The Future of Berries in the USA

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The Future of Berries in the U.S.A.

Ken Hopps

Sun Belle, Inc. Virginia State University

March 17, 2011

2011 Virginia Berry Production andMarketing Conference

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2011 Virginia Berry Production andMarketing Conference

The future of berries in the USA is bright and promising.

“Consumption of berry crops provided by the American berry crop industry will triple by 2020. As a result, the American berry crop industry will be viewed as a model of agricultural efficiency, sustainability and prosperity. Berry crop consumption will result in improved human health and nutritional and prosperity for rural and agricultural communities.”

Vision Statement: National Berry Crops Initiative

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2011 Virginia Berry Production andMarketing Conference

• Focus on price is important but it’s not enough. Sales and marketing strategies should address the following areas:

– Health and wellness.– Transparency and supply chain.– Taste, value and emotions.

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2011 Virginia Berry Production andMarketing Conference

• Health and wellness– Emotion is part of any purchase. By knowing the

health and medical benefits of berries, consumers will feel emotionally attached to the product. This will lead to loyalty and increased sales.

– As an industry we must do more to communicate and educate the consumer on the health aspects and nutritional benefits of consuming berries. • Berries are “Superfruits.”• Empower the consumer.• Berries are an important part of a healthy diet.

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2011 Virginia Berry Production andMarketing Conference

Berry Health Benefits

Anti-bacterial Anti-oxidant

Anti-viral Anti-carcinogenic

Free radical damage Urinary tract health

Eyesight Cholesterol reduction

High fiber Nutraceutical values

Anti-inflammatory Vitamins and minerals

Low Carb and low calorie Heart disease

Kid Snacks (ready to eat) -Change kids eating habits

Satiation - The healthful feeling & rush of eating berries

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2011 Virginia Berry Production andMarketing Conference

Health benefits - Sun Belle proactively involved• Berry health benefits symposium – Organizing committee chair.

• National Berry Crops Initiative (NBCI) – Board participation.

• USHBC (US Highbush Blueberry Council)– Board member.– Research committee.

• Blackberry R&P (research and promotion)– Organizational committee.

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2011 Virginia Berry Production andMarketing Conference

Sun Belle research and development• Raspberries

– Exclusive licensee for propagation and production of Erika raspberry variety. • USDA release from quarantine anticipated for summer 2011.• Mexico production success as taste, color and shelf life have

outperformed. Accepted as premier variety in the UK as determined by independent consumer taste panels.

• Establishing grower partnerships for USA production.

– Trial and development of Cornell University Selections.– Commitment to the East Coast with tunnel production.

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2011 Virginia Berry Production andMarketing Conference

Sun Belle research and development• Blackberries

– Taste, price and value proposition. Huge US consumption increase due to the Tupy variety. Sun Belle Mexico: 100% Tupy.

– Continuous varietal development directed by Sun Belle plant geneticist Dr. Nicole Hewstone.

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2011 Virginia Berry Production andMarketing Conference

Transparency and supply chain • Know who does what, when and where. Value added. • Embrace, adapt and accept new legislative food safety

requirements. Paradigm shift from detection to prevention.

• Embrace sustainability.

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2011 Virginia Berry Production andMarketing Conference

Value, taste and emotions• Demand to be fueled by taste and value.• Consumers demand the best price but they also want to

feel good about the product and its benefits. Make them feel emotionally attached to the product. Excellent value for the benefits, taste and emotion.

• Packaging and branding that consumers have come to trust. Berries are a key year round offering for retailers.

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2011 Virginia Berry Production andMarketing Conference

The Virginia story• Westmoreland Berry Farms

– Sun Belle’s domestic program began in Virginia 25 years ago. – Long term commitment to all of our domestic growers.

• Glocality. Sun Belle. Global brand. Local reach.– New state of-the-art Sun Belle Middle Atlantic (near Jessup)

distribution center with nearly 65,000 sq. ft., it will provide pre-cooling, QC and distribution services. Like our other facilities it will be Primus certified, with our own employees and refrigerated fleet (opening 2011).

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2011 Virginia Berry Production andMarketing Conference

• The Virginia Story

Berries

Geography

Growing Practices

Sustainable

Safe

Taste, appearance & color Mid Atlantic sweet spot Stewards of your lands

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2011 Virginia Berry Production andMarketing Conference

Consumer

Consumer driven berry marketing

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2011 Virginia Berry Production andMarketing Conference

The Global Picture• The case of Blackberries from a Mexican Perspective:

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2011 Virginia Berry Production andMarketing Conference

• Blackberries in the U.S.A.

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Variety100% Tupy

Sun Belle México S.A. de C.V.:Mexican Blackberries

•Varietal development directed by plant geneticist Dr. Nicole Hewstone, assisted by a team of technicians and agronomists..

Research & Development

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VarietyErika

Sun Belle México S.A. de C.V.:Mexican Raspberries

Research & Development

•Exclusive licensee for propagation and production of Erika raspberry variety.• Trial and development of Cornell University selections.

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Variety100% Biloxi

Sun Belle México S.A. de C.V.:Mexican Blueberries

Research & Development

•Blueberry breeding and license agreements with University of Georgia.•Experimental blueberry plots.

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Sun Belle México S.A. de C.V.: Los Reyes & El Atascoso, Michoacán Blackberries, Blueberries & Raspberries

Experimental Fields & Nurseries•Germplasm evaluation, varietal crossings.

•Plant propagation

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Sun Belle México S.A. de C.V.: Zapotiltic & Jocotepec, JaliscoBlackberries, Raspberries & Blueberries

Experimental Fields & Nurseries•New variety trials and propagation.

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3810 Rose StreetSchiller Park, IL 60176

T. 708.343.4545

Atascoso

3160 V Street, NEWashington, DC 20018T. 202.832.3900

2000 NW 70TH AvenueMiami, FL 33122T. 305.592.0005

5510 W. 102nd StreetLos Angeles, CA 90045

T. 847.609.0929

Sun Belle Inc.: U.S. LocationsAll Primus Certified

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2011 Virginia Berry Production andMarketing Conference

• Q & A• Thank you

Ken Hopps - ken@sun-belle.com(708) 343-4545