Fresh State of Affairs Issue 9

december

09 2011

ISSN: 1838-7829

fresh connections 2012 Member Fundraising Relocation Update

542 Footscray Road West Melbourne VIC 3003 tel: 9689 6711 fax: 9687 7849 email: kbmail@kapirisbros.com.au

bumper issue: christmas messages galore

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december 2011

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Relocation:

Market history:

Market hours:

A Summary of relocation in 2011 – the 7th year of the saga!

Melbourne’s Market history detailed from 1920 – 1939.

Shane Schnitzler From the President

And the clock is ticking for the Operator!

Welcome to the ninth edition of Fresh State of Affairs. Featuring our members Christmas wishes, a relocation update, our continuing series on the market’s history and Tony’s Take!

2011 – The Year that was

10

34

37

Tony’s Take:

Economic Update:

Fundraising: Fresh State

What’s in store produce-wise for the Summer season.

2011 in summary – the economic slow down.

Market traders donate for a good cause.

33 | Q&A: Claude Natoli

3 | President’s message

36 | Fresh Connections 2012

11 | Christmas Special Messages

38 | A Very Berry Christmas!

Published by:

www.freshstate.com.au tel: 03 9689 3233

Fresh State CEO: John Roach john.roach@freshstate.com.au Editor / Advertising: Sonja van Eijk sonjav@freshstate.com.au Contributors: Sally Piper sallyp@freshstate.com.au

Design: Flying Dog Designs www.fddesigns.com.au Photography: Wuttke Photography www.wuttke.com.au Casamento Photography www.casamento.com.au

To cap off these extraordinary events Cyclone Yasi then flattened the banana industry.

We commenced the debate on market hours and the shortcomings of enforcement of operating times from April. And by June we were still in the

32 | MMCS

Print: King Print www.kingprint.com.au Distribution: Fresh State of Affairs is produced by Fresh State Ltd and is a free publication.

Our members danced the night away at our second Gala Ball in September and Sam Kekovich entertained us at our AGM. We ended the year with still no details on our relocation from Gov-

and having a level playing field is not unreasonable.

The successful launch of our Young Executive’s Marketing Program for the independent green grocers in 2012.

The Federal Minister to finally implement the Code Committee’s recommendations to fix the Horticultural Code of Conduct.

A successful Australia Chamber Conference in 2012 which will be combined with the Fresh Connections Event in the last week of June. Melbourne is the venue and this will be our chance to showcase members businesses and have the fresh produce industries of Australia and New Zealand together in one place.

Thank you for all of your support through the year … Merry Christmas.

March saw the Australia Chamber Conference in Newcastle and at Fresh State we held our second Pit Stop health checks for the market community. Our guests included Kevin Sheedy and the Minister Napthine.

CONTENTS 2 | What’s on

The year started with the new State government reviewing all major projects including relocation of the Melbourne Wholesale Markets. The drought broke in eastern Australia flooding large parts QLD, NSW and Victoria. Brisbane Markets felt the full force of the floods and the huge support that came from our members in Brisbane’s hour of need was humbling to say the least.

dark as to whether we were relocating or staying at Footscray Road. That announcement was finally delivered on 20 July. We are moving to Epping in the 2014/15 year, a decade after it was first announced.

ernment; no Auditor General’s performance review; and no enforcement of operating hours; but with Fresh state in great shape!

2012 – The year ahead – Our wish list from Santa!

The full details of the relocation to Epping including equity rights, fitout, proximity warehousing, rent per m², allocation of store and location, rules of operation and transitional arrangements.

And Fresh State’s third Gala ball is to be held in mid October in time to appreciate the warmer weather.

On behalf of the Board and management I would like to thank you for all of your support through the year and wish each of you a Merry Christmas and a safe and prosperous New Year.

The enforcement of the operating hours at Footscray Rd would be a refreshing change by the operator

Shane Schnitzler – President Fresh State Ltd.

formation published in Fresh State of Affairs. Fresh State Ltd specifically disclaims all and any liability for loss or damage of any nature whatsoever and however arising, whether due to accuracy, error or omission or any other cause.

