Fresh Produce Discussion Blog

Created by The Packer's National Editor Tom Karst

Wednesday, October 31, 2007

Anti-meat or getting serious with nutrition?

Lorelei DiSogra of United passes on this Second Global Report on Nutrition and Cancer, released Wednesday. The report implicates body fat as a factor in higher rates of cancer, and also said evidence that ties consumption of alcohol, red meat and processed meat to cancer is "deemed convincing." Thus, the report recommends consumption of 18 ounces of cooked red meat per week. There is no safe recommended level for processed meat, the group said. Anti-meat or a clarion call for healthy living and a radical change in diet to prevent cancer? The report says we need to eat at least five servings of non-starchy fruits and vegetables for a positive "double whammy effect.". Read on and contemplate what would happen if the produce industry loaded their marketing gun with this ammunition in both barrels.
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Here is press coverage of the report, here in the UK"s Guardian and here in USA Today.

From the USA Today article:

The report is drawing fire from the food industry.
Ceci Snyder, a registered dietitian with the National Pork Board, which represents pork producers, says, "The U.S. Dietary Guidelines include meat and processed meat, and those guidelines are based on a review of the scientific evidence."
Mary Young of the National Cattlemen's Beef Association says the group engaged scientists to review the scientific literature on the topic, and they concluded there is no evidence red meat causes cancer.


Here are documents associated with the report. First the press release...

Landmark Report: Excess Body Fat Causes Cancer Panel Also Implicates Red Meat, Processed Meat and Alcohol
WASHINGTON, DC -- The evidence that excess body fat increases the risk of developing cancer is much stronger now than ever before, according to a landmark report issued today by the American Institute for Cancer Research (AICR) and the World Cancer Research Fund (WCRF). . Evidence linking consumption of alcohol, red meat and processed meat to increased risk is also deemed convincing . Released today at a Washington news conference, the report – Food, Nutrition, Physical Activity, and the Prevention of Cancer: a Global Perspective -- is the most comprehensive ever published on the evidence linking cancer risk to diet, physical activity and weight. The result of a five-year process involving nine independent teams of scientists from around the world, hundreds of peer reviewers, and 21 international experts who reviewed and analyzed over 7,000 large-scale studies, the report includes 10 recommendations for cancer prevention. The report is available online at www.dietandcancerreport.org “The most striking finding in the report is that excess body fat increases risk for numerous cancers. That is why body weight is the focus of our first recommendation,” expert panel member W. Phillip T. James, M.D., D.Sc., said today. James spoke at a press conference previewing the 517-page report published on November 1. Body Fat Convincingly Linked to Six Cancers Finding that the evidence is now convincing that carrying excess body fat increases risk for cancer of the esophagus, pancreas, colon, kidney and endometrium as well as post-menopausal breast cancer, the report recommends that people aim to stay within the healthy weight range (18.5 to 25) on the BMI chart throughout adult life. It further recommends staying as lean as possible within that range. This recommendation is more stringent than AICR — and most other organizations — have previously issued on weight and reflects the stronger evidence that has emerged over the last few years. When the first AICR report was published in 1997, only the evidence linking body fat to endometrial cancer was judged to be convincing. “The recommendation reflects what the science is telling us today. Even small amounts of excess body fat, especially if carried at the waist, increase risk,” James said. Because the evidence on weight gain is now so much stronger, the new report offers two evidence-based recommendations on how to avoid excess body fat. First, the report calls for limiting the intake of “energy-dense foods,” especially processed foods high in added sugar, or low in fiber, or high in fat. Burgers, French fries, milk shakes and pastries were examples cited in the report, as were sugary drinks. Second, the report advocates being physically active for at least 30 minutes each day. The evidence shows that physical activity offers a double bonus by reducing cancer risk in its own right while helping to maintain a healthy weight, which is also protective. Panel Urges Limits on Red Meat Compared to 1997, when AICR released its first global report on the association between diet and cancer, the new assessment finds the evidence linking red meat (beef, pork and lamb) to colorectal cancer is more convincing than it was a decade ago. Accordingly, AICR’s expert panel recommends limiting consumption of red meat to 18 ounces (cooked) per week. Beyond this amount, the evidence indicates, every 1.7 ounces of red meat consumed per day increases cancer risk by 15 percent. The recommendation concerning processed meats is even more rigorous. Based on convincing evidence, the panel recommends avoiding processed meats such as bacon, ham, sausage and lunchmeat. In regard to processed meat, the evidence shows no safe level of consumption. Every 1.7 ounces of processed meat consumed per day increases risk of colorectal cancer by 21 percent. “That’s why we recommend that if people eat processed meat at all, they save it for special occasions like ham at Christmas or the occasional hot dog at a baseball game,” said James. In a separate recommendation, the panel advises planning meals around non-starchy vegetables and fruits. These plant foods can be eaten in conjunction with foods of animal origin other than red meat, such as poultry, fish and eggs. “We are recommending 5 servings or more of vegetables and fruit daily because, like physical activity, they pack a double whammy against cancer. Probable evidence indicates they help reduce cancer risk on their own, and as low-energy-dense foods, they help maintain a healthy weight, which the evidence shows has a big influence on cancer risk,” James said.
Alcohol Consumption Linked to Cancer The AICR expert panel found the evidence convincing that alcoholic drinks are linked to cancers of the mouth, pharynx, larynx, esophagus, as well as colorectal cancer in men and pre-and post-menopausal cancer in women. In addition, alcoholic drinks are a probable cause of liver cancer and of colorectal cancer in women. “It doesn’t matter whether you are talking about wine, beer or spirits, when it comes to cancer, even small amounts of alcohol raise your risk. In light of evidence suggesting that small amounts of alcohol protect against heart disease, however, the panel decided to recommend limiting rather than avoiding consumption,” James said. The full recommendation says, “If alcoholic drinks are consumed, limit consumption to no more than 2 drinks a day for men and I drink a day for women.” The distinction has to do with differing body composition in the two sexes.
Although equally important, other recommendations involve special or limited populations:
People concerned about risk of stomach cancer should reduce salt intake.
People who currently look to supplements for cancer protection
should instead try to get protective nutrients from whole foods.
Mothers should breast feed when practical and babies should be breastfed.

To reduce risk of recurrence, cancer survivors should follow the recommendations for cancer prevention. “Cancer is preventable.
There are changes you can make in your daily life that will reduce your chances of developing cancer,” James said. He pointed out that, taken together, the recommendations outline a clear and consistent way of living that fosters a longer healthy life.
Let’s get more vegetables, fruits and other low-energy-density foods every day, which will leave less room for meat. Let’s get off our backsides however and whenever we can.” Accomplish these changes to diet and activity level and you are on your way to getting and staying as lean as possible, which is our first recommendation, he said. “This is a pattern for living with the potential to save millions of lives. If these recommendations were adopted around the world, scientists estimate it could prevent about one-third of global cancer cases,” James said.
Recommendations for Cancer Prevention
1.Be as lean as possible within the normal range of body weight.
2.Be physically active as part of everyday life.
3. Limit consumption of energy-dense foods. Avoid sugary drinks.
4. Eat mostly foods of plant origin.
5. Limit intake of red meat and avoid processed meat.
6. Limit alcoholic drinks.
7. Limit consumption of salt. Avoid moldy cereals (grains) or pulses (legumes).
8. Aim to meet nutritional needs through diet alone.
Special Population Recommendations
9. Mothers to breastfeed; children to be breastfed.
10. Cancer survivors to follow the recommendations for cancer prevention. And always remember – do not smoke or chew tobacco.

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Chiming in

Some of the remarks about Ed Schafer, nominee for Agriculture Secretary, are indistinguishable. They go as such: 1. Congratulations 2. Get confirmed and get up to speed; until then, Chuck Conner will cover for you nicely 3. We'd like to hear what you think about ag issues - particularly if it agrees with us 4. See you on the Hill soon and then we can tell you why we do what we do.
Here is a statement, a little more embracing, from Rep. Bob Goodlatte, R-Va.:

WASHINGTON – Ranking Republican Bob Goodlatte issued the following statement regarding the Administration’s nomination of Governor Ed Schafer as Agriculture Secretary:
“I congratulate Governor Schafer on his nomination for the position of Agriculture Secretary. While the Congress is actively involved in putting together the next farm bill, we’ve maintained an open line of communication and a cooperative working relationship with the U.S. Department of Agriculture under Secretary Johanns’ leadership and Acting Secretary Chuck Conner’s leadership. This is an important time for American agriculture as we craft the policies that will impact the livelihoods of farmers and ranchers throughout the nation and allow them to continue to produce a safe, affordable food supply
.”


