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Dole Enhances Shipping Services for Tropical Fruits Amid Market Changes

by Zyrene D.
01/16/2024
in Compliance, Economic Indicators, Global Trade, Importing & Exporting, Industry, Industry, Logistics & Transportation, Market Trends, Sourcing, Supply Chain Transparency, Sustainability & Ethics, Sustainable Logistics, Warehousing & Distribution

In response to supply chain challenges exacerbated by the pandemic, companies such as Dole and Fresh Del Monte have been expanding their in-house transportation capabilities. This strategy not only serves as a new revenue stream but also aims to mitigate supply chain disruptions.

In 2021, Dole acquired two ships, which significantly contributed to its revenue in the subsequent two years. This expansion of its fleet has enabled the fruit and vegetable producer to reduce its own supply chain costs and minimize transportation delays.

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However, the company is now facing new challenges. As supply chain issues begin to resolve and shipping costs decrease, a decline in demand is impacting Dole’s financial performance. The fresh fruit division, in particular, experienced a downturn in earnings during the third quarter, partly due to reduced commercial cargo activity.

Dole’s latest initiative, named the Mayan Express, is designed to offer produce shippers more sourcing options and broader ocean network coverage. Nelson Montoya, president of Dole Fresh Fruit North America, expressed enthusiasm about the expansion. In a statement, he highlighted the company’s commitment to bringing more fresh tropical fruits to the Northeastern market and its ongoing efforts to promote health through its products.

Similarly, Fresh Del Monte, through its ocean logistics division Network Express, is actively working to broaden shipping services for exporters. The company has entered into a lease agreement with Texas’ Port Freeport, set to commence in 2024. This agreement includes plans to provide weekly service for the import of bananas, pineapples, and plantains, underlining the industry’s evolving logistics landscape.

Stay current with supply chain report news at The Supply Chain Report. For international trade resources, visit ADAMftd.com.

#SupplyChainChallenges #Dole #FreshDelMonte #TransportationInnovation #LogisticsExpansion #MayanExpress #OceanNetwork #FoodLogistics #SourcingOptions #HealthyEating #FruitAndVegetableSupply #PandemicResponse

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