• TABLE OF CONTENTS
HIDE
 Front Cover
 Front Matter
 Main
 Back Cover














Group Title: Annual report of the Florida Department of Citrus
Title: Annual report
ALL VOLUMES CITATION THUMBNAILS PAGE IMAGE ZOOMABLE
Full Citation
STANDARD VIEW MARC VIEW
Permanent Link: http://ufdc.ufl.edu/UF00086634/00005
 Material Information
Title: Annual report
Physical Description: v. : ; 28 cm.
Language: English
Creator: Florida Citrus Commission -- Dept. of Citrus
Publisher: The Dept.
Place of Publication: Tallahassee?
Publication Date: 1976-1977
Frequency: annual
regular
 Subjects
Subject: Citrus fruit industry -- Periodicals -- Florida   ( lcsh )
Genre: government publication (state, provincial, terriorial, dependent)   ( marcgt )
statistics   ( marcgt )
 Notes
Statement of Responsibility: The Florida Department of Citrus.
Dates or Sequential Designation: 1969/70-
Numbering Peculiarities: Report year ends June 30.
General Note: Title varies slightly.
 Record Information
Bibliographic ID: UF00086634
Volume ID: VID00005
Source Institution: University of Florida
Holding Location: University of Florida
Rights Management: All rights reserved by the source institution and holding location.
Resource Identifier: oclc - 02397748
lccn - 76643586
 Related Items
Preceded by: Annual report

Table of Contents
    Front Cover
        Page i
        Page ii
    Front Matter
        Page iii
    Main
        Page 1
        Page 2
        Page 3
        Page 4
        Page 5
        Page 6
        Page 7
        Page 8
        Page 9
        Page 10
        Page 11
        Page 12
        Page 13
        Page 14
        Page 15
        Page 16
        Page 17
        Page 18
        Page 19
        Page 20
        Page 21
        Page 22
        Page 23
        Page 24
        Page 25
        Page 26
        Page 27
        Page 28
        Page 29
        Page 30
    Back Cover
        Page 31
        Page 32
Full Text
.3 9 3c

21. 49


THE FLORIDA DEPARTMENT OF CITRUS

ANNUAL REPORT

For the Fiscal Period
July 1, 1976 to June 30, 1977 ..


rr











ALBIN CRUTCHFIELD
Wabasso, Florida

WILLIAM F. EDWARDS
Vice Chairman
Dade City, Florida

DAVID 0. HAMRICK
Bradenton, FL..rili

W. I "'...-r r" HANCOCK
Leesburg, Fl.i ,d.i

.i l i N. J :M 1 ':ER
Ocala, Florida

MARVIN D. KAHN
Sebring, Florida

JOHN T. LESLEY
Tampa, Florida

GEORGE McCLURE
Apopka, Florida

R. V. PHILLIPS
Haines City, Florida

KARICK PRICE
Orlando, Fl.iJd.i

DANFORTH K. RICHARDSON
Chairman
Vero Beach, Florida

CHARLES M. SHINN, JR.
\ !. Haven, Florida


Commission Members


1976-77
















From the Desk of the


Executive Director


The 1976-77 marketing season will go
down as one of the more remarkable in the
industry's history. The United States Department
of Agriculture crop estimate issued in October of
214.7 million boxes of oranges and 58 million boxes
of grapefruit was a marketing challenge without
parallel. No sooner had an expanded promotional
program been implemented than Florida experi-
enced the coldest weather in over a decade. While
the industry will end the season with a crop
approximately 6 million boxes over the 1975-76
record, the pack of frozen concentrated orange juice
will be 10 per cent below last-year levels due to re-
duced juice yield resulting from January's freeze.
Consumer purchases of all forms of
orange juice, in spite of substantial price increases,
will probably equal last year's record. The Depart-
ment of Citrus staff and LF,. i,,1l Citrus Commission
resisted consistent .Iu, i., to conduct price/
value advertising, a wise decision in view of the mar-
keting situation effected by the damaging freeze.
A study was conducted on the price/value
advertising concept to determine consumer attitudes
or perceptions of competitive prices, indicating
that price alone is not a key motivating factor in the
decision to purchase orange juice. Tiu... d. the in-
dustry experience this year underscores that fliiJing,
and affirms the value of good market research prior
to the implementation of marketing programs.
In January, orange juice spokesperson
Anita Bryant publicly opposed an antidiscrimi-
nation ordinance for homosexuals recently passed
in her home of Dade County, Florida. The staff
and the Commission were immediately subjected
to intense pressure to force her withdrawal from
the controversy or to fire her.
It was and is the decision of the staff and