This work is copyright. Apart from any use as permitted under the Copyright Act 1968, no part may be reproduced by any process without prior permission from Fresh State Ltd. Requests and inquiries concerning reproduction and rights should be addressed to:

Disclaimer: Fresh State Ltd makes this magazine available on the understanding the users exercise their own skill and care with respect to its use. Before relying on, or altering any business practices, users should carefully evaluate the accuracy, completeness and relevance of the information for their purpose and should obtain appropriate professional advice relevant to their particular circumstances. This magazine contains views and recommendations that do not necessarily reflect the views of Fresh State Ltd. Fresh State does not in any circumstances accept responsibility for the accuracy or suitability or otherwise of any in-

In addition, by using the information in this magazine, each user waives and releases Fresh State, its staff and agents from any and all claims relating to the use of this document. In no event shall Fresh State Ltd be liable for any consequential damages resulting from using the information in Fresh State of Affairs. © Fresh State Ltd 2011

The Editor Fresh State of Affairs Magazine Market Box 113, 542 Footscray Road West Melbourne VIC 3003

president’s message:

what’s on:

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december 2011

relocation:

Reloc a t Updat ion e: • M inister asks the MMA to set up an Epping Market Advisory Committee as part of this process.

current tenants at Footscray Road as negotiations with the MMA over the last three months reach an impasse.

• F resh State seeks third party assistance in resolving issues with the Deed of Variation and Assignment of Lease transfers between market

• A nother visit to the Epping site for the Fresh State board and management is cancelled by the MMA for a second time. One must wonder

why visits to the Epping site have been terminated since the last edition of Fresh State of Affairs? What are they trying to hide?

ard C re o c S n o i NEW Relocat

One must wonder why visits to the Epping site have been terminated since the last edition of Fresh State of Affairs?

What are they trying to hide?

POSITION

ISSUES

6 14. Clause # 2

• July 20 # 4.3 • New clause #8 • New clause

of lease terms for ray Road. full stay at Footsc

xtension E

A Summary of Relocation in 2011 – the 7th year of the saga!

• N ew government elected November 2010.

• M inister meets with Fresh State board 30 December 2010 and informs the board that all major projects of the previous government will be reviewed. Minister seeks Fresh State’s view on relocation.

• G overnment undertakes review of relocation project and a review of Footscray Road. Fresh State members’ view is that their preferred position is to stay at Footscray Road.

Industry has no input into Footscray Road review.

• A uditor General’s performance review of relocation project commences in April.

• G overnment announces on 20 July 2011 that relocation is to proceed to Epping in the 2014/15 financial year. Government blames previous government for cost blowout.

• M inister meets with Fresh State board on 5 August 2011 and agrees to the Board’s suggested process in going forward (per New Scorecard).

• A uditor General’s performance review originally to be tabled in mid September is moved back to the end of October.

• F ollowing a visit to Epping site Fresh State raises concerns with fit-out.

• N umerous attempts made with Minister’s office to meet with the Minister to progress agreed process of meeting mid / late September but to no avail.

• A uditor General’s performance review now to be tabled at the end of February 2012.

• M inister calls for new nominations of the Advisory Committees after letters from Fresh State to the MMA indicate that they (MMA) appear to have previously populated the committees outside of their legislative requirements.

DATE

ACTIONS

ed!

Still to be finalis Third party Immediately.

Lease transfers – ht. assistance soug ted.

Clause now dele

Previousl in totality.

paper.

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. odels. New paper

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market history:

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Melbourne’s Market History 3.

2.

1.

1. The Queen Victoria market Square in the 1930s.

The Queen Victoria Market became, and remains to this day, the largest (and most intact) of all Melbourne’s great 19th century markets.

The construction of many public buildings continued in Melbourne after World War I, including Spencer Street Bridge in 1929. The entire railway system became electric between 1918 and 1923 and the conversion of cable trams to electric trams commenced in 1925.

It was during 1929 to 1930 that the Queen Victoria Market also continued its expansion with the construction of an ‘Agent’s Section’.

3. Moving bananas around in Alfred’s banana ripening rooms inside his Queen Street store circa 1931.

the wholesalers in the Western Market. The Market Square was fenced at either end with ornamental gates into Queen and Peel Streets. The square could be locked up and it provided some parking space for agents and buyers vehicles. Today, a single row of the Agents stores along Franklin Street is all that remains of the ‘Agents Section’ of the Market.

Office accommodation and special facilities such as cool storage and ripening facilities were left for tenants to install at their own cost if they accommodation and special needed them.

