“On a daily basis, we have 1,000 to 2,000 loads of produce on the road, but we don’t own a single truck,” says Kenny Lund with Allen Lund Company (ALC). The company started out in 1976 and is a true example of the American Dream. “My parents had six kids, no money and bought out a transportation broker who was retiring. Within a month, my dad quadrupled the business and today we have 440 employees in 30 offices across the US.”
About half of ALC’ business is made up of shipping fresh produce. “Back in the day, when the company was started, the trucking industry was regulated and we were only allowed to handle exempt, unfinished end-product such as fresh produce,” said Lund. “Produce is how we started out.”
Relationship based on trust
“Trucking fresh produce requires a special skill set,” mentioned Lund. The shippers, whether they are growers or retailers, really have to trust their carrier as incorrect handling could result in a truckload of produce being wasted. “Building this level of trust results in great client relationships.”
Driver needs to understand the product
“For us as a transportation broker it is very important that our carriers understand the needs of the shipper. Because of the nature of the product, drivers have to be involved. They need to understand the product they are carrying as they have to take care of it for three to four days on average. We talk to our drivers once or twice a day to monitor how they are handling the produce.” A survey that was held a few years ago, showed that relationships are key and even driver professionalism is more important than getting a load shipped for the lowest price.
Small trucking companies perform best
“The world of produce carriers is being dominated by single-operating transportation companies or by companies that own 20 trucks or less,” said Lund. Because of their smaller size, these companies are familiar with the level of knowledge of their drivers and are better able to keep control during the time of transportation.
ALC has 22,000 active carriers in its system that ship produce all across the US. Increasingly, fruits and vegetables are being shipped into the US from Mexico. The company also ships in Canada, but is looking to expand its reach and build relationships with Canadian produce companies.
ALC will be attending United Fresh’ Washington conference from September 28-30 and will be present at the PMA Fresh Summit (booth #347).