Commission that what Anita Bryant does on her
own time as long as it does not conflict with her
contractual obligations is her affair. The princi-
pal concern is her marketing value as an industry
spokesperson.
Two separate research studies found
about two-thirds of respondents aware of the con-
troversy and Anita Bryant's involvement. Both
reports showed that 89 per cent of those interview-
ed were not negatively affected in either feelings
toward her in orange juice advertising or in intent
to buy orange juice.
Such reports adequately answered the
question of Anita Bryant's continued value as a
spokesperson for Florida orange juice. Based on
these findings, the staff saw no need to change from
established marketing programs at the time, but
will continue to monitor the advertising and con-
sumer perceptions of it.
In other areas of activity, import quotas
and preferential tariffs continued to restrict growth
of industry markets overseas. However, there is
hope that the European Economic Community
countries and Japan the industry's two most im-
portant foreign markets will voluntarily eliminate
or reduce these artificial trade barriers. While the
Florida citrus industry does not categorically oppose
the idea of trade with all nations, apprehension does
exist over possible recognition of Cuba and the re-
sumption of trade agreements with that country.
Cuba's substantial grapefruit crop, potentially 9
million boxes annually, could have a devastating
effect on the Florida grapefruit industry if the
socialist nation chooses to expand its marketing
into western Europe, Japan, Canada or the United
States.
Slow but satisfactory progress continues
in the important medical research area. No major


breakthroughs are expected immediately from
medical research being done at the University of
Florida's College of Medicine, but a variety of pro-
jects are helping to further industry cl,libilit in
the field of nutrition and health. This is no small
contribution, given the modern consumer's concern
with the nutritional value of natural food products.
Many of the situations and challenges cov-
ered in these remarks will have an on-going influ-
ence on marketing programs. The greatest of these
challenges is to maintain the Florida citrus market
franchise in the face of shortened supply and
increased retail prices.
















Administrative


Department of Citrus administrative ac-
tivities during the year included the collection and
disbursement of funds for various pr.gi, li -,,, the
provision of liaison services for the industry with
the Florida Legislature; the presentation of the in-
dustry's position on food advertising regulations
before the Federal Trade Commission; the deve-
lopment of contracts; the processing of applications
for citrus fruit dealer licenses; the recording and
distribution of minutes for Florida Citrus Commiss-
ion and advisory committee meetings, and the dis-
tribution of information to the industry on Depart-
ment programs and regulations.
The Department maintained an enviable
record in collecting 97 per cent of all monies esti-
mated due for the support of various Department
operations. Total expenditures, identified by area,
elsewhere in this report totalled 4 2;.7 million.
The Department's legal staff assisted with
the development of 10 industry-sponsored bills and
served as industry liaison as the bills passed through
the legislative process. The bills, all of which were
enacted, included xp.ildir,.g the Orange Stabiliza-
tion Act to cover all citrus varieties; creating statu-
tory product standards for high density frozen con-
centrated orange juice; e.x p.iiidiig brand advertising
rebate programs; clarifying grade requirements for
fresh and processed citrus; authorizing a grower
mailing list, and granting the department access to
criminal information regarding citrus dealer license
applications.
The legal staff also sought exemption for
generic advertising from proposed Federal Trade
Commission rules which, if enacted, would severely
restrict Department advertising. At this time, the