The council decided that, as recommended Office by the Royal Commisfacilities such as cool storage and The store walls were sion, it would move the mostly 16 feet high agents and dealers out of ripening facilities were left for tenants and there was room the growers area (in the to install at their own cost if they for an upper wooden lower market) and bring floor if required. Smaller the wholesalers from the needed them. buildings between the Western Market and other southern ends of the wings provided accommodation for parts of the city and establish them in the market in their council staff and toilet facilities for store tenants. own section commonly known as the Market Square.

The remaining old cemetery site was converted for this purpose (which is now the current car park). This was made up of 60 brick stores with a total area of 79,000 square feet – more than three times the area occupied by

4.

The new space was balloted and prioritised and each applicant was allowed 15 minutes to make his choice. Once organised, all tenants were given five year leases subject to payment of rent and good conduct. As time passed,

2. Founding Fresh State President Alfred Millis Fruit Merchants store located at 438 Queen Street (opposite Queen Victoria Market).

The building is still standing today.

4. The newly-built Agent’s Section from the air in 1931, looking south.

Most store tenants had become merchants rather than agents and were not just confined to the Agent’s Section. smaller businesses elected to share stores, while some larger businesses took on more stores (to a maximum of three) when vacancies occurred due to the great depression. From then on, store leases became a premium.

Trading commenced on 1 November 1930.

More grower stands were still required as there were only 800 grower stands available and an estimated 1000 growers attending each day. Shed M was built in 1936 to allow for pea and bean merchants and then Sheds N & O sheds were built for growers. These were eventually converted to Type B stores at Footscray Road.

After a few years, most store tenants had become merchants rather than agents and were not just confined to the Agent’s Section. The merchants spread into the growers section which allowed buyers to obtain all their fruit and vegetables in the one part of the market if they wished.

Growers and agents were again in the same market providing a full range of fruit and vegetables without double handling.

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issue 09

Ti

tick,

tick,

tick

tick,

tick,

tick,

tick,

tick

tick,

tick,

tick,

tick,

tick

tick,

tick,

k, Tick, tick, tick, tick, tic tick, tick, tick, tic k, Tick, tick, tick , tick, ti ck, Tick,

MMA Advisory Committees – Why are they being ‘refreshed’!

Fresh State had written letters to the MMA Chairman and CEO in mid 2011 pointing out that the MMA Advisory Committee membership appeared to have been populated outside of their legislative requirements. MMA return correspondence ‘noted’ our correspondence.

The Advisory Committees are part of the Melbourne Market Authority Act 1977. The MMA is bound by this Act. As the words imply, the committees are of an advisory nature only to the board of the MMA.

And the clock is ticking for the operator!

Thanks to everyone for expressing their views following the article – ‘Operator turns a blind eye!’ This certainly is a passionate issue and no, the Seagull Advisory Committee has not met yet!

Enforcement of operating hours has not been addressed – why? Only the MMA Board and management can explain their inactions.

Most people in the market community feel very strongly that it should be a level playing field and that enforcement of operating hours is the highest priority.

People noted with some pleasure that summer hours were not introduced thereby stopping an unwanted, earlier start.

Most people can live with enforcement of the current hours as a starting point. These hours are a 3.30am start for all buyers on Monday, Thursday and Friday, and 4.30am start for all buyers on Tuesday and Wednesday.

Many buyers have confirmed that early entry is possible because the programming of their access cards allows them on site before commencement times.

Others cited that they walk in at any time especially through gates 3 and 9 and through banana alley!

Enforcement of operating hours has not been addressed – why? Only the MMA Board and management can explain their inactions.

Tick, Tick Tick, Tick Tick, Tick

Many market users have asked how the problem should be rectified.

A suggested, simple solution may be: 1. R eview all access cards and program them at the appropriate level, time and gate.

2. I ssue a notice that current times will be enforced from ... date (two week notice).

3. S tation enforcement personal on gates 3 and 9 as well as banana alley.

4.

Direct all others to the permanently manned gates 1 and 6.

We distributed our information to our members and they understood why members of the Wholesaler Advisory Committee did not take part in the MMA’s Joint Advisory Committee meeting on 30 August 2011.

5. O pen remaining gates at the official buyer commencement times.

On 8 November 2011, the Minister’s department distributed an information sheet to the market community calling for new nominations for the four Advisory Committees and creating the Epping Market Committee. The Epping Market Committee is chaired by the Chairman of the MMA and comprises the Chairpersons of the four Advisory Committees.

