Tesco calls for lower supplier prices

Fruitnet.com 31 January 2009

Tesco chief executive Sir Terry Leahy claims suppliers must pass savings made from lower commodity prices on to consumers

Tesco has called on its suppliers to pass savings made from falling commodity prices on to consumers, claiming that it is critically important that savings translate into lower retail prices to ease financial pressures on shoppers.

In a keynote address at the prestigious City Food Lecture in London this week, Tesco chief executive Sir Terry Leahy (pictured) told an invited food industry audience that rising demand for discount goods underlined the need for lower prices for consumers.

“Commodity prices are down by over 50 per cent from their peak, while the price of oil is down by over US$100 – these lower prices need to be passed into the supply chain and fed on to consumers who are under growing financial pressure,” he said.

Sir Terry said that Tesco wanted to ensure that all its suppliers understood this and was “going to great lengths to speak to them about the pressures consumers are under”.

The Tesco chief executive argued that although the adjustment “would be difficult for some”, it was “critical if consumers are to be given what they need”.

As evidence of the demand for lower prices, Sir Terry claimed that the retailer was now Britain’s biggest discounter and said sales of Tesco’s discount and value ranges had increased by 65 per cent compared with a year ago.

He also delivered a robust defence of free market economics, claiming that agricultural subsidies were “too high”, reducing the efficiency of agriculture production and keeping food prices in protected markets “artificially high”.

But environmental concerns were also tackled in the speech and the Tesco chief claimed that government backing for biofuels had backfired, causing forests to be cleared and leaving “less land was available for other crops”.

Papaya production falls in November from year ago

Hawai'i papaya production fell 14 percent in November from the same month a year earlier, but was still 1 percent higher over the first 11 months of the year compared with the same period the previous year, according to the latest estimates from the National Agricultural Statistics Service.

Farmers produced an estimated 2.6 million pounds of papaya in November. Production for the first 11 months of the year totaled 28.1 million pounds.

Growers received an estimated 39 cents per pound of fresh papaya in Novemberr, 4 cents less than in October but about 1 cent more than a year earlier.

Although production was good for some growers, poor economic hampered sales, the NASS said.

Source: honoluluadvertiser.com

Publication date: 1/28/2009

India: Nalgonda farmer’s effort bears fruit

A progressive farmer has shown the way to cultivate imported variety of papaya and export the same to far off places by adhering to a prudent water, pest and marketing management.

Aruri Swamy, a 38-year-old young farmer of Aregudem village in Chityal mandal, earned a name for himself in papaya cultivation and bagged the district level best farmer award at the Sankranthi Puraskaralu ceremony held here last week. Swamy who started papaya cultivation on a small scale several years ago expanded and diversified his agriculture venture by importing Red-lady variety of papaya seeds from Taiwan through a Pune-based agency.

“I have cultivated Red-Lady variety of Papaya in eight acres as there is huge demand for the fruit in the market”, said Swamy. On an average I sell most of my produce at the fruit market in Gaddiannaram in Hyderabad from where the fruits are exported to far off places including Dubai, he said. “Though I completed my degree from City College in Hyderabad, I switched over to agriculture which I consider a noble occupation”, Swamy remarked. “I am earning a minimum of Rs. 3 lakh on cultivation of papaya per acre in a span of one-and-half year. It is respectable as well as a rewarding profession”, he said with a sense of pride.

The use of bio-fertilizers like vermin-compost and neem-based pesticides besides drip irrigation helped me achieve high production, he said. The red-lady variety of papaya is the most sought after fruit in the market due to its delicious taste, nutritious contents and economic price, he explained. “The growing health consciousness among the people came as a boon for papaya cultivators like me,” he said jubilantly.

The entrepreneur skills of Swamy motivated several other farmers in the village to take up papaya cultivation. More farmers should emulate Swamy who has shown remarkable aptitude in papaya cultivation and its marketing, said the district Assistant Director (Horticulture) V. Sarojini Devi.


