front from left, jeremy and jill wolf, owners of blue barn ... and distribution centers ... adoption...

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More Grocery Retailers Offering Online Shopping, Home Delivery. ...................................... Page 2 NYAA President and CEO Talks About Association’s Strategy for the Future. ...................................... Page 3 Agricultural Industry Leaders Press Labor Case on Capitol Hill. ...................................... Page 5 Metro New York City Retailers Excited About State’s Apple Crop. ...................................... Page 7 U.S. Apple Association Releases its 2017-18 Crop Forecast. ...................................... Page 7 NYAA Participates in Fall Media Marketplace Event. ...................................... Page 8 NYAA’s New Retail, Foodservice Account Manager Visits New York Growers and Shippers ...................................... Page 9 2017 George Lamont Leadership Award Winner Named. ...................................... Page 9 NYAA Renews Partnership with Escapemaker.com. .................................... Page 10 USApple’s Outlook Conference Promises New Speakers. .................................... Page 11 Your AMO assessments fund all of the activities of the New York Apple Association, helping to encourage profitable growing and marketing of New York apples. Stories and photos with this logo specifically highlight how your AMO dollars are being put to work for you. In this Issue 7645 Main Street PO Box 350 Fishers New York 14453-0350 Official Newspaper of the New York Apple Association Volume 6, Issue 3 August 2017 Inside: NYFB Defends Family Farms Against ACLU Page 4 By Tami Bacon [email protected] Blue Barn Cidery, a new business owned and operated by fifth generation New York apple growers Jeremy and Jill Wolf, hosted a dinner last month for specialty crop growers and members of the New York Farm Viability Institute. Richard A. Ball, Commissioner of the New York State Department of Agriculture and Markets attended the event and spoke to a gathering of 75 fruit and vegetable growers about New York’s Grown & Certified program. Blue Barn Cidery is located on Manitou Road in Hilton. The business has a 15,000-square-foot barn with production space for pressing and fermenting apples grown in the farm’s surrounding orchards. The business has a large tasting room with a bar and café tables, retail space for selling produce, and serves as a new hub for the farm’s U-Pick operations. NAFTA Talks to Begin in August By Ashley Nickle The Packer The U.S., Canada and Mexico are set to start the renegotiation of the North American Free Trade Agreement in August. The first round of discussions will be this month in Washington, D.C., according to a news release by the Office of the U.S. Trade Representative. Yet to be announced are how many rounds of negotiation will happen, where each will take place, and an end date for the talks, although some have indicated that the goal is to conclude in early 2018 before Mexico’s presidential election. Objectives for the U.S. include eliminating “unfair subsidies, market-distorting practices by state- owned enterprises, and burdensome restrictions of intellectual property,” according to an Office of the U.S. Trade Representative document. The U.S. also aims to add a digital economy chapter to the accord and strengthen labor and environmental requirements. The objectives were crafted after the review of more than 12,000 public comments and three days of testimony from more than 140 witnesses, according to another release. Assistant U.S. Trade Representative for the Western Hemisphere John Melle will be the lead negotiator on NAFTA, responsible for handling daily discussions. Front from left, Jeremy and Jill Wolf, owners of Blue Barn Cidery; Cynthia Haskins, President & CEO of New York Apple Association; Margo Bittner, President of The Winery at Marjim Manor in Appleton; Shannon Kyle of Torrey Farms in Elba. Back Row, Kevin King, Deputy Commissioner New York State Department of Agriculture and Markets; Jim Bittner, Chairman of the Board of Directors for the New York Farm Viability Institute; Commissioner Ball and Maureen Torrey, owner of Torrey Farms in Elba. Blue Barn Cidery Hosts Grower Event

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More Grocery Retailers Offering Online Shopping, Home Delivery....................................... Page 2NYAA President and CEO Talks About Association’s Strategy for the Future....................................... Page 3Agricultural Industry Leaders Press Labor Case on Capitol Hill....................................... Page 5Metro New York City Retailers Excited About State’s Apple Crop....................................... Page 7U.S. Apple Association Releases its 2017-18 Crop Forecast....................................... Page 7

NYAA Participates in Fall Media Marketplace Event....................................... Page 8

NYAA’s New Retail, Foodservice Account Manager Visits New York Growers and Shippers...................................... Page 92017 George Lamont Leadership Award Winner Named....................................... Page 9NYAA Renews Partnership with Escapemaker.com..................................... Page 10USApple’s Outlook Conference Promises New Speakers..................................... Page 11

Your AMO assessments fund all of the activities of the New York Apple

Association, helping to encourage profitable growing and marketing of New York apples. Stories and photos with this logo specifically highlight how your AMO dollars are being put to work for you.

In this Issue

7645 Main StreetPO Box 350Fishers New York 14453-0350

Official Newspaper of the New York Apple Association Volume 6, Issue 3 August 2017

Inside: NYFB Defends Family Farms Against ACLU

Page 4

By Tami [email protected]

Blue Barn Cidery, a new business owned and operated by fifth generation New York apple growers Jeremy and Jill Wolf, hosted a dinner last month for specialty crop growers and members of the New York Farm

Viability Institute. Richard A. Ball, Commissioner of the New York State Department of Agriculture and Markets attended the event and spoke to a gathering of 75 fruit and vegetable growers about New York’s Grown & Certified program.

Blue Barn Cidery is located on Manitou Road in Hilton. The business

has a 15,000-square-foot barn with production space for pressing and fermenting apples grown in the farm’s surrounding orchards.

The business has a large tasting room with a bar and café tables, retail space for selling produce, and serves as a new hub for the farm’s U-Pick operations.

NAFTA Talks to Begin in AugustBy Ashley Nickle The Packer

The U.S., Canada and Mexico are set to start the renegotiation of the North American Free Trade Agreement in August.

The first round of discussions will be this month in Washington, D.C., according to a news release by the Office of the U.S. Trade Representative.

Yet to be announced are how many rounds of negotiation will happen,

where each will take place, and an end date for the talks, although some have indicated that the goal is to conclude in early 2018 before Mexico’s presidential election.

Objectives for the U.S. include eliminating “unfair subsidies, market-distorting practices by state-owned enterprises, and burdensome restrictions of intellectual property,” according to an Office of the U.S. Trade Representative document.

The U.S. also aims to add a digital

economy chapter to the accord and strengthen labor and environmental requirements.

The objectives were crafted after the review of more than 12,000 public comments and three days of testimony from more than 140 witnesses, according to another release.

Assistant U.S. Trade Representative for the Western Hemisphere John Melle will be the lead negotiator on NAFTA, responsible for handling daily discussions.

Front from left, Jeremy and Jill Wolf, owners of Blue Barn Cidery; Cynthia Haskins, President & CEO of New York Apple Association; Margo Bittner, President of The Winery at Marjim Manor in Appleton; Shannon Kyle of Torrey Farms in Elba. Back Row, Kevin King, Deputy Commissioner New York State Department of Agriculture and Markets; Jim Bittner, Chairman of the Board of Directors for the New York Farm Viability Institute; Commissioner Ball and Maureen Torrey, owner of Torrey Farms in Elba.

Blue Barn CideryHosts Grower Event

Page 2 Core Report® August 2017

Retail ReviewNews from the Retail Marketing Industry

Amazon-Whole Foods Deal Called ‘Game Changer’in E-CommerceBy Lisa McTigue PierceFood Packaging

A game changer. That’s what e-commerce and business experts are calling Amazon’s recently announced acquisition of Whole Foods. Amazon has already been leading in ecommerce packaging, especially for durable goods. How will this venture change the retail landscape, especially for fresh foods and beverages? And what might it mean for product packaging?