6. E nsure that the 150 km limit is enforced, (country buyers).

It is noted that Fresh State has a separate process with the Minister and his department and will be continuing these negotiations. The outcome of these negotiations is displayed in the New Relocation Score Card on our relocation pages in Fresh State of Affairs page 4-5 .

7. E nsure that those outside of the 150km limit complete their delivers and exit the site until opening times.

8. E nforce the fine / penalty system currently in place.

market hours:

f o t n e TickorTcic m k e H, oTuicrks,! tick, tick, tick, gk, Tick, tick, tick, tick, nf aTtiic n e r TOic pek tick, , k c i Thanks to everyone for expressing their views t , k a blind eye!’ c i t , k c i following the article – ‘Operator turns T , k c i T ckThis certainly is a passionate issue and no, the Seagull Advisory

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tony’s take:

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december 2011

Christmas Special

‘Tony’s Take’ on the Summer Season With Christmas just around the corner, Tony focuses on trends during the silly season and what is in store for fresh produce this Summer in the wholesale market.

a “There will be a bumper season of everything this Summer provided weather conditions remain favourable” says Tony Nigro, Reporting Services Officer at Fresh State Ltd.

levels and probably will be in their usual glut proportions come January/ February next year.

Red, Black and White varieties of Australian grapes are available and

There will be a bumper season of everything this Summer provided weather conditions remain favourable.

“Ample water and good growing conditions this year means plenty of supply and bumper crops for all mainstream vegetable lines including eggplant, capsicums, zucchini, beans, chilies, corn etc.

Christmas favourites including blueberries, raspberries, strawberries, blackberries, boysenberries and gooseberries will continue to have good supply provided they are not effected by any heavy storms that could dent supply for a period of time.

The ever reliable banana is finally back and quantities should be at normal

supply will increase as the season progresses.

Lychees again should be available for Christmas and watermelon, honeydew and rockmelon will have good supply right throughout the Summer.

All stonefruit varieties are in good supply and will continue throughout the Summer. Cherries will also have good supply until their season ends towards the end of January – February.”

e n o y r ve e g n s i a m t s Wish ri h C l u rf e d n o w

The return of La Nina spells lower than average temperatures and a wetter season over large parts of northern, eastern and southwest Australia.

Combine this weather pattern with a lot more summer storms including cyclones and possible floods and this, according to the Bureau of Meteorology is the weather prediction for Summer.

These predications could mean uncertain times ahead for supply and demand of local fresh produce at the markets as storms have the ability to affect crops and harvesting.

To keep up to date with market trends, subscribe to Datafresh and obtain wholesale prices on a range of fresh produce sold at the Melbourne Wholesale Market.

Contact the Fresh State Office on 03 9689 3233 or info@datafresh.com.au for more information.

Laurie: 0418 366 013 Tony: 0417 112 588

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OF AFFAIRS

KB Moraitis e t i n gsa i t i s e r G or ns S e a s o F r e s h Te a m a t M e from th

13

Christmas Special

melon

potato

garlic

onion

pumpkin

ginger

Vince Brancantisano 0419 582 039

Mark Brancantisano 0418 338 757

Dom Brancantisano 0417598733

Stores 307-310 Melbourne Markets, 542 Footscray Road, West Melbourne 3011 T: 03 9687 6449 F: 03 9689 7134 E:admins@prestigeproduce.com.au

Merry Christmas and a happy new year from the Kapiris Family.

melon

potato

garlic

onion

pumpkin

ginger

Vince Brancantisano 0419 582 039 Vince Brancatisano

Mark Brancantisano 0418 338 757 Mark Brancatisano

Dom Brancantisano Dom0417598733 Brancatisano

582Markets, 039 542 Footscray Road, West Melbourne 0418 338 598 733 Stores 307-3100419 Melbourne 3011 757 T: 03 9687 6449 F: 03 9689 71340417 E:admins@prestigeproduce.com.au

14

OF AFFAIRS From all our team at Barkers we thank the Melbourne Market Community for your custom over 2011 and wish you a prosperous new year.

Christmas Special

15 15

Merryas!

Christm illip and Ph ick From N le Arcade. at A p p

celebrating

Christmas Fresh Berry Co wish our customers a happy and safe festive season.

