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BAMA going greener on banana imports

The Norwegian market leader for sales of fresh fruit, vegetables, berries and potatoes, BAMA, JB, Group (BAMA Gruppen AS) is actively promoting the Norwegian potato and on bananas moving to more environmentally-friendly transport.

The banana and the potato are respectively the fruit and vegetable that BAMA Group sells the most of. Here, in the second part of our latest coverage of BAMA, we look at what the Oslo-based trading group is doing in regard to these high volume products.

Promoting the Norwegian potato

One of the largest projects in 2014 for BAMA Industry was the expansion of BAMA’s potato production site in Rygge, which was set to double its production capacity via an increase in area to 5,200 m2 by August 2015. BAMA is adopting a major focus on product and variant development and new technology to further promote the Norwegian potato.

Asked why BAMA had made this a priority, BAMA Group CEO Rune Flaen told ED that: “Potatoes are the largest product group volume-wise and an important category for BAMA, and they are a healthy product. Our strategy is to increase consumption, especially through product development (processed potatoes), new varieties and by inspiring consumers by marketing tasty ways of preparing potatoes.”

In its 2014 annual report, BAMA said one of BAMA Industry’s most exciting innovations last year was the a range of sous-vide potato products which helped boost potatoes sales.

Bananas: ad campaign brings 6% volume growth

The average Norwegian eats 16.5 kgs of bananas each year, making the banana is the most popular fruit in Norway and BAMA’s largest fruit category, representing 25% of its total fruit volume. In 2014, BAMA ran an ad campaigns that included TV spots with simple messages and information promoting bananas’ health benefits and versatility with a volume increase of 6% the result.

Bananas: Increases in sales on previous year
2014: Volume 6%, value 12%
2013: Volume 7%, value 8%

BAMA achieved this growth despite a tough year “reflected in more unstable international container traffic, with slower transports due to route changes, problems with profitability and stricter controls at EU borders.” The situation created “challenges in getting ­bananas ripened on time, and our ripeners have performed an incredible job every single day to ensure that bananas are shipped out the right colour,” BAMA said in its annual report.

Move to more rail transport

All BAMA’S bananas are imported from South American countries and BAMA says that together with its suppliers, it is taking responsibility for ensuring its production occurs in the most environmentally friendly and sustainable way possible. “All our suppliers are obliged to comply with international GLOBALG.A.P. (Good Agricultural Practices) standards for sustainability and food safety within farming and production,” it said in the report.

It has always transported bananas from South America to Europe by ship, a journey of about nine days. “For many years bananas were transported in container ships to Europe, and freighted onwards by lorry to Norway. In 2009 we changed our transport policy so that the containers were freighted by ship all the way to Norway. Lorries are only used from the harbour in Oslo to our ripening plant. The switch reduced CO2 emissions equivalent to the average annual emissions of 16,800 private vehicles.”

“Rail transport is generally held to be the most environmentally friendly way to transport goods. Our target is for 50% of our incoming transport to be made via inter-modal solutions by 2020. Today this figure is around 12%. When the bananas are ripe and ready to be transported to various parts of Norway, they are increasingly conveyed by rail. In 2014 more than half of our freight was transported to Northern Norway by train. In Costa Rica around 40% of the bananas that Dole produces are transported by train. This form of transport is estimated to be 35% more efficient than road transport,” BAMA said.

Success with ready-to-eat avocados and mangoes

BAMA started offering avocado and mango in 2005 and these products have been a huge hit with its consumers in Norway, where annual per capita consumption greatly outstrips that in the Netherlands and Germany, for instance. BAMA’s avocado sales have increased 400% in volume since then and those of mangos by 600%.
It began offering ready-to-eat avocados and mangoes in 2008, with similar success. Its sales of ready-to-eat avocadoes reached just over 6,000 tons last year, up 170% in 6 years. “Nature’s Pride, our supplier, has been the key to this ripening success,” Flaen said. The Dutch company’s new terminal in Rotterdam is home to nearly 50 ripening sheds, ensuring “the avocados that arrive in Norway have just the right tenderness and appeal.”

sources: BAMA Group 2014 annual report information and phone interview with BAMA Group CEO Rune Flaen

Read part 1: Fresh cuts and berries among priorities for BAMA

 

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Rain pushes up mango prices in India

Mango_(1)

Mango has become very pricey in India after unseasonal rains cut production by up to 50% in some states, reports the Associated Chambers of Commerce & Industry of India (ASSOCHAM).

Prices have shot up by 50-65% – much more than for other fruits and vegetables. Even the lower end of the varieties are retailing at Rs 100/kg while the premium variety Alphonso is costing Rs 500-600 per dozen in Mumbai, ASSOCHAM said.

And exports have also been affected, though even in good times India’s share of mango exports has been negligible, it said.

Considering the production volume and variety of Indian mangoes, the country’s annual exports of about 41,300 tons is insignificant. Pakistan, which grows about 1 million tons of mango, exports 40,000 tons (4% of its crop), ASSOCHAM said.

India’s mango crop is expected to reach 15 million tons this season.

Top markets for Indian mangoes

The UAE is the top most export destination for India’s mangoes accounting for over 61% share followed by the UK (12%) and Saudi Arabia (5%). Qatar, Kuwait and Bangladesh are other major export destinations for Indian mangoes.

In terms of growth in mango imports from India, Qatar leads with about 110% compound annual growth rate, followed by:

  • US 88%,
  • Oman 84%,
  • Nepal 70%,
  • Kuwait 46%.

