THE ULTIMATE GLOBAL LOGISTICS CHALLENGE--PERISHABLES: A CASE STUDY--HORTIFRUT, INC.--BERRY GROWER, SHIPPER, AND MARKETER
Hortifrut grows, exports, and imports raspberries, blackberries, and blueberries from Chile and other sources including Guatemala, Mexico, New Zealand, Australia, South Africa, and other countries to markets in the United States, Canada, Northern Europe, and the Pacific Rim. One of the most significant logistic challenges from the time the berries are harvested to the consumer's plate is the maintenance of temperature at 0.5-1 deg C. A typical scenario involves berries grown 5,000-8,000 mi (8,045-12,872 km) from market that require transportation and transfer from the field of harvest to packing facility to departure airport to arrival airport, transfer to port distribution warehouse for breaking down the shipment for forwarding to the customer's distribution center, where the product is trucked to the retail store or food service establishment. This entire system typically requires 4-5 days. Small transaction size adds to the logistic challenge. The typical purchase is 200-500 kilos. Logistics is clearly the most significant portion of the price buildup and therefore presents the greatest opportunity for reduction and/or improvement in level of excellence delivered. Ocean freight combined with modified atmosphere and/or controlled atmosphere may provide temperature control for blueberries and a reduced cost of logistics compared with the typical air shipment. There is no clear solution to the temperature challenge using air freight.
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Corporate Authors:
Council of Logistics Management
2805 Butterfield Road, Suite 200
Oak Brook, IL United States 60523 -
Authors:
- Shelford, J
- Conference:
- Publication Date: 1999
Language
- English
Media Info
- Features: Figures;
- Pagination: p. 257-262
Subject/Index Terms
- TRT Terms: Air cargo; Businesses; Case studies; Corporations; Costs; Exports; Freight transportation; Fruits; Imports; International trade; Logistics; Marketing; Ocean freight forwarders; Perishables; Physical distribution; Prices; Temperature control (Structures); Time
- Identifier Terms: Hortifrut incorporated
- Subject Areas: Administration and Management; Aviation; Finance; Freight Transportation; Highways; Marine Transportation; I10: Economics and Administration;
Filing Info
- Accession Number: 00788913
- Record Type: Publication
- Files: TRIS
- Created Date: Mar 13 2000 12:00AM