V.F.S Produce wish our customers and the market community a very merry

Christmas

R Anguey Pty Ltd

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OF AFFAIRS

Christmas Special

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Season’s Greetings

s g n i t e e r G s Season’ Merry Christmas to all from Regal produce.

from Louis Melbourne

Season’ss Greeting

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Merry Christmas

Christmas Special

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All the best for the festive season from BRP Wholesalers

Enjoy Christmas and the Festive Season more this year with Great Australian Mushrooms

From the teams at Granieri’s Fresh Produce and Rich River Produce thank you to all our customers for your support and loyalty.

A Safe and Happy Christmas to all in the Market Community.

Best Wishes from all at Harris Refrigerated.

The Great Australian Mushroom Company

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OF AFFAIRS

m o r f s g n i et e r G s n o s

e c u d o r P Omega

Sea

John, Rocky and all the boys would like to thank their customers for their continued support and wish everyone a Merry Christmas and a safe and happy new year. LATORRES

Christmas Special

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To All Our Valued Growers, Suppliers, Buyers & Business Associates in the Melbourne Market Community The Team at Fruit Avenue Australia thanks you for your business and support during 2011 and take this opportunity to extend to you and your family our best wishes for a Happy Christmas and a Happy, Safe & Prosperous New Year

We look forward to being of service to you in the New Year 2012

Store 103-105 Melbourne Markets Contacts: Thomas Lamanna 0418 391160 | Patrick Lamanna 0418 255 255 Pat DiBiase 0418 255 414 | Jemahl Reid 0418 255 610 Accounts & Administration: tel: 03 9846 4664 | Fax: 03 9846 2202 Email: admin@fruitavenue.com.au

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Thank you to the Melbourne Market Community and our growers for supporting AMV Fresh in 2011 – See you in 2012 at the Market!

s ’ n o s a Se eetings Gr

Christmas Special

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The team at MMCS wish you all a joyous and festive season.

Wishing the Melbourne Market Community a Happy festive season and prosperous new year from Dean and Phil.

Merry Christmas from the Market City Fruits Team

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Christmas Special

Season’s greetings to the Melbourne Market Community

Merry Christmas to all our clients.

Wishing our customers a happy and safe festive season.

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Christmas Special

27

! s a m t s i r h Merry C

from the team at Mumford’s

d Come an ur at o visit us d at n new sta 6 302-30 A stores

Merry Christmas to our customers and colleagues at the Melbourne Market.

Merry Christmas

from the team at VB Fruit

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Christmas Special

merr y christmas

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Merry Christmas to our customers and friends at the Melbourne Wholesale Market. Looking forward to a great year in 2012!

SeaS n’s Greetings All the best for the festive season.

OPALJADE

r. a e y e h t t u o rough h t s s e ty i n i n s u u m b m r o u o C y for kets r s r a e m M o t . e s n n u o r c s u r a o u e b s o l e e o v t i t u fes he M t y p h p s i a w h Thank yo e d n a W a very safe

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issue 03

december 2010

OF AFFAIRS

Christmas Special

Season’s greetings

Wishing you and your Family a very

Merry Christmas.

Directors and staff wish the members, our corporate partners and the extended Market community a safe and happy holiday season.

31

Buyers line up to register for Credit Service System Sellers are not the only ones benefiting from the new Melbourne Market Credit Service (MMCS) online system.

Being a registered MMCS User and buying fresh produce has never been easier. No notes flying through the air, incorrect counting or wads of cash lying around.

Want to Know More?

As a buyer you have the peace of mind that your entire week’s trade will be accounted for in one simple invoice.

To become a MMCS User or for more information jump online at: www.melbmcs.com.au or contact Sara Wiseman the MMCS Customer Liaison Officer on: T: 9687 7333 M: 0419 372 980 E: customerservice@melbmcs.com.au

The Credit Service is the only way to do business. We have been Melbourne Market Credit Service buyers for 14 years and it is the best thing we have done for our business.

As a buyer you are in full control and transactions are streamlined and easy to reconcile.

We recommend all buyers use this system so they can save themselves time, money and for peace of mind. – Bruno Cozzella from Cozzella Bros.

Buyer Advantages

• Enter the market knowing your credit is good • Confidently purchase from any Credit Service Wholesaler or Grower

• Maintain a good credit rating and enhance your price bargaining power

Buyers benefit it’s as simple as ABC:

A.

