SUPPLY SCAN
NEWS FROM ACROSS THE FOOD SUPPLY CHAIN
NEW YORK INVESTING $15 MILLION IN LARGE-SCALE REGIONAL FOOD DISTRIBUTION
New York State Gov. Andrew Cuomo recently announced he was allocating $15 million toward building a food hub. The state-of-the-art hub is planned for the Hunts Point section of the South Bronx. The governor’s news was met with cautious optimism among organizations that consider the hub a means to end a distribution bottleneck between rural upstate farmers and urban downstate consumers. The 120,000-squarefoot indoor/outdoor market, which is expected to break ground in fall 2017, is hoping to make fresh produce more affordable in vulnerable communities.
A.P. MOLLER–MAERSK TO SEPARATE INTO TWO DIVISIONS: TRANSPORTATION/ LOGISTICS AND ENERGY
A.P. Moller - Maersk A/S will separate into two divisions; an integrated transport and logistics division and an energy division. The main growth focus of A.P. Moller - Maersk A/S going forward will be delivering transportation and logistics services as an integrated transport and logistics company. Building on the group’s position within container transport and port Image courtesy of Maersk.com operations, and in supply chain management and freight forwarding, Transport & Logistics will leverage its position through new product offerings, digitalized services and individualized customer solutions. “The industries in which we are operating are very different, and both face very different underlying fundamentals and competitive environments,” said Michael Pram Rasmussen, chairman of the board. “Separating our transport and logistics businesses and our oil and oil-related businesses into two independent divisions will enable both to focus on their respective markets.”
MAPLEVALE FARMS SUES CHICKEN PRODUCERS FOR MANIPULATING PRODUCTION TO DRIVE UP PRICES
Image courtesy of United Poultry Concerns at www.upc-online.org.
Daily Updates at FoodLogistics.com
Maplevale Farms, a New York food distributor, claims in an antitrust class action that Koch Foods, Tyson Foods, Perdue Farms, Pilgrim’s Pride, Sanderson Farms and others have conspired for eight years to reduce chicken production, pushing up the price of broiler chickens by nearly 50 percent. Maplevale Farms filed suit September 2 in Chicago federal court. Maplevale claims that since 2008 the wholesale price of broiler chickens has risen by nearly 50 percent while feed prices have dropped more than 20 percent—and not because of a free market. Poultry breeders faced a similar antitrust complaint of setting production levels and prices in the 1970s.
FOODSERVICE CHAINS MAKE PROGRESS IN RESTRICTING ANTIBIOTICS IN MEAT
Twice as many of the nation’s top fast food chains are responding to the public health concern about antibiotic resistance by adopting strong policies that prohibit the routine use of antibiotics, or medically important antibiotics, in the meat and poultry they serve. This is according to the second annual Chain Reaction report and scorecard, a group which grades America’s top 25 restaurant chains on their policies and practices regarding antibiotics use and transparency in their meat and poultry supply chains.
8
FOOD LOGISTICS | OCTOBER 2016
FLOG1016_8-10_SupplyScan_ES RG BZ.indd 8
Image courtesy of www.babycenter.com.
www.foodlogistics.com
10/11/16 3:00 PM