New Market Developer, November-December 2015

Issue 6: November - December 2015

Twitter | Facebook | foodexport.org | michigan.gov/agexport | fas.usda.gov 

Michigan Companies Find Success at Anuga

Anuga


Anuga is the world’s leading trade show for the food & beverage industry. This year, the five day show hosted a record breaking 7,063 exhibitors from 108 countries. The show also saw a growth in attendance with around 160,000 trade visitors from 192 countries. From October 10-14, three Michigan companies, the Cherry Marketing Institute, Graceland Fruit and Safie Specialty Foods, traveled to Cologne, Germany, to attend the 2015 Anuga trade show in the Michigan Specialty Crops booth as part of the USA Pavilion.

Anuga provided exhibitors with the largest trading platform of the international food & beverage industry and as a result, the exhibitors in the Michigan Specialty Crops booth felt that the overall effectiveness of the show was excellent. The three companies yielded 80 new buyer contacts which developed into an estimated 13 new buyer relationships. In addition to these outstanding results, the exhibitors anticipate growth in both existing and new export markets within the next six to twelve months.

Companies who are interested in exhibiting at trade shows like Anuga are encouraged to contact Allie Fox at foxa1@michigan.gov or (517) 284-5737 or Jamie Zmitko-Somers at zmitkoj@michigan.gov or (517) 284-5738.


Guest Column:

State Licensing, Inspection and Certification Helps MI Food Businesses Export Products

By Jamie Clover Adams, Director, MI Department of Agriculture and Rural Development

Director Clover Adams

Food safety is the Michigan Department of Agriculture and Rural Development’s top priority, not only because it helps protect consumers from foodborne illness, but also because it helps Michigan food businesses stay competitive and market their products both domestically and across the world.

Our state’s strong food safety licensing and inspection program coupled with the industry’s reputation for high quality commodities and processed food products makes Michigan ripe for the export market. Michigan exports over $3.53 billion annually in food products to foreign countries, and that number continues to grow.

Just as the U.S. has stringent food safety requirements for foreign companies who want to sell their products here, other countries place requirements on U.S. companies who want to export products. Each country has its own requirements list for documentation and food safety. These requirements help countries assure their citizens that imported products are equivalent to products offered for sale in the exporting country. 

A Certificate of Free Sale is required by some countries for certain commodities and processed foods, certifying that specified imported goods are normally and freely sold in the exporting country's open markets and are approved for export.

Certificates of Free Sale are issued by MDARD’s Food and Dairy Division to licensed Michigan food processors that wish to export their processed food products. Many countries will not accept products without a Certificate of Free Sale. Each certificate states that a particular product is produced and marketed in Michigan by a licensed and inspected food processor, the processing facility meets Generally Accepted Manufacturing Standards, and the product’s manufacturer has no unresolved enforcement actions pending before either the Food and Drug Administration or the State of Michigan.

Turn-around time for companies to receive their certificates after MDARD receives a request is typically 3-5 days, depending on workload. The certificates expire one year from the date of issuance.

Based on customer feedback, recent process improvements for this program have increased the speed of certificate issuance and reduced errors. MDARD has also aligned the wording on Certificates of Free Sale to match other forms required for exporting, which allows for a smoother export/import process. To accommodate these improvements, fees to obtain a Certificate of Free Sale were raised to $60, effective October 1, 2015.

Certificates of Free Sale and MDARD’s licensing and inspection program helps create more opportunities for companies in the global market and allows companies to reach out and expand into international markets. MDARD is proud to be a partner with industry, helping our businesses grow and thrive.

For more information on MDARD’s International Marketing Program or Certificates of Free Sale, contact the department toll-free at 800-292-3939.


Market Spotlight:

South Korea

South Korea


South Korea is home to over 50.4 million citizens and represents a unique and enticing export market for many Michigan producers. While population growth is relatively slow at the present time, consumer disposable income purchasing power has increased steadily over the last five years. Additionally, consumer demand for healthy but convenient meals as well as imported spirits and beer has increased significantly in recent years.

South Korea is Michigan’s fourth largest export market, with total export values reaching $58 million in 2014. The United States-Korea Free Trade Agreement (KORUS FTA) is a contributing factor in the recent expansion of opportunities in the marketplace. The agreement went into effect March 15, 2012, at which point numerous tariff barriers were dropped or put into a gradual tariff reduction schedule. To help navigate KORUS FTA terms and conditions, and learn about remaining tariffs and trade barriers, visit ustr.gov/trade or read a Food Export detailed country profile report by Food Export available here

To make connections with potential buyers from the South Korean marketplace, Michigan producers are encouraged to participate in these Food Export – Midwest’s programs throughout 2016.

Seoul Food & Hotel Food Show PLUS!:

Seoul, South Korea May 9-13, 2016. Special emphasis will be placed on food service products, specialty foods, sauces & condiments, and healthy snacks at this event. Registration will remain open until February 17, 2016. Click here to register!

Focused Trade Mission to Korea for Ingredients & Food Service Products:

Seoul, South Korea October 24-26, 2016. Products including meat, poultry, and specialty or processed fruits and vegetables are expected to be of particular interest for buyers at this trade mission. Registration for this event will remain open until August 4, 2016. Click here to register!

Sources: Euromonitor International, Grand Valley State University Van Andel Global Trade Center


Success Story:

Valentine’s Distilling Co.

