Retail Sales Analysis: Virus and Economic Pressure Keep Retail Produce Sales Highly Elevated (Aug. 5)
More than four months after the big spikes in grocery sales at the start of the pandemic, CPG sales continue to track well ahead of the 2019 baseline. More than half, 56%, were extremely concerned about COVID-19 this week, according to the IRI survey of primary grocery shoppers. This is the highest share among shoppers since the first week of May.
More than one-third of Americans said they were more concerned now than they were last week, driven by residents of California (49%), Texas (46%) and Florida (42%). This heightened concern is further delaying the recovery of foodservice sales.
Additionally, many shoppers are dealing with financial pressure. In IRI’s survey this past week, 30% of primary grocery shoppers say their financial situation is a little or a lot worse off than it was a year ago.
Download the full report to read more.
Retail Sales Analysis: Strong Everyday Demand Drove Double-Digit Gains for Produce in Mid-July (July 31)
After weeks of growing transactions and spending in the foodservice channel, the rising number of COVID-19 cases around the country prompted many states to reinstate in-restaurant dining restrictions and limit capacity once more. Hand-in-hand with rising consumer concern, limited restaurant engagement caused dollars to shift back to the retail channel across food categories, including fresh produce. Retail food sales increased 13.7% versus year ago during the week ending July 19 — its highest gain during a non-holiday week since mid-May. 210 Analytics, IRI and PMA partnered to understand fresh produce sales at retail throughout the pandemic.
Download the full report to read more.
Retail Sales Analysis: First of Eight Non-Holiday Weeks Shows Strength in Produce Demand (July 21)
Grocery sales have trended above 2019 levels since the second week of March. Gains during non-holiday weeks had been experiencing some erosion in what seemed to be a slow march back to normal — only interrupted by big spikes during holiday weeks. However, the mounting number of COVID-19 cases around the country is prompting many states to revert to stricter social distancing measures. In some cases, this includes closing in-restaurant dining altogether once more. In others, dine-in capacity restrictions have been sharpened. This resulted in retail food sales increasing 10.7% versus year ago during the second week of July, a point higher than the last non-holiday week in late June.
Elevated every day demand drove sales gains of 11.0% over year ago for fresh produce during the week ending July 12 — the highest in several weeks. Frozen and shelf-stable fruits and vegetables had higher percentage gains but off a smaller base, with particular strength for frozen, at +22.3%. Year-to-date, fresh produce sales are up 10.9% over the same time period in 2019. Frozen fruit and vegetables increased the most, up 27.9% year-to-date. This is in spite of limited assortment of frozen vegetables and fruit, down -6.2% in average items per store selling. Download the full report to read more.
Organic Produce Amid COVID-19 (July 17)
When the pandemic arrived in March, supply chains were disrupted. The demand from the foodservice channel was brought almost to a complete halt, right at a key seasonal production transition period. Demand for the top selling fresh produce items skyrocketed and consumers were not as discernible when it came to buying organic versus conventional.
During the pandemic through the week ending June 14, organic produce increased 16.4% in dollars, outpacing total produce gains, at +16.2%. However, the organic gain is calculated on a much smaller base. In fruit, organic grew at almost twice the rate of growth of total produce during the four-week block ending June 14. In vegetables, organic gains trended below those of total vegetables throughout the pandemic.
Download the full report to read more.
A Conversation on Traceability (July 16)
Updates on the Produce Traceability Initiative
The Produce Traceability Initiative (PTI) recently released an updated guidance document on labeling titled Harmonized Case Label, an update to the guidance document on sharing Advanced Ship Notices labeled Why and How to Use EDI 856 Advance Ship Notes/Manifest Transaction Set (ASN) and a template for sharing traceback data with regulators. Each document includes important updates and recommendations for improving traceability in the fresh produce industry.
Harmonized Case Label
As PTI became a reality in businesses, and implementation began, PTI saw creep as to what was being requested to be on the case label. In a recognition of challenges happening within the fresh produce supply chain, the industry came together to look at the case label and truly understand what needs to be on the label for both traceability and business cases. The following changes are an outcome of that understanding.
- Regulated font size
- UPC and PLU inclusion
- A recommendation that both French and English be used on the label
- Inclusion of specific Grown In information for single commodities vs. multiple ingredients
More specific guidance and information can be found in the Harmonized Case Label document.
Why and How to Use EDI 856 Advance Ship Notice/Manifest Transaction Set (ASN)
PTI recently released updates to the document labeled Why and How to use ED 856 Advance Ship Notice/Manifest Transaction Set (ASN). The revisions and changes were made to reflect changes made in environmental standards, and the document is now aligned with the standard for the Uniform Communications Standard, with edition number 7050.
PTI Traceback Template
Understanding the struggles that the FDA experiences in understanding and validating key data elements in the paperwork they receive during a foodborne illness outbreak investigation, the fresh produce industry came together to find a way to readily and clearly communicate those data to the FDA. This came about via an Excel spreadsheet where all participants involved in an investigation can input their data in a uniform and consistent manner and forward it to investigating regulators. The template includes three tabs for receiving, shipping and transformation, which are reflective of the data that the FDA asks for during a traceback investigation and a 4th tab with the attribute definitions. The template is now available for download on PTI’s website.
FDA’s Updates on Leafy Greens
In addition to the PTI activity, the FDA released their report titled Factors Potentially Contributing to the Contamination of Romaine Lettuce Implicated in the Three Outbreaks of E. coli O157:H7 During the Fall of 2019 as well as the 2020 Leafy Greens STEC Action Plan - both documents have recommendations to the industry on how to improve traceability.
Factors Potentially Contributing to the Contamination of Romaine Lettuce Implicated in the Three Outbreaks of E. coli O157:H7 During the Fall of 2019
The recommendations in the above report include language were mirrored in the New Era of Smarter Food Safety Blueprint as well as the Leafy Greens Action plan. Those recommendations include:
- Increase the digitization of traceability interoperability and standardization of traceability records to expedite tracebacks.
- Include broader, more consistent implementation of voluntary source labeling on packaging.
2020 Leafy Greens STEC Action Plan
With respect to promoting tech enabled traceability, the FDA made the following recommendations in the 2020 Leafy Greens STEC Action Plan:
- Issuing the proposed rule of FSMA 204 records requirement for tracking and tracing designated foods, which is on schedule to be sent to the office of federal registrar on September 8.
- Prioritizing work with leafy greens stakeholders to design and initiate a pilot on concepts needed for traceability to further scale such as testing interoperability of tracing systems and public/private data sharing.
In response to the 2020 Leafy Greens STEC Action Plan, the industry continues to focus on boosting work for traceability around key data, the interoperability and the public/private data sharing. The industry has collaborated with six industry organizations (FMI, IFDA, IFT, PMA, United Fresh and GS1 US) announcing an industry led leafy green traceability pilot program to respond to FDA’s traceability recommendations and to test the utility of the produce traceback template.
2020 Produce Sales up 9% over Last Year’s Fourth of July Week (July 15)
All 2020 holidays affected by the coronavirus pandemic have seen strong sales results, from Easter and Mother’s Day to Memorial Day and Father’s Day. Several of these are big restaurant holidays during regular years and dollars shifted to the grocery channel as people celebrated at home. July Fourth is already a big at-home grilling holiday, which means beating prior year numbers is much harder. At the same time, many states re-strengthened social distancing measures, including restricting restaurant dine-in capacity once more. Concern over the virus among consumers is rising, which could have augmented holiday demand with renewed focus on cooking at home.
During the week ending July 5, elevated everyday plus holiday demand drove gains of +9.1% for fresh produce — higher than the week prior, but not as high as Father’s Day. Frozen and shelf-stable fruits and vegetables did continue to see double-digit gains, with particular strength for frozen, at +24.4%. Year-to-date, fresh produce sales are up 10.6% over the same time period in 2019. Frozen fruit and vegetables increased the most, up 28.0% year-to-date. This is in spite of limited assortment of frozen vegetables and fruit, down -6.7% in average items per store selling. Download the full report to read more.
USDA Adds Additional Specialty Crops for CFAP Direct Payments (July 9)
At the request of PMA and other industry groups, USDA announced today that it will be offering direct payments to producers of over 40 additional fruits, vegetables, herbs, roots and commodities through the Coronavirus Food Assistance Program (CFAP). The new approvals were based on comments received from agricultural producers and organizations and review of market data. USDA expects additional eligible commodities to be announced in the coming weeks.
Producers will be able to submit applications that include the new commodities on Monday, July 13, 2020. USDA’s Farm Service Agency (FSA) is accepting applications for CFAP through Aug. 28, 2020.
The following commodities were added: alfalfa sprouts, anise, arugula, basil, bean sprouts, beets, blackberries, Brussels sprouts, celeriac (celery root), chives, cilantro, coconuts, collard greens, dandelion greens, greens (others not listed separately), guava, kale greens, lettuce – including Boston, green leaf, Lolla Rossa, oak leaf green, oak leaf red and red leaf – marjoram, mint, mustard, okra, oregano, parsnips, passion fruit, peas (green), pineapple, pistachios, radicchio, rosemary, sage, savory, sorrel, fresh sugarcane, Swiss chard, thyme and turnip top greens.
In addition, seven currently eligible commodities – apples, blueberries, garlic, potatoes, raspberries, tangerines and taro – were expanded to include sales losses because of a 5 percent or greater price decline. Originally, these commodities were only eligible for marketing adjustments
Additional details can be found in the Federal Register in the Notice of Funding Availability (NOFA) and Final Rule Correction and at www.farmers.gov/cfap.
A discussion on Cyclospora and current outbreak facts (July 9)
Members of the fresh produce supply chain connected in virtual roundtables on July 8 to discuss Cyclospora, what it is, key challenges for the produce industry to protect consumers, information on the seasonal patterns of outbreaks and advancements in detection and source-tracking.
What is Cyclospora
In a poll, 33% of roundtable participants stated that they have heard of Cyclospora but don’t really know what it is. Forty-four percent of participants have a basic understanding of this human parasite but don’t know what they should be doing to prevent contamination, and 22% are up-to-date and feel confident in their understanding of preventive controls.
Cyclosporasis is an intestinal illness caused by ingesting the parasite Cyclospora cayetanensis. Cyclospora is a human specific organism that infects people through the ingestion of oocysts in food or water or contact with soil contaminated with human feces. Oocysts are not immediately ineffective but need 7-14 days to develop and become infectious.