Packaging Digest asked a trio of analysts (see their bios at the end of the article) for their opinion on the deal and its probable packaging impacts:

Scott Deutsch is the president of Ehrhardt + Partner, North America, a global provider of warehouse management systems/warehouse control systems/voice solutions.

Stephen Kaufman, is the chief product officer of BLUE Software, a label and artwork management solutions provider.

Dan Wilkinson is chief commercial officer of 1WorldSync, a multi-enterprise, global product information network with offices in the Americas, Asia Pacific and Europe.

Dan, you’ve said you think this acquisition of a trusted grocery partner could place Amazon as the clear market leader in e-grocery. Why is that so important?

Wilkinson: Trust has been one of the biggest barriers for the grocery industry in the shift online. Consumers have been adamant in their desire to touch and feel a perishable food item before purchasing it, and only in the last couple of years have organizations been able to slowly gain consumer trust to purchase perishables online.

Whole Foods’ has built its brand on a reputation of trust, using its organic-only products and detailed product content approach to drive loyalty with its customers. With this acquisition, Amazon absorbs that reputation of trust and gains access to Whole Foods’ loyal customer base. Other retailers in the online grocery industry have struggled with this, including Amazon, due to its position as a marketplace, not a pure-play retailer.

Along with Whole Foods’ brand reputation, Amazon gains 431 new fulfillment and distribution centers across the nation, giving them greater power to improve fulfillment of grocery products and improve trust to acquire new grocery customers. With Whole Foods’ brick-and-mortar stores and Amazon’s powerful ecommerce technology, the company has effectively solved the last-mile fulfillment barrier that has prevented widespread consumer and retailer adoption of omni-channel grocery.

You can only develop so much of a relationship with a web page and a box. The consumer is looking for engagement that can best be served in a crafted environment like a store. Much like Apple, Amazon realizes that a store can become an emotional destination, and Whole Foods already has developed this type of relationship with shoppers: 460 stores in the U.S., Canada and the United Kingdom, and $14 billion is more than an experiment.

Amazon also realizes that eventually Walmart and others will catch up with online retailing; Amazon wants to move into Walmart’s space to make it defend its home turf.

Add to this notion the idea that Millennials are increasingly more aware of where food (and especially fresh food) is sourced. Whole Foods’ supply chains only span a few counties for some products based on “buy local” sentiments. Amazon will find a way to bind these micro-chains to online fresh shopping, while simultaneously leveraging the in-store experience with the same consumer.

Expect to see a new blended experience between online and retail where online orders can be picked up at Whole Foods, and items ordered and purchased at Whole Foods can be delivered through Amazon’s growing delivery network. Shop with your friends, go to a movie and have all your groceries arrive tomorrow morning at your respective homes.

All makes for interesting and compelling combinations.

Wilkinson: I have no doubt that this was a strategic move by Amazon

to improve its ability to sell fresh foods online. The two barriers that Amazon need to get over to penetrate this market were consumer trust and fulfillment. They solved both by buying Whole Foods.

Amazon is now in the position to leverage Whole Foods’ 431 existing stores across the U.S., which gives them valuable fulfillment centers in highly populated areas and the ability to distribute fresh food quickly and reliably. Amazon could also use these stores as additional touchpoints if they wanted to sell other product categories outside of food in Whole Foods locations.

Additionally, Amazon can now leverage Whole Foods’ reputation for trust and authenticity, which has been a key driver in Whole Foods’ ability to grow and maintain such a loyal customer base. Amazon’s choice to purchase Whole Foods instead of another grocery chain was strategic—it saw the necessity of consumer confidence in the food industry and chose the most trusted grocery chain on the market to help it grow its online grocery presence.

Deutsch: I believe the strategic value in making the acquisition of Whole Foods by Amazon is really about building out its “local operational distribution model” to effectively compete with Walmart. Whole Foods is its “testing playground” to learn how to address the complex frozen and chilled grocery offerings.

In Whole Foods, Amazon obtains a high-end grocery chain with actually a limited market footprint, but

room probably for greater operating efficiencies and thus the potential for lower and more competitive market pricing. When you compare the market footprint of Walmart’s 150+ distribution centers to the 11 distribution centers of Whole Foods, the scale of an Amazon/Whole Foods just does not compete effectively with Walmart.

Walmart Cracking Down on Supplier NetworkBy Adam AllingtonAmerican Public Media

The U.S. retail behemoth, Walmart, is ratcheting up pressure on its vast supplier network. The new guidelines are called “On time, in full,” and what it means for suppliers is this: Deliver your product a day late, pay a fine. Deliver your product a day early, also pay a fine.

The company said the move could add up to a billion dollars in revenue by boosting supply-chain efficiency.

Walmart has a reputation for being a ruthless cost cutter, for wringing every last dime out of prices its suppliers charge. Well, OK, that’s true enough, but that isn’t what’s really driving this latest move.

“Walmart is really responding to what we all want,” said Dan Sanker, CEO of CaseStack, a logistics solutions company. He said the way people shop now is so different than it used to be, retail stores need to change, too.

By Tami [email protected] shoppers in New York

and around the country can now hop on their laptop or smart phone to purchase produce, meat, seafood, frozen, specialty and prepared foods thanks in large part to a service called Instacart. The service enables grocery orders to be home-delivered in about an hour.

Up to 60 grocery retailers around the country – including Whole Foods and Costco -- currently use the retail delivery service in select markets. Last month, Wegmans joined the growing list. Now, Wegmans shoppers in the Rochester, Buffalo and Syracuse markets can order online using the instacart.wegmans.com (or download the Instacart app) then add their Wegmans Shoppers Club card for available discounts.

The service involves a delivery fee from Instacart which starts at $5.99 on orders over $35. Consumers can also purchase an express membership, which provides unlimited free, one-hour deliveries on orders over $35.

The annual fees varies based on location from $99-$149.

Online grocery ordering and home delivery is all part of a trend that began in May when Wal-Mart launched its online grocery pickup service at its Whitehall Township store – the move was part of the massive retailer’s efforts to gradually roll out the service across the country. Weis Markets and ShopRite offer similar services and others like Giant Food Stores use Peapod, a similar service that enables online ordering and delivery.

While several consumer categories have been drastically altered by e-commerce, online shopping in the grocery industry is still relatively new. In the grocery industry, e-commerce only represents about 1.5 percent of grocery sales in the United States. Compare that with overall e-commerce penetration rate of 12 percent across all sectors and closer to 40 percent in electronics.

The slow growth of e-commerce in grocery was best shown through online behemoth Amazon’s recent announcement that it was purchasing

Whole Foods for $13.7 billion in cash. The move gives Amazon a significant seat at the table in the grocery industry it had been trying to break into for several years.

The deal, slated to close later this year, also raises questions about the future of the partnership between Whole Foods and Instacart.

Here’s how Instacart works: Consumers open an account at www.instacart.com, then they go online or open their Instacart mobile app. They select their city and store, add items to their virtual cart and choose a delivery window — within one hour, two hours or up to seven days in advance — before checking out. An Instacart shopper then accepts the order on his/her smartphone, uses the shopper app to guide them through shopping and, lastly, delivers the order to the customer within the designated delivery timeframe. First-time users of Instacart can enter the code “HILEHIGHVAL20” — it expires Nov. 8 — at checkout to get $20 off an order of $35 or more, plus a free first-time delivery.

Growing List of Grocery RetailersOffer Online Ordering, Delivery

August 2017 Core Report® Page 3

By Cynthia HaskinsPresident & CEO [email protected]

During the NYAA Board of Directors meeting in June, we evaluated and finalized the association’s 2017-18 budget. With strategic direction from the board, combined with some hard

work by the staff, we have chartered the course for this crop year and we will be working smarter and more cost e f f e c t i v e l y during the year ahead.