TK: Randy Russell points out that President Bush seems to be comfortable with governors and ex-governors, and Schafer fits the bill. Sounds like people of ND like him a lot. Another compelling story line is that he is not far removed from the American dream; his maternal grandparents were Danish immigrants.

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Harkin on Schafer

From the office of Sen. Tom Harkin:


Senator Tom Harkin (D-IA), Chairman of the Senate Committee on Agriculture, Nutrition and Forestry today issued the following statement upon learning that President Bush intends to nominate former North Dakota Governor Edward Schafer to be the Secretary of Agriculture.

“I congratulate Former Governor Schafer on his nomination for Secretary of Agriculture. I look forward to working with him and to learning his views on the new farm bill that we have just reported out of the Committee on Agriculture, Nutrition and Forestry with overwhelming support. I also want to thank and commend Chuck Conner for the fine job he has done as Acting Secretary.”

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New Ag Secretary?



Luis of the Fresh Produce Industry Discussion Group first posted this news from the AP:

By DEB RIECHMANN
Associated Press Writer

WASHINGTON (AP) - President Bush on Wednesday will nominate Edward Schafer, a two-term Republican governor from North Dakota, to be his next secretary of agriculture, a senior administration official said.

Schafer, who chose not to run again in North Dakota in 2000, will replace Mike Johanns, who resigned as U.S. agriculture secretary last month to launch a bid for the Nebraska Senate seat being vacated by Republican Chuck Hagel at the end of next year.

Bush will make the announcement at 2 p.m. EDT in the Roosevelt Room.


TK: We will have to wait until 2 pm Eastern to be sure. Schafer told KFYR TV recently that he had been approached to take the job as president of the University of North Dakota, but wasn't interested. Schafer lives in Fargo and is partner in a business consulting firm, KFYR reports. Conner is both the Deputy Secretary of Agriculture and Acting Agriculture Secretary, so one might assume he will remain at USDA even after the presumptive nominee Schafer is confirmed by the U.S. Senate. Perhaps Conner's frank views about payment limits makes him a difficult pick for Southern lawmakers, but it seems likely he will remain a vital part of USDA's team for the foreseeable future.

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Fruit and tree nut bearing acreage

Fruit and tree nut bearing acreage 1980 to 2006 - http://sheet.zoho.com


Tree nuts have shown the most growth in bearing acreage over the past 25 years, thse statistics from the 2007 USDA Fruit and Tree Nut Yearbook illustrate.

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FV Advisory Committee named

This has been in the works for some time. I like the diversity of this group; the USDA did a good job of putting this group together with some holdovers from the last committee and many new members as well. Here is the release announcing the newly minted Fruit and Vegetable Industry Advisory Committee:



CONNER NAMES MEMBERS TO FRUIT AND VEGETABLE INDUSTRY ADVISORY COMMITTEE
WASHINGTON, Oct. 31, 2007 - Acting Agriculture Secretary Chuck Conner today announced the names of members of the new Fruit and Vegetable Industry Advisory Committee. USDA will schedule the committee's first meeting for January 2008 in the Washington, D.C., area.
The 25 members were selected from individuals nominated by their peers. Committee members represent fresh fruit and vegetable growers/shippers, fresh fruit and vegetable wholesalers, retailers, industry trade associations, importers, fruit and vegetable processors, foodservice suppliers, fresh-cut processors, brokers and state departments of agriculture. Each member is appointed to a two-year term. Fourteen of the members are incumbents from the previous advisory committee.
Originally chartered in 2001, the advisory committee advises the Secretary of Agriculture on issues affecting the fruit and vegetable industry. In May 2007, USDA approved a new two-year charter for this committee. The Federal Advisory Committee Act of 1972 provides for the establishment and operation of advisory committees within the executive branch of the federal government.
More information about the meeting will be published in the Federal Register and will be available at
www.ams.usda.gov/fv. Information also can be obtained by e-mailing robert.keeney@usda.gov or by calling (202) 720-4722.
USDA's Fruit and Vegetable Industry Advisory Committee Members: 2007-2009
Danny Arnold A-W Produce Company Texas

Gordon Bowman Bowman Apple Products Virginia
Wayne Brandt Brandt Farms California
William Brim Lewis Taylor Farms Georgia
Frederick Caito Caito Foods Service Indiana
Charles Ciruli, Jr. Ciruli Brothers/Amex Distributing Company Arizona
Jim Corby Food Lion North Carolina
Scott Danner Liberty Fruit Company Kansas
Matthew D'Arrigo D'Arrigo Brothers New York
Andrew Deane Del Monte Foods California
Joseph DeVerna Ocean Spray Massachusetts
Michael Hollister Driscolls' Inc. California
A.G. Kawamura California Department of Food and Agriculture California
Helen Masser Sterman Masser, Inc. Pennsylvania
Lisa McNeece Grimmway Enterprises California
John Millwater Fresh Express Texas
Luis Monterde B&M Blueberries Mississippi
Robert Morrissey National Watermelon Association Florida
Paul Newman Rainier Fruit Company Washington
Daniel Richey Riverfront Growers/Riverfront Packing Florida
Mike Stuart Florida Fruit and Vegetable Association Florida
Lisa Strube Strube Celery and Vegetable Company Illinois
Jennifer Verdelli Verdelli Farms Pennsylvania
Rebecca Wilson Tom Lange Company Illinois
Larry Yonce J.W. Yonce and Sons South Carolina

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Easy targets

There is coverage and more coverage from across the pond about the Competition Commission efforts to curb the power or retailers in the UK.

From The Scotsman:




THE Competition Commission today outlined a series of measures to give shoppers at better deal at UK supermarkets. The watchdog outlined its intention to overhaul the planning system and to stamp out the practice of "land banking" as part of an 18-month inquiry into the grocery market. The Commission also raised concerns over the relationship between supermarkets and suppliers in provisional findings of the probe and said changes were needed to help offer greater protection to suppliers.


Here is a retrospective look at the issue from the Guardian Unlimited:


Independent retailers were, and still are, disappearing at a rate of 2,000 shops a year and since 1987 have seen their market share halve from 17% to 9%.
There was unrest about the impact the immense buying power of the biggest chains was having on small suppliers and, in particular, Britain's hard-pressed farming community.
The campaigners claimed that suppliers were too scared to complain for fear of losing key contracts.
Although the authorities agreed there was a need for action, the conclusions of the first major Competition Commission inquiry in the year 2000 were met with derision.
Inexplicably, the commission's narrow definition of the grocery market did not include convenience stores, even though supermarkets were already making rapid inroads into the sector with their own smaller outlets.
Working practices
But the greatest criticism was reserved for the proposed Supermarket Code of Practice which campaigners insisted was simply unworkable. Most controversial was the idea that suppliers must blow the whistle on alleged bullying practices from their biggest customers, the supermarkets.
Not surprisingly, no suppliers came forward and two years after the code was finally thrashed out and introduced to a sceptical industry, the Office of Fair Trading announced a review.


TK: Relying on suppliers to come forward and air complaints about buyers is a nonstarter, whether in the UK or the US. While suppliers may wait for a Golden Age when they will exert equal power to buyers, there will continue to be an inexorable accumulation of clout by retailers and halting efforts by governments to manage the process.


