<If you are eligible for an export grant, it may be more cost
effective to export your own product to the U.S. Details of the grant
are given below.
Hidden costs of selling to supermarkets.
Supermarkets are very secretive about some of the costs that they
charge to food processors. These are usually negotiated on an
individual basis. Competition is fierce as there are approximately
100,000 products on the market and supermarkets typically have space
for 40,000. Charges include slotting fees to get a new product on to
the shelves and pay to stay fees to keep a product on the shelves.
They also charge ‘hello’ fees or ‘street’ fees to allow a supplier to
pitch a new product. Advertising and promotional fees are also paid by
the supplier. Volume-discounts and rebates are also common practice.
So too is supplying initial free samples of products.
http://www.nasvf.org/web/allpress.nsf/12b72a082f26b2e786256717005a97c0/1205b2e939b1c56286256a130062afc4?OpenDocument
One square foot of retail space can cost a supplier as much as $40,000
a year. Almond grower David Moore gets charged $1,000 a week per store
to carry his products. http://www.straightgoods.com/item428.asp
A company producing preserves, vinegars and syrups states that to
achieve sales of $2 million, it paid $300,000 to get its products
into 1,500 stores. Slotting fees accounted for $90,000 and $210,000
for in-store promotions.
http://www.startribune.com/stories/535/3739332.html
Help with offsetting export costs.
You may be eligible for an export grant. Via the Export Market
Development Grants (EMDG) scheme the Australian Government’s aims to
help exporters by reimbursing up to 50 per cent of the expenses, less
the first $15,000, on export promotional activities. It is
administered by Austrade. For more information see
http://www.austrade.gov.au/generic_template/0,1053,MetaRID%253DPWB1455002,00.html
http://www.austrade.gov.au/generic_template/0,1053,MetaRID%253DPWB1470286,00.html
Will Americans be put off by an imported product?
According to the Australian Trade Commission there is increased
interest from the USA in buying Australian products as they are
perceived to be coming from a ‘clean country’. Australian exports of
meat products to the US rose by 10 percent in 2002. The greatest
demand is for range fed meats and organic products. Poultry and pork
products are gaining favour as consumers due to health concerns.
http://www.austrade.gov.au/ci_display/0,1257,ContentGroup%253Dcountryindust%2526ContentType%253Dcountryindust%2526ContentSection%253Dtrends%2526MetaRID%253DPWB149217,00.html
Additional costs related to exporting.
There is currently a Free Trade Agreement being negotiated between
Australia and the U.S.A.
http://www.dfat.gov.au/trade/negotiations/us.html
Details of import tariffs/duty rates can be found at
http://www.customs.ustreas.gov/xp/cgov/import/duty_rates/determining.xml
Import tariffs relating to meat products can be found at
http://dataweb.usitc.gov/SCRIPTS/tariff/0301c02.pdf
U.S. tightens security on food shipments.
The U.S. Food and Drug Administration has introduced new regulations,
effective from December 2003, requiring foreign food processors
exporting products into the United States to have a registered agent
or representative in the country so that federal agents can contain
any outbreak of food diseases and quickly recall any product that
distributors may have shipped off to supermarket shelves.
http://216.239.51.100/search?q=cache:hrnJmD2V6_0C:www.postherald.com/nw013003.shtml+%22foreign+food%22+us+consumers&hl=en&ie=UTF-8
Links to sausage manufacturers:
Bar-S Foods Co. - www.bar-s.com
Clougherty Packing Co. - www.farmerjohn.com
Cloverdale Foods - www.cloverdalefoods.com
ConAgra Foods - www.conagrafoods.com
Farmland Foods, Inc. - www.farmlandfood.com
Foodbrands America, Inc. - www.foodbrands.com
Hormel Foods Corporation - www.hormel.com
IBP http://www.ibpinc.com/default.htm
Johnsonville Sausage - www.johnsonville.com
Sara Lee Corporation - www.saralee.com
Usinger's - www.usingers.com
Wimmer's Meat Products, Inc. - www.wimmersmeats.com>
<Additional links:>
<U.S. food labelling regulations.>
<http://vm.cfsan.fda.gov/~dms/flg-toc.html>
<Directory of U.S. supermarkets.>
<http://groceries.abeshaus.com/supermarkets.htm>
<Nash Finch Company – a leading food retail and distribution company.>
<http://www.nashfinch.com/index.html>
<Doing business with the supermarket industry.>
<http://www.fmi.org/diversity/sdp/4steps.htm>
<Members of the American Meat Institute gain access to the latest
industry news and trade contacts.>
<http://www.meatami.com/>
<The outlook for food prices in 2003>
<http://www.foodinstitute.com/outlook.cfm>
U.S. tightens security on food shipments.
The U.S. Food and Drug Administration have introduced new regulations,
effective from December 2003, requiring foreign food processors
exporting products into the United States to have a registered agent
or representative in the country so that federal agents can contain
any outbreak of food diseases and quickly recall any product that
distributors may have shipped off to supermarket shelves.
http://216.239.51.100/search?q=cache:hrnJmD2V6_0C:www.postherald.com/nw013003.shtml+%22foreign+food%22+us+consumers&hl=en&ie=UTF-8
<Search strategy:>
< supermarkets "pay to stay">
<://www.google.com/search?hl=en&lr=&ie=ISO-8859-1&as_qdr=m3&q=supermarkets+%22pay+to+stay%22&as_qdr=m3>
< USA "australian products">
<://www.google.com/search?hl=en&lr=&ie=ISO-8859-1&as_qdr=m3&q=USA+%22australian+products%22&as_qdr=y>
<"australian free trade agreement">
<://www.google.com/search?hl=en&lr=&ie=ISO-8859-1&as_qdr=m3&q=%22australian+free+trade+agreement%22&as_qdr=m3>
<"us supermarkets" directory>
<://www.google.com/search?hl=en&lr=&ie=ISO-8859-1&q=%22us+supermarkets%22&as_q=directory>
<"us food labelling">
<://www.google.com/search?hl=en&lr=&ie=ISO-8859-1&q=%22us+food+labelling%22>
<Hope this helps.> |
