Archive for May 2012

Thursday, May 31, 2012 by Kathy Means

PACA’s “10 most likely” list…

Who knew that USDA’s Agricultural Marketing Service (AMS) was the David Letterman of produce? In the AMS spring/summer 2012 edition of Fruit & Vegetable Program News, there is an article by Robert Parker titled “An Ounce of Prevention.” Parker is assistant to the chief, Dispute Resolution Branch, Perishable Agricultural Commodities Act (PACA) Division, so he certainly knows a thing or two about trading disputes. Data from many years of PACA work have shown certain commodities are more likely to be problematic in terms of trading issues.

“We have found that most of the problems fruit and vegetable traders experience on a daily basis involve 10 commodities,” Parker noted. Those commodities are: cucumbers, peppers, asparagus, stone fruit, lettuce, strawberries, onions, tomatoes, oranges, watermelons/cantaloupes. As Parker wrote: “Talking about each of these commodities at one time may be more medicine than you want to take at once. For that reason we are going to concentrate on the issues involving only one commodity at a time in an upcoming series of question-and-answer articles.”

The spring-summer commodity is cucumbers. So if you are buying or selling cucumbers, check out the Q&A in the newsletter.

The newsletter also looks at how AMS partners with others to get the job done, including the Fruit and Vegetable Dispute Resolution Corporation (DRC) on trade disputes and industry organizations on marketing orders/agreements and research/promotion orders. There is an article about an online tool to help you sell to the school meals program and one on a webinar series to help you understand and use AMS’ resources.

The newsletter is always a quick and informative read (about twice a year, about four pages). If you haven’t yet subscribed to this newsletter, you can e-mail Chris Purdy at USDA to be put on the list.

Wednesday, May 30, 2012 by Kathy Means

Pesticide report: Fruits and veggies safe

In unequivocal terms May 25, the USDA pronounced fruits and vegetables safe in its 2010 Pesticide Data Program report. This report comes out every year, but in the past we have not seen such explicit communication and context around the results. USDA even issued “What Consumers Should Know 2010 Pesticide Data Program Report,” which explains that residues found were below tolerance levels, encourages fruit and vegetable consumption, and advises consumers to rinse produce with water before using it. USDA, FDA, and EPA, each of which is involved in regulation of pesticides, were quoted about the safety of the food supply in the USDA press release on the report.

We applaud USDA for its efforts to communicate the context of this report to reassure consumers of the safety of fresh fruits and vegetables. As you know, other groups soon will release their take on the report, often twisting the results to boost their fund-raising efforts by frightening the public with lists of “dirty” produce items that consumers should avoid. Those reports then take on a life of their own as media outlets look for easy, attention-grabbing stories.

To support our members and the produce industry, PMA has been active on this issue. The day the report was issued, Joe Pezzini, COO of Ocean Mist Farms in Castroville, California, a PMA board member and chairman of our Produce Safety, Science and Technology Committee, issued statements on behalf of PMA to both the trade and consumer press. In the statements, he noted: “This report reaffirms what we’ve known all along – produce remains the safe choice for consumers. Both the data and the comments from the agencies demonstrate that making ‘half your plate’ fruits and vegetables promotes strong, healthy families. U.S. rules for pesticide use on fresh produce – whether grown in the United States or imported, protect all consumers, including special sub-groups such as children and expecting mothers. Not only do these agencies concur, so do scientific experts who have looked at the government’s process and data. It’s irresponsible for anyone to misuse this report to scare consumers away from affordable fruits and vegetables that they enjoy, making the work of improving the diets of Americans more difficult.”

As Field to Fork readers know, PMA supports the Alliance for Food and Farming and its campaign to counter inaccurate claims about pesticide levels on fresh produce that have been widely reported in the media for years. This is part of our ongoing work to identify, address and respond to emerging issues to protect and defend the produce industry’s image and bolster consumer confidence in fresh fruits and vegetables – just one example of the ways PMA provides year-round value to members. You can get the facts from independent experts at the Alliance’s Safe Fruits and Veggies website. You can use that information to counter irresponsible “dirty” produce lists – or let us know about them so we can get the facts out there.

