GUATEMALA

AGRICULTURE

Presented by:

Jackie Clausell

Melany D. Michelena

Daniel De La Vega

Linda Lehmann

Ana Terc

Nicole Coyne

Executive Summary

Guatemala offers an impressive variety of land features making it unique in this part of the world. Guatemala has the best-trained and most diverse work force in the area. Guatemala, a predominant agricultural country, has a new trend has been emerging in the last two decades with the cultivation of new or non-traditional products such as vegetables and fruits: cabbage, cucumber, celery, carrot, onion, lettuce and tropical fruit concentrated juice. Export vegetables, which are non-traditional crops, appear to be a promising option because of their high labor intensity and expanded demand in high labor intensity and expanded demand in industrialized countries.

Many less developed countries (LDC) are shifting from traditional to nontraditional crops with the hope that exports can be expanded. For example, Guatemala exports have changed from 10% to 35% non-traditional crops in the past ten years. Markets for new crops may be local, regional, national or global. Some firms will have a choice as to market scope. Growers who are in close proximity to consumers may select a local market and perform many or all of the marketing functions. As the scope of the market expands, marketing functions become more complex and the coordinating role becomes more important.

Economies may be realized if production and marketing functions are concentrated geographically. In fact, US per capita consumption are 132 pounds of fruits and over 186 pounds of vegetables. Supplying the U.S. in our off-season represents a great opportunity for our industry. Consumption of fresh vegetables has increased significantly, especially over the last decade. Fresh vegetable consumption has increased 21 percent since 1990, and all indicators imply that these trends will continue. Increased concerns about diet and health are positive signs for this industry. The average American consumes 740 pounds of fruits and vegetables, and in total, we spend about $76 billion on buying these fruits and vegetables. Imports are still a relatively small part of the fresh fruit and vegetable market, but they have been growing. Therefore, U.S. competitiveness in new crops must be carefully analyzed. The current trade imbalances and concerns about U.S. competitiveness have focused attention on imports.

All imported products are required to meet the same standards as domestic goods. Imported foods must be pure, wholesome, safe to eat, and produced under sanitary conditions. The larger Guatemalan importers frequently have their own source of capital abroad, which can be used to finance or to leverage financing for imports. Guatemala's non-traditional agricultural export sector offers broad opportunities for foreign investors, both in wholly owned or joint-venture enterprises. This concludes the executive summary in which will assist the international agricultural businesses to understand the concept of competitive advantage in importing vegetables from Guatemala to the United States.

Table of Contents

Section 1: Product Description………………………………………….4

Section 2: Statistical Data………………………………………………..8

Section 3: Market Characteristics……………………………………..14

Section 4: Market Access……………………………………………….14

Section 5: Prices…………………………………………………………31

Section 6: Distribution Channels ………………………………………33

Section 7: Commercial Practices………………………………………36

Section 8: Packing-Types Used: Crates and Labels………………...42

Section 9: Marketing Perspectives and Sales Promotion……………46

Section 10: Importers List and Distribution Networks………………..54

Section 11: Upcoming Commercial Events/Trade Shows………….55

Section 1: Product Description

Guatemala, a predominant agricultural country, has long relied on traditional products such as coffee, sugar and bananas as its main source of foreign income. A new trend has been emerging in the last two decades with the cultivation of new or non-traditional products such as vegetables, fruits, flowers and ornamental plants.

Guatemala, the northernmost country in Central America, is strategically located in the center of the American continent, with Mexico to the north and west, Belize, Honduras and El Salvador to the East and the Pacific Ocean on the South. Although relatively small in size, Guatemala offers an impressive variety of land features making it unique in this part of the world.

With a population of 10 millions and a labor force exceeding 2.8 million, the largest in the Central American region, Guatemala has the best trained and most diverse work force in the area. Agriculture continues to dominate the Guatemalan economy employing over half of the available labor force. The agricultural sector accounts for one quarter of the country's output and two thirds of all exports. Present trend points to an accelerated increase in the production of new or non-traditional agricultural export products, such a tropical fruits and vegetables.

Increasing foreign exchange problems and failing prices of traditional export commodities are leading agricultural policymakers to seek diversification in export crop production. Export vegetables, which are non-traditional crops, appear to be a promising option because of their high labor intensity and expanded demand in high labor intensity and expanded demand in industrialized countries. Guatemala's non traditional agricultural export sector offers broad opportunities for foreign investors, both in wholly-owned or joint-venture enterprises.

Carrots:

Usage: Eating fresh, salads, cooked, stir-fry, juicing.

Selection: Good quality carrots will be firm, smooth-skinned, straight-shaped and well-colored with no blemishes. The deeper the orange coloring of the carrot, the higher the beta carotene content.

Avoid: Avoid carrots that are wilting, soft, crooked, are split or are growing thin hair-like roots. Those with large green areas at the top or that have dark blemishes or brown coloring of any kind are also undesirable.

Serving size 1 medium (78g)

Calories 40

Total Fat 0g

Sodium 50mg

Total Carbohydrate 9g

Dietary Fiber 3g

Protein 1g

Carrots are a leading source e of vitamin A in the Guatemalan diet. Analyses of carrots using high performance liquid chromatography (HPLC') indicated that carrots have more than twice the amount of ß carotene reported in the Latin American food composition tables. A intake in Latin America have been variably and falsely low, depending on the contribution of carrots to the individuals reported diet.

Celery:

Usage: Eating fresh, cooking and salads.

Selection: Good-quality celery should have even-colored, unblemished and smoothed-skinned stalks. Leaves should be fresh with no signs of wilting. Contrary to popular belief, light green stalks taste better than those that are dark green. Scratch the butt-end of the celery with your fingernail. A sweet or bitter smell means sweet or bitter flavor.

Avoid: While light green stalks are preferred, avoid celery with white stalks which indicates old product.- Stalks that are soft, spreading out and bend are also signs of old product. Thick veins and rough inside surfaces indicate over-aged and tough celery.

Serving size 2 medium stalks (110g)

Calories 25

Total Fat 0g

Sodium 125mg

Total Carbohydrate 5g

Dietary Fiber 2g

Protein 1g

Onions:

Usage: Raw in salads, barbecued on shish kebabs, in stews and soups, on sandwiches and in meat dishes.

Selection: Good-quality white onions will be firm, free of blemishes or mold spots and have even-colored, paper-dry skin. Some feel that sweeter onions will be flat-shaped from stem to root-end, not round. Store onions in a dry, dark, well-ventilated place; not in the refrigerator.

Avoid: Avoid product that is soft, wet-skinned, bruised, has dark blemishes or spots of mold.

Serving size 1 medium (148g)

Calories 60

Total Fat 0g

Sodium 5mg

Total Carbohydrate 16g

Dietary Fiber 3g

Protein 1g

Cabbage:

Usage: Salads, Oriental cooking, stir-fry, pickling, braised.

Selection: Also called Chinese cabbage, Napa, wong nga bok, siu choy (Chinese) and hakusai (Japanese), good quality product will be loose-leafed, and fairly heavy in relation to size. Green to slightly pale leaves are better than yellow or white. Fairly thick and pliable leaves will be more tender and juicy.

Avoid: Avoid cabbage that has thin, wilted leaves which are a sign of old product. Light-colored heads that are very solid mean all core and less taste. Flowering in the end of the cabbage means it has been grown too long.

Lettuce Head:

Usage: Eating fresh, cooking and salads.

Selection: Good-quality celery should have even-colored, unblemished and smoothed-skinned stalks. Leaves should be fresh with no signs of wilting. Contrary to popular belief, light green stalks taste better than those that are dark green. Scratch the butt-end of the celery with your fingernail. A sweet or bitter smell means sweet or bitter flavor.

Avoid: While light green stalks are preferred, avoid celery with white stalks which indicates old product.- Stalks that are soft, spreading out and bend are also signs of old product. Thick veins and rough inside surfaces indicate over-aged and tough celery.

Serving size 2 medium stalks (110g)

Calories 25

Total Fat 0g

Sodium 125mg

Total Carbohydrate 5g

Dietary Fiber 2g

Protein 1g

Cucumber:

Usage: Salads, sandwiches or on vegetable platters.

Selection: Good quality cucumbers are an even dark-green color, firm and relatively thin but can be either long or short.

Avoid: Avoid cucumbers that are soft, yellow or wrinkled on the ends. Huge fat cucumbers may be full of large seeds and bitter.

Serving size 1/3 medium (99g)

Calories 15

Total Fat 0g

Sodium 0mg

Total Carbohydrate 3g

Dietary Fiber 0g

Protein 1g

Tropical Fruit Concentrated Juice:

The fruit concentrates are taken from fresh fruits of the highest quality -- clean, ripe, healthy tropical fruits. The fruits are selected and filtered through a rigorous quality control system so that all of the concentrates have the best flavors and highest vitamin content while meeting up to international quality standards. The trade in tropical juices developed in early 70’s as alternatives to orange juice, in response to successive orange crop short falls. Production facilities were developed in Latin America, by European interests through joint ventures, in view of raw material availabilities locally.

Section 2: Statistical Data

Carrots:

About 1.5-billion pounds of carrots are annually produced and marketed throughout the United States. This translates into over 600,000 tons of carrots per year with an annual value of at least $40-million dollars. Numerous varieties of carrots are grown for various product lines which include fresh carrots, fresh baby carrots, frozen sliced or chunk carrots, canned carrots (soups, stews, baby food), and carrot juice. The leading producers in the United States are Washington, California, Texas, Wisconsin, Minnesota, and Michigan.

Carrots constitute a valuable export crop, especially to Japan. Annual Japanese imports of these vegetables have increased from 1990 to 1994 by 400 percent and since that time the import value has increased each year. The Japanese market has a number of strong competitors competing to supply the market. Taiwan has the largest segment of this growth market, but Australia, South Korea, New Zealand, and the United States have substantial shares of the market.

U.S. production has dropped since 1998, causing prices for the commodity to increase to all-time highs. In 2003, production settled in at about 38-million cwt, down from 50-million cwt in 1998. Carrot production is expected to grow at a rate of 1.3 percent during the next decade. Total U.S. production is expected to reach 49.04-million cwt by 2012 with a grower price reaching 17.3$/cwt.

Exports are expected to grow a rate of 1.7 percent per year with total exports forecasted to reach 3.7-million cwt and imports reaching 2.5-milliom cwt, which maintains the United States’ status as a net exporter. Domestic fresh carrot consumption stayed within 11.4 pounds per person in 2003 and is expected to increase to 12 pounds per person by the end of the decade. Retail prices are expected to rise about 4 percent per year, reaching 94.9 cwt by 2012. Washington, California, Wisconsin, Texas, and Michigan will continue to be the leading production states for processed and fresh

carrots.

Cabbage:

After a steady decline between the 1920s and the 1990s, cabbage has gained 7 percent in per capita use between 1990-92 and 2000-02. Although total cabbage consumption rose to 10.3 pounds per person in the early 2000s, it still remains 57 percent in the 1920s, when cabbage use averaged 22 pounds per person.

According to estimates by the USDA’s Economic Research, processed deli-type coleslaw accounts for 40 to 45 percent of use, fresh head cabbage around 35 percent, sauerkraut 12 percent, and various fresh-cut products 5 to 10 percent. A small amount of cabbage is dehydrated for sue as a flavoring agent in soups and other dehydrated foods. Retail sales of fresh-cut bagged coleslaw averaged about $70 million in 2000 and 2001, which translates into 4 percent of the $2-million fresh-cut salad retail industry.

