Ramos also imports a great deal of product from Central and South America. The company began its season in late summer with “good volumes of air and ocean [shipped] asparagus from Peru, and mangos from Brazil.” Next were blueberries from Argentina, then Peru, before moving into Chile.
Tempting Tropicals Whether locally produced or internationally sourced, the desire for a wide array of tropical produce remains unabated. Once an ethnic specialty, many exotic fruits are carving a strong niche for themselves, showing up on supermarket shelves and driving increased curiosity and consumption.
Locally, grower-shipper Ecoripe Trop-icals focuses on tropical fruit from the Homestead growing region, where Holbik says South Florida’s subtropical climate is a perfect match for exotics.
The region’s agricultural superstar, Miami-Dade County, is the number-one U.S. producer of mangos, carambola, lychees, longan, mamey sapote, bananas, plantains, atemoya, coconut, sapodilla, jackfruit, and passion fruit. It also ranks fifth in the nation for avocado production, with more than 10,000 acres devoted to tropical fruit.
Rosann Cabrera, general manager for importer-exporter Bayshore Produce, LLC, handles as much local or ‘Redland Raised’ produce from Miami-Dade as possible. Although it doesn’t make up a large portion of the company’s product line, she’s seen an increase in Florida avocados, particularly the Slimcado, a variety that garnered its name due to lower fat content and fewer calories. The company also imports from Chile, working with growers there every season.
In addition to offering customers local produce, Ecoripe Tropicals’ lineup includes imported exotics like rambutan from Guatemala, soursop from Grenada, and durian from Thailand, as well as okra and specialty eggplant varieties from Guatemala and Honduras in the winter.
Food Safety Focus Impending Food Safety Modernization Act rules are also keeping suppliers and retailers on their toes. “Food safety is at the forefront of everyone’s mind,” contends Tannehill, who has received increased interest from island customers regarding supply chain safety and prevention of outbreaks in listeria or salmonella.
Over at Dave’s Specialty Imports, food safety is top of mind as well. “We’re working very hard to stay in line with the requirements as they come into law,” confirms Simmons, “but we find individual retailers and foodservice operators often have their own set of requirements for food safety. It’s a juggling act, but a necessary one.”
Import Verification Importers are also dealing with Foreign Supplier Verification Program (FSVP) requirements, including the designation of personnel to “develop an FSVP for each food imported from each supplier, and to monitor foreign suppliers’ U.S. Food and Drug Administration (FDA) compliance,” says Compres.
While Mother Nature has always played a pivotal role in fresh produce, last year was a ringer, affecting so many involved in growing, shipping, or selling produce in Florida and the Southeast, as well as Texas, Mexico, and the Southwest. As a result, South Florida’s agricultural regions and produce handlers have been doing their best to bounce back.
But, as our sources made us aware, recovery in some instances will take time and the effects may linger throughout 2018.
Doug Tannehill, president of Global Perishable Services LLP in Miami, believes much of the market’s volatility these days is due to climate variability. In light of last year’s natural disasters—hurricanes Harvey, Irma, Maria, and Nate, as well as earthquakes in Mexico—he sees further impact tied to rising food costs and shortages for some commodities.
Citrus growers, already hard hit by citrus greening, were dealt another blow with as much as 70 percent of the state’s crop expected to be lost. Some greenhouses and packing facilities were destroyed, and a number of other crops—from avocados, eggplant, and okra to carambola, tomatoes, and longan were affected too.
“The high sustained winds of Hurricane Irma were extremely damaging for tropical fruit growers in the South Florida growing regions,” confirms Marc Holbik, president of Ecoripe Tropicals, Inc. Many sustained significant damage, he says, causing reverberations throughout the industry.
Ports and Cargo As a key hub for international trade, a halt in Miami’s maritime commerce affects not only the United States but numerous countries around the globe. PortMiami provides huge advantages to those in the produce industry: not only does it have the most U.S. Department of Agriculture (USDA) staff of any U.S. port of entry—so perishables are processed and released quickly—but the Port Tunnel makes it the only port with direct access to the U.S. highway system.
It is also the closest port to Latin America and the Caribbean, and boasts 228 million square feet of warehouse space with another 13 new bulk warehouses currently under construction.
Fortunately, the path of Hurricane Irma spared PortMiami’s infrastructure; however, the movement of Irma, Maria, Nate, and other storms throughout the region and surrounding islands wreaked plenty of havoc, especially for ships trying to get into port.
