Fresh State of Affairs Issue 33

2016

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melbourne market hidden secrets exposed

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issue 33 jul 2016 ISSN: 1838-7829

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MELBOURNE MARKET SECRETS EXPOSED

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awards

CONTENTS 02 What’s on 03 President’s message 04 Market hours 08 Bayford VW history 12 Calendar of events 14 Around the market 16 Fresh Test 20 Vegetable spaghetti 22 Recipe 24 FC 2016 innovation/change 26 Q&A: John Konidaris

Find out what expenses you are really paying as part of your tenancy agreement.

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TOP TEN REASONS TO ATTEND THE OF AFFAIRS FRESH STATE BALL Registrations are now open so let’s get ready to party at the Fresh State Ball.

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ADVERTISING

PROVINCIA FOOD STORE

13 Fresh State gala ball 23 Epping Plaza Hotel /

A niche business on the Mornington Peninsula that packs a big punch in the retail space.

Shisham Stanley

27 MAB 28 Bayford Volkswagen Epping

PUBLISHED BY:

freshstate.com.au tel: 03 9408 6627

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CHIEF EXECUTIVE OFFICER: Paul Hodgson paul@freshstate.com.au

DESIGN: Flying Dog Designs fddesigns.com.au

PRINT: Revolution Print revolutionprint.com.au

EDITOR / ADVERTISING: Sally Piper sallyp@freshstate.com.au

PHOTOGRAPHY: Sally Piper sallyp@freshstate.com.au

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

PROOFING: Tony Nigro tonyn@freshstate.com.au

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PRESIDENT’S MESSAGE As another edition of the Fresh State of Affairs hits market shelves, we find ourselves right in the middle of Winter. Tenants are acclimatising to the cold weather and are also trying to adjust to the additional expenses starting to creep into their businesses as we near the first anniversary of our new tenancy.

expenses are crippling tenants? It is all about transparency and trust and without this market tenants are feeling ripped off and are concerned about the future. Read more about this hot topic on page 4.

On a brighter note, registrations to the Fresh State Gala Ball which will take place on Saturday 3 September, are now open and we encourage you to make a weekend of it in Melbourne to celebrate the start of

HOW CAN BUSINESSES REMAIN SUSTAINABLE IN A MARKET SUCH AS THIS WHEN HIDDEN EXPENSES ARE CRIPPLING TENANTS? IT IS ALL ABOUT TRANSPARENCY AND TRUST AND WITHOUT THIS MARKET TENANTS ARE FEELING RIPPED OFF. We were aware of some of these expenses when we signed our leases, but we have now found a lot more have been ‘bundled’ into our costs which is concerning. How can businesses remain sustainable in a market such as this when hidden

Spring. Accommodation packages are available at the luxurious Crown Metropol just a short walk from the venue at half the recommended retail price! It is a great deal so make your booking through Fresh State to take advantage of this saving.

Our famous Fresh State Awards will also open for nominations this month with presentations to be made at the Fresh State Ball. It is always a huge honour to be a recipient so please make your vote count. The Young Marketeer of the Year will once again win an all expenses paid trip to Fresh Summit in the USA which is a huge prize. Last year’s winner Joe Manariti from Premier Fruits Group, will experience Fresh Summit this year in Orlando, Florida and we look forward to hearing all about this at our AGM on the 18 October.

Finally, I am pleased to announce that the Fresh State of Affairs magazine is now available online at our website www.freshstate.com.au/FSAMagazine.

This gives readers the opportunity to have a look through our archives as well as explore other areas of our website, but don’t worry – hard copies will still be available on the market floor as per usual.

Shane Schnitzler President Fresh State Ltd.

DISCLAIMER: Fresh State Ltd makes this magazine available on the understanding the users exercise their own skill and care with respect to its use. Before relying on, or altering any business practices, users should carefully evaluate the accuracy, completeness and relevance of the information for their purpose and should obtain appropriate professional advice relevant to their particular circumstances.

This magazine contains views and recommendations that do not necessarily reflect the views of Fresh State Ltd. Fresh State does not in any circumstances accept responsibility for the accuracy or suitability or otherwise of any in-

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

In addition, by using the information in this magazine, each user waives and releases Fresh State, its staff and agents from any and all claims relating to the use of this document. In no event shall Fresh State Ltd be liable for any consequential damages resulting from using the information in Fresh State of Affairs. © Fresh State Ltd 2016

This work is copyright. Apart from any use as permitted under the Copyright Act 1968, no part may be reproduced by any process without prior permission from Fresh State Ltd. Requests and inquiries concerning reproduction and rights should be addressed to: The Editor Fresh State of Affairs Magazine Store 36, Melbourne Market 35 Produce Drive Epping VIC 3076

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just how much are the mma making on electricity??

T E K R A M E N R U BO

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When tenants signed their leases for new stores and warehouses at the new Melbourne Market in Epping, they had no idea that one year down the track, expenses would be sky rocketing at the ‘newest market in the world’.

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Outgoings such as electricity, rent, central cooling units, car parking, insurance, forklift fuel and warehouse fire wardens have all culminated with one-off tenant fit out expenses making it a very expensive year.

"It is inevitable that tenants will need to drill down into their expenses to try and find as many savings as possible," says Mick Motta from Fresh Growers Pty Ltd who has a store and a warehouse lease. “It is about finding the savings,” he continues. “We have been looking into our business and trying to reduce expenses as much as possible. There was a lot of space at the old market to use for free and Epping is not like that. You are forced to look at your business model and try to save costs.”

