Frankly Speaking

Frankly Speaking - Week 19 Update
12 May 2015

Frankly Speaking – Week 19 Update

Please accept this Grower Update to the end of week 19 [Sunday 10 May].

The harvest developed good momentum last week aided by good weather. Our harvesting teams have largely completed the G3 harvest with only a few orchards in the Bay of Plenty left to go. Our picking and packing has now largely moved into Hayward. Seeka packed more than 500k trays per day of Hayward through the back half of last week and was able to give our post-harvest crews days off in the weekend to allow the canopies to refill.

Fruit quality continues to be excellent, particularly in Hayward. As we started reporting a few weeks ago we are seeing increased volumes in Hayward and have put in place extra coolstorage to handle this volume. Zespri has put in place a slow boat to Europe [via South America] and while Seeka may put some fruit on that vessel, it’s really been put in place for those who haven’t planned for this contingency.  Seeka remains well above its planned run-rate and above its market share for packed Hayward at the end of the week. Our percentage share of Hayward packed was 31% compared to our market share of 24%. We are on target to complete mainpack around the 7th June which is the same time as we did in 2014.

There have been a couple of safety incidents. At Kerikeri, the bin tip operator caught his hand between the bin and a cross member tearing the skin on his fingers. He required surgery to tie down the loose material in what was a nasty incident. At Oakside a Quality Controller sprained and bruised her ankle after being clipped by a forklift. This later incident has led to a complete review of movements in and around our machines at the site.

Seeka is now into full fruit flow and looking to pack the remaining 50% of its 2015 crop, which includes our CA program, over the next 3 weeks.

The statistics as at midnight Sunday 10 May:

Hayward

Seeka packed                    7,629,492 trays                  Industry packed               24,399,260 trays [31.3%]

Seeka average size                          32.46                     Industry average size                     32.73

Shipped                               5,049,035 trays                  In-store                                                2,628,623 trays

On order for week 20              558,645 trays

On order for week 21           1,076,937 trays

Our crews packed 2.5M trays of Hayward in week 19 and on Friday had packed 33% of all Hayward in the Industry.  1.125M trays were shipped during the week, with 558k trays on order this week and a whopping 1.07M trays next week. These are big numbers and represent a lot of pallets and pallet movements to contend with. Teams are understandably satisfied with their efforts and results to date.

 

Hayward organic

Seeka packed                         308,587 trays Industry packed               868,072 trays [29.4%]

Seeka average size                          34.27                     Industry average size          34.54

Shipped                                             158,075 trays        In-store                                158,565 trays

On order for week 20                       32,604   trays

On order for week 21                       35,003  trays

Mainpack clearances now.

 

G14

Seeka packed                    166,063 trays                      Industry packed               1,342,175 [12.4%]

Seeka average size                          36.19                     Industry average size                  35.89

Shipped                               160,729 trays                      In-store                                         5,333 trays

On order for week 21             883 trays

Consolidating part pallets and looking for last orders and last trays to load. .

 

G3 [Sungold]

Seeka packed                    3,845,109 trays                  Industry packed               26,399,503 [14.6%]

Seeka average size                          30.38                     Industry average size               30.48

Shipped                               1,766,971  trays                 In store                                        1,984,423 trays

On order for week 20     179,201 trays

On order for week 21     224,553 trays

Nearly there. We are into the home straight with G3 just looking for the final few orchards to be scheduled.  Seeka has committed to a local market class 2 retail program that effectively sees all class 2 sold on behalf of our growers. It’s a positive development utilising the integrated supply chain with Glassfields.

G3 Organic

Seeka packed                       42,096 trays                     Industry packed               442,768 [9.5%]

Seeka average size                          28.95                     Industry average size        30.95   

Shipped                                   20,604 trays                    In store                                21,492 trays

On order for week 21           2,246 trays

Apologies for the strange in-store figure last week and thanks to those of you who contacted me!

Hort 16a

Seeka packed                       232,441 trays                   Industry packed               2,803,570 trays [8.3%]

Seeka average size                          31.01                     Industry average size          31.31  

Shipped                                      126,794 trays               In store                                 105,646 trays

On order week 20                     29,154 trays

On order week 21                     25,251  trays

G9 [Charm]

Seeka packed                         41,112 trays                   Industry packed               430,158 trays [9.6%]

Seeka average size                          36.25                     Industry average size          31.33  

Shipped                                               -         trays          In store                                 41,112 trays

On order week 20                     23,798 trays

The Seeka Growers Council has invited Zespri to update it on the marketing plan for G9. This meeting is scheduled for 13 May so I will update up you in the next blog.

Other updates

Oakside Loadout re-commissioned

While not entirely completed, the container loadout docks and curtain-sider load-out has been re-commissioned and is in full use at Oakside. Small items need to be competed [things like roof sealing] but in order to provide a safer work environment at Oakside the has been reopened. This takes pressure off the main bin reception area at the site and separates inwards and outwards truck movements. All contractors and parties who helped us through this catastrophe have been publicly thanked by Seeka and its growers. It has taken a huge amount of work to rebuild the site and it is a remarkable testimony to those involved to have it up and running at close to full functionality such a short time after such a significant event.

And from the strange but true file

Seeka has been complaining this year about the performance of the singe lab service provider believing that growers and the Industry would be better served by two independent labs. This view is backed up by the Seeka Growers Council. Last week our supply team had an urgent instruction from Zespri to hold a large bundle of fruit and recall it after a very high residue was found on an orchard from one of our large growers. Our team understandably went into a spin working out exactly where all the fruit was when they were also trying to coordinate the safe load-out of more than 1M trays of fruit. You can understand our amazement to find that the residue test was taken at least a week after harvest, and followed a normal post-harvest Psa spray. It was only the few unpicked (and sprayed) fruit that were tested! Surprisingly it seems no one noticed the lack of fruit on the orchard. Thankfully the subsequent response was quick and all holds and restrictions were lifted.  I suppose we have something to smile about but it was a bit of a heart stopper for those involved at the time.

Close

It’s been a big week in the operational side of our business. Big volumes have come in and gone out but about three more similar big weeks remain. Best we make them safe weeks.

Kind regards

Michael

Seeka Key
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