Tannehill likened it to a game of dodgeball as the huge ships tried to navigate treacherous waters. “It became a high-stakes game for either getting in and out quickly to load containers or waiting it out at sea, which made our job very difficult.”
Houston ports were deeply affected by Hurricane Harvey, which in turn impacted Miami and the many buyers and sellers with ties to multiple ports. The Houston ship channel was closed to vessel sailing for almost a week, and the closure of government agencies for days halted fumigations and other releases, says Pat Compres, CEO of Miami-based Advance Customs Brokers & Consulting, LLC.
Some vessels were diverted, but “local vendors offering transloads were not prepared for the volume and the need for expeditious service for these time-sensitive commodities,” comments Compres. “This created a substantial economic burden for the importers affected.”
It didn’t help that a subtle shift in some shipping patterns was already underway. “Importers are taking more advantage of arrivals at different ports to avoid trucking costs,” adds Compres.
The change, she says, was evident by growth at ports not previously known as “big perishables terminals” like Houston and Savannah. Yet all were affected by the aftermath of the hurricanes to some degree.
Contingency Plans and Power Losses For many in the industry, the storm’s impact created immediate challenges like power outages affecting phones, internet, and refrigeration. As many as 10 million people in Florida were without power, and it took over a week for some to get it back.
Frank Ramos, president of The Perishable Specialist, Inc. in Miami, felt very fortunate despite the devastation. Although his business had days without power and there were closures at airports and ports, the “majority of cargo we had scheduled to arrive into South Florida was diverted to other ports and handled smoothly,” he says.
Others, like Advance Customs & Brokers, swung into action with a hurricane season contingency plan, hoping to limit disruption to customers. “In addition to maintaining generators, which provided the ability for us to continue work in our office,” Compres shares, “we sent three people out of state to provide smooth service and be able to comply with all the U.S. Customs and Border Protection (CPB) regulations.”
Caribbean Clients In addition to Florida’s recovery efforts from Hurricane Irma, the islands sprinkled throughout the Caribbean bore the brunt of Irma, Maria, and Nate. Trade in the region was already struggling, according to Tannehill, who says 2016 saw some growth in the Caribbean but a distinct “softness in the economy.” He attributes the weakened demand to political instability in the United States and Miami’s Zika outbreak in 2017—but was heartened with the beginnings of a rebound.
Tannehill believes this year, 2018, will most likely be marked by rebuilding efforts for the islands devastated by Mother Nature. “It’s really about where we go from here; the northern half of the Caribbean chain was pretty devastated across the board,” he says. “There are at least five to six islands that will take anywhere from a year to two years to rebound.”
Back to Business: Healthy & Convenient Despite the many problems, buyers and sellers just wanted to get back to business as quickly as possible. And a big part of the current market revolves around rising consumer demand for fresh products that are both healthy and convenient.
The hunger for convenience is not only changing the grocery landscape, but turning up everywhere—from convenience stores and airports to high-end department stores. Then there’s the Amazon and Whole Foods combo, marrying Amazon’s mastery of convenience with Whole Foods’ fresh market élan. This tumultuous landscape is forcing change. “The desire for convenience and ‘on demand’ service is really pushing produce to a whole new level,” confirms Leslie Simmons, vice president at Dave’s Specialty Imports, Inc.
Although demand for healthy foods is not new, the emphasis for fresh-made-easy continues to ramp up throughout the food industry. Traditional grocers are buying meal kit providers and increasing foodservice offerings in their stores, while smaller operations are partnering with pickup or delivery services in urban areas.
FRESH FORUM Do you have any predictions for the coming year?
Rosann Cabrera, Bayshore Produce, LLC There should be growth in the export arena; the USDA is visiting the Caribbean market, trying to find ways to increase all U.S. exports.
Pat Compres, Advance Customs Brokers & Consulting, LLC We see continued growth in imports of blueberries from Peru. Additionally, with the recent U.S. market access granted by APHIS [Animal and Plant Health Services], we’ll see new imports of Hass avocados from Colombia and lemons from Argentina.
Frank A. Ramos, The Perishable Specialist, Inc. I predict 2018 to be a great year, because the glass is always half full and the sun always comes up the next day.
Marc Holbik, Ecoripe Tropicals We hope in 2018 to see the continued growth of tropical exotics, with rambutan becoming more common in supermarkets across the nation, and longan beginning to get more attention.
The push for healthier eating is impacting importers as well, as consumers are seeking a wider variety of choices—all year long. Compres confirms the surging demand, noting reams of increased paperwork as import volumes continue to climb.
