra Sweet Pineapple spears and has the possibility to be used for a variety of other fresh fruit products in the future. 

Del Monte Fresh Produce will be at booth 2502 at Fresh Summit.

Congratulations on the award nomination!

Del Monte Fresh Produce

MORGAN HILL, CA - Today we continue our tour through Sakata Seed America's innovative seed programs, with a look into the company's tomato and squash seed programs.

This year, Sakata is debuting its new Raceway determinate round tomato, a seed variety which is already making waves in the industry. Raceway is a great choice for growers both for quality and because of its high yield. The Raceway variety is also resistant to both Fusarium crown and root rot infestations, an important consideration for growers.

The seed produces a smooth, very firm fruit which for the most part mature into an extra-large deep oblate to globe shape, with a deep red color for the mature green and vine-ripe markets. The flavor on the vine-ripened fruit is very good. The plants are determinate, vigorous and medium to tall in height and benefit from light pruning.

Raceway performs well in hot and cool growing seasons and can be grown from fall through early summer. All together, it offers growers an exciting combination of great yield potential, excellent quality, eye-catching color, as well as the kind of firmness and shelf life which retailers look for when stocking their produce aisles.

Sakata's Sweet Treats pink cherry tomato variety is another exciting produce offering for growers in search of the hottest tomato varieties to plant their fields with. Similar to the Raceway tomato, Sweet Treats is noted for its very high yield potential. Sweet Treats is a versatile, hardy variety with a natural resistance to leaf mold, Fusarium wilt, tomato mosaic, and intermediate resistance to Fusarium crown, root rot and gray leaf spot.

Sweet Treats is a mid-early maturity variety which is very vigorous and produces plants with a very good fruit cover. Its fruits are uniform and on the larger end of the spectrum for cherry tomatoes, with a deep rich pink color and excellent flavor when fully matured. Sakata also points out that it is easily incorporated into organic production operations.

The company is also presenting three new superstar Butternut varieties that deliver the performance that growers are looking for when growing for the specific markets, such as the fresh market or for processing.

Polaris is a medium-sized, traditional-shaped squash with a smooth tan exterior, bright orange interior and good tolerance to cracking. Polaris can be used in fresh or processing.

Typically used for processing, Atlas offers larger portion sizes for enthusiastic cooks or large families and has a small bulb-end for quick cutting into uniform pieces.

Finally, Quantum, Sakata’s smallest butternut variety, is great for smaller portion sizes. A thick neck and small bulb end present a uniform size for easy handling and cutting. The variety also has a small seed cavity for maximum edible fruit and is used primarily for fresh.

With this kind of selection, its little wonder that Sakata is on the short list of the most successful growers, when it comes time to begin sourcing new seed varieties for their fields.

Sakata Seed America

NIXA, MO - Market Fresh Produce has promoted Shanan Cox to Senior Director of Brand Strategy. She will be responsible for overseeing all procurement and sourcing activities, as well as all customer service entities regarding designated national accounts, according to a press release.

“Shanan has proved herself to be a strong leader and a huge contributor to the success of our organization,” said Steve Phipps, Market Fresh CEO and Owner. “We know she will continue to grow and thrive while fulfilling the duties of her newly established position.”

In her new role, Shanan will develop and execute strategies to improve best-in-class procurement outcomes throughout the supply chain. She will also implement a consistent and timely year-round promotional activities program.

“I am excited to help develop strategies that improve our procurement outcomes and promote the Market Fresh brand,” she said.

Shanan began her career at Market Fresh in April 2012 working as a category manager. She has since then been promoted to Director of Supply and Distribution and Director of National Accounts before being appointed to this new position.

She graduated from Missouri State University where she also earned her M.B.A.

Congratulations on your newest promotion, Shanan!

Market Fresh Produce

DUBLIN, VA - With growing customer demand for the company’s premium produce lineup, Red Sun Farms is counting down to the first-ever harvest from its recent greenhouse expansion in Virginia. Harvest of conventional TOV is slated for September 25, 2014, while the first Virginia Grown, Organic TOV will be harvested in mid-October.

Carlos Visconti, COO, tells me, “Red Sun employs proprietary, cutting-edge technology to provide a continuous supply of the best hydroponically grown greenhouse vegetables. In addition to being strategically located to limit food miles and therefore extending the shelf life of our tomatoes, Virginia offers optimal climatic conditions for high-tech greenhouse operations.”

The first phase of the Virginia project will create 95 jobs and after a successful Job Fair in June, Red Sun is ready and excited to welcome this first crop with the company’s new team in place.  

“We are the first 100% high-tech greenhouse organization to own farms in all 3 NAFTA countries. Our vertical integration spanning all 3 countries is one-of-a-kind in North America today,” Carlos notes.

Phase 2's expansion of 12 additional acres to the operation will be underway soon, followed by phase 3’s additional 18 acres that will bring Virginia’s Red Sun footprint to 48 acres in 2017. Once complete, the three year project will create jobs for 205 people and boast 48 acres of locally greenhouse grown tomatoes, organic, and specialty lines of produce.

Red Sun Farms