Fresh-market cabbage consumption averaged a steady 8.5 pounds in the 1970s, 1980s, and 1990s. The 1990s saw increased use of red cabbage in fresh-cut salad mixes and popularity of fresh-cut bagged coleslaw, which increased total consumption. Sauerkraut use has remained at a steady 1.3 pounds per person over the past decade.

The United States accounts for 4 percent of world cabbage production, ranking sixth behind China, which accounts for 38 percent of world output, India, Russia, South Korea, and Japan. U.S. cabbage production is centered in the East and upper Midwest but spreads across all 50 states, with 82,000 acres and 4,289 farms shipping to the fresh and processing markets. U.S. head cabbage had an average farm value of $319 million annually during 1999-2001, with the fresh market accounting for 97 percent of crop value. The number of farms producing cabbage has declined since 1992, about 22 percent, but output has increased and average farm size has risen. This change has been powered by the demand for fresh-market cabbage.

Fresh-market cabbage shipments peak in March because of the traditional St. Patrick’s Day dinner of corned beef and cabbage. In fact, about 14 percent of the domestic crop is marketed in March, compared with 10 percent for February and December (the next most popular months. Volume is lowest in July at a mere 4 percent of annual shipments.

In any given year, 98 percent of cabbage used for sauerkraut is grown under contract with processors and open-market purchases are limited to a few hundred acres. According to the 1997 Census of Manufacturers, seven firms manufacturing sauerkraut has sales over $100,000, which is the same number as in 1992. These seven manufacturers shipped the equivalent of about 10 million gallons, valued at $20.5 million, to distributors and retailers. New York produces about 25 percent of the nation’s head cabbage, with 79 percent distributed to the fresh market. New York produces 22 percent of the national output and 39 percent of the nation’s sauerkraut, which is second only to Wisconsin. Fresh –market production increased 61 percent over the past decade, 1991-2001. Sauerkraut production in New York has increased 23 percent in the past decade. Output has diminished in Michigan, Ohio, and Washington because of consolidation among U.S. processors. California is the second-largest producer of head cabbage with 16 percent of national output and 18 percent of the fresh-market crop. Cabbage production during 1999-2001 averaged 44 percent above 1989-91 and 125 percent above 1979-81. California harvests and ships fresh-market cabbage year-round, with volume generally peaking in January, February, September, and October.

The United States has historically been a net exporter of cabbage. A steady year-round supply keeps prices and opportunities for imports low. In 2001, exports of fresh-market cabbage totaled $18 million while imports were 14 million. For sauerkraut, exports totaled $2.7 million while imports totaled a mere $1.1 million in 2001. Canada takes 89 percent of U.S. fresh exports and fresh imports into the U.S. arrive mostly from Canada, 55 percent, and Mexico, 44 percent. Fresh cabbage imports peak in December.

Onions:

According to the U.N. Food and Agriculture Organization onions are grown in over 175 countries. With almost seven million acres under cultivation, production accounts for 105-million pounds of onions for a number of markets. China, India, United States, Turkey and Pakistan are the leading producers around the globe. In the U.S., Idaho, Oregon, and Washington are the leading producers with over two billion pounds of celery in production, which accounts for one-third of total U.S. production. California and Texas share an additional one-half of total production equally. According to the National Onion Association, U.S. farmers plant approximately 145,000 acres in twenty states, producing around six billion pounds of onions. The U.S. accounts for 2.4 percent of world acreage and 6.5 percent of world production. According to the National Onion Association, U.S. farmers produce a crop worth about $800 million dollars in the field and $3 billion to $4 billion at retail.

Imported onions remain an important part of the U.S. supply. Imports increased from $63.8 million in 1989 to $168.9 million in 2001, due to higher imports from Canada and other sources. U.S. onion imports from Canada increased from $2.5 million in 1989 to almost $23 million in 2001. In 2001, over 72 percent of onion shipments into the United States originated in Mexico. Another important source of onion shipments into the United States in 2001 was Peru with about $12 million.

The United States exported slightly more than it imported in 2001. The value of U.S. exports in 2001 was almost $180 million, compared to imports of $168.9 million. Canada receives the majority of U.S. onion shipments, receiving $70.8 million worth of onions in 2001. Other major export destinations for U.S. onions are Japan and Europe.

Onions rank fifth among all vegetables in terms of both consumption ands value. In the United States, onion consumption is estimated to be around 20.7 pounds per capita, down slightly from 1999’s record high of 21.3 pounds per capita. Almost 90 percent of onions sold are the yellow variety. Yellow varieties are extremely popular with Hispanic consumers and are increasing market share due to ethnic demand.

According to Texas A&M, the majority of fresh and processed onions are purchased at retail stores for in-home use, while 37 percent of frozen onions are purchased away from home for fast-food use. In the U.S., fresh-market onions are favored in the West and Midwest and less so in the Northeast and South. Processed onion products are consumed more in the Northeast and South. Per capita consumption of fresh and processed onions is greatest in the higher-income and health conscious consumer group. These households account for 39 percent of the U.S. population and 41 percent of both fresh and processed onion consumption. Men consume almost 40 percent more onions per capita than women and total onion consumption peaks for both sexes between the ages of 20 and 39, and then remains strong right through the middle-age years.

Lettuce:

California and Arizona were the largest U.S. lettuce producers in 2002, accounting for over 90 percent of production. California grows head, leaf, and romaine lettuce on 220,000 acres, which is equal to 75 percent of total acreage used for production in the United States. Arizona accounts for 23.4 percent of total U.S. acreage.

The United States is considered a net exporter of lettuce. Exports totaled $225.9 million, while imports only $38.3 million in 2002. In 2001, imports of lettuce were 421.5 million and exports were $196.7 million. The largest share of lettuce was shipped to two NAFTA partners, Canada and Mexico. Combined exports to the two totaled $206.3 million in 2002, which was 91 percent of exports. From 1989 to 2001, exports quadrupled from $49.3 million to $225.9 million. According to the Agricultural Issues Center at the University of California, about 80 percent of all U.S. exports came from California in 2000. In 2002, romaine and leaf lettuce exports were $134.4 million and comprised 56 percent of total exports. Canada has been the leading recipient of U.S. lettuce since 1989. It received 82 percent of total U.S. lettuce exports in 2002, translating into $185.4 million.

Total imports into the United States increased from $9.3 million in 1989 to $38.3 million in 2002. Imports increases 78.5 percent from 2001 to 2002. From 1996 to 2001, the U.S. imported the majority of its lettuce from Canada. Canadian shipments increased from $1.3 million in 1989 to $13 million in 2001 and then fell to $10.3 million in 2002. In 2002, Mexico increased its exports to the U.S. by 400 percent over 2001, exporting lettuce to the United States with a price tag of over $26.6 million. Mexico alone accounted for 69.5 percent of U.S. lettuce imports in 2002 and is responsible for the largest shipment from any other country since 1989.

Per capita consumption of head lettuce averaged 22.7 pounds per capita from 1972 to 2001, peaking at 26.7 pounds in 1989. Annual demand of romaine and leaf lettuce has steadily increased from three pounds per capita in 1985 to eight pounds in 2000; consumption was 7.7 pounds in 2001.

Celery:

U.S consumers have maintained a steady per capita celery use of about 7 pounds per year over the past four decades.

California, Michigan, Texas and Ohio produced the majority of U.S. celery for the fresh, frozen, and canned markets. A total of 28,000 acres of celery were harvested in 2001. This yielded a total of 18,823,000 cwt with an average yield of 675 cwt/acre and had a total crop value of $276.5 million. California produces over 94% of the nation’s celery and has over 26,000 acres dedicated to it. New York and Florida are two states that report limited celery production.

The United States continues to be a net exporter of celery. In 1999, the exports of fresh-market celery totaled $43 million and imports only $9 million. In the 1990’s, an average 12 percent of celery was exported annually. In 1999, Canada, China, and Taiwan were the largest importers of U.S. celery. U.S. import volumes have been climbing since the 1980’s. Fresh celery imports accounted for 3 percent of consumption in the 1990s, up from 1 percent in the 1980s. Fresh celery imports doubled between 1989 and 1999. Ninety percent of the fresh celery imported by the U.S. comes from Mexico and did so during the winter months. The United States also spends $2 to $3 million annually to import dried celery stalks with the majority coming from Chile and China.

The United States consumed about 1.8 billion pounds of celery in 1999. The average per capita use of celery has remained relatively flat over the past four decades. Celery use averaged 7.1 pounds per person during the 1990’s. According to the USDA’s 1994-1996 Continuing Survey of Food Intakes by Individuals, fresh celery is consumed at home 76 percent of the time. The fast-food market accounts for only four percent of celery consumption. Consumers eat more than 90 percent of processed celery products in soup and dehydrated and frozen products at home. According to the survey, southerners eat proportionately less fresh-market celery than consumers in all other areas of the country. Northerners consumer about half of the national total of processed celery products. Households with incomes at least 3.5 times greater than the poverty level represent 39 percent of the U.S. population but account for 47 percent of the fresh celery consumption. Also, the 19 percent of the population who earn the lowest incomes consume just 15 percent of fresh U.S. celery. Middle-income consumers account for 63 percent of processed celery use.

Cucumbers:

The United States produces about 4 percent of the world’s cucumbers, ranking fourth behind China, Turkey, and Iran. In 1999, the U.S. produced 2.4 billion pounds of cucumbers for a variety of uses in the fresh and processed markets. Florida is the leading cucumber state, producing 19 percent of the nation’s output during 1997-1999. Florida is the leading fresh market supplier and is fourth in pickling cucumbers. Michigan produces 18 percent of the nation’s cucumbers and is the leader in pickling-cucumber production.

During the 1990s, about 8 percent of fresh market volume was exported. Since the late 1980s exports have been declining and stood at a mere 4 percent in 1999. Although Canada’s imports of U.S. cucumbers have declined 20 percent since 1997, it still takes about 98 percent of fresh cucumber exports. U.S. pickle exports have been constant over the past 5 years, accounting for 2 percent of pickling cucumber supply. The United States exports pickles to 38 countries in 1999, with 75 percent of the volume going to Canada, South Korea, and the Netherlands.

Imports of fresh cucumbers are highest in January and February when U.S. production is slowed due to cold weather. Imports accounted for 38 percent of U.S. fresh cucumber consumption in the 1990s. The volume of fresh imports in 1999 was 90 percent larger than in 1990, with the majority shipped from Mexico. Imports of pickling cucumbers reached a peak of nearly 8 percent in 1999, up from 1 percent in 1993. These recent gains reflect imports of finished goods from Canada and India and a rising volume of bulk unfinished goods from Honduras and India. Bulk unfinished pickle imports totaled 50 million pounds in 1999, up from a mere 7 million pounds in 1990.

Per capita use of cucumbers has risen during each of the four decades. Use totaled 10.3 pounds in the 1990s, up from 9.8 in the 1980s. Pickling use has declined since peaking at 6.1 pounds per capita in 1976. Fresh market use has accounted for all the growth over the past 20 years and reached a record high of 6.9 pounds in 1999. About 60 percent of cucumber consumption is in fresh form and the remainder in pickled products. According to the USDA, 85 percent of fresh cucumbers are consumed at home. Also, 45 percent of pickled cucumbers are consumed away from home. One-third of all pickled cucumbers are used in fast foods, with the majority in sandwiches and condiments.
Section 3: Market Characteristics

A. Consumer Preferences:

U.S. consumers are eating more produce. In fact, US per capita consumption is 132 pounds of fruits and over 186 pounds of vegetables. The consumer preferences for these vegetables such as cabbage, celery, head lettuce, and onions, make up roughly three-quarters of per capita consumption of fresh vegetables. California, Florida, and Texas remain the dominant cabbage supply areas, providing nearly 60 percent of the nation's supply. A market window may exist for summer marketing of cabbage grown in the mountains. Supply is smallest and grower prices are highest for cabbage and leafy greens during the summer months. Of the vegetables purchased, 33% of the respondents preferred and carrots, less than 8% preferred lettuce, cucumbers, and cabbage.