Vodka


Located in Ferndale, Michigan, in the 9th Congressional District, Valentine Distilling Co. has experienced tremendous success throughout the last few years. Company president, Rifino Valentine, who is dedicated to producing high quality, small batch spirits, turned to Food Export – Midwest’s Branded Program in 2012 to help expand the company’s global presence. In 2013, Valentine’s Distilling Co. also began utilizing Food Export – Midwest’s Online Product Catalog, as well as the Food Export Helpline. These programs have been invaluable resources for the local distillery, particularly in offering promotion for the company and assistance in navigating the logistical barriers many Michigan exporters face.


With the continued assistance of Food Export – Midwest’s Branded Program, in 2014 Valentine Distilling Co. saw approximately $80,000 in export sales, and expect their 2015 totals to rise an impressive 50% to approximately $120,000 in just one year. To accommodate this rapid growth, Mr. Valentine reported that the company recently “opened a new 15,000 sq. ft. production facility, making it one of the largest in the Midwest.” In 2014 the distillery also welcomed three new full time employees who will help the company expand its export reach even further.

Click here for the full story: Valentine Success Story


A Look Back On 2015

Focused Trade Mission to China

The International Marketing Program would like to take this opportunity to thank everyone who helped make this year an outstanding success. Please join as we look back on some major events for Michigan exporters in 2015.

Focused Trade Mission to China

International Marketing Program Manager Jamie Zmitko-Somers coordinated a Focused Trade Mission to China with Food Export – Midwest from July 11-18. Company representatives from across the Midwest participated in pre-arranged one-on-one meetings in Hong Kong and Northern China to promote the exportation of their Midwest food products.

Export Seminars

The International Marketing Program welcomed industry professionals to three separate seminars throughout 2015. Each seminar focused on a distinct aspect of exporting and was a great success thanks to our attendees and generous partners and sponsors.

Seminar

2015 Michigan Pavilions

The first of many successful Michigan pavilions at trade shows in 2015 took place at Fruit Logistica in Berlin, Germany, February 4-6. A few months later Michigan producers traveled to Chicago, IL, for the National Restaurant Association (NRA) Show May 16-19, and returned to the same venue for the Food Marketing Institute (FMI) Show June 9-11. Michigan Pavilions were also held at the Anuga trade show October 10-14 in Cologne, Germany, as well as the American Food & Beverage Show October 26-27 in Miami, FL. These events were considered a success and provided significant international exposure for Michigan exporters.

For more information on trade shows and export opportunities available to your company in 2016 please contact International Marketing Program Manager Jamie Zmitko-Somers at zmitkoj@michigan.gov or 517-284-5738 or International Marketing Specialist Allie Fox at foxa1@michigan.gov or 517-284-5737. 

Michigan Pavilion & Buyers Mission at the 2016 NRA Show

Interested in engaging with over 42,000 buyers face-to-face at the largest food service and hospitality trade show in the Western Hemisphere? Then join the International Marketing Program in the Michigan Pavilion at the National Restaurant Association (NRA) Show in Chicago, IL, May 21-24, 2016. The cost for a 10x10 booth in the Michigan Pavilion is $3,195.

In addition, Food Export-Midwest will conduct a Food Service Buyers Mission in conjunction with the NRA show. For just $225, you and your company can participate in pre-arranged one-on-one meetings with qualified international buyers. Register before March 18, 2016 and pay only $150. Registration closes on April 8, 2016 so be sure to register early to reserve your spot and to save money!

Visit michigan.gov/agexport to access copies of the exhibit space applications. For more information on the Michigan Pavilion and Food Export-Midwest Buyers Mission please contact Jamie Zmitko-Somers at (517) 284-5738 or zmitkoj@michigan.gov.


Export Seminar featuring 2014 MI Ag Exporter of the Year

The International Marketing Program will hold an export seminar on February 9, 2016 at the Henry Center in East Lansing. The seminar is offered in conjunction with the Michigan State University Global Business Club, and will include valuable information for Michigan exporters. Featured presenter Matt Tripodi, Government & Trade Relations Manager for Euromonitor International, will discuss “Expanding Your Exports in the 21st Century: Opportunities & Challenges for Growth”. The seminar will also include a special presentation by the 2015 Michigan Ag Exporter of the Year, Star of the West Milling Company. Registration details will be available soon! 

Please direct any questions to Jamie Zmitko-Somers at (517) 284-5738 or zmitkoj@michigan.gov.


Upcoming Events

Specialty Foods Buyers Mission at the Winter Fancy Food Show

January 16-18, 2016 | San Francisco, CA

Focused Trade Mission to Canada for Retial, Food Service & Ethnic Products

February 16-18, 2016 | Vancouver, Canada 

Food Show PLUS! at Gulfood

February 20-25, 2016 | Dubai, U.A.E.

Focused Trade Mission Chile for Sweets & Snacks Products

February 29 - March 1, 2016 l Santiago, Chile

Focused Trade Mission to Columbia for Sweets & Snacks Products

March 2-4, 2016 l Bogota, Columbia


Welcome Baby Hannah!

On September 19, 2015 International Marketing Program Manager Jamie Zmitko-Somers and her husband welcomed a baby girl to the world. Hannah Grace was born in the evening, weighing 6 lbs 5 oz and was 18 3/4 in long. Jamie and Hannah are both doing well, and older siblings Mason and Breann are excited to have a new playmate. Jamie will remain on maternity leave as the family adjusts to this exciting phase of life, but will return to the office soon. 


Follow us

Follow us on Twitter for valuable insider information about upcoming events, links, and news.

Become a Fan of MI Department of Agriculture and Rural Development on Facebook

Get in touch and stay informed with program updates at LinkedIn


Get in Touch with the International Marketing Program

Jamie


Jamie Zmitko-Somers

zmitkoj@michigan.gov

517-284-5736

Allie


Allie Fox

foxa1@michigan.gov

517-284-5737