REMA FOODS MARKET FLASH Aug 6, 2013
TRADE: The bill introduced to extend GSP was not approved. As of Aug 1, GSP-eligible goods are no longer duty free. Items affected include pickles, baby corn, pepperoncini and capers. There is still hope that a retroactive extension will be passed at a later date.
The Food and Drug Administration issued a final rule defining and setting conditions on the voluntary use of the term “gluten-free.” This rule will be applicable to both imported and domestically produced foods once effective Aug 5, 2014. In addition to other requirements, the regulation sets a threshold for gluten of less than 20 parts per million in foods that are labeled "gluten-free," “no gluten,” “free of gluten,” and “without gluten.”
A port strike in Naples which began July 22nd finally ended on July 31st. Here in the U.S., severe congestion continues throughout the NY/NJ Port. The situation has been ongoing since early June when Maher Terminals encountered problems with a new terminal operating system. Truckers are arriving as early as 4:00 AM and waiting as long as 12 hours to pick up from the pier. Delays have made it difficult to remove import loads before free-time expires and demurrage charges begin.
Some overseas firms are closed for Ramadan holiday from August 5-10.
CURRENCY: euro/dollar relatively steady at the moment.
PEACHES: The figures from Greece are not promising; Greek fruit crop will be down more than 50% compared to last year. Canned fruit production is expected to be 41% lower. Raw material price is up 32% compared to last year.
TOMATOES: Italian tomato crop is set to begin this week (around Aug 8th); it is still believed that the crop will come in about 30% shorter than last year.
ARTICHOKES: Peru is set to begin their crop and initial opening prices are higher than the current market in Spanish. Claiming higher productions costs as a reason, the Peruvians are nevertheless having a hard time concluding bookings. Time will tell at what level the market settles.