Outbreak updates
Since 2000, there have been more than 42 outbreaks in U.S. attributed to the human parasitic pathogen Cyclospora cayetanensis. Recent cases include 2,299 confirmed cases in 2018, 2,408 confirmed cases in 2019 and 206 confirmed cases so far in 2020. There are significant challenges related to detecting the presence of Cyclospora in field samples or production water during outbreak investigations. There are currently no methods available for propagating samples in culture or in animals; however, FDA has recently validated new molecular methods for the specific detection of Cyclospora cayentanensis (there are other Cyclospora sp.) in water and multiple commodities. These new methods may increase the likelihood of finding low concentrations the oocysts in the environment.
In order to better trace and prevent outbreaks, there are several knowledge gaps that the fresh produce industry still needs to solve. These gaps include the effects of various environmental conditions that trigger the oocysts to become infectious, the causes of seasonality and how the environment (including water, soil, and produce) becomes contaminated with Cyclospora and what the full scope of vectors may be.
Geography, seasonality and patterns around outbreaks
Dr. Trevor Suslow, went into further detail about the geographic distribution, seasonality and patterns surrounding outbreaks of Cyclospora.
Cyclospora cayetanensis is considered endemic (regularly occurring in a community) in Mexico, much of South America, sporadically throughout Africa and through much of Asia. While the prevalence in the U.S. population is considered very low, multistate cyclosporasis outbreaks have been documented in the United States, sporadically throughout Europe and in Australia as well.
Of the 42 outbreaks in the U.S. since 2000, 80% hit like clockwork from late April or early May through July. Despite this timeline, many times outbreaks can span an extended timeframe beyond the shelf-keeping expectations of the implicated product meaning that there is unlikely one lot, field or single source to explain all or even majority of cases. With some cases overlapping during this seasonal timeframe, modern molecular tools will help tell related from unrelated cases, predict the geographic source and provide more protection for consumers.
The focus of research
Modern Cyclospora research focuses on prevalence in the United States and molecular sub-typing to compare relatedness of Cyclospora among cases and environmental or product samples. In 2020 researchers funded by the Center for Produce Safety will look specifically at open water sources in the Mid-Atlantic, Southeastern United States and California for the presence of C. cayetanensis.
Retail Sales Analysis: The Non-Holiday Week Brought On Sales Pressure for Fruit (July 7)
The week ending June 28 was the week in between Father’s Day and the Fourth of July, which means everyday demand alone was driving the sales numbers. Food and beverage sales remained well above last year’s levels as consumers bought for the additional at-home meal occasions, particularly breakfast and lunch. At the same time, shoppers continued to mix and match fresh with center store items, including for produce, where gains for frozen and canned remained highly elevated.
During the week ending June 28, elevated everyday drove gains of 5.8% for fresh produce — the lowest growth rate since April 19 when sales went up against the 2019 Easter holiday bump. Frozen and shelf-stable fruits and vegetables did continue to see double-digit gains, with particular strength for frozen, at +22.0%. Year-to-date, fresh produce sales are up 10.6% over the same time period in 2019. Frozen fruit and vegetables increased the most, up 33.6% year-to-date. This is in spite of limited assortment of frozen vegetables and fruit, down 13.1% in average items per store selling. Download the full report to read more.
Preparing the Fresh Produce and Floral Industry for the Next Wave of COVID-19 (July 1)
Members of the fresh produce and floral supply chain connected in a virtual town hall on July 1 to discuss the global impact of COVID-19, and how our industry can prepare for the next wave.
PMA Chief Science Officer, Max Teplitski, Ph.D., led a Q&A session with Brenda Jacklitsch, Research Health Scientist and Coordinator of the Small Business Assistance Program, U.S. Centers for Disease Control and Prevention (CDC); Dr. Johan C.I. Kuylenstierna, SEI Research Leader, Stockholm Environment Institute – York Centre; and Dr. Juan Leon, Associate Professor of Epidemiology, Rollins School of Public Health, Emory University to share reliable data on the spread and global impact of COVID-19, and to discuss how that data can help us prepare for the next wave.
How does COVID-19 spread?
SARS-CoV-2, the virus that causes COVID-19, is thought to spread mainly from person to person via respiratory droplets released when a person talks, sneezes, coughs, etc. within six feet of another person. It is important to note that the virus can be spread through asymptomatic individuals, or people who are not showing symptoms of the virus.
Though there is data showing that the virus can spread through contaminated surfaces or objects, the CDC and other regulatory agencies maintain that there is no evidence showing that COVID-19 is foodborne.
A global update
Dr. Leon stated that he finds deaths per population to be a good indicator as to how any one region or country is handling the outbreak. In Latin America, lockdowns were put in place starting in January to give health systems and other industries a chance to prepare for what’s ahead. Looking at the mortality rate of each country, in conjunction with other contexts such as population numbers and testing numbers will give each of these countries a good idea as to how successful their lockdowns were in preparing them.
Sweden took a different approach from Latin America, and much of the rest of the world, by having the public health service allow the virus to spread in a controlled way, protecting vulnerable groups and ensuring the health system wasn’t overwhelmed. While Sweden did not go into a complete lockdown, all domestic flights and care home visits were closed, and 60-80% of the population worked from home. This approach had varied success. Sweden saw a lower death rate than some of the larger countries such as the UK, however it still had a higher death rate than surrounding countries such as Norway, Denmark and Finland.
For more in-depth tracking data and information from country to country, see the University of Oxford’s ourworldindata.org and University of Washington’s healthdata.org.
How can we prepare?
Some governments have used the source of an outbreak in a market in Beijing, China (a cutting board used to cut imported Salmon), as an opportunity to try to require “COVID-free certificates” for food imports. As a result, trade associations and industries across the globe have worked to find other ways to show the safety of their food such as signed assurances that they are complying with food and worker safety guidelines and continued assurance that COVID-19 is not foodborne.
Other ways that countries have worked to assure the safety of their products include implementing agricultural guidelines to help organizations know what to do and how to handle the changes that are occurring. Leaders among these guideline implementations include Colombia; the indigenous community based in Lima, Peru, the Caribbean and other Latin American countries.
Finally, for grocery stores and retail establishments, the CDC recommends that employers have a plan in place for employees that includes three broad activities to decrease the spread and lower the impact of COVID-19 in the workplace. Here are the three recommended activities:
- Prevent and reduce transmission among employees,
- Maintain a healthy work environment and
- Maintain healthy business operations
For more comprehensive data, insights and guidance on how our industry can prepare for the second wave of COVID-19, view the full recording.
Preparing the Fresh Produce and Floral Industry for the Next Wave of COVID-19 (July 1)
Members of the fresh produce and floral supply chain connected in a virtual town hall on July 1 to discuss the global impact of COVID-19, and how our industry can prepare for the next wave.
PMA Chief Science Officer, Max Teplitski, Ph.D., led a Q&A session with Brenda Jacklitsch, Research Health Scientist and Coordinator of the Small Business Assistance Program, U.S. Centers for Disease Control and Prevention (CDC); Dr. Johan C.I. Kuylenstierna, SEI Research Leader, Stockholm Environment Institute – York Centre; and Dr. Juan Leon, Associate Professor of Epidemiology, Rollins School of Public Health, Emory University to share reliable data on the spread and global impact of COVID-19, and to discuss how that data can help us prepare for the next wave.
How does COVID-19 spread?
SARS-CoV-2, the virus that causes COVID-19, is thought to spread mainly from person to person via respiratory droplets released when a person talks, sneezes, coughs, etc. within six feet of another person. It is important to note that the virus can be spread through asymptomatic individuals, or people who are not showing symptoms of the virus.
Though there is data showing that the virus can spread through contaminated surfaces or objects, the CDC and other regulatory agencies maintain that there is no evidence showing that COVID-19 is foodborne.
A global update
Dr. Leon stated that he finds deaths per population to be a good indicator as to how any one region or country is handling the outbreak. In Latin America, lockdowns were put in place starting in January to give health systems and other industries a chance to prepare for what’s ahead. Looking at the mortality rate of each country, in conjunction with other contexts such as population numbers and testing numbers will give each of these countries a good idea as to how successful their lockdowns were in preparing them.
Sweden took a different approach from Latin America, and much of the rest of the world, by having the public health service allow the virus to spread in a controlled way, protecting vulnerable groups and ensuring the health system wasn’t overwhelmed. While Sweden did not go into a complete lockdown, all domestic flights and care home visits were closed, and 60-80% of the population worked from home. This approach had varied success. Sweden saw a lower death rate than some of the larger countries such as the UK, however it still had a higher death rate than surrounding countries such as Norway, Denmark and Finland.
For more in-depth tracking data and information from country to country, see the University of Oxford’s ourworldindata.org and University of Washington’s healthdata.org.
How can we prepare?
Some governments have used the source of an outbreak in a market in Beijing, China (a cutting board used to cut imported Salmon), as an opportunity to try to require “COVID-free certificates” for food imports. As a result, trade associations and industries across the globe have worked to find other ways to show the safety of their food such as signed assurances that they are complying with food and worker safety guidelines and continued assurance that COVID-19 is not foodborne.
Other ways that countries have worked to assure the safety of their products include implementing agricultural guidelines to help organizations know what to do and how to handle the changes that are occurring. Leaders among these guideline implementations include Colombia; the indigenous community based in Lima, Peru, the Caribbean and other Latin American countries.
Finally, for grocery stores and retail establishments, the CDC recommends that employers have a plan in place for employees that includes three broad activities to decrease the spread and lower the impact of COVID-19 in the workplace. Here are the three recommended activities:
- Prevent and reduce transmission among employees,
- Maintain a healthy work environment and
- Maintain healthy business operations
For more comprehensive data, insights and guidance on how our industry can prepare for the second wave of COVID-19, view the full recording.
Retail Sales Analysis: Father’s Day Provided Big Boost for Produce Sales (June 30)
The week ending June 21 was Father’s Day weekend, and it resulted in a significant boost for fresh produce, both fruit and vegetables. At the same time, the demand for center-store items, including frozen and canned fruit and vegetables, also remained strong. This points to consumers still celebrating special occasions at home in addition to the many more at-home everyday meal occasions.
As a result, grocery sales, and produce along with it, remained well above the 2019 base line. In fact, the fresh perimeter (meat, bakery, deli, produce, seafood and floral) doubled last weeks’ growth rate, at 19.1% for the week ending June 21 — three percentage points higher than the total store growth rate. Download the full report to read more.