According to sources, an additional charge has been ‘bundled’ into tenant electricity charges from day one in a purported agreement between MMA and WIN Energy (the current electricity provider at the market for the majority of tenants), that has seen MMA’s coffer’s swell by what is rumoured to be in excess of one million dollars at the expense of tenants.

This ‘secret commission’ (or kickback), has not been disclosed in the lease that tenants signed, nor has a mechanism or formula regarding electricity charges.

The MMA say the electricity contract through the embedded network is already a cost saving model to the tenant with their agreement through WIN Energy. “We are currently testing the market again but believe the electricity rates being charged to

NO ONE ANTICIPATED, WHEN SIGNING THEIR LEASES, THAT A HIDDEN EXPENSE WOULD CREEP INTO OUTGOINGS IN A HUGE COVER UP AND REVENUE MAKING EXERCISE INSTIGATED BY THE MARKET LANDLORD ITSELF.

D E S O P X E S T E R C E HIDDEN S But there is not much room to move with Leases locked in at a 4% increase per annum with additional insurance requirements as well as a new central cooling system that tenants need to navigate, on top of ‘the usual’ outgoings they were paying at Footscray Road.

The rentable area is bigger which equates to a larger rent base and a larger site means the purchase of new vehicles such as updated forklifts and buggies just to travel around the market itself!

However, no one anticipated when signing their Leases, that a hidden expense would creep into outgoings in a huge cover up and revenue making exercise instigated by the market landlord itself.

tenants are the cheapest on the market," says MMA CEO Mark Maskiell.

Mark concedes that there is an additional charge on top of the electricity that pays for the upkeep and maintenance of the network but is adamant it is not a kickback designed to make more money for MMA at the expense of tenants.

“We have done everything we can to make sure we have sourced the best rate possible for tenants.”

Investigations by market tenants and Fresh State have concluded that in fact WIN Energy does not deliver the best rate possible for tenants and it pays to ‘shop around.'

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“We have been able to negotiate a more attractive energy price from Origin Energy, one of five we tendered our electricity with,” says David Holman, General Manager at Ten Farms Wholesale. “We believe further savings can be made by reviewing other expenses such as the network charges.”

Interestingly Ten Farms were unable to obtain a tender from WIN Energy (one of the five referred to) without MMA’s prior consent (which never came).

Electricity is the biggest impost to tenants businesses and savings of 30-40% can be made according to Mick who also heads up the Warehouse Tenancy Committee.

“Based off our calculations, if we sourced our own electricity supplier like Ten Farms have, we could save as much as $600 per month.”

State President who also operates the successful wholesale business Produce Time. “I would strongly suggest tenants look into cost savings and making their own investigations regarding the best electrical deal for them.” Shane says Fresh State is currently looking into their members electricity charges and will be providing guidance as to the best deal to assist their businesses.

“We have signed a Lease and worked our business models around the Lease as suggested (by MMA).

Now we are finding out, a year down the track, all these additional hidden extras along the way and

INVESTIGATIONS BY MARKET TENANTS AND FRESH STATE HAVE CONCLUDED THAT IN FACT WIN ENERGY DOES NOT DELIVER THE BEST RATE POSSIBLE FOR TENANTS AND IT PAYS TO ‘SHOP AROUND’.

With an approximate $20M debt to repay to State Treasury for the build, the MMA is not prepared to shift their costings to assist the wholesaler. “The State set up a financial model and the tenants signed their leases to satisfy that model” continues Mark. “The MMA are on track to break even in year one from a cash point of view and we are not in a position to revisit the model.”

Bananas, our most popular commodity, has seen a 30% drop in the trading price this year which gives a snapshot into the current climate of the industry.

Fresh produce trading prices have remained the same or decreased in price but our expenses at the market are currently out of control which is not helping our market tenant businesses.

If tenants are unable to find ways to reduce their expenses and the MMA continue to cost shift to the tenant, wholesalers may face some tough decisions in the months/years to come. “It is not going to look good for government if wholesalers are forced out of the central market system due to unrealistic overheads,” suggests Shane Schnitzler, Fresh

it is just not good enough,” continues Mick Motta.

“Glycol is now calculated on thermal kilowatts, warehousing have to pay extra for fire wardens and now we find a slush fund has been set up with electricity and it is just a joke.” The big question is what will be next? “A level of trust is lost when there is no transparency,” agrees Shane.

Make no mistake, if wholesale businesses start to leave the central market system because they can’t afford to operate within it, the market brand and reputation will suffer a severe blow. With State elections next in line and a worldwide market conference set to hit our shores next year, let’s hope we can find the savings or get a lifeline to help buoy the market tenants.

It is certainly not a good look if the newest market in the world is so expensive to operate, that businesses can’t afford to trade within its walls.

