carbon footprinting

Back to the Future

Freshcare Q&a

Fresh state aGM

Q&a with wes PickerinG

octo

ber 02

2010

S O L U T I O N S F O R E V E R Y P A L L E T ®

1800 425 438www.toyotamaterialhandling.com.au

Guess who’s the number one forklift choicein the Australian markets?

*Source: Logistik Journal 2009

TMH0011 Markets_FP_Final_3mm_bleed.indd 1 29/7/10 4:06:29 PM

24

Blood Bank visit

12

Gala Ball

Fresh State CEO:John Roachjohn.roach@freshstate.com.au

Editor / Advertising:Sonja van Eijksonjav@freshstate.com.auContributors:Kate AdamsonMegan Mcnaught

Design:Flying Dog Designswww.fddesigns.com.au

Photography:Wuttke Photography www.wuttke.com.auCasamento Photography www.casamento.com.au

Print:King Printwww.kingprint.com.au

Distribution:Fresh State of Affairs is produced by Fresh State Ltd and is a free publication.

president’s message:

issue 02 october 201003

Welcome to the second edition of Fresh State of Affairs where we feature the Gala Ball and what a great night it was! We look at relocation from the past. What happened in the last forced relocation from the Victoria Markets to Footscray Road in the 1960s? What were the lessons and has anything changed?And we look at carbon footprinting, what is it and what are all the politicians talking about? We take a snapshot at the Fresh State staff and have a look at who’s who around the markets!

A big thanks too, to all those people who have complimented the board and management on the initiative of Fresh State of Affairs.

Fresh State Members have their say!

The Fresh State members turned out in force with over 80% of available member-ship casting their votes at the just com-pleted Fresh State board elections.

For what looks to be the first time in the history of this company we have seen some very aggressive electioneering and cam-paigning for a seat at the FSL board table.

At a special meeting of members held on the 29th of September members witnessed the great debate as new candidates held the current board accountable for their decisions over the past year. It was a debate that was enjoyed by many as both parties drilled down into FSL strategies, business units, accounts and direction.

The election took place the morning after the special members meeting. The polling

booth was set up and an independent au-ditable process undertaken. My congratula-tions to all Fresh State members for taking the time to vote which underlines the belief that they have for the organisation.

The election result showed strong commu-nity support in the current FSL board with around 75% of votes going to Joe Amalfi, Grant Nichol and I.

Fresh State held its 35th Annual General Meeting just a few days following our

elections; it was a new format starting with breakfast and a guest speaker followed by a relaxed style format that encouraged good debate for the business component.

Now it’s back on with business and whilst there were some strong messages from members during the election process that are not to be missed, we are revaluating our relocation strategy and looking at areas of reform going forward.

On behalf of the board and management I hope you find this edition of Fresh State Of Affairs both interesting and informative.

Shane SchnitzlerPresidentFresh State Ltd

Fresh State Ltd makes this magazine available on the un-derstanding the users exercise their own skill and care with respect to its use. Before relying on, or altering any business practices, users should carefully evaluate the accuracy, completeness and relevance of the information for their purpose and should obtain appropriate professional advice relevant to their particular circumstances. This magazine contains views and recommendations that do not neces-sarily reflect the views of Fresh State Ltd.

Fresh State does not in any circumstances accept respon-sibility for the accuracy or suitability or otherwise of any in-

formation published in Fresh State of Affairs. Fresh State Ltd specifically disclaims all and any liability for loss or damage of any nature whatsoever and however arising, whether due to accuracy, error or omission or any other cause.

In addition, by using the information in this magazine, each user waives and releases Fresh State, its staff and agents from any and all claims relating to the use of this document. In no event shall Fresh State Ltd be liable for any consequential damages resulting from using the information in Fresh State of Affairs.

© Fresh State Ltd 2010

This work is copyright. Apart from any use as permitted under the Copyright Act 1968, no part may be reproduced by any process without prior permission from Fresh State Ltd. Requests and inquiries concerning reproduction and rights should be addressed to:

The EditorFresh State of Affairs MagazineMarket Box 113, 542 Footscray RoadWest Melbourne VIC 3003

Disclaimer:

2 | What’s on

3 | President’s message

6 | Market relocation

8 | FSL staff profiles

12 | Gala ball winners

16 | Special general meeting

17 | Annual general meeting

20 | Melbourne Markets Credit Service (MMCS)

23 | Q&A: Wes Pickering

26 | Fresh test

contents

24 Young executive committee: The Australian Red Cross Blood Bank visit the Melbourne markets.

18 Freshcare: The On-Farm Assurance Program for Australian Horticulture.

14 spring Fling: Pictorial spread of the Fresh State Annual “Spring Fling” Gala Ball.

Published by:

www.freshstate.com.au

what’s on:

10 carbon Footprinting: Greenhouse Gas (GHG) emissions associated with a business or product.

from the president

We have seen some very aggressive electioneering and campaigning for a seat at the FSL board table.

4 history of the Market: Market history clippings. Is history repeating? Spot the difference on the time line.

9 stone Fruit season: Apricots, Nectarines, Peaches and Plums are in season plus a bonus recipe.

Shane Schnitzler

04 05

is history repeating?OF AFFAIRS issue 02 october 2010

mar

ket h

isto

ry:

1949

1962

1963

1964

1966

2002

2005

2006

2007

2009

Government engages consultant and commences workshops.

JV signed with Mirvac.

Group proceeding launched preventing sale of land to Port of Melbourne Authority.

MOU signed with Government.

Builder Appointed and site works commence.

MOU withdrawn by Government. JV terminated.

To be continued.

To be continued.

Government decided current site inadequate.

New market anounced by Government.

Land acquired for the new site.

Preliminary design launched.

Design provisionally accepted by Advisory Committee.

Ballot for Stores.

Construction and fitout complete.

1965

1967

1968

1969

2008

2010

2011

2012

Advisory Committee appointed.

spot the difference

These are common complaints around the market these days, but those who have been around long enough can’t help feeling like they have heard them all before. The decision to move from Queen Victoria Market to Footscray Rd in 1969 was made nine years before it actually took place.It was followed by passion-ate protests and then years of confusion and frustra-tion as wholesalers tried to work out what was in store for them.

They were given little in-put into the decisions that affected their businesses.

