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South Jersey Rain or Shine

Profiling the Garden State’s resilient fruit and vegetable trade
South Jersey Rain or Shine

Last year was a page-turner of seasonal weather events from frost, intense summer storms, a hurricane, and a blizzard that pounded New Jersey’s terrain.  Coastal homes and businesses, and pretty much the entire highly urbanized northern half of the state, were hard hit.

Contrary to belief, however, the inland southern portion escaped much of the comprehensive brunt, sparing the premier growing region of fresh fruits and vegetables.  New Jersey’s nickname, “the Garden State,” is not a nostalgic Colonial remnant, but a declaration of modern day bounty.

Wicked Weather
“The storm in June, with all that wind and rain, was far worse than Hurricane Sandy,” reported grower Shirley Kline, president of the Cumberland County Board of Agriculture, and director for the New Jersey Farm Bureau.  Hurricane Sandy did not impact the agricultural infrastructure as feared. Given the storm hit near the end of the season, luckily, as Al Murray, New Jersey’s Assistant Secretary of Agriculture, says, “most crops were harvested by then.”

The darkest cloud for the industry has always been uncontrollable: Mother Nature. “Weather affects more than just quality and quantity; it affects the marketing system,” explains Murray, referring to the steady succession of ripening crops, starting in Florida and progressing northward. “A normal spring means demand stays steady,” he says.

It can also set the stage for a jackpot season. In the case of blueberries, “Timing-wise, we can catch the Fourth of July and meet the demands of that [enormous] market,” explains Tim Wetherbee, chair of the New Jersey Blueberry Industry Advisory Council, and sales manager for Diamond Blueberry Inc., in Hammonton.

However, when weather events interfere with this natural progression, “product gets backed up all over the place,” Murray observes, in which case the industry faces a rash of new problems including gluts, shortages, and sharp price fluctuations.

Plentitude
When not dodging hurricanes, South Jersey growers mine fruit and vegetable gold from eight major producing counties: Atlantic, Burlington, Camden, Cape May, Cumberland, Gloucester, Ocean, and Salem.  Fruit-wise, the Garden State is most invested in apples, blueberries, cranberries, and peaches, with a combined value of $178.8 million for 2012.  Its production value ranks third in the country for cranberries and peaches, and sixth for blueberries, according to the U.S. Department of Agriculture (USDA) National Agricultural Statistics Service.

At the summit of the state’s nearly $200 million annual vegetable industry are tomatoes and bell peppers (though both are botanically a fruit), sweet corn, and cucumbers.  Nationwide, New Jersey is third and fourth in fresh spinach and bell peppers, respectively. 

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Last year was a page-turner of seasonal weather events from frost, intense summer storms, a hurricane, and a blizzard that pounded New Jersey’s terrain.  Coastal homes and businesses, and pretty much the entire highly urbanized northern half of the state, were hard hit.

Contrary to belief, however, the inland southern portion escaped much of the comprehensive brunt, sparing the premier growing region of fresh fruits and vegetables.  New Jersey’s nickname, “the Garden State,” is not a nostalgic Colonial remnant, but a declaration of modern day bounty.

Wicked Weather
“The storm in June, with all that wind and rain, was far worse than Hurricane Sandy,” reported grower Shirley Kline, president of the Cumberland County Board of Agriculture, and director for the New Jersey Farm Bureau.  Hurricane Sandy did not impact the agricultural infrastructure as feared. Given the storm hit near the end of the season, luckily, as Al Murray, New Jersey’s Assistant Secretary of Agriculture, says, “most crops were harvested by then.”

The darkest cloud for the industry has always been uncontrollable: Mother Nature. “Weather affects more than just quality and quantity; it affects the marketing system,” explains Murray, referring to the steady succession of ripening crops, starting in Florida and progressing northward. “A normal spring means demand stays steady,” he says.

It can also set the stage for a jackpot season. In the case of blueberries, “Timing-wise, we can catch the Fourth of July and meet the demands of that [enormous] market,” explains Tim Wetherbee, chair of the New Jersey Blueberry Industry Advisory Council, and sales manager for Diamond Blueberry Inc., in Hammonton.

However, when weather events interfere with this natural progression, “product gets backed up all over the place,” Murray observes, in which case the industry faces a rash of new problems including gluts, shortages, and sharp price fluctuations.

Plentitude
When not dodging hurricanes, South Jersey growers mine fruit and vegetable gold from eight major producing counties: Atlantic, Burlington, Camden, Cape May, Cumberland, Gloucester, Ocean, and Salem.  Fruit-wise, the Garden State is most invested in apples, blueberries, cranberries, and peaches, with a combined value of $178.8 million for 2012.  Its production value ranks third in the country for cranberries and peaches, and sixth for blueberries, according to the U.S. Department of Agriculture (USDA) National Agricultural Statistics Service.

At the summit of the state’s nearly $200 million annual vegetable industry are tomatoes and bell peppers (though both are botanically a fruit), sweet corn, and cucumbers.  Nationwide, New Jersey is third and fourth in fresh spinach and bell peppers, respectively. 