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Tuesday, October 30, 2007

CSPI White paper gets nod from DeLauro

Here is a statement from Rep. DeLauro on the 20-page CSPI White Paper on food safety:

DeLauro
Statement on CSPI
Food Safety White Paper

Washington, D.C. – Congresswoman Rosa L. DeLauro (Conn.-3) issued the following statement about the white paper from the Center for Science in the Public Interest: “Building a Modern Food Safety System: For FDA Regulated Foods.” “CSPI has drafted a comprehensive document that serves as an excellent reference source for anyone who would question whether our food safety system is broken. CSPI also dispels the notion that food-borne illnesses in the U.S. are insignificant, and reminds us that significant work remains in ensuring the safety of our food supply. “The CSPI document also provides exceptional guiding principles for Congress as we move forward with plans to modernize our food safety system. Many of these principles are being incorporated into the new bill I am drafting– The Food Safety Modernization Act – that would implement a modern food safety system with mandatory recall authority, inspection authority, and science-based performance standards. “I am looking forward to working with my colleagues in Congress to move forward with the ideas in my new bill, and in the CSPI report. The current environment indeed gives me real optimism that reform of the food safety system can be accomplished soon and those of us in Congress should take advantage of this unprecedented opportunity.”

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USDA ERS Fruit Yearbook

Find the USDA ERS Fruit and Tree Nut Yearbook, released today, here.

From the report:

Bearing acreage dropped 7 percent for citrus and almost 1 percent for major noncitrus crops between 2005 and 2006, but increased 2 percent for miscellaneous noncitrus crops and 1 percent for tree nuts. Bearing acreage declined for all major citrus fruit, mostly led by the loss of acreage in Florida.

Orange acreage fell in both Florida and California. California growers are removing Valencia orange trees due to weak demand for the fruit. Most of the grapefruit acreage loss occurred in Florida, with California and Arizona acreage declining slightly. Grapefruit bearing acreage has remained constant in Texas since 2002/03 at 18,500 acres. Lemon acreage declined by 1,000 acres in Arizona, but California’s acreage remaining unchanged between 2005 and 2006 at 44,000 acres, and accounted for 77 percent of the total. The 5-percent decline in total tangerine acreage was a result of fewer acres in Florida, even though California continues to plant more acres of different tangerine varieties that are showing strong popularity among American consumers. These varieties, such as clementines, are at present still mostly imported.Among noncitrus fruit crops, bearing acreage fell between 2005 and 2006 for apples, peaches, pears, tart cherries, plums/prunes, apricots, figs, Hawaiian pineapples, and kiwifruit. Some of the decline was offset by increased bearing acreage of sweet cherries, avocados, bananas, dates, and Hawaiian papaya. The number of bearing acres remained relatively unchanged for grapes, nectarines, and cranberries. Total fruit production declined 4 percent in 2006 from 2005, totaling 30.2 million tons, the smallest quantity produced since 1991 While citrus production was up 1 percent in 2006, it was still low relative to recent years, as Florida’s trees still felt the effects of the hurricanes in 2004 and 2005 and diseases, such as citrus canker and citrus
greening, continued to hinder Florida’s production. Noncitrus production fell 8 percent in 2006 from 2005, with 16.9 million tons produced. Smaller peach, grape, tart cherry, apricot, fig, Hawaiian pineapple, avocado, nectarine, kiwifruit, and papaya crops contributed to the decline in noncitrus production.Tree nut production increased 9 percent between 2005 and 2006 to 1.6 million tons (in-shell basis).

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Poll closing

Again I invite participation in this week's poll question, which will expire tomorrow. Hundreds have visited the site this week but only a handful have voted in this poll. The injustice of it all....

In my argument the other day about the need for a national checkoff assessment for fresh produce, I didn't raise the issue of how that goal of a generic fresh produce promotion campaign funded by mandatory assessments might conflict/compete with commodity-focused promotion orders such as watermelon, potatoes and mangoes, to a name a few.

In this thread at the Fresh Produce Industry Discussion Group, Big Apple publishes the notice from the USDA that approves an assessment increase for the National Watermelon Promotion Board.

From the final rule's summary:
This rule amends the Watermelon Research and Promotion Plan (Plan) to increase the assessment rate on producers, handlers, and importers of watermelons from four cents to six cents per hundredweight. Domestic producers and handlers will pay three cents per hundredweight each and importers will pay six cents per hundredweight. The increase is provided for under the Plan which is authorized by the Watermelon Research and Promotion Act (Act). The National Watermelon Promotion Board (Board), which administers the Plan, recommended this action to sustain and expand their promotional, research, and communications programs.


TK: The increased assessment for the watermelon board merely adjusts for inflation - after all, the last time assessments were changed was more than 10 years ago. Still, of 40 comments received, 13 comments opposed the assessment hike. That's a tough crowd, and it reflects how difficult it would be to create a whole new mandatory assessment program for fresh produce promotion. Even so, no one told George Washington that crossing that Delaware River in December would be easy. Like the General, we have to look at the upside.

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More than bananas

Chiquita recently reported a restructuring of their operations, and the The Packer's David Mitchell wrote this about their moves:

As part of a restructuring initiative announced Oct. 29, Cincinnati-based Chiquita Brands International Inc. said its plans to axe the line of fruit bowls it introduced in 2003 and instead will focus its fresh-cut efforts on value-added salads and snack packs.“Over the last year or so, we introduced new products, like Chiquita Apple Bites, as healthy snacks,” said Chiquita spokesman Mike Mitchell. “Those have been much (more well) received by consumers and customers.”In addition to its Apple Bites, Chiquita introduced single-serving bags of grapes, carrots and snap peas this summer in test markets.Mitchell said Chiquita plans to honor its fruit bowl commitments to customers but will convert fresh-cut plants in Edgington, Ill., and Salinas, Calif., from fruit bowl production to snack pack and bagged salad production in the next few months.

TK; In other news, Fresh Del Monte today issued a fresh report about their third quarter performance.



From their release:


For the third quarter of 2007, Fresh Del Monte reported net income of $29.9 million, compared with a net loss of $82.9 million for the comparable prior year period. Net income for the first nine months was $145.4 million, compared with a net loss of $83.4 million during the same period in 2006. The significant increase in net income for the first nine months of the year was due to continued andd sstained improvements throughout the Company’s operations. “It is gratifying to see the actions we took in 2006 to drive global improvements have had a very favorable impact across all of our business segments,” said Mohammad Abu-Ghazaleh, Fresh Del Monte’s Chairman and Chief Executive Officer. “Our team did an exceptional job in terms of focusing our sales and marketing efforts and increasing efficiencies, and these efforts have resulted in one of the best third quarters in our history, during what is traditionally our most challenging three-month period.” Abu-Ghazaleh added, “We continue to face challenges in our industry and our business related to the high cost of fuel, raw materials and transportation. As always, we will remain sharply focused for the balance of 2007 to manage those challenges and drive performance.”

TK: One of the things that stood out to me on the Del Monte's third quarter balance sheet is the fact that bananas accounted for 37% of sales but just 10.1% of profits for the third quarter. In contrast, "other fresh produce" accounted for 45% of third quarter sales and 69% of profits. Wall Street has wanted banana companies to diversify and both Fresh Del Monte and Chiquita are doing exactly that.

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Farm bill up next week

In his teleconference this morning, Sen. Tom Harkin said the farm bill will be on the floor of the Senate Monday next week, Tuesday at the latest. Harkin said he expects a full and vigorous debate on the floor, and said the discussions should take most of the week.

Harkin spent some time talking about the new ACR program, with reporters quizzing Harkin on how many growers would actually sign up for the program and thus generate savings to be spent on other priorities. Harkin left open the idea that Title I funds could be shifted to nutrition and conservation resources via hard caps on subsidies to program crop growers.

You get the idea that there are parts of this farm bill that Harkin himself would like to change on the floor of the Senate. It should be a wide open and intriguing debate next week.

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Import safety

The issue of consumer product/ import safety has not gone away. In fact, there is a press conference today that Rep. DeLauro and Speaker Nancy Pelosi will attend on the issue: Note these details:

Pelosi, Key Members to Hold News Conference on Consumer Product and Toy Safety

Washington, D.C. – Speaker Nancy Pelosi and Representatives Bobby Rush, Rosa DeLauro, Bart Stupak, and Diana DeGette will hold a news conference tomorrow, Tuesday, October 30, at 1:45 p.m. on Democratic efforts to promote consumer product and toy safety. Donald L. Mays from the Consumers Union (CU) will also give remarks. Members will discuss legislative efforts to address this issue in the upcoming weeks.

