the creation & aftermath defining fresh and local

15
The Creation & Aftermath Defining Fresh and Local

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Page 1: The Creation & Aftermath Defining Fresh and Local

The Creation & Aftermath

Defining Fresh and Local

Page 2: The Creation & Aftermath Defining Fresh and Local

“Plant

Cedar Meadow Farm

Lancaster Growers

Genuardi’s Family Markets

to

Plate”

Plant to Plate

Page 3: The Creation & Aftermath Defining Fresh and Local

• Irrigation and Nutrients

• Soil

• Labor

• Weed

• Pest

Production Management

Page 4: The Creation & Aftermath Defining Fresh and Local

Production Management

• Irrigation– Drip irrigation and fertigation

for all tomatoes• 28 acres

– High tunnel more intense

• Soil– No-till cover crop practices

• Re-builds soil• Helps protect tomatoes &

cucurbits• Minimizes erosion

Page 5: The Creation & Aftermath Defining Fresh and Local

Production Management

• Weed– No-till cover crop minimizes weeds.– Uses minimal herbicides and cultural

practices.– Uses a black ground cover in the high

tunnel.– Biggest concern is Night Shade.

• Pest– Sprays according to #’s in

pheromone traps– Other concerns

• Groundhogs - $5k in damages• Spider mites - Tomato Plant• Crows and other birds -

Tomato

Ground cover reduced weeds by over 90%

Page 6: The Creation & Aftermath Defining Fresh and Local

Production Management

• Labor– Hired a field manager to simplify

problems– 1st year with international program– Accounts for 50% of expenses

Biggest Problem is finding dependable labor

Last Last Year Year Hired Hired 3838 Different Different PeoplePeople

Page 7: The Creation & Aftermath Defining Fresh and Local

Market Management

• Management

• Marketing

• Logistics

• Finance

Page 8: The Creation & Aftermath Defining Fresh and Local

Market Management

• Management, Logistics and Marketing– Outsourced to Lancaster Growers for the Genuardi’s account.

– Father deals with the local accounts (Restaurants and Auctions).

3 local auctionsPremium for early seasonAny type, grade, and size soldEarly Season Avg. ~$30/25lbsAvg. ~$30/25lbsLate Season Avg. ~$9/25lbsAvg. ~$9/25lbs

33 stores No premiumsOnly # 1’s and Mediums

All Season Set Price $9/25lbsSet Price $9/25lbs

Page 9: The Creation & Aftermath Defining Fresh and Local

Market Management

• Finance– Uses net profit to finance overhead, depreciation,

and family living expenses– Land assets split up between family. Ownership is

transferred over time

Page 10: The Creation & Aftermath Defining Fresh and Local

Tomatoes

Field Grown v. High Tunnel

Page 11: The Creation & Aftermath Defining Fresh and Local

• High Tunnel– 1 Acre– Weather

• Not a real variable

– Volume• 30% more per acre

– Quality• 80% #1 grades

– Margins• Nets $15-20,000*

– Labor• Requires more labor

– Investment• $25,000 + Labor for set

up.

• Field Tomatoes– 7 Acres– Weather

• Biggest factor

– Volume• Less per acre

– Quality• Suffers due to weather

– Margins• Nets $5-10,000*

– Labor• Less Labor intensive per

acre

* Does not account all expenses such as equipment, land, own salary, etc.

Page 12: The Creation & Aftermath Defining Fresh and Local

Lancaster Growers/Genuardi’s

• Relations– Strategic management

• Early season pricing higher than Lancaster Price

• Sells off full supply (1200 dozen in one morning, trying to expand cucurbits)

– Farm Price v. Consumer price• On farm price ~$.30/lb• In store price ~$.99-4.00/lb

Page 13: The Creation & Aftermath Defining Fresh and Local

Lancaster Growers/Genuardi’s

• Supplier– 5 Farms, 5 Trucks– Just In Time (JIT) approach

• 7:30 pick up• Reach all stores by 3pm

Sweet corn within 12hrsTomatoes within 24hrs V

INE

RIPE

Page 14: The Creation & Aftermath Defining Fresh and Local

Lancaster Growers/Genuardi’s• Demand

– High demand for fresh products• Expansion to other products

– Constant throughout the summer• New Jersey v. Lancaster Products

– High competition within

– Stores advertise according to area

Page 15: The Creation & Aftermath Defining Fresh and Local

Conclusion