Big challenges noted but optimism strong for strawberry marketers

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Rising costs and tight labor are two big challenges for strawberry growers, but marketers also see reason for optimism.

Asked both what represents their biggest challenge and the reason for their optimism, marketers echoed similar themes.

Problems

The availability of ample labor has increasingly become more of a challenge, especially considering complications related to the pandemic, said Kevin Dwyer, district manager at California Giant Berry Farms. “We have also been facing supply chain issues, coupled with inflation costs in materials.”

The biggest challenge for growing operation is cost increases, said Nick Wishnatzki, public relations manager for Plant City, Fla.-based Wish Farms. “All costs are up across the board: paper and clamshell packaging, farm inputs, labor and transportation. They are generally up 25% to 50%, but some instances where they are up by 300%.”

Tight labor and trucking shortages are big challenges for strawberry growers, Jim Grabowski, director of marketing for Well-Pict Berries, Watsonville, Calif.

Cindy Jewell, marketing representative for Oxnard, Calif.-based Bobalu Berries said rising costs are a big challenge.

“Trucking is more expensive and harder to manage, so it is critical we maintain our relationships with reliable suppliers and utilize the entire truckload for efficiencies,” she said. “Packaging supply is also a challenge this year with rising costs and supply issues on imported products.”

Jewell said awareness of the challenges growers face is needed.

“There is much talk in the media about consumer concerns of rising food costs, but those conversations are not extending to the farmer facing tremendous challenges with increased costs, while buyers try to keep fresh produce pricing consistent with previous years,” Jewell said. “Labor, transportation, packaging, farming supplies, gas, etc., are all up. I can’t think of one category that has static or lower pricing for farmers.”

The challenge that marketers have is telling that story in a way that actually helps, she said. “We can let our customers and the consumer know that costs are up and how farmers are struggling to maintain a sustainable operation, but recent research I read about sustainability shows consumers don’t associate being profitable with sustainability. Being profitable is definitely a component to being sustainable, so telling that story is one of my challenges this year.”

Optimism

Despite the challenges with labor and the supply chain, marketers said consumers are driving berry consumption higher.

“Consumption of fresh berries has been strong following the pandemic,” Dwyer said. “Consumers are making more health-conscious choices and the health benefits of strawberries, especially their high vitamin C content, is a major draw for shoppers.”

Wishnatzki said Wish Farms continues to see higher than historical demand for all berries, especially strawberries.

“We are hopeful that this translates to higher market prices, which will keep farming sustainable by offsetting the cost increases we are experiencing,” Wishnatzki said.

Jewell said strawberries remain a consumer favorite all year long.

“Consumers love strawberries and love to celebrate with strawberries,” she said. “We are very optimistic about our quality and flavor this year. We know each time a consumer has a positive flavor experience with our berries, they will quickly go back to buy more. We are happy with that and will work all year to make Bobalu shoppers happy and coming back for more.”

Grabowski of Well-Pict said 2022 is year three of selling fruit in a pandemic marketplace. 

“Things have been improving and looking up as the world evolves around this problem,” he said. “The healthy eating lifestyle that was emerging prior to the pandemic years continues to feed strong demand for strawberries, both conventionally and organically grown. Strawberries continue to be a sales leader in produce sections and there should be no reason for this year to be any different.”

Read related: 
Read the entire 2021 Fresh Trends Magazine
Southeast U.S., California berries — Strawberries
Top 20 fruit and vegetable purchases in 2020
Organic strawberries take big chunk of total organic produce sales

 

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