And they witnessed the repercussions, with 35 of 150 traders sent broke in the first 10 years.

So is anything different?

Dizney Crombie, past owner of J Davis Pty Ltd said when Government first mooted relocation from the Queen Victoria Market in 1960, no one believed it would actually happen.

“All our businesses were established at that site and we thought it just didn’t make sense to move us,” Dizney said.

The options for the new site were Albert Park, Parkville and the current site.

Footscray Rd was chosen because of its accessibility to road and rail transport.

But at 15 acres it was too small, and an ad-jacent 15 acres had to be purchased from the Melbourne Metropolitan Tramways Board to bring it up to its current size.

And that was just the beginning of the headaches for wholesalers. Confusion over who was going to pay for the new site dragged out for years. The Advisory Com-mittee refused to recommend a design for approval until they were given an estimate of costs. Eventually Melbourne City Coun-

cil announced that the cost would be $9 million – which would triple the required input from merchants compared to Queen Victoria Market.

This was rejected and the City Architect came back with a revised design that would put the trading area under one

pavilion style roof, and touted reduced costs. Dizney said although wholesalers made efforts to be included in the process, they often ended up frustrated.

“We tried to be involved through consultation, but it never seemed to do any

good. There always seemed to be a reason why they didn’t take our ideas on board.”

Robert Millis , then co-owner of Alfred Mil-lis and Sons, said doing business through this period was extremely difficult.

“No one could make any decisions about their business because everything was so up in the air.” He said having so much uncertainty was bad for business.

“We didn’t even know who would be pay-ing for this new site, us or the government”.

The issue of where people were going to be positioned in the new market caused a lot of stress. Eventually it was decided that stalls would be allocated through a ballot, with people choosing their site from those remaining once their number was drawn out.

“It was a nerve wracking process because it had such an impact on your business,” Robert said.

His business was among the last drawn out and as a result he initially ended up with an outside store, which put him at a disadvan-tage. He said merchants had been given no input into the design of the new site and this caused problems down the track.

“They made all of the doors the same size, but this wasn’t practical. We wanted a 40’ door not a 30’ door.”

He ended up in a long stand-off with council on the issue, which meant he did not build his coolroom on site for another 12 months. And there were issues with the layout of the pathways and the space between the stands.

“Everyone had their battles going on with council, because we weren’t given any input during the design”.

Within 10 years of the move, 35 traders had gone broke.

Robert said it was in the years after the move that the word “costing” started being used around the market.

“Up until then we all just got to the end of the year to see how much they earned,” Robert said.

Alan Dykes, of Dykes Bros, said the reloca-tion in 1969 was the “death of the ama-teur” operator. His rent went from $12 a week to $120, a jump that many business-es simply could not sustain at that time. And many were sent broke by the cost of fitting out their site.

“At the old market there were virtually no expenses so a lot of businesses were

taken by surprise. Finding the money for new cool rooms, offices and fit-outs was too much.”

His business grew from two stores to eight in the first few years as stores became empty around him.

“When we moved, everything was dif-ferent. There was different traffic flow through the market, different dynamics, different cost structure, and some busi-nesses coped better than others while some businesses did not cope at all”.

“The market went through a big consoli-dation process,” he said.

Dizney said he believed it took 15 years for businesses to settle into their new loca-

tion and for the positive atmosphere to return to the market. And now everyone is going through it all again.

“It is crazy,” he said.

He said he was extremely worried that so little has been finalised, with the move scheduled for just two years away.

“I am scared stiff that rents will sky rocket and that is no good for the consumer or the seller. It seems like we have gone full circle.”

Robert said the Government was treating businesses with disrespect by not answer-ing their questions.

“Businesses have changed a lot from 1970. These days they run very efficiently and they have got to have their costs to do their business plan.

“Last time, [Government] were more dictatorial, they told us what was hap-pening to our businesses and look what happened”!

“This time everything is just up in the air and it has stayed that way since 2006, regardless of how much money has been spent on consultants and overseas trips.”

Is history repeating itself!!

07m

arke

t rel

ocat

ion:

06 OF AFFAIRS issue 02 october 2010

is it the 1960s or 2010?

Relocation ScoRe caRd iSSUeS

QUeStionSanSWeRS

EquityThe Board requested answers to 4 main questions on equity

transfer: Deadline 11 November 2010

Deadline of 4 weeks

for acceptable answers

from 14 October 2010

1. Fresh State to receive the Governments’ allocation model /

or models (who gets what at Epping). “Like for like and no

trade ups.”

2. Fresh State to receive the Governments’ warehouse alloca-

tion model, and if there is more warehousing at Epping

than currently, then an explanation of how Government

intends to deal with current warehouse tenants equity.

3. Some form of commitment to transfer our current leases

from Footscray to Epping so that members have certainty in

planning their businesses, including buying or selling leases

at Footscray and security of tenure;

4. The $$$ amount of the IAP (Industry Assistance Package)

and what portion will go to current leaseholders.

Allocation Where you will be?NoAction

Rents How much you will pay?NoAction

Warehousing Land adjoining the market complexNoAction

ForkliftAccess Is it one rule for all?NoAction

• Confusion over store locations at the new site • Concern over who will pay • Don’t know what we will get • Frustration at a lack of information • No set date for the move to take place?

Everything is just up in the air and it has stayed that way since 2006.

Businesses have changed a lot from 1970. These days they run very efficiently and they have got to have their costs to do their business plan.

Ingredients

• 3tablespoonswhitesugar

• 3/4cupbalsamicvinegar

• 2teaspoonsfreshlygroundblack peppercorns

• 2largefreshpeacheswithpeel,halved and pitted

• 80gmsbluecheese,crumbled

Method

1. In a saucepan over medium heat, stir together the white sugar, balsamic vinegar, and pepper. Simmer until liquid has reduced by one half. It should become slightly thicker. Re-move from heat, and set aside.

2. Preheat grill for medium-high heat.

3. Lightly oil the grill grate. Place peaches on the prepared grill, cut side down. Cook for about 5 minutes, or until the flesh is caramelized. Turn peaches over. Brush the top sides with the balsamic glaze, and cook for another 2 to 3 minutes.

4. Transfer the peach halves to individual serving dishes, and drizzle with remaining glaze. Sprinkle with crumbled blue cheese.