Top vegetable prospects in order include:

Top vegetable prospects

1. Carrots

2. Celery

3. Cucumbers

4. Lettuce

5. Onions

6. Cabbage

B. Quality Standards:

The U.S. consumer has a variety of concerns that affect their fresh produce purchases. The primary factor is the anticipated taste of the product. Equally important are the general appearance and the perception of cleanliness. Ripeness and nutritional value are also factors in the purchase decision. Selecting wisely may be a bit challenging when choosing produce. Vegetables that are characteristic color, shape and size generally have the best taste and texture. However, good produce does not have to be picture perfect. Some of the best products do not look very good. Using your senses is very important as well. Contrary to some consumer practices, thumping or shaking, does not indicate ripeness. Instead, authorities recommend feeling a product. In general, produce that is too soft is too ripe; if it is too hard, it is not ripe enough. Try the sniff test, too. The United States Department of Agriculture (USDA) has established grade standards for most fresh fruits and vegetables. The grades are most often seen on pre-packaged vegetables. "U.S. Fancy" is the top grade, while "U.S. No. 1" is the most common designation. "U.S. No. 2" and "U.S. No. 3" mean lower quality. U.S. No. 1 is the grade that you will most often see. Vegetables of this grade should be tender and fresh appearing, have good color, and be relatively free from bruises and decay.

Cabbage:

Look for: Firm or hard heads of cabbage that are heavy for their size. Outer leaves should be a good green or red color (depending on type), reasonably fresh, and free from serious blemishes. The outer leaves (called "wrapper" leaves) fit loosely on the head and are usually discarded, but too many loose wrapper leaves on a head cause extra waste.

Avoid: New cabbage with wilted or decayed outer leaves or with leaves turned decidedly yellow. Worm-eaten outer leaves often indicate that the worm injury penetrates into the head. Storage cabbage with badly discolored, dried, or decayed outer leaves probably is over-aged. Separation of the stems of leaves from the central stem at the base of the head also indicates over-age.

Carrots:

Look for: Carrots, which are well formed, smooth, well colored, and firm. If tops are attached, they should be fresh and of a good green color.

Avoid: Roots with large green "-sunburned" areas at the top (which must be trimmed) and roots, which are flabby from wilting or show spots of soft rot.

Celery:

Look for: Freshness and crispness in celery. The stalk should have a solid, rigid feel and leaflets should be fresh or only slightly wilted. Also, look for a glossy surface, stalks of light green or medium green and mostly green leaflets.

Avoid: Wilted celery and celery with flabby upper branches or leaf stems. Celery with pithy, hollow, or discolored centers in the branches also should be avoided. Celery with internal discoloration will show some gray or brown on the inside surface of the larger branches near where they are attached to the base of the stalk.

Cucumber:

Look for: Cucumbers with good green color that are firm over their entire length. They should be well developed, but not too large in diameter.

Avoid: Overgrown cucumbers that are large in diameter and have a dull color, turning yellowish. Also, avoid cucumbers with withered or shriveled ends -- signs of toughness and bitter flavor.

Lettuce:

Iceberg lettuce is the major type. Heads are large, round, and solid, with medium-green outer leaves and lighter green or pale-green inner leaves.

Butter-head lettuce, including the Big Boston and Bibb varieties, has a smaller head than iceberg. This type will have soft, succulent light-green leaves in a rosette pattern in the center.

Romaine lettuce plants are tall and cylindrical with crisp, dark-green leaves in a loosely folded head.

Leaf lettuce includes many varieties -- none with a compact head. Leaves are broad, tender, succulent, and smooth, and they vary in color according to variety.

Look for: Signs of freshness in lettuce. For iceberg lettuce and Romaine, the leaves should be crisp. Other lettuce types will have a softer texture, but leaves should not be wilted. Look for a good, bright color -- in most varieties, medium to light green. Some varieties have red leaves.

Avoid: Heads of iceberg type which are very hard and which lack green color (signs of over maturity). Such heads sometimes develop discoloration of the inner leaves and midribs, and may have a less desirable flavor. Also, avoid heads with irregular shapes and hard bumps on top, which indicate the presence of overgrown central stems.

Onions:

The many varieties of onions grown commercially fall into three general classes, distinguished by color: yellow, white, and red.

Look for: Hard or firm onions, which are dry and have small necks. They should be reasonably free from green sunburn spots or other blemishes.

Avoid: Onions with wet or very soft necks, which usually are immature or affected by decay. Also, avoid onions with thick, hollow, woody centers in the neck or with fresh sprouts.

Tropical Fruit Concentrated Juice:

The quality and flavor of the extracted juices depend on ripeness, processing and storage conditions. They are susceptible to degradation during thermal processing and require capture and recovery of volatiles during the evaporation stage, in order to maintain high quality.

Primary factors impacting fresh produce purchases
- 87% Expectations of taste	- 41% Item in season
- 83% General appearance	- 39% Knowledge of how to prepare
- 74% Cleanliness	- 33% Appearance of display
- 70% Degree of ripeness	- 27% Complements main entrée
- 57% Nutritional value	- 14% Where it is grown
- 47% Price	- 12% Organically grown

Safety issues impacting produce purchases

• 65% Consumers feel they are concerned about chemical residues on fresh produce

• 34% Feel that government agencies do a good job of making sure fresh produce is safe to eat

• 20% Agree that fresh produce grown in foreign countries is as safe as produce grown in the U.S.

• 16% State that regardless of the cost, they'd rather buy organic produce

C. Market Segment:

Markets for new crops may be local, regional, national or global. Some firms will have a choice as to market scope. Growers who are in close proximity to consumers may select a local market and perform many or all of the marketing functions. As the scope of the market expands, marketing functions become more complex and the coordinating role becomes more important. Economies may be realized if production and marketing functions are concentrated geographically. These economies may arise from synergistic relations among firms, development of a pool of persons with needed skills and knowledge, size economies in production or processing, visibility and reputation for quality and dependability, and sharing of technologies. Medical research and technology are raising health consciousness of consumers. Consumption will expand for foods considered nutritious, low in calories, free of chemical and pharmaceutical additives, and low in substances associated with heart and circulatory problems. A recent study of tropical fruits found that the following conditions may be expected to result in increased tropical fruit expenditure: residing in the Western region, living in a central city area, having a college education, being of Spanish origin, having both spouses involved in meal planning, having higher income, and having a higher proportion of household members over 15 years of age. Tropical fruit expenditures increased about 6% for each 10% increase in income. About 85% of the increase in consumption of tropical associated with increases in income was the result of market entry by no consuming households as opposed to higher levels of consumption by households already, purchasing tropical. Once possible vegetable markets have been segmented, the task becomes one of deciding which markets to target. After segmentation, certain target market options exist:

1. Aim at the entire market (all segments) with a single marketing approach.

2. Pursue several different segments with different marketing approaches for each segment.

3. Focus on just one segment with a very direct marketing approach.

In the produce marketing, it is probably best to employ the second option and target two or three segments including a primary market, a secondary market and a salvage market. The primary market is the market in which the grower would like to compete. The secondary market is one in which prices may be lower but the market may be closer in proximity, allowing the grower to compete more directly. The salvage market may be a direct market alternative or a direct wholesale operation directed toward final consumers.

For each of the target markets selected, the grower should attempt to assess the following buyer needs or characteristics:

· grades, sizes and volume to be purchased

· shipment and delivery dates

· prices to be received (any price adjustments)

· transportation costs

· quality of produce when delivered

· guarantees or return policies

· optimal time to contact buyer for orders

· actual or estimated share of buyer's total volume

· problems encountered (delivery, pricing, volume, uniformity)

· special requirements of the buyer (lot size, delivery, etc.)

Contacts with potential buyers to assess this information should begin at least 6 months prior to harvest. Certification documents should be presented to help assure the buyer of this expertise. Once agreements between buyer and seller have been reached, the grower should contact the buyer at least 1 week before shipment/pick-up to indicate produce availability. Most buyers would prefer 2 to 3 weeks notice of upcoming produce availability. Importers indicate that import programs offer great potential, if they include a well-organized transportation program to deliver quality products. The exporter must pack products to U.S. market specifications, or find a key importer who can repack to the U.S. specifications. Supplying the U.S. in our off-season represents a great opportunity for your industry.

Central America and the Caribbean: Guatemala: Agriculture

Agricultural Growth:	117
Exports to USA - Cabbage:	$0
(per capita):	$0 per 1000 people
Exports to USA - Cucumbers and Gherkins:	$202
(per capita):	$0.01 per 1000 people
Exports to USA - Fruit Juices:	$255
(per capita):	$0.01 per 1000 people
Exports to USA - Lettuce:	$0
(per capita):	$0 per 1000 people
Exports to USA - Lettuce Headed:	$0
(per capita):	$0 per 1000 people
Exports to USA - Onions:	$0
(per capita):	$0 per 1000 people
Exports to USA - Vegetables:	$29,264
(per capita):	$2.10 per 1000 people

D. Acceptance Conditions:

Cucumber:

Desirable temperature is 45 to 50F and relative humidity 90 to 95%. Cucumbers can be held 10 to 14 days at 45 to 50F with high relative humidity. They are subject to chilling injury if held longer than about 2 days at temperatures below 45F. At temperatures of 50F and above, they ripen rather rapidly, the green color changing to yellow. This color change starts in about 10 days at 50F. It is accelerated if the cucumbers are stored in the same room with apples, tomatoes, or other ethylene-producing crops.

Lettuce:

Because of its compact structure, Iceberg lettuce will usually hold its quality for many days, if properly stored. If you are not going to use "naked" lettuce for a day or two after purchase, rinse lightly, drain thoroughly and refrigerate in a tightly closed plastic bag or container. This rinsing will restore any moisture during transit. Source wrap lettuce should not be removed from its airtight wrapper until you are ready to use it. After purchase, just refrigerate as soon as possible.

Celery:

These major factors influence the post harvest quality and storage of celery. It provides guidelines on how to maintain quality and storage stability by optimizing post harvest handling, storage, and shipping and distribution conditions. Specific recommendations include optimum harvest maturity, cold storage with high relative humidity. In addition, this article also detailed the physiological disorders that celery unusually develops during storage, and the practices that may minimize those disorders.

Onions:

Insufficient grading is still existent. Spouted, injured and partly decayed bulbs are usually mixed with sound bulbs in a pack. The use of slatted wooden creates is advantageous, especially during transport. Mesh bags of 40-50 kg. Capacity is also used. Sacks are thrown rather than lifted, because of their weight. Packs are piled one on top of the other with no provision for adequate ventilation. Pre-harvest spraying with sprout inhibitors is seldom practiced resulting in serious sprouting during storage.

Cabbage:

Improper harvesting tools contribute greatly to damage to the produce in the form of out an abrasions. Trimming of outer leaves is usually not practiced. In container transport, large crates are used (50 kg. capacity). Bruising and tearing of the leaves is of common occurrence due to the sharp edges of the containers. Containers are piled one on top of the other with the bottom crates carrying the weight of the heads above. Bulk transport likewise results in higher losses.

