March/April 2023 - 7

POST-COVID PROCESSING FACILITY
U.S. exports totaling $632.7 million in
2021 - is produced.
Respondents to the Produce Processing
survey, conducted from January to
February, bore out Treacy's observations.
Seventy-eight percent said their
processing facilities were back to preCOVID
production, though the majority
has seen costs rise.
Increased pricing for fruit or vegetable
processing since the pandemic was
reported by 87.5% of respondents, some
of whom reported downturns in product
sales and orders. Nearly 63% said they
are still experiencing supply chain issues,
and 56% have added new logistics or
shipping methods.
" We always had to deal with weather -
a frost or a drought or a flood. We've
had to deal with markets shutting down
and opening up, and that nonweather
variability seems to have quelled, at least
on the product - selling and growing
fruits and vegetables, " Treacy said.
" What is still affecting them is every
now and then, a port or an area of China
will go on quarantine and lockdown,
and what used to be a four-week lead
time balloons to a four- or five-month
lead time. ... We're still seeing some
Of those who reported less
manual labor, several said
they used or had begun to
use more automated labor
to address shortages, while
one responded, " I wish we
could afford it. "
of that variability. When they cut the
deal, everything looks good, and all of
a sudden, they get a call and that says,
'Yeah, your product's in a port in Shanghai
and they just shut down the port for a
week because of another COVID breakout.'
Less so, but it's still happening. "
That was clear among survey
respondents to a question about logistics,
56% of whom said they had added new
logistics/shipping methods since the
pandemic.
On the subject of demand, 62.5% of
respondents reported more demand since
COVID, while an even 50% reported
having more manual labor.
Of those who reported less manual
labor, several said they used or had begun
to use more automated labor to address
shortages, while one responded, " I wish
we could afford it. "
That squares with what IFPA members
are experiencing, Treacy said.
" We're seeing more automation and
mechanized solutions. If you can't find
people and you can afford a machine, that
may replace the need for them, " he said.
" The ROI is making more and more sense
now. People are really trying to squeeze
every last cent out of their investments. "
Companies are also getting more
creative in hiring and retention practices
when it comes to their human workforces,
Treacy said. They're scouting job fairs and
beefing up benefits packages to attract
and keep workers.
" Farm labor always had a challenge,
 Source: International Fresh Produce Association
and it's more of a challenge today. Other
jobs were stable, " he said. " But right
now, everyone's trying to hire at every
position, from warehouse and drivers all
the way through white collar. ... There's
huge competition for labor out there,
especially hourly labor. "
PRODUCE PROCESS ING
7
March/April 2023

Table of Contents for the Digital Edition of March/April 2023
