PANEL FINDS SAFETY ISSUES SPROUTING IN PRODUCE FIELD

LIZA B. ZIMMERMANN

DALLAS -- Food-safety concerns are rippling their way up the produce-distribution chain and causing companies to re-evaluate their operations and react, according to a panel that represents the upper reaches of that chain.

The panel of produce experts, convened for a fast-paced question-and-answer session at the United Fresh Fruit and Vegetable Association's convention here, said that end users, such as retailers and food-service operators, are sending those waves of concern up the produce pipeline. The result for suppliers, as David Bernstein, executive vice president of Pacific Fruit, New York, put it, is that "food safety is not an option; it's an imperative."

Bernstein, United's incoming chairman, opened the wide-ranging session by mentioning the growing emphasis on food safety industrywide. When the discussion was directed to challenges the panelists believed their companies and the industry faced, food safety became the focus.

Mitt Parker, president of FreshPoint, a produce wholesaler in Forest Park, Ga., said his first priority is "bringing [our] facilities in line with food-safety issues."

Bruce McEvoy, chief operating officer of Seald Sweet Growers, a sales and marketing operation for packers in Vero Beach, Fla., said that education regarding the issue of food safety was a key for his company. "We're trying to be proactive and ready," he said.

Using education to sharpen its own operation is also a priority at Boskovich Farms, a grower, packer and shipper based in Oxnard, Calif. Said panelist Joe Boskovich, chief executive officer: "Our approach to food safety was to start with water education, literally from the ground up."

For Mike Stuart, executive vice president of the Florida Fruit and Vegetable Association, Orlando, Fla., the concern manifests itself in a vigil to guard against government regulation that would further mandate produce-handling practices in the name of safety.

"Industry has done a great job of being proactive with microbiological issues," Stuart said. "I think the thing we need to worry about is trying to make sure those voluntary programs [to deal with produce safety] don't become mandatory. We need to bring some reality into the marketplace."

Mark Hayes, president of Twin Garden Sales, a grower-shipper sales operation in Harvard, Ill., said that when it comes to food safety, there's "a perception that it's HACCP or nothing."

Boskovich agreed that food safety was a major issue. He said the emphasis had increased so much that "major restaurant chains will want to see your facility."

The FFVA's Stuart said it was important to take the proper steps in order to minimize risks. He also said that the right measures to ensure safer produce operations may not necessarily add cost.

Tom Stenzel, president of the United Fresh Fruit and Vegetable Association, Alexandria, Va., asked the panelists to share what their produce nightmares are. Seald Sweet's McEvoy said he has nightmares over the "realization of how global our business has become. All of a sudden we have a new dynamic in the traditional marketplace," he said.

The FFVA's Stuart concurred, explaining that his regional trade group has "been on the front lines with globalization issues." Stuart also stressed the emerging importance for the industry to learn to balance domestic and international markets, in light of the globalization of the business.

"It's getting harder and harder to find labor in the United States," said Stenzel, citing a factor about globalization that is challenging many domestic players.

Boskovich estimated that the percentage of illegal immigrants now employed in the produce industry could be as high as 90%.

And Stuart explained that the FFVA was "working on establishing a pilot program that would let workers come on a guest program."

Stenzel also asked the five-man panel to detail exactly what had made their operations successful.

FreshPoint's Parker said that much of his company's achievements are generated by the strength of its personnel. "All of our businesses are based on relationships. Our strength comes from our people."

McEvoy, of Seald Sweet Growers, said it was vital for a successful operation to continue to add and create value for its members.

Stuart, of FFVA, said his association strives "to be partners with our members." He also said he believes FFVA had "done a good job of anticipating issues and making sure we have programs and services."

Stenzel then asked the panelists to analyze the trend toward consolidation throughout the produce industry.

Said FreshPoint's Parker: "I think we still have a vision that we want a presence in every market. Consolidation is necessary to do what we need to do, and we want total market coverage."

Seald Sweet's McEvoy said globalization at the retail level was "increasing in intensity. You have to look at the reason. It's being done to take costs out."

Twin Garden's Hayes saw retail consolidation in a negative light. He said it had hurt relationships in the industry and that cutbacks had made everyone busier and less accessible. And he warned that "consolidation is going to drag into the grower-shipper side."

When Stenzel asked the panelists how they envisioned the future of the produce industry, Parker said his No. 1 goal was "to continue to invest in our people."

Said FFVA's Stuart: "It's going to come down to improving quality and offering product at a lower cost. From an organizational standpoint, we have to make sure that our members remain competitive."

Added Boskovich: "We have to continue to look at our product line and see how it's going to be used in the future."

For Hayes at Twin Garden, the future challenge is, "Everyday, you have to ask yourself, 'Are you making your product and services the best they can be?' "

Hayes noted that a big change of personnel was under way industrywide, as much of the old guard in the produce industry has begun to pass the reigns of business onto their kids.

During this transition period, "There has got to be a good foundation, to make sure that the produce business stays solid," Hayes stressed.