Federal Trade Commission is reviewing 10,00D
pages of testimony accumulated from 135 wit-
nesses involved in 55 days of hearings.
Assistance also was given to industry in
developing bi-lingual labeling regulations for Florida
fresh citrus shipped to Canada; to preparation for
adoption by the Florida Citrus Commission of 14
amendments of Department rules under the Admin-
istrative Procedures Act; to the preparation of 81
contracts, and to the processing of 1,664 citrus
fruit dealer licenses, one of which was disapproved
by the Commission and 36 that were either with-
drawn or cancelled. In addition, 2,245 permits
authorized by law in eight separate areas were pro-
cessed and issued.
As a result of the January freeze, the
Department, utilizing statutory authority, moved to
immediately implement actions to ensure that only
quality citrus reached the consumer. This was ac-
complished in joint cooperation with the Florida
Department of Agriculture's inspection service
through strict inspection and grading measures and
embargoes on fresh fruit shipments.
A total of 128 meetings of the Commis-
sion and advisory committees contributed to 1,763
pages of permanent records.
Approximately 928,000 pieces of mail
were distributed in announcing marketing pro-
grams promoting Florida citrus, in reporting re-
search findings evaluating accomplishments of var-
ious Department programs, and as news releases
of events and actions.

















Marketing


This was a year that emphasized a search-
ing examination of Department of Citrus head-
quarters and field organization structures with the
objective of probing for ways to attain more pro-
ductivity and efficiency. Another objective was to
identify those areas that needed strengthening
through re-arrangement of personnel and channels
of supervision in order to focus more professional
manpower on those retail and institutional estab-
lishments that offer the greatest opportunities to
maximize the sales volume of Florida citrus
products.
An example of the reorganization effort
was found in the national marketing "blitz" which
began late in the fiscal year, utilizing the entire
field force of 90 persons in contacting and con-
tracting more than 8,000 specially selected suppliers
in connection with the School Marketing Expansion
Program. This was the first time that all field repre-
sentatives of the retail, institutional and school
marketing programs had been activated in a single
promotional effort.
The re-assignment of retail trade repre-
sentatives was necessitated in some instances by
decisions to make the most of opportunities created
by a shift in population and life styles, as exempli-
fled by a noticeable exodus of many businesses and
individuals from large northern states to southern
sun belt states.
Another important and significant trans-
ition in organizational responsibilities occurred in
staffing the advertising programs. Due to the grow-
ing complexities of the grapefruit market and pros-
pects for larger crops, a separate staff was formed
and given the primary duty of marketing this pro-







duct category on a full-time basis. This resulted in
the appointment of an Advertising/Promotion Dir-
ector Oranges and an Advertising/Promotion
Director Grapefruit. At the same time, each
director was assigned a product manager.
Part of the effort to strengthen the pro-
motion of grapefruit is the investigation of possi-
bilities of additional taxation on grapefruit to pro-
vide funds to meet the anticipated greater supply-
than-demand situation. The Citrus Stabilization
Act, which is the legislative authority for obtaining
additional taxes, has been explained by Department
staff and advertising agency team members to vari-
ous segments of the grapefruit industry in an effort
to achieve better understanding of the problems
and opportunities presented by the promotion of
grapefruit in all forms.
The overall promotional effort for fresh
grapefruit in Japan included a shift of the adver-
tising account from Meiji-Daily to Yomiko DDF,
Inc., a member of DFI-Dorland-Fortune Inter-
national, which also includes Dancer Fitzgerald
Sample, the agency which handles the domestic
account for Florida grapefruit. DFS personnel are
expected to assist in formulating an effective and
efficient advertising and promotion program for
the Japanese market.
Periodic training seminars for field repre-
sentatives were continued during the year under the
supervision of an outside business consultant. The
result was substantial improvement in the perfor-
mance of almost every individual in the merchan-
dising force.















Advertising Grapefruit


On the grapefruit front during the 1976-
77 season, major advertising and promotional plans
were prepared originally using the relatively limited
funds available for helping to move the projected
largest crop in history of 58 million boxes.
For fresh grapefruit, a program of spot
television schedules had been planned and pur-
chased for 14 weeks in 27 key volume markets.
This activity was designed to provide advertising
support during the heavy shipment period, using
the effective commercial produced during last
season. After the freeze, all advertising activities
were cancelled and, based on the general status of
the fresh grapefruit market, .I1. ri in._ activities
were not reinstated the remainder of the season.
A major item for processed grapefruit
was FI.., ,1 identification. il. Florida Citrus
Commission agreed that effective 1 ii... I. 1, 1977,
all advertising activities and consumer promotions
would be directed toward those brands with the word
"Florida" or the Sunshine Tree symbol prominent-
ly displayed on the label. Within the limited funds
available, advertising activities were held to a mini-
mum in the Fall. The major effort of the year,
starting in January, was to consist of day network
and spot television schedules and promotions. This
program was cancelled following the freeze. How-
ever, after the inventory situation was determined,
a 10-week daytime network schedule was purchased
in the Spring.
Overall, an acceptable level of advertising
support was given processed gt ,pi ,frit and Florida
identification, but not as extensive as originally
planned.
Despite the freeze, the total performance
of advertising activities on behalf of grapefruit for