Source: hindu.com

Publication date: 1/26/2009

Malaysia: MAFC's papaya processing centre to be ready by April

Khazanah Nasional Bhd's wholly-owned subsidiary Malaysian Agrifood Corporation Bhd (MAFC) is set to make a significant impact on the papaya production in the country.

It expects to complete its new collection, processing and packaging centre for papaya in Lanchang, Pahang in April this year.

Its chief executive officer Azizi Meor Ngah said the new centre will have a capacity of sorting, grading and packaging 80 tonnes papaya per day.

He said the company invested RM16 million to set up the centre.

"The construction of the new centre has started and it is expected to complete by April this year," he told Bernama on the sidelines of the launching of Permanent Food Production Park and Modern Agriculture Park in Lanchang, Pahang on Tuesday.

Currently, the company exports about one metric tonne of papayas to United Kingdom every week.

It also exports the fruits to Singapore.

Azizi said MAFC was also planning to export papayas to the Middle East and China.

MAFC was established in 2006 with the specific aim of restructuring Malaysia's agrifood production and distribution system through an integrated value adding management that gives priority to global standards of food safety, quality and sustainability.

In 2007, the company, which is the anchor tenant in Lanchang Permanent Food Production Park, set up a seed garden and a 20 hectare model farm at the park to grow the unique papaya variety called frangi hybrid.

The model farm has been producing two tonnes of papaya daily. It also serves as a model farm to campaign and woo contract farmers, and at the same time provide training in growing the frangi papaya under good agricultural practices.


Source: bernama.com

Publication date: 1/15/2009

UK: Environment secretary on food labelling

UK’s Environment Secretary Hilary Benn said that supermarkets and companies needed to label products more clearly to show consumers exactly where their food was coming from. Under current European regulations, a product's country of origin was the place where it had undergone its last significant process, but this could hide where it had really come from. Mr Benn suggested a voluntary labelling scheme for retailers and caterers that would show the country of origin. The Food and Drink Federation, however, said it would be an expensive move to label products like pizza or pies that had a number of ingredients. Speaking at the Oxford Farming Conference, Mr Benn said consumers could help boost the agricultural industry by eating healthier, locally produced food that was also more environmentally friendly because of less transport.

Robin Maynard, Soil Association Campaigns Director, commented that Hilary Benn should know there was already a label that delivered what he was calling for: the Soil Association's organic symbol, which offered a 'one-stop shop' for consumers wanting food free from bad ingredients, providing high animal welfare and care for the environment. Given organic farming used 26% less energy to produce the same amount of food as non-organic agriculture, organic farmers would be top contenders for Mr Benn's 'low-carbon farming award'. Robin Maynard continued that it was time the Secretary of State and Defra finally acknowledged that there was a burgeoning body of British farmers doing exactly what he and the public said they want, producing sustainable, climate-friendly food that was what our long-term food security depended on above all.


http://www.telegraph.co.uk

14.01.2009

Malaysia: Papaya to fare well at food park

Papaya will be among the main products of the proposed food park in Lanchang.

A total of 32 companies were allocated 40ha of land each in the park set up under the East Coast Economic Region masterplan.

For a start, 20ha will be planted with the Pailo papaya (a hybrid species) together with crops like dragon fruit, guava and star fruit.

The initiative has been carried out by Malaysian Agrifood Corporation Bhd (MAFC) aggressively since last year.

MAFC corporate communications vice president Raja Zalila Raja Safran said that five farmers were groomed by the corporation to supply Paiola papayas under a contract-farming scheme.

Raja Zalila said that MAFC was a government-linked corporation formed to restructure agrifood production and distribution in 2006.

It was among the 32 companies allocated 40ha in the park and the anchor company for the production of papaya as a commercial fruit.

Raja Zalila said the project started with a seed garden and a 20ha model farm growing the frangi papaya hybrid.