D E S O P X E S T E R C E S HIDDEN INCREASED EXPENSES AND COST SHIFTING AT MELBOURNE MARKET:

$$

ELECTRICITY CHARGE SECRET COMMISSION

COOLING UNIT $$ CENTRAL DISCREPANCY

$$

PALLET ACCOUNTS

$$ WASTE REMOVAL

$$

EXCESSIVE FINES & DEMERIT POINTS GONE CRAZY

BILLS FOR DAMAGE TO INFRA$$ REPAIR STRUCTURE BEYOND YOUR CONTROL

$$

CLEANING BILLS SENT TO TENANTS FOR STORES AT FOOTSCRAY RD

$$ CONTINGENT LIABILITY

$$

FIRE WARDENS REQUIRED FOR WAREHOUSING AT THE TENANTS EXPENSE

FEES FOR EVERY SINGLE $$ PARKING CAR ENTERING THE SITE

$$

TENANTS PAYING COST OF POLICING OF PARKING ON WAREHOUSE PADS

& WAREHOUSE INFRASTRUC$$ STORES TURE WAITING ON REPAIRS

$$

CLEANING FEES AN ‘UNKNOWN FACTOR’ SINCE ‘BUNDLED’ INTO RENT

VEHICLES REQUIRED TO BE PUR$$ NEW CHASED BY TENANTS ON BIGGER SITE

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BAYFORD

MOTOR GROUP KEEPING IT IN THE FAMILY Over the past 100 years, through wars, depression and technological changes, the Bayford Motor Group has grown and now represents multiple brands across various locations in Melbourne.

They are Australia’s longest surviving, family-owned motor vehicle dealership and, similar to businesses within the Melbourne Market, have forged their success on strong relationships and good old fashioned customer service.

has 15 sites, five franchises and approximately 600 employees.

Hugh is modest about the business’ longevity and success. “We’ve always focused on looking after people – our customers, our staff and our suppliers – and we’ve built relationships that last,” he says.

That was the guiding principle for Dick Bayford, Hugh’s great-uncle, who founded the business in 1917. Dick was a mechanical engineer for Tarrant Motors – the company that assembled Ford’s imported from the US. As foreman of the production line, Dick was invited to the recently formed Ford Motor Company in the US. Dick returned with a passion for motor cars and a belief that selling a vehicle should signal the

It was 1967 when a shiny, newlydelivered, gold-coloured Ford GT Falcon proved an irresistible lure for didn’t like to fight where they lived, a young Hugh Bayford. Hugh was in so they’d come down to the offices the family business’ Fitzroy showroom. below to argue. Staff arrived some “Dad (Alwin Bayford) mornings and the two of had gentleman’s them had been throwing hours,” says Hugh. inkwells at each other.”

WE’VE HAD THREE PEOPLE WORK WITH “At five o’clock every Hugh has also heard US FOR MORE THAN 50 YEARS AND afternoon, he and stories of workers fixing his General Manager, SEVERAL PEOPLE HAVE BEEN WITH US cars for gangster Squizzy Stan, knocked on each Taylor – including FOR MORE THAN 40 YEARS. other’s door to signal it patching up bullet holes. was time to go to the Dick passed away in his pub for their two beers beginning of a lifelong relationship. He 30’s after travelling to India and falling before going home.” secured a location on Victoria Parade in ill. The business passed to his brother, “I’d be left in the showroom and I’d Fitzroy and Bayford Ford was formed, also named Hugh but it was Hugh’s hop in the GT and drive it two inches selling Model T’s assembled on site. son Alwin who joined the firm soon forwards, two inches back and then after that made the next major impact.

“He was a bit naughty, ” Hugh says. forwards – they never knew.”

“He lived above the showroom In 1966, Alwin decided to move the These days, Hugh is head of the Baywith his partner and they weren’t business to Preston and the rest is ford Group – a company that began married. They fought regularly but history. with a single-car showroom and now

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protected lad and suddenly I’m ringing panel beaters and asking them to pay their bills. I remember one guy who took up two chairs when he sat down.

I rang him and he asked me to come and see him and gave me a lecture on how to be involved in the car business.”

“We’ve had three people work with us for more than 50 years and several people have been with us for more than 40 years,” Hugh says referring to the family ethos that Alwin was determined to keep and that is still prominent to this day.

Hugh (Alwin’s eldest son) formally joined the business in 1974 after studying economics at the University of Melbourne and spending a few years in Ford’s graduate program learning the ropes.

For a time in the mid-1970s to mid1980s, another car dealer, Jim Vernon, owned part of the business. Hugh worked with Vernon before eventually buying back his share of the business.

He improved information-tracking and put more emphasis on staff training.

“Before the partnership, each salesman would have his own style and dealt with customers in his own way. With Vernon on board, we worked out the best way of doing things, turned it into a course and trained our people,” Hugh says.

WE’VE ALWAYS FOCUSED ON LOOKING AFTER PEOPLE – OUR CUSTOMERS, OUR STAFF AND OUR SUPPLIERS – AND WE’VE BUILT RELATIONSHIPS THAT LAST. Then came a Volkswagen franchise and Peugeot and Citroën franchises, before BMW. Hugh has continued the business’ family tradition with his son Charles now running the company’s VW dealership in Epping just across from the Melbourne Market. Alwin died seven years ago, knowing he’d left the business in safe hands.

“I’d drop in and have a Scotch with dad a couple of nights a week and tell him how things were going. Several months before he died, he hopped in the car and I drove him around the dealerships,” Hugh recalls.

“It wasn’t a given that I’d join the company,” continued Hugh. “But when the General Manager became ill, Dad suggested I needed to start learning the business and I was happy to do that.”

“It was always my plan to expand, too.

My first effort was a Daihatsu franchise that didn’t work out, but I knew we had to get bigger or get out. With the family history, getting out wasn’t an option.”