WHO: Speaker Nancy Pelosi
Chairman Bobby Rush (IL-1), Subcommittee on Commerce, Trade,
and Consumer Protection
Chairwoman Rosa DeLauro (CT-3), Subcommittee on Agriculture
Appropriations
Chairman Bart Stupak (MI-1), Subcommittee on Oversight and
Investigations
Vice Chair Diana DeGette (CO-1), Subcommittee on
Oversight and Investigations
Donald L. Mays, Consumers Union (CU)

WHAT: Press conference on Consumer Product and Toy Safety

WHEN: Tuesday, October 30 at 1:45 p.m.

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Noel Noel

This just slid across the inbox. Sounds like South Florida may be vulnerable from this tropical storm/turning hurricane.

State College, Pa. -- October 30, 2007 - AccuWeather.com reports that Tropical Storm Noel will parallel northern Cuba today before making a run towards South Florida. Additional strengthening is possible in the next 24 hours, potentially causing Noel to reach hurricane status.

After grazing the northern Cuban coast, Noel is expected to turn more northwestward towards the northwestern Bahamas. Wednesday night, Noel should pass virtually over Freeport on Grand Bahama Island.

A tropical storm watch may be issued for southeastern Florida later today as Noel is forecast to come within 80 miles of the shoreline. The coast will be spared of a direct hit thanks to an upper-level trough of low pressure sweeping in from the west. The trough will keep Noel east of the entire Eastern Seaboard.

While Noel will not make landfall, Florida will still be adversely affected by the storm. The tight pressure gradient between Noel and a strong area of high pressure to the north will cause winds to howl over the state, as well as the other beaches along the Southeast coast. The strongest winds, potentially reaching tropical-storm-force Wednesday, will blast South Florida.

Tropical Storm Warnings are in effect for northeastern Cuba, and the central and southeastern Bahamas. A Tropical Storm Warning and Hurricane Watch have been issued for the northwestern Bahamas.

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Lemon look in

Calif//Ariz lemons 10/1 to 10/29 - http://sheet.zoho.com


Pro*Act's market report stated Oct. 24 that demand exceeds lemon supplies on 95’s through 200’s for all shippers and that condition is expected to remain that way through October and into November. The market certainly reflects a premium over last year.

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Monday, October 29, 2007

Cantaloupe market look in

Cantaloupe f.o.b. 10/10 to 10/26 - http://sheet.zoho.com

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Fresh deals

Another week of food ads is upon us in suburban Kansas City, with asparagus the leading feature at Price Chopper at $1.88 per pound and at HyVee at $1.99 per pound. Jumbo red scarlotta grapes from SunWorld won top billing in the Hen House food ad at $1.48 per pound, while Dillons featured Kroger Russet potatoes at a two for one deal on 5-pound bags.

Prices for these items are valid from Oct. 30 to Nov. 6.

Dillons (Oct. 30 to Nov. 6)
Kroger Russet potatoes 5-pound bag, buy one get one free
Asparagus $2.99/lb
Fresh green cabbage 2 lbs for 88 cents
Colorado Columbia Basin sweet onions 79 cents/lb
New crop red or golden delicious or gala apples or pears - All varieties $1.49/lb
Black seedless grapes: $1.99 per pound
Wonderful pomegranates: 2 for $4
Private Selection Organic Salads: 2 for $6
Fresh Express Salads: 2 for $4 when you buy 2
Fresh Baby Bella mushrooms: whole or sliced : 2 for $5 for 10 ounce resealable bags


HyVee (Oct. 30 to Nov. 29)
Fresh asparagus: $1.99/lb
Dole cauliflower: $1.48
Driscoll's raspberries: 2 six ounce packages for $5
Texas Rio Star grapefruit: 2 for $1
Monterey whole mushrooms: $1.18/8 ounce package
Sweet red peppers 3 for $2
Dole salad blends 2 for $4
Grimmway Farms carrot chips 99 cents per 16 ounce package
Yellow onions: $1.28/3 pound bag
Stemilt Washington apples: 99 cents per pound : braeburn or jonagold
Fresh blueberries: $2.88 per 4.4 ounce

Hen House (Oct. 30 to Nov. 6)
Jumbo sized seedless red scarlotta grapes from Sn World: $1.48/lb
Hot house tomatoes on the vine: $1.28/lb
Apple Sweets from Stemilt: 2 15-16-ounce bags for $5
Fresh whole pineapple: $3.99 each
Earthbound Farm certified organic spring mix or baby spinach: $4.99/each
Wholly Guacamole: 7 ounce size 2 for $3
POM Wonderful pomegranates 2 for $3
California navels, 3-lb bag 2 for $4
Whole almonds ( cholesterol claim) $4.99/16 ounce bag
Green Giant fresh baby carrots: 2 for $4 (2-pound size)
Green Giant whole mushroom: $1.28/each

Price Chopper (Oct. 30 to Nov. 6)
Green asparagus: $1.88/lb
Fuji apples: $1.29/lb
Washington anjou pears: 99 cents/lb
Dole fresh jumbo pineapple: $3.99
POM Wonderful pomegranates: 2 for $3
Green Giant sliced baby portabilla mushrooms: 2 for $4
Mission Hass avocados: 99 cents each
Mann's sugar snap peas or snow peas: 2 for $5 : 6-ounce to 8-ounce bags
Roma tomatoes: 99 cents/lb
Earthbound Farm organic salad: 2 for $6
Earthbound Farm organic potatoes: $1.99/5-pound bag

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Steam Bags Revisited

From Guest Blogger Pamela R.:


If you haven't checked out The Packer's featured section, Pamela's Kitchen, you're missing out on the fun. My last episode featured the "Steam Bag Showdown!" where I tried the Glad Simply Cooking and the Ziploc Zip n' Steam.

I was kind of wishy-washy, giving them a 6 out of 10 on the Squeezy Fruit Scale (I should trademark that, eh?). I think it may have been due to the fact that I was cooking haricort vert (skinny green beans) and they just didn't have the structure to hold up to the steam.

So, ths weekend, I found myself with little time and a little squash so I tried the Simply Cooking again.

Excellent!

Four minutes in the microwave and I'd probably give it an 8 out of 10.

Stay tuned. Next time I'm going to try something on the stove. I'm keeping it a secret for now.

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Harkin coming through

The full Senate is expected to debate the farm bill next week. Here is an audio link of the Sen. Tom Harkin teleconference of last Thursday, not long after the Senate Agriculture Committee passed the farm bill out of committee. He trumpets the f/v program and said that he believes the total bill will find pretty good support on the floor, though he said there will be amendments on payment limits, nutrition and rural development. Harkin is expected to have another press conference tomorrow. Meanwhile, Harkin's office release the following about the fruit and vegetable program:


Senate Farm Bill Expands Access to Fresh
Fruits and Vegetables for Iowa
Students

65,000 Iowa school children will now have access, Up from 12,000 currently enrolled

Washington, D.C. – The 2007 farm bill that passed the Senate Committee on Agriculture, Nutrition and Forestry last week invests heavily in The Fresh Fruit and Vegetable Program (FFVP) and will expand access to the program for elementary students in Iowa and around the country, Senator Tom Harkin (D-IA) said today. This investment will enable up to 65,000 Iowa school children to participate in the program, more than a five fold increase from the 12,000 Iowa school children who attend participating Iowa schools in the 2007-08 school year. Harkin is Chairman of the Committee and the author of the FFVP.

“The farm bill is about food and nutrition and should be an opportunity to encourage healthy diets and promote health. With this historic expansion of the Fruit and Vegetable Program, not only do we make a tremendous investment in the health of our children, but we also expand the idea of what a farm bill can and should be.” said Harkin. “What began as an immensely successful pilot program just 5 years ago will now grow into a national program that encourages fresh fruit and vegetable consumption to million of elementary school children across the country, particularly those in disadvantaged communities. I am delighted we are expanding the program in Iowa and nationally.” “Senator Harkin has been a true leader in nutrition. His efforts to increase fruit and vegetable access for low-income children is an example of his dedication to improving nutritious offerings for Iowans,” said Sister Ladonna Woerdeman, diabetes outpatient educator, registered dietitian, and media representative for the Iowa Dietetic Association.

When fully implemented, the FFVP funding levels will enable up to 4.5 million elementary school children to receive free fresh fruits and vegetables at school. The Fresh Fruit and Vegetable Program began as a pilot program when Senator Harkin authored it in the 2002 farm bill. Iowa was one of the 4 original pilot
states.

