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Miami

A tropical produce paradise where trade sizzles
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Further, he notes, the Caribbean also benefits from cold winters in the United States and Canada. “Last year was a bitterly cold winter,” Tannehill explains, “so that created an uptick in business. We feel very good that we should see a strong [tourism] season this year in the Caribbean as well.”

Transportation
Jost points out that transportation is a major issue for Miami grower-shippers, wholesalers, and retailers. “Today’s transportation market is very different than that of the past few years, and the onset of additional regulations has changed the landscape significantly.”

He adds that new federal regulations related to the transportation industry are creating challenges for Robinson Fresh and its customers.

“For example, the new hours of service regulations that went into effect [in July 2013] directly affected several customers’ already time-sensitive perishable supply chains,” he explains (though the recent rollback of some restrictions will help ease these concerns).

As supply chains continue to change, Jost believes it is imperative for logistics providers and produce suppliers to be flexible and offer a wide range of delivery modes and services to their customers.

Jost is not alone in his thinking, as many in the industry echo such reservations for 2015 and beyond. For more information and industry viewpoints on a variety of transportation-related and other challenges, see this quarter’s feature article, “Future Forward.”

Tannehill weighed in on the cost of freight, which can also be problematic. “We bring product in from all over the world, but I think a big part of our focus over the next few years is going to be finding alternative sources for the same products,” he explains. “We do a lot on the East Coast now with some of the row crops. The freight is so high that there are better opportunities from Canada than from California for some months of the year.”

Mergers & Acquisitions
In today’s unpredictable economic environment, mergers and acquisitions (M&A) have become increasingly common with both national and global companies, affecting almost every business sector. Purveyors of produce have felt the impact too as retailers, transporters, and suppliers consolidate, some with major repercussions for the industry.

“Mergers have definitely had an impact on our business, as some of the buyers we have worked with in the past are no longer in charge of the category,” Cabrera points out. “We had to make new connections and prove ourselves all over again.”

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