Organic Produce Amid COVID-19 (June 29)
Organic fruits and vegetables continue to maintain a strong position to total fresh produce sales at 9% of total. However, prior to the pandemic (early March) the organic produce share was 9.6% of total. So while organic produce is growing in dollar sales the category has lost some positioning due to the persistent deflation within the category. Download the full report for more information.
USDA and FDA Reconfirm the Safety of Food from COVID Transmission (June 25)
WASHINGTON, June 24, 2020 – Today, U.S. Secretary of Agriculture Sonny Perdue and FDA Commissioner Stephen M. Hahn, M.D., issued the following statement regarding food export restrictions pertaining to COVID-19:
“The United States understands the concerns of consumers here domestically and around the world who want to know that producers, processors and regulators are taking every necessary precaution to prioritize food safety especially during these challenging times. However, efforts by some countries to restrict global food exports related to COVID-19 transmission are not consistent with the known science of transmission.”
“There is no evidence that people can contract COVID-19 from food or from food packaging. The U.S. food safety system, overseen by our agencies, is the global leader in ensuring the safety of our food products, including product for export.”
Background:
The U.S. Centers for Disease Control and Prevention (CDC), in conjunction with the U.S. Occupational Safety and Health Administration (OSHA), has issued guidance for manufacturing facilities, including food facilities, specific to controlling the spread of COVID-19 between workers. But the COVID-19 guidelines from CDC and OSHA are separate and distinct from the food safety requirements that all U.S. food facilities must follow to ensure food safety.
Retail Sales Analysis: Fresh Produce Gains Remain in Double Digits (June 23)
While summer sales patterns are in full swing, demand for fresh, frozen and canned produce continues to shift. Consumers increasingly have the opportunity to dine out and many are fatigued with their tried-and-true recipes. Restaurant transactions and spending gained back ground during the second week of June, but grocery sales, and produce along with it, remained well above the 2019 base line. This is in spite of going up against the Father’s Day 2019 sales bump that fell one week earlier than in 2020.
During the week of June 14, elevated everyday demand drove high gains for fresh, frozen and shelf-stable fruits and vegetables. Fresh produce year-over-year growth for this week versus the comparable week in 2019 increased 9.8%, down several points from the week prior. Year-to-date, fresh produce sales are up 10.6% over the same time period in 2019, a steady hold from prior week. Frozen fruit and vegetables increased the most, up 22.7%. This gain is in spite of limited assortment availability for frozen vegetables and fruit, down 9.0% in average items per store selling. Download the full report to read more.
Retail Sales Analysis: Three Months In, Fresh Produce Gains Remain in Double Digits (June 17)
The first week of June marks three full months of coronavirus-related shopping patterns. While restaurant competition for the food dollar is gearing up, grocery sales remained highly elevated. Additionally, trends in trips, basket size, product selections and channel choices continue to change as pandemic shopping develops. This results in an ever-changing demand landscape for fresh produce, and frozen and canned fruits and vegetables along with it.
During the first week of June, elevated everyday demand drove double-digit produce gains for fresh, frozen and shelf-stable fruits and vegetables. Fresh produce year over-year growth for the week of June 7 versus the comparable week in 2019 increased 13.2%, the exact same gain as the week prior. Year-to-date, fresh produce sales are up 10.5% over the same time period in 2019. Frozen fruit and vegetables increased the most, up 22.3%. This gain is in spite of limited assortment availability for frozen vegetables and fruit, down 9.5% in average items per store selling. Download the full report.
USDA to Host Webinar on the Use of the International Trade Data System When Importing Specialty Crops (June 15)
The U.S. Department of Agriculture (USDA) Agricultural Marketing Service (AMS) will host an online webinar on Tuesday, June 16, 2020, from 1 to 3 p.m. ET to highlight new procedures for submitting documents required for importing specialty crops into the United States. U.S. Customs and Border Protection (CBP) will also participate. The trade community is highly encouraged to participate.
Interested parties can join the webinar online or by phone at (669) 254-5252 or (646) 828-7666. AMS will post a recording of the webinar to its website following the live event.
A Conversation on Food Waste and How Technology Can Help (June 11)
Members of the fresh produce and floral supply chain connected in virtual roundtables on June 10 to discuss fresh produce retail sales and technologies to reduce food loss and waste.
In a continuation of the food waste conversation from the June 10 virtual town hall general session, PMA Vice President, Technology, Vonnie Estes sat down with a panel of industry members from Ripe.io, Food Waste Free United and Zest Labs, to discuss the largest contributors to food waste and loss, what can be done to combat it, and how COVID-19 has impacted food waste reduction efforts.
Food Waste Contributors
Panelists largely agreed that much of the fresh produce industry’s food waste happens within the supply chain: 15-20% of food loss happens when product is moving from the production/packaging facility to the retailer or foodservice facility.
The reason for so much food waste at the supply chain level has to do with spoilage. Without the proper information or data about a product, fresh fruits and vegetables can often sit in damaging temperatures, be handled in rough environments or take too long to get to their destination. If the product does not meet quality levels when it reaches the retailer or foodservice facility, it will never make it to the consumer.
What’s to be Done?
Solving food loss and waste is a complex issue that involves the entire ecosystem of our industry and will not happen overnight. During the roundtable, panelists called for measurement, transparency and collaboration as key components in reducing food waste. In order to know that your organization is taking the right steps to combat food waste, and to celebrate victories, you need to have transparency within your process and benchmarks to measure against.
The use of data, forecasting and an integrated supply chain approach can help bring down food waste dramatically. Data and forecasting help achieve a more consistent and predictable shelf life for products. Field sensors and data collection technologies, such as blockchain, can help forecast and share information on the shelf life of products as they move through the supply chain towards the end consumer.
COVID-19’s Impact
Before COVID-19, consumer awareness of the fresh produce supply chain was low. The pandemic has brought awareness not only to our industry, but has also highlighted the fragility of some parts of our supply chain. With this rise in awareness, panelists are optimistic that consumers will help further drive change within food loss and waste.
This is part of a series of weekly PMA virtual events designed to provide up-to-date information and opportunities to connect and discuss throughout the COVID-19 pandemic. The next virtual town hall and virtual roundtable will be held next Wednesday, June 17.
Retail Sales Analysis: Robust Vegetable Sales Drove Another Double-Digit Week for Fresh Produce (June 9)
Restaurants in many states have started to reopen dine-in facilities with social distancing measures in place, with subsequent improvements in reservation and transaction metrics and continued elevated engagement with takeout. This increase in produce demand from the foodservice side of the business came on top of continued elevated levels of at-home meal occasions. This results in an ever-changing demand landscape for grocery retailing as a whole, and produce along with it.
During the last week of May, elevated everyday demand drove double-digit produce gains for fresh, frozen and shelf-stable fruits and vegetables. Fresh produce year-over-year growth for the week of May 31 versus the comparable week in 2019 increased 13.2%. Year-to-date, fresh produce sales are up 10.4% over the same time period in 2019. Frozen fruit and vegetables increased the most, up 28.8%, despite continued high out-of-stocks and severely limited assortment availability for both frozen vegetables and fruit. Year-to-date growth for frozen was also +28.8% versus last year. Download the full report.
APHIS Updates Restrictions on Tomato and Pepper Imports Affected by Tomato Brown Rugose Fruit Virus (June 8)
Effective June 5, 2020, the USDA’s Animal and Plant Health Inspection Service (APHIS) is amending the restrictions for the importation of tomato (Solanum lycopersicum) and pepper (Capsicum spp.) hosts of Tomato brown rugose fruit virus (ToBRFV).
Specifically, APHIS is amending the import requirements for tomato and pepper fruit for consumption by adding restrictions for tomatoes and peppers from the Dominican Republic, France and Spain. APHIS has detected ToBRFV in tomato fruit imported from the Dominican Republic, and received official reports of the disease in France and Spain.
In summary, APHIS will require fresh tomato and pepper fruit imported from the Dominican Republic, France, Israel, Mexico, the Netherlands and Spain (countries approved to export tomatoes and/or pepper where ToBRFV is present) to be inspected to ensure it is free of disease symptoms. Read more.
Managing Through the COVID-19 Crisis: Tech Solutions for Industry Challenges (June 4)
In a continuation of the tech innovation theme from the June 3 virtual town hall general session, PMA Vice President, Technology, Vonnie Estes sat down with a group of tech startups providing products and innovations to help with challenges ranging from forecasting and data analytics to labor efficiencies and water irrigation needs.
Participants were surveyed about what the most valuable insight and/or return on a short-term (3-5 years) investment would be:
- 35% of respondents said it would be big data acquisition and analytics,
- 22% of poll respondents said it would be sustainable packaging,
- 17% said it would be extended shelf life quality,
- 13% said it would be robotics, and
- 13% said it would be precision agriculture.
When asked whether they have incorporated the use of drones or robots to improve their operation:
- 45% of respondents stated that they have incorporated neither,
- 23% were looking for more information,
- 18% were utilizing drones,
- 9% were using robots, and
- 5% were using both.
Poll respondents were also asked what they thought the biggest challenge was when incorporating new technologies into an operation:
- 29% responded that it was too costly,
- 29% responded that the technologies are not scalable to the practicalities of normal operations,
- 29% stated they thought it was other issues, and
- 12% stated that it was a lack of understanding and exposure to what is available.
In addressing these challenges, startup Bear Robotics has stated that while working to scale their operations as much as possible, managing demand has been a main challenge for them.
Arable and Aerobotics said their biggest challenge is price, but also in asking growers to consider changing the way they have been doing something for years. One participant stated the best way to work around that challenge is to provide training and to make the process of change as easy and intuitive as possible.
Arable Labs focuses on higher-value specialty crops through putting sensors in the field and processing that data back to the client. This data helps growers achieve higher yield and quality with less water, gets better time to field activities and improves labor efficiency, and provides supply visibility through forecasting of yield quality and timing. Data about the plants, weather and soil can also be used internally to better understand what’s driving outcomes for crops. Arable is focusing on providing data on factors that drive in-season outcomes for crops.
Aerobotics, a South African startup, focuses on specialty and gradable crops using drone imagery and artificial intelligence (AI) to monitor orchards at scale, tracking each tree’s health and size over time.
Aerobotics uses three engines to provide forecasting data. The map engine digitizes the farm, loading all the groves and metadata about them into the digital space. The tree engine then captures imagery of the trees and provides data on tree counts, health and size. The new fruit engine goes into further specifics for growers, using AI to count and size the fruit within a tree and predict what the size distribution and total tonnage is going to look like within a season.