• Receive one statement a week covering all credit

Unique code issued to new users: All Credit Service users are given a unique buying or selling four digit number to identify them at the time of any transaction inside the Melbourne Wholesale Market.

Australia Bank and no bank charges apply

B.

• Increase your office staff productivity by reducing

Account sent to Buyer: An account with the weeks trade is sent to the buyer for payment.

paper work

• The Credit Service will assist in liaison between sellers and buyers as required

• Provides a complete up to date record of all transactions, therefore, enabling you to maintain accurate accounting records.

Claude and Vince Natoli.

The market is in my blood; I love being here and the whole market atmosphere.

Works: AMV Fresh.

Lives: St Leonards.

Most of my day is spent:

C.

Payment of Account: One simple payment made to the MMCS to distribute to all sellers.

If I described my business to a stranger I would say: We sell top quality fruit “where quality counts”.

The qualities I most enjoy about Melbourne Market are:

Fishing (Whiting, squid, snapper) and relaxing.

The people.

The football team I barrack for is:

None besides the fish I catch.

Richmond – I used to barrack for Geelong but Vince converted me just before Geelong won a premiership. Richmond have been fantastic and so supportive of me since my illness. The coach even allowed one player a week to miss training so they could come and visit me.

My favourite Melbourne Market moment is:

purchases from registered sellers in the Credit Service

• Pay once per week by cheque or direct deposit • Save on banking fees • Pay your account at your local branch of the National

q a 33

december 2011

Claude Natoli

issue 09

When my brother Vince opened his stand for the first time – everyone said he would never make it and he has proved them all wrong.

The quality I respect most in an employees is: Ability to communicate with customers.

As I have grown older I have learnt: Fishing is good!

The pets I have are: In my spare time I enjoy: Richmond Football club and the Bellarine Sharks Soccer Club who we sponsor.

My first job was: As a butcher.

My fondest memory is: When my first nephew and godson John was born. He is now 21 years old.

The thing I dislike the most is: Customers that don’t pay.

I am passionate about: Football and fishing.

My favourite fruit or vegetable is: Peach or nectarine.

&

Claude Natoli has fond memories of the Melbourne Wholesale Market.

At just 21 years of age, he started coming to the market with big brother Vince. They would drive down every morning to stock up for their family fruit shop.

“There was more competition back then so you needed great produce picked early. You had to line up for items such as mushrooms which were only available a couple of days a week.” said Vince. “The earlier you arrived the more produce you could buy before it ran out.”

Claude then started working at the Market full time which meant he could still see his family when they came to buy fruit and veg.

Starting out at Just Fruit, he then moved to Barkers. Vince soon followed in Claude’s footsteps and eventually bought his own business – AMV Fresh. “As soon as Vince opened up AMV Fresh, I came on board and have been there ever since” he says.

Since being diagnosed with pancreatic cancer Claude doesn’t work as many hours as he used to.

“These days I come into the market two to three mornings a week to catch up with everyone” says Claude.

The market is in my blood; I love being here and the whole market atmosphere.”

Q&A:

melbourne markets credit service:

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december 2011

economic outlook:

OF AFFAIRS

Ready.

Steady.

Grow.

Economic growth slows 2011 was a tough year for fruit and vegetable markets. The climatic disasters early in the year severely impacted on supplies and led to short term market distortions. They also had an unforetold impact on the economy.

The mining boom which was underpinning economic growth suffered temporary setbacks especially in Queensland.

Economic growth was slower than expected although the Australian economy continued to outperform its international peers.

Importantly from a fresh market viewpoint the economy remained close to full employment providing consumers with the where for all to undertake expenditure.

The prospects for the Australian economy in 2012 remain beholden to developments overseas.

Policy remained restrictive

Aussie dollar appreciates

Throughout most of 2011 economic policy remained restrictive. The Government was reigning in expenditure and the Reserve Bank of Australia (RBA) kept interest rates relatively high.

The Australian dollar broke through parity with the US dollar. A range of domestic industries, including fruit and vegetables, struggled to compete with cheaper imports.

These policies were designed to prevent undue pressure on labour and capital resources in the face of massive increases in investment in the mining sector and a huge boost to national income from strong export prices for Australian commodities.

A combination of climatic disaster in the key tourist state of Queensland and the high dollar adversely impacted the tourism and accommodation industries decreasing demand for fresh produce.