Currently, this program receives $15 million annually,
serving 14 states plus 3 Indian Tribal Organizations. They
are:

Indiana
North
Carolina
Utah
Iowa
Washington

Idaho
Michigan
Wisconsin
New Mexico
Mississippi
Texas

Pine Ridge in South Dakota
Ohio
Connecticut
Zuni in New Mexico
Pennsylvania
Utah

Inter-Tribal Council of Arizona

According to the U.S. Department of Agriculture, only 14 percent of children meet dietary recommendations for fruit consumption. And only 20 percent meet dietary recommendations for vegetable consumption.

Please feel free to forward this update to whomever you think would be interested in the information. If this was sent to you by a friend or colleague and you wish to be on the mailing list or you would like to subscribe to newsletters on other issues.

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Time for a fresh produce checkoff

We haven't had a plethora of votes on the Fruits and Veggies - More Matters blog question this week, (where's the passion, people?) but early returns suggest that the launch of the More Matters campaign met expectations of Fresh Talk readers. Please vote on the poll question soon, as it will close in a couple of days.

Regarding the More Matters campaign, I believe it has created a brand message that is sustainable. That is, there is no danger the government will come out with dietary guidelines recommending reduced consumption of fruits and vegetables.
The message itself communicates that eating more fresh produce is always a good idea, just like one should always "drink more water." It's a message that doesn't carry a lot of latent appeal by itself. However, The umbrella message of "More Matters" will be supported by other promotion themes such as" healthy" as soon as next year, according to PBH president Elizabeth Pivonka. Perhaps "tasty" will also get a turn? Importantly, the Foundation is committed to tracking the public awareness of the brand message in future consumer surveys.

I found an interesting article about generic promotion on the Web. The influence of generic promotion on brand preference by Amitav Chakravarti and Chris Janiszewski provided context to the issue.

Some background grafs on generic promotion:

"In 1937, Congress enacted the Agricultural Marketing Agreement Act. The goal of the legislation was to establish marketing rules for farm commodities and to encourage the marketing of these commodities via industry committees. Producers of commodities were required to remit a small percentage of their proceeds to commodity boards that pooled the resources and used them to promote consumption. As of 1990, 30 commodity boards had been established by Acts of Congress.
During the 1990s, rulings by the Ninth U.S. Circuit Court of Appeals in California weakened legislation that forced producers to make mandatory contributions for generic advertising. In December 1993, the U.S. Department of Agriculture (USDA) almond marketing order and, in June 1995, the USDA nectarine and peach marketing order were found unconstitutional. The court reasoned that generic advertising had not been shown to be more successful at increasing primary demand than brand advertising. Thus, growers should be able to use their money to advertise individually. In response to the findings of the Ninth Circuit Court, the Federal Agricultural Improvement and Reform Act of 1996 authorized check-off generic advertising programs. The legislation includes a congressional finding that generic advertising programs are in the national public interest and vital to the welfare of the agricultural economy. Moreover, the legislation states that generic advertising programs "never were designed or intended to restrict, prohibit, or replace the advertising and promotion activities of any individuals or groups of individuals" (Becker
1996, p. 1). These check-off programs can be initiated by the USDA and, if approved in a referendum of industry participants, can require producers to "pay assessments which are used to fund generic (as opposed to branded) promotion, research, advertising, and related activities designed to increase consumption of that commodity" (Becker 1996, p. 1). As of 2001, 13 of the 20 national check-off programs (e.g., dairy, fluid milk, beef, soybeans, cotton, pork) authorized by Congress were active, as were approximately 35 commodity programs being run by state organizations (e.g., apples, avocados, orange juice.)

The research concludes:

"More than a billion dollars is spent annually on generic advertisements that promote the consumption of commodity goods. Generic advertising is designed to increase primary demand, or the "size of the pie," without affecting selective demand, or the "share of the pie." We find evidence to the contrary generic advertising increases the consumer's sensitivity to changes in price and systematically alters brand preferences. These effects of generic advertising can be attributed to the tendency of generic ads to change the relative importance of the attributes used to evaluate the brands. The results have implications for the public policy issue of how to effectively implement generic advertising without differentially benefiting certain brands and the managerial issue of how to integrate generic and brand advertising in order to achieve product category and brand differentiation goals. "

TK: My first instinct is to say the fresh produce industry has for too long been blind to the opportunity to create a national checkoff program for fresh fruits and vegetables. What would generic promotion of fresh produce look like if there was a mandatory assessment on all produce marketers? The National Cattlemen's Beef Association in 2005 had a budget of about $62 million to carry out checkoff funded promotions for beef. Compare that to the $5-6 million the Produce for Better Health Foundation typically has at its disposal. Some would argue that generic promotion ( including the authors of the research cited above) would make it harder for brand marketers to differentiate their products. Generic advertising also may increase responsiveness to price and reduce consumer information about non-advertised traits. Despite those limitations and reservations, I think the industry needs to field a generic promotion campaign that is representative with beef and milk (about $60 million and $100 million, respectively). Generic promotion raises visibility and helps define the message that consumers associate with fresh produce. In my view, the only way to fund an annual promotion effort that would invest $40 million to $50 million in consumer promotions is with a mandatory checkoff program for fresh produce. It's time for industry leaders to make it happen.

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Asparagus Market Look In

Caribbean Basin Imports - Asparagus 10/1 to 10/22 - http://sheet.zoho.com

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Sunday, October 28, 2007

Fresh Talk Agenda

Here are some events this week: check the calendar at the bottom of the blog for more details about these events. Remember to send events of note to me at tkarst@thepacker.com and I'll post them on the "Fresh Talk" calendar.

Sunday, October 28
California Association of Pest Control Advisers 33rd annual conference www.capca.com/conference

Monday, October 29
World Allium Association and International Society for Horticultural Science’s Fifth
International ISHS Symposium on Edible Alliaceae and Second World Onion Congress and Trade Show
International Food Exhibition (IFE) Americas 10th Americas Food & Beverage Show and Conference
The Canadian Federation of Independent Grocers’ Grocery Innovations Canada 2007
Packer sections Idaho Potatoes, Pepper Marketing, Ohio KYM

Tuesday, October 30
World Allium Association and International Society for Horticultural Science’s Fifth International ISHS Symposium on Edible Alliaceae and Second World Onion Congress and Trade Show
International Food Exhibition (IFE) Americas 10th Americas Food & Beverage Show and Conference
The Canadian Federation of Independent Grocers’ Grocery Innovations Canada 2007
USDA ERS Fruit and Tree Nuts Yearbook

Wednesday, October 31
World Allium Association and International Society for Horticultural Science’s Fifth International ISHS Symposium on Edible Alliaceae and Second World Onion Congress and Trade Show
International Food Exhibition (IFE) Americas 10th Americas Food & Beverage Show and Conference
USDA Agricultural Prices

Thursday, November 1
Día de los Muertos
Amber Waves November ERS
California Certified Organic Farmers’ Organic fifth Organic Farming & Food Conference

Friday, November 2
Día de los Muertos

Saturday, November 3
Midwest Apple Improvement Association’s annual meeting
Eastern Produce Council’s 40th annual dinner dance

Sunday, November 4
Daylight Savings Time

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Keeping current

It is Sunday night and I haven't done a lot of blog work this weekend, mainly because my laptop has been in high demand. Between my daughter doing some study for her ACT test and my wife working on a paper for one of her masters' classes, my time has been squeezed. But I note the Fresh Produce Industry Discussion Group has been active over the weekend, and I enjoyed catching up on some of the threads over there there. Be sure to check out the Discussion Group threads as I update them on the right side of this blog.


In case you missed it, here is a comment posted to Rick Bella's blog post about PMA and produce donations.

Gregg Proctor said...
A BIG Congratulations to the PMA and it's suppliers to help the Houston Food Bank! This is just another HUGE donation to this incredible group of individuals whose sole focus is to help others who are in need! But it doesn't stop with the PMA convention either. Every December, the Houston Fresh Fruit and Vegetable Association through it's network of retailers and suppliers give a fresh donation of produce measuring in over 1.4 million pounds! So, the PMA's group of suppliers have helped "again". From all of us who support the Houston Food Bank throughout the entire year, we say THANK YOU for your generosity! We hoped you enjoyed your time in our home of Houston.

