2013 KENTUCKY BLUEBERRY GROWERS

SEASON UPDATE

2012 BLUEBERRY SALES

• In 2012 the KBGA marketed 4,000 pounds to the Kentucky Public Schools for $14,000 ($3.50 per lb)

(no fees were charged)

2013 BLUEBERRY SALES

• In 2013 the KBGA marketed 23,720 pounds to the Kentucky Public Schools for $94,880 ($4.00 per lb)

• Also, in 2013 we sold appx 6,000 pounds at $4.00 per pound from the store in Edmonton, KY for $24,000

2013 KBGA - KY Proud Blueberry Sales = $118,880

(5% market fee was charged)

KBGA PAID MEMBERSAS FOLLOWS:

KBGA wrote 34 checks to members in June = $11,315KBGA wrote 8 checks to members in July = $9,014KBGA wrote 12 checks to members in Aug = $36,687KBGA wrote 8 checks to members in Sept = $25,204Schools paid farmers direct = $23,280(These farmers paid their 5% marketing fee)

Total paid to Farmers = $105,500

(There is some discrepancy due to different purchasing agreements)

2013 MARKETING OPTIONS

• KBGA paid some members $3.00 per pound for blueberries in bulk delivered in lugs (provided sorting, packaging and delivery)

• KBGA paid most of our members $4.00 per pound minus 5% marketing fee = $3.80 for blueberries delivered packaged and ready to market (provided delivery)

• KBGA set up the sale and the member delivered themselves

EXPENSES

• Lease• Electric• Water• Phones• Labor• Packaging• Delivery – Paid a $1per mile for delivery +

labor• Sales

• 5% doesn’t cover the expenses

2014 MARKETING AGREEMENT

• The KBGA is working on a new Marketing Agreement for the 2014 season. The agreement will be designed to clearly lay out the responsibilities of both the Association and the members.

QUALITY CONTROL ISSUES• Wet blueberries

• Condensation in the bags

• Poorly Sorted blueberries

• Weight problems

• Soft, Cull blueberries

• Fruit fly larvae

• Returned Blueberries

CULL FOUND IN 10 LB BOX

CULL – 94 IN 10 POUNDS

WE NEED TO IMPROVE QUALITY

• The KBGA expects all farms to have some form of Integrated Pest Management in place.

• Either Conventional or Organic

• GAP – Good Agricultural Practices

• Increase inspections on intake

• KBGA would like to move towards blueberries being delivered in bulk so that we can sort, wash, dry, and flash freeze to ensure quality

NEW EQUIPMENT

In 2013New Walk-in Cooler New Walk-in Freezer2 Blast FreezerCleaning BeltFreezer BlanketsStove

In 2014 Cleaning Belt Air bed Dryer Booth Washer Stand Mixer Dish Washer for Lugs Stove

WALK-IN COOLER & FREEZER

BLAST FREEZERS

IMPROVING QUALITY

• Blueberry Dryer

NEW SORTING BELT

NEW SORTING BELT

BOOTH WASHER

AIR BED DRYER

STAND MIXER

PARTS

DISH WASHER FOR LUGS

DISH WASHER PARTS

STOVE

US HIGH-BUSH BLUEBERRY COUNCIL

• Blueberry Tax

• $12 per ton

• Next year increases to $18 per ton

• Applies to a farmer that produces more than 2000 pounds per year

• KBGA is expected to collect it as a first handler

• www.blueberry.org/

CERTIFIED FACILITY

KBGA is now a FDA Certified Facility

With the warehouse and the kitchen approved for processing

UNIVERSITY OF KENTUCKY BLUEBERRY VALUE-ADDED DEVELOPMENT PROJECT

• KBGA has been working with Dr. Tim Woods and the Food Systems Innovation Center to develop recipes for value-added products.

• The project is designed to maintain a high price for Kentucky Proud blueberries

KBGA WOULD LIKE TO MAKE THE CERTIFIED KITCHEN AND

FACILITY AVAILABLE FOR COMMUNITY AND MEMBER USE

• Diversification Other Fruit & Vegetable High Tunnel

KBGA is looking for ways to make the facility useful throughout the year.

QUESTIONS?COMMENTS?

IDEAS?