NYAA is still experiencing the financial impacts of the

draught of 2012. During that year, we spent down our reserve funds to fund necessary activities. We now need to rebuild those reserve funds – a capacity we all agreed at our June meeting is strategically important so that the association can weather future crop swings. To rebuild reserves we have to reduce our spending, but do so without hampering our ability to promote this year’s good crop. Not an easy task—but after sharpening our pencils and putting on our strategic thinking caps, we made it happen.

After much discussion, the directors decided to reduce the budget by $225,000. The board-approved budget was submitted to the Apple Marketing Order’s Advisory Board for approval and for their recommendation to the state Commissioner. Our budget was approved.

The good news: in previous years we had already invested in production of billboard, radio and television advertisements, so we won’t need to spend money there this crop year. NYAA had created some nice print ads in the past that will work well this year, too. We will have to spend minimal to resize some of those ads for reuse this year, but that’s much more cost-effective than creating many ads. Our focus in the future is to determine consumer and trade messaging that will make the most impact.

This year, we will continue to focus heavily on encouraging food retailers to stock and promote New York state apples and cider – that is a drum that we want to beat at every opportunity we get. New this year, we will also focus on building our foodservice markets, particularly schools and correctional facilities across the state. We submitted a proposal and have been awarded a USDA Specialty Crop Block Grant for $89,856 that we will invest in creating new market opportunities for New York state apples and apple products with these key institutional buyers.

NYAA’s project will create linkages between our industry’s sellers and school foodservice and correctional

facility buyers, to increase usage and consumption, and educate students and correctional inmates about the nutrition and health benefits of New York state apples and apple products.

The grant helps offset the cost to hire an independent consultant to work with schools, correctional facilities, foodservice distributors, and our industry’s growers and shippers. Plus, the grant will pay for posters that will be displayed in school cafeterias across the state to inform students about the great taste and nutritional value of our foods.

As part of that grant, NYAA will coordinate a series of Meet the Buyer events to forge relationships between apple sellers and the intermediaries who assist in distributing apples and apple products to schools throughout the state.

Internally, we will be looking at ways to communicate with you more effectively and cost efficiently. One way for us to reduce costs is to communicate electronically rather than by mail. When we mail to our members, not only are there an out-of-pocket costs in the paper, copying or printing and postage, but there is also the cost of staff time to fold and stuff those materials into envelopes, and then run the envelopes through the postage meter to affix postage. In upcoming weeks and months, we will reach out to you to make sure we have your current email address so we can begin shifting from snail mail to email. This will also allow us to get news to you more promptly, rather than having to wait for the next monthly edition of Core Report. We will continue producing Core Report because we know it is a crowd favorite, and we will be focusing additional attention on spotlighting our growers along with delivering industry news.

We have also been streamlining our accounting functions. I have been working closely with our new outsourced accountant, Stephanie Glamack, to identify ways to simplify our work. As we finish closing out the books for last year and beginning new ones for the crop year ahead, I am quite pleased with the direction we have already taken.

We have been working diligently to identify cost-saving measures and the outcome is positive in that it has encouraged all of us to refocus on what’s important and that is marketing New York apples.

Core Report® is published monthly by the New York

Apple Associationas a member service.

New York Apple Assn.Contact

P.O. Box 350, 7645 Main St. Fishers, NY 14453-0350Phone: (585) 924-2171, Fax: (585) 924-1629www.nyapplecountry.com

StaffCynthia Haskins, President & [email protected] Willis, Executive Assistant/Office [email protected] Bacon, Administrative and Public Relations [email protected] Hoard, Retail & Foodservice Account [email protected] McClurg, Account [email protected] Sarlund, Northeast Account [email protected] Stewart, PR Director and NYAA Spokesperson [email protected]

Core Report onlinewww.nyapplecountry.com/core-report

Board of DirectorsWill Gunnison, District 1, Crown Point(518) 597-3363, [email protected]

Jay Toohill, District 1, Chazy 518-846-7171, [email protected] Chiaro, District 2, Hudson (518) 828-1151, [email protected]

David Jones, District 2, Germantown 518-537-6500, [email protected] Albinder, District 3, Milton (845) 795-2121, [email protected]

Kurt Borchert, District 3, Marlboro 845-236-7239, [email protected] Sarah Dressel, Vice Chairwoman, District 3, New Paltz(845) 255-0693, [email protected] Fleckenstien, District 4, Lafayette(315) 558-0188, [email protected]

Richard Endres, Treasurer, District 5, Sodus(315) 483-6815, [email protected] Furber, District 5, Sodus(315) 483-8529, [email protected]

Chris Hance, District 5, Pultneyville(315) 589-4212, [email protected]

Abram Peters, District 5, Pultneyville(585) 455-3600, [email protected]

Robert Brown III, District 6, Waterport 585-721-7723, [email protected] Stannard, District 6, Medina 518-477-7200, [email protected]

Jason Woodworth, Chairman, District 6, Waterport 585-682-4749, [email protected]

Cynthia Haskins

‘Our focus in the future

is to determine consumer trade messaging that will make the most impact.’

Sharpening OurPencils to Refocuson the Big Picture

Industry Insights

Page 4 Core Report® August 2017

By Paul BakerAgriculture Affiliates

I am certain each of you know the threat Mother Nature places upon your operations each year.

To counter this risk the RMA has developed an Apple Crop Insurance program. Like any federal supported program there will those who question the fairness to the U.S. taxpayers. Over the last five years the northeast sector, including Michigan, has suffered devastating losses due to climate related events.

As a result many feel that the cost to insure fresh apples in this sector is too expensive for the U.S. taxpayer to continue at the same rate of risk. On the table will be talks to raise the grower monetary contribution to this program.

On Aug. 16 in Rochester, New York I will be attending and participating

in an open d i s c u s s i o n with the leaders of RMA as to the future of our Apple Crop I n s u r a n c e Programs. I will be very strong in my opinion that this program is absolutely e s s e n t i a l

to maintaining a healthy New York apple industry. Crop insurance is not cheap. All insurance programs offer a risk reward element. I have been very outspoken that without crop insurance I feel many very good apple operations would either be out of business today or carrying a huge debt to cover these climate related events. As an industry

we are willing to pay for our insurance. The levels however can be raised to a level that prohibits participation.

H-2CCurrently being circulated within

the House of Representatives is a 46-page document that outlines the House vision for solving the agriculture guest worker issues. I have read this several times and applaud the House for putting so much time and effort into this study.

It is in the discussion stages and there is a great deal of back and forth as the content is debated. In my opinion this is the most complete effort to address this issue since Ag Jobs.

If approved and signed by the White House this program would go into effect 18 months after passage. It would replace the H-2A programs. It is a much more enlightened document

that offers a path forward for today’s agriculture to staff their needs while maintain border security.

Final wording is not on the table at this time of course. I do see an honest effort to apply the needs we have been advocating for all of these years. The House is reaching out to the industry for comments and we will be there to offer constructive comments.

In short if we can continue to draft this H-2C program I feel it offers the most enlightened efforts to fix agriculture labor needs, while maintaining border security.

I am confident that we for the first time have a strong piece of legislation coming from the House that will offer security to our labor issues that have been in flux since 1987.

I consider monitoring this document issue number one for the NYS Horticulture Society. We will keep everyone in the loop as this develops.

Baker

The Hort ReportNews from the New York State Horticultural Society

Two Dynamic Topics on Table This Summer

by Joan [email protected]

Request for Proposal: To provide and deliver fresh New York apples for the New York Apple Association sponsored New York Road Runners events.

NYAA is seeking proposals to supply and deliver New York State grown apples for the NYRR TCS NYC Marathon and other NYRR race events at various New York City locations on various dates throughout the year.

