Showdown

"I can't see calling the committee back together to pass an extension...if he vetoes the bill, looks like we will be back on the '49 act." Those are the words of Sen. Tom Harkin in an afternoon press conference.

Meanwhile, Earlier in the day, Agriculture Ed Schafer said President Bush will veto the bill and the Administration would like a two year extension of the current farm bill. And he said the Administration will work to sustain the veto -the veto pen won't be brought out just for political effect. Next week could be one of the more interesting weeks we have seen in farm policy in quite some time.....

National Retail Report - May 9

The May 9 USDA National Retail Report offers insight into current promotional trends at the retail level. From the summary:

Mother’s Day was the focus of most retail ads this week. Retailers highlighted gift items and breakfast foods for the occasion. These included: potted and fresh cut flowers (especially roses by the dozen), chocolates, and strawberries. In addition to Mother’s Day, ads breaking on the weekend continued to highlight the Cinco de Mayo celebration. Many ads also featured party platters, baked goods, meats, and fresh vegetables for graduation celebrations and cook-outs. Overall fresh produce ad activity was down 15% from last week with fruits down 25% and vegetables down over 6%. The top 5 featured items were strawberries, corn, tomatoes on the vine, sweet onions, and pineapples. The bulk of both fruit and vegetable ads were heavily concentrated on just a few items. Strawberries, both conventional and organic, accounted for more than 25% of all fruit ads. The combination of conventional and organic strawberries, pineapples, and blueberries made up more than half of all fruit ads and nearly 21% of all produce ads. Corn, tomatoes on the vine, and sweet onions accounted for more than one-third of all vegetable ads and nearly 21% of all produce ads.

Vegas Verdict

Las Vegas was like any other convention town, except for the thousands of slot machines and the billboards touting Carrot Top, Cher and Danny Gains. Did it work for the United Fresh in 2008?

The feeling I got from exhibitors was that it did. Finding the value of the United show is what it is about.

Part of the appeal of the show relates to the timing of it. For example, one California tree fruit marketer said the show exactly met his needs because it allowed him to present some early varieties of California tree fruit in front of buyers. Thus the timing of a expo in early May was perfect. A show in October would not have the chance to build the same kind of momentum. Next year, when the show runs from April 22-24, will be a little bit earlier but still a good launching point for creating excitement for the new year.

What else constitutes the value, or unique value of the show? A couple people mentioned that United offers a less hectic, more intimate experience than the whirlwind of a PMA. There may well be more buyers at the PMA, the thought goes, but you may not get quality time with them.

Of course, everyone is curious to see what kind of effect there will be next year when the FMI show and United are not co-located. That will be the test, many believe. If having FMI in the same exhibit hall in previous years was an advantage, it stands to reason the show may lose something if that tie goes away.

It is clear that United has invested considerable staff effort and resources to the event. One exhibitor said that of the 17 conventions she attended in the past year, none reflected more effort by the organizing staff than the United show in building excitement and passing on information. Bringing in foodservice and retail buyers for the awards banquet clearly is intended to help boost the buyer presence at the show, and that's a winning strategy.

As one produce marketer told me, buyers are the only reason they will decide to exhibit at the show. That keeps the pressure on United for the 2009 show, but clearly most who did exhibit in 2008 feel the show has earned their trust.

Wal-Mart's Hispanic community store

This link tells the story of what is being called the first Hispanic themed Wal-Mart Supercenter. From the story:


In Garland, Texas, today, Wal-Mart opened its first superstore targeted to Hispanic customers. Wal-Mart wanted to meet the need of the surrounding community. It's stocked with tortillas, Spanish movies and games. Stacey Vanek-Smith reports.

Scott Jagow: Wal-Mart closed its original hyperstore in Garland, Texas, yesterday. That was the first one that combined food and retail. But it won't be closed for long. It's reopening today as the company's first Hispanic Community Store. Stacey Vanek-Smith has more.

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Stacey Vanek-Smith: The Garland Wal-Mart will offer fresh tortillas. Spanish-language music, movies and games will be the rule. And the in-store bank will specialize in money transfers. It might seem strange to rebrand a store when the economy has hit the skids, but it's smart timing says Phil Lempert, editor of Supermarketguru.com

Phil Lempert: When a bad economy hits, what you've got is people looking for value. And value isn't just price. It's a combination of price and service and quality and relationship. And if you can put together that right formula for a big enough group of people, you're going to be successful in a recessionary time.

Lempert says supermarkets are madly trying to distinguish themselves. He says Whole Foods has done a great job appealing to the wealthy, health-conscious crowd, and supermarket chain Vons is working to match individual stores to local clientele. And now, he says, Wal-Mart is catching up, catering to the booming Latino market.

TK: More coverage here on the store from Progressive Grocer.