Bear Flag Robotics is focusing on bringing more robotics to the fields by building autonomous technologies to make farm tractors driverless.
While Bear Flag is seeing a high demand for their services, the autonomous process is still early in the development stage, with regulations around driverless technologies still being passed and decided. There is still a lot of learning and developing to be done before autonomous technologies can move past being a service into a product available for purchase, but Bear Flag plans to offer both services and the product for farmers to put on their tractor.
This is part of a series of weekly PMA virtual events designed to provide up-to-date information and opportunities to connect and discuss throughout the COVID-19 pandemic. The next virtual town hall and virtual roundtable will be held next Wednesday, June 10.
Retail Sales Analysis: Memorial Day Week Drove Continued Double-Digit Sales Gains for Produce (June 2)
Memorial Day signals the traditional start of the summer grilling season, with meat and produce promotions typically dominating the front page of grocery circulars around the country. This year, however, the tight meat supply created a starring role for fresh produce in many of the weekly ads. Additionally, social distancing measures prompted smaller gatherings and fewer people traveling for Memorial Day, resulting in continued elevated engagement with grocery retailing, and produce along with it.
Memorial Day week, elevated everyday and holiday demand drove double-digit produce gains for fresh, frozen and shelf-stable fruits and vegetables. Fresh produce year-over-year growth for the week of May 24 versus the comparable week in 2019 increased 14.3%. Fresh vegetables, up 20.0%, continued to easily outperform fruit (+9.5%). Frozen once more had the highest gains, up 33.8%, despite continued high out-of-stocks and severely limited assortment availability for both frozen vegetables and fruit. Download the full report.
Managing Through the COVID-19 Crisis: Retail Trends, Data and Planning for the Future (May 28)
Members of the fresh produce and floral supply chain connected in virtual roundtables on May 27 to discuss produce safety as organizations prepare to return to business during the ongoing COVID-19 pandemic.
PMA Vice President, Membership and Engagement, Eastern U.S., Joe Watson provided an update and explanation of retail sales trends throughout COVID-19. Following the update, a panel of industry experts from Rijk Zwaan, Tanimura & Antle and L&M Companies joined PMA Vice President, Membership and Engagement, Richard Owen in a panel discussion, paired with audience polls, on the changes their companies have had to adapt to, how COVID-19 has affected sales and what they see for the future of produce.
Retail Sales Update
Retail produce sales surged in early March when promotions were still going on and people were panic buying, according to Watson. Towards the end of March and into early April, retailers stopped running promotions and consumers were making fewer impulse buys, leading to a dip in sales. This dip showcased that retailers needed to bring back promotions, and with the return of promotions, the end of April showed another bump in sales.
With the return of promotions and more of the economy reopening, May has seen relatively steady sales. Staple items, such as potatoes, have seen particularly strong sales throughout the pandemic, with leafy greens, such as romaine and iceberg, also showing stable, consistent sales. Luxury and seasonal commodities, such as grapes, saw inconsistent sales with dips in demand coming from consumers having less money to spend.
Reactions to the Data
All three panel participants agreed that what they have been experiencing matches the retail sales data Watson shared with the group. They highlighted that the dip in sales after consumers’ stock-up period felt much more drastic than the numbers showed, and that every grower was affected differently. The panelist from Rijk Zwaan, who is based in Europe, emphasized that while these sales trends reflect on what they are seeing in the U.S., every region across the globe is experiencing different effects, and are in different phases of reopening.
Disruption to Planning
One trend that is common trend across the globe is that all companies are seeing their planning process affected, and have to adapt what they do. The biggest disruptions have come from drastically reduced sales to the foodservice sector. Growers, shippers and processors are having a difficult time predicting what their future sales will look like as the foodservice sector starts to reopen.
This is a particular challenge for growers of commodities that cannot be easily switched from foodservice to retail, such as leafy greens. This is less impactful in Europe, where less produce is sold to foodservice. They have their own disruptions, such as transportation and labor.
Looking to the Future
Companies are responding to these disruptions in different ways. Some, who have the leeway to adjust and adapt, stay the course and continue to grow as they were before. Others are being more conservative in their planning. All of the panel participants agreed it is important to look at the data, and historical trends in terms of consumer purchasing and demand.
COVID-19’s Biggest Lesson
Flexibility was a key lesson that has been learned. Both in terms of planning crops and sales, and in terms of dealing with people, it is important to be flexible, have patience, and not panic. Our industry is about people, making connections and feeding people fresh, high-quality food. At the end of the day, we need to keep our people safe, work together and support each other.
Retail Sales Report: In the Non-Holiday Week, Fresh Produce Sales Held Their Elevated Ground (May 27)
Two months after panic purchases drove the biggest sales weeks in the history of modern grocery retailing, coronavirus-related shopping patterns for produce appear to be settling into a steady elevated trend line. In between Mother’s Day and Memorial Day, the week of May 17 was relatively free of holiday-related influences. Driven by everyday demand that sits well above the old normal, grocery sales had another good week, and fresh produce along with it.
During the third week of May, everyday demand drove double-digit produce gains for fresh, frozen and shelf-stable fruits and vegetables. Fresh produce year-over-year growth for the week of May 17 versus the comparable week in 2019 increased 16.0% — very similar to the prior week’s 17.1%. Fresh vegetables continued to easily outperform fruit, but both achieved double-digit increases. Frozen once more had the highest gains, up 48.4%, despite continued high out-of-stocks in the frozen food aisle.
Download the full report.
CFAP Direct Payment Program Now Open for Applications (May 27)
U.S. specialty crops producers can now apply for USDA’s Coronavirus Food Assistance Program (CFAP), which provides direct payments to offset impacts from the coronavirus pandemic. The application and a payment calculator are now available online and USDA’s Farm Service Agency (FSA) staff members are available via phone, fax and online tools to help producers complete applications. The agency set up a call center in order to simplify how they serve new customers across the nation. Producers in search of one-on-one support with the CFAP application process can call 877-508-8364 to speak directly with a USDA employee ready to offer assistance.
Applications will be accepted through August 28, 2020.
Through CFAP, USDA is making available $16 billion for vital financial assistance to producers of agricultural commodities who have suffered a five-percent-or-greater price decline due to COVID-19 and face additional significant marketing costs as a result of lower demand, surplus production, and disruptions to shipping patterns and the orderly marketing of commodities.
After applying and being approved, producers will receive 80 percent of their maximum total payment. The remaining portion of the payment, not to exceed the payment limit, will be paid at a later date nationwide, as funds remain available.
Producers can download the CFAP application and other eligibility forms from farmers.gov/cfap. Also, on that webpage, producers can find a payment calculator to help identify sales and inventory records needed to apply and calculate potential payments.
Additional Commodities for Approval
USDA is also establishing a process for the public to identify additional commodities for potential inclusion in CFAP. Specifically, USDA is looking for data on agricultural commodities, that are not currently eligible for CFAP, that the public believes to have either:
- suffered a five percent-or-greater price decline between mid-January and mid-April as a result of the COVID-19 pandemic,
- shipped but subsequently spoiled due to loss of marketing channel, or
- not left the farm or remained unharvested as mature crops.
More information about this process is available on farmers.gov/cfap.
Managing Through the COVID-19 Crisis: Adapting to Policies and Procedures (May 21)
A new self-check preparedness resource was created to help fresh produce growers, shippers, packers and handlers evaluate their organization’s preparedness in mitigating the spread of and preventing COVID-19 in their facilities and workforces.
Early Change
Unsurprisingly, more than 85% of poll participants stated their business created or updated their initial COVID-19 prevention and worker protection checklist within the last month.
Participants shared changes that their organizations planned and enacted early in an effort to keep everyone safe and healthy:
- extensive cleaning and sanitization of high-trafficked work spaces, with more frequent breaks for cleaning,
- stockpiling and providing individual cloth masks to workers so as not to take away from the medical industry,
- providing clear, informative and educational communications and leadership to workers,
- enacting aggressive social distancing measures in both the field and in the packing house and,
- creating a community “bubble” for workers by providing whatever supplies they needed so that they did not need to leave and put themselves at risk.
Many organizational leaders exhibited the behaviors they wanted from their employees and demonstrated the need for urgency through education and communication.
Challenges in Safety
When it comes to H2A housing for workers, it is difficult to social distance in dormitory type housing. Additionally, many workers are bused in from housing, or carpool to save money. These transportation challenges have caused issues as well, and many companies have either used more buses, or put fewer people on a bus at a time to transport them.
While many worker safety challenges stem from social distancing practices, one participant has noted an even more concerning challenge that will become more of a challenge as the summer months approach: All organizations have been requiring field workers to use face masks when harvesting, whether in the field, tunnel or shade house/greenhouse.
When harvesting in particularly hot weather, workers have found it increasingly difficult to breathe and function normally with the masks on. Depending on the environment and the product that workers are harvesting, organizations have had to provide some flexibility to workers.
In cases of harvesting in open environments, particularly where social distancing is naturally practiced, such as harvesting from bushes that create natural barriers between people, workers have been able to lower their masks below their noses to aid in breathing and functionality. Before workers leave the field they must raise their face masks back above their noses, and partake in extra sanitization.
Look to the Future
Most participants stated their organizations are moving forward with normal planting and planning procedures. There has been some drop in demand for crops used in foodservice (such as cherry tomatoes), but demand overall has been consistent with what was expected.
In terms of testing, as more regular COVID-19 testing becomes available, many companies will likely enact new measures:
- 48% of poll respondents predict their company will enact regular, proactive testing of employees
- 35% of respondents predict their company will enact reactive testing of all employees if an individual COVID-19 case is discovered
- 26% predict their company will enact reactive testing of employees based on contact tracing only, and
- 17% predict their company will enact broad testing if community or regional cases increase based on testing.
Communication and guidelines from regulatory agencies have been helpful, participants said. One participant went so far as to say surprise visits from a regulatory agency has helped their organization through verifying their protection practices.
Here are additional resources PMA members have found helpful:
Fresh Produce Sales Remained Highly Elevated at +17% Vs. Year Ago (May 18)
In the ninth week of coronavirus-related shopping, patterns continued to evolve. Between the typical Mother’s Day sales boost and shoppers flocking to the store once more to stock up on meat amid ongoing coverage of shortages, grocery sales had another good week, and produce along with it. Trip, spending and channel choices continued to be in flux and fresh e-commerce is here to stay. All these developments had significant impact on fresh produce sales.
