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Bright Lights and Big Business

The growing allure of Dallas for the industry
Dallas

Sheena Fan, produce buyer for Pacific Plus International, Inc., says more growers are also approaching buyers directly. While this might squeeze some middlemen out of the equation, it can also mean more savings for both the grower and the buyer. “I buy snow peas from Guatemala and Peru, for example, and one grower contacted me about selling product,” she says. “That grower turned out to have better quality control, a fresher product, and a lower price than the grower we had been working with.”

Food safety and traceability are also among the hot button issues. Area vendors, brokers, and distributors say more customers are demanding Primus- or GAP-certified product.

Ford confirms most of his customers require some kind of certification to conduct business. “My end users want it [and] my customers need it,” Ford says. “I have to do it, too. I don’t deal with anyone who isn’t certified.”

Looking Ahead
Perhaps the most critical issue affecting the produce industry in Dallas, indeed across the entire state, is water—or the lack of it.

For the past three years, Texas has experienced drought conditions not seen since the 1950s. In July of 2013, three-quarters of the state was in severe or extreme drought; by November, thanks to the most above-normal rainfall since 2010, only 25 percent of the state was still in extreme drought.

Unfortunately, the drought conditions aren’t expected to end anytime soon. In the short term, that means potentially lean times and high costs for Texas growers.

Many growers in the Rio Grande Valley, which accounts for much of the state’s produce, are struggling to keep acreage watered. According to Ford, who buys, among other things, cabbages and onions from the Valley, some growers have complained about their wells going dry. And a few decent thunderstorms will not be enough to make up for three-plus years of drought.

“It’s going to take a lot of rain for things to improve and for growers to recoup the ground they’ve lost,” Ford says. “This is a serious issue, and if the rain doesn’t come, there’s going to be a real fight for survival.”

Image: Thinkstock.

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Cristina Adams is a writer and editor with more than twenty years of experience. She writes for a number of business publications and websites.