| SIC Codes: | 5148 |
| NAICS Codes: | 424480 |
The US fresh produce wholesalers industry includes about 5,000 establishments (single-location companies or units of multi-location companies) that generate annual revenue of about $65 billion. Major companies include American Fruit & Produce Corporation, Coast Citrus Distributors, Caito Foods Service, Southern Specialties, and Tom Lange Company. The industry is fragmented: the 50 largest companies account for about 30 percent of industry revenue.
Demand is driven by consumption of fruits and vegetables. The profitability of companies depends on maintaining a high quality and varied selection of produce and on efficient operations. Larger distributors benefit from economies of scale in purchasing and transportation. Smaller companies may compete by specializing in certain products, such as tropical fruits or organic products, or by focusing on a geographical area. The industry is capital-intensive: annual revenue per worker is about $785,000.
Major products include a wide variety of fruits, vegetables, and fresh spices and herbs, including organic products. Some distributors offer other products often found in or near grocery store produce departments, including seasonal nuts, salad dressings, tofu, juice, flowers and plants. Distributors may specialize in exotic produce and related products, including Asian specialties such as enoki mushrooms and lotus root and Latin specialties such as corn husks and cactus pads.