Cranberry  Stressline Archives

To Feb. 28, 2001 

Scroll down for the following articles

 

Lawsuit against Ocean Spray withdrawn
Zeadey's group now Massachusetts Cranberry Growers' Coalition
Minute Maid enlists Mickey and Pooh to target kids market worldwide
Open Letter to Ocean Spray Growers, by John Swendrowski
Associated Press goes national with cranberry story
Op-Ed
- Free Market vs. Volume Regulation: Who will make this decision
 by Doanne Andresen
Op-Ed - Northland's view on reaching a compromise on a 2001 marketing order:
Let’s look at the numbers to see where Ocean Spray and Northland differ,
by John Swendrowski.
Seeking a Cranberry Compromise: Ocean Spray, others need to strike agreement on details of 2001 crop limit

by Jack Crooks
, Director of Grower Relations, Ocean Spray.
Coke , Procter & Gamble create giant world-wide juice and snacks company

FSA: Update on Cranberry Market Loss Payment
French company goes public with complaints about Ocean Spray
Is Ocean Spray missing a sales opportunity in France?
Purple Grapes vs. Oranges
Harry Potter's Juice Express
FDA warning reverberates through food industry
Op-Ed
- No need for a marketing order, by John Andresen
Op-Ed
- Marketing Order Referendum,
by Doanne Andresen
Editorial - On the FDA and doing what's right
 


Lawsuit against Ocean Spray withdrawn

2/28/01 The law suit filed last December (see Stressline articles)  has been dismissed without prejudice* by the plaintiffs,  Ocean Spray growers Howard Morse, Garfield Demarco and Lawrence Harju. This leave open the option of bri In a letter to Ocean Spray growers, Harju expressed the belief that the 37% vote of support at the Ocean Spray Annual Meeting in February for the release of information generated by professionals who studied the cooperative was significant. He noted that even the brief summary which was given at the Annual Meeting placed the value of Ocean Spray at over $1.5 billion. CONTINUED

* Dismissal without prejudice: When a case is dismissed but the plaintiff is allowed to bring a new suit on the same claim.

Zeadey's group now Massachusetts Cranberry Growers' Coalition

2/27/01 -- Rather than disband after the success of the petition in expressing the sentiment of many growers, the Zeadey's group has gone on to organize further to explore other ways Massachusetts cranberry growers can use the power of their numbers to benefit each other.

  ARTICLE


3/1/01 Related article in
Wall Street Journal

Juice Wars

Minute Maid enlists Mickey and Pooh to target kids market worldwide

2/28/01 The Walt Disney Company and The Coca-Cola Company today announced an agreement to market innovative and nutritious children's beverages globally under the Disney brand. Press Release



2/26/01 U.S. Senator John Kerry (D, MA) met with 
members of the CCCGA board today to  learn
about the main issues facing the growers of
Massachusetts and to identify several projects
that the Senator would like to work on on
behalf of the growers. Enlarge picture


Open Letter to Ocean Spray Growers

By John Swendrowski

2/26/01 - Since Ocean Spray holds four of the eight seats on the Cranberry Marketing Committee, it is impossible to invoke a Marketing Order without the Ocean Spray vote. Likewise, since Independents hold three seats and a two-thirds vote is required to invoke a Marketing Order, no Order can be invoked without the Independent vote. CONTINUED


Misc. news: 

"MANIC STREET PREACHERS' song 'OCEAN SPRAY' has been deemed too "morbid" to be used in advertising campaign".. and Ocean Spray is owned by Gerber?

Snapple Cranberry Iced Tea: “In our search for the next big iced tea, we were really looking for a well-rounded fruit... With a tart and refreshing personality, combined with the iced tea flavor that consumers love, cranberry just felt like a natural fit for the Snapple family.... With the soaring popularity of cranberry drinks and the strong demand for iced tea, we believe bringing Cranberry Twist on board will ensure that the best stuff keeps getting better.” From Beverage Online

Clements, the Florida citrus company which makes Indian River Grapefruit and Orange, is opening markets in China, and has added cranberry to its export line. Beverage Online


Op-Ed

by Doanne Andresen: "Free Market vs. Volume Regulation: Who will make this decision


Seeking a Cranberry Compromise:

Ocean Spray, others need to strike agreement on details of 2001 crop limit

By Jack Crooks, Director of Grower Relations, Ocean Spray

Article

Associated Press goes national with cranberry story

2/26/01 Associated Press reporter Justine Pope writes about the plight of the cranberry industry in his article "Industry tries to save itself." Pope attended a subcommittee meeting in Warwick, Rhode Island where he observed the interaction between key players. He writes:

 Too much fruit, too many interests, and too many personalities.
 That, in a nutshell, is the state of the cranberry industry, a strange little slice of the economy where cooperation and competition coexist fitfully, where the players all know each other maybe just a little too well, and where forging agreements is part business, part politics.