U.S. Extra Fancy, washed and waxed, 120 or 125 count apples need to be delivered in packed cartons (additional sizes and grades may be

substituted with prior approval and appropriate price adjustment, based on availability). A delivery schedule, which includes the name and date of each event, quantities to be delivered and exact locations where to deliver, will be determined prior to the scheduled event.

The largest single event is the TCS NYC Marathon. This event requires various amounts of apples (up to 800 cartons) to be delivered on different dates to various locations (NYRR Warehouse, NJ or Astoria, & Central Park) during the week leading up to the Nov. 5 TCS NYC Marathon.

The estimated total volume of apples needed for the 2017-2018

season (Sept. thru June, excluding the NYC Marathon) will be between 35 and 150 cartons per week. Apples can be stickered, but only with generic non-branded stickers that do not contain a brand or the packer’s name or logo. You can bid on providing apples for the NYC Marathon and all the races throughout the year, just the NYC Marathon, just one month of race events or a combination of dates/events. Companies interested in submitting bids should contact Joan Willis, NYAA, (585) 924-2171 for further information.

Written proposals must be received in the NYAA office by 4:30 p.m. Friday, Aug. 18, 2017.

Notice to the Trade — Request for Proposal

New York Farm Bureau DefendsFamily Farms from NYCLU LawsuitBy Steve [email protected]

New York Farm Bureau made a strong case in State Supreme Court in Albany, N.Y., as to why the Court should dismiss the NYCLU lawsuit that seeks collective bargaining rights for farmworkers.

Our attorney argued that our system of government requires that the legislature change state law, not the courts. Our attorney also argued that the State Labor Relations Act, as written, is constitutional.

We appreciate the opportunity that the Court provided to us to argue the reasons for dismissal, and we are

hopeful that we will have a decision in our favor very soon.

The court previously granted New York Farm Bureau intervenor status to defend agriculture from the lawsuit after New York State abdicated its duty. Our organization had petitioned the court last year to become a defendant only after the Governor and Attorney

General refused to uphold and defend the State Labor Relations Act in court.

New York Farm Bureau has long opposed farmworker collective bargaining for one simple reason. Farms do not have a standard eight-hour workday.

This growing season has taught us that. Heavy rains across New York have forced farmers and their employees to get in every dry moment they can in the fields before the next storm cloud arrives. Life inside the barn is no different. For instance, cows need to be fed and milked every day. A farmworker strike or confining work agreements can jeopardize a crop or the health of an animal. Everyone who works in farming understands this.

Added regulations will further tie the hands of New York’s farmers and place them in a business environment where it is becoming harder and harder to compete against farmers from out of state and out of the country.

Farmers have great respect for the people who they employ. If we are to have a vibrant agricultural sector in New York that offers good job opportunities, farms must be able to have a chance to succeed. Collective bargaining will only make it more difficult to do that.

“New York Farm Bureau will continue to stand up for our members, either in court or at the Capitol, to ensure that their voices are heard,” New York Farm Bureau President David Fisher said.

New York McIntosh apples are distributed at the 2015 TCS NYC Marathon.

August 2017 Core Report® Page 5

By Frank GasperiniNational Council of Ag Employers

The 2017 season continues to see tightening labor supply and increased enforcement efforts, all putting

a d d i t i o n a l pressure on every one of you who are engaged in labor intensive segments of a g r i c u l t u r e . N C A E r e p r e s e n t s you in the largest and most cohesive a g r i c u l t u r a l coalition most

of us have known, the Agricultural Workforce Coalition. We expect to face legislative proposals requiring mandatory E-verify from Congress between now and the fall of 2017. The President’s budget proposal appears to assume there will be mandatory E-verify based on Department of Homeland Security funding items. As a reminder, E-Verify is an Internet-based system that compares information from an employee’s Form I-9, Employment Eligibility Verification, to data from U.S. Department of Homeland Security and Social Security

Administration records to confirm employment eligibility; to learn more visit https://www.uscis.gov/e-verify.

We must be prepared to oppose mandatory e-verify legislation as part of the large agricultural coalition unless it is coupled with meaningful agricultural provisions that stabilize the current agricultural workforce. Agriculture as we know it would not survive mandatory E-verify without provisions to stabilize our current workforce so we could continue to legally employ them, regulatory and implemen-tation improvements to the current H-2A program, and legislation to reliably and predictably supply sustainable numbers of visa workers for the future. To put it bluntly, because we know half or more of our current domestic workforce are falsely documented, mandatory E-verify without significant agricultural provisions to provide a legal workforce would put many of our producers out of business very quickly.

We know it is frustrating to all of you that we have not been able to get Congress to pass meaningful immigration legislation to “fix” the agricultural workforce issue. In fact, positive legislation to fully address our needs seems increasingly remote in the atmosphere of the current Congress. The House Judiciary still says that they intend to introduce a reworked version of HR1773 this summer or fall and they have scheduled a hearing

on agricultural workforce issues later in the week of this writing. They do have draft language in the Judiciary Immigration Subcommittee, but we do not know if there is yet a realistic timeline under which it could be completed. If you recall three years ago when HR1773 was proposed in 2013 agriculture did not support it because, among other concerns, it did not make provision for our current workforce, it ended H-2A, and the temporary visa program proposed to replace H-2A was capped at a number that would not come near replacing our lost current workers and the current H-2A numbers. We will not know what a new proposal will offer until we see it, but the current drift in Congress around workforce and immigration issues is not comforting. Even if something acceptable should emerge in the House Committee before the end of 2017, it would be a long road to full House, much less Senate approval.

What this all means is that our work this year, balance of 2017 and possibly all of 2018 because of mid-term elections, is very likely going to have to focus on stopping bad legislation and regulation, and holding Congress and Regulator’s feet to the fire to make the programs we currently need work better. This is the least glamorous, most thankless, and hardest to appreciate work that you and your associations must do to stay alive. It means that

we will probably not see opportunity to pursue new and improved legislation. This does not mean we can go into a holding pattern, take a break, let-down our guard, or our funding. It does mean that our strategy and tactics must focus on preventing harm while continuing to build our case for long-term legislative and regulatory relief. This is the hardest kind of work your associations do for you, and the hardest for you to appreciate the value for; but it is extremely important and valuable work nonetheless. Preventing, or mitigating, added harm is just as difficult and resource intensive as passing positive legislation and regulation. Your associations, attorneys, and government affairs professionals and contractors truly need your help and support to defend and protect the interests of labor intensive agriculture now, and in the future. Please stay in the fight even if we do not anticipate the flashy prospects of new legislation. We are here to do what is necessary to maintain your ability to remain in competition.

Frank Gasperini is the Executive Vice President/CEO for the National Council of Agricultural Employers. NCAE is the national trade association representing Agricultural Employers in Washington, DC since 1964. Frank can be reached at [email protected] or at 202-629-9320.

Gasperini

Government Affairs in an EraWhen Congress Is Paralyzed

Opinion

Industry Leaders Press Labor Issuesto House Agriculture CommitteeBy By Tom KarstThe Packer

While acknowledging the importance of farm bill programs that provide research funding and promote fruit and vegetable consumption, industry leaders speaking to the House Agriculture Committee hearing last month also made it clear they desperately need farm labor solutions.

The hearing, called “The Next Farm Bill: Technology & Innovation in Specialty Crops” featured speakers from across the country.

“While it is outside the jurisdiction of this committee, we ask first and foremost that Congress move rapidly toward allowing a legal workforce in the United States to guarantee that future immigrants who desire to work in American agriculture be allowed entry,” Paul Wenger, president of the California Farm Bureau Federation, told the committee.

“The shortage of workers could be made worse by enforcement first policies”, Paul Heller, vice president of Wonderful Citrus Texas, said in his testimony.

