The Creation & Aftermath Defining Fresh and Local.
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Transcript of The Creation & Aftermath Defining Fresh and Local.
The Creation & Aftermath
Defining Fresh and Local
“Plant
Cedar Meadow Farm
Lancaster Growers
Genuardi’s Family Markets
to
Plate”
Plant to Plate
• Irrigation and Nutrients
• Soil
• Labor
• Weed
• Pest
Production Management
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
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%
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
Market Management
• Management
• Marketing
• Logistics
• Finance
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
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
Tomatoes
Field Grown v. High Tunnel
• 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 $5-10,000*
– Labor• Less Labor intensive per
acre
* Does not account all expenses such as equipment, land, own salary, etc.
Lancaster Growers/Genuardi’s
• Relations– Strategic management
• Early season pricing higher than Lancaster Price
• Sells off full supply (1200 dozen in one morning, trying to expand cucurbits)
– Farm Price v. Consumer price• On farm price ~$.30/lb• In store price ~$.99-4.00/lb
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
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
Conclusion