Makes: 2 serves Prep time: 10 – 15 mins Cooking time: 5 mins

09

Market

Peaches and nectarines from northern NSW and southern Queensland started trickling into the Melbourne Markets in the last week of September with Apricots and plumsduetostartinlateOctober/earlyNovember.

Supplies of peaches and nectarines are light but slowly building and quality appears reasonably good although fruit is small. Size is expected to improve once the local sea-son gets underway from the Swan Hill and other Riverland areas. This should commence around the first week of November. The Yarra Valley and other growing districts of Victoria and Tas-mania will come on stream in early January and run through until April.

Production is expected to be good again this season with the only question mark being where adverse weather has affected some blossoms in some of the Victoria growing areas. This will impact on the level of supply available early in the New Year.

As a rule of thumb, the stone fruit season spanfromSeptember/Octoberthroughtoearly April.

It is anticipated that there will be an even mix of white and yellow flesh peaches and nectarines throughout the season.

Cherries are not included in Stone fruit as they are regarded as a separate fruit in terms of trading and will feature in the next edition.

Stone fruit Facts

Stone fruit is rich in vitamins A, C and E and are a good source of potassium and dietary fibre.

Around 100,000 tonnes of Stone fruit are produced annually in Australia worth ap-proximately $200million at first point of exchange. Australia exports around 10% by volume with a value of approximately $30million. Most exports are to Asia (Hong Kong for China) and some to the Middle East.

What to look for

Peaches: look for smooth, unblemished fruit and handle them with care.

Nectarines: should yield slightly to gentle palm pressure but should be soft and juicy. White nectarines are firmer and more crunchy than their yellow counterparts.

Plums: should be plump and full colour. They generally become dull just before they are ready to eat.

Apricots: should be deep yellow oryellow/orangeincolour,plumpand well-formed and fairly firm to the touch.

Stone fruit storage

Stone fruit should be handled carefully as they bruise easily and generally stored at room temperature. Storing in a refrigera-tor will cause the fruit to lose flavour and texture.

Wholesalers store fruit in a cool room between 2-4 degrees C to ‘hold’ the fruit.

Retail stores normally displayed at room temperature as consumers often eat the fruit within a short time span and enjoy the best the best flavour and taste this way.

As a rule of thumb, the stonefruit season span from September / October through to early April.

gri

lled p

eaches

recipe:

OF AFFAIRS issue 02 october 2010

tony nigro rePortinG services oFFicer

Tony knows more about what comes into and goes out of the market than anyone.

He is on the market floor at 6.30am keeping tabs on prices.

By 9.30am he is back in the Fresh State office entering the data so that it is can be accessed online by midday.

Tony started at the market in 1971 and since then he has also kept a close eye on what produce, and how much, is coming into Victoria.

He collates the information and also makes it available daily.

Bob Penter MeMbership services

Bob is the first stop for a member who has an issues they want to raise at the market.

His job is servicing Fresh State members, trying to generate new members and bringing in new sponsorship.

Anyone who hasn’t met him yet, is likely to see him out on the floor each morn-ing talking to members.

He said membership of Fresh State is important because “unity is everything” and representative is vital, particularly as the relocation approaches.

shqipe(Pipi) Prushi Gas station oPerator

There wouldn’t be many people at the Melbourne Market that Shqipe hasn’t met in the six years she has been at the market - the last 2 manning the gas station.

From 2am to 10am Shqipe is on hand to greet people with a smile and chat as they pay for their gas.

She said meeting all of the market regulars and getting to know what is going on in their lives is the best aspect of the job.

sonja van eijk business Manager

Sonja’s role often involves representing the market on a range of issues.

Much of her time is spent liaising with Government and making sure the market’s voice is heard.

Sonja is executive officer for the Australian Chamber, the national body of wholesal-ers - a role involving “plenty of paperwork”.

In any time left over she organises social events such as the Gala Ball and the Forklift Challenge.

Sonja can normally be found in the Fresh State office or on the market floor.

helen sneep accounts Manager /

custoMer Liaison

Helen is normally the first port of call for anyone who enters the Fresh State office.

She mans reception and performs the initial “meet and greet” as well as organ-ising meetings.

Helen has been with Fresh State for two years and is a popular member of staff, because she co-ordinates the payroll.

fsl s

taff

:08

Stone fruit Season

Apricots, Nectarines, Peaches and Plums

John roach chief executive officer

John manages Fresh State which encompasses businesses such as the Melbourne Markets Credit Service and implements the board’s direction on behalf of members.

John’s aim is to ensure Fresh State stays ‘one step ahead’ in looking after mem-bers interests, reducing their costs of business and growing Fresh State.

He believes there are benefits of having a well resourced and skilled team repre-senting merchants, with far more being cohesively achieved.

“There is enormous potential yet to be realised in the fresh produce industry but the most difficult aspect has been getting people to plan ahead instead of looking at the past”.

carb

on fo

otpr

inti

ng:

so what is carbon foot printing?

A carbon footprint is a measure of the

Greenhouse Gas (GHG) emissions associated with

a business or product. It is one measure of a business’s impact on

the environment.

Greenhouse gases are the gases that contribute to global warming are mainly carbon dioxide, methane, nitrous oxide and fluorocarbons. Because they have different impact on warming the atmosphere re-porting is done in terms of a standard unit: a carbon dioxide equivalent (CO2e).

how is it measured?

A carbon footprint is measured by taking account of all the inputs into a business or product that have GHG emissions associat-ed with them. Usually the significant inputs will be related to energy e.g. the emission from the generation of electricity used by the business.

In simple terms a footprint can be done two ways:

An organisation carbon footprint This is GHG emissions associated with the annual operation of a business with results being tracked over a year and between years.

Product carbon footprint The GHG emissions associated with a product over the period of its lifetime, from generation of raw materials e.g. fertilizer to product consumption and disposal. The chart below shows some of the emissions that may be involved in the production of a fruit crop. It would be based on a kilogram of fruit delivered to a market but will vary widely with crop, type of production, dis-tance to market and many other factors.

Depending on the crop, the on-orchard footprint for a horticultural crop could be intherange0.07-0.7kgCO2e/kgoffruit.Toput this in perspective, the GHG emissions from driving 75 km is about 18 kg CO2e.