Let us know what you think about this in the Increasing Consumption and Food Safety Communities on PMA Xchange.

Tuesday, May 29, 2012 by Lee Mannering

Survey: Almost 70 percent of U.S. consumers say they’re eating more produce, whole grains

Last week via Twitter, I learned about a recent Washington Post blog that looked at findings from a new W.K. Kellogg Foundation consumer survey, which unearthed surprising statistics about U.S. attitudes about fresh fruits and vegetables and the people who harvest them. Seventy percent of respondents said they have purchased fresh produce from a farmers market or stand in the past year (although only 14 percent use this source as their regular outlet for fruits and vegetables). More than 68 percent of those surveyed said they eat more whole grains, fruits and vegetables than they did five years ago. It also found:

  • 93 percent said they think it’s “very important” or “somewhat important” to “make sure all Americans have equal access to fresh fruits and vegetables.”
  • 89 percent said their source for fresh fruits and vegetables is within walking distance or is a short drive away.
  • 88 percent of respondents would strongly or partly agree to pay $1.50 more per month if it guaranteed that farm workers would be paid a fair wage.
  • 64 percent said it’s “very important” that produce be grown in an “environmentally friendly way.”
  • 63 percent of respondents said they know a lot or a little about where their fresh fruits and vegetables come from.
  • 45 percent said they acquired fresh fruits and/or vegetables from their own garden within the past year.

In looking back at PMA’s own research last year, we found similar consumer sentiments regarding fresh fruits and vegetables. We identified two distinct groups: Extreme/Enthusiast FFV consumers (representing 15 percent of shoppers; they seek more fresh fruits and vegetables and more local) and Flexitarians (representing about half of all consumers, also includes those who are trying to eat less meat and who purposely seek to add more fresh produce to their diets).

You can learn more about our study in the Consumer Research Center and join the discussions in the Increasing Consumption Community on PMA Xchange.

And depending on how this season goes, I might be part of that 45 percent who harvested produce from their own garden. That is, if I can figure out how a cucumber plant completely vanished from the garden within 48 hours of it being planted and how I’ve lost 50 percent of my lettuce within two weeks.

Friday, May 25, 2012 by Lee Mannering

USDA report details Indonesian market opportunities

According to a new U.S. Department of Agriculture Foreign Agricultural Service report, Indonesia was the eighth largest export market for U.S. agricultural, fish and forest products, reaching $2.9 billion last year. In the consumer-oriented product category, fresh fruit, processed fruit & vegetables, red meat, pet foods and fresh vegetable reached record levels. In looking through the report, I noted the following items of interest to PMA members:

  • For U.S. products currently available in the Indonesian market, fresh fruit continues to have the best sales prospects. Australia still holds the largest market share of dairy products, meat, cheese, fresh fruits and vegetables, wine and processed products. South Africa has gained stronger market share in fresh fruits, juices, and wine. China is another U.S. competitor in fresh fruits sector, especially for apples and oranges.
  • Indonesia’s population of 237 million in 2010 is relatively young with almost 18 percent of the population between 15-24 years old, and another 17 percent is between 25-34 years old. Nearly 58 percent of the population lives on Java, which also has the best infrastructure although urban areas in Sumatera, Bali, and Sulawesi are developing. There were 118 million people living in urban areas in 2010.
  • According to AC Nielsen, in 2010, Indonesian shoppers went to traditional markets mostly to buy fresh vegetables (53 percent), fresh meat (70 percent), and fresh fish (67 percent).
  • Regarding retail formats, mini-markets, convenience stores, and other shops carry a wide range of convenience foods, including fresh fruit.
  • Imported table grapes must be produced in a pest-free area. In the United States, only the state of California has been declared by the government of Indonesia as an area determined to be free from Ceratitis capitata (the Mediterranean fruit fly).
  • Fresh fruit and vegetables, except table grapes originating in California, must be treated prior to shipment or subjected to in-transit cold treatment. In addition, the U.S. Fresh Fruit of Plant Origin (FFPO) safety control system of country of origin has been recognized by Indonesia’s government. All imported products with the U.S. FFPO do not need Certificate of Analysis (COA) of Pesticide Residue.

