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Craig Cahill, Editor
ALC Perishable Logistics
360 B Audubon Road
Wakefield, MA 01880
(888) 368-5863 - Office
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Contributors
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Support Services
Kenny Lund, V.P.
Lenny Sciarappa, Mgr.
800.381.LUND (5863)
Los Angeles
Tracey Lewin, Mgr.
800.300.LUND (5863)
Orlando
Shaun Leiker, Mgr.
800.290.LUND (5863) PhoenixMatt Minthorn, Mgr. 800.761.LUND (5863) Portland Steve Hull, Mgr. Denton Davison, Asst. Mgr. 800.999.LUND (5863) Rochester Paul Brunelli, Mgr. Fred Huberlie, Natl. Accts. Mgr. 800.953.LUND (5863) San Antonio Troy Magers, Mgr. 800.456.LUND (5863) San Francisco Bob Rose, Mgr. Chris Raihl, Asst. Mgr. 800.876.LUND (5863)
Outside Services
Chris Wozniak, Mgr.
413.247.8355
Carrier Development Bill Bess, Director 877.915.LUND (5863)
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Let it Snow
We have had some incredible (and very much needed) storms throughout the country which made me wonder if we are finally getting over the hurdle of the moderate to severe drought conditions facing our nation's farms and ranches. After some investigation, I came to find the simple answer is no. We are, in fact, far from ideal conditions with respect to precipitation in needed areas. According to the USDA's report on the World Agricultural Supply and Demand Estimates, extended periods of drought in 2012 affected 80% of the agricultural land in the US, which made this drought the most extensive since the 1950's. Immediate impacts affected the corn and soybean farms which, in turn, raised the price of feed for livestock. However, cutting back on herds reduced pricing in the 4th quarter of 2012. The long-term effects of the 2012 drought should be seen in large part over the next 10 to 12 months in packaged and processed foods such as cereal and corn flour. Additionally, the retail prices for poultry, beef, pork and dairy will be affected. It is expected that corn supplies will be 13% lower than forecasts of the 2011 and 2012 marketing year and costs should average between one to two dollars higher per bushel. Beef production is expected to decline another 4%, after a 2% decline seen in 2012. Again, the net result on lower production is higher prices. So where do we stand with the current precipitation outlook? California measures snowfall as a predictor for future water supply. Monthly surveys, are collected from forty cooperative agencies in 250 locations of the Sierra Nevada from January through April. The data is compiled on snow packs, and more importantly on snow melt, to give an accurate picture for water management. Currently, the outlook is predicting the state in a "moderate" to "above moderate" drought condition. Frank Gehrke of the Department of Water Resources, and Chief Snow Surveyor, points to April as the critical month to determine the short term outlook for the water supply of many agricultural areas. Despite the winter weather, roughly 67% of the contiguous US was experiencing at least "moderate" drought conditions with 6.4% experiencing "exceptional" drought conditions, an increase from the previously reported 6.31%. According to the National Drought Early Warning Outlook, 2013 continues to look grim due to serious implications to agriculture, navigability, recreation, and municipal water supplies with potential losses to the nation amounting to $35 billion. So as much as we're all ready for winter to subside, those late season snow storms working their way across the country are actually needed. Let it snow!
Chris Wozniak
Logistics Coordinator
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Chris Wozniak is Director of on site services with one of the company's largest produce transportation accounts. Chris has been with the Allen Lund Company for 8 years, specializing in third party on site services, supply chain management, and customer relations. Chris attended Pennsylvania State University and focused his studies on Business Logistics.
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About Allen Lund Company: Specializing as a national third-party transportation broker with nationwide offices and 350 employees, the Allen Lund Company works with shippers and carriers across the nation to transport dry, refrigerated (specializing in produce), and flatbed freight; additionally, the Allen Lund Company has an international division, ALC International, which is licensed by the FMC as an OTI-NVOCC, and a logistics division, ALC Logistics.
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The content of this email is intended to provide information on the perishable commodities industry and is promotional in nature. Reliance should not occur on the content of this site other than to generally advise the reader as to such industry and no action should be taken in reliance on this site's information. With the exception of the Allen Lund Company website, ALC is not responsible for any contents linked or referred to from these pages. The copyright for any material created by ALC is expressly reserved but content on this site, in whole or in part, may be used, reproduced, or republished without ALC's prior written consent provided that ALC is identified as the source. Privacy Policy: If the opportunity for the input of personal or business data (email addresses, name, and addresses) is given, input of these data takes place voluntarily and with no assurances of limited distribution, use, or restricted access by ALC.
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Newsletter Topics
You are a Valued KIF reader. If you have an idea for a topic you would like explored in a future edition, please let us know. Your feedback is appreciated! Sincerely, The Keeping It Fresh Team
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