Why the whole supply chain matters:A lot of emissions happen in the supply chain, from transport and refrigeration beyond the farm gate – made up of energy inputs by produce marketers (and potential cost savings). Consumers are becoming more conscious of the environmental impact of their purchases. Fresh produce has a healthy image and so it might make sense to back this up with facts about its environmental footprint.

What do consumers think about cli-mate change and the environmental impact of produce?

Fresh produce is seen as an important part of a healthy lifestyle. Australian consumer studies have shown that the environment is an important issue:1 2

• ThemajorityofAustraliansagreethatasignificant change in lifestyle is needed to prevent global warming with opin-ion particularly strong amongst young people: 73% of 18-24 year olds and 68% of 25-34 year olds agree that ‘we in this country will have to change our lifestyles significantly if global warming is to be stopped’.

• 13%ofshoppersclaimedtohaveknow-ingly purchased a product because of its environmental or green factors with fresh fruit and vegetables being one of the top 5 product categories people nominated as a ‘green purchase’.

Where do i start?

One of the challenges for produce sup-pliers and marketers is to keep pace with consumers as awareness around envi-ronmental footprints increases. Not every

OF AFFAIRS issue 02 october 2010

Have you ever thought about what your carbon foot print is or how carbon foot printing is measured? And most people don’t want

a complicated explanation either.

Distribution

39%22%

3%

11%

Crop growing& maintenance

Irrigation

Fertiliser

Soil

4%7%8%

5%

AgrichemicalsSorting, packing& packaging

Refrigeration

10

A carbon footprint is a measure of the Greenhouse Gas (GHG) emissions associated with a business or product.

11

company has the resources to undertake a carbon foot print of their business but here are some steps to map your opportunities and risks.3

STEP 1: Quantify your Environmental “Footprint”

You can readily quantify this based on the inputs into your business e.g. electricity, fuel, water, waste etc.

STEP 2: Assess your carbon-related risks and opportunities

Consider how the following risks could help or hurt your business:

• Regulatory–e.g.anETS

• Supplychain–e.g.supplierspassingtheir higher carbon-related costs to you

• Productandtechnology–rivalsdevelop-ing environmentally-friendly offerings such as packaging

• Reputation–destructiveconsumer or shareholder backlash

STEP 3: Adapt your business

Develop and implement strategies for reducing energy consumption and carbon emissions and consider how you might reinvent parts of your business to seize new opportunities. For the fresh produce busi-ness this will mean increasing effi-ciencies throughout the supply chain, redesigning operations to:

• Uselessen-ergy and water, produce fewer emissions and generate less waste.4

STEP 4: Do it better than rivals

This means reducing your exposure to climate-related risk and finding business opportuni-ties within those risks, developing sustainable offerings or redesigning exist-ing ones to become eco-friendly.

in summary

• AcarbonfootprintmeasurestheGreen-house gas emissions associated with your business or product

• Youcanreadilyquantifythisbasedonthe inputs into your business e.g. electric-ity, fuel, water, transport

• Consumersareincreasinglyconcernedabout the environmental impacts of products and a wide range of businesses are taking action internationally

• Afirststepistoquantifytheemissionsfrom your business or products, based on this you can then make an informed decision on what actions to take next.

The produce sector and the markets are well placed to capitalise on green per-ceptions from consumers and the health benefits of fresh fruit and vegetables by quantifying and understanding their envi-ronmental impacts.

Malcolm Garnham and Gerard McEvilly, CATALYST R&D Ltd

www.catalystnz.com

Want to Know More?

CATALYST® R&D Ltd advises businesses on how to deliver competitive advantage through sustainable innovation. We have

been undertaking carbon foot-printing projects for five years

and have specialist knowledge of the

produce sector. CATALYST® R&D was established in 2000 and

has offices in New Zealand and Sydney.

What is your carbon footprint?

An ETS is a market-based approach for reducing emissions of greenhouse gases. Emission units – sometimes called ‘carbon credits’ – are assigned a price and traded between those participants who have generated a surplus e.g. by owning a forest (which absorbs carbon dioxide) and those who wish to offset their footprint. At a country level, governments can implement an ETS to manage and meet any international commitments e.g Kyoto protocol. Legislation then determines the rules for participation and pricing.

New Zealand introduced an emissions trading scheme (ETS) on 1st July 2010 and in a subsequent edition we will review the impact of this.

What is an Emissions trading Scheme or “EtS”?

article references:

1. What Assures Consumers in Australia on Climate Change? Switching on Citizen Power 2008 Update – Australian Survey Net Balance Foundation.

2. AFGC/NetBalanceGreenShopperSummaryReport 2010.

3. Competitive Advantage on a Warming Planet. Jonathan Lash and Fred Wellington. Harvard Business Review, March 2007.

4. Why Sustainability is now the Key Driver of Innovation. Ram Nidumolu, CK Prahalad and MR Rangaswami. Harvard Business Review, September 2009.

12 13

“I didn’t even know we had been nominated. That made it even more of an honour,” he said.

“If we thought we were in with a chance we would have let the Moraitis family know so they could have been there.”

He said the best part about winning was being able to show the staff that their hard work was being recogn-ised.

Steve said the company had made a number of changes over the past year.

There has been a concerted focus on quality. Bright displays have been added and produce has been espe-cially chosen to stand out.

“We have done things like offer a medley mix of toma-toes with different types, colours and sizes, to really try to be innovative,” he said.

He said it was great to see some results for the hard work and the company was only just getting started, with many more improvements to come.

personality of the Year

Fred Pascale has not been speechless many times in his life, but he was lost for words when his name was read out as Personality of the Year.

“I just sat there. My wife had to nudge me and tell me to go up,” he said.

“Normally you can’t shut me up, I was so taken aback and honoured,” Fred, who owns Mildura Fresh IPG, said.

Fred is easy to spot at the market in his buggy deco-rated with capsicums, zucchinis and tomatoes.

In the 15 years he has been involved with the market his business has grown first from a single carpark, to

12 grower stands a few years later, and now one of the biggest stores.

He said he has always enjoyed the spotlight and be-lieves one of the keys to being successful in business is standing out in the crowd.

“But even when the pressure is on, I always make time to have a bit of fun,” he said.