Consumers remained cautious

Raise the red flag

Consumers new found love affair with saving, evident since the Global Financial Crisis, continued in 2011 with saving rates at levels not seen since the 1980’s.

China, and to a lesser extent other parts of Asia, holds the key to prospects for the Australian economy in 2012. While economic growth in China will slow most economists believe that it will still remain strong as the Chinese accelerate their domestic consumption. Australian business believes this story.

Paying down debt and caution in expenditure was confirmed as the new mantra in 2011. Consumers demanded value for money and were willing to vote with their wallets and purses against retailers who did not deliver.

This cautious approach to expenditure was reinforced throughout the year by two major developments. Firstly, developments overseas which led to wild swings in financial markets and raised the spectre of future recession and unemployment. Secondly, house prices fell across the country undermining consumers’ sense of wealth.

Huge uncertainty going forward The Global Financial Crisis and its consequences have delivered a harsh touch of reality to Australians that they are part of an increasingly integrated global economy. The prospects for the Australian economy in 2012 remain beholden to developments overseas.

Europe sits on a knife-edge as Governments seek to lower debt levels without devastating the private sector.

The economic situation in the United States is better despite the possibility of political deadlock in an election year. The US economy has a robustness that Europe lacks. While the potential for economic Armageddon lies close to the surface, the fact that it does, provides some hope that the advanced economies will muddle through with weak economic growth.

Paying down debt and caution in expenditure was confirmed as the new mantra in 2011.

Consumers demanded value for money.

After a marked acceleration in investment expenditure in 2011, the benefits of which will flow through the economy in 2012, investment intentions for 2012 are extremely strong. Australian economic growth is forecast to accelerate as the year proceeds.

Plenty of ammunition in policy guns Opinion remains divided on whether the cut in interest rates by the RBA on Melbourne Cup day was a one off or the beginning of further cuts in 2012.

A one off change in interest rates is unusual but if the economic growth forecasts come to fruition this one maybe. Both the RBA and the Government, unlike most other economies, have plenty of ammunition to fire if the world situation worsens.

Interest rates on a global comparison are high providing room to cut further.

Government debt is extremely low

and providing financial markets do not freeze over the Government has the capacity to pump expenditure into the economy without doing damage.

Little change in underlying demand conditions for fresh produce There were signs towards the end of 2011 that both retail trade and housing may have bottomed out.

While this is welcomed news for fresh produce markets we are unlikely to see any radical change in consumer expenditure patterns.

The hedonistic days of constant partying and running up debt are most likely over. The cut in interest rates in November while boosting confidence is unlikely to be a ground breaker.

Consumers will remain cautious and seek value for money. While there are rays of sunshine in the economic sky keep that umbrella close by just in case.

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Fundraising

2012 Conference and Trade Show

by Fresh State Members Bake the world a better place!

The Australian Chamber of Fruit and Vegetable Industries Ltd is once again a co partner with PMA Australia New Zealand to present PMA Fresh Connections 2012 which is taking place from 26 to 28 June 2012 at Melbourne Convention and Exhibition Centre.

PMA Fresh Connections is the major networking, educational and business event for the entire fruit, vegetable and floral industries in the Australia and New Zealand region.

“The Wholesale Markets around Australia have connections with the whole fresh produce supply chain so it makes sense to be supporting a conference such as Fresh Connections” says Shane Schnitzler, President of The Australian Chamber of Fruit and Vegetable Industries Ltd.

Shane says the best way to be involved is to display products at the trade show which is getting bigger and bigger each year. “It’s a domino effect” he says.

“Last year we had a lot of fresh produce from the markets around Australia on display and in 2012, delegates will

expect to see the same kind of thing plus much more. Its all about doing business with others in the supply chain, to learn new things and to see what sort of produce and products are out in the market place that can enhance our businesses.”

Organiser Sarah Culhane and the Moraitis team spent countless days baking and coordinating the massive morning tea which catered for not only the 80 Moraitis employees but also wholesalers and retailers at the market who made donations.

Wholesaler Vince Brancatisano from Prestige Produce, was impressed

by Fresh Connections 2011 and will definitely be attending Fresh Connections 2012.

Vince said the biggest benefit in attending Fresh Connections was the ability to meet with other wholesalers and growers in both a formal and social environment plus the many learning opportunities provided by the conference sessions.