“Should anyone still believe the myth that foreign workers who harvest specialty crops are taking jobs from Americans, I invite them to talk to growers across the country and learn the simple truth,” Heller said in his

prepared remarks. “Americans by and large will not do these jobs.” Heller said it is “critically important” that any enhanced enforcement is done in a way that supports a workable agriculture guest worker program.

The next farm bill should prioritize research on water and labor-saving automation, Kevin Murphy, CEO of Driscoll’s, Inc., told the committee.

In his testimony, Gary Wishnatzki, owner and CEO of Wish Farms, Plant City, Fla., said he believes the USDA could play a role in reforming the H-2A program, which is now run by the Department of Labor. Among other moves, Wishnatzki said the USDA could:

Establish quotas for the total number

of workers needed monthly for all crops in the U.S.;

Establish a clearinghouse to point workers to areas and farms where they are needed, and

Issue agricultural work visas to workers with agricultural work experience, and stipulate agriculture as the industry that they are allowed to work in and it stipulates the time they are allowed to stay.

While research into automated harvesting has much promise, he said the potential is still some years away.

“Depending on the commodity, it may take anywhere from five to ten years for automation technologies to be perfected to the point they can be utilized effectively in the field on a

large scale,” Wishnatzki said.While House Agriculture Committee

leaders expressed support for the specialty crop industry, they made no promises to address labor in the next farm bill.

House Agriculture Committee Ranking Member Collin Peterson, D-Minn., said that specialty crop industry is in a “unique position.”

“Consumer demand is increasing but natural resources remain fixed and the labor supply is shrinking,” Peterson said in his prepared remarks. “It seems to me that the key to being successful will be through the wise use of technology and with an optimum regulatory structure that allows innovation to flourish.”

By Ashley NickelThe Packer

Two proposed changes to the H-2A visa program have drawn positive comments from the produce industry — with the caveat that an immigration overhaul is still needed.

Rep. Dan Newhouse (R-Wash.) suggested the amendments during the House Appropriations Committee markup process, according to a news release.

One change would make H-2A workers eligible for housing in buildings that were purchased, constructed or improved through the use of certain loans. Previously, although housing is a requirement for H-2A approval, those workers were not eligible for such housing. That amendment was accepted during consideration of the FY2018 Agriculture Appropriations Bill.

The other change Newhouse proposed would allow employers use

the H-2A program for year-round labor needs in addition to shorter-term ones. That amendment was approved during the markup of the FY2018 Homeland Security Bill.

“It’s very gratifying to see Congressman Newhouse step forward and try to make some corrections to the H-2A program,” said Mike Carlton, director of labor relations for the

Industry Supports Proposed Changes to H-2A program

See H-2A, Page 10

Page 6 Core Report® August 2017

Start Your Public Relations EnginesBy Julia Stewart [email protected]

Harvest is right around the corner – is your business ready for our industry’s best opportunity to get in front of

consumers? W h e t h e r

you’re a direct marketer or w h o l e s a l e r , these days e n g a g i n g directly with c o n s u m e r s is a must for most of us. C o n s u m e r s increas ing ly want to know the face and the story

behind the foods they eat. Because most of the consuming public hasn’t been involved in agriculture for a few generations now, they want our reassurance that they can trust us to meet their most basic human need (and pleasure): food.

To make the most of your harvest communications opportunities, we recommend that you:

• Spruce up your website: At a minimum, make sure all your content is current, and all the links are working. Remove outdated content. Make sure you’ve linked to NYAppleCountry.com and NYCider.com. Search engines like Google prefer sites that are updated, so post new content regularly.

• Go mobile: If your site isn’t mobile-

friendly, it’s time for a redesign or your customers may not be able to find you. A majority of Internet searches are now conducted on mobile devices (phones and tablets) – and the largest search engine (Google) now prioritizes mobile-friendly sites when returning results for mobile searches.

• Get social: Today’s consumers want to engage with the companies they do business with, and social media is the easiest, cheapest platform to connect with them. Focus your effort on Facebook, it still the best way to reach Baby Boomers and Millennials alike (who should be your top target audiences).

• Say cheese: Social posts that include a photo or video consistently get more consumer engagement than posts that don’t. You don’t have to be Ansel Adams or Frank Capra. Just have a steady hand with that smartphone camera, share content consumers will find interesting, and keep your videos short and to the point. Our world is now foreign enough to them that you may be surprised at what they will find interesting.

• Reach out to local reporters:

Working with media is symbiotic: by providing reporters with news they can use, you help them do their jobs – and by reporting your news, they help you reach your customers. Today’s news rooms are sparsely staffed, so it can be hard to get reporters’ attention… but great attention getters include an invite to visit your beautiful orchard or high-tech packing shed, not to mention a gift box containing some hot new (or old favorite!) varieties. Remember, media outlets want news, so be ready to talk to them about what’s new in your apple world.

• Play offense, not defense: Today’s consumers (rightfully) want to know

how you’re producing the food that they are eating. Be ready to field consumers’ questions about key industry issues so you aren’t caught by surprise. Pollinator health, biotechnology and foodborne illness are trending in the news; pesticide residues are a perennial topic. Your customers will appreciate your thoughtful, positive responses. Contact NYAA for consumer-friendly message guides. See our website FAQs for advice on how to talk about wax coatings and internal defects.

Apples and apple cider are very old foods that we are constantly making new again. We have great stories to tell our customers. So let’s get to it.

Julia Stewart

‘We have great

stories to tell our customers. So let’s get to it.’

NYAA PR Plansto Build ConsumerNew-Crop Buzz By Julia Stewart [email protected]

With the state’s 2017 apple crop progressing from “blossom to awesome”, NYAA’s public relations team is fine-tuning its plans to create buzz for the crop with consumers.

Each summer, the PR team finalizes its plans to promote the coming crop. That plan includes defining objectives, identifying target audiences, and laying out an activity plan to reach those target audiences to achieve the defined objectives.

This planning process brings strategic focus and discipline to the team’s activities.

That said, the plan isn’t written in stone; the staff is always keeping eyes out for opportunities. The perennial goals of NYAA’s public relations plan are to: gain positive media coverage; establish NYAA as the media source; and protect the image of New York apples and apple products.

The plan’s target audiences are commercial buyers, consumer purchasers and the media outlets that reach them; as well as you, our industry, so that you are informed about our activities on your behalf.

Top Message: Buy New York!

This season, NYAA will focus on conveying three key messages to our target audiences:

Buy local, buy New York! There is no need to look further than New York’s backyard for the country’s most delicious, nutritious apples and cider.

Apples are a year-round food – and therefore are worthy of year-round attention. Our industry now ships apples for at least three seasons, so think of us as more than a fall food.

Apples are more than snacks and dessert.

This summer and early fall, NYAA will start the pre-harvest ball rolling by beginning to personally visit key consumer media outlets in major New York state markets, to ask them to report on the Big Apple and to re-introduce them to NYAA as their go-to source for information.

Themes Include Salads and Santa

After announcing the official arrival or harvest statewide, the PR team will distribute news on a regular basis to trade and consumer media outlets. For example, this crop year NYAA will increase our focus on promoting the apple industry as an agritourism destination, including pick-your-owns, farm markets, hard cider makers, etc.

The PR team will also reprise the Big Apple Salad Challenge, a consumer-focused campaign first launched last year that includes social media and consumer media outreach. Salads are an easy way to eat more delicious, nutritious New York state apples!

NYAA will also highlight apples’ family friendliness, from healthy back-to-school lunchbox additions to family-friendly weekend outings. We will put a spotlight on both sweet and hard cider, and holiday apple uses from meals to gift giving. In December, NYAA will encourage children to leave an apple for Santa, instead, a favorite NYAA year-end campaign.