Fred celebrated his win in style, scarcely leaving the dance floor all night.

He said half of the honour for the award should go to his wife Jeannine, who is normally working alongside him from 1am each morning.

“Part of who I am is thanks to her,” he said.

Young Marketeer of the Year

While the other sections took home a trophy and the honour of being selected by their peers, Young Marke-teer of the Year Lukasz Gorajek scored an added bonus.

He won a trip to the PMA Fresh Summit in Los Angeles, USA which ran from October 15–18.

Lukasz, who is marketing manager at Vemark Pty Ltd, is on the Fresh State Young Executive Committee and played an integral role in organising a range of events at the market this year.

The wholesale fruit and vegetable market community knows how to have fun.

So provide plenty of food, drinking and dancing – along with a prestigious awards cer-emony – and it is bound to be a good night.

The inaugural Fresh State Gala Ball, held at Carousel in Albert Park, was so successful the event is now a permanent fixture on the calendar.

Most of the 380 guests stayed until well after their alarm clocks normally go off in the morning.

The biggest problem many faced on the night was trying to recognise their col-leagues in black tie dress.

One of the organizers, Sonja from Fresh State, said the aim of the ball was to have an event run by the wholesale market com-munity for the wholesale market commu-

nity. It is an opportunity where people can relax and get to know each other, without the pressure of business, she said.

It had proved even more popular than she had hoped, with tickets selling out within a few weeks.

Along with the ball, the awards are also set to become regular event and will be presented annually.

Winners were chosen by the toughest panel of judges possible – their peers.

business of the year

Steve Grillo, manager of Moraitis Pty Ltd was just discussing who was likely to win business of the year when he heard his company’s name read out.

OF AFFAIRS issue 02 october 2010

the fresh State Gala ball

gala

bal

l aw

ard

win

ners

:

The aim of the ball was to have an event run by the wholesale market community for the wholesale market community.

The best part about winning was being able to show the staff that their hard work was being recognised.

Picture Left:Steve Grillo accepting Business of the Year Award.

Picture Right:“Personality of the Year” Fred Pascale with wife Jeannine.

MMCS Winner of Most Increased Usage: AMP Fresh

This Is Your Life Recipient: “Banana Jack” McNish

The inaugural Fresh State Gala Ball, held at Carousel in Albert Park, was

so successful the event is now a permanent fixture on the calendar.

14sp

ring

flin

g ga

la b

all:

15OF AFFAIRS issue 02 october 2010

Spring Fling

16sp

ecia

l gen

eral

mee

ting

:17

Fresh State members packed the markets’ conference

centre to hear “The Great Debate” between new candidates and the current board. The new candidates were holding the board accountable for their decisions over the past year and offered mem-bers an alternate option to the pres-ent incumbents. It was a debate that was enjoyed by many as both parties drilled down into FSL strategies, business units, accounts and direction.

For the first time that can be found over the last few decades we had a very large

number of people nominating to become a director of Fresh State and we saw some very aggressive electioneering and cam-paigning for a seat at the FSL board table.

It is great to see such interest in what is now a dynamic, profitable and well run company that represents all Fresh State members.

The Issues:

Relocation of members businesses and of Fresh State and its businesses into the new market when the time comes; move our gas stations and set them up right to deliver competitive or discounted product; change the Credit Service model to achieve

compulsory registration as a minimum, explore flexible terms and introduce some form of insurance, all at a cheap rate.

The major challenge for the next two years will be to hold the government account-able for decisions that they make on reloca-tion. We know these decisions are not far away and we also know they won’t be pretty or otherwise we would have them

by now.

Under the consti-tution, the Fresh State board rotates four board director positions each year and makes these available to members if they

sowishtonominate.Theboardmember/sstanding down are eligible to renominate foraposition/siftheysowish.With9people nominating for 4 director positions it came down to voting day.

The 2010-11 elections for the four Fresh State board positions took place at a special polling booth set up for the occasion in the Fresh State board room. An independent auditable process was undertaken to run the election.

A fantastic turn out of approximately 80% of the Fresh State membership voted on the day from nine candidates.

In an overwhelming endorsement of the three Fresh State directors renominating for a further term, Shane Schnitzler, Joe Amalfi and Grant Nichol were returned with over

75% of the vote. The fourth position was not taken up by the nominee and the board will inform members of this position in due course.

The result was an overwhelming endorse-ment of their continued contribution to Fresh State and the direction that they along with their fellow directors have been taking the organisation.

OF AFFAIRS issue 02 october 2010annual general m

eeting:

The major challenge for the next two years we will be to hold the government accountable for decisions that they make on relocation.

Special general Meeting of MembersWednesday 29 September 2010 at 9.30am

35th annual general Meeting (agM) of fresh State LtdTuesday 5 October 2010 at 9.00 am

fresh State board Elections – Voting DayThursday 30 September 6.00am to 12.00 noon

President: Shane SchnitzlerVice President: Joe AmalfiDeputy Vice President: Vince BrancatisanoBoard Members: Grant Nichol Steve Grillo Vince Natoli Phillip Brancatisano

2010-11 fresh State board and office bearers:

This year’s AGM was preceded by a sit-down breakfast with guest speaker Jason Akermanis entertain-ing members with an informative address delivered in his usual direct style. “No matter how hard life can be, family is the most important thing and that you have to make life fun” were Jason’s key messages.

President’s Report:

The President’s Report detailed the Fresh State business, its initiatives and direction. Key points included:

• This(FreshState)Boardhas challenged many areas of reform over the last twelve months.

• TheFreshStateboardrep-resents ALL members of Fresh State and has acted in their collective best interests and will continue to do so.

• Atthecompletionofthe2010financialyear we have 118 members which is in excess of 95% of the available membership.

• Ourincomeisnowlessthan12%relianton membership fees.

• The2010resultsshowaprofitof$268,332 with total equity of $4,503,375

• Relocationhasbeenanon-goingbattle- our ‘magic 5’ topics continue to be equity, rents, allocation, warehousing and forklift access – the cornerstones of members being able to make informed decisions regarding relocation.

• FreshStatetakesitssocialresponsibilitiesvery seriously. Events included Pit Stop, Forklift Challenge, Market Hours, Red Cross Blood Bank and Gala Ball.