Its all about doing business with others in the supply chain, to learn new things and to see what sort of produce and products are out in the market place that can enhance our businesses.

“We see this event as not only an opportunity to provide information exchange and networking but also for our members and the broader market community to get involved in the industry and do some business.”

Cake stands were set up at the Moraitis stand and at the Moraitis Warehouse with the Melbourne Markets community spending up big on the sweet treats.

“The conference is a great opportunity to meet hundreds of people at the one time, at the one place and do business in one or two days. If you tried to do that in your own time it would take weeks” he said.

“Everyone in the industry should be involved if they are serious about growing their business. It’s an opportunity you just can’t afford to miss in today’s fast paced, time poor environment”.

Want to Know More?

Visit www.pmafreshconnections. com.au for more information about this event.

“We baked around 40 cakes in total with each employee in the office asked to bake at least one cake” said Sarah.

The Big Bake Cake was a new fundraising initiative by Red Cross for the month of October.

From left to right: Billie Jo Jackson, Sarah Culhane and Mary Nguyen from Moraitis.

Market traders donate for a good cause Over $21,000 was raised by a collective Melbourne Markets community and donated to charity in October showing that the gift of giving is well and truly alive coming into the Christmas Season.

Michael Dennehy from All Produce Traders recently raised $20,000 for Challenge, the organisation supporting kids with cancer, for the MMA Golf Day. All holes on the day were sponsored by a variety of businesses including Fresh State.

“I went around and asked businesses in the market to sponsor a golf hole each and before we knew it we had reached $20,000.00” said Michael.

Right: Michael Dennehy, All Produce Traders.

Vince Brancatisano, Director of Prestige Produce with Brett Jackson, Produce Marketing Manager from Seven Fields at Fresh Connections 2011.

Image courtesy of Good Fruit and Vegetable Magazine.

fundraising:

fresh connections:

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december 2011

A Very New value adding products continue to make their way into the Wholesale Market to supplement existing lines and to keep up with consumer demand and market trends.

y r r Me tmas! s i r Ch

Simply Fresh Australian Orange Juice

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• No added sugar • No added water • No added concentrate

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John of Balwyn Fruit Supply buys popular yoghurt covered berries from Joe.

followed by the chocolate and yoghurt berry line. “I said to my wife as a passing comment, why don’t I try chocolate coated berries, I have nothing to lose”.

So Joe sourced a chocolate supplier and the rest is history.

yoghurt covered berries the most” he says. “They are getting more and more popular as time goes on”.

100% Australian grown, owned, picked, crushed, squeezed, packed and shipped …

After four years Joe says the product is now starting to take off. “We sell to the Perth, Sydney and Adelaide wholesale markets and our online shop has recently gone live,” he says.

We sell to the Perth, Sydney and Adelaide wholesale markets and our online shop has recently gone live.

Well known Market identity Joe Pignataro from Fruit X has been trading in the Melbourne Markets for the last 33 years. His brother and cousins all trade in the Market and you could say having a Pignataro in the Market is a long standing tradition.

Joe has used his experience and passion to create a new product which is not only available in the Market but also online – just in time for Christmas!

Berries Online is the brainchild of Joe who saw a gap in the market following continuous inquiries from clients about fresh cranberries. “Australia can’t grow fresh cranberries and we can’t import them either because of their short season” says Joe. So the next best thing was to import dried cranberries which was soon

Berries Online is now a registered product with its own online store and growing clientele. It is a range of chocolate and yogurt coated berries together with a range of dried berries.

Ultimately Joe would love to sell a fully Australian made product but he is unable to dry fruit here. “There is no technology in Australia to dry our own fruit so we import from the USA and New Zealand. It is the next best thing”.

Joe is proud of the product and says that his clients all give very good feedback. “They all say the same thing” he says “that they are very addictive!”

Want to Know More?

Retailer John from Balwyn Fruit Supply is a client of Joe’s and has been buying the berries for the last two years. He is at the market today to purchase eight boxes of assorted chocolate and yoghurt coated berries from Joe. “My customers love the

Joe Pignataro is an entrepreneur and a great example of value adding in the industry.

Keep an eye out for his delicious berries in the market, at your local retailer or jump online at www.berriesonline.com.au

Proudly Distributed in the Wholesale Market by Moraitis

www.curlwaafresh.com.au