AP illustrated article from the 2/25/01 Standard Times
also text only articles from the 2/26/01  Boston Globe, Concord Monitor, and other papers.


Op-Ed

Northland's view on reaching a compromise on a 2001 marketing order
Let’s look at the numbers to see where Ocean Spray and Northland differ.

by John Swendrowski, 
President, Northland Cranberries
Article


Coke , Procter & Gamble create giant world-wide juice and snacks company

2/21/01 - Coke and P&G have co-partnered in an enterprise that will focus on developing and marketing innovative juices, juice-based beverages and snacks on a global basis. According to their press release, the new company combines Coca-Cola's worldwide distribution, merchandising and customer marketing prowess and P&G's and development capabilities -- including Minute Maid® and Sunny Delight®. 

Coke CEO Douglas Daft said ``The Minute Maid Company has been a significant contributor to The Coca-Cola Company's total non-alcoholic beverage product offerings. Our investment with P&G will enable this company to focus its energies on creating even more health and wellness product offerings faster and more efficiently than either company could do on its own. At the same time, we will benefit from the combined scale of this new company.'' 

Today's Wall Street Journal reports that "Last year, Tropicana had global sales of $2.4  

billion compared with Minute Maid's estimated $2.2 billion. But in the important segment of refrigerated sales in grocery stores -- a faster-growing and more profitable segment -- Tropicana's U.S. sales of $1.6 billion last year outstrips the combined sales of Minute Maid and Sunny Delight, according to industry publication Beverage Digest." 

The new company is expected to generate sales of $4 billion, and is likely to escalate the juice war between Coke and Pepsi. Both companies have, at various times, expressed interest in acquiring Ocean Spray in order to expand their juice lines more aggressively into cranberry juice and cranberry juice blends.  

 Read release here.

 

FSA: Update on Cranberry Market Loss Payment

2/21/01 - The deadline to sign up for the Market Loss Payment will be extended a least a couple of weeks. The rules have not been published in the Federal Register therefore the sign up cannot be closed. This also means the payments will be delayed.

Growers should not be alarmed if they have not received confirmation that their application was received. Apparently, the FSA Office in Washington is in the process of filling out the return receipt requests as they process the applications.

Other FSA programs: County FSA offices are accepting applications for the 2000 Crop Disaster Program. Producers that suffered more than a 35% crop loss in crop year 2000 may be eligible for a payment. The sign up deadline is open at this time because the rules have not been published in the Federal Register. There should be a quality adjustment program announced later in the spring to address producers that marketed fruit but were penalized because of poor quality. These rules are still being written and will also have to be published in the Federal Register.


  French company goes public with complaints about Ocean Spray
Tropicana also criticized

2/21/01 -- The principles in the French company DD & Cie (Clergeau Iradi Associés) have provided further information about the letter sent to Ocean Spray with a copy to Stressline which was discussed in the article below. They would like this information shared with the cranberry community at large.  Ocean Spray was invited to respond to the letter to Mr. Lloyd on Tuesday morning, but has yet to do so. CONTINUED


Purple Grapes vs. Oranges

2/20/01 A study, co-funded by the The Florida Citrus Commission and The University of Scranton with provided by Welch Foods, Inc., was described in a press release issued today. It pitted grape juice against orange juice to determine which had the greater anti-oxidant effect. Grape juice won hands down. In fact, the researcher noted that "grape juice was very effective, but orange juice had no antioxidant effect.'' Read Press release.


Is Ocean Spray missing a sales opportunity in France?

2/20/01 - Is Ocean Spray missing a sales opportunity in France? This might be the case if an unsolicited letter which was received at Stressline yesterday is any indication. The company, Clergeau Iradi Assoiés, sent Stressline a copy of a letter to Malcolm Lloyd,  Ocean Spray's vice president for International Sales.  According to the text of the letter, this company "has possessed for some time now a duly registered patent specifically protecting both the marketing and sale of cranberries and cranberry products within the boundaries of State of France, as well as its surrounding neighbors." 