• LaunchedthenewFreshStateofAffairsmagazine to complement the weekly newsletter and website.

• Andlookingahead,howcanFreshState provide an equity entitlement to members and we have set an objective to deliver this at the 2011 AGM.

At the AGM members actively participated in an informative discussion regarding re-

location issues and the many unanswered questions by Government. The board was given a mandate by members to prog-ress relocation with Government on their behalf.

As well, the board flagged a major reform for the Credit Service whilst members asked that theft of produce around the market be addressed.

This Board has challenged many areas of reform over the last twelve months.

AGM Guest Speaker Jason Akermanis.

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Freshcare Training – Fully Farm Ready Funded for Australian Growers

Both ‘Freshcare Transition Training’ and ‘Full Training’ for new members is currently fully funded under the Federal Governments Farm Ready Reimbursement Grants Program. All primary producers are eligible for funding of up to $1500.00 per annum to spend on ap-proved training courses.

Additional Freshcare Modules

The Freshcare Environmental Code for on-farm use was initially launched in August 2006 to provide grower friendly guidelines for good environmental practice.

A full review of the Freshcare Environmental Code has just been completed and the sec-ond Edition Environmental Code of Practice will be released in late October 2010.

TheFarmSafety/WelfareCodewillbecom-pleted late in 2010, with a Bio-security Code tofollowlate2010/2011.

Freshcare OnLine

FreshcareOnLine is the interactive, web based management system behind the Freshcare Program.

• FreshcareTrainersareabletoregistercourses and enrol new Freshcare members directly into the system, and then monitor their progress;

• FreshcareAuditorsareabletoeasilyandquickly access and update their client’s information following an audit, minimising any delays in reporting; and

• Freshcaremembersareabletoviewtheirrecords, review any outstanding issues from audit and print copies of certificates, at the click of a button.

The system also provides significant benefit to an ‘indirect stakeholder group’, namely customers, such as central packing sheds, marketing groups, wholesalers and retailers.

FreshcareOnLine for Customers’ is already being used by over 100 wholesale businesses within the Central Markets to manage the QA /foodsafetyaspectoftheirsupplierbase.

Linkages

Whilst Freshcare provides the on-farm management system, Fresh Test under the Australian Chamber provides residue testing support across Australia. Residue testing helps verify the effectiveness of manage-ment systems, with Fresh Test now having conducted over 42,000 tests since 2001. Each test is usually testing for over 100 different chemical residues so please contact your state chamber for this service.

Clare Hamilton–Bate National Program Manager Freshcare Ltd.

Want to Know More?

‘For more information on ‘FreshcareOnLine for Customers’, contact the Freshcare office on 1300 853 508 or by email: info@freshcare.com.au .

The Freshcare Code of Practice – Food Safety & Quality – 3rd Edition is an approved on–farm Certification for supply to wide range of customer groups.

Coles: Freshcare can be used for direct (including pre–packs and black crates) and indirect supply to Coles – visit www.coles.com.au for detailed supplier compliance information.

Woolworths: Freshcare can be used for indirect supply to Woolworths via Woolworths approved trade partners who all have WQA.

Other Retailers: Freshcare is widely accepted for direct and indirect supply.

Processing: Freshcare is widely accepted for the processing supply sector.

customer approval

FreshcareOnLine is the interactive, web based management system behind the Freshcare Program.

The assurance of food safety is a non–negotiable requirement of any market place, domestic, export, retail or food-service. Consumers assume that the fresh produce they buy is ‘safe to eat’ and that the industry takes all possible steps to ensure that their assumption is always correct.The Freshcare on-farm program has become the fresh produce industry’s most widely adopted food safety pro-gram.

Freshcare mem-bership now exceeds 5,100 growers nation-ally with over 70% having achieved third party certi-fication to the Freshcare Code of Practice and another 25% in the process of training and implementation.

Whilst until now customer pressure has been the primary driver for the adoption of food safety systems on-farm, primary production standards (under Food Stan-dards Australia and New Zealand – FSANZ) are likely to become reality within the next 12–18 months; adding ‘regulatory require-ments’ as a driver for adoption.

Freshcare’s “voice on the ground” is sup-ported by the 20 national and state industry associations that make up its ownership and through the network of committed Freshcare trainers and four endorsed Certification Bod-ies, with their respective teams of auditors.

The Simplicity of Approach and Implementation

Mandatory Training is the key to the ef-fective implementation of the Freshcare program on farm. The aim is to ensure that there is a clear understanding of the issuesimpactingfoodsafety&quality/environmental assurance and the practices required to manage them and that mem-bers have complete ‘ownership’ of their own systems.

Training is offered as group sessions, one-on-one training or through distance educa-tion, scheduled to best meet the needs of the individual grower.

On completion of training, an initial on-farm assessment is scheduled. More than just an audit, the initial assessment (year 1) is designed to assess that the delivery of the training has been effective and that the program has been successfully implement-ed on-farm. In subsequent years a more traditional annual third party audit is con-ducted by a Freshcare approved auditor.

Having successfully achieved Freshcare Certification, growers are issued with a Freshcare Certificate with their own unique number. The Freshcare Certification Num-ber and logo can be used for marketing

produce and to demonstrate to customers that they are effectively managing food safety on-farm.

A key role of Freshcare is as ‘custodian’ of the Code of Practice and Master HACCP Plan on behalf of members.

Food Safety and Quality – 3rd Edition – July 2009

A major review of the Freshcare Food Safety and Quality Code was completed in

July 2009. The review, undertaken in close liaison with a broad range of stakeholder groups including representatives from all the major retailers, will ensure Freshcare continues to meet the needs of the Market well into the future.

All Freshcare members are required to participate in ‘transition training’ to move across to the 3rd Edition Code of Practice. All audits conducted after March 2011 will be against the 3rd Edition Code of Practice.

The Freshcare Code of Practice – Food Safety and Quality – 3rd Edition, will be benchmarked to the interna-tionally recognised Global Food Safety Initiative (GFSI) in late 2010.

Freshcare’s “voice on the ground” is supported by the 20 national and state industry associations that make up its ownership.

freshcare: the on-farm assurance program for australian Horticulture

OF AFFAIRS issue 02 october 2010

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1. What is the MMCS?