Carrot:

Carrots cannot be soft, flabby or woody. Carrots cannot be misshapen. Carrots must be “reasonably clean”, which means that they are practically free from caked dirt, mould or decaying matter and does not have more than 15 percent of the surface covered or stained.  Carrots must be properly trimmed. They cannot be trimmed into the crown, the length of the crown does not exceed one inch and the length of 75 percent of the tops cannot be more than one-half inch. The Canadian Food Inspection Agency (CFIA) supplied the following grades.  For a complete listing of all carrot grade standards, contact your local CFIA representative.  

Tropical Fruit Concentrated Juice:

APV can supply process equipment for all processing stages for both large and small processing operations. We can also carry out plant upgrades and modifications to existing systems in order to adapt to changing market needs. Capability includes the following main process stages: Fruit handling, reception inspection/washing, juice extraction, juice processing, juice finishing, centrifugation , homogenization ,membrane filtration, pasteurization, de-aeration, concentration, essence recovery, concentrate post-treatment, packaging, aseptic, non-aseptic and by-products.

E. Competition:

The fresh vegetable market has undergone several changes over the last few years. Many of those changes have been hard on domestic growers as they adapt to increased competition. The years 1980 through 1992 were good years (with the exception of weather events that cut production in some areas) for growers in this industry as they experienced growth in demand for their products. For example, the 1992 season was exceptional for U.S. producers, especially in Florida, due to poor weather conditions in Mexico. Consumption of fresh vegetables has increased significantly, especially over the last decade. Fresh vegetable consumption has increased 21 percent since 1990, and all indicators imply that these trends will continue. Increased concerns about diet and health are positive signs for this industry. The increasing concern about the obesity of the U.S. population and its resulting impact on health care costs also point to a promising future for fresh produce. The average American consumes 740 pounds of fruits and vegetables, and in total, we spend about $76 billion on buying these fruits and vegetables (USDA/ERS, 2000). The top five grocery store chains by gross sales (Kroger, Albertson's, Safeway, A hold USA, and Wal-Mart Super centers) now account for approximately 50 percent of all grocery store sales (Food Marketing Institute, 2002). Where does all this leave the U.S. fresh vegetable industry today? It appears that demand for fresh vegetables will remain strong and, in fact, should continue to grow. Market globalization through trade agreements will increase the level of competition and trade disputes. The outlook for 2003 is promising. Vegetable acreage in the United States increased about nine percent in 2002, with production increasing about 5.3 percent (USDA/ERS, 2002b). Even with these production increases, producer prices only increased about one percent. U.S. markets for raw and finished products have become more open; therefore, marketing strategies must be established with an international perspective. Imports are still a relatively small part of the fresh fruit and vegetable market, but they have been growing. The numerous countries that have low production costs may have comparative advantage for some new crops, which are native to them. Many less developed countries (LDC) are shifting from traditional to nontraditional crops with the hope that exports can be expanded. For example, Guatemala exports have changed from 10% to 35% nontraditional crops in the past ten years. LDC's are also getting better market information and becoming more sophisticated in serving U.S. customers. The International Trade Center of the United Nations now provides market news on 150 commodities to about 30 LCDs. Most of these commodities are nontraditional; tropical vegetables and fruits, spices, cut flowers, leather goods and the like. Therefore, U.S. competitiveness in new crops must be carefully analyzed. The current trade imbalances and concerns about U.S. competitiveness have focused attention on imports.

F. Demand Tendencies:

Probably one of the most important tips for finding great-tasting produce is to buy in season, when possible. Here is a guide to when certain fruits and vegetables are at their peak.

Cabbage:

May be sold fresh (called "new" cabbage) or from storage. Cabbage is available throughout the year, since it is grown in many States. California, Florida, and Texas market most new cabbage. Many Northern States grow cabbage for late summer and fall shipment or to be held in storage for winter sale.

Carrots:

Freshly harvested carrots are available year round. Most are marketed when relatively young, tender, well colored, and mild-flavored -- an ideal stage for use as raw carrot sticks. Larger carrots are packed separately and used primarily for cooking or shredding. California and Texas market most domestic carrots, but many other States produce large quantities.

Celery:

A popular vegetable for a variety of uses is available throughout the year. Production is concentrated in California, Florida, Michigan, and New York. Most celery is of the so-called "Pascal" type, which includes thick-branched, green varieties.

Cucumber:

Although cucumbers are produced at various times of the year in many States, and imported during the colder months, the supply is most plentiful in the summer months.

Lettuce:

Among the leading U.S. vegetables, lettuce owes its prominence to the growing popularity of salads in our diets. It's available throughout the year in various seasons from California, Arizona, Florida, New York, New Jersey, and other States. Four types of lettuce are generally sold: iceberg, butter-head, Romaine, and leaf.

Onions:

Onions are available year-round, either fresh or from storage. Major onion-growing States are California, New York, Texas, Michigan, Colorado, Oregon, and Idaho.

Tropical Fruit Concentrated Juice:

Supply of tropical fresh produce during off-season, counter season and/or complementary trade will become the norm than the exception. Good examples are the shipment of Southern Hemisphere produce to meet consumer demand during the Northern Hemispheres' winter when the domestic supplies are low. Most trade is caused by differing levels of relative competitiveness between producers of the same or similar products during different seasons to avoid trade dispute.

Section 4: Market Access

Import transactions are conducted at service ports, area ports, and

ports of entry.

Service and area ports in the state of Florida are:

· 2831 Talleyrand Ave., Jacksonville, FL 32206, phone #: (904)232-3476, fax #: (904)232-1992

· Miami Airport, 6601 N.W., 25^th St., Miami, FL 33102, phone #: (305)869-2800, fax #: (305)869-2822

· Miami Seaport, 1500 Port Blvd., Miami, FL 33132, phone #: (305)536-5261, fax # (305)536-5282

· 5390 Bear Road, Orlando, FL 32827, phone #: (407)825-4300, fax #: (407)648-6827

· 1624 E. Seventh Ave., Ste. 101, Tampa, FL 33605, phone #: (813)228-2385, fax #: (813)225-7309

In the state of Florida the following cities have ports of entry:

· Daytona Beach

· Fernandina Beach

· Ft. Myers

· Jacksonville

· Key West

· Melbourne

· Miami

· Ocala

· Orlando

· Panama City

· Pensacola

· Port Canaveral

· Port Everglades

· Port Manatee

· Sanford

· Sarasota

· ST. Petersburg

· Tampa

· West Palm Beach (Importing Into The United States: Customs Mission And Organization doc. At CBP website, pages 1-4)

It is strongly advised to hire a Customs house broker to file your entry with Customs and Border Protection. I am attaching a link to the website, where the port and the broker can be chosen, since there are too many:

• http://www.customs.gov/xp/cgov/toolbox/contacts/ports/fl/

Once the shipment reaches the U.S., the importer of record, also called the owner, purchaser, or licensed customs broker (designated by the owner, purchaser, or consignee) must file entry documents for the goods with the port director at the goods ‘port of entry. Only customs brokers are authorized to act as an agent for the importer. This must be completed within 15 calendar days of the date that the shipment arrives. The documents needed to be filed for entry are as follows, and can be accomplished electronically via the Automated Broker Interface program of the Automated Commercial Systems:

• Entry Manifest, Application and Special Permit for Immediate Delivery, or other form of merchandise release required by the port director
• Evidence of right to make entry
• Commercial invoice or a pro forma invoice
• Packing lists, if appropriate
• Other documents necessary to determine merchandise admissibility
• Entry summary for consumption must be filed, and estimated duties deposited at the same location within 10 working days, if the goods are to be released upon entry from Customs custody. (U.S. Customs Service: Entry Of Goods, 2. Entry Process doc., pages 8-10)

A Bill of lading if arriving by ship, an air waybill if arriving by air, or a carrier’s certificate if arriving by carrier, is evidence of the right to make entry, which is needed as well.

All commercial imports of food products require the filing of Prior Notice with the FDA, and foreign manufacturers and/or distributors of food products must register with the FDA before their goods may be admitted. (http://help.customs.gov/cgi-bin/customs.cfg/php/enduser/std_adp.php?p_faqid=83&p_cre... – U.S. Customs & border Protection: Ask a question/How do I import food for resale? – Answer)

Prior Notice can be submitted either through ABI/ACS (Automated Commercial System) or the FDA Prior Notice (PN) System Interface. Technical assistance in submitting this is available for non U.S. countries and locations at (301)575-0156. Then a PN satisfied number is submitted to Customs and Border Protection (CBP) along with the other entry documents. The PN must be received and confirmed electronically by FDA no more than 5 days before arrival, as specified by the mode of transportation below, no fewer than:

1. 2hours before arrival by land by road
2. 4 hours before arrival by air or by land by rail
3. 8 hours before arrival by water
4. The time consistent with the timeframe established for the mode of transportation for an article of food carried by or otherwise accompanying an individual if it is subject to prior notice (The food must also be accompanied by the FDA confirmation.)

The PN # should be annotated on the shipping documents (bill of lading or other). The PN must include this information:

• Identification of the submitter, including name, telephone and fax numbers, email address, and firm name and address
• Identification of the transmitter (if different from the submitter), including name, telephone and fax numbers, email address, and firm name and address
• Entry type and CBP identifier
• The identification of the article of food, including complete FDA product code, the common or usual name or market name, the estimated quantity described from the smallest package size to the largest container, and the lot or code numbers or other identifier (if applicable)
• The identification of the manufacturer
• The identification of the grower, if known
• The FDA Country of Production
• The identification of the shipper, except for food imported by international mail
• The country from which the article of food is shipped or, if the food is imported by international mail, the anticipated date of mailing and country from which the food is mailed
• The anticipated arrival information (location, date, and time) or, if the food is imported by international mail, the U.S. recipient (name and address)
• The identification of the importer, owner, and ultimate consignee, except for food imported by international mail or transshipped through the United States
• The identification of the carrier and mode of transportation, except for food imported by international mail
• Planned shipment information, except for food imported by international mail

To make things easier for the carrier or individual at the port, the carrier should have a copy of the confirmation, which includes the PN confirmation #. (http://www.cfsan.fda.gov/~dms/fsbtac13.html - FDA/CFSAN, Fact sheet on FDA’s New Food Bioterrorism Regulation: Interim Final Rule –Prior Notice of Imported Food Shipments)

Sometimes the FDA may collect a sample for examination, and then accordingly they tell CBP to proceed with releasing the shipment or not. If a sample is requested the owner shall hold the shipment and not distribute it until further notice is received regarding the results of the examination. All fruits and vegetables are subject to inspection. (http://www.cfsan.fda.gov/~lrd/imp-info.html - ORA Imports: FDA Import Program System Information)

Importers can speed up food entries by:

• Determine before shipment that the product to be imported is legal.
• Have private laboratories examine samples of foods to be imported and certify the analysis of the processor. While not conclusive, these analyses might serve as an indication of the processor's ability to produce acceptable, legal products.
• Become acquainted with FDA's legal requirements, before contracting for a shipment.
• Request assistance from the FDA District Office responsible for your port of entry.
• Know the food importing procedures described on this information sheet. (http://www.cfsan.fda.gov/~lrd/imprt.html - FDA/CFSAN: FDA Import Procedures)

a) Tariff Measurements

Cabbage:

(code 0704.90.20 ch.7): The base rate of duty is 1.2 cents per kilogram, and the bound rate of duty is 0.54 cents per kilogram.