Gregg Proctor-Kroger Southwest2007
Gift of Produce Chairman

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Friday, October 26, 2007

Retail report

I walked into HyVee tonight and I saw a giant display of Stemilt red delicious at 99 cents per pound. I've noted that Stemilt can fill up the apple category, with diverse varieties featured and plenty of Stemilt signage. Meanwhile, the USDA's National Fruit and Vegetable Report was released again today. It showed pears accounted for 20% of retail fruit ads and asparagus comprised about 13% of all vegetable ads.

Here is the summary of what the USDA found this week:

Advertised Prices for Fruits & Vegetables at Major Retail Supermarket Outlets 10/26 to 11/01
Pears top overall activity. Vegetables featured more prominently.
This week retailers placed emphasis upon the upcoming Halloween celebration. Retailers were actively promoting party items for the holiday including baked goods, candy, costumes, and other non-produce items. Seasonal items in the produce department being featured included: apple cider, caramel/candy apples, persimmons, pomegranates, pumpkins,
and a variety of hard squash. Retailers continue to highlight Thanksgiving dinner incentive programs. Vegetables were a bigger competitor for ad space despite fruits continuing to be featured heavily. The top featured items among all commodities were: pears, asparagus, apples, avocados, and tomatoes on the vine. As the California marketing season winds down, red and green seedless grapes continue to see a decline in activity. Features on strawberries declined drastically. Asparagus activity jumped considerably this week, launching it into the top five promoted commodities. Fruit ads continue to be the focus of many retailers. Several varieties of domestic apples and pears were featured throughout the country corresponding to a spike in seasonal supply. As there is a seasonal influence in the market at this time, a few year round items such as strawberries were featured less. Vegetable ads were featured more prominently this week. Notable increases were seen on round green beans, onions, and green bell peppers. There were many organic vegetable ads noted and included: cauliflower, celery, broccoli by the pound, and sweet potatoes.

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Specialty Crop Farm Bill Alliance reaction

On Senate consideration of the farm bill, from the SCFBA:

The Specialty Crop Farm Bill Alliance (SCFBA), a national coalition of more than 120 specialty crop organizations representing 350 individual specialty crops, has issued the following statement in connection with the passage of the Farm Bill by the U.S. Senate Agriculture Committee:"Today's action in the Senate Agriculture Committee is an important step forward in recognizing the importance of specialty crops in national farm policy. We appreciate the bipartisan support for our priorities that helped shape the bill passed by the committee, and look forward to continuing to work together with Congressional allies to address specialty crop needs as the bill is considered on the Senate floor and in conference. This legislation makes a strong commitment in improving nutrition and obesity among children by expanding the USDA Fruit and Vegetable Snack Program to 5,000 schools and 4.5 million children. The Senate Farm Bill acknowledged other key priorities such as providing trade assistance and market promotion tools to open new and expand existing international markets, investing in research to improve the quality, taste and nutrition of fruits and vegetables and support for state specialty crop competitiveness projects that target the specific needs of local specialty crop producers. In addition, today's action coupled with the Senate Finance Committee will foster significant improvements in efforts by USDA to combat invasive pest and diseases. Over the last two years, specialty crop producers have been advocating for a Farm Bill that is more balanced and equitable for our producers. The Farm bill approved by the Senate Agriculture Committee reflects that goal. We appreciate the leadership of Chairman Harkin, Ranking Member Chambliss, Senators Stabenow, Conrad, Casey, and Crapo, in particular, for their leadership on behalf of the nation's specialty crop producers."
Priorities of Specialty Crop Producers
Expansion of the USDA Fruit & Vegetable Snack Program to all 50 states. The program and others involving healthy foods and community projects help develop life-long health through consumption of fruits and vegetables
Greater investment in research to improve the taste and quality of foods
Expansion of the "State Specialty Crop Competitiveness" projects to all 50 states based on its proven track record of delivering results for specific local needs
Enhanced critical trade assistance and market promotion tools that will grow international markets for specialty crops
Investment in prevention and mitigation protocols to combat invasive pest and diseases, which cost the economy millions of dollars per year

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Avocado coverage

The Packer's John Chadwell wrote this coverage about the avocado outlook in California. John writes:

Despite reports of up to a third of California’s avocado acreage damaged by fires, the industry would still have plenty of fruit to supply the needs for the Super Bowl in February and Cinco de Mayo, according to the California Avocado Commission, Irvine.“Everything north of Los Angeles has not burned,” Guy Whitney, director of industry affairs for Irvine-based California Avocado Commission, said Oct. 24. “And the bulk of our new acreage over the last five years has been in that area. So we have a lot of acreage that in the next one to two years will come into full production and will put us right back where we were, even if we lose a third of acreage that’s in San Diego County.”


Here are some consumer press stories about the avocados and fire damage;

Wildfires torch Southern California farms, avocado crop hard hit From the AP:

Wind-driven wildfires torching Southern California have charred fruit orchards, wilted flowers and littered the ground with avocados, delivering a devastating blow to area farmers already reeling from a deep winter freeze and the long drought that followed.
The final damage for growers will not be known until they are allowed to return to their lands, but some estimate losses in the millions of dollars.
"This situation here is the worst I've seen in terms of impact on individuals, families, homes, businesses," said Charley Wolk, who has been farming in San Diego County for 35 years, and now manages hundreds of acres (hectares) of mostly avocados, citrus and flowers.



In the aftermath of fires, farmers try to salvage crops, figure out claims - assuming they have insurance From San Diego Union-Tribune:
Last year, 52 percent of California's cropland was covered by crop insurance, according to the Federal Crop Insurance Corp. Of the estimated 62,000 California acres devoted to avocados, 53 percent was insured. Crops didn't have to burn for farmers to suffer losses. Because many growers were evacuated, farms went days without crucial irrigation that can mean life or death for certain crops.

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ERS Vegetable and Melon Report

Find the Oct. 25 USDA Economic Research Service report on vegetables and melons here.

Some highlights:

Fresh vegetables: Retail prices for fresh-market vegetables averaged 3 percent above a year earlier through the first 9 months of 2007. Prices for lettuce, broccoli, and other vegetables each averaged higher than during the initial 3 quarters of 2006.Assuming average weather this fall, fresh-market retail prices during October- December 2007 are expected to increase from a year earlier.

Melons: Wholesale prices for melon crops have averaged 14 percent above a year earlier during the first 9 months of 2007. Higher prices during the spring and late fall shipping seasons outweighed lower prices in late spring and summer. Melon area for harvest is expected to decline 7 percent this fall to 15,200 acres due to reduced cantaloup and honeydew area in California and Arizona. According to USDA’s Market News Service (Market News), national mid-October advertised retail prices for cantaloup averaged $2 per melon, with seedless watermelon selling for $3.99 each.

Potatoes: With moderate demand for processed products decreasing fresh table potato supply, consumer prices for all fresh-market potatoes (russet, white, and red) averaged 3 percent above a year earlier through the first 9 months of 2007. Although total potato supplies have been slightly larger, improved demand has kept processed potato prices higher, with wholesale prices for frozen potato products (largely french fries) rising 8 percent during January-September 2007. However, given continued good demand for potato products and minor change in fall potato production, retail prices for potatoes and potato products are likely to remain strong over the coming months.

Sweet potatoes: During the first 9 months of 2007, wholesale prices for U.S. freshmarket
sweet potatoes averaged 11 percent above a year earlier due to dwindling stocks and good demand. According to Market News, national mid-October advertised retail prices for sweet potatoes averaged $0.83 per pound.

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Conner on the farm bill

Below is an excerpt from Acting Agriculture Secretary Chuck Conner's teleconference yesterday....
It sounds like Conner wants more subsidy reform on the Senate floor. We have also heard that the Administration is not that high on the the fruit and vegetable program, but the overwhelming Congressional support of the program should carry the day.

