Seven Chilean buyers visited the SUSTA region to participate in the Chilean Reverse Trade Mission (RTM) that took place June 13-17, 2005 in Atlanta, Georgia and Oklahoma City, Oklahoma. The buyers represented seven firms that import and distribute food products to retail and foodservice establishments and supermarkets in Chile. Twenty companies from the region showcased their products to the Chilean buyers during their five-day visit to the U.S. On the first day of activities in Georgia, the buyers toured two area businesses, including the factories of Heavenly Cheesecakes and the Dekalb County International Farmers Market. On the second day, the Chilean visitors met one-on-one with nine SUSTA company representatives. The activities in Georgia offered the buyers an opportunity to meet with business owners as well as the ability to discuss future export possibilities.

The reverse mission to Oklahoma included more one-on-one meetings between the Chilean buyers and U.S. manufacturers of processed food interested in exporting to Chile. A mini tradeshow format was utilized for the day of meetings. This approach allowed 10 exhibiting companies to prepare and offer food samples. Most importantly, the event created a business climate conducive to private business discussions relating to export business opportunities with individual buyers. Products promoted in Oklahoma included portion control meat products, variety meats and breaded precooked meat entrées, as well as a full line of condiments, frozen vegetables and fruits, frozen Taipei entrees, baking mixes, pet food products, rice and food ingredients.

While in Oklahoma, buyers toured a meat-processing facility, a major condiment processing plant, a value-added flour milling operation, a Wal-Mart Super Center, Sam's Club and an Albertson's grocery store.

Participating companies included: Old World Gourmet, Resource Point, Chihade International, Argo Century Inc., Merritt Popcorn Co., Braswell Food Co., Inc., Lancaster's Barbecue, Inc., Metafoods, LLC, Hardy Farms, Heavenly Cheesecakes, Inc., Griffin Foods, Shawnee Mills, Chef's Requested Foods, VIP, Advance Foods, Clement's Foods, American Rice, Pepper Creek Farms, Dancing Bear, and Field's Pie.

Chile is an exceptionally promising market for a wide range of U.S. goods and services, and the new Chile-U.S. Free Trade Agreement (FTA) will offer companies from the SUSTA region even greater access. Our eye is on Chile with its rapidly changing retail food market and supermarket chains.

Once again, SUSTA welcomed two groups of influential international chefs for two week training courses conducted by the John Folse Culinary Institute of Nicholls State University in Thibodaux, Louisiana, where the groups trained in all facets of southern U.S. cooking and culinary traditions. The participating 23 chefs hailed from: the Russian Federation, Czech Republic, Slovenia, Croatia, Hungary, Canada, India, Japan, El Salvador and Costa Rica.

SUSTA's chef training is intricately coordinated with our Generic program and Emerging Markets initiatives, and includes a plethora of partnerships with other trade groups, associations and private industry.

This year, SUSTA encouraged increased involvement from our member states. During the Delmarva (a peninsula including portions of Delaware, Maryland, and Virginia) session for the Eastern Europe group, International Marketing Specialist Susan Giannasi of the Virginia Department of Agriculture brought products for the chefs to inspect and use, including Smithfield ham plus local crabmeat and fish. Giannasi introduced the products, supplemented the training discussion, and planned future promotional activities with the chefs. Also, at her suggestion, branded products utilized in the program in future years will receive featured recognition in recipes created during the course. These recipes will be posted on SUSTA's website and will highlight the recommended brands used in the training course.

The second group of chefs experienced Tex-Mex and southern barbecue cuisines featuring products from Texas. Andrea Southerland of the Texas Department of Agriculture was in attendance and brought the following Texas products for the chefs to incorporate into recipes or to learn how to use: seasonings and BBQ rub from Texas Select Seasonings, salsa from Lone Star Salsas, chipotle spread, BBQ sauce and dry rub from Terra Sol Foods, flavored sea salt dry rub- chipotle from Spiceburst, BBQ gourmet sauce from Butler's BBQ Sauce, dry chili rubs and mixes from Wolf Creek Distributing, tortillas from Ibarras, Inc., sausages from Syracuse Sausage, and Texas salsas and steak sauce from Sanderson Specialty Foods.

In future courses, SUSTA hopes more companies will send samples so such product placement and demonstration can be a larger part of the training, opening up these influential foreign chefs to a variety of specific brand name products from the southern region.