Carrots:

(code 0706.10 ch.7): If they are reduced in size the base rate of duty is 17.5% ad volerem (percentage of the value of the merchandise, and the bound rate is 14.9% ad volerem (code 0406.10.05). If they are less than 10 centimeters in length the base rate is 2.2 cents per kilogram, and the bound rate is 1.4 cents per kilogram (code 0706.10.10). Anything else has a base rate of 1.1 cents per kilogram, and a bound rate of 0.7 cents per kilogram (code 0406.10.20)

Celery:

(code 0709.40 ch.7): If the vegetable is reduced in size the base rate of duty is 17.5% ad volerem, and the bound rate is 14.9% ad volerem (code 0709.40.20). If it entered the country during the period of April 15 to July 31 the base rate is 0.55 cents per kg, and the bound rate is 0.25 cents per kg (code 0709.40.40) Anything else has a base rate of 2.2 cents per kg, and a bound rate of 1.9 cents per kg (code 0709.40.60).

Cucumbers:

(code 0707.00 ch.7): If they entered the country between the periods of December 1 to the last day of February the base rate of duty is 4.9 cents per kilogram and the bound rate is 4.2 cents per kilogram (code 0707.00.20). If they entered in the period of March 1 to April 30 the base rate is 6.6 cents per kg, and the bound rate is 5.6 cents per kg (code 0707.00.40). If they entered in the period of May 1 to June 30, the base rate and the bound rate is the same as prior (code 0707.00.50). If they entered in the period of July 1 to August 31 then the base rate is 3.3 cents per kg, and the bound rate is 1.5 cents per kg (code 0707.00.60).

Lettuce heads:

(code 0705.11ch.7): If entered country between the period of June 1 to October 31 then the base rate of duty is 0.88 cents per kilogram, and the bound rate of duty is 0.04 cents per kilogram (code 0705.11.20). But if entered at another time the base rate of duty is 4.4 cents per kilogram, and the bound rate is 3.7 cents per kilogram (code 0705.11.40).

Onions (code 0711.10.00 ch.7): The base rate of duty is 8% ad volerem, and the bound rate of duty is 5.1% ad volerem.

b) Restrictions

There are no import quotas for these vegetables or juice coming from Guatemala: Cabbage, carrots, celery, lettuce heads, onions, tropical fruit concentrated juice.

But cucumbers must meet U.S. import requirements relating to grade, size, quality, and maturity. They must be inspected, followed by receiving an inspection certificate, issued by the Food Safety and Inspection Service of the Department of Agriculture.

All imported products are required to meet the same standards as domestic goods. Imported foods must be pure, wholesome, safe to eat, and produced under sanitary conditions. (http://www.cfsan.fda.gov/~dms/qa-ind2e.html - FDA/CFSAN: What are the requirements for importing foods into the United States?

c) Regulations:

Most fresh vegetables need a permit from the USDA/APHIS, which is good for 5 years.

Cabbage: is an admissible vegetable to be imported from Guatemala, but only if it is a commercial shipment. A permit from the USDA is required.

Carrots: are also admissible and need a permit as well.

Celery: is also admissible and needs a permit.

Cucumbers: are also admissible, but only if it is a commercial shipment. And of course they need also a permit.

Lettuce heads: are also admissible, but only if it is a commercial shipment. They also need a permit.

Onions: are admissible and need a permit as well.

Tropical Fruit Concentrated Juice: does not require a permit, since it is processed. [Interview with Bonita Davis at (301)734-4306 at the APHIS plant division]

Requirements:

Inspection certificates are accepted from the U.S., or specifically for onions, also from Canada. This specific USDA, AMS quality inspection and release is a different release than a USDA, APHIS inspection and release. (http://www.ams.usda.gov/fv/8eHowtoComply.html - AMS at USDA, Fruit and Vegetable Import Requirements, Programs, Marketing Orders)

In the case of carrots other than the “Baby”, “Mini”, “Finger “ or “Cocktail” types, the carrots shall have a minimum diameter of 19 millimeters (3/4 inch) and a minimum length of 114 millimeters (4 ½ inches).

Every lot of greenhouse cucumbers shall meet the following requirements, namely,

(a) The standards of U.S. Fancy grade or U.S. No. 1 grade; and

(b) In the case of long, seedless varieties, the cucumbers shall have a minimum length of 280 millimeters (11 inches).

In the case of onions, the onions shall have a minimum diameter of 32 millimeters (1 ½ inches), except U.S. No. 1 Pickers which shall meet the grade standards established by the United States Department of Agriculture for that grade. (http://www.canlii.org/ca/refu/crc285/sec36.html - Canadian Legal Information Institute: Fresh Fruit and Vegetable Regulations, [C.R.C., c. 285]>> Section 36.)

All onions imported into the U.S. must meet the following minimum grade, size and maturity requirements prior to importation (release from custody of the United States Customs Service).

Type of Onion	Regulation period	Grade	Size	Maturity
White onions	June 5 through March 9	At least U.S. No.1	1 inch (25.4 millimeters) minimum diameter	Moderately cured
Red onions, except braided red onions	June 5 through March 9	At least U. S. No.2	1-1/2 inches (38.1 millimeters) minimum diameter	Moderately cured
All onions except white and red	June 5 through March 9	At least U.S. No.2	1-3/4 inches (44.5 millimeters) minimum diameter	Moderately cured
All onions	March 10 through June 4	Shall not exceed 20% defects of U. S. No.1. Serious damage shall not exceed 10% including not more than 2% decat.	White varieties 1 inch (25.4 millimeters) minimum diameter. Other varieties 1-3/4 inches (44.5 millimeters) minimum diameter.

These regulations do not apply to minimum quantities not exceeding 110lbs (50 kilograms) or shallots. Pearl onions not larger than 1-3/4 (44.5mm) in diameter are exempt from the minimum grade, size, quality, and maturity requirements of the onion regulations, but must be inspected and certified as to size, and the importer must file and “Importer’s Exempt Commodity Form” (FV-6) as discussed below. “Braided red onions” means onions of red varieties with tops braided (inter-laced). “Moderately Cured” means the onions are mature and are more nearly well cured than fairly well cured. Onion importers should make arrangements for inspection and certification at the following offices at least on day prior to entry at Port of inspection offices:

· Jacksonville, FL – (904)359-6430

· Miami, FL – (305)870-9542 or (888)217-9840

and two days prior to entry at the Field Operations Section at:

• Washington Headquarters Inspection Office, USDA, AMS, Fruit and Vegetable Programs, Fresh Products Branch, 1400 Independence Avenue, SW, Room 2056-S, Stop Code 0240, Washington, D.C. 20250-0240, telephone: (202)720-2482 (http://www.ams.usda.gov/fv/8e/onion.html - AMS at USDA, Fruit and Vegetable Import Requirements: Fruit and Vegetable Programs – Marketing Orders, Onions)

d) Technical Procedures:

The overseas supplier must mark the goods with the county of origin. The marking must be legible and permanent enough for the ultimate purchaser to be made aware of the goods origin. But for goods such as fruits that cannot be marked it is appropriate to mark the outer container with the country of origin. (http://help.customs.gov/cgibin/customs.cfg/php/enduser/std_adp.php?p_faqid=492&p_cr... – Ask a question/What are the requirements for country of origin marking on goods that are imported into the U.S.? - Answers)

Section 5: Prices

Cabbage:

Florida Round Green type prices for medium size range from $8 to $9 for 50 lb cartons. Georgia Round Green type prices for medium size range from $8 to $10, but range mostly from $8 to $9 as well, and Red type for medium size range from $13 to $15, but range mostly from $14 to $15. Occasionally lower than 50lb sacks from New York Round Green type prices for medium to large average $9.

Carrots:

Prices of sacks of 48 1lb film bags from Canada (Ontario) for medium to large size range from $11.50 to $12.50. Georgia prices for medium to large size average $12.50, and occasionally higher sacks than 24 2lb film bags from California for medium to large size range from $16 to $18. Prices from Canada (Ontario) for medium to large size range from $12 to $13, but range mostly from $12 to $12.50. Prices from Georgia for medium to large size range from $12 to $12.50, but mostly $12.50. Sacks of 10 5lb film bags from Canada (Ontario) for medium to large size range from $12 to $13, but range mostly from $12.50 to $13. From Georgia the medium to large size range from $12 to $12.50, but average mostly $12.50. 50lb sacks of loose carrots from California range from $16 to $18, but average mostly $18. From Canada (Ontario) range from $13 to $14, but mostly $14. From Georgia they range from $11 to $13, but range mostly from $12 to $13. From Mexico they average $12, but occasionally higher and lower, large average $12. From Texas they average $11. 25lb sacks of loose carrots from Canada (Ontario) range from $6.50 to $7. Cartons of 20 1lb film bags from California for Baby Peeled range from $15 to $15.50, but occasionally higher. From Georgia they range from $15 to $16.

Celery:

Cartons from California of 2 dozen range from $16 to $18, but mostly from $16 to $17, but occasionally lower. 2 and ½ dozen range from $16.50 to $17.50, but occasionally lower. Film bags of 30 range from $18 to $19, but average mostly $18.50. Cartons of film bags of 18 coming from California range from $20 to $22.

Cucumbers:

Cartons with film wrapped from Canada (Ontario) for long Seedless Greenhouse type for medium size of 12 ranges from $9.50 to $10.50. 12 from Florida for Long Seedless Greenhouse medium size range from $10.50 to $11 and large size range from $10.50 to $11. Waxed 1 1/9 bushel cartons/crates from Florida for medium quality range from $11 to $12, but few are higher in price. From Georgia medium size range from $11 to $13, but mostly 12, ordinary quality average $9, but few are higher. Small size range from $14 to $15, but few are higher. Large size range from $9.50 to $10, but few are higher. Cartons from Georgia of 24 ranges from $8 to $8.75, but few are higher.

Lettuce heads – Iceberg:

Cartons from California with 24 lettuce heads range from $14 to $16, but mostly $14 to $15, with a few being higher priced. Film lined lettuces in cartons of 24 range from $14 to $15, and a few higher. Wrapped lettuces in cartons of 24 range from $16.50 to $18.50, but mostly $17 to $18, occasionally lower, and if in fair conditions they average $14. In cartons of 30 they range from $14 to $17, but mostly $14 to $15, and a few higher.

Lettuce heads – Other:

Cartons of 24 from California (Boston) range from $15 to $17, but mostly $16 to $16.50, and occasionally higher. Green Leaf cartons of 24 range from $13 to $15, but mostly $14 to $15, and occasionally higher. Red Leaf cartons of 24 range from $15 to $17, but mostly $16 to $16.50. Cartons of 12 4oz Boston Greenhouse Hydroponic containers, with a lid, from Canada (Ontario) range from $14.50 to $16.50. 3lb Mesculin Mix cartons from California range from $6 to $7.50, but mostly $7.

Lettuce heads – Romaine:

Cartons of 24 from California range from $15 to $18, but mostly $16. Coming from New Jersey they range from $13.50 to $15. Cartons of Hearts of 12 18oz (3 count) packages from California range from $18 to $19, but few are higher. Cartons of Hearts of 12 22oz (3 count) packages range from $19 to $20.