To learn more about Indonesia, visit the FAS website. To learn more about PMA’s global resources (including several international Fresh Connections seminars), visit the PMA website or join the Global Trade Community on PMA Xchange.

Thursday, May 24, 2012 by Kathy Means

Consumer attitudes: Food is a badge of their values

Half of consumers say that the food they buy says something about their values, according to Felicia Collins of Edelman, presenting the agency’s data on consumer attitudes May 17 at the Consumer Federation of America’s Food Policy Conference.

Food is reflection of people’s values, she said, and what they eat defines who they are and what they think. Health and sustainable production provide a new lens to evaluate expectations. More than half (55%) say the approach to food production is on the wrong track, citing concerns about high fructose corn syrup, safety, GMOs, and more. Consumers look for industry to have a bigger “foodprint.”

Information overload creates misinformation and misperception gaps for consumers, including info gaps about farming/production: 50 percent think organics are healthier, only 47 percent think farming is done responsibly, only 33 percent think livestock is treated humanely, and only 40 percent think farmers take good care of environment.

Consumers see food as a badge of values, and they believe their purchases can make a difference. Collins said consumers will vote with their choices: 88 percent will buy from those who meet their value system, 66 percent will share negative opinions about a company, and 85 percent will compliment those who meet their expectations.

Where does industry (overall, not just produce) fall short? Edelman data show: Not enough access to fresh in some areas, not enough healthy choices to fit in their budget, not enough traceability, and not enough food aid to those in need in the U.S. and abroad.

Collins said there are new dynamics driving consumer expectations of industry: 95 percent of consumers say they take personal responsibility for their food choices, but industry has a role, 83 percent want healthy tasty food, 82 percent want healthy choices that fit their budgets, 68 percent think healthy foods are too expensive, and 67 percent think food and beverage companies should help solve community food issues.

According to Collins, the new consumer equation is: Taste, convenience, and affordability are key, but multiply that by my values (health, sustainability, social good, information), and that equals my purchasing decision.

Though this presentation was about food overall, where do you see applications to produce? Let’s discuss it in the Increasing Consumption Community on PMA Xchange.

Wednesday, May 23, 2012 by Kathy Means

Immigration, labor issues still dog industry

Even though almost everyone believes nothing will happen on comprehensive immigration reform in this election year, our industry continues to suffer from lack of labor. The shortage eased a tiny bit during the recession, but workers who turned to harvest fresh fruits and vegetables turned away just as quickly as they discovered the skills and working conditions were less than appealing. This happened even when prisoners were sent to work the fields.

I recently attended the Consumer Federation of America’s Food Policy Conference, where immigration reform was on the program. The May 17 session included PMA director Maureen Torrey of Torrey Farms, a farm labor representative, a Food and Commercial Workers Union rep, and someone from USDA’s Economic Research. Though these groups are not always singing “kumbaya,” they fully agreed that the United States needs immigration reform sooner rather than later. Attendees at the session were surprised at the consensus among these diverse groups and appeared unaware of the severity of the problem.