Fresh produce gains remained highly elevated the second week of May. Fresh produce growth for the week of May 10 versus the comparable week in 2019 increased 17.1% — virtually unchanged from the prior week. Fresh vegetables continued to easily outperform fruit, but both achieved double-digit increases. Meanwhile, consumer interest in all three temperature states for fruits and vegetables continued, with dollars split between fresh, frozen and shelf-stable. Download the full report.
Members Helping Members: Data Tools and Forecasting Counsel During Uncertain Times (May 18)
We reached out to technology companies for advice as our industry grapples with the COVID-19 pandemic. Here, our contributors encourage the use of digital documentation to illustrate fluctuations in business due to COVID-19. Analysis of this data will help you understand new trends and adapt to meet future demand.
Members Helping Members: Sustainability Counsel During Uncertain Times (May 18)
We reached out to volunteer members of the PMA Sustainability Committee for advice as our industry grapples with the COVID-19 pandemic. As business leaders attempt to navigate the challenges of the crisis, it can be difficult to know how to keep sustainability values aligned with the often conflicting demands. Here, our contributors share advice on how to facilitate a creative approach to sustainability in times of uncertainty.
Managing, Handling and Disposal of PPE Associated with COVID-19 (May 14)
New handling and disposal procedures are necessary in fresh produce supply chain to maintain safety in the face of SARS-CoV-2. The specific transmission capabilities of this virus are taken into account in this article, which provides action-oriented guidelines and resources to help you generate a safe PPE handling and disposal process for your organization.
Understanding Consumers to Drive Demand: Health, Finance and Community Support (May 14)
This week’s global/grower-shipper/supply chain conversation followed the Virtual Town Hall general session’s theme of the economics of recovery. PMA Vice President, Insights & Analytics, Gina Jones provided a summary of industry reports on research and findings regarding consumer insights.
Following the update, a panel of industry experts from Limoneira, Coastline Family Farms and Fresh Insights joined PMA Vice President, Supply Chain and Sustainability, Ed Treacy in a Q&A session, paired with audience polls, on how different sectors of the global supply chain are reading and using consumer sentiment data to understand trends and plan for a future that will look very different. Here are the key themes that were discussed.
PMA Research and Findings Regarding Consumer Trends
PMA research partner Nielsen broke down consumer shopping during COVID-19 into six phases: protective health minded buying, reactive health management, pantry preparation, quarantined living preparation, restricted living and living a new normal. PMA’s Jones said consumers are transitioning from phase five into phase six.
Phase six is broken down into three possible scenarios: rebound, reboot and reinvent. If we have a recovery in the next three months, consumers will be in the rebound phase, where the focus is largely on health concerns, financial constraint, support for the community and appreciation for the essentials.
Health Concerns
Consumer focus for the next few months will largely drive their consumption and shopping habits. Due to the focus on health concerns, many consumers will shop for nutritional and immunity-boosting foods, such as fresh produce. This shift toward health concerns has also seen a trend toward more packaging. A participant poll during the roundtable found that 91% of respondents feel a preference for packaged produce will continue past the pandemic.
Most participants agreed a continued preference for packaged produce is in the future for safety and branding reasons. They also argued that while there is more packaging is being used during the pandemic, sustainability is a trend that is ingrained in consumers’ minds at this point, and there will be more sustainable packaging options coming in the future. One participant pointed out that because of this sustainability mindset, particularly in Europe, consumers want to see packaging used for a purpose and not used pointlessly.
Financial Constraint
With massive shifts in the economy and businesses taking hits, financial constraint will be a large focus for consumers coming out of COVID-19. Nielsen predicts that consumers will be risk averse for the next year, leaning more into “tried and true” brands that they trust, or discount brands that are a lower financial risk to purchase. As a result, middle-of-the-road brands may have a tough year in merchandising.
One shift retailers had to make during COVID-19 was to limit SKUs. This was largely done as a way to adjust to the lack of transportation and other supply chain challenges. When looking to keep financial constraints in mind in the future, one participant predicted consumers will crave the diversification of product that re-expanding SKUs would bring. While dropping SKUs helped with ease of business during COVID-19, more than half of poll participants agreed that retailers will likely offer an expanded selection of SKUs again.
Community Support
Nielsen predicts the aftershocks of COVID-19 will have consumers shifting to purchase more locally produced items, and participants of the roundtable agreed that local purchasing is here to stay. Participants mentioned that not only is local purchasing here to stay as a consumer trend, but many businesses also shifted to make relationships and partnerships with local growers during COVID-19, and these partnerships will not be quick to disappear.
Another consumer trend here to stay is online shopping. Nielsen states that according to Supermarket News, e-commerce accounted for roughly 2.6% of U.S. food and beverage retail sales in 2019, but the projected growth in online grocery activity would raise that sales percentage to 3.5%, or nearly $38 billion during COVID-19. The online shopping trend was on the rise before COVID-19, and the pandemic simply escalated the trend more quickly than was anticipated. This trend will continue to expand and express itself differently, creating opportunities for retailers and growers alike.
Appreciation for the Essentials
Poll respondents seemed to agree with Nielsen’s prediction that a consumer appreciation for the essentials is coming when more than half of respondents stated that they predict a downturn in organic sales. Panel participants were not as quick to dismiss the sector. As one panelist pointed out, the organics sector has a very strong and loyal following that will likely continue their purchases. Historically the sector has flexed due to factors such as supply chain and economic issues. While the demand for organics may initially dip now due to purchasing power, participants seemed confident that it will bounce back. One participant noted organics is likely to come back as a strong branding strategy, both due to its affordable luxury appeal and the story it allows the brand to tell.
This is part of a series of weekly PMA virtual events designed to provide up-to-date information and opportunities to connect and discuss throughout the COVID-19 pandemic. The next virtual town hall and virtual roundtable will be held next Wednesday, May 20.
USDA to Host Webinar for Producers Interested in Applying for Direct Payments through the Coronavirus Food Assistance Program (May 13)
The U.S. Department of Agriculture’s (USDA) Agricultural Marketing Service (AMS) will host a webinar on Thursday, May 14, 2020, at 1 p.m. ET, for producers interested in applying for direct payments authorized through the Coronavirus Food Assistance Program (CFAP). USDA is hosting this webinar to share what information is needed to apply for direct payments through CFAP, once the application period begins. The webinar is an opportunity for producers to learn about the general application process and required documentation prior to the official beginning of signup. Producers who are new to participating in FSA programs are especially encouraged to join the webinar. Register here.
COVID-19 Guided Self-Check (May 12)
This self-check guidance document is designed to help you and your team make critical business decision and enhance employee safety in the workplace. We integrated the questions that our members have been asking, and generated this as a comprehensive guide to COVID-19-related best practices and procedures in your workplace.
Retail Sales Report: Fresh Produce Sales Gains Remained in Double-Digits the First Week of May (May 11)
Two months into the COVID-19 pandemic, grocery patterns continue to evolve. Initially, trips were plentiful as consumers sought to stock up their pantries, fridges and freezers and visited multiple stores to find all the items they were looking for. In recent weeks, trips have come down while the average basket size is growing. Meanwhile, online grocery shopping continues to gain in popularity. All these developments have significant impact on fresh produce sales. Download the full report.
Distributor Announcement for USDA Food Box Program (May 8)
Today, the USDA announced the suppliers granted contracts to participate in the new Farmers to Families Food Box Program. The list of selected suppliers can be found here.
The Families to Farmers program, which has committed to providing$461 million in fresh fruit and vegetable purchases, was created by the Families First Coronavirus Response Act (FFCRA). The solicitation invited proposals from offerors (distributors, etc.) to supply commodity boxes to non-profit organizations, identified by the offeror, on a mutually agreeable, recurring schedule. USDA awarded contracts for the purchase of the agricultural products, the assembly of commodity boxes and delivery to identified non-profit organizations that can receive, store and distribute food items.
While PMA applauds the quick implementation of this new program, we would like to see additional funding be made available by USDA to expand the number of distributors and citizens the initiative is able to reach. Food insecurity did not begin with the global pandemic and will not end with it, either.
The Farmer to Families Food Box Program is a great step towards creating a blueprint for the infrastructure needed for our industry to play a crucial part in getting our fresh, healthy products to those who need it most. PMA will continue to support programs like the Farmers to Families Food Box Program and the Fresh Food Fund which provides a long-term, sustainable model for our industry to provide surplus product to foodbanks and community centers in at risk communities.
Interview with the Experts: Dr. Lee-Ann Jaykus, North Carolina State University
Dr. Max Teplitski sat down with the NCSU Distinguished Professor and Member of the National Academy of Sciences Food and Nutrition Board, Dr. Lee-Ann Jaykus to discuss when environmental sampling for SARS-CoV-2 in a food production facility is warranted, share her work on the effectiveness of fogging and technical considerations for the implementation of fogging to control foodborne pathogens. Dr. Jaykus weighs in on issues of personnel safety during fogging as well as treatment of employees with ozone and chlorine dioxide. Finally, she offers her thoughts on what else the industry could do to minimize person-to-person spread of the coronavirus.
The Economics of Recovery: Innovation, Investment and Demand (May 7)
Members of the fresh produce and floral supply chain connected in virtual roundtables on May 6 to discuss the economics of recovery as organizations prepare to return to business during the ongoing COVID-19 pandemic.
This week’s global/grower-shipper/supply chain conversation followed the Virtual Town Hall general session’s theme of the economics of recovery. A panel of industry experts from Promar, The Oppenheimer Group (OPPY) and RaboResearch Food & Agribusiness joined PMA Regional Vice President, Membership (Asia, Africa, Europe, Australia and New Zealand), Anouk Sijmonsma in a Q&A session, paired with audience polls, on how different sectors of the global supply chain are preparing to return to business and planning for a future that will look very different. Here are the key themes that were discussed.
Opportunity and Investing in Demand
There is perhaps more uncertainty now than ever, as nations and states discuss re-opening and businesses look to seize new opportunities and invest in the future. In response to a poll that was posed to attendees, about 50% of respondents stated that they are looking for guidance on when to reinvest in operations and minimize the risk of losses. One panelist stated that it is less about an exact point in time, and more about following the right due diligence process and looking for significant indicators. When looking for indicators, political and economic stability is key. Maintaining close relationships with customers and banks is especially important, as they are going to give you the best idea of where your demand, and therefore your cash-flow, is coming from.