Onions – Green:

Cartons of 48, large sized and bunched from Mexico range from $9 to $11, but mostly $10 to $10.50, and one label best quality average $13. Cartons of 48, medium size, range from $10 to $12, but mostly $10 to $10.50. Crates of 12 bunched New Jersey Leeks, medium sized, range from $15 to $17, but mostly $15 to $16. Large sized ones from Mexico range from $13 to $14, but occasionally higher. (http://www.ams.usda.gov/mnreports/MH_FV020.txt - Fruit and Vegetable Market News, Federal-State Market New Service, USDA: Miami Terminal prices as of 10-JUN-2005)

Section 6: Distribution Channels

A.) Commodity Assembly:

Commodity assemblers are divided into two groups: local assemblers and terminal assemblers. Local assemblers are firms that collect agricultural products from producers and then redistribute them to other firms in the marketing channel. For example, a grain elevator company acts as local assembler when it buys corn from an area farmer and then sells this corn to a processor. Generally speaking, local assemblers do not usually change the physical form of the agricultural product although they often add value to products by performing sorting and grading functions. Terminal assemblers are firms that may purchase products directly from producers or from local assemblers. The distinguishing feature of these firms is that they are usually the last firm to handle products in the physical form found at the producer level. Terminal assemblers, like local assemblers, may add value to products by performing sorting and grading functions. Generally speaking, terminal assemblers are larger and tend to handle larger volumes of products than local assemblers. Terminal assemblers are often located at terminal markets that export agricultural commodities. An example of a terminal assembler would be Cargill (when it purchases corn from local elevators and/or large corn producers for sale to processors or for export to another country).

B.) Initial Processing:

The next stage in the U.S. marketing channel system is initial processing. It is at this stage that the physical form of the product is changed. The U.S. Census Bureau combines the number of all firms (initial and further processing) involved in the manufacturing of food and kindred products. There were 20,878 firms estimated to be involved in these two stages of processing in 1997. For example, Archer Daniels Midland performs initial processing when it transforms bulk field corn into high fructose corn syrup (HFCS).

C.) Wholesaling:

The primary functions performed at this stage include the assembly of products produced by producers, initial processors, and food manufacturers and the distribution of these products to retailers. One difference between local assemblers and wholesalers is the nature of the products. Although wholesalers perform an assembly function, the products they distribute tend to be transformed or have had value added to them in some way or another. In the marketing channel diagram, the wholesaling function is separated into four distinct components: integrated grocery wholesalers, non-integrated grocery wholesalers, integrated foodservice wholesalers, and non-integrated food service wholesalers.

1) Integrated Grocery Wholesalers:

Integrated grocery wholesalers serve the grocery (supermarkets, warehouse clubs, convenience stores, etc.) industry as opposed to the foodservice (restaurants, cafeterias, prisons, etc.) industry. Integrated grocery wholesalers own retail grocery store chains that self-distribute. That is, these grocery retailers are the distributor who delivers the majority of the products they offer consumers. The top 25 self-distributing retailers accounted for over 43 percent of food store sales in 1997 (Food Institute Report). Publix is an example of an integrated grocery wholesaler. For example, a corn tortilla manufacturer such as Ortega delivers cases of corn flour tortillas to one of Publix's four warehouses. The tortillas are then distributed to over 600 Publix stores across Florida, Alabama, Georgia, and South Carolina.

2) Non-Integrated Grocery Wholesalers:

Non-integrated grocery wholesalers are distributors who, in general, do not own the retail grocery stores they service. Although it is common for non-integrated grocery wholesalers to own a small percentage of the retail grocery stores to which they deliver, their focus is on serving independent grocery stores. In 1997, there were approximately 97 non-integrated grocery wholesale/retailers in the U.S. This number is down significantly from 366 in 1985 (National Grocers Association). Super Value is an example of a non-integrated grocery wholesaler. A corn tortilla manufacturer such as Ortega delivers cases of corn flour tortillas to one of Super Value’s 30 full-line distribution centers. The tortillas are then distributed to 6,100 independent grocery stores across the U.S. from Super Value warehouses.

3) Integrated Foodservice Wholesalers:

Integrated and non-integrated foodservice wholesaler sales were expected to reach a combined total of $371.6 billion in 1999, according to Technomics, Incorporated, a Chicago-based research and consulting firm. Integrated foodservice wholesalers own self-distributing retail foodservice operations. That is, these foodservice retailers are the distributors who deliver the majority of the products they offer consumers. Shoney's is an example of an integrated foodservice wholesaler. A corn tortilla manufacturer such as Ortega delivers cases of corn flour tortillas to one of Shoney's three warehouses. From these warehouses, the tortillas are delivered to each of the 1,200 Shoney's restaurants located in 28 states across the Midwest and Southeast United States.

4) Non-Integrated Foodservice Wholesalers:

Non-integrated foodservice wholesalers are distributors who do not own the retail foodservice establishments they serve. Their focus is on serving independent and chain foodservice establishments such as fast food restaurants, family restaurants, schools, corporate feeding programs, etc. In 1998, there were more than 5,000 foodservice distributors in the U.S. (Food Marketing: An International Perspective). The largest 50 firms were responsible for approximately 30 percent of all sales in 1998. The largest non-integrated foodservice wholesaler in the U.S. is Sysco Food Services, with 1999 sales exceeding $17 billion (1999 Sysco Annual Report). Sysco has over 78 distribution warehouses located across the U.S. and Canada. Sysco purchases corn flour tortillas from a company like Ortega and re-sells and delivers them to local Mexican food restaurants.

D.) Retailing:

Retailing is the stage in the U.S. food system where firms come into direct contact with the final consumer. Firms at this stage add value by assembling and offering an assortment of products from producers, initial processors, food manufacturers, and wholesalers. Cases of products are broken down and sold by the unit to customers. Savvy retailers increasingly bundle food products into meal solutions to satisfy time-starved customers. Total retail food sales were estimated to be $573.0 billion in 1997 (Food Institute Report). In this newsletter the retailing function has been separated into three distinct components: retail food stores, foodservice outlets, and specialty retailers.

Section 7: Commercial Practices

Carrots:

A. Procedures to Make Orders:

When making orders the exporters need to be approved when conducting a risk assessment for each of the fruits they are importing. “APHIS identifies the pests of concern that could be associated with each particular imported commodity.”

Guatemala has five ports, three of which play a significant role in international commerce, particularly in the exportation of agricultural products. When placing an order and getting ready to ship all orders need to go through the good manufacturing practices regulations.

Guatemala’s Non-Traditional Products export market continues to grow each year, and in order to keep competitiveness in the market, agriculture producers import high-quality planting seeds from other countries. Agriculture producers in Guatemala import vegetable seeds, flower seeds, fruit seed, tree and shrub seeds, grasses for pasture, forage seeds, and field crop seeds. The largest seed importer is the vegetable sector, which includes sweet corn, beets, cauliflower, onion, pepper, broccoli, cabbage, carrot, radish, cucumber, lettuce, squash, tomato, and others

Carrots were purchased in the produce section of a supermarket in Guatemala City and in a comparable setting in Tucson, Arizona, USA. In Guatemala the carrots were prepared in five forms: raw, peeled. boiled for 45 minutes, steamed for 35 minutes, and deep-fried in oil for 1() minutes. All the Guatemalan preparations were frozen at 2()° C until transported on dry ice to the Arizona laboratory, where they were stored at -70° C until assayed.

B. System and Terms of Payment:

The most secure means of payment is cash in advance or an irrevocable letter of credit. However, many Guatemalan imports are financed through short term (typically 60 day) lines of credit. Generally, these are extended directly by the U.S. exporter to the Guatemalan importer. This method of financing is usually only available to large importers and long-term clients. The larger Guatemalan importers frequently have their own source of capital abroad, which can be used to finance or to leverage financing for

imports. U.S. exporters should exercise caution when extending credit. The pursuit of claims against Guatemalan firms for lack of payment can be time-consuming and costly.

C. Transportation

Guatemala applies the common external tariff schedule of the Central American Common Market, which ranges from zero to fifteen percent for most agricultural and industrial goods. Exceptions include agricultural commodity imports in excess of the Tariff Rate Quotas (TRQ).

Carrots are picked by the farmers in the morning. The farmers then arrange for them to be taken by bus to the packing plant. They are unloaded and weighed in from around 2pm each day. The vegetables are cooled for transport and packed into boxes. At 6pm they are put on to crates and taken to the airport. They arrive fresh in the USA the next day and are eaten by people thousands of miles from where they were produced! OPCION (a company which grows green carrots) also has a greenhouse where it experiments with growing new varieties of crops, for instance pink and yellow carrots! These have a novelty value and will sell well to the specialist market in the USA.

Celery:

A. Procedures to Make Orders:

When making orders the exporters need to be approved when conducting a risk assessment for each of the fruits they are importing. “APHIS identifies the pests of concern that could be associated with each particular imported commodity.”

Guatemala has five ports, three of which play a significant role in international commerce, particularly in the exportation of agricultural products. When placing an order and getting ready to ship all orders need to go through the good manufacturing practices regulations.

To produce celery you need muck soil is ideal for celery production because o fits high moisture-holding capacity. Celery may be grown successfully on well-drained mineral soil such as a sandy-loam, but irrigation will be necessary under these conditions. Transplants Allow 10 to 12 weeks to produce plants for field planting. Thus, plants should not be set in the field until the danger of a prolonged cool period is over. They may be hardened, if desired, by withholding water for the last 7 to 10 days before setting in the field.

B. System and Terms of Payment:

The most secure means of payment is cash in advance or an irrevocable letter of credit. However, many Guatemalan imports are financed through short term (typically 60 day) lines of credit. Generally, these are extended directly by the U.S. exporter to the Guatemalan importer. This method of financing is usually only available to large importers and long-term clients. The larger Guatemalan importers frequently have their own source of capital abroad, which can be used to finance or to leverage financing for

imports. U.S. exporters should exercise caution when extending credit. The pursuit of claims against Guatemalan firms for lack of payment can be time-consuming and costly.

C. Transportation

Guatemala applies the common external tariff schedule of the Central American Common Market, which ranges from zero to fifteen percent for most agricultural and industrial goods. Exceptions include agricultural commodity imports in excess of the Tariff Rate Quotas (TRQ).

Onions:

A. Procedures to Make Orders:

When making orders the exporters need to be approved when conducting a risk assessment for each of the fruits they are importing. “APHIS identifies the pests of concern that could be associated with each particular imported commodity.”

Guatemala has five ports, three of which play a significant role in international commerce, particularly in the exportation of agricultural products. When placing an order and getting ready to ship all orders need to go through the good manufacturing practices regulations.

B. System and Terms of Payment:

The most secure means of payment is cash in advance or an irrevocable letter of credit. However, many Guatemalan imports are financed through short term (typically 60 day) lines of credit. Generally, these are extended directly by the U.S. exporter to the Guatemalan importer. This method of financing is usually only available to large importers and long-term clients. The larger Guatemalan importers frequently have their own source of capital abroad, which can be used to finance or to leverage financing for

imports. U.S. exporters should exercise caution when extending credit. The pursuit of claims against Guatemalan firms for lack of payment can be time-consuming and costly.

C. Transportation

Guatemala applies the common external tariff schedule of the Central American Common Market, which ranges from zero to fifteen percent for most agricultural and industrial goods. Exceptions include agricultural commodity imports in excess of the Tariff Rate Quotas (TRQ).

Onion or green onion is available all year long. The forms of export are fresh and dried. Most export are to Central America, but in the past few years there have been some shipments to Europe and United States

Cabbage:

A. Procedures to Make Orders:

When making orders the exporters need to be approved when conducting a risk assessment for each of the fruits they are importing. “APHIS identifies the pests of concern that could be associated with each particular imported commodity.”

Guatemala has five ports, three of which play a significant role in international commerce, particularly in the exportation of agricultural products. When placing an order and getting ready to ship all orders need to go through the good manufacturing practices regulations.

