Reports of note

Readers may want to check out a couple of reports that have come to my attention. Here is a link to a recently publicized report about mandated marketing programs in California. Author Hoy Carman, writing for the journal California Agriculture, says the reach of mandated programs is expansive:

In 2004, mandated marketing programs covered California commodities ranging from 96.6% of the value of fruit and nut production to 8.3% of nursery and floral production (table 1). As of June 2006, California’s 63 active marketing programs included 11 federal marketing orders, 29 state marketing orders and agreements, 20 commissions, and 3 councils.

TK: From the concluding graph, about trends in mandated programs:

California farmers continue to rely on mandated marketing programs for solutions to their marketing problems and as a competitive tool to improve crop returns through demand expansion programs. Forward-looking producer boards appear to be emphasizing customer satisfaction in designing action programs. New commodity research programs on health and
nutrition are providing information desired by health-conscious consumers, which is also effective for promotion activities. Mandatory food-safety programs for pistachios and almonds offer benefits to both producers and consumers. Finally, the market information program initiated by HAB is an innovative development based on the latest information technology, which is designed to increase marketing efficiency by smoothing the flow of avocados through the distribution network to retail customers. If this program is successful, the model has the potential to be extended to other commodities and countries, with benefits flowing to producers and consumers worldwide.

TK: In another realm, Willard Bishop has recently published a "quick and dirty" analysis of "Fresh & Easy" in the Phoenix market. The report, authored by Jim Hertel, states that 20% of fresh items in a pair of Phoenix stores were out of stock. Demand forecasts have not tracked actual sales in computer ordering of fresh items, the study says.

A summary of the Mintel Group report about organic demand in the U.K. states that "health is the main driver for organic purchase and the Newcastle University study that offers more conclusive proof that organic food is healthier than standard food is likely to provide the biggest boost to the organic food industry for some time." That seems to be an astounding statement, and I wanted to see the Newcastle study in greater detail. One problem; the study has not yet been released. More coverage coming on this in The Packer....