More than 50% of participants stated they do not know where to look for information on how to estimate demand for products. The agricultural industry is, historically, in a very good position as an industry that is highly regulated and documented. While there are many powerful sources of information that trace demand for our products, it is also important to note and understand that current and historical data are of limited help in creating a forecast to help decide what to plant. With that said, it is also important to highlight many of the good sources of information that can be used right now. Regulation agencies in various countries, such as the FAO in Rome or the USDA in the United States are a prime example of this.
There are also many trade databases and research organization that track consumer and trade data. PMA has been diligently collecting and posting information from these sources, as well as our own consumer sentiment and trade data for members. This information can all be found on PMA’s COVID-19 resources page. One panelist posited that there is almost no excuse for not understanding the data. Understanding the data is an investment, just as long-term market planning is. While economies will take a downturn, they will recover. It is not a question of if, but rather when.
Innovating for the Future
The COVID-19 outbreak has forced some companies to embrace innovation to survive. An overwhelming 64% of participants responded to a poll question stating they are developing contingent plans with steps to reboot their business. A large part of creating contingency plans comes from understanding investment opportunities, emerging markets, and consumer and trade data. There are pockets of value caused by COVID-19 that businesses and entrepreneurs can look for when creating their plans to reboot their organizations.
When asked about what has changed the most and where the opportunity for innovation is in the wake of COVID-19, participants agreed that the digitization of the retail and foodservice sectors of the industry has some of the greatest potential for long-term innovation. Retail organizations have seen more than 20 million households order groceries online for the first time during COVID-19, and there is a huge opportunity to convert these new customers into long-term consumers. One panelist emphasized this point by explaining that the work from home trend is likely here to stay for many organizations, shifting many households away from eating out for a quick breakfast or lunch to eating multiple meals at home.
Another panelist pointed out opportunities for retailers based on a spike in consumer demand. With more produce being purchased more frequently, retailers have the power to seek alternative channels to source their produce. This is a prime opportunity for retailers and growers to introduce second grade produce into the retail market. While second grade produce is equally as nutritious as first grade, it is often sent to processing plants due to strict aesthetic requirements. In a new age of high demand, customers may not care as much about the look of their produce. Consumers are also focusing more on the safety of their produce, and how much it is exposed to certain elements. This provides an opportunity for the packaging sector to look to new, or different, types of packaging, such as top sealed packages.
The response to innovation has not been as ubiquitous in the foodservice industry. While many quick service, and even fast casual restaurants, have seen massive success with delivery and online ordering, most fine-dining restaurants have opted out of the trend, stating that it does not coincide with their premise. As a result, fine dining as a sector has seen an 80% decrease in sales, while quick service has only seen a 40% decline in sales. With a 70% year-over-year increase in delivery sales overall, now is the time to innovate processes, research investment opportunities, and adapt to consumer demand.
This is part of a series of weekly virtual events designed to provide up-to-date information and opportunities to connect and discuss throughout the COVID-19 pandemic. The next virtual town hall and virtual roundtable focused on consumer demand and will be held next Wednesday, May 13.
Small Business Administration (SBA) Provides Guidance on Agricultural Business Applications for the Economic Injury Disaster Loan (EIDL) (May 5)
The USDA and the Small Business Administration held a briefing call on access to the EIDL program for agriculture. See notes from that briefing.
Amid Strong Perimeter Growth, Produce Sales Jumped Back Up (May 4)
During the last full week of April, grocery shopping patterns remained vastly different. Since early March, food spending has been highly elevated, trips have been shifting away from the weekend to weekdays, baskets have become bigger as shoppers seek to minimize trips and prepare more meals at home, and online engagement continues to grow.
Following a tough week that went up against the Easter 2019 sales bump, fresh produce gains jumped right back into the double-digits the final week of April. Fresh produce growth for the week of April 26 versus the comparable week in 2019 increased 22.9%. Fresh vegetables continued to easily outperform fruit, but the latter was back in the high teens and not all that different from gains seen in shelf-stable fruit that was up 28.2%. Meanwhile, consumer interest in all three fruit and vegetable offerings continued, with dollars split between fresh, frozen and shelf-stable. Frozen produce once more had the strongest gains, up 57.6%.
Download the full report
USDA announces additional Section 32 food purchase plans (May 4)
The U.S. Secretary of Agriculture announced details of $470 million in Section 32 food purchases to occur in the third quarter of the federal governments fiscal year 2020 (July – September 2020), in addition to the ‘Farmers to Families’ food-box distribution purchases previously announced. The program will enable USDA to purchase surplus food for distribution to communities nationwide.
More information
Fresh Produce and Floral Industry Members Connect on Latest COVID-19 Disruptions: Grower/Shippers (April 30)
Members of the fresh produce and floral supply chain connected in virtual roundtables on April 29 to discuss the most pressing labor challenges and issues impacting them as a result of the COVID-19 pandemic.
This week’s global/grower-shipper/supply chain conversation followed the Virtual Town Hall General Session’s theme of workforce and talent management. A panel of industry experts from CoCanMex, West Side Produce and Washington State Tree Fruit Association joined PMA Global Regional Vice President, Central & South America/Mexico Nancy Tucker in a Q&A session, paired with audience polls, on how different sectors of the global supply chain are handling workforce and labor challenges to keep the fresh food supply chain open and to keep workers and consumers safe. Here are the key themes that were discussed.
With the COVID-19 pandemic, it is more important than ever to keep the fresh food supply chain open. Due to the ever shifting and changing nature of the situation, growers and shippers have been faced with many unique workforce and labor challenges, which have forced them to adapt their processes and guidelines. One panelist noted that the COVID-19 situation is fluid and you need to be able to adapt your organization as it evolves.
One major issue with labor is working with seasonal workers from different areas. One grower in Mexico noted that this year it has been difficult to train new workers in the necessary hygiene and social distancing requirements mandated by the pandemic. Because workers need to be a certain distance apart, additional transportation and lodging have been necessary, driving up labor costs and creating operational challenges. While growers can, and have been, putting guidelines and processes in place in the field and packing houses to help with social distancing and cleaning and sanitizing, they cannot control what happens when workers leave their work in the field and go home for the day. Many workers are family oriented and used to interacting in close spaces. These workers go home to other family members or interact closely with co-workers and friends, who are also working and may have been exposed to the virus.
Organizations have been overcoming these labor and workforce challenges by putting social distancing processes in place on buses, in lodgings, out in the field, and inside packinghouses. Many participants stated that they have ramped up their cleaning and sanitization efforts as well, with hand sanitizer stations and disinfectant wipes littered throughout facilities. One panelist stated that their organization has assigned one person to be in charge of cleaning and sanitization to ensure consistency. In addition to cleaning and sanitization, organizations are also providing protective gear such as gloves and masks to employees as those materials become more readily available again.
While physical practices such as social distancing, cleaning and sanitizing, and the use of protective equipment are important; all participants stated that education and communication have been key components of their COVID-19 plans. Organizations start by making up-to-date facts and statistics about the virus available to employees. This information helps emphasize the importance of following social distancing and cleaning and sanitizing guidelines. Training and retraining are implemented in their operations. Many regulatory agencies, associations, and even internal organizations themselves are using resources such as videos, flyers, posters and fact sheets on how to stay safe, healthy, and properly sanitize to get rid of the virus. One participant stated that their association, like many others, has created a video on how to properly wash hands and has made it available to the public via their YouTube page. Resources like these are being utilized by growers and shippers globally to make sure that their workforce has the resources necessary to safeguard against the virus.
Overall, participants expressed concerns about their access to labor; the economic impact of extended shutdowns, and most importantly, the health and safety of their employees and consumers.
This is part of a series of weekly virtual events designed to provide up-to-date information and opportunities to connect and discuss throughout the COVID-19 pandemic. The next virtual town hall and virtual roundtable focused on the economics of recovery will be held next Wednesday, May 6.
Interview with the Experts: Dr. Lee-Ann Jaykus, North Carolina State University (April 27)
Dr. Max Teplitski sat down with the NCSU Distinguished Professor and Member of the National Academy of Sciences Food and Nutrition Board, Dr. Lee-Ann Jaykus to discuss when environmental sampling for SARS-CoV-2 in a food production facility is warranted, share her work on the effectiveness of fogging and technical considerations for the implementation of fogging to control foodborne pathogens. Dr. Jaykus weighs in on issues of personnel safety during fogging as well as treatment of employees with ozone and chlorine dioxide. Finally, she offers her thoughts on what else the industry could do to minimize person-to-person spread of the coronavirus.
USDA Tips for Applying to the Buy Fresh Program (April 28)
On Friday, April 24, the USDA announced the RFP process for the new ‘Buy Fresh’ food-box distribution program. The program, which provides $100 million per month for fresh fruit and vegetable purchases, was created by the Families First Coronavirus Response Act (FFCRA). Bids are due on Friday, May 1 for the purchase of the agricultural products, the assembly of commodity boxes and delivery to identified non-profit organizations that can receive, store and distribute food items. Here are full details to the program.
Points to consider in your application:
- Applicants are expected to partner with local foodbanks, schools or faith-based organizations.
- The program is targeted at fresh fruits and vegetables, including cut fruits and vegetables. Contents of individual boxes may change to accommodate seasonality of fruits & veggies.
- A mix of items in a box are preferred, consider including more than a single commodity on your application.
- Nuts are not requested for this solicitation (covered separately under USDA section 32).
Advice to find distribution partners:
- Partner Mindset: Look for reputable organizations that have agility, flexibility and the appropriate resources and systems to distribute product. You want to team with organizations you would partner with for the long run.
- Assess Program: Determine their storage and delivery options to ensure if fits with your organization. Many facilities may need your trucks as part of their distribution programming for hours vs a quick drop off.
- Be Consumer-centric: Think of the needs and tastes of the local communities receiving the distributions. This is an opportunity to grow long-term consumers.
Request For Proposals Frequently Asked Questions
Elevated Everyday Demand Pushes the Week of April 19 Above Prior Year Easter Levels (April 27)
Since the onset of coronavirus in the United States, grocery shopping patterns have been vastly different. Spending has been highly elevated ever since March 8 and much has changed in product and brand choices, trip trends relative to the day of the week and day part, and online engagement. Importantly, the week ending April 19 had to go up against Easter 2019 sales, that fell on April 21 last year. 210 Analytics, IRI and PMA partnered to understand the effect for produce in dollars and volume throughout the pandemic.