And here are just a few examples from the news recently:

  • “Larsen Farms of Pasco (WA) stopped harvesting (asparagus) about a week ago (late April) because they — along with other Tri-City area farmers — couldn’t find enough workers this year to cut asparagus.” (The Tri-city Herald, April 26)
  • State laws imperil availability, acreage, farms. Georgia lost $140 million. “A lot of the smaller growers have elected not to plant as many crops or to plant any crops.…(T)hat just anybody can come do this job is also a misnomer. We consider these people skilled workers because they are pretty much professional harvesters, and they’re even skilled to particular crops. “(W)e have them (local, U.S. workers) come out here, but they usually don’t stay. They don’t stay more than a day or two, and they’re off to find another job.” (NPR Talk of the Nation, April 30)
  • Alabama passed new laws as well, and growers’ experience with labor shortages last year have caused some to plant fewer acres of labor-intense produce crops and/or to switch to other crops that can be mechanically harvested. “On nearby Chandler Mountain, another prime farming area, Jimmy Miller said he cut back on produce because of possible labor shortages and instead planted more cotton and peanuts, which can both be harvested by big machines called combines that require minimal labor.” (Fox News Latino, May 13)

Political expediency here is not helping our industry, and we must be sure legislators know that the lack of resolution on immigration reform is having a daily and detrimental impact on our industry.

Tuesday, May 22, 2012 by Lee Mannering

Survey looks at U.S. consumer attitudes on biotechnology

According to the International Food Information Council’s (IFIC) 2012 “Consumer Perceptions of Food Technology & Sustainability” survey, Americans remain highly supportive of existing federal rules for labeling foods produced through biotechnology and very few cited biotechnology as an information need on the food label.

Seventy-six percent of consumers could not think of any additional information (other than what is already required) that they wish to see on food labels. Of the 24 percent who wanted more information, 36 percent wanted information related to nutritional content; 19 percent wanted more information about ingredients; and 18 percent wanted more food safety related information, such as possible allergens. Only three percent of the 24 percent subset (or about five people and less than one percent of all surveyed) wanted more information about biotechnology.

In addition to biotechnology perceptions, IFIC’s survey also found that consumer awareness of the concept of sustainable food production remains relatively high, with 56 percent having heard or read something about sustainability in food production. In 2010, 50 percent had heard or read something about it, and in 2008, 41 percent were aware of the concept. Sixty-nine percent of consumers said it is important that foods they purchase or consume are produced in a sustainable way; however, only 33 percent of consumers said they are willing to pay more for products that fit their concept of sustainability.

IFIC’s findings differ from what we found a year ago in our produce trends research. Consumers told use the main barriers to buying more fresh fruits and vegetable link closely to quality and waste concerns. Specifically, consumers who purchase more fresh fruit are concerned about where it was grown and its genetically modified status. You can learn more about our study in the Consumer Research Center.

You can also join the Increasing Consumption or Sustainability Communities on PMA Xchange to discuss these topics with us or other PMA members.

Monday, May 21, 2012 by Lee Mannering

FSMA update: FDA to hold public meeting on building international capacity

In today’s Federal Register, the U.S. Food and Drug Administration announced a Food Safety Modernization Act (FSMA) Public Meeting on International Capacity Building with Respect to Food Safety. The purpose of the meeting is to provide interested persons an opportunity to discuss FDA’s comprehensive plan to various capacities of foreign governments and their respective food industries in countries that export foods to the United States.

Specifically, Section 305 of the FSMA requires FDA to develop a comprehensive plan to expand technical, scientific and regulatory food safety capacity of foreign governments and their respective food industries in countries from which foods are exported to the United States. Further, FDA is required to develop the capacity-building plan in consultation with certain stakeholders, including representatives of the food industry, officials from other federal agencies, foreign government officials, non-governmental organizations that represent the interests of consumers, and other stakeholders. The capacity-building plan shall include, as appropriate:

  • Recommendations for bilateral and multilateral arrangements and agreements, including providing for responsibilities of exporting countries to ensure food safety;
  • Provisions for secure electronic data sharing;
  • Provisions for mutual recognition of inspection reports;
  • Training of foreign governments and food producers on U.S. requirements for safe food;
  • Recommendations on whether and how to harmonize requirements under the Codex Alimentarius; and
  • Provisions for multilateral acceptance of laboratory methods and testing and detection techniques.