B. System and Terms of Payment:

The most secure means of payment is cash in advance or an irrevocable letter of credit. However, many Guatemalan imports are financed through short term (typically 60 day) lines of credit. Generally, these are extended directly by the U.S. exporter to the Guatemalan importer. This method of financing is usually only available to large importers and long-term clients. The larger Guatemalan importers frequently have their own source of capital abroad, which can be used to finance or to leverage financing for

imports. U.S. exporters should exercise caution when extending credit. The pursuit of claims against Guatemalan firms for lack of payment can be time-consuming and costly.

C. Transportation

Guatemala applies the common external tariff schedule of the Central American Common Market, which ranges from zero to fifteen percent for most agricultural and industrial goods. Exceptions include agricultural commodity imports in excess of the Tariff Rate Quotas (TRQ).

Cabbages are generally packed in 50-pound fiberboard cartons, 50- to 60-pound wire-bound crates, or mesh bags. The industry has been slowly abandoning the mesh bag in favor of cartons or crates because bags offer only minimal protection from rough handling. Cartons and crates are also easier to palletize. A recent market innovation is the shipping of cabbage in heavy fiberboard bulk pallet bins holding 500, 750, or 1,000 pounds, as shown in Figure 1. Some specialty cabbage (such as red, savoy, and Chinese types) are packed in 25-, 30-, or 40-pound cartons, depending upon market preference. Uniformity and the proper count per carton are important; 18 to 22 heads per 50-pound carton is customary.

Lettuce Head:

A. Procedures to Make Orders:

When making orders the exporters need to be approved when conducting a risk assessment for each of the fruits they are importing. “APHIS identifies the pests of concern that could be associated with each particular imported commodity.”

Guatemala has five ports, three of which play a significant role in international commerce, particularly in the exportation of agricultural products. When placing an order and getting ready to ship all orders need to go through the good manufacturing practices regulations.

B. System and Terms of Payment

The most secure means of payment is cash in advance or an irrevocable letter of credit. However, many Guatemalan imports are financed through short term (typically 60 day) lines of credit. Generally, these are extended directly by the U.S. exporter to the Guatemalan importer. This method of financing is usually only available to large importers and long-term clients. The larger Guatemalan importers frequently have their own source of capital abroad, which can be used to finance or to leverage financing for

imports. U.S. exporters should exercise caution when extending credit. The pursuit of claims against Guatemalan firms for lack of payment can be time-consuming and costly.

C. Transportation

Guatemala applies the common external tariff schedule of the Central American Common Market, which ranges from zero to fifteen percent for most agricultural and industrial goods. Exceptions include agricultural commodity imports in excess of the Tariff Rate Quotas (TRQ).

Cucumber:

A. Procedures to Make Orders:

When making orders the exporters need to be approved when conducting a risk assessment for each of the fruits they are importing. “APHIS identifies the pests of concern that could be associated with each particular imported commodity.”

Guatemala has five ports, three of which play a significant role in international commerce, particularly in the exportation of agricultural products. When placing an order and getting ready to ship all orders need to go through the good manufacturing practices regulations.

B. System and Terms of Payment

The most secure means of payment is cash in advance or an irrevocable letter of credit. However, many Guatemalan imports are financed through short term (typically 60 day) lines of credit. Generally, these are extended directly by the U.S. exporter to the Guatemalan importer. This method of financing is usually only available to large importers and long-term clients. The larger Guatemalan importers frequently have their own source of capital abroad, which can be used to finance or to leverage financing for

imports. U.S. exporters should exercise caution when extending credit. The pursuit of claims against Guatemalan firms for lack of payment can be time-consuming and costly.

C. Transportation

Guatemala applies the common external tariff schedule of the Central American Common Market, which ranges from zero to fifteen percent for most agricultural and industrial goods. Exceptions include agricultural commodity imports in excess of the Tariff Rate Quotas (TRQ).

Tropical Fruit Concentrate Juice:

A. Procedures to Make Orders:

When making orders the exporters need to be approved when conducting a risk assessment for each of the fruits they are importing. “APHIS identifies the pests of concern that could be associated with each particular imported commodity.”

Guatemala has five ports, three of which play a significant role in international commerce, particularly in the exportation of agricultural products. When placing an order and getting ready to ship all orders need to go through the good manufacturing practices regulations.

B. System and Terms of Payment

The most secure means of payment is cash in advance or an irrevocable letter of credit. However, many Guatemalan imports are financed through short term (typically 60 day) lines of credit. Generally, these are extended directly by the U.S. exporter to the Guatemalan importer. This method of financing is usually only available to large importers and long-term clients. The larger Guatemalan importers frequently have their own source of capital abroad, which can be used to finance or to leverage financing for

imports. U.S. exporters should exercise caution when extending credit. The pursuit of claims against Guatemalan firms for lack of payment can be time-consuming and costly.

C. Transportation

Guatemala applies the common external tariff schedule of the Central American

Common Market, which ranges from zero to fifteen percent for most agricultural and industrial goods. Exceptions include agricultural commodity imports in excess of the Tariff Rate Quotas (TRQ).

Section 8: Packing –Types Used: Crates and Labels

Carrots:

Packaging: topped carrots in 0.5 kg (1 lb) film bags in master film bag, 23 kg (50 lb); bunched carrots, package-iced, in one-piece waxed fiberboard box, 2 dozen bunches, 10-12 kg (23-27 lb). Could use either collapsible wood bins or plastic film bag, depending on amount being shipped.

Celery:

Packaging: one-piece waxed fiberboard box, flat pack, 1-1/2 to 3 dozen, 27-29 kg (60-65 lb), also 368 mm (14-1/2 in) wirebound crates. Celery hearts in film bags in waxed fiberboard box or paper lined wood crates, 12-18 count, 2-3 stalks per bag, 11-17 kg (24-38 lb).

Cucumber:

Packaging: one piece waxed fiberboard box or wirebound wood crate, 0.039 cu m (1-1/9 bu), 25 kg (55 lb); 0.035 cu m (1 bu), 21 kg (47 lb); place pack 13.6 kg (30 lb).

Onions:

A method to pack onions would be mesh nets. It was designed specially for packaging potatoes, onions, citrus, and other solid products. Produce is packed carefully into net bags, with the universal net label, with or without a barcode.

Lettuce:

Lettuce wrap and Super Clear lettuce bags gently contain all leaves, eliminating unsightly loose leaves so that produce keep their appeal. Special vents allow optimum freshness with just a sprinkling of water, and encourage airflow to prevent discoloration. In-field bagging and in-store wrapping are fast and easy with this product. Vented sleeves help maximize shelf life and minimize shrinkage. An open bottom makes re-trimming easy. It eliminates the need for wire ties, tape or rubber bands that often mark or damage your lettuce. The super clear film provides maximum visibility while eliminating fogging, enhancing the overall display of freshness.

Cabbage:

Cabbage in the northwest is most commonly packaged in 50 to 53-lb cartons containing 24 heads each. Other containers and weights used for cabbage are crates of 53 to 60 lb and 50-lb mesh sacks.

Tropical Fruits Concentrated Fruit Juice:

The essential drink mix system high density polyethylene containers clean safely, easily, and more efficiently prepare mixes and juices in advance for the "busy hours."

Section 9: Market Perspectives & Sales Promotions

Marketing Perspectives

Current and Future Tendencies

Scope of Market

Markets for new crops may be local, regional, national or global. Some firms will have a choice as to market scope. Growers who are in close proximity to consumers may select a local market and perform many or all of the marketing functions. As the scope of the market expands, marketing functions become more complex and the coordinating role becomes more important. Economies may be realized if production and marketing functions are concentrated geographically. These economies may arise from synergistic relations among firms, development of a pool of persons with needed skills and knowledge, size economies in production or processing, visibility and reputation for quality and dependability, and sharing of technologies.

Market Competitors and Perspective new customers

Offshore Competition

U.S. markets for raw and finished products have become more open; therefore, marketing strategies must be established with an international perspective. Imports are still a relatively small part of the fresh fruit and vegetable market, but they have been growing.

The numerous countries that have low production costs may have comparative advantage for some new crops which are native to them. Many less developed countries (LDC) are shifting from traditional to nontraditional crops with the hope that exports can be expanded. For example, Guatemala exports have changed from 10% to 35% nontraditional crops in the past ten years. LDC's are also getting better market information and becoming more sophisticated in serving U.S. customers. The International Trade Center of the United Nations now provides market news on 150 commodities to about 30 LCDs. Most of these commodities are nontraditional; tropical vegetables and fruits, spices, cut flowers, leather goods and the like. Large food companies are obtaining more raw products off-shore or processing finished products there.

Strategy for new customers

There are six general categories of marketing strategies: product diversification, geographic diversification, branding, advertising, pricing, and customer focus. Business decisions to implement strategies in all of these six areas will be undertaken for any new crop. Specific strategic responses at the industry level which are pertinent to new crops are described below

Product Diversification.

By definition, new crops are expected to result in the introduction of new food products. New products must be developed and existing products modified because most food products have a life cycle. Sales increase after introduction or modification, but reach a plateau and then decline. This seems to be the pattern for many tropical fruits and might be expected. While some consumption may have an ethnic basis, a large part may be the result of the consumers' search for products which add diversity and variety. Potential sales which satisfy diversity needs may be far greater than those associated with purchasers who are accustomed to the product. In this situation, sustained sales expansion in the industry may depend on the introduction of new tropical and modification of existing fruits. Plant breeding and genetic engineering may be used to create desired attributes in products such as low caloric value, seedless, sweetness, or firmness. The development of new fruits and new cultivars with different attributes may also be the most important source of remaining competitive with off-shore producers. If the U.S. is in a leadership position in research and development, producers and marketers here may be able to enter the product life cycle during the growth period, rather than at the point of maturity or decline. An aggressive development effort may be one of the most effective strategies to realize new crop potentials and to enhance competitiveness.

Consumer Information.

The introduction of a new crop is, in principle, like the introduction of a new product by a food manufacturer. The food manufacturer obtains information on consumer motivations, needs, desires and attitudes that can be used to identify voids in existing product mixes which a new or modified product might fill. Product development and testing then proceeds. Unfortunately, the path for most new crops involves developing the crop first and then figuring out how to sell it.

A marketing plan for a branded product includes advertising, promotion, pricing, packaging and merchandising, all targeted to some segment of the market. The marketing plan is the blue print for establishing a consumer franchise which in turn is the basis for favorable treatment by food retailers regarding shelf space and location. While such a plan would be most helpful for new crops, there is often not an organization which can act collectively in the development and implementation of such a plan.

In the tropical fruit industry, marketing problems have been identified relating to lack of promotional support and handler training, erratic supply and lack of information about how to use the product . There are 24 major and 38 minor cultivars of Florida avocados having distinctly different characteristics, but being sold together. Even an avocado connoisseur may have difficulty in selecting the cultivar with the desired attributes. Most consumers cannot tell whether they purchased a sweet or sour carambola before taking a bite. While an industry marketing plan for a new crop may not be as sophisticated as that for a branded product, it should be possible to provide information to consumers that will enhance industry sales. Almost by definition, consumers will need much information about a new crop. Consumer information lends itself to collective action by those in the industry.

Coordination.

There are several forms of collective action which provide industry planning and coordination including marketing orders, cooperatives and trade associations. Providing consumer information as discussed above is only one area where industry coordination can make a difference. Other areas include maintenance of standards for identity, quality and food safety, product development and modification including new varieties, demand expansion programs including information on export market potential, and market intelligence. New crops will be more bountiful in an industry where coordination is cultivated.