Putting More social in Our Media

As newsroom sizes have shrunk in recent years, NYAA has shifted its focus to put more emphasis on communicating directly with consumers through social media channels. This crop year, the PR staff will also engage with consumer media through Facebook page.

NYAA’s Facebook page now has more than 29,000 fans, so it has the potential to reach a very large consumer audience.

The PR team also maintains NYAA’s two websites, which are available to consumers as well as reporters 24/7/365.

August 2017 Core Report® Page 7

Metro Retailers Are Singing Our Song By Susan Sarlund [email protected]

Summertime is always an exciting time of year for the New York Apple Association. With the long, hot days of summer upon us comes the promise of a new crop of our apples on the horizon! Equipped with the knowledge I gleaned from the annual Board meeting in Lake Placid last month, I have been out visiting with our retail partners in Metro New York to get them to start thinking and planning for our upcoming season. The message is a positive one; a good crop is setting up and with adequate water so far, the sizing of the fruit should be bigger than last year.

In addition to sharing our NYAA message, it is important for me to listen to our customers; learn what they are up against in business, how their c o n s u m e r s are constantly evolving and accordingly ,

how they are marketing to them. It is invaluable to learn about the challenges they face both internally within their own companies and in the marketplace

where they compete. Right now, produce buyers are so inundated with summer fruits and adjusting to the weather issues related to them that they are excited about what’s coming up for the fall and how we can help their business at that time of year. To that end, we are offering them Point of Sale material (our Variety Guide is a regular favorite), Ad Allowance programs, Bin Rebate programs, in-store sampling and a digital program where it applies. Like with anything else, one size does not fit all. Every customer is different and as a result we need to work with them to meet their needs.

It was fascinating to get into a discussion yesterday with a Produce Buyer about how their consumers are

becoming more sophisticated in their food choices. Specifically, in urban areas, that traditionally may not have had the heaviest produce buyers, there has been a shift with these consumers as they have become more educated on the benefits of fresh and locally grown items.

As such, retailers need to meet this demand in their offerings. It was as if he sold the product for us as we spoke about taste and he said that “local fruits and vegetable always tastes superior to product sourced farther away”. This was music to my ears. With that I said, “thank you -- that is precisely why you need to support and promote locally grown, New York State apples.” Mission accomplished.

Good Selling!

Susan Sarlund

By Julia [email protected]

The first forecast of the 2017 U.S. apple crop has been released, and pegs the coming crop at 255.6 million 42-pound units – down 4.8 percent or 13 million units compared to the 2016 crop. The New York apple crop is forecasted to be 29.0 million units, up 3.2 percent or almost 1 million units from last year’s crop.

There is a big, positive story for the industry in those numbers, says U.S. Apple Association’s (USApple) Mark Seetin, who led development of the forecast at Premier Apple Cooperative’s annual meeting in late June. Seetin is USApple’s longtime director of regulatory and industry affairs.

To understand that big story, first here’s a bit more data: Shortly after the Premier meeting, U.S. Department of

Agriculture (USDA) released its final estimate of the 2016 crop. According to the agency, the final 2016 crop was 268.4 million units. In August 2016, USDA had forecasted the 2016 U.S. crop would be 248.0 million units.

So here’s the big story: USDA’s final estimate bumps up the 2016 crop to the fourth largest in U.S. history. The largest apple crop was harvested in 2014, at 281.3 million units.

The positive story for the industry: The last time our industry had two top-five crops in close proximity was in the 1990s, and the market collapsed, noted Seetin. We won’t see a repeat of that today because much has changed since then, he stressed, and “that is a real tribute to the industry’s increasing skill at marketing large crops.”

“Per capita consumption of fresh apples has been bobbing around a 20-year high of nearly 20 pounds,” Seetin

said. “Consumer health consciousness, higher quality apples resulting from improved variety selection and storage and handling technology, plus better marketing strategies have likely all contributed to the industry’s ability to handle larger apple crops.”

Seetin also noted that the Premier conference attendees’ forecast of the 2016 crop turned out to be within 1.9 percent of USDA’s final 2016 estimate.

“Given the variability of biological systems, that is the statistical equivalent of a bull’s eye,” he said.

USDA will release its 2017 crop forecast in early August, based on surveys the agency conducted in July. Seetin will lead USApple’s review and update of that forecast at USApple’s annual Apple Crop Outlook and Marketing Conference Aug. 24-25 in Chicago.

2017-18 US Apple Crop Forecast

The national 2017 crop forecast as compiled by the U.S. Apple Association.

E-mailing CongressTo find your Congressperson’s Web site, visit:

www.house.gov or www.senate.gov.

Page 8 Core Report® August 2017

NYAA Attends Empire State Development’s Fall Media Marketplace in NYCBy Tami [email protected]

What do popular lifestyle magazines like Family Circle, Redbook and Esquire have in common with well-known travel publications like National Geographic and Fodor’s Travel Guide? All of them appeal to wide range of consumers who enjoy travel and all recently sent staff writers and reporters to Empire State Development’s Fall Media Marketplace held last month at the Flatiron Hotel in New York City.

In all, more than 50 influential journalists attended the event. NYAA shared the New York apple story with writers at the event and handed out media kits to encourage them to write about apple-related news across the state. Newspaper, magazine, and

television journalists were among the guests and all expressed interest in learning more about apple and cider production in New York.

NYAA grower Bill Michaels of Fly Creek Cider Mill & Orchard in Cooperstown was there as well with a cider press demonstration. The event

was hosted by Finn Partners, the NYC-based creative agency managing public relations for the ‘I Love New York’ campaign.

Left: Bill and Henry Michaels with NYAA PR Assistant Tami Bacon at the Fall Media Marketplace in NYC. Right: NYAA displayed apples at the Fall Media Marketplace with Empire apples from Fowler Farms in Sodus, NY.

AuGuST 8-10, 2017Empire Farm DaysRodman Lott & Son FarmsSeneca Falls, NY

AuGuST 24-25, 2017Apple Crop Outlook & Marketing Conf.The SwissotelChicago, IL

AuGuST 23 – SEPT. 4, 2017NYS FairSyracuse, NY

OCTOBER 19-21, 2017PMA Fresh Summit Convention & ExpoErnest N. Morial Convention CenterNew Orleans, LA

NOvEMBER 28-29, 2017NYAA Board of Directors MeetingDoubleTree Syracuse, NY

DECEMBER 5-6, 2017NYFB State Annual MeetingDesmond Hotel & Conference CenterAlbany, NY

Calendar

August 2017 Core Report® Page 9

NYAA’s New Retail, Foodservice AccountManager Visits NYGrowers and ShippersBy Tami [email protected]

Michele Hoard, NYAA’s new Retail and Foodservice Account Manager, “hit the ground running” last month with a whirlwind, day-long tour to seven pack houses and orchards across New York state. Accompanied by veteran NYAA marketer David McClurg, Hoard traveled from Western New York to the Hudson Valley to experience the latest in orchard management, cold storage, cider processing and more.

“It’s that time of year again!” said Hoard. “Produce managers are turning over space, looking for new varieties, and reaching for “back-to-school” staples which means it’s time for New York apples to shine in the marketplace. This is our time to take center stage to tell our story about why New York apples are better than the rest.”

More than ever before, Hoard believes today’s retailers want to know who is growing the produce the sell,

and they want to know what growers are doing to ensure consistent quality. She was impressed by the technology and innovation she saw on her tour stops and was particularly struck by the prominence of generational businesses she encountered along the way. “Family businesses offer compelling stories on so many levels and retailers are attracted to that,” said Hoard. “We just have so many terrific stories to tell about apple production in New York!”

Field visits are critical to retail success. “When I get to see innovations in the field, I can take information and valuable insights back to the retailer and immediately appeal to them in new and meaningful ways. It is time well spent.”