“Paiola is a commercial name coined for the hybrid by combining the word papaya and the expression of ‘oo la la’.

“Overseas customers are attracted by the name because of its easy pronunciation,” Raja Zalila said in an interview recently.

“Coincidentally, it means nutritional in the Polynesian language,” she said.

Raja Zalila said the papaya was perfect for the project as it had high demand locally and abroad.

“It is petite and palm-sized with golden yellow skin and firm, sweet, deep crimson flesh.

“It can be kept a week longer than ordinary papayas and this makes the exporting process favourable,” she said.

The 3,600ha park has 400ha of gazetted land for the participation of smallholders. The remaining areas are allocated to companies, including big corporations, which act as anchors for the smallholders.

With supply from selected farmers, Raja Zalila said that MAFC could export eight tonnes of Paiola papayas daily by the middle of next year and 13 tonnes by yearend.

She said the Paiola was sold in Singapore, Hong Kong and Britain and fetched RM12 per fruit.

Participating farmer Shahriman Akma Shabudin, 29, said the opportunity allowed him to focus on producing papayas as seedling production and marketing was handled by MAFC.

“The company provides technical assistance and helps us deal with plant diseases and other problems,” said Shahriman, who has a degree in information technology.

Another participant, Norizan Osman, 47, said she joined the project to penetrate the international market.

“I will have no problems as MAFC has an extensive network locally and globally,” said the mother of four, who was previously involved in producing organic vegetables in Lanchang.


Source: thestar.com.my

Publication date: 1/14/2009

November Papaya Crop Drops

WASHINGTON - Jan 12/09 - SNS -- Hawaii fresh papaya production is estimated at 2.65 million pounds for November 2008, down 11% from October and 14% lower than a year ago, according to the USDA's latest crop production estimates.

Total crop area for November is estimated at 2,425 acres, up 10% from October and up 15% from November 2007. Harvested area totaled 1,460 acres, up 8% from the previous month and 7% higher than November 2007.

Weather conditions during November were generally dry, but periods of heavy showers helped replenish soil moisture levels in a few locations. In orchards exposed to prolonged dry weather, gaps in fruit columns remained evident. Young orchards made steady progress and regular spraying programs kept weeds and insects under control. Although production was good for some growers, low demand hampered sales, resulting in unsold fruit.

UK: Imported fresh produce prices to soar

David says: Will exotics be affected? Of course


The cost of fresh fruit and vegetables will soar this year as European farmers shun the plunging pound. British importers believe shoppers will face increases as high as 20 per cent in coming weeks, with some produce disappearing from our shelves altogether. All sorts of fresh produce is affected but potatoes, onions and tomatoes are particularly at risk from fluctuating prices.

Producers and growers on the Continent are losing out because of sterling's slide and are putting up their prices for the UK market to compensate or bypassing it altogether in favour of their eurozone neighbours who have not been hit by sterling’s currency slump.

In weeks the pound has lost almost a quarter of its value against the euro, creating a nightmare for importers.

While independent shops will be hardest hit because they don’t have the commercial muscle of the major supermarket chains, even retail giants like Tesco and Sainsbury’s will be forced to up prices, if pressure on margins continues.

Some analysts believe even more greengrocers will disappear from our high streets. Simon Lane, managing director of importers Fruco plc, said: “The problem is that the producers and growers have the option to sell to other markets in the EC. “Margins when dealing with sterling are being squeezed all round and inevitably people here will have to pay more for their fresh produce.” More than 3,000 greengrocers have vanished from Britain’s high streets in the past decade.

Alex Liasi, of wholesalers 4degreesC in London’s New Spitalfields market, said: “One of our farmers in Spain says he is currently losing £500 on every lorry load of fresh produce he sends to the UK. “A lot of produce is now being shipped to Russia because they are prepared to pay more than we are.


Fruit and vegetable prices are already at risk from controversial European Union rules which would see many of the pesticides used by UK farmers outlawed.