Let me just say that the adjusted gross income limit that has been passed by the Senate Committee with its so-called "soft cap" we don't believe at this point represents real reform, and really equates to no reform at all. In fact our economists do believe that it will have less of an impact on payments than the House version of the bill which openly continues to allow millionaires to participate in farm programs.
We hear that there will be a lively debate on the Senate floor over payment limits. We look forward to that debate. We believe that is a debate that desperately needs to occur. I will just tell you simply that the administration and I do not understand the unwillingness to take wealthy investors who are simply among the wealthiest of Americans, the top 2 percent of tax-filers in all of our country, off of direct government subsidies. We just simply can't understand that unwillingness.
Additionally, I have to note the provisions that raise loan rates and target prices for half a dozen crops. This is just simply bad policy. It paints a bull's-eye on the backs of the American farmer, causes us enormous trouble internationally. It's just simply bad farm policy. No reform at all.

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Thursday, October 25, 2007

Numbers from the Senate bill

Here is a link to a spreadsheet that compares the House version of the farm bill and the just passed chairman's mark. The numbers were compiled by Sens. Stabenow and Craig and passed on by Robert Guenther of United.

Here is another link to a summary of the Specialty Crops Subtitle. While the fruit and vegetable program had a big win with Harkin's bill, I wonder how the cut in specialty crop block grants compared with the House bill will play with Western Growers and strong backers of the program.

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Senate Agriculture Committee statement on farm bill passage

From the Senate Agriculture Committee:

WASHINGTON, D.C. – The Senate Committee on Agriculture, Nutrition and Forestry today passed by an overwhelming majority the 2007 farm bill, The Food and Energy Security Act. The measure continues and improves farm income protection and makes historic investments for the future in energy, conservation, nutrition and rural development initiatives – all while staying within strict budget limits. Chairman Tom Harkin (D-IA) today hailed the bill’s passage and thanked membership of the Committee. The bill must now be considered by the full Senate.

“After months of negotiations, we were able to work within a very strict budget allocation to complete our work and pass a farm bill that is good for agriculture, good for rural areas and good for the health of Americans” said Chairman Harkin. “Our Committee was able to use budget offsets and report a bill that makes major investments for the future and is still fiscally responsible. This is a forward-looking farm bill with greatly strengthened initiatives to support renewable energy, conservation, nutrition, rural development and to promote better diets and health for all Americans. It maintains a strong safety net for farm producers, and strengthens programs that will help agricultural producers of all kinds across our nation.

“I thank all Committee members for their cooperation in getting this bill passed and join them in looking forward to swift consideration on the Senate floor.”

The bill includes a newly named Producer Income Protection title of that continues basic features of the 2002 bill, which have worked well, and it gives producers a new option, beginning with the 2010 crop year, to choose to participate in a state-level revenue protection system. The Average Crop Revenue program, modeled after legislation introduced by Senators Durbin and Brown, offers producers better options for managing risk on their farms in today’s uncertain, rapidly changing farm environment.

The conservation title extends key conservation programs and increases critical funding. This will allow CSP – now renamed the Conservation Stewardship Program – to grow vigorously at a pace of more than 13 million acres a year, which with the 15 million acres already enrolled, will equal 80 million acres in 5 years. This funding will also continue to allow increased enrollment in the Wetland Reserve Program, the Environmental Quality Incentives Program (EQIP) and the Grassland Reserve Program.

The energy title provides investments in farm-based energy by creating initiatives with financial incentives to help farmers transition into biomass crops, and supports the construction of biorefineries from cellulose ethanol with a loan guarantee program that will provide up to 80 percent of total project cost with a loan cap of $250 million. The bill expands markets for biobased products, and invests in farm-based energy R&D, and in helping farmers, ranchers and rural small businesses move to renewable energy and energy efficiency.

The nutrition title strengthens our commitment to fighting hunger and promoting sound health and nutrition. It updates archaic nutrition program rules, increases Food Stamp benefit levels, and stops the erosion of benefits that has gone unchecked since 1996. It expands the Fresh Fruit and Vegetable Program created by Harkin to reach nearly 4.5 million children in elementary schools nationwide.

The bill’s livestock title will promote market opportunities for producers; it will protect animal health; and it will strengthen enforcement of the Packers and Stockyards Act. This title strengthens the mandatory Country of Origin Labeling, with minor changes.

The rural development title provides $400 million in budget authority for a variety of initiatives that will promote economic growth and create jobs in rural communities. This title will help agriculture producers and small businesses to create and capitalize on new opportunities. It will bring quality, affordable day care as well as improved access to broadband to rural America. It will provide loans to rural hospitals so that they can acquire the best equipment possible.

The bill greatly increases assistance to growers of fruits, vegetables and other specialty crops.

To view the chairman’s mark of the bill and amendments that were accepted by the Committee, please visit
http://agriculture.senate.gov/.

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Farm bill passes out of Senate Ag Committee

There will be a teleconference with Sen. Tom Harkin at 2 pm Eastern to discuss passage of the farm bill by the Senate Agriculture Committee. I'll have some audio for you later. Also thoughts from industry lobbyists. Time to start tallying up the dollars in this farm bill for specialty crops, and what potential trade-offs are in play.

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Mid-term report - Fruits & Veggies - More Matters

So how is the new campaign to increase produce consumption doing? That will be my poll question this week, and I'm not quite sure what to expect from our readers. Is the launch of Fruits & Veggies - More Matters where the industry thought it would be at this point? "5 a Day" was such an ingrained message for so many years it still may be hard to let it go, and no measure of success for "More matters" may be enough for some. I have heard one person say he hoped for a "harder" launch of the brand message, and others may not be in love with the "juggler" image. Yet, despite the disconcerting news of a "Meat Matters" campaign (more on that later) there are signs the campaign is coming into its own. For your consideration I have provided some input from PBH on the subject of the launch.

A few weeks ago Elizabeth Pivonka sent me the mid-year report for the Board of Trustees for the Produce for Better Health Foundation. Dated September, the 14-page pdf file examines the launch of the Fruits & Veggies - More Matters campaign. Here is the opening letter from Elizabeth and Michael O'Brien that is found in the document.

From the report:

The beginning of 2007 marked the launch of Fruits & Veggies—More Matters™: a national health initiative that has the promise of making increased consumption of fruits and vegetables a reality for everyone. The launch was a success in garnering a great deal of media attention to help generate consumer awareness of the new initiative and now the hard work lies before us. The new Fruits & Veggies—More Matters brand will need strong, active support on many fronts to provide moms with the assistance they need to make eating
more fruits and vegetables a reality for their families. PBH with its national partners is committed to spreading the word to the consumer through key influencers, including the media, nutrition professionals and classroom educators. Producers, processors, and retailers can build on and increase the momentum by working to translate consumer awareness into
action where purchasing decisions get made, at point of sale. We encourage all fruit and vegetable stakeholders to put the Fruits & Veggies—More Matters platform to work to strengthen your customer relationships and to help grow your produce sales. Retailers, remember the basics: feature the new brand in advertising every week, update your point of sale material including signage and bags, and harness the power of the internet by updating and linking your website. Then work with your colleagues across the aisle from the produce
department to get the new brand executed for all forms of fruits and veggies, including frozen, canned, dried and 100% juice. Suppliers, the new brand presents the same kind of relationship-building opportunities to you. Use the new brand to promote your brand with package labeling, advertising and promotions, and website content and links. And you can leverage your marketing dollars with the millions being invested by other licensees.This mid-year report demonstrates that Fruits & Veggies—More Matters is off to a great start. However, more support for the new brand really does matter, to our companies, to our industry, to our consumers and to our nation’s health. Together we can make 2007 and future years be the time for the consumption needle to move resulting in a healthier America!
Thank you for your continued support of PBH’s mission.

Michael F. O’Brien
Vice President of Produce & Floral, Schnucks Markets, Inc.
Chairman of Produce for Better Health Foundation

Elizabeth Pivonka, Ph.D, RD
President and CEO, Produce for Better Health Foundation
Joint Letter from Chairman and President



More notes from the report:

PBH secured CARMA, a third-party media analysis provider, to assess the success of the Fruits & Veggies—More Matters launch. Between February 1-May 10, 2007 there were a total of 727 stories resulting in 45 million consumer impressions.
Consumers claimed they learned of 5 A Day primarily through the media, supermarkets, and packaging, so assuring that Fruits & Veggies—More Matters begins to replace 5 A Day and
allow for consumer exposure to this more relevant message is important. Through May, 2007 nearly 500 SKU’s have been approved to carry the Fruits & Veggies—More Matters brand logo.
Supermarket Retailers delivered an estimated 600 million consumer ad impressions from January 2007 through June 2007 in their circulars alone.