To ensure New York apples receive the best positioning possible again this fall season, NYAA is offering trade partners point-of-sale material, ad support on early crop varieties, rebate programs for bins, in-store demos and digital marketing programs.

From left, NYAA’s David McClurg, Michele Hoard and grower Mike Crist.

Abendroth WinsLamont AwardBy Tami [email protected]

Alicia Abendroth of Sodus, N.Y., is the 2017 recipient of the New York Apple Association George Lamont Leadership Award.

The award is intended to recognize a college junior or senior who is actively engaged in studying apple production and who intends to work and contribute to New York’s apple industry during their career. Award candidates must be nominated by a college professor and must demonstrate knowledge of, experience with, and commitment to New York’s apple industry. The award has been presented by NYAA since 1998.

Abendroth was nominated for the award by Dr. Gregory Peck, Cornell University’s Assistant Professor of Horticulture, Sustainable Fruit Production Systems who detailed her “considerable ambition… maturity… intelligence and professionalism…” in a nomination letter.

This spring, Abendroth graduated from Cornell University with a bachelor’s degree in plant science from the College of Agriculture and Life Science. She is currently employed in a management position on her family’s Lake Ontario farm, Abendroth’s Apple Ridge Orchard, a 400-acre orchard in Sodus and Wolcott.

Abendroth, a German-American citizen, dedicated her first two years

of college to learning more about her family’s German heritage by studying horticulture in the Rheingau of Germany. At Cornell, she was part of the Cornell Orchards’ Internship Program and studied for a time in Chili. She speaks fluent German and is passionate about incorporating her international perspectives into farming in New York.

The Lamont Award is used to provide travel assistance to attend the recipient’s choice of one of several apple-related industry events, such as The New York Produce Show & Conference, the Empire State Producers Expo, and United Fresh.

Former Lamont Leadership Development Award winners are: Brett Baker, 1998; Jeremiah Smith, 1999; Robert R. Brown III, 2006; Tenley S. Allen, 2007; Joel Crist, 2008; Caleb Burlee, 2013; Steven Pennings, 2014; Kaitlyn Kelder and Maxwell Russell, 2015; James Williams, 2016.

Alicia Abendroth

Page 10 Core Report® August 2017

View past issuesof Core Report®

online at:www.nyapplecountry.com/core-report

Partnering with EscapeMaker.comto Promote New York ApplesBy Tami [email protected]

“Experience Marketing” is making a name for itself, especially in the food and beverage industries. Why? Because Millennials don’t have the same understanding of where food comes

from as their Baby Boomer or Gen X p a r e n t s . As a result, Mil lennials are hungry

to know and “experience” the food they consume from a field-to-table perspective.

Enter EscapeMaker.com. This 17-year old Brooklyn-based

business specializes in producing agritourism themed events throughout the state and specializes in enticing residents of New York City to get out into the countryside and enjoy apple picking, farm stores and more. This year, NYAA is renewing its partnership with the organization to help tell the New York apple story across the state and benefit all NYAA members.

EscapeMaker.com specializes in coordinating agritourism adventures and designing special events that put apple products in the hands of consumers.

The organization eagerly distributes NYAA’s varietal guides and recipe cards at farm markets across New

York City, and in the fall they host the annual “Apple Palooza” event in Union Square. Throughout the year they talk to hundreds of shoppers at farm markets across the city and encourage them to experience the cider trails and ‘you pick’ opportunities in apple

country. This fall, EscapeMaker.com is also teaming with Dutchess Tourism and Metro-North Railroad to offer the “Farm Fresh” tours showcasing a popular apple picking event.

EscapeMaker.com also sends monthly email blasts to consumers

with news and promotions. Any NYAA member who would like to have their business highlighted in an email blast should contact Kash Barkeley, EscapeMaker’s Agritourism Manager at 877-997-2726 or [email protected].

From left, EscapeMaker.com Agritourism Manager Kash Barkeley; Robert Lewis, food system planner and founder of Fulton Stall Mar-ket in New York City; and Caylin Sanders, President of EscapeMaker.com.

Florida Fruit & Vegetable Association. He described the issues addressed as important ones and said the changes help the program fit agriculture better.

Jim Bair, president and CEO of the U.S. Apple Association, also praised the amendments.

“Whether it’s a grower in New England who needs 10 harvest workers or a grower in Washington state that needs 1,000 or more, the fear of an inadequate labor force to harvest their apple crop is what keeps them up at night,” Bair said. “Any incremental steps that improve the H-2A program, like those proposed by Rep. Newhouse, deserve strong support.”

Ken Melban, vice president of industry affairs for the California Avocado Commission, described the changes as positive as well. “We really appreciate Rep. Newhouse’s efforts,” Melban said. “It’s an effort to achieve

some relief. We all know that we need relief.”

Amendments aside, growers are still looking for more help.

In no way do we believe the H-2A program is the solution that’s necessary,” Melban said, adding that Congress would have to overhaul the system.

George Radanovich, president of the California Fresh Fruit Association, expressed a similar view.

“There is immense need to comprehensively address our resident foreign worker population, and our association welcomes any and all willing partners in our attempt to address this issue,” Radanovich said.

The United Fresh Produce Association was not immediately available to comment as staff members were in Washington D.C. having discussions on the topic of a viable workforce for agriculture. Dante Galeazzi, president of the Texas International Produce Association, was not immediately available for the same reason.

H-2AContinued from Page 5

August 2017 Core Report® Page 11

USApple Outlook ConferenceAttracts Exciting New SpeakersBy Korena WilsonU.S. Apple Association

Held Aug. 24-25 in Chicago, the U.S. Apple Association’s 2017 Apple Crop Outlook & Marketing Conference (Outlook) is the event to preview, forecast and discuss the global impact of the upcoming apple harvest. The two-day event, in Chicago features a strong line-up of experts covering crop production estimates, the status of current trade relations and the influence of consumer buying habits.

What’s New and Especially Relevant this Year?

NAFTA is this year’s buzz word. With the Trump Administration announcing its’ intention to renegotiate the NAFTA treaty, the conference will kick off with keynotes led by government officials from Mexico and Canada. Roughly a third of U.S. grown fresh apples are exported, with Mexico and Canada comprising the number one and two export destinations respectively. Outlook speakers with NAFTA expertise will speak from varying viewpoints on the various possible outcomes of renegotiating the treaty.

A new addition this year, veteran members of the agriculture trade press will discuss the overarching influences and public perceptions impacting consumer produce consumption. From labor and immigration demands to innovative marketing concepts, the media panel will field questions from

the audience on what drives content and makes a story or grower profile newsworthy.

What Can Attendees Expect?

Attendees will catch up with old friends and meet new colleagues in a relaxed setting, during the opening reception and in between sessions. The conference is organized into the following topics and presentations:

• 2017 U.S. Apple Crop• 2017 European Apple Crop• 2017 Chinese Apple Crop• 2017 Canadian Apple Crop • 2017 Mexican Apple Crop • 2017 South American Apple Crop• Apple Juice, Concentrate &

Processing Panel• Reassuring Consumers About the

Safety of All Produce• Media Panel featuring David

Eddy, Editor, American Fruit Grower; Shannon Dininny, Editor, Good Fruit Grower; Gregory Johnson, Editor, The Packer; Eric Nieman, Associate Publisher, Produce Business Magazine; Gary Pullano, Managing Editor, Fruit Growers News

Who Should Attend?Outlook is the only national

gathering of the U.S. apple industry and is held at the beginning of the new crop marketing season – just days after the USDA August apple crop forecast. The conference brings together all sectors of the national apple industry and provides firsthand information on the upcoming crop.

