While we are in "promotion" mode:
If you happen to be in Chicago and/or at the FPSA/PACK Expo at McCormick Center next week, stop in and take in my presentation Tuesday morning at 8:30: http://pei2008.packexpo.com/attendee/tracks_all.html
I will be talking about in-plant traceability from the perspective of the processor. Tools and methods to take advantage of new technology to increase the granularity of traceability for processed food products. This will effectively point back to the FM Alert! function I mentioned here yesterday (see below), and our responsibility to consumers to do everything reasonable to assure food safety.
While you are there, stop by the Key booth. You can see our new Manta sorter; stop by for a snack and beverage at the end of the day.
I hope to see you there!
Tim
Friday, November 7, 2008
FPSA Chicago Presentation
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POTATO CONTRACTS TO INCREASE IN 2009
Food Processor News Network
December 2008 Special Edition
BOISE, ID - French fry processors will pay significantly more for Pacific Northwest potatoes next year as a result of higher input costs.
Officials at the J.R. Simplot Co. and ConAgra Foods (Lamb-Weston) recently announced that they have increased contract prices for 2009 crop potatoes.
For PNW growers, the new contracts mean an overall increase of about 33 percent in Washington and 50 percent in Idaho for field run potatoes compared with 2008 levels. The greater percentage gain in Idaho reflects lower average yields.
J.R. Simplot Co. and Lamb-Weston have indicated that the higher potato contract prices in 2009 are a recognition by French fry makers of the increased prices that potato growers are now paying for fuel, fertilizer and land rental.
The cost of growing a full-season russet potato crop in the Pacific Northwest is now more than $4,000 an acre. The 2009 Simplot and ConAgra contracts should bring profit margins in line with the increased cost of production.
The 2009 contracts also include increases in compensation to growers for long-term potato storage, reduce the risk of major deductions due to tuber defects, and will increase growers' cash flow position with improvements in the timing of payments.
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