Many of the chefs involved in the 2005 training sessions are directly involved with ongoing SUSTA initiatives. For instance, Chef Vaishali Sood of India is enlisted to participate in our India Initiative as SUSTA's Chef Ambassador to India. The India Initiative is a follow-up to SUSTA's Emerging Markets Program - India, which began in 2003. Two chefs from Japan, four from El Salvador and two from Costa Rica were winners of culinary contests held in conjunction with SUSTA's Japan Pecan Promotion and Central American Initiative, respectively. In addition, the Central American Initiative is also a follow-up to the Emerging Markets Program - Central America. The judges of the Central American culinary event, both in El Salvador and in Costa Rica, were past participants of SUSTA's chef training. SUSTA's Russian Federation Promotion and the European Regional Foods Initiative served as recruiting grounds for the participating chefs from the Russian Federation and the Czech Republic. One of the Canadian chefs, Ross Miller, is enlisted to take part in SUSTA's Go South! produce promotion, which has expanded to include seafood.

In addition to involving chefs from around the world, the culinary training incorporated local organizations from the southern U.S. region. The chef training program was held in conjunction with Nicholls State University and Chef John Folse and Company. The Catfish Institute presented "Genuine U.S. Farm-Raised Catfish" to the group and featured Catfish Institute Demonstration Chef Blake Swihart. The Louisiana Seafood Promotion Board spoke to the group, as did Motavatit Oysters and Fast Crab, makers of stainless steel crab meat extractors. Local Louisiana participants, many of whom donated product, included: Diageo Chateau and Estate Wines, Hibernia National Bank, Coca Cola, Sterling Beer Distributors, Bouquet Beer Distributors, Ruth Bordelon and Jimmy LeMoine of Canal Barbeque, Cannata's Supermarkets and Bourgeois Hot Sauce.

A significant change in the current relative weakness of the U.S. dollar has provided U.S. exporters with opportunities in markets that are normally not viable for the export and sale of our products. On August 1, 2005, the euro equaled US$1.21. During the past 5 years the exchange rate between the dollar and the euro has declined 40%.

SUSTA is currently experiencing a higher level of inquiries by foreign companies from around the globe that normally buy European food products and who are now interested in U.S. products. This increased interest level extends also to European companies requesting U.S. food products because of the strong euro-to-dollar relationship.

In the upcoming fiscal year SUSTA is focusing more activities and programs in the European market. Our European Initiative encompasses a range of promotions, missions, seminars, and shows to provide our southern companies with increased opportunities to meet European buyers. For details, visit www.susta.org/services/gip_euregionalfoods.html.

Our action plan includes the development and use of a southern U.S. pavilion for up to 10 companies per trade show. The unique pavilion will be appealing in design and functionality. It will feature the "Southern Originals" logo and theme, and will include a lounge and cooking demonstration area. The focus of our efforts will be selected regional tradeshows that are smaller, less expensive to the exhibitor, and provide a better opportunity to make sales and establish distributorships.

The southern pavilion will be combined with tradeshow support that will provide our exhibiting companies with a turnkey package of services. These services encompass pre-show and post-show assistance, as well as support during the show. Benefits will range from market research to matchmaking to travel and sample logistics to qualifying buyers. Exhibitors will send their samples and display items to a central point in Europe. SUSTA will coordinate the transportation of samples from the port of entry to the trade show.

This pavilion, coupled with the groundwork laid by our European Regional Foods Initiative, will allow southern U.S. suppliers to establish a presence in the European market. In the past, U.S. companies have found it difficult to sell many food products in Europe, but because of the euro's strength over the dollar and the desire for new, authentic products, buyers in the E.U. are eager to establish new relationships with suppliers. The column to the right lists the regional tradeshows at which SUSTA hopes to exhibit and promote "Southern Originals" during 2005-2007. The tradeshows and promotions in the E.U. will be listed at www.susta.org/events when plans are finalized. Contact Generic Coordinator Nicole Schauer (nicole@susta.org).

Below is a list of regional trade shows in Europe that SUSTA is considering for future SUSTA Generic activities. SUSTA presence at these shows would include the southern U.S. pavilion currently under design (see Director's Corner to the left). These efforts would build onto the successes of our European Regional Foods Initiative, which began in fall 2004.

• IGEHO - Basel, Switzerland
  Nov. 19-23 2005
• Horeca Expo - Gent, Belgium
  Nov. 20-24, 2005
• Horecava - Amsterdam, The Netherlands
  Jan. 9-12, 2006
• BBB - Maastricht, The Netherlands
  Jan. 23-26, 2006
• Mia Rimini - Rimini, Italy
  Feb. 4-7, 2006
• Internorga - Hamburg, Germany
  Mar. 3-8, 2006
• Alimentaria - Barcelona, Spain
  Mar. 6-10, 2006
• Salima - Brno, Czech Republic
  Mar. 7-10, 2006
• Food & Drink Expo - Birmingham, Great Britain
  Mar. 19-22, 2006
• Gastro Nord - Stockholm, Sweden
  Apr. 24- 27, 2006
• IFE - Warsaw, Poland
  Apr. 25- 27, 2006
• World Private Label Show - Amsterdam, the Netherlands
  May 24-26, 2006
• Intercool/Dairy products/Intermeat - Düsseldorf, Germany
  Sept./Oct. 2006

Regional shows in 2007 include expos in France, Great Britain, The Netherlands, Portugal, Italy and Switzerland.