ASSOCHAM secretary general D S Rawat said India has huge potential in mango exports but is unable to exploit the opportunities. In the current year, lower production prospects are likely to impact mango exports from India badly, he said.

However, repeated rains accompanied by hailstorm and strong winds from end January till early April this year in north and central India caused huge loss to the mango crop. While preliminary estimates point towards a minimum loss of 20% on production, in pockets of Uttar Pradesh the loss is estimated at over 50%. Uttar Pradesh (with production of four million tons) and Andhra Pradesh together account for about half of India’s total mango production.

“The various state governments have announced relief measures and financial compensation, they are not sufficient to mitigate farmers’ losses and also curb rising prices. More needs to be done to help farmers,” Rawat said.

 

Source: ASSOCHAM

Mango photo: by Renee Comet (Public domain via Wikimedia Commons)

 

 

 

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How to avoid chilling injury to mangos: to be covered in May webinar

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The crucial mango topic of proper temperature management will be under the spotlight in a free mango quality webinar being hosted by America’s National Mango Board (NMB) on Thursday, May 7.

With chilling injury one of the most common problems found in mangos at retail level in the US, proper mango temperature management is extremely important, the NMB said in a press release regardin gthe webinar. Chilling injury can interfere in the mango ripening process, resulting in a flavourless and unappealing fruit with a reduced postharvest life, it said.

During the webinar, Dr. Jeffrey Brecht, from the University of Florida, will share best practices for reducing and preventing chilling injury to mangos in warehouses, distribution centers and stores. information on safe chilling threshold temperatures for different varieties and maturities of mangos and emphasis on the importance of temperature when ripening mangos at different distribution facilities/warehouses and stores, will be provided.

‘Exciting’ trends in fresh-cut mango sales also on the agenda

The webinar will also include a wealth of mango category information and consumer research with insights into consumer preferences and barriers to mango purchase.

Insights into how the mango category is growing at retail level will be provided by NMB retail program manager Wendy McManus, who will discuss data that can help the mango industry understand the short and long-term trends in mango movement, including exciting trends in fresh-cut mango sales.

Lastly, there will be a focus on the strongest mango per capita markets and sub-regions, and which markets represent the greatest opportunities.   

“This webinar will focus on the opportunities that exist when proper temperature management is implemented throughout the mango supply chain, as well as highlight valuable mango category development information for the industry,” NMB Executive Director Manuel Michel said.

Mango importers, wholesalers and brokers, retail distribution centers, quality assurance experts, buyers, category managers and merchandisers are encouraged to attend.

Click here to register for the free webinar

National Mango Board website.

 

 

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The avocado and mango revolution

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In the past, European avocado and mango producers and distributors were used to harvesting, packing and transporting their fruit as fast as possible in order to achieve a longer trading window. But this changed dramatically with new consumer segments demanding higher quality and more flavour.

The development of new techniques to control postharvest ripening led to the emergence of a new category which has revolutionised the subtropical fruit market, under the ready-to-eat banner. Today, the fruit is pre-ripened to reach the point of sale in optimum conditions for eating, giving it greater added value and longer shelf life.

The companies presented here apply pre-ripening in line with a totally new concept; they have created their own brands that recall what eating ‘freshly picked’ fruit used to taste like. In other words, simply delicious fruit, in its maximum expression of aromas and optimum flavours.

Using powerful marketing tools and applying high technology, these companies are able to produce and commercialise a product which previously was only sold in small local markets.

Under the aegis of a premium quality brand, they achieve end product uniformity at point of sale, greater acceptance from customers and consequently better sale prices. The commercial boom generated by the ready-to-eat segment is unquestionably one of the greatest successes in fresh fruit sector innovation.

Read the rest of this article for free on page 86 of edition 135 of Eurofresh Distribution magazine.

 

 

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Trends in exotic fruit consumption

World consumption of exotics is on the rise, though more so for certain products, such as pineapple, mango and avocado, according to Freshfel Europe.

 

Demand is still high but EU imports of exotic fruit fell 8% over 2009-2013 and only those of avocados and guavas/mangoes are climbing, research by Freshfel Europe shows.

In contrast, in the US, the world’s top exotic fruit importer, imports are increasing across the range.

And globally, consumption of exotics is on the rise, although more so for certain products, such as pineapple, mango and avocado.

Exotic fruit production, imports that for total fruit

The Freshfel analysis, presented earlier this month at Berlin’s Fruit Logistica, also indicates worldwide production of exotics has risen 48% in the last ten years, while that of total fruits grew 28%.

Similarly, in 2013, global imports of exotic fruit were 146% higher than in 2002, more than double the change for total fruit.

Both the US and the EU, the second biggest importer of exotic fruit, rely heavily on Costa Rica for their imports, particularly for pineapple.

 

Freshfel Exotics split in types.png

Exoctic fruit consumption

In the EU, exotic fruit (mainly pineapple) accounted for about 5% of all fruit consumption in 2012, compared to 9% in the US (mainly pineapple and avocados).

Freshfel noted a trend towards increased avocado consumption in north and western Europe, while in middle and eastern Europe there’s more consumption of other exotic fruits, such as tamarinds, jackfruit and lychee.

EU imports in exotics from non-EU countries

Freshfel’s overview of the EU market also showed the main sources of EU exotic fruit imports in 2013:

  • Pineapples: 83% from Costa Rica

  • Guavas, Mangoes and Mangosteens: 61% from Brazil and Peru

  • Avocados: 40% come from Peru

  • Papaya: 81% from Brazil

  • Persimmons: 86% from Israel and South-Africa

     

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See the Freshfel presentation

“Exotic fruit – a highlight at POS

Consumption and Trends”