Source: internationalsupermarketnews.com

Publication date: 1/8/2009

Malaysia: Big payoff in paiola papayas

"Paiola" is a strange word to many but not to farmers here, particularly those involved in the Lanchang Fruit Park project.

Paiola is a papaya hybrid developed and promoted by the Malaysian Agrifood Corporation (MAFC).

Five local farmers are now being groomed by the corporation to supply the paiola papayas under the contract farming scheme.

MAFC is a government- linked corporation that has since 2006 been entrusted with restructuring the country's agrifood production and distribution system.

It is among the 32 companies being allocated at least 40ha in the Lanchang Fruit Park and has been the anchor company for the production of papayas in the commercial fruit orchard under the East Coast Economic Region.
MAFC vice-president of corporate communications Raja Zalila Raja Safran said the project in Lanchang started with the setting up of a seed garden and a 20ha model farm to grow the papaya variety.

"Paiola is the commercial name for our hybrid which we coined from the word papaya and the expression of 'oo la la'. It also means 'nutritional' in Polynesian," she said.

Raja Zalila said paiola was the perfect fruit for the project as it had high demand locally and abroad.

"It is small, like the size of a palm, with golden yellow skin and sweet and deep crimson flesh.

"It can also be kept a week longer than ordinary papayas," she said when met at the MAFC seed garden in Lanchang.

Raja Zalila said the farmers were selected under a programme to develop local agro-entrepreneurs in the Lanchang Fruit Park.

The 3,600ha fruit park contains 400ha gazetted as permanent food production park to allow the participation of local smallholders.

The remaining areas are allocated to companies, including big corporations which act as the anchor for the smallholders.

With the supply from the selected farmers, Raja Zalila said MAFC would be able to export eight tonnes of paiola daily by the middle of next year and 13 tonnes by the year-end.

She said the paiola were now sold in Singapore, Hong Kong and London and could fetch RM12 each.

One of the farmers involved in the project, Shahriman Akma Shabudin, 29, said the opportunity had allowed him to focus on growing the papayas as the production of seedlings and marketing were handled by MAFC.

"They also provide technical assistance and help us deal with diseases and other problems," said Shahriman, a graduate in information technology.

Another participant, Nori- zan Osman, said she decided to join the project as it would allow her to penetrate the international market.

"I have no problem marketing my produce as MAFC has an extensive network locally and globally," said the 47- year-old mother of four who was previously involved in the production of organic vegetables in Lanchang.

The Lanchang Fruit Park will be launched by Prime Minister Datuk Seri Abdullah Ahmad Badawi on Jan 13.


Source: nst.com.my

Publication date: 1/6/2009

Exotic fruit sales plunge in Italy

CIA reports 25 per cent year-on-year fall in sales of pineapples, bananas, avocados and mangoes during festive period

The amount of exotic fruit consumed in Italy over the festive period fell dramatically compared with the same period of 2007, according to Italian farming organisation CIA.

In a statement, the group reported a year-on-year downturn of more than 25 per cent in sales of fruits such as pineapples, avocados, bananas and mangoes eaten in the country over Christmas and New Year.

Overall sales of fresh fruit and vegetables fell by 1.5 per cent compared with the year before, according to CIA. However, sales of dried fruit and nuts rose by 2.5 per cent, while vegetable sales grew by 3.5 per cent on the back of increased demand for lentils and beans.

Before Christmas, Italy's Minister of Agriculture Luca Zaia called on consumers to boycott pineapples and other imported food items over the holiday period in favour of traditional domestic products.

The calls were met with dismay from the trade, however, with industry body Fruit Imprese labelling the minister's comments "misguided".

According to CIA, the majority of Italy's 23m families did their shopping in retail stores (56 per cent), followed by traditional stores (24 per cent), local markets (18 per cent) and the internet (2 per cent)

www.fruitnet.com 5 January 2009