Bringing Value-added to Specialty Produce

By D. Brent Clement
Editor/Publisher

With its creative salads, diced onions, baby beets and other offerings, Melissa’s/World Variety Produce Inc. is bringing value-added to specialty produce.

The Los Angeles-based company-the largest distributor of specialty produce in the United States-has come a long way since its humble beginning almost 21 years ago. Today, Melissa’s imports and distributes exotic fresh fruits and vegetables from around the globe.

Melissa’s main niche is unique fruits and vegetables but not necessarily whole. The company is aggressive in the marketplace with a growing list of value-added products. Among them are Stir-Fry Vegetables, Microwaveable Asian Veggies, Edamame, two options of chopped onions and a baby red beet product that helps eliminate the mess.

Stir-Fry Vegetables Popular
Melissa’s Stir-Fry Vegetables include a fresh blend of napa cabbage, bok choy, broccoli hearts, celery, carrots and snow peas. The content is packaged for stir-frying in a wok or a frying pan for a quick-and-easy-to-prepare entrée of stir-fry vegetables or as a delicious stir-fry chop suey. Melissa’s Stir-Fry Vegetables make a versatile accompaniment to many other menus. They can be used in soups and salads or added to your choice of beef, chicken or seafood for a full-bodied meal served with rice.

Melissa’s Microwaveable Asian Veggies are available in three choices: Bok Choy & Napa, Shanghai (Baby) Bok Choy and Asian Stir Fry. Ingredients in Asian Stir Fry include tofu, baby corn, bean sprouts, celery, shitake mushrooms, water chestnuts and onions.
The specialty produce business’s Edamame value-added soybean product is available in either shelled or unshelled (podded) versions. Shelled Edamame comes in a 12/10-ounce size, while the podded alternative is available in 12/12-ounce packaging. Melissa’s Edamame is popular as snacks, has great taste and offers proven health benefits. It is popular at sushi bars and many restaurants as appetizers and snacks and has a 21-day shelf life.

Melissa’s also offers fresh chopped onions but distinct from those produced by more conventional processors, according to Robert Schueller, Melissa’s director of public relations. The chopped onions have a unique taste and are ready-to-go in both sweet yellow and sweet red varieties. Melissa’s offers this valued-added package with a 3-week shelf life in a re-sealable bag that stands up and includes a re-closable zipper. This 8-ounce package equals approximately two medium size onions.

The company hopes to capitalize with products that offer both convenience and solve problems for busy consumers. Many hate to cut and dice onions.

“Until now, there has been no way around the tears,” says Schueller. “As a result of our technology, we can help the consumer avoid all of that. The undesirable is now very desirable. Open the bag, pour out the content and you are all done. There are no tears. “

Another value-added product added recently is tender beets, shipped in from France. These are trimmed, peeled and ready to eat out of the package. Consumers can save time and avoid the mess of preparing fresh beets.

“These baby beets are all natural with no preservatives or additives and are free of GMOs,” explains Schueller. “They are low calorie and have no cholesterol. They are delicious warmed up, cold in salads or as a garnish. There is no need to add anything to them other than to store them in the refrigerator for optimum shelf-life.”

The name Melissa’s comes from Melissa Hernandez, the daughter of Joe Hernandez, who founded the company in February 1984. After operating under the name of World Variety Produce for several years, the name was simplified to Melissa’s. The change has vastly improved name recognition and is more easily identified on labels, particularly smaller packages.

Promoting ‘One Stop Shopping’
Today, Melissa’s has adopted a “one-stop shopping” concept and is aggressively expanding its line of value-added and specialty produce offerings.

In the earlier days, the Hernandez family focused mainly on Latin items such as fresh chilies, chayote and jicama. Later, they branched out into other ethnic markets, including different kinds of Asian produce and other exotic fruits and vegetables from around the world.

What began as a product line of just over 20 items, most of them Latin in origin, has now grown to more than 1,300 different items from all over the world, Schueller points out. Products arrive regularly from 20 countries or more.

Melissa’s maintains warehouse and marketing facilities in Los Angeles but also works through regional managers and merchandisers spread throughout the country. Product is picked up by the respective customers at the company’s Los Angeles warehouse.

“The great thing about using the world as your supply source is that when it is winter here, it is summer there, or the reverse is true,” Schueller smiles. “This time of year, we look to Chili or New Zealand for their spring and summer fruits. If what’s needed is unavailable locally, we go globally. Our goal is to provide our customers with a steady, year-round supply. We’re definitely a global company.”

Melissa’s markets most of its products coast to coast-from Los Angeles to New York, Orlando and Portland.

“You’ll find us in all of the major supermarkets across the country and everywhere in between,” Schueller says. “While our No. 1 brand name is Melissa’s, we also have other brand names in the stores. One is Don Enrique, for our Latin dried items such as canela and epazote. Two other small brand names are Jo-San, for our Asian dried items and value-added products, such as kimchee, that need to be refrigerated, and Rookies, a line of snack-type products that we have as well.”

Melissa’s began offering value-added products in the early 1990s.

“We moved in that direction because the average American just didn’t-and still does not-want to spend time preparing meals anymore,” Schueller says. “Today, many have forgotten, or failed to learn, how to prepare and cook a balanced meal. We’ve moved to the next step with some of the value-added items we began marketing only five or six years ago-sliced water chestnuts, sliced bamboo shoots and whole baby corn. Many consumers no longer want to handle ingredients, value-added or not. They want a product this ready to eat or very close to it.”

Importance of Packaging Technology
Schueller credits the packaging industry with developing the technology that is helping bring value-added meal preparation about. It wasn’t until the late 1990s, he says, when modified atmosphere packaging technology became available, that Melissa’s was able to offer value-added produce items. Such packaging extended product shelf life significantly, making such packaging more attractive for retailers as well as foodservice operators.

Packaging is driving the fresh-cut produce industry, Schueller claims.

“In addition to being marketed in modified atmosphere packaging, many of our value-added products are microwavable as well,” Schueller adds. “When buying them, consumers don’t have to do much when they get home for there to be a side dish or main dish, depending upon whether you are a more traditional consumer or a vegetarian. Vegetarians represent core customers in many produce departments. Even for those who are not 100 percent vegetarians, many enjoy being able to pick up a prepared salad for lunch or dinner.”

Since Melissa’s remains a specialty producer supplier, it contracts with various produce suppliers to package and prepare its value-added products. All must be HACCP certified and meet rigid safety and packaging standards.

Today, company founder, Joe Hernandez, remains as president and CEO of this privately held company enterprise. His brother, Jimmy Hernandez, serves as general manager, and more than two dozen family members are involved in various positions.

As for Melissa, the daughter whose name is identified with America’s largest specialty produce company, she, too, will soon join the ranks of company employees. Melissa is completing a college degree at the University of Nevada, Las Vegas, and will be available in the spring. While growing up, Melissa attended many produce shows and participated as a member of the cast in various company exhibitions.

© 2005 Columbia Publishing



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