The MMCS is a clearing house for wholesal-ers and retailers of produce in the market. It collects sales dockets from wholesalers (sellers) each week and processes them into sales to each retailer or providore, (buyers). The MMCS then sends a weekly statement to the buyer who only needs to pay one amount for all of the different purchases that week. The MMCS distributes these pay-ments to the various sellers according to the sales dockets that it has received.

2. What is the advantage of using the MMCS?

It greatly reduces your paperwork as all purchases are recorded on one statement and retailers only have to make one pay-ment to cover all purchases. The MMCS dis-tributes payment to the sellers along with any other retailer’s payments. The records willalsoassistyouoryouraccountant/bookkeeper saving further time and money.

3. When do I have to pay for my transactions?

The MMCS has 7 and 14 day terms. You are required to pay the amount on your state-ment within the terms.

4. What does it cost me to use the MMCS

Retailers and providores and even whole-salers buying from each other, pay nothing! Their only cost is $4.40 for their weekly statement.

5. What does it cost a wholesaler to put sales through the MMCS

It costs wholesalers 60 cents in $100 (ex-cluding GST).

6. What do I have to do to use the MMCS

Pick up the short application form, fill it out and lodge it at the MMCS office where they check records and if complete will issue you with a credit limit.

7. Which Wholesalers are using the MMCS?

Almost all of the wholesalers are registered users of the MMCS. If they are not tell them to get registered!

8. What if I return produce to a wholesaler or we agree on a price change?

When you return produce or agree to a price change, a credit note will be issued to the MMCS by the wholesaler and then this will be taken off your statement.

the most frequently asked questions about the Melbourne Markets Credit Service

Audit . Tax . Business Advice

testimonials

The first job Tony Gallace ever had was at the Melbourne Market so returning after 18 years selling cars seemed like a natural thing to do.

Tony started working at Pat Lamanna’s store when he finished school and then left for a long stint selling cars.

He returned 18 years ago, taking over the management of M&N Fresh Produce.

Ten years later the opportunity came up to buy the business and it became Regal Produce – and he hasn’t looked back.

Regal Produce specialises in sweet pota-toes, ginger and seasonal produce includ-ing cherries and chestnuts.

Tony employs three people and said he still appreciates the relaxed atmosphere of the market after his time away.

He said doing business was made even easier at the market by his MMCS mem-bership, which provides peace of mind in knowing clients are secure.

Eight years ago Frank Deluise attended a family christening and ended up buying a business.

John Sculli, owner of John Sculli Fruit Centre, was also on the guest list and was looking for the right person to buy his wholesale business.

They got talking and within a few hours the deal was almost done.

Frank previously worked in the building industry and now gets to work alongside

his wife Jenny and his three children who are already keen to take over the business.

Their store, in Strathmore, supplies the broader Essendon area and employs 34 staff.

“Knowing that we are supplying quality produce for people throughout that area to eat is a pretty good feeling,” Frank said.

He said membership of the MMCS provides the convenience of being able to make a purchase anywhere, anytime.

AdveRtISement

mmcsOF AFFAIRS issue 02 october 2010

Tony Gallace: Regal Produce

Frank deluise: sculli Fruit centre

faq

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If you were to suddenly die, your family could be left to deal with many unexpected issues such as running your business or dealing with your business affairs, and your survivors may not be aware of all of the critical information to help them make optimal decisions, particularly when you are not around to answer their questions!

Not only would your family have to deal with demanding business issues, but also the emotional issues associated with an unexpected loss. It is important to communicate and share your business plan and ideas with your successors so that operations can continue smoothly if something were to happen to you.

Rather than leave your survivors in a mess, you should consider taking steps to make an estate plan that can eliminate uncertainty for your family and business associates.

Estate planning is all about arranging your financial affairs to protect your assets so they will be distributed according to your wishes. Part of the plan is to have a valid Will that appoints an executor who can fulfill your wishes by taking appropriate action.

It is important to review your plan from time to time, particularly when personal change occurs such as marriage, living with a partner, separation, divorce, birth of a child, receipt of an inheritance or buying or selling a business.

You may have to consider the special needs of your beneficiaries, how you want your estate distributed and confront other concerns you may have about the future of your business and property.

It is important that professional help is sought when making a Will. Estate litigation is on the rise, and more challenges are being made to wills than ever before. This is due to increased assets and a society consisting of complex family relationships, including de facto arrangements, divorce, multiple marriages and blended families. A simple Will kit may not take into account a complex scenario which requires specialist advice.

We can assist by discussing your special needs and take away uncertainty, to assist in working through difficult questions and prepare a valid Will that reflects your requirements.

Wilmoth Field Warne is a boutique law practice situated in the CBD of Melbourne. Our firm was established over 140 years ago and offers a wide range of experience at the forefront of legal change and development.

We focus on providing effective, value-added personalised service, and we seek to achieve legal and commercial outcomes that our clients desire.

Planning for the future

Level 13, 440 Collins Street Melbourne Victoria Australia 3000tel: +61 (03) 9224 1000 | fax: +61 (03) 9224 1099 | email: info@wfw.com.au | web: www.wfw.com.au

Do you wonder what would happen to your business and your family if you were to suddenly pass away?

Do you know what will happen to your assets when you die?

Do you know exactly what assets are yours to give away?

What about your debts, do you have special plans to take care of these?

Have you appointed someone to carry out your directions for the future of your business, and are they the most appropriate person to complete the task?

For further information and to discuss your particular estate planning requirements, please contact Wilmoth Field Warne Lawyers to consult

with Euan Luff, Sheryl Sandford or other specialists on our team.

Works:Harris Refrigerated Transport -Co-owner and Operations Director.

The company’s head office is in Adelaide. It has branches across Australia and employs close to 300 people. He can regularly be seen around Melbourne Market, visiting clients.

Lives: In Adelaide with wife Tricia, daughter Amy, 18 and son Alex, 14. They moved from Melbourne 14 years ago.

Most of my day is spent:Problem solving. Staff and customers come to me with questions about how we can get the job, any job, done. Often I just listen and they come up with innovative solutions to the problems themselves. I just help them get there.

The football team I barrack for is:The mighty Blues.

My favourite Melbourne Market moment is:

Enjoying early black coffees with Dizney Crombie a long time ago – in the 80s.