Outlook 2017 is specifically for industry leaders from the United States and around the world. Participants come from all segments of the apple industry, including production, packing, processing, sales, marketing and new products. It is an ideal forum for meeting and collaborating with other apple industry professionals.

More on the Speakers

• Kenneth Smith Ramos, Director of the Trade and NAFTA Office, Ministry of the Economy of Mexico -- Based within the Embassy of Mexico in Washington, DC, Kenneth and his team are in charge of promoting the trade relationship between Mexico and the United States to ensure proper implementation of the NAFTA. Notably, he started his professional career working on Mexico’s NAFTA negotiating team.

• John Cruickshank, Consul General,

Consulate General of Canada -- John leads the affairs of the Consulate General, part of a worldwide network of Canadian diplomatic and trade offices. His office works to further the US-Canada relationship by promoting Canada’s interests in this region through stronger trade and economic ties. John has had a long career in newspapers and television.

• Veronica Nigh, Economist, American Farm Bureau Federation -- As the International Trade and Environmental Issue Economist for the American Farm Bureau Federation since 2011, Veronica is responsible for conducting research when shifts in policy related to international trade, environmental issues, transportation, labor, and specialty crops occur.

• Teresa Thorne, Executive Director, Alliance for Food and Farming -- In her role with Alliance for Food and Farming, Teresa provides information to the media and consumers about complex issues concerning food, farming and agriculture, overseeing numerous public opinion research projects designed to gain perspective about consumer attitudes on food safety, pesticide use, environmental issues and invasive pests.

Registration Information

Make plans to join us Aug. 24-25 and network with more than 300 of your colleagues at the only national gathering of the U.S. apple industry. Visit USApple.org to download the registration form.

U.S. Apple Association Files Comment Letter on Bifenthrin with Federal RegulatorsBy Mark SeetinUSApple

The agricultural community has been very concerned about the EPA’s aggressive regulatory actions that could ultimately remove important crop protection chemicals from the marketplace, and have a far reaching

impact on pest management practices. One example is the case of bifenthrin (BrigadeTM, Capture TM, Talstar TM and others), from a class of insecticides known as pyrethroids.

The concern of USApple and the broader agricultural community is that driven by pressure from anti-pesticide organizations, the Agency may be

overreaching its legal authority by not utilizing a science-based approach in pesticide regulation.

In response to EPA’s request for comments, USApple filed a comment letter that describes the importance of crop protection chemicals like bifenthrin, which is widely used by the apple industry in Integrated

Pest Management (IPM). More importantly, bifenthrin is one of only a few compounds that effectively control the Brown Marmorated Stink Bug (BMSB).

The comment letter includes background on the use of bifenthrin in apple production and its importance as a tool to control the BMSB.

Page 12 Core Report® August 2017

Volunteers Neededfor NYAA’s booth at the New York State Fair

Thank you and we hope to see you at the fair!

For the 18th consecutive year, we will be pro-

moting the many healthy aspects of apples by pro-viding fresh apples, sauce and cider to fairgoers in exchange for a donation to the American Cancer Society. This is a great op-portunity to promote our wonderful New York apples and apple products to thousands of fairgoers.

We are asking growers, packers, shippers, and apple industry members to come help us staff this exhibit. The booth is open every day from 10 a.m. until 10

p.m. You can join us for a variety of timeframes (10:30-2:30, 2:30-6:30, or 6:30-9:30); we’d love to have you help promote apples as well as your own farm or business, and your generous donation of time will be very much appreciated. Fair admission and parking passes will be provided. Also, if you have shirts with your farm name and/or logo on it, please wear it to promote your own business.

The Fair runs Wednesday, Aug. 23 through Labor Day, Sept. 4. Please contact Joan Willis at the NYAA office in Fishers (585-924-2171) if you are interested in volunteering or have any questions.

Ag Secretary Perdue Announces New Leadershipfor Food, Nutrition, and Consumer ServicesUSDA Office of Communications

WASHINGTON, D.C. —U.S. Secretary of Agriculture Sonny Perdue recently named three individuals to take on leadership roles within the U.S. Department of Agriculture’s Food, Nutrition, and Consumer Services.

Brandon Lipps will serve as the Administrator of the Food and Nutrition Service, and also as Acting Deputy Under Secretary of FNCS until the Senate confirms a permanent presidentially-nominated appointee. In addition, Maggie Lyons will serve as Chief of Staff and senior advisor to the Under Secretary, while New York native Kailee Tkacz will serve as policy advisor.

Brandon LippsMost recently, Brandon Lipps

worked for the Texas Tech University System as the Chief of Staff and Director of Federal Affairs in the Office of Chancellor Robert Duncan. In this role, Lipps was the leading force in developing policy initiatives and strategic priorities for the Chancellor. Prior to joining the Texas Tech University System, he served as counsel and senior professional staff to the U.S. House Committee on Agriculture. While there, he led the nutrition policy team in developing the first reforms to, and fiscal savings from, the Supplemental Nutrition Assistance Program since the welfare reforms of 1996. Lipps also served as Chancellor

Duncan’s consultant, legislative aide, and rural district director during his time as a Texas State Senator. Lipps is also a former associate at the Lubbock law firm of Crenshaw, Dupree & Milam.

Maggie LyonsBefore joining the USDA, Maggie

was the Senior Government Relations Director for the National Grocers Association where she coordinated on all issues such as the SNAP and Women, Infants, and Children (WIC) programs at the retailer level, including assisting member stores with licensing issues and questions regarding those transactions. Prior to the NGA, Maggie worked on Capitol Hill in both the U.S. House of Representatives and the U.S. Senate.

Kailee TkaczBefore coming to USDA, Kailee Tkacz

served as the Director of Food Policy for the Corn Refiners Association, leading strategic food and nutrition efforts at the international, federal, state, and local levels. Prior to her time at CRA, Tkacz was Director of Government Affairs for the Snack Food Association and also a Government Affairs Manager for the National Grocers Association. Her work experience has provided her with extensive knowledge of the food industry supply chain from farm to folk. Tkacz grew up in New York and has a bachelor of arts in political science, with a concentration in American politics and public policy, from the University at Buffalo.

What Do Millennials Want? Experience, Convenienceby Jennette RowanThe Food Institute

A lot of research goes into figuring out how to market to Millennials because, let’s face it, no one really understands them. As a Millennial myself, I can’t even tell you what we want, mainly because I’m not sure who even qualifies as a Millennial (some say it ranges from those born between 1980-95, while others say it goes from 1985-99). In addition, given the technological and cultural changes that have happened in those 15-20 years,

the people who qualify as a Millennial may be quite different. For example, a person at the older end of the spectrum would be over 30 years old, possibly married with children, who grew up in the late 80s and early 90s with no cellphones, and early-stage computers and internet.

But on the other end of the range, someone born in say 1997, would still be under the legal drinking age, most likely in college, and growing up never knowing a world without smartphones and social media.

While it still may take some time to pin down just what Millennials

are thinking (and by that time a new, younger generation will probably be of more concern), a common thread among demographic research seems to be that Millennials are willing to spend money on things that will save them time and create a memorable experience. In the food industry, that comes down to two things: foodservice and e-commerce.

New research from Acosta shows that 23 percent of older Millennials (ages 30 to 34) and 14 percent of younger GenXers (ages 35 to 39) are considered frequent CPG e-commerce shoppers because they purchase groceries online

an average of 50 percent or more of the time. The study also found that 70 percent of frequent e-commerce shoppers have children and 68 percent of frequent e-commerce grocery shoppers in urban areas have taken advantage of direct-to-home grocery services and 67 percent have used third-party delivery.

Still, 97 percent of all CPG dollars are spent in brick-and-mortar retail stores. Grocery shoppers continue to prefer brick-and-mortar retail when they want to personally select their produce and when they seek fresh meats, cheeses and other chilled categories.