Fresh produce growth for the week of April 19 versus the comparable week in 2019 did increase, but much less so then seen in prior weeks, at +3.3%. Vegetables continued to easily outperform fruit and the three-way split of the produce dollar between fresh, frozen and shelf-stable continued. While fresh produce was down to the lower single-digits in terms of year-over-year growth, frozen and canned produce were still up by double digits. Download the full report.
USDA offers assistance to producers to assist in navigating market fluctuations and to invest in improvements to their operations (April 27)
The U.S. Department of Agriculture (USDA) is committed to help producers become even better conservation stewards by providing the tools they need to do the job.
They offer a variety of risk management, disaster assistance, loan and conservation programs to help agricultural producers weather ups and downs in the market and recover from natural disasters as well as invest in improvements to their operations. For more information about USDA programs and services, contact your local USDA service center.
Access further information on this USDA program.
Members Helping Members: Best Practices for Approaching New Retail Customers (April 24)
The COVID-19 crisis has turned our world upside down, especially for suppliers to the foodservice industry. As a result, we know many distributors, wholesalers and grower-shippers are looking for new channels for their products, especially the retail channel.
We reached out to our PMA retailer members around the world for tips on how to approach new customers, especially during this challenging time.
In the spirit of members helping members, they have offered advice on communication, introducing yourself, building trust and more. At a time when we need connections and assistance in unfamiliar territory, these tips might make a difference for you.
Fresh Produce and Floral Industry Members Connect on Latest COVID-19 Disruptions: Grower/Shipper (April 23)
Members of the fresh produce and floral supply chain connected in virtual roundtables on April 22 around the most pressing COVID-19 pandemic disruptions directly impacting them and their businesses.
This week’s supply grower/shipper conversation followed the Virtual Town Hall General Session’s theme of e-commerce or, as host Ed Treacy calls it, “e-tailing.” A panel of industry experts joined Treacy in a Q&A session on how different sectors of the supply chain are shifting and adapting to the new demand for e-commerce. Here are the key themes in the grower/shipper sector that were discussed.
Distributors that largely catered to foodservice, retail and wholesale companies before COVID-19 have had to quickly shift to a business to consumer (B2C) platform to deliver goods directly to the consumer. The biggest changes companies have had to make in this shift have to do with packaging materials as they relate to temperature and sustainability, and transparency of information.
The key to packaging material challenges starts with design. When designing packaging, it is important to note that there is less control over the last mile of delivery now, as product is not being stored in refrigerated trucks or warehouses. Due to this, more packaging is often necessary to keep the temperature of the product regulated.
This increased packaging materials issue leads to a discussion on sustainability. Many companies are still looking to remain sustainable in this time as the sustainable option often helps with costs, and consumers are still looking for companies who keep sustainability in mind. From a science standpoint it is tricky to choose sustainable packaging because if the system is not prepared to handle that packaging then you are turning a positive into a negative. When thinking about the sustainability of plastic, take into account what kind of recycling options there are in the consumers’ area and work with the system and processes that are in place there.
Consumers are still looking for and asking about where their product comes from. Consumers are also curious about what the story of their food is, it is more important than ever to have this information on your website. The question of traceability was discussed. It was determined that traceability is now more important than ever to maintain a high level of consumer confidence in the food system. The last thing we need right now is a prolonged trace back investigation due to a food safety outbreak. Traceability won’t solve outbreaks, but it can help contain it and not do a category killer recall.
At the conclusion of the event PMA Vice President, Global Membership & Engagement, Richard Owen updated participants on resources that PMA is providing on our website. Earlier this week Dr. Trevor Suslow interviewed participant Jeff Brandenburg, President of JSB Group LLC on topics mentioned in today’s Virtual Town Hall.
This is part of a series of weekly virtual events designed to provide up-to-date information and opportunities to connect and discuss throughout the COVID-19 pandemic. The next virtual roundtable focused on the grower/shipper sector of our industry will be held next Wednesday, April 29.
White House and USDA Announce Coronavirus Food Assistance Program (April 18)
On Friday evening, the White House and the USDA detailed a $19 billion rescue package for farmers and ranchers, to be funded from the CARES Act and other coronavirus spending bills. The package will include direct payments and commodity purchases with the dual purpose to support farmers and ranchers and provide a means to get food that otherwise would not have reached the market to those in need. Read the full PMA update.
Consumer Sentiment During the Coronavirus Crisis (April 16)
PMA's consumer sentiment research aims to provide insight into how the coronavirus pandemic is impacting consumer shopping trends for produce. This is directional information that can help guide PMA members with messaging to consumers during this uncertainty. Our research covers the U.S., Brazil, China and the U.K.
Fresh Produce and Floral Industry Members Connect on Latest COVID-19 Disruptions: Grower/Shipper (April 16)
Members of the fresh produce and floral supply chain connected in virtual roundtables on April 15 around the most pressing COVID-19 pandemic disruptions directly impacting them and their businesses.
Here are the top themes, insights and challenges for grower/shippers.
Ozone Air Disinfection Update:
Airspace ozonation in the supply-side of the produce industry is not common but has been practiced for decades. Various well-intentioned vendors have asserted that the ozone generators operating within packing and processing workspaces, outfitting and break rooms, pre-shipping cold room racking, within transportation trailers, and at distribution centers could protect employees and consumers from COVID-19 exposure. Above regulated exposure limits, ozone is dangerous to workers, and when exposed at even extremely low levels, for an extended period, it can be a respiratory irritant. According to the Occupational Safety and Health Administration (OSHA), the time-weighted average of exposure during an 8-hour workday must be less than 0.1ppm. Clearly, many workday shifts are longer than 8 hours. The concentration being marketed for ozonation of facility airspaces is 0.025 to 0.05 ppm, which may still be an irritant for some workers.
The three applications of ozonation being suggested as a proactive response are:
- Pass-through air filtration and disinfection within an ozone-enriched chamber
- Moderate ozone treatment of facility spaces under overnight locked-out procedures
- Low levels of ozone in the workspace during in-shift worker occupancy
Of the three potential applications, the only feasible and recognized effective application for reducing concerns about COVID 19 persistence would be the ozone treatment of rooms or priority facility spaces. Studies done on other enveloped viruses would predict this would eliminate COVID-19. The USEPA has been consistent in their message that there is ample scientific evidence showing that the low ozone concentrations that do not exceed OSHA’s standards for active work exposure will not remove aerosolized contaminants, therefore not a sensible investment for COVID-19 protection.
This is part of a series of weekly virtual events designed to provide up-to-date information and opportunities to connect and discuss throughout the COVID-19 pandemic. The next virtual roundtable focused on the grower/shipper sector of our industry will be held next Wednesday, April 22.
PMA Statement: PMA welcomes flexibility in H-2A guest worker announcement (April 15)
Produce Marketing Association has issued the following statement in response to the announcement from the Department of Homeland Security (DHS) with support from the U.S. Department of Agriculture (USDA) regarding a temporary final rule change to certain H-2A requirements.
On April 15, 2020, the Department of Homeland Security, with support from the U.S. Department of Agriculture announced a temporary final rule that eases certain H-2A requirements. The change will help U.S. agricultural employers avoid disruptions in labor and protect the nation’s food supply chain during this COVID-19 pandemic. PMA is pleased to see the rule change, emphasizing that maintaining a lawful, agricultural labor force during the COVID-19 public health emergency is critical to ensuring our industry has the capacity to continue to safely provide healthy, fresh produce to U.S. consumers.
Here is a summary of the key points in the announcement:
- An H-2A petitioner, such as a grower, with a valid temporary labor certification can begin employing certain foreign workers who are in H-2A status in the U.S. once United States Citizenship and Immigration Services receives the petition. H-2A workers looking to change employers must be in the US already. The net result is more immediate access to a pool of H-2A farm labor.
- H-2A workers are temporarily allowed to stay in the United States beyond the three-year maximum time limit.
The temporary rule is effective immediately once published in the Federal Register.
The changes reflect the commitment from DHS and USDA to help U.S. agricultural employers have continued access to the essential labor force that will allow the fresh produce supply chain to continue to meet consumer demand. We commend DHS and USDA for showing agility in creating this temporary change. PMA will continue to provide up to date information for the industry and our partners as it relates to the COVID-19 pandemic.
Interview with the experts: Dr. Martial Ndeffo, Texas A&M (April 14)
In today's interview with the experts, Dr, Martial Ndeffo explores the similarities and differences, in terms of epidemiology/mode of transmission, between the Ebola virus and SARS-CoV2. We also discuss how we can adapt Ebola virus learnings to stop the spread of COVID-19, especially as it relates to our industry. Lastly, we reviewed how we might modify the environments in our production facilities and in dorms where employees live to minimize the risk of person-to-person transmission.
Manager's checklist of best practices for field and agricultural labor (April 13)
This checklist is designed for managers of field and agricultural labor to assess and guide your COVID-19-related safety protocols. Learn how to implement best practices in symptom tracking, sick leave policies, personal protection and worker shared living situations.
How Infrared Temperature and Infrared Thermography CAN Help With SARS-CoV-2 Response and Beyond (April 10)
This article provides background on infrared temperature measurement and infrared imaging, from longstanding technical reports and personal experience (nonhuman applications), as the industry considers using these tools as part of a comprehensive SARS-CoV-2 protective response and preventive control in the produce supply chain. Read article.
Non-comprehensive Resource List for EPA Recognized SARS-CoV-2 Active Disinfectants and Related Services
Currently, there are no commercial products validated and specifically labeled for use against SARS-CoV-2. In this type of special needs crisis, the EPA Emerging Pathogen Policy provides scope for professional subject matter expert solicitation and judgement for predicted efficacy based on currently registered chemistries and products and experience against related pathogens. The EPA list is found here. In addition, a comprehensive list of Tier I Products for SARS-CoV-2 disinfection, in compliance and recognized as meeting the requirements of the EPA's Emerging Viral Pathogen Guidance for Antimicrobial Pesticides, was developed by the American Chemistry Council’s Center for Biocide Chemistries.
The FDA regulates hand sanitizers and their most recent guidance on meeting the current shortages available to food companies may be viewed here.
For simple access to service providers, PMA has put together a non-comprehensive resource list of service suppliers most engaged with its membership. Inclusion on this list does not necessarily imply an endorsement of the company’s products or services and omission from the list does not indicate a company is not positioned to provide such access to supplies and technical support. There are a few currently on the list which have a global representation and some broadly across the U.S. The resource list will be expanded as companies self-identify or become known to PMA as positioned to immediately respond to SARS-CoV-19 disinfectant supplies and technical service needs.