the season was good. While advertising activities
were somewhat limited, the awareness of grapefruit
advertising averaged higher than in previous seasons.
In March this score predictably dropped due to the
cut-back in activities and retail support of citrus
products. In June, however, grapefruit awareness
levels rebounded to 20 per cent, which equalled the
performance level for the last three seasons when
there was no freeze.
Most importantly, while overall aware-
ness levels equalled previous years, specific recall
among housewives of positive attributes of fresh
and processed grapefruit products have been excell-
ent and improving.
















Advertising Oranges


As with just about every other aspect of
the Florida citrus business this year, freeze was the
key word in the advertising picture. .......
orange products -with a banner crop anticipated -
had plans for the heaviest media schedule ever.
The schedule started in the Fall when
network television covered all times of the day -
day time, news, prime and late night. This was
supplemented by spot television in the key markets
so that, overall, processed orange products adver-
tising was reaching over 90 per cent of all American
housewives at least once a week. Added to this was
a series of specials, including an announcement in
the first television presentation of "Gone with the
Wind" at the time the highest rated program that
had ever run.
Similar plans were set for the balance of
the crop year, but the cold nights of January 17-19
changed all that, and extensive cancellations were
imposed across the board in all advertising activities.
Once results of the damage were fully evaluated,
certain media buys were reinstated, but the overall
level for the year was considerably lower than
(,ri.-i,.il anticipated.
Promotion activity, as well, started off
strong with a direct mail, 15-cent coupon offer in
September, followed by a similar offer in 12 con-
sumer magazines in October. \%.,i1 the freeze hit,
plans for \\ imn, i and Spring were cancelled immed-
iately. A low-key promotion was run in May which
featured a self-destruct type coupon used for pro-
cessed orange products for the first time.
As expected, the results of on-going con-
sumer research were affected by the advertising
cancellations, with consumer awareness of the
orange juice campaign dropping off from an all-time






high of 78 in December to 71 in March. On the
positive side, the new advertising strategy of "It
Isn't Just for Breakfast Anymore" was, from all
indications, the strongest in a number of years,
with excellent playback from consumers. The
series of commercials which used this theme con-
tinued to be filmed in various interesting locations,
but the format was changed to have the citrus
spokesperson, Anita Bryant, talking to real people
of all ages, from all over the country about their
use of orange juice. Score levels on these commer-
cials continued at the usual high level of about 70
per cent above the norm of other commercials on
the air.
Advertising plans for the fresh and spec-
ialty segments of the business were dramatically
curtailed in January, as well, but the new television
commercial completed, which received the highest
fresh score in five years, is expected to be used in
advertising next season.


10















Institutional


Heavy emphasis was placed during the
year on the promotion of all forms of Florida
citrus products to drive-in feeding establishments.
Early results point to a successful effort and the
introduction of breakfast programs in fast-food
units contributed to the increase in institutional use
of orange juice as reported by Audits & Surveys, Inc.
A new promotional element, a program
for the elderly, was initiated as an outreach to a
large and expanding market. Special booklets con-
taining dietary information designed for the feeding
of the elderly have been prepared and considerable
study accomplished with selected nursing homes
in gathering information necessary for a sound,
continuing program for senior citizens.
More than 3,000 professionals from all
areas of nutritional activity attended the Nutrition
Education Workshops conducted by the institu-
tional staff of the Department of Citrus. These
professionals are helpful in disseminating nutrition
publications provided by the Department of Citrus
and generally promote the use of Florida citrus
products by the organizations they represent.
The third annual Sunshine Recipe Con-
test for outstanding dishes prepared by personnel
representing the institutional