Caribbean Promotion at Americas Food & Beverage Show
Miami, Florida
November 19-20, 2005

Over the past year, SUSTA has sponsored several promotions targeting both retail as well as hotel, restaurant and institution (HRI) outlets in the Caribbean region. The Caribbean has great potential for U.S. agricultural exports, with nearly $325 million in snack foods, beverages, fresh and processed fruits and vegetables, and other consumer-oriented products imported in 2003. Southern U.S. suppliers can offer buyers in this region a variety of unique, quality products and enjoy a distinct advantage over other exporters due to their geographic proximity. SUSTA will continue to promote southern U.S. food and beverage products to Caribbean buyers at the 2005 Americas Food and Beverage Show in Miami. The show, which is in its eighth year, attracts buyers from throughout Latin America and the Caribbean. Last year's exhibitors reported sales totaling $944 million. U.S. companies are invited to display their products under SUSTA auspices at the show. For more information, contact Jeff Justice of the North Carolina Department of Agriculture by phone at (919) 733-7912 or via email at jeff.justice@ncmail.net. You may also contact Crystal Collier of the Alabama Department of Agriculture at crystal.collier@agi.alabama.gov or at (334) 240-7224.

Korean Seafood Initiative
Busan, South Korea
November 24-27, 2005

In 2005, SUSTA returns to the Busan International Seafood & Fisheries Expo for the international marine trade. Over 500 exhibitors representing 25 countries are expected for the 2005 show. Key players in the northeast Asian market visit the show, including 43% from the production and distribution industry and 37% importers/exporters. At the 2004 show, 69% of the attending buyers came from Asia, making the show a strong opportunity to break into the Asian seafood market. Each day over 15,000 visitors attended the 2004 show. This will be SUSTA's third year exhibiting at the Busan show. Last year's participants found that buyers were specifically interested in croaker, scallops, monkfish, eel, mackerel, blue crabs, squid, clams, crab roe and spot. For more information on this year's mission to the show, contact Shirley Estes of the Virginia Marine Products Board by phone at (757) 874-3474 or by email at sestes@vaseafood.org.

IPM China International Plants Expo
Foshan, China
December 1-3, 2005

This year, the organizers of IPM Essen, the world's largest horticultural fair, will introduce a new international fair for the plant and nursery industry with IPM China-International Plants Expo. IPM China will take place in the Chencun region, which is the heart of China's horticulture market and the largest cultivation area for plants and flowers. SUSTA will focus on this international trade show with a pavilion and trade mission bringing U.S. suppliers to this growing market. Suppliers will have the opportunity to identify and meet new customers and representatives, as well as observe the global market. As western customs spread throughout the Far East, demand for plants and flowers is increasing and creating opportunities for international trade to the region. With 1.3 billion people, China is a market with great potential. Sales of horticultural products have doubled in the past 10 years, and the Chinese middle class is expected to increase tenfold in the next 10 years, which will play a large part in the growing demand for flowers and plants. This new trade show seeks to tap into the possibilities of the Asian market. For more information on SUSTA's trade mission to IPM China, contact Jane Storrs of the Maryland Department of Agriculture at storrsjm@mda.state.md.us or by phone at (410) 841-5770. You may also contact Paul Nordstrom at paul.nordstrom@state.tn.us or at (615) 837-5384.

In our first year promoting southern U.S. seafood, Go South! has already seen successes - exhibiting at the Canadian Food & Beverage Show, sampling scallops during an in-store demonstration program with Longo's, and now we have partnered with Lucy's Seafood Kitchen in Ontario for our first-ever restaurant promotion.

Featuring scallops and shrimp, this six-week promotion will invite Lucy's customers to Go South! for their chance to win a $2,500 travel voucher good for a trip to any of the 16 SUSTA states. All customers have to do to enter is order one of the Go South! feature menu items - Cajun Shrimp Crab Cakes, Southern Fried Catfish, Shrimp and Scallop Hushpuppies, B.B.Q. Shrimp and Scallops, Grilled Shrimp Salad or Southern Fried Shrimp and Scallops.

For one day only, August 18th, proceeds from the sale of the Cajun Shrimp Crab Cakes were donated to the Canadian Juvenile Diabetes Foundation, a charity close important to Lucy's Seafood Kitchen owner, Leonard Little.

Promotion results and photos will follow in a future issue of INsight. Be sure to stay tuned! Visit www.susta.org/services/gip_gosouth.html for more details on SUSTA's extensive work in the Canadian market.

