How Food Actually Gets from the Farm to Your Grocery

 

Distribution and Logistics at Red Tomato

Network coordination

Processing, packaging, packing

Consolidation points

Direct Store Delivery (DSD) vs. Distribution Center (DC)

Coordinating Supply and Orders

Trucking


Distribution and Logistics at Red Tomato

Logistics - the orchestration of a complicated network of shipping, storage and delivery routes to get fresh produce from the farm to the store, while it is still fresh-- is one of the most magical aspects of the Red Tomato supply chain. The magician in this realm is our Operations Manager (and logistics expert) Angel Mendez. In Red Tomato's early days, we owned and operated the supply chain: we picked up the product, we stored it, and we delivered it. However, the wear and tear of maintaining trucks and warehouse infrastructure proved to be a drain rather than an asset, and meant that we could not give marketing, product development and sales the attention needed. In the fall of 2002, we closed the warehouse and completely restructured the supply chain.

Network coordination

We reinvented our distribution operation as a coordinated network that makes more efficient use of existing trucks, on-farm storage, and consolidated warehouse infrastructure. This low-overhead approach gets the product moved, and lets us focus on what farmers need most: marketing & promotion, managing supply, and developing strong relationships with retail and wholesale buyers. 

Processing, packaging, packing

Growers in the Red Tomato network harvest, process, pack, and store what they grow. Red Tomato coordinates the design and production of packaging (designed specifically for their farm and product), which adds value and traceability for the buyer and consumer. Most Red Tomato growers have the facilities and equipment to pack and store, on the farm, and the few that don't, work in collaboration with other growers in the network to pack and/or store their product.

Consolidation points

In order to streamline trucking routes, Red Tomato Operations Manager, Angel Mendez, works closely with farmers in the network to gather product at consolidation points on centrally located farms, at the produce market in Chelsea, MA, or at distribution centers. Consolidation is particularly crucial when orders from a single farm are not large enough to fill a truck (less than full load LTL) which can drive up the cost of trucking. When farmers work together to consolidate product at one pickup point, Red Tomato can help lower the cost of shipping.

Direct Store Delivery (DSD) vs. Distribution Center (DC)

Red Tomato products arrive to a retail produce department one of two ways: direct store delivery (DSD in industry lingo) and through a distribution center (DC). With really sensitive products, like strawberries, or when a farmer has a relationship with a particular store buyer, we sometimes set up trucking that takes fresh produce from the farm (or consolidation point) directly to the store. More often, however, we are working with our trucking contact to haul products into a store- or distributor-owned distribution center. Once at the DC, the store or distributor then ships our products to their final destination.

Coordinating Supply and Orders

While much pre-planning goes into the off season, around price, supply, and demand, once the season hits, staying on top of quantity of product, harvest timing, and, of course, quality can be a bit of a wild ride. It often takes twice, or more, daily phone calls between growers and buyers to put together a final order. Sometimes, weather drives last minute changes and countless more phone calls.  This work is all done by our tireless Product and Account Managers, with the help of our Operations Team.

Trucking

Red Tomato trucking is done by a network of regional growers and third-party truckers. In order to get products from a farm to the store or DC efficiently it may ride on two or three different trucks in a 24 hour-period. The cooperation and creativity of these companies and drivers, enables Angel to run a tight ship. We currently work with the following farmers and trucking companies:

Andrews Trucking
Aurora Farms
Black River Produce
CF Logistics
Chang Farm
D&S Logistics
Hepworth Trucking
J&D Transport
Kegels Produce
Krichmar Produce
Mother Earth Organic Mushroom
Pizini Mushroom
Regional Access
Sunrise Logistics
Total Quality Logistics
Lancaster Farms