Writing about a letter to Ocean Spray which they sent "some time ago" about a proposal to introduce cranberries and cranberry products to France and its neighboring countries, company president D. Clergeau writes that there has been no response, noting that "it is our sincere hope that no misfortune is responsible for this unexplained breach in communications." 

Clergeau goes on to write "Given this indisputable fact, PLEASE BE ADVISED that it is necessary for your company to contact us in a timely manner, so as to negotiate the conditions by which you may legally market and sell your cranberry products in the aforementioned territory(s). In the absence of said timely response, it will no doubt become necessary for us to seek satisfaction via the other means which are readily afforded us."

Stressline has no  knowledge of the background of this company or the facts of this matter and  has invited Ocean Spray to comment if it wishes.

Text of Clergeau letter


Third Marketing Order meeting scheduled

2/15/01 (Revised) The CMC subcommittee reached a consensus that a producers allotment to reduce the supply of fruit was in the best interest of the growers in order to increase the price paid to them to cover their costs. Handlers will need to decide amongst themselves on the size of a reserve pool for those who won't have enough fruit to meet their needs. There are still significant differences between Ocean Spray and the independents on the number of barrels that should be in this pool. Handlers were encouraged to make progress in their own negotiations before the subcommittee meets again by conference call on Feb. 26th to come up with a final plan to establish a pool, and to make a final recommendation to the full committee.


Editorial

On the FDA and doing what's right

2/11/01 -- On Sunday, Feb. 4th at the Cranberry Marketing Committee meeting, Ocean Spray executives and Ocean Spray members of the CMC were among those who attended a seminar conducted by Jere Downing of the Cranberry Institute on promoting the health benefits of cranberries. He repeatedly emphasized how important it was to assure that any health related studies on the benefits of cranberry juice be judiciously reviewed before they were used to promote cranberries. He stated in no uncertain terms how the industry could be damaged if the most rigorous standards weren't adhered to in the process of disseminating the results of scientific studies.

CONTINUED

 


Harry Potter's Juice Express

2/20/01 Coke is expressing confidence in its growth plans for 2001 and is looking to build its non-carbonated beverage brands. No surprise as soda has been flat for some time. The big surprise is that Coke has inked a $150 million deal with Warner Brothers to be the sole marketing partner for the upcoming Harry Potter movie. According to Coke's press release, marketing programs will encompass the flagship brand Coca-Cola and the ``Kids Portfolio'' of The Minute Maid Co., which includes drinks such as Hi-C and Minute Maid juices. 


Media:

2/17/01 Ocean Spray claims irk FDA in The Cape Cod Times

2/17/01 German POWs helped build WI cranberry marshes in the WR Daily Tribune

2/14/01 New York Times: FDA warns Ocean Spray  on site

FDA warning reverberates through food industry

2/12/01 Although the mainstream press has yet to widely publicize the FDA warning letter to Ocean Spray, trade groups recognize the significance of this action. They are beginning to communicate with their members. For example, one commodity association calls the new FDA position "ground breaking." CONTINUED

Op-Ed

No need for a marketing order
By John Andresen

2/12/01 Ocean Spray has a surplus and is competing for market share. It is asking the industry to help bail it out of this situation, and asking growers to go out of business in the process. CONTINUED

In the news: Growers group may take legal action, in the Brockton Enterprise archives, go to Feb. 10, 2001

Op-Ed

Marketing Order Referendum
by Doanne Andresen

2/11/01 -- In 1995, "The Freedom to Farm Act" declared marketing orders illegal for most major commodities. They remained in effect for some small commodities. But the growers did have a right to vote every four years to end the Marketing Order. CONTINUED

Related: This document was prepared for growers in Wisconsin by David Farrimond.It explains the withholding and the producer allotment programs.


Previous edition

Ocean Spray in receipt of F.D.A. warning letter

Ocean Spray warning could be test case for entire food industry

Ocean Spray kept health claims online

Editorial, "Failure" on Cranberry Marketing Committee meeting and
related Op-Ed by Linda Rinta "I wish you were there."

Economic analysis by John Coffin, "Can your farm survive?"

Wall Street Journal: "FTC Raises Scrutiny of Deal Between Pepsi and Quaker Oats" 

and "NPR's Jason Beaubien reports on Morning Edition (Feb. 5, 2001) that the
nation's largest cranberry-growing cooperative of farmers is on tenuous financial ground.

It wants growers to be required to reduce cranberry production."

HERE