Blazing Berries The berry category, in particular, is benefiting from expanded marketing and consumer awareness of the fruit’s health benefits. Dave’s Specialty Imports, which focuses on berries, partners with growers throughout Latin America and Mexico to keep up with demand, including blueberries from Peru and Chile, strawberries from Mexico, and organic cherries from Argentina.
Heightening demand has clearly made Peru a “player in the blueberry market in the last few years,” says Simmons, though it has been “challenging to predict what we used to consider the typical pattern for the import season.” With Peru’s strong volume, imports can “force the market to take a big dive due to oversaturation.”
Ramos also imports a great deal of product from Central and South America. The company began its season in late summer with “good volumes of air and ocean [shipped] asparagus from Peru, and mangos from Brazil.” Next were blueberries from Argentina, then Peru, before moving into Chile.
Tempting Tropicals Whether locally produced or internationally sourced, the desire for a wide array of tropical produce remains unabated. Once an ethnic specialty, many exotic fruits are carving a strong niche for themselves, showing up on supermarket shelves and driving increased curiosity and consumption.
Locally, grower-shipper Ecoripe Trop-icals focuses on tropical fruit from the Homestead growing region, where Holbik says South Florida’s subtropical climate is a perfect match for exotics.
The region’s agricultural superstar, Miami-Dade County, is the number-one U.S. producer of mangos, carambola, lychees, longan, mamey sapote, bananas, plantains, atemoya, coconut, sapodilla, jackfruit, and passion fruit. It also ranks fifth in the nation for avocado production, with more than 10,000 acres devoted to tropical fruit.
Rosann Cabrera, general manager for importer-exporter Bayshore Produce, LLC, handles as much local or ‘Redland Raised’ produce from Miami-Dade as possible. Although it doesn’t make up a large portion of the company’s product line, she’s seen an increase in Florida avocados, particularly the Slimcado, a variety that garnered its name due to lower fat content and fewer calories. The company also imports from Chile, working with growers there every season.
In addition to offering customers local produce, Ecoripe Tropicals’ lineup includes imported exotics like rambutan from Guatemala, soursop from Grenada, and durian from Thailand, as well as okra and specialty eggplant varieties from Guatemala and Honduras in the winter.
Food Safety Focus Impending Food Safety Modernization Act rules are also keeping suppliers and retailers on their toes. “Food safety is at the forefront of everyone’s mind,” contends Tannehill, who has received increased interest from island customers regarding supply chain safety and prevention of outbreaks in listeria or salmonella.
Over at Dave’s Specialty Imports, food safety is top of mind as well. “We’re working very hard to stay in line with the requirements as they come into law,” confirms Simmons, “but we find individual retailers and foodservice operators often have their own set of requirements for food safety. It’s a juggling act, but a necessary one.”
Import Verification Importers are also dealing with Foreign Supplier Verification Program (FSVP) requirements, including the designation of personnel to “develop an FSVP for each food imported from each supplier, and to monitor foreign suppliers’ U.S. Food and Drug Administration (FDA) compliance,” says Compres.
The good news is the import verification program will reduce delays in receiving imported products, explains Cabrera, but stresses the importance of staying up to date on the paperwork and recordkeeping of the mandated food safety requirements.
At the Perishable Specialist, implementation began last May, and Ramos is “happy to report our customers are 100 percent in compliance.” Ramos is a firm proponent of the FDA’s Food Safety Plan Builder, a free software program that can help companies create their food safety plan.
Other Safety Measures Other legislation is impacting produce businesses too, such as changes to the Automated Commercial Environment, known as ACE, for border crossings. Compres says the CPB and USDA continue to work together to provide transparency and streamline border crossing documentation.
Unfortunately, she notes, there continue to be “delays in release [of product] and a lack of visibility” which in turn create “redundancies in communication and follow-up with government agencies.”
Staying Sunny Despite the unprecedented bombardment of weather incidents last year, and the ever-present challenges they present for the industry, those in Miami continue to look to the sunny side of things.
Even with the recent spate of setbacks, the resounding echo among produce dealers was one of thankfulness that the losses weren’t worse, and unity, to help those in need.
For better or worse, Miami’s buyers and sellers are in it for the long haul, as the benefits far outweigh the pain points.
“Not only is Miami one of the few areas in the United States where tropical fruit and vegetables can be grown, but it’s also a key transportation hub and point of entry for imports from around the world,” says Holbik.
Ramos simply says, “We are proud to call Miami home.”
