Tag Archives: ocean spray

News from the CMC Long Beach Washington

4 Aug

This morning the U.S. Cranberry Marketing Committee members have voted unanimously for a Volume Regulation on the 2017 and 2018 crops.  This is due to the CMC’s August 2017 estimate of 10,910,000 barrels of inventory carryin.  Inventory as a % of sales is projected to be 115%.  So folks, we have a lot of cranberries in all forms in inventory with another large crop forecasted.  

FINALLY, the CMC is following their mandate to stabilize the supply of cranberries which will allow the industry to clear the decks of excess inventory.  
Both sides, the independents and Ocean Spray came together.  It was a joy to see and no I’m not being sarcastic.  This meeting may be a watershed moment for the industry.  No more “last man standing”.  No more “I win, you lose”.  Compromises were made.  No one got exactly what they wanted.  Apologies were made for previous mistakes made.  Promises were made to listen to each other in the future.  We communicated.  

The real clincher for me was Dr Richard Sexton’s presentation about the effectiveness of our marketing programs contained an supply and demand review.  His estimates that for every 1% reduction in supply that the price to grower should increase 2% regardless of which type of cranberries, whole frozen, finished goods or concentrate are disposed of got my attention!  Dr Sexton, UC Davis is a pretty big deal in the world of agricultural  economics.  That being said…will it work?  Time will tell.  There is a lot of work to be done with the staff at the CMC and USDA.  The market has to work.  There is a discussion that we may increase assessments to do more international, generic promotions.  Our work to date has been successful, but any increases need a very good plan and implementation.  

Key items:  2017 will be a handler withholding of 15% and 2018 will be a producer allotment of 75%, meaning that growers can deliver 75% of their CMC average deliveries.  There are some exemptions and the Ag Secretary has to sign off. 

 If I get a chance I may post some additional info. If you want details, go to the CMC website as I am sure they will put up the details.  

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Wow! Big win for POM in the Supreme Court

12 Jun

Wow.  So the US Supreme Court decided that POM can sue Coca Cola under the Lanham act, re false advertising.  Read the article here

http://www.businessinsider.com/scotus-revives-false-ad-claims-against-coke-2014-6

The big question in my mind is how will this affect other juice manufacturers that do the same, ie call a juice say, cranberry, when it is mostly apple and pear??  Will they put more cranberry in the bottle or call it apple, pear juice with a splash of cranberry?  I guess we will know more when POM actually sues Coca Cola.  If they win, then change is on its way, we just don’t know which change. 

Nice article about Spray’s overseas business

2 Oct

Here is a nice article about Ocean Spray’s international business. I didn’t know Pepsi is co packing for them in South America.you can find it here Of course we all know about the Chile operation which is also in the article.

News on Ocean Spray’s Bordentown plant

21 Sep

Interesting reading about how a town deals with the OS plant. As growers, we don’t have to think about this stuff but it happens every day.

Cranberry gelato? This looks delicious

16 Jul

http://www.bostonglobe.com/business/2013/07/16/blackberry-cabernet-sorbet-ocean-spray-roba-dolce-roll-out-new-frozen-dessert-flavors/UTLES9mjIAGoqSXMv56X0M/story.html

These new Ocean Spray branded gelatos look truly amazing. I can’t wait to find them and try them out…it certainly is hot enough!

Cranberry wars continued

6 Mar

Ok, so in the ongoing lawsuit between Ocean Spray and independent growers, plaintiffs (independent growers) finally got their amended complaint in and filed. Phew! It was amended a few times.  Ocean Spray has responded “hogwash” and wants the judge to throw most of the complaint out.  I have to say, a lot of what Ocean Spray says makes some sense.   Now the judge has to rule whether to let the case go forward or not. ***remember*** I’m not a lawyer, nor do I even attempt it.  When my computer starts working and will let me post actually open an adobe file, I will post the link. Very interesting reading. The OS attachments include some interesting historical reading…re..the “severe” shortage of crop in the 2008 Annual report and the efforts they made to get planting going. They left out that they told all the indedepents to “keep on planting” and here we are in 2013 with a impending huge supply of cranberries.  Everyone.  Who wants to bet at their upcoming Annual Meeting that all blame for the supply situation will fall on the independent growers? Just saying.

Cranberry Marketing committee is not prepared to help growers

26 Feb

I had hoped that the CMC would actually do their job to sustain orderly markets.  Epic fail.

After all the gyrations yesterday, it was apparent  a 35% producer allotment was the right number to take some 2mm barrels out of the supply, to assure orderly markets.  This morning the motion was made to remove 25%, to make sure there was enough fruit to enter new markets, I guess.  The motion falied with only 4 members voting for it. 2 abstentions  Amazing.  The Ocean Spray members seemed impatient to vote no, and when they got their chance they did vote no.  Only one broke with the crowd and abstained.  So, US growers, we are preparing to grow a crop of 7.5mm barrels and the markets only need 2.2mm barrels. You do the math!

I predict that some day we will look back and wish that we would have done something to help ourselves. Opportunity lost.