This promotion has its own website. Go online to gosouthfresh.com and find industry news along with delicious recipes for dishes like Tex-Mex Corn Chile and Key Lime Scallops with Mango Cucumber Salad.

The Food Marketing Institute Show (FMI) took place at McCormick Place in Chicago, Illinois from May 1-3, 2005. Again this year, SUSTA hosted a delegation from Korea that consisted of four buyers identified during the Food and Hotel Korea show in which SUSTA participated in March of this year. The buyers represented different sectors of the food retail industries.

Each buyer was introduced to more than 20 SUSTA companies by members of the Georgia and Maryland Departments of Agriculture. They spent three days meeting new contacts, investigating new products and discussing possible long-term agreements with SUSTA companies. The buyers had one-on-one meetings with 20 companies during the show. The buyers' interest included sauces, nacho cheese, peanut ingredients (oil, powder, etc.), various organic products such as meats, dips and sauces, and ice cream toppings such as peanut brittle.

The group then traveled to Maryland and met companies in the region. Maryland representatives were explained how SUSTA's programs benefit exporting U.S. suppliers and how SUSTA has assisted U.S. companies in entering Korea.

This was the first time these buyers met with the SUSTA companies and had a chance to see the diversity of products in our region. Each buyer had different needs and was seeking specific products. Mr. Sunyong Lee of SAMA Venture Corporation was very interested in ingredients and toppings for ice cream. Mr. Youngwook Kim of Meathahn was interested in sauces, particularly salsas, along with nacho cheese, peanut ingredients (oil, powder, etc.), and various organic products such as meats, dips and sauces. Mr. Suk Jae Yang of J&S Korea was seeking candies and baked goods. Mr. Sul-Chul Kim of AJU Corporation was interested in mustards and canned ham.

The Korean buyers requested samples of six products, which were shipped following the meeting. Overall, a number of opportunities exist in the Korean market for southern companies.

With the help of SUSTA's MAP Branded program, Heavenly Cheesecakes, Inc. is delighting the world with their delicious desserts. Dianne Dougherty, president of Heavenly Cheesecakes, Inc., started her company twenty years ago while making cheesecakes out of her small Georgia kitchen. Today, Dougherty operates in a facility of 32,000 square feet. SUSTA's MAP Branded program, along with an enticing product line, has allowed Dougherty to expand her business both nationally and internationally.

Since moving into a larger facility, Dianne Dougherty and her husband now have the needed space and amenities to expand business and to disburse high-quality desserts to more vendors and consumers. However, as is the case for many small businesses, there are always potential risks with expansion to an international market. Hence their motivation to apply for 50 percent reimbursement under the MAP Branded program. According to Dougherty, "The MAP program has been extremely beneficial. We really just couldn't have shown our product to the world without the funds."

While taking part in the program, Heavenly Cheesecakes has utilized the majority of their matching funds to actively participate in eligible trade shows. Since joining the Branded program, the company has exhibited at Fancy Food Show-New York, Private Label Manufacturers Association's Show, and the International Dairy-Deli-Bake Show. "Booths can be very expensive at these shows, making it difficult for small businesses like us to attend," said Dougherty. "MAP funds have provided us [the opportunity] to be present at various trade shows this year, resulting in some big accounts, including a large grocery account that has been excellent for our sales."

Since Branded funds ultimately enable companies to unlock their international potential, Heavenly Cheesecakes' current endeavors include exporting their desserts to Mexico, China, Chile, and Argentina. Going global has led the company to an increase of approximately $1 million in annual revenue and inspired the implementation of a Research and Development Department whose primary objective is to produce quality nonperishable desserts that are more export-friendly.

Heavenly Cheesecakes, Inc. has experienced the sweet return of doing business on an international level. The company hopes that with SUSTA's help, they will continue to gain global profits and receive international interest in their heavenly treats.

~Article by Maria E. Landrau, SUSTA Branded Coordinator

SUSTA welcomes Commissioner Terry L. Peach of the Oklahoma Department of Agriculture, Food and Forestry. Commissioner Peach was selected as the President of SUSTA's Executive Advisory Committee.

Peach was appointed Oklahoma Secretary and Commissioner of Agriculture in May 2003 by Governor Brad Henry. He is President of the Oklahoma State Board of Agriculture and is a member of various civic and agricultural organizations. He previously served as the Executive Director of the Oklahoma Farm Service Agency and received the agency's Distinguished Service Award for Outstanding Leadership. A third-generation farmer, Peach and his sons also operate a family farm and ranch of several thousand acres.

Peach is joined on SUSTA's Executive Advisory Committee by Commissioner Ken Givens of Tennessee (Vice-President) and Commissioner Hugh Weathers of South Carolina (Secretary/Treasurer). Commissioner Susan Combs of Texas also serves on the committee as the Past President of SUSTA.

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Global Export Market System (GEMS) Expands Scope

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