industry insight

In business, it’s important to trust . . . but also to verify.  Whether you want to buy or sell U.S. produce, it can sometimes be tricky deciding who to deal with and verifying their credentials. When it comes time to make a move, The U.S. Department of Agriculture’s Perishable Agricultural Commodities Act (PACA) division can help.

PACA facilitates fair trading practices in the marketing of fresh and frozen fruits and vegetables in interstate and foreign commerce thereby ensuring that dealers get what they pay for and also get paid for what they sell—even if customers go out of business, declare bankruptcy, or refuse to pay for produce received.

When it comes to expanding market share, increasing revenue and getting the word out about a great product or commodity, checkoff programs prove that there’s strength in numbers. Officially called research and promotion programs, checkoff programs give agricultural producers, importers and other stakeholders in the marketing chain the power to maximize resources while managing risk.

The strategy for increasing or expanding commodity markets takes more cooperation within the industry than competition between individual farms and businesses.  Consumers may not know exactly which farm grows or raises their fruit, beef, cotton or lumber, but they will decide what to buy based on knowledge, quality and availability.

The consumer’s perspective that there is a general uniformity to some commodities serves as the catalyst for many individual farms and businesses to collaborate on a comprehensive, industry-wide strategy to expand markets.  Promoting a commodity as a whole instead of by individual businesses means everyone in the industry benefits through increased sales, consumer awareness and higher overall demand.

Denim jeans are versatile because you can wear them for almost any occasion, but there are even more ways they can be used outside of your wardrobe.

Cotton. From Blue to Green® transforms used jeans into UltraTouch ™ Denim Insulation for communities in need. This amazing project uses an environmentally responsible process to help jump start rebuilding communities.  The program has partnered with many organizations, including Habitat for Humanity affiliates, to install home insulation for victims of disasters such as Hurricane Katrina, and for those needing help to finish their homes.  They also offer grants to improve community buildings and partner with college and university campuses to host denim collection drives.

USDA’s Agricultural Marketing Service is expanding upon its traditional Market News reports to create interactive dashboards.  The dashboards, first launched in the summer of 2010, provide quick, easy access to volume and price information for cattle, hogs, and sheep.