If a new crop proves profitable, there is a high probability that production will expand to the point that profitability disappears. Many producers enter or expand production near the height of the growth segment of the product cycle, just in time to experience the plateau or decline in sales. One then hears calls for industry to manage supply, coordinate production and erect entry barriers. This is one area where industry coordination efforts have been mediocre to dismal. One of the best documented principles of economics is that firms will enter and expand production as long as there is an incentive to do so.

Competitive Advantage

Firms marketing new crops can target their products with regard to market channels, geographic outlets, product forms and the like. These choices are made with the view of positioning the firm in products and markets where it will have the greatest competitive advantage. Competition may come from firms in other regions or off-shore and from other products. The competitive position of a firm is influenced by a host of factors, many beyond its control, and is constantly changing. For example, the competitive position of a firm may be affected by changes in exchange rates, changes in transportation rates, changes in import restriction, introduction of new cultivars which are best suited to some other production area, and changes in state environmental regulations by importing pesticides. The firm must continually reposition its activity in view of these changes.

Saturated Markets

The dynamics of the product life cycle for many new crops was discussed earlier. The timing of entry into the production and marketing of new crops may be the most critical factor to the success of the firm. For both growers and marketing firms, the entry decision should be based on a careful assessment of whether the new crop will achieve sufficient sales growth for entry to be profitable and whether sales will be sustained for a long enough period for returns on investment to be adequate.

Customer’s Preferences and Guidelines of Consumption

Fruits and vegetables are consumed in a variety of ways, consumers purchase sweet corn as fresh, frozen, dehydrated or canned, in nearly equal proportions.

Household income affects consumption of fresh food and vegetables.

Potential Market Segments

When popularizing a fruit or vegetable it’s important to understand that a need and a trend has to be established before making a sale. By finding the root of a consumer’s drive to purchase a fruit or vegetable is by making a familiarity in a person’s mind. Much of people’s influences in their intake comes from their own culture. If a demand wants to created, restaurants are a good source to start. When importing fruits and vegetables most of these influences come from restaurant establishments (i.e. sushi). Before selling them by the masses, teaching them is also needed to acknowledge the uses of this new product. For that reason, there is a huge potential to target culinary schools across the U.S. which eventually would cause demand by using the ingredients in restaurant establishments, eventually consumers would imitate what they have eaten. Another immediate popular implementation in which to popularize a product would be to use the media. The big crazy of the Food Network success is rapidly growing because of its innovative, creative, and new foods. Every segment teaches potential consumers on the uses for a variety of foods, especially international fruits and vegetables. I great suggestion would be to introduce a great dish with a specific product to one of the segments of the channel. By doing so, it will create a demand to the masses. To establish a more solid demand, reminding consumers of being a healthy alternative is a great plus.

Section 10: Importers List and Distribution Networks

Designed for US importers, brokers, distributors, or manufacturers, they prepare exporters listings, including contact information, of very specific products. The following is a sample list of Importers and Distribution Networks available to use for Guatemala:

A2Z MERCHANTS LTD.

FOOD PRODUCTS

Address : 2 YOUTH STREET, MT. ROSKILL AUCKLAND 1004 ,NEW ZEALAND

AGPAC PLASTICS LTD.

AGRICULTURE PRODUCT STOCKS

Address : P.O. BOX 4575, CHRISTCHURCH 8005 ,CANTERBURY ,NEW ZEALAND

AGRECO

AGRICULTURE PRODUCT STOCKS

Address : PO. BOX : 25019, ABU DHABI 25019 ,ABU ZABI ,UNITED ARAB EMIRATES

AL MARAAS

FOODSTUFF

Address : PO. BOX. 27142, DUBAI ,UNITED ARAB EMIRATES

ALMOC (PVT) LTD

AGRICULTURE PRODUCT STOCKS

Address : # 34 HILL ROAD, F-6/3, ISLAMABAD 44000 ,FEDERAL CAPITAL AREA ,PAKISTAN

AMEA CASHEW INDUSTRY

AGRICULTURE PRODUCT STOCKS

Address : RAMNATHSTRAAT 3, PARAMARIBO SURINAME P/A HALMAHEIRASTRAAT 15E AMSTERDAM 1094RE ,NOORD-HOLLAND ,NETHERLANDS THE

AS TIMBER SRL

AGRICULTURE PRODUCT STOCKS

Address : 8 HERCULE STREET, BL.B10 AP.8, ARAD 2900 ,ROMANIA

BAOBAB

AGRICULTURE PRODUCT STOCKS

Address : KAREL SOETELAAN, 11,2150 ANTWERPEN ,BELGIUM

BRASILIS TRADE

AGRICULTURE PRODUCT STOCKS

Address : SRTVS QUADTRA 701 BLOCO B SALA 608 ED. CENTRO EMPRESARIAL, BRASILIA 70340907 ,DISTRITO FEDERAL ,BRAZIL

BRUMAIRE PTY LTD.

AGRICULTURE PRODUCT STOCKS

Address : LEVEL 5, 360 LITTLE, BOURKE STREET, MELBOURNE 3000 ,VICTORIA ,AUSTRALIA

CIRCLE WORLDWIDE RESOURCES

AGRICULTURAL/INDUSTRIAL PRODUCTS

Address : 72A-2,2ND FLOOR, JALAN BATU UNJUR1, TAMAN BAYU PERDANA, KLANG SELANGOR D.E, KUALA LUMPUR 41200 ,MALAYSIA

DSU CO. LTD.

AGRICULTURE PRODUCT STOCKS

Address : TAMAN PALEM C5/20, JAKARTA 11830 ,INDONESIA

ESSENTIAL ELEMENTS, LLC

AGRICULTURE PRODUCT STOCKS

Address : 1534, HEATHER HOLLOW, SUITE 31, SILVER SPRING 20904 ,MARYLAND ,UNITED STATES

E-ZONE CONSORTIUM

AGRICULTURE PRODUCT STOCKS

Address : 06, 1ST LANE, SIDDHAMULLA, PILIYANDALA, COLOMBO ,SRI LANKA

FARM TRADING COMPANY

BAMBOO BLINDS BAMBOO FLOORING ,LAMINATE FLOORING

Address : 16-K GUBERG- 3,LAHORE LAHORE 44000 ,PUNJAB ,PAKISTAN

GAGAN IMPORTERS

AGRICULTURE PRODUCT STOCKS

Address : 539, ROSSELLINI DR., MISSISSAUGA ,ONTARIO ,CANADA

GOODEARTH

AGRICULTURE PRODUCT STOCKS

Address : 55 HIGAZ STREET, MOAHNDSEEN, GIZA CAIRO 12411 ,EGYPT

GUAN SOON IMPEX

AGRICULTURE PRODUCT STOCKS

Address : 113 EUNOS AVE 3, #03-13, GORDON INDUSTRIAL BUILDING, SINGAPORE 409838

HASHMI TRADER

AGRICULTURE PRODUCT STOCKS

Address : 893, NIZAM BLOCK, ALLAMA IQBAL TOWN, LAHORE 54000 ,PUNJAB ,PAKISTAN

HK M&M INT'L

MOBILE PHONE, LAPTOP,T-SHIRT

Address : 107-110 DES VOUXRD CENTRAL, HONG KONG

Section 12: Upcoming Commercial Events/Trade Shows

The Guatemala Trade and Investment Office in Los Angeles was opened in 1992. This Promotion office belongs to a network of joint efforts among the Public and Private sectors of Guatemala. Participating institutions include Ministry of Foreign Affairs, Ministry of Economics, Association of Non Traditional Products, Chamber of Industry, and Bank of Guatemala. This Trade and Investment Office is the only Commercial Attaché fully dedicated to the promotion of trade related activities in the West Coast of the United States of all 34 Caribbean Basin countries.

SIMA – is the largest agricultural trade show in the world; it is held in Paris every odd year, supplier and services to the largest gathering of European, Farmers, Importer, Dealers, and Agricultural decision making.

Many other trade shows around the world include:

Trade Show: Date: Place:

Prodexpo (tentative)	February	Moscow, Russia
Sales Mission to Costa Rica and Guatemala	February	Costa Rica and Guatemala
Alimentaria	March 8-12	Barcelona, Spain
Foodex Japan	March 9-12	Tokyo, Japan
AAHAR	March	New Delhi, India
Food & Hotel Korea	March	Seoul, Korea
ANTAD	March	Guadalajara, Mexico
Food & Hotel Asia	April 20-23	Singapore, Singapore
Sales Mission (following Food & Hotel Asia Show)	April	Kuala Lumpur, Malaysia
U.S. Food Export Showcase (Food	May	Chicago, Illinois
Marketing Institute)
American Food Fair (National Restaurant	May	Chicago, Illinois
Association Show)
European Seafood Exposition	May	Brussels, Belgium
International Food, Drink & Hospitality	May	Warsaw, Poland
Exhibition (tentative)
Eurokosher	June 3-4	Paris, France
Exphotel	June 9-11	Cancun, Mexico
Food & Hotel South China	June 23-25	Guangzhou, China
Casablanca (American Café)	June	Casablanca, Morocco
International Food Ingredients &	June	Tokyo, Japan
Additives Exhibition (IFIA)
World’s Finest Foods	June	Mandaluyong, Philippines
Caribbean Buyers Mission to NASFT	July	New York, New York
Fancy Food Show
Mission to EAST EUROPE (tentative)	Summer/Fall	Poland, Czech Republic & Hungary
Food & Hotel Africa (American Café) (tentative)	Fall	Johannesburg, South Africa
EXPO USA	September	Santo Domingo, Dominican Republic
World Food Moscow (tentative)	September	Moscow, Russia
SIAL Paris	October 17-21	Paris, France
Abastur	October	Mexico City, Mexico
Health Ingredients Japan	October	Tokyo, Japan
HRI Mission to Mexico (Abastur)	October	Mexico City, Mexico
Foodapest (American Café only) (tentative)	November	Budapest, Hungary
Americas Food and Beverage Trade Show	December	Miami, Florida

Section 13: Conclusion

As we can see Guatemala has many resources and possibilities to grow with in its, agricultural market. First off, there is enough distribution channels for everything. Cucumbers have the tariffs and the prices the lowest which means they can’t profit as much and they were regulations and restrictions on cucumbers. Lettuce heads, were also high, highest of all the commodities and the prices were low on lettuce heads other than iceberg and romaine. So everything else except for those two had low prices which mean they will not be able to make a good profit out of it. If it is not lettuce heads or romaine they import because they wouldn’t make a good profit at it. Onions were the tariffs which is good and the prices were low too and that’s not because the tariffs were not so high. The only bad things on the onions were their requirements. Permits are needed on everything except for the juice.

Increasing foreign exchange problems and failing prices of traditional export commodities are leading agricultural policymakers to seek diversification in export crop production. Export vegetables, which are non-traditional crops, appear to be a promising option because of their high labor intensity and expanded demand in high labor intensity and expanded demand in industrialized countries. Guatemala's non traditional agricultural export sector offers broad opportunities for foreign investors, both in wholly-owned or joint-venture enterprises.

If a new crop proves profitable, there is a high probability that production will expand to the point that profitability disappears. Many producers enter or expand production near the height of the growth segment of the product cycle, just in time to experience the plateau or decline in sales. One then hears calls for industry to manage supply, coordinate production and erect entry barriers. This is one area where industry coordination efforts have been mediocre to dismal. One of the best documented principles of economics is that firms will enter and expand production as long as there is an incentive to do so.

With this in mind, it is noticeable to see the market potential Guatemala has to be able to grow within the agricultural market segment. When incorporated correctly and with some patience it can be very highly profitable for any company to acquire. Although it may have some drawbacks with minor restrictions, it’s definitely an idea to consider the benefit Guatemala’s potential market has.
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