“We pulled into the five-acre [twohectare] block where we store our stock – we carry about 700 cars – and dad simply said, ‘Oh, Hugh, what have you done? I’ve never seen anything like this’. He was very impressed.”

Hugh started as credit manager, and it was an eye-opener. “I’d been a fairly

Bayford bought a Ford dealership in Coburg – a tried and tested format.

Author: Sarah Marinos Source: The Weekly Review

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2016

fresh state

awards

fresh state

awards Nominations for the Fresh State Awards will open on 18 July 2016 and close on 20 August 2016.

Fresh State Members can vote for: FRESH STATE BUSINESS OF THE YEAR A business that is viewed by its peers as a role model. It is professional, proactive and delivers its promises with integrity, loyalty and honesty.

FRESH STATE PERSONALITY OF THE YEAR A person whose notable traits have inspired over the past year.

FRESH STATE YOUNG MARKETEER OF THE YEAR A young person who contributes their time and talents for the good of the industry, and is willing to encourage others to participate.

The recipient of this award wins an all-expenses paid trip to Fresh Summit 2017 in the USA!

START THINKING ABOUT WHO YOU WOULD LIKE TO NOMINATE FOR THESE PRESTIGIOUS AWARDS READY FOR THE PRESENTATION AT THE FRESH STATE BALL. Download a nomination form at www.freshstate.com.au

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1. EXPERIENCE SOMETHING NEW A BRAND NEW VENUE 2. INVITE YOUR CUSTOMERS AND STAKEHOLDERS AS A THANK YOU FOR THEIR BUSINESS 3. MAKE A WEEKEND OUT OF IT AND STAY FOR THE NIGHT (SEE OUR DISCOUNTED ACCOMMODATION PACKAGE) 4. TAKE A BET ON WHO WILL BE HONOURED AS THE ‘THIS IS YOUR LIFE’ RECIPIENT WHO KNOWS IT COULD EVEN BE YOU! 5. SUPPORT THE FRESH PRODUCE INDUSTRY AND CATCH UP WITH YOUR MATES 6. CELEBRATE THE START OF SPRING IN STYLE 7. PUT IN A NOMINATION FOR A FRESH STATE AWARD AND HEAR FIRST HAND THE WINNER’S SPEECH ON THE NIGHT 8. REWARD YOUR STAFF BY BOOKING A TABLE ESPECIALLY FOR THE TEAM 9. TAKE ADVANTAGE OF THE FSL MEMBERSHIP SPECIALS WHEN BOOKING A TABLE 10. USE THE OPPORTUNITY TO DRESS UP IN COCKTAIL OR AFTER FIVE FOR A FUN NIGHT

The ear ly bisrdthe worm catche

FSL BALL ACCOMMODATION PACKAGE Experience the Fresh State Ball in luxury by staying at Melbourne's Crown Metropol Hotel only a short walk from the Peninsula.

Fresh State have been able to negotiate accommodation rates for Saturday 3 September 2016 for Fresh State Ball attendees only at a reduced rate starting from $340 per room (RRP $698) which is a massive saving.

THERE WILL BE LIMITED ROOMS AVAILABLE AT THIS RATE, SO GET IN QUICK!

Those wishing to take advantage of this offer need to contact the FSL office by no later than 19 August 2016 by emailing kimt@freshstate.com.au or completing a form online at www.freshstate.com.au/registration

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12 JULY 2016 Fresh State New Member Information Breakfast Fresh State Boardroom Come along to find out what benefits you can receive by joining up to become a Fresh State member.

For more information or to RSVP, contact Paul on 9408 6627 or email paul@freshstate.com.au

26 JULY 2016 MMCS New User Information Session Fresh State Boardroom A great introduction to how becoming a user of the MMCS can save time, reduce paperwork and benefit your business.

For more information or to RSVP, contact Paul on 9408 6627 or email admin@melbmcs.com.au

18 OCTOBER 2016 Fresh State 2016 AGM

3 SEPTEMBER 2016 Fresh State Gala Ball The Peninsula, Docklands, Melbourne SAVE THE DATE! For more information or to inquire about sponsorship of this event, please contact Kim on 9408 6627 or email kimt@freshstate.com.au

FR

ES

HS

T Ta ATE ble ME of M (in 1 clu 2 fo BER de O s 2 r $1 FR ,50 NLY EE 0 SP tic ex EC ke G ts) ST IAL

NUE E V NEWW DATE NE

:

2016 SAT U R DAY 3 S E P TE M BE R 2 01 6 At: Peninsula, Central Pier, Docklands

TICKETS

6.30 pm until late Dress Code: After Five / Cocktail

$150 each or

table of 12: $1800 ex GST

REGISTRATIONS NOW OPEN Accommodation packages available at discount rates at Crown Metropol starting from $340 (RRP$698) for a Luxe Room. B&B options are also available.

Contact Fresh State directly to secure your booking.

PLATINUM SPONSORS

GOLD SPONSORS

To book tickets or for more information contact Kim Thomas at kimt@freshstate.com.au or visit www.freshstate.com.au/registration

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AROUND THE MARKET

01 ADAM FROM FLOWERDALE. 02 ADAM MERTIKAS FROM LOUIS MELBOURNE. 03 EAVAN AND EMILY FROM NORTH STREET BOTANICAL. 04 JOE FROM VINNIE'S FRUITS GEELONG. 05 MARK FROM LATORRE'S ON THE FLOOR.