This meeting will be held June 19 from 9:00 a.m.-5:00 p.m. at the L’Enfant Plaza Hotel in Washington, DC. To register, contact Courtney Treece, Planning Professionals, Ltd., 1210 W. McDermott, Suite 111, Allen, TX 75013, Phone: (704) 258-4983, Fax: (469) 854-6992, E-mail: ctreece@planningprofessionals.com.

Last year, we participated in several public FSMA meetings (import provisions and global food safety comparability) and submitted numerous comments in response to FSMA proposals. We will be attending and participating in this meeting, too. Members interested in learning more about FSMA are encouraged to visit our updated and redesigned FSMA resource page and join the FSMA Community on PMA Xchange.

Friday, May 18, 2012 by Lee Mannering

Consumer trends: What Phil Lempert is watching

This week I attended the Consumer Federation of America’s National Food Policy Conference in Washington, DC. There, “Supermarket Guru” Phil Lempert identified the top 10 trends he is watching, some of which have a potential impact on our industry:

  1. Rising food prices cause smart shoppers to use less meat/seafood, more veggies/grains. Will higher food prices push a healthier diet?
  2. You’ll never shop or eat alone again. Food is all about connection, conversation and community. Food bloggers help drive this.
  3. Baby Boomers are the largest food influencers and purchasers: 76 million of them will control 52% of $706 billion spent on food by 2015. They seek health benefits. Who would have expected boomer icons Cheech and Chong to reunite to push fiber bars?
  4. Increased emphasis on farm to fork journey, where food comes from. The farmer becomes the new food celebrity (the celebrity chef is yesteryear).
  5. End of the checkout lane: Mobile checkout apps. Using mobile technology to compare prices, nutrition, allergy info. Flash sales (sending tweet or Facebook alert to consumers about a several-hour sale). A recipe app that tells you which ingredients are on sale in the store you’re in.
  6. Ethnic food revolution. Food trucks offer new food experiences and credibility. They are brilliant food entrepreneurs. Food companies should hire them.
  7. New role of the male shopper: 41% of all at-home meal prep is now done by guys.
  8. More extreme home cooking. A poor economy forces more to eat at home where the make the “most” for the “least” and are proud to cook and save.
  9. How sweet it isn’t! Dietary Guidelines, new nutrition facts label, reduced sugars everywhere lead to the evolution of the American palate.
  10. Sound of food. Readiness by sound. Freshness by sound. Multisensory perception becomes the new food science.

Do any of these trends resonate with you? Let’s talk about it in the Increasing Consumption Community on PMA Xchange.

Thursday, May 17, 2012 by Kathy Means

Yet another study: Healthy fruits and vegetables are not too expensive

You can’t turn around these days without bumping into a new study that shows eating healthfully is not expensive. The latest is the May 16 release of “Are Healthy Foods Really More Expensive? It Depends on How You Measure the Price,” by the USDA’s Economic Research Service. As you’ll recall, ERS and PMA have published other studies that show eating the recommended servings of fruits and vegetables doesn’t have to break the bank.

I’ve perused the new USDA report. It’s all good except for a quirky communications thing. The study looks at pricing three ways and one of them is price per calorie. Well, as you would expect, fruits and vegetables don’t do so well in that area. And that’s fine because, except for those who are starving, U.S. consumers are not in a calorie-deficit situation where they need to get all the calories they can for each dollar spent.

However, when it comes to price per 100 grams or price per portion (based on dietary guidelines) we fare well. And that’s how people eat — in portions.

The upshot is that it is highly affordable to eat the recommended servings of fruits and vegetables every day. This is yet another study that confirms this notion and should be used with other studies (including our The Cost of the Recommended Daily Servings of Fresh Produce) to put to bed the idea that healthful foods are expensive.

Whenever you hear that urban myth about expensive fruits and vegetables, use these studies to counter them, or let us know, and we’ll do so. As always, let’s talk about this in the Increasing Consumption Community on PMA Xchange.