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Reds then and now

U.S. Red Delicious Retail Prices - http://sheet.zoho.com

Average prices above from U.S. Department of Commerce. Below are ad prices from the USDA's National Retail Report

Apples, red delicious

Stores with ads from 10/19 to 10/25: 5,283
Average Weighted price: $1.07

Previous week:
Stores with ads: 3,992
Average weighted price: $1.04

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Wednesday, October 24, 2007

Brown bagging it

Retailers are no slouches when it comes to responding to their customers. As Americans becoming increasingly concerned about a potential recession, as existing home sales stumble to new lows and budgets are stretched tight by higher food and fuel costs, the latest food ad from Hen House in KC proclaims "Brown baggin' is back!" The ad special is $9.99 for 10 ounces of honey maple turkey, 5 ounces of Vermont cheddar cheese, a 20-ounce loaf of Wonder bread, 4-pack of Hunt's fat free pudding, two and a half pounds of bananas and 12 pack of Ozarka 8 ounce bottles.

Other Hen House produce ads: (Oct. 24- Oct. 30)
Stemilt certified organic Pinata apples; $1.99/lb
Wash. ExFcy premium fuji apples: $1.29/lb
Jumbo red scarlotta seedless grapes from Sun World: $1.69/lb
Hosei Asian pears: 99 cents each
Late Howell cranberries: 2 12 ounce packages for $4
Honeycrisp apples from Honeybear Orachards in Wash. $1.99/lb
Dole salad blends: 2 for $4 7 to 10 ounce, selected varieites


Dillons: Oct 24-Oct. 30
Bananas: 2 lbs for 88 cents
Jack O Lantern pumpkins: 3 for $10
New crop jonathan or gala apples: $1.49/lb
New crop in shell peanuts: $1.49/lb
Nature sweet cherry tomatoes: 2 for $6
Honeycrisp or Ambrosia apples: $2.49/lb
Jumbo Del Monte Gold pineapple: 2 for $6
New crop Wonderful pomegranates: 2 for $4


HyVee Oct. 24-Oct. 30
Honeycrisp apples: $1.99/lb
Columbine seedless holiday red grapes: $1.99/lb
Stemilt Taylor Gold and Concorde pears: $1.68/lb
Brussels sprouts: $1.28/lb
Capital brand roma tomatoes: $1.99/lb
Mountain King Butter Gold potatoes: $1.99/5-pound bag
Dole California celery: 88 cents
Dole salad kits: 2 for $4: 10 to 12.5 ounces
Kandy honeydew melon: $2.88 each
Mini sweet watermelon: $3.48 each
Peru sweet onions: 88 cents/lb
South African seedless oranges: 99 cents/lb
Santa Sweets: organic grape tomatoes: 2 pints for $5
Del Monte Orchard Select or Sunfresh fruit: 2 24 ounce for $5
Grimmway carrots: 2 lb bag for 88 cents
Washington jonathan apples: 88 cents/lb
Green cabbage: 38 cents/lb
Ripe hass avocados: 3 for $4

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Bright and early

Senators and staff are earning their money this week. A 9 a.m. start tomorrow...

WASHINGTON D.C. – Senators Tom Harkin (D-IA) and Saxby Chambliss (R-GA), the Chairman and Ranking Member respectively of the Senate Committee on Agriculture, Nutrition and Forestry, announced they will continue the open business meeting of the Committee to consider and report out the 2007 farm bill, the Food and Energy Security Act. The meeting will continue Thursday, October 25, 2007 at 9:00 a.m. EDT in room 328A of the Russell Senate Office Building.

Due to space constraints in the hearing room, reporters must sign up with one of the contacts listed above and should be prepared to view the proceedings from an overflow room.

Live video footage of the proceedings will be available at www.agriculture.senate.gov.

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Late night with the Senate Ag Committee

Lorelei DiSogra of United reports that the markup session of the Senate Agriculture Committee will stretch late into the day and perhaps the evening. There have been quite a few amendments offered on Title I programs, particularly dairy - despite the fact that the committee doesn't have a lot of money to play with beyond what is already outlined in the markup.

Still uncertain is when the committee will vote out the farm bill and when the full Senate will take it up. Expect to see some move to offer AgJobs on the Senate floor. Lorelei did assure me that the money for the fruit and vegetable snack program - about $1 billion over five years - is mandatory.

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Sen. Tom Harkin's opening statement

Statement of Senator Tom Harkin (D-Iowa)
To the Senate Committee on Agriculture, Nutrition, and Forestry
On the Chairman’s Mark of the 2007 Farm Bill


“Good morning. After months of hard work and spirited negotiations, I am pleased to present to the committee the Chairman’s mark of the 2007 farm bill, The Food and Energy Security Act.
“First things first, I’d like to thank my committee colleagues for their assistance in shaping this bill. In particular, I’d like to thank our Ranking Member, Senator Saxby Chambliss, for his leadership and partnership on the committee.
“This is a bipartisan bill that, I believe, will enjoy broad support on the committee. It conforms to a strict budget allocation and pay-as-you-go budget rules, yet still addresses the diverse geographical and philosophical views on our Committee in a balanced way. I would like to thank Chairman Conrad of the Budget Committee and Chairman Baucus of the Finance Committee for their help in making this possible.
“There are significant achievements in this bill. It is a forward-looking bill that makes critical investments in energy, conservation, nutrition, rural development and promoting better diets and health for all Americans. It maintains a strong safety net for farm producers, and strengthens programs that will help agricultural producers of all kinds across our nation.
“The commodities title of the proposal continues basic features of the 2002 bill, which have worked well, and it gives producers a new option, beginning in the 2010 crop year, to choose to participate in a state-level revenue protection system. The program offers producers better options for managing their farm’s risk in today’s uncertain, rapidly changing farm environment. The bill greatly increases assistance to growers of fruits, vegetables and other specialty crops.
“In the nutrition title, we strengthen our commitment to fighting hunger and promoting sound health and nutrition. We update archaic nutrition program rules, increase Food Stamp benefit levels, and stop the erosion of benefits that has gone unchecked since 1996. We expand the very popular Fresh Fruit and Vegetable Program to reach nearly 4.5 million children in elementary schools nationwide.
“The conservation title has an estimated $4 billion in new budget authority. This will allow CSP – now renamed the Conservation Stewardship Program – to grow vigorously at a pace of more than 13 million acres a year, which with the 15 million acres already enrolled, will equal 80 million acres in 5 years. This funding will also continue to allow enrollment in the Wetland Reserve Program and the Grassland Reserve Program. We devote $165 million to help fund the cleanup of the Chesapeake Bay. This is a very strong conservation title, despite severe budget limits.
“In the energy title, we provide $1.1 billion in investments in farm-based energy. The Chairman’s mark supports programs to help farmers to transition into biomass crops, and supports the construction of biorefineries from cellulose ethanol with a loan guarantee program that will provide up to 80 percent of total project cost with a loan cap of $250 million. I would like especially to thank Senators Amy Klobuchar and John Thune for their strong support of these efforts. We expand markets for biobased products, and invest in farm-based energy R&D, and in helping farmers, ranchers and rural small businesses move to renewable energy and energy efficiency.
“The bill’s livestock title will promote market opportunities for producers; it will protect animal health; and it will strengthen enforcement of the Packers and Stockyards Act. This title includes the House compromise on mandatory Country of Origin Labeling, with minor changes.
“In the rural development title, we have provided nearly half a billion dollars for a variety of initiatives that will promote economic growth and create jobs in rural communities. This title will help agriculture producers and small businesses to create and capitalize on new opportunities. It will bring quality, affordable day care as well as improved access to broadband to rural America. It will provide loans to rural hospitals so that they can acquire the best equipment possible.
“Overall, this new farm bill will be good for farmers, good for rural communities and good for the environment. It will promote the health as well as the energy security of the American people. And, as I said, it does all this within a strict budget allocation and pay-as-you-go budget rules.
“Once again, I’d like to thank Ranking Member Chambliss for his leadership and cooperation in bringing this Chairman’s mark to the committee. And I now yield to him for his opening statement.”

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