06 HAIDER FROM BARKERS FRESH PRODUCE. 07 VINNIE FROM PRESTIGE PRODUCE CATHERINE & ANDREW FROM VELI VELISHA AT FC2016.

08 PAT FROM CLAREMONT FRUITIQUE IN MALVERN. 09 MARIO FROM FRESHER FRUIT WITH HIS PARSNIPS.

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10 FRANK AND PHIL FROM THE GRAPE HOUSE AT FC 2016.

11 SANTO FROM KELLY CITRUS WITH NAZ FROM FINE FRUITS OF NIDDRIE. 12 GABRIEL & VINCE FROM AMV FRESH. 13 SAM AND MIKE FROM FLAVORITE MARKETING. 14 RICKI FROM MORNING HARVEST SUNBURY. 15 PHIL FROM HOT HOUSE PRODUCE FILLS UP AT THE FSL GAS STATION. 16 MELBOURNE MARKET WHOLESALER ROSS FERRINDA FROM FERRINDA FRESH SPREADS THE WORD ABOUT THE FRESH STATE GALA BALL ON THE MARKET FLOOR.

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PRODUCE TESTING AVAILABLE AT THE TOUCH OF A BUTTON Fresh Test has become more convenient than ever with a new delivery service that will now collect your produce straight from the market floor with just the touch of a button.

Horticulture providing low cost MRL (chemical residue) and microbial testing for wholesalers and their growers. The tests are confidential and are used for verification for food safety and Quality Assurance systems.

“We have a great range of tests available and they are the cheapest on the market with a very quick turn

“It is so easy to get your produce tested through Fresh Test” says Fresh State CEO FRESH TEST IS A PRODUCE Paul Hodgson who manages the Fresh TESTING SERVICE THAT HAS BEEN Test service from AVAILABLE AT THE MELBOURNE Melbourne. “You just have to either ring, MARKET SINCE 2001. text or email the Fresh Test team and around” continues Paul. “We can we will collect directly from your door recommend the best test for you to to make it hassle free." make sure you meet your customer’s Fresh Test is a produce testing QA requirements and so that you get service that has been available at the the best value for money.”

Melbourne Market since 2001. It is the largest and most comprehensive testing program in Australian

THE BENEFITS OF USING FRESH TEST: • We have a dedicated and experienced team who know the industry and provide personalised service. We do all the hard work.

• By providing coordinated bulk testing from a central location, substantial reductions in administration fees have also been achieved. These saving are passed on to clients.

• Easy process to follow and only takes one phone call for all your testing.

• Results are easy to read and are turned around quickly.

• Duplication of testing has also been eliminated through the establishment of a database to manage the requests and results.

• All laboratories used in the FreshTest program are National Association of Testing Agencies (NATA) accredited.

TO GET YOUR PRODUCT TESTED, LET YOUR FINGERS DO THE WALKING: SMS: 0438 429 238 | Email: freshtest@freshstate.com.au | Phone: 03 9408 6627

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freshtest@ freshstate.com.au

DID YOU KNOW?

03 9408 6627

Fresh Test:

NEW IMPROVED SERVICE

> is available at the touch of a button and produce can be collected from the market floor

1. PRODUCE NOW COLLECTED DIRECTLY FROM YOUR STAND/STORE FOR TESTING

> is a daily service

TO FIND OUT MORE SIMPLY:

> is owned and managed by the industry > is the overall lowest cost option for produce testing in Australia today > handles the largest number and variety of produce samples in Australia, testing over 55,000 samples across 240 products since 2001 > is the only program to regularly test for microbial contamination on a large scale

2. OPTION TO ORDER ONE COMPLETE TEST AT ONE TIME AND AT ONE CHEAP PRICE

0438 429 238

ORDER YOUR REQUEST BEFORE 6AM

AND

freshtest@ freshstate.com.au freshtest@ freshstate.com.au

WE WILL COLLECT YOUR SAMPLES BETWEEN 6AM AND 7AM 03 9408 6627 Store 36, Melbourne Market, 35 Produce Drive Epping 3076 03 9408 www.freshstate.com.au/freshtest

6627

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Set on the shores of Safety Beach on the Mornington Peninsula, Provincia Food Store is certainly a destination worth visiting for holiday makers, residents and weekenders.

For the last two and a half years, this trendy little shop nestled beneath Mt Martha, has been serving gelato, cakes and pastries, deli items, cheeses, gourmet grocery lines, local wine and of course fresh produce to an enthusiastic and receptive crowd. It has been recording steady growth and become a popular foodie’s paradise on the Peninsula, just as owners Joe Amalfi and Jim Iacuone envisaged when they opened in December 2013.

Joe is a well known identity at the Melbourne Market having owned the wholesale business Brescia Wholesalers for 21 years. He has also been on the Fresh State Board for nine years, and Vice President for five of those years, as well as being a Fresh State Life Member.

A self confessed wholesaler for life, Joe sources the fresh produce for the store.

Joe says using the Melbourne Markets Credit Service is a better and more efficient way to do business. Provincia’s Accountant Anthony Amalfi agrees. “It is a lot easier with one invoice and one payment and saves time coordinating thirty or so different invoices. It is also a very good control.”

“I rely on suppliers advising me on the best produce available at the time,” he says. “It is in the wholesaler’s best interest to know about the produce they are selling and to also know what their customer wants and how they tick.”