In 2011, New Jersey ranked second in the nation for net farm income per acre and third for production value per acre according to the USDA’s Economic Research Service. What these rankings confirm is despite its limited growing area in a diminutive, well-urbanized state, growers efficiently crank out high value, high quality crops.

Diversity
The ethnicities in the region are as varied as the produce, including a large Indian population, followed by Portuguese and Asian, reports Murray. The melting pot has created a healthy demand for many specialty crops.  Ryan Flaim, managing member of grower-shipper and repacker R&R Flaim Next Generation Produce, LLC in Vineland says, “Ethnic diversity has played a big part in the last ten years. We offer a lot of specialty peppers, Asian and Indian vegetables, fruits, and herbs.” Some examples Flaim calls out are poblanos, habaneras, bok choi, napa cabbage, and methi leaf. He notes, “Kale and baby bok choi are trendy right now.”

New Jersey is also the site for a new sweet pepper variety, the Peppadew, originally discovered and grown in Tzaneen, South Africa.  Two U.S. companies, Los Angeles-based Melissa’s/World Variety Produce and fresh-cut processor Supreme Cuts, LLC in Mahwah, NJ signed exclusive deals with Peppadew Fresh LLC to market ‘Peppadew Gold,’ a sweet yet tangy mild pepper.   “Although we just got involved at the tail-end of 2012’s season, we’re excited about what the future may bring,” commented Supreme Cuts president, Merle Axelrod.

Local, Local
Whether it is a specialty or a staple, freshness is essential. “Jersey Fresh,” the state’s agricultural promotion program, is regarded as a huge success, and recently unveiled a new website, chock full of information such as weather patterns, zone maps, soil testing labs, and details on how interested growers can join the program.

Now approaching its thirtieth year, this first-of-its-kind program was established long before locally-grown was en vogue.  Bill Nardelli, Sr., president of grower and shipper Nardelli Brothers, Inc. in Cedarville, explains, “The local movement has had a huge impact and really enhanced our sales. The demand for locally grown has increased ten-fold over the last few years.”

The advantages of South Jersey’s growing region are numerous, starting with its soil. Nardelli describes the substrate as “a sandy loam with just a little heaviness and good drainage. It’s conducive for row crops.”   The sandy soils are surrounded by four major metropolises: New York City, Boston, Philadelphia, and Washington DC and this proximity to tens of millions of people puts the produce industry in an enviable marketing position.

Another advantage is the Vineland Produce Auction in Vineland, a pillar of New Jersey’s farming tradition. Growers formed the cooperative in 1930 and it remains a highly competitive clearinghouse of freshly-picked produce. “It’s an institution,” says Murray. “It’s the largest and last of its kind east of the Mississippi.” 

There is also ease-of-access to multiple terminal markets and ports of entry—including unparalleled reach to six terminal markets from Boston to New York City to Philadelphia—and the choice of nearby ports, including Wilmington and Tioga. “Logistically, we’re in a good spot,” says Wetherbee. “We can get blueberries off the bush, cooled, packed, and out to major areas overnight.”

Challenges
Food safety rides in the front seat of the industry’s priorities and is escalating in cost. Robert Von Rohr, director of marketing for Glassboro-based Sunny Valley International, an importer and exporter of primarily fruit, says, “Food safety is a big expense. Third-party audits, required booklets and documentation, administration—it’s all very expensive.” He explains how inspections begin with packing facilities and go right through to the hygiene of the harvesting crew. “Some places even require a social responsibility audit which assesses how you’re treating workers,” he says.

Speaking of workers, there is resounding concern over the future supply and cost. Thomas Sheppard, president of vegetable receiver and shipper Eastern Fresh Growers, Inc. in Cedarville, names immigration laws and ObamaCare as the two issues having the most costly, imminent effects on his business.  Sheppard is confident that without H-2A (guest workers), crops will go unpicked.

What immigration laws are to labor availability, ObamaCare is to labor cost. Sheppard explained for operations with 50 or more full-timers, employers must provide healthcare insurance. “The problem is the government defines a full-time employee as someone who works 30 or more hours per week for 120 days.”

Under this definition, Sheppard’s seasonal crews are deemed full-time. Paying the penalty of $2000 per uncovered employee will cost $500,000 starting January 2014. Ironically, the hefty penalty may actually look attractive when juxtaposed with the cost of providing coverage.

The toughest challenge for Kline is the “lack of support for production agriculture from the New Jersey Agricultural Experiment Station (NJAES).” Kline cites the state’s major position in vegetables, and is confounded by the vacancies for horticulture, agronomy, and entomology specialists at the NJAES. She states, “At a minimum, across all commodities, a soil fertility expert is needed in the field.”

Concluding Thoughts
Consumer demand is healthy for South Jersey’s freshest fruits and vegetables. Considering the whole picture, Axelrod is enthused. “There is a huge focus on produce right now, especially for kids and in schools,” she says.  Although the government sparked the idea of prioritizing locally grown, it is now the consumers who are the main proponents of New Jersey’s gleaming produce.  Flaim’s optimism shows as well: “We are fortunate and surviving through this economy because of the loyal chain stores that support us.”

After weighing the abundance of advantages and issues playing a role in this vital produce industry, one conclusion is clear: South Jersey stands ready to weather the storms ahead.

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