Fresh Produce and Floral Industry Members Connect on Latest COVID-19 Disruptions: Grower/Shipper (April 9)
Members of the fresh produce and floral supply chain connected in virtual roundtables on April 8th around the most pressing COVID-19 pandemic disruptions directly impacting them and their businesses.
Here are the top themes, insights and challenges about grower/shippers:
Non-Contact Infrared Temperature (IRT) and Elevated Body Temperature Screening (EBT)
It is important to note that there is no way to accurately detect an infected person by IRT-screening. Additionally, Spot-target IRT devices are more challenging than IRT digital imaging to obtain sufficiently accurate core body temperature information.
Luckily, the emissivity, or the effectiveness of emitting energy as radiation, of human skin is high and device adjustment is not generally required. IR imaging is very useful for other applications, such as process line screening and hot spots in cold rooms where Listeria might grow.
EBT individual or crowd screening has been used in this situation as well, however not all infected individuals will fit an EBT profile. The typical baseline for a healthy individual and image-range or alarm should be set at +2°C.
In all cases, the individual’s privacy and confidentiality should be respected, and a trained and licensed responder or medical professional must confirm the test.
Greenhouse Update
Participants from the greenhouse sector reported that the priority was their employees’ safety, but that the large amount of space in greenhouses have helped with social distancing and have made it easier to safely continue to work. While growers are in a shoulder season, providing plenty of surplus product, participants reported a challenge in getting the right product to right location as the need looks different everywhere. The focus is on trying to find the right balance of supply and demand for customers. Finally, looking forward, it will be important to pay attention to consumers’ behavior and adjust production plans accordingly.
Labor
Labor is a key issue for growers in all parts of the world. One participating member outlined how they have worked to keep their employees healthy so they can continue to provide food the world needs. They strongly communicate health messages to the community as well as the workers. Social distancing is maintained both in transportation and fields. Worker camps have been set up for migrant labor with strict controls for going in and out, maintaining sanitary conditions, providing food and more.
Food Safety Threats
Dr. Trevor Suslow, PMA Vice President of Produce Safety, outlined that a key concern for produce safety moving forward is drifting away from or losing focus on prerequisite programs. These programs are the standard practices for product safety and environmental management. Looking to the future, the protection of ag labor, facilities and staff across the supply chain will be critical.
This is part of a series of weekly virtual events designed to provide up-to-date information and opportunities to connect and discuss throughout the COVID-19 pandemic. The next virtual roundtable focused on the grower/shipper sector of our industry will be held next Wednesday, April 15.
Consumer Sentiment During the Coronavirus Crisis (April 9)
PMA's consumer sentiment research aims to provide insight into how the coronavirus pandemic is impacting consumer shopping trends for produce. This is directional information that can help guide PMA and its members with their messaging to consumers during this uncertainty. Download the report.
Digest of Guidance to the Industry (April 6)
This is a digest of WHO, US FDA, CDC, DHS, OSHA, US Equal Employment Commission and EPA guidance to the industry on COVID-19 and how to mitigate the spread of this virus. This document has been updated and is current as of April 5, 2020 to include new FDA recommendations on facility cleaning and detection, and the use of face masks by workers.
Fresh Produce and Floral Industry Members Connect on Latest COVID-19 Disruptions: Grower/Shipper Update (April 2)
Members of the fresh produce and floral supply chain connected in virtual roundtables on April 1 around the most pressing COVID-19 pandemic disruptions directly impacting them and their businesses.
Here are the top themes, insights and challenges about grower/shippers.
Kenny Lund of ALC Logistics provided an overview of domestic perishables transportation and logistics availability. He shared that although their demand has shifted a bit regionally, he didn’t see any shortages, per se, just high demand across all channels. There has been a general increase in loads to retail distribution centers or direct to stores, where demand has been high. There has also been a greater shift to refrigerated transportation in the southwest due to the volumes entering border-crossings from Mexico.
For some attendees, transportation costs have gone up 6 to 9% while others have seen up to a 25% increase. The demand seems to be slowing now that many retailers have been able to restock. There may be a second uptick due to Easter demand and the extended recommendation to shelter in place.
A focus of discussion in the breakout centered around changes to demand in the retail sector. Certain commodities, especially berries, have recently seen demand decrease both domestically and internationally, while other commodities such as citrus and kiwi have seen an increase in demand. It is uncertain if the decrease is due to the perishability of these commodities or consumer misperceptions of its safety. One thing is clear, we must push our world leaders to spread the message to encourage the consumption of fresh produce because it is healthy and nutritious, and to dispel any myths surrounding the safety of the supply chain relative to COVID- 19 transmission.
Other topics were discussed, addressing a variety of issues. One grower discussed the lack of available masks for their workers. There is some disruption in hand sanitation supply, not for food production facilities but for warehouses and growing fields. Some have also seen changes to the way the hand sanitizer is being distributed from dispensing mechanisms.
This is part of a series of weekly virtual events designed to provide up-to-date information and opportunities to connect and discuss throughout the COVID-19 pandemic. The next virtual roundtable focused on the grower/shipper sector of our industry will be held next Wednesday, April 8. Keep checking pma.com for the most current industry resources and information about the pandemic.
April 1
March 27
HR 6201 Families First Coronavirus Response Act: Information for Employers
HR 6201 is a bill introduced by Rep Nita Lowey, D-NY, that responds to the COVID-19 outbreak.
The bill specifically makes provisions for paid sick leave, tax credits, unemployment benefits and other items.
This fact sheet includes summaries and use for the items related to employers.
Preventing the Spread of COVID-19 Among Field Workers
Here is a draft of a flyer to share with your employees about preventing the spread of COVID-19 among field workers.
This document is available in Spanish/ Esto documento está disponible en español.
Postponed FDA Inspections and New FDA Final Guidance
Join PMA Chief Science Officer Max Teplitski as he discusses the postponed FDA inspections and new FDA final guidance for industry entitled “Temporary Policy Regarding Preventive Controls and FSVP Food Supplier Verification Onsite Audit Requirements During the COVID-19 Public Health Emergency” with Tania Martinez, Vice President of Demos Global Group.
During this interview, Ms. Martinez covers what the postponement of inspections really means; PREDICT screening implications; and ensuring you are still in compliance.
The interview is available in both English and Spanish.
English:
Spanish:
March 26
Fresh Produce and Floral Industry Members React to COVID-19 Situation in PMA Virtual Town Hall
Many grower/shippers are seeing challenges regarding labor in the upcoming harvesting season. With most countries practicing social distancing with large groups, there have been challenges utilizing large groups of workers in the fields and packing houses. One solution here is to utilize smaller groups in multiple shifts working farther apart from each other in packing houses and when harvesting.
It is more important than ever to use clear communication to emphasize hygiene and sanitation. Government guidelines from organizations like the CDC and WHO are important as they are consistent and help to dispel misinformation.
For PMA members only: Read the full recap and watch the general session video
March 25
Behind the science – a conversation with two exposure scientists discussing the implications of recent COVID-19 research
It is pretty clear: There is no evidence for foodborne transmission of COVID-19. But what about the worst-case scenario: What if a person who is sick sneezed on a piece of food, and somebody eats it right away?
What measures do we need to implement to ensure that our food supply continues to be the safest in the world?
Answers to these, and other questions, are in this video:
March 23 (Updated April 5)
Over the weekend, our team analyzed recent documents posted by the World Health Organization and U.S. federal agencies (FDA, EPA, DHS and OSHA) that relate to the ever-changing COVID-19 situation. This digest mostly deals with two questions: (1) what happens if an employee at a food processing facility tests positive for COVID-19 and (2) what measures to put in place to limit person-to-person transmission at your food facility:
March 20
Across PMA and CGT, we have been in constant contact with our grower-shipper members. Based on their feedback and in service of our vision to grow a healthier world, we are taking the following actions immediately:
- Developing consumer campaigns to drive purchases of fresh fruit, vegetables and floral. We intend to leverage every opportunity and medium possible to ensure people eat our products.
- Hosting a members-only Virtual Town Hall scheduled for March 25 at noon ET with a COVID-19 expert and breakout sessions focused on grower-shippers, global, supply chain, foodservice, retail and floral.
- Repurposing our existing Floral Facebook Group and LinkedIn Fresh Ideas Marketing Community on COVID-19, home to a combined 1,100 members.
- Connecting retailers with foodservice distributors and wholesalers to facilitate the supply chain.
- Leveraging our industry marketing experts to provide marketing advice to the industry. This will be communicated soon.
- Tracking the impact on trade and labor, namely the potential for border closures, the impact on seasonal worker availability, and cross-border trucking, and communicating this globally.
We know our products are safe, nutritious, and provide a multitude of both physical and mental benefits. Fresh fruits and vegetables boost our immune systems and are essential to a healthy lifestyle – vital to everyday life now more than ever.
Our challenge is to reinforce this to the rest of the world.
March 20: USDA allocates approximately $72.4 million to States for Specialty Crop Block Grant Program
The Specialty Crop Block Grant Program (SCBGP) funds projects to support and enhance competitiveness of specialty crop food sector. Federal funds will be allocated to U.S. states, not individuals.
Interested parties should contact state contacts. State departments of agriculture should consult with specialty crop growers, processors, and/or distributors before developing SCBGP project applications to ensure maximum public input and benefit. Note that ornamental hort commodities are considered specialty crops. State applications are due May 27.
March 20: USDA announces an initiative to deliver 1 million meals per week to a limited number of rural students whose schools have closed because of the virus
The department is partnering with PepsiCo, Baylor Collaborative on Hunger and Poverty, McLane Global and others to provide boxes with five days’ worth of healthy, shelf-stable, individually packaged foods.
USDA has created a single contact for those who have suggestions, ideas, or want to help feed kids across the country. Email feedingkids@usda.gov.
“Feeding children who are affected by school closures is a top priority for President Trump and this Administration. USDA is working with private sector partners to deliver boxes of food to children in rural America who are affected by school closures,” said Secretary Perdue. “Right now, USDA and local providers are utilizing a range of innovative feeding programs to ensure children are practicing social distancing but are still receiving healthy and nutritious food. This whole of America approach to tackling the coronavirus leverages private sector ingenuity with the exact same federal financing as the Summer Food Service Program. USDA has already taken swift action to ensure children are fed in the event of school closures, and we continue to waive restrictions and expand flexibilities across our programs.”