Joe thinks wholesalers are getting really good at this and its something that has to continue. “Retailers want great quality and I am no different – it is one of the fundamental aspects of my business. These days quality has improved across the board from growers, wholesalers and retailers and it is great to see.”

In store, the fresh produce section is bursting with fresh niche lines as well as a balance of produce staples. “It is not a big space but it is all about quality rather than quantity.” The most popular lines

Italian honey and an Italian sauce that she said was ‘to die for’. Gluten free, Paleo, sugar free, European, delectable treats all tick the boxes to cover dietary requirements and have you reaching for your pocket to buy, buy, buy.

And then there is the delicatessen.

Managed by Miriam, the deli contains a huge variety of different meats and an assortment of antipasto in keeping with the Mediterranean feel. “This is not just a shop,” says Miriam, “it is a place that creates a feeling of trust and familiarity.” Her philosophy is simple ‘try before you buy’. “We like to have a lot of tastings on offer for customers to try and we order in stock that has a point of difference.” One of their products proving very popular and delicious are their grilled red peppers!

THIS IS NOT JUST A SHOP ... IT IS A PLACE THAT CREATES A FEELING OF TRUST AND FAMILIARITY. are avocados, bananas and truss tomatoes with local strawberries walking out the door in the summer. Baby pre packed carrots, figs, baskets of walnuts and unique well presented produce, make the shopping experience exciting for the consumer.

Once your eyes finish feasting on the colour and variety in the fresh produce section, you are led through a food lovers paradise of fresh and frozen boutique desserts and pastas, dairy selections and a large grocery line that is set to impress. A local from Rye was quick to comment on her favourite products in store being an Acacia

Joe is a strategist and believes in working ‘on’ the business as opposed to ‘in’ the business. As a first time retailer, he is the first to admit that he has learnt from mistakes made and it has been a trial and error process, however he is now confident their model is working well. His tips to creating a great retail space include building strong relationships, spending time and money on a great team, having a ‘point of difference’ and getting the four pillars working well (inventory, purchasing, controlling waste, staff administration). They have plans to expand their brand as well as extend the current store to take full advantage of their stunning beachside position so watch this space.

Since being online, the Credit Service has streamlined the process even further making distribution statements available 24/7 and located all online.

To find out more about the MMCS contact Paul on 9408 2267 or come along to the MMCS information breakfast session on Tuesday 26 July 2016.

The Provincia Food Store Team: Anthony (Accountant), Frank (Store Manager), Sue (Grocery, Dairy Manager), Joe (Director), Paul (Café Manager), Miriam (Deli Manager)

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It is the middle of winter and there is no better way to warm your tummy and stay healthy than by eating some delicious spaghetti and we are not referring to your average spaghetti pasta!

Vegetable spaghetti (also referred to as spaghetti squash) is trending in Australia. It is a pale yellow (or off white) oblong sized squash which grows on a vine like a zucchini, cucumber or pumpkin.

In fact, the squash is very similar to a pumpkin but not as heavy. It looks like a pumpkin when cut, and has seeds like a pumpkin that can be baked and eaten. It even has flesh like a pumpkin when raw. However, the squash is transformed when you cook it which is why is it now becoming such a sought after vegetable.

“Those who like it, love it” says Vince Brancatisano from VB Veg at the Melbourne Market. “They are really fanatical about it which is unusual for a vegetable.”

VB Veg have been selling vegetable spaghetti for the last five years encouraged by grower Paul Milano from Milano Brothers in Swan Hill.

spaghetti and have been persistent with the vegetable through the peaks and troughs,” continues Vince. “They do a great job marketing directly to the consumer through their popular Facebook Page and regularly ring up to see which retailers are buying their product.” Vince says the buyers/ retailers then get listed on the Milano Brothers website, so consumers know where to shop.

People are actively looking for grain free alternatives and this is perfect.”

The popularity of this niche vegetable line has been proven on the market floor with sales increasing. “We used to sell 48 boxes every two weeks and now it is 100 boxes on a good week,” says Vince. The squash has a seasonable demand with spikes in the winter and has a specific audience.

THE POPULARITY OF VEGETABLE SPAGHETTI GOES HAND IN HAND WITH THE GROWTH OF THE PALEO DIET AND DIAGNOSIS OF COELIAC DISEASE IN THE COMMUNITY. PEOPLE ARE ACTIVELY LOOKING FOR GRAIN FREE ALTERNATIVES AND THIS IS PERFECT. Spaghetti Squash contains folic acid, potassium, vitamin A and beta carotene so it is a great low calorie and low carbohydrate option for those who are health conscious or with grain intolerances.

“We have found the popularity of vegetable spaghetti goes hand in hand with the growth of the Paleo diet and diagnosis of coeliac disease in the community.

“The Milano Brothers are very passionate about their vegetable

Dick and Vince Brancatisano from VB Veg have been selling the popular Milano Vegetable Spaghetti for the last five years and as its reputation grows, so do sales. Try it for yourself and you be the judge.

“The more consumers know about this vegetable, the more popular it will become. It is the consumer that drives the sales and the grower who is leading the charge with the marketing."

21

THE SQUASH IS VERY SIMILAR TO A PUMPKIN BUT NOT AS HEAVY. IT LOOKS LIKE A PUMPKIN WHEN CUT AND HAS SEEDS LIKE A PUMPKIN THAT CAN BE BAKED AND EATEN. Dick Brancatisano enjoys his spaghetti with a bit of pepper and salt but you can also eat it with one of your favourite sauces like Bolognese or Pesto!