The quality I respect most in an employee is:

Honesty. The ability to tell it how it is important in any aspect of life, including business, family and even down at the footy club. When you are straight-forward and honest, you get a better team.

As I have grown older I have learnt:I don’t know as much as I thought.

If I described my business to a stranger I would say:

It is about getting things from A to B on temp[erature] on time. We deliver nation-wide, particularly between Melbourne, Adelaide and Perth. Ninety-five percent of what we transport is foodstuffs, of which about half is fruit and vegetables.

The qualities I most enjoy about Melbourne Market are:

I love it for the interchange of values and ideas. And all the personalities .

The pets I have are:One small, white, fluffy dog, Bella.

In my spare time I enjoy:Spending time with my family, music and reading,

My first job was:Picking tomatoes and stone fruit around my home town of Swan Hill.

My fondest memory is….All those Carlton flags over the years.

The aspect of my job I like the most is:It is always a challenge. Every day is different.

The thing I dislike the most is:Disappointing people sometimes, which can be an inevitable part of any business.

I am passionate about:Getting the best outcomes in everything we do.

My business associates would say that I:

I would hope they say I try hard.

When I was a child I wanted to be a:Drummer in a rock and roll band.

The place in the world I would most like to go is:

Spitsbergen, the most northerly island in the Arctic Sea. It is famous for its glaciers, polar bears and northern lights. My grand-father always told me I should go there. One day!

The thing a lot of people don’t know about me is:

Not much. I’m pretty straight up and down. Maybe that I always wanted to be a wholesaler.

My favourite fruit or vegetable is:Nectarines and sweetcorn.

q&aWes pickering

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Over 3,000 people enter the Melbourne Wholesale Markets on a daily basis. Fresh State Young Executive Committee considered organising a visit from the Red Cross Blood Bank a worthwhile community initiative and set about arranging for the ‘Blood Bank bus’ to park on site.

Arrangements were made and the Red Cross Blood Bank arrived in the market for two days of collection activity from all of the market community. The Blood Bank set up a mobile collection bus in the centre of the trading floor on the 2nd and 3rd of September 2010. It was open for business from 6am until 1pm on these two days.

The mobile collection bus was staffed with a group of qualified nurses from the Australian Red Cross who made the task of donating blood not only memorable but easy. In all, many of the market community enlisted for this most worthwhile community service. Wholesalers, sales people, office staff, forklift drivers, Melbourne Market Authority staff as well as growers and retailers all attended.

Many said it was such an easy process and having this mobile facility visit made it much easier than trying to find time to go into the city once work had finished when all they wanted to do was go home.

As well, many first time blood donors came and found out what is involved and registered in anticipation of the next visit.

It was fantastic that the Red Cross Blood Bank collection service could come to people at the market and the Blood Bank has been very appreciative of everyone’s time and efforts.

We are hoping to secure Blood Bank visits to the market on a regular six month basis. After all, any of us may need their help one day. If you are not a registered donor and are able to donate, contact the Red Cross today on 13 14 95 and help save lives.

Special thanks to Lukasz Gorajek and the Young Executives for their efforts in making arrangements, to the MMA staff who ran the power and arranged the set up in the middle of the trading floor and to Sonja for ensuring the event ran as smoothly as it did.

the australian red cross blood bank Visit the Melbourne Markets

OF AFFAIRS issue 02 october 2010

0

AB-AB+B-B+A-A+O-O+

5

10

15

20

25

30

35

4040%

9%

31%

7%8%

2% 2%1%

There are 8 different blood types and this graph shows the percentage of Australians that have a particular blood type.

How many blood types are there?

Did you know?

1 in 3 people will need blood.

Only 1 in 30 people currently give blood.

An average size adult has a blood volume of about 5 litres.

A single unit of blood taken during a whole blood donation is about 470mL (less than half a litre).

Every whole blood donation can save up to 3 lives.

We are hoping to secure Blood Bank visits to the market on a regular six month basis.

26 27OF AFFAIRS issue 02 october 2010

fruit & vegetable residue testing:

please note the new pricing below which is effective immediately. Prices exclude GST.

TEST CODE ANALYSIS PRICE / SAMPLEMembers Non Members

PESTICIDES

C3 C3 Full Residue Analysis(Organophosphates, Organochlorines, HalogenatedPyrethroids, Carbamates, Fungicides, Acaracides,and selected Herbicides)

$125.00 $145.00

C4 Dithiocarbamates (measured as CS2) $100.00 $120.00

C5 Miscellaneous chemicals $100.00 $120.00

C6 C3 + C5 $200.00 $220.00

HEAVY METALS

HM1 Cadmium $55.00 $65.00

HM2 Cadmium/Lead/Mercury $65.00 $75.00

HM3 Arsenic $55.00 $65.00

MICROBIOLOGICAL ANALYSIS

M1 E.coli $28.00 $38.00

M2 E.coli + Listeria $58.00 $68.00

M3 E.coli + Listeria + Salmonella $85.00 $95.00

M9 All of the above + Staphylococci and Faecal Coliforms $100.00 $110.00

M5 E.coli + Listeria + Salmonella + Staphylococci $150.00 $160.00

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To subscribe to Data Fresh please contact the Fresh State office on 03 9689 3233

Prices effective as at 15th October 2010

M9 now

reduced

Report Transmission Method

Daily Reports Emailed Faxed Fruit & Vegetable – All Lines $6.16 $6.16 Fruit – All Lines $5.50 $6.05

Vegetable – All Lines $5.50 $6.05

1 Crop $3.63 $4.29 2 – 5 Crops $4.29 $4.84 6 – 10 Crops $4.84 $5.50

All Prices are inclusive of GST

Historical Reports & Publications Cost

Combined Melbourne Weekly: Full details of weeks prices for Fruit & Vegetable $18.15

Individual Melbourne Weekly: Full details of weeks prices for either Fruit or Vegetable $14.52

Melbourne Monthly Summary: Full details of current months prices for Fruit & Vegetable $14.52

Historical Monthly Summary: Full details of any previous months prices for Fruit & VegetableNB: Price is per month

$30.03

Historical Report: Price is per crop, per year $16.50

Weekly Flower Report: Full Details of weeks prices for Flowers (Thursday Only) $18.15

All Prices are inclusive of GST

fresh State

business

of the Year

2010