See page 22 for recipe.

FAMOUS VEGETABLE SPAGHETTI GROWERS, THE MILANO BROTHERS, ADVISE THE EASIEST WAYS TO COOK THEIR SQUASH:

BAKE IT Pierce the whole shell several times with a large fork or skewer and place in baking dish. Cook the Vegetable spaghetti in preheated 190ยบC oven approximately 1 to 1 1/2 hours or until a sharp knife can be inserted with little resistance.

BOIL IT Heat a pot of water large enough to hold the whole Vegetable spaghetti. When the water is boiling, put in Vegetable spaghetti. Cook for 20 to 30 minutes.

Spaghetti is ready when fork goes easily into the flesh.

SLOW COOK IT Choose a smaller Vegetable spaghetti (unless you have an extra large slow cooker) so that it will fit.

Add 2 cups of water to slow cooker.

Pierce the whole shell several times with a large fork or skewer, add to the slow cooker, cover and cook on low for 8 to 9 hours.

Once the Vegetable spaghetti is cooked, cool for 10 to 20 minutes before cutting in half and removing the seeds. Pull fork lengthwise through the flesh to separate it into long strands.

MICROWAVE IT Cut Vegetable spaghetti in half lengthwise; remove seeds. Place the cut sides up in a microwave dish with 1/4 cup water. Cook on high for 10 to 12 minutes, depending on size of squash.

You can do these steps ahead of time, then prepare any of the Vegetable spaghetti recipes whenever the mood strikes.

Then just add butter, pasta sauce or whatever you would do with normal spaghetti.

22

RECIPE

OF AFFAIRS

issue 33 jul 2016

OF AFFAIRS

OF AFFAIRS

er Spaghetti Squash v o o t s e P h c a n i p S

YOU NEED:

METHOD:

> 1 spaghetti squash, cut in half lengthwise, seeds removed and reserved

1. Begin cooking spaghetti 6. Add 1/2 cup of the olive squash following the ‘bake oil and process until fully it’ instructions on page 21. incorporated and smooth.

If desired, add salt and 2. Remove squash from pepper to taste. oven, and set aside to cool until able to be easily 7. If serving immediately, handled. add remaining oil and mix until smooth and 3. Cut in half, remove seeds top with cheese. and discard.

8. If allowing to set, 4. Scrape the stringy pulp refrigerate and add from the squash with a remaining oil and cheese fork to form noodles and when ready to serve. place in a medium bowl (1 cup per serving).

9. If freezing, transfer to container and drizzle Meanwhile, while squash remaining oil over the top. is cooking, make Pesto.

Freeze for up to 3 months.

5. Place spinach, garlic, pine nuts, lemon juice, and lemon peel in a food processor or blender, and process until coarsely chopped.

> 2 tablespoons olive oil TO MAKE SPINACH PESTO: > 2 cups packed fresh spinach leaves > 2 cloves garlic > 1 /4 cup pine nuts, toasted (or substitute sunflower seeds) > 2 tablespoons fresh lemon juice and 1-2 teaspoons grated lemon peel > 2 /3 cup extra-virgin olive oil, divided > S alt and freshly ground black pepper, to taste > 1 /3 cup Parmesan cheese, finely grated

To put it together: Place spaghetti squash in a bowl. Top with a protein source such as cooked chicken, quinoa, mild-flavored beans or cooked lentils.

Top with spinach pesto.

Bellissimo!

SOURCE: milanobrothersvegetablespaghetti.com

23

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24

SPECIALISE HOT TIPS: • Develop strategy • Concentrate on where you want to go in a competitive environment • Aim on being the best “A solo performance can only last for so long but an orchestra is stronger, louder and long lasting.”

Looking at the road ahead and the concept of change was the backbone of this year’s Fresh Connections conference held in sunny Brisbane. A poignant topic in an industry with a supply chain that can be archaically static in some ways and yet highly innovative in others.

Strategic development expert Michael Jackson highlighted the need for a point of difference when thinking about your business’s success. “There is now a brand new formula,” he stated. “Past plus present equals the future.”

Michael challenged the audience to find the ‘uniqueness in their business and focus on the destination. “Our western culture spends too much time looking backwards and not enough time looking forward,” he said, comparing our antiquated systems to China where they are transacting $486 billion worth of business every single day.

How has China done it? Michael says it is simple – the Chinese have based their business success on the teachings of Confucius – “Life is simple; human beings complicate life.”

PAST + PRESENT

= THE FUTURE Put these three basic rules into action as a guide to be more like Confucius: 1. SIMPLIFY • Identify what’s important to you • Eliminate everything else • Automate, delegate, get help

Confucius Life is simple.

Human beings complicate life.

2. SMARTEN UP • Innovate • Use common sense and behave well • Set standards 3. SPECIALISE • Progress through particular skills, products, solutions or services

• A continuous strategy of researching, tuning, refining and developing • Focus on your point of difference Human beings have a habit of getting stuck doing what we have always done and the old saying rings true “nothing changes if you don’t do anything differently.”

A key message was to change from our unconscious behavior where we are locked on ‘auto pilot’ to making the switch to a conscious behaviour which is essential to business growth. A conscious state pushes us out of our comfort zone. “Only consciously can we create our future,” continued Michael.

specialise

smarten up

SMARTEN UP HOT TIPS: • Be conscious of what you do • Respond to change • Minimise bureaucracy • Add team value • Fight competitively • Grow markets

simplify SIMPLIFY HOT TIPS: “Life is really simple, but we insist on making it complicated.” Confucius.

Michael believes the future doesn’t just ‘happen’ and that in fact we need to engineer it. This makes sense and something that the Melbourne Market community can put into action.

Packaging and logistics are forever reinventing themselves due to the nature of their product/service, but now is the time for growers,

are successful, the better off we all will be,” continues Shane.

If the past plus the present equals the future, then the Melbourne Market community has a lot to look forward to. We THE FUTURE DOESN’T JUST ‘HAPPEN’ – “The business have a colourful long environment WE NEED TO ENGINEER IT. THIS IS SOMETHING history and we are has changed currently adapting to THAT THE MELBOURNE MARKET COMMUNITY a new market. This can at Epping and we have all had only mean we have the CAN PUT INTO ACTION. to change with potential for a very, very it to survive,” bright future, so pop agrees Shane Schnitzler, Fresh State on your sunglasses, channel Confucius wholesalers and retailers to really step President. and buckle up for the ride. up to the mark as well.

“The next step, if you haven’t done “Find the best part of your business, this already, is to look at each of your build your team and create a strategy business models and plan out where so that not only your business prospers you want to go in the future so that but the whole industry does as well. you are not stuck on the shelves with The more businesses in the market that a used by date of 2020.”

26

OF AFFAIRS

Q&A:

issue 33 jul 2016

OF AFFAIRS

JOHN KONIDARIS

OF AFFAIRS

“SOMETIMES YOU JUST HAVE TO TAKE ADVANTAGE OF AN OPPORTUNITY BECAUSE A LOT OF OUR EXTENDED FAMILY ARE NOT AROUND ANYMORE”.

WORKS: As the owner of J & J Café previously known as Café 1 or Rando’s Café

THE QUALITY I RESPECT MOST IN AN EMPLOYEE IS: Loyalty, cleaniness and someone well presented.

MY FIRST JOB WAS: As a musician playing guitar and singing traditional Greek songs with my band Akropolis.

I AM PASSIONATE ABOUT: Delicious Greek food – my favourite is Pastitsio with a good red wine.

SUBURB WHERE I LIVE: Reservoir.

AS I HAVE GROWN OLDER I HAVE LEARNT: To respect myself and then by default you respect others.

MY FONDEST MEMORY IS: Being famous as a popular singer in Greece. I started singing when I was 13 years old.

MY BUSINESS ASSOCIATES WOULD SAY THAT I: Am a good operator, hard worker and friendly.

MOST OF MY DAY IS SPENT: Working in the café from 10pm until 1pm the following day.

THE FOOTBALL TEAM I BARRACK FOR IS: Collingwood.

MY FAVOURITE MELBOURNE MARKET MOMENT IS: When all my friends are around me in the café.

THE QUALITIES I MOST ENJOY ABOUT MELBOURNE MARKET ARE: It is like a home to me. I have seen the same people every day for the last 37 years and we are getting old together.

IN MY SPARE TIME I ENJOY: Going on holidays with my family.

John Konidaris from popular J & J 's Café in the market, only planned to stay in Australia for a couple of years when he came over from Greece at the age of 20.

THE ASPECT OF MY JOB I LIKE THE MOST IS: Cooking.

THE THING I DISLIKE THE MOST IS: When someone promises you something but they don’t deliver.

and has been here ever since, now owning the business outright. The biggest change he has seen over the years is in deliveries. At Epping, J & J’s have three buggies that are used to deliver food and coffee but the café itself still has a humming atmosphere as market regulars enjoy their traditional morning breakfast.

WHEN I WAS A CHILD I WANTED TO BE: A doctor.

THE PLACE IN THE WORLD I WOULD MOST LIKE TO GO IS: Back to Paris. I have relatives there and everything is at your fingertips.

MY FAVOURITE FRUIT OR VEGETABLE IS: Tomatoes.

One of his fondest memories is when his oldest son Jimmy got married in Greece. “We took the whole family back to Greece and caught up with all the relatives and had a great time,” he said. “Sometimes you just have to take advantage of an opportunity because a lot of our extended family are not around anymore.”

“That was the trend back then,” says John. “You came over for three to four Family is very important years to make money to John – both his and then went back THE KONIDARIS FAMILY HAVE MAINTAINED biological family at home to Greece.” But, as fate and his market family would have it, John A TRADITIONAL GREEK UPBRINGING AS that he has spent over met his wife, Maria half his life with. He JOHN WOULD SAY, SIMILAR TO THE MOVIE and they have never has plans to continue looked back. With ‘MY BIG FAT GREEK WEDDING’. travelling and says given four children and five the right circumstances grandchildren, the As well as being a famous Greek he might even pull out his beloved Konidaris family have maintained a teenage singer, John has also dabbled guitar and sing a song or two so keep traditional Greek upbringing as John in harness racing owning a few winners your eyes and ears open. would say, similar to the movie ‘My big in his day.

“I still enjoy a few bets on the fat Greek wedding.' races but that is about it these days John started working in the market because I am working so much”. back in 1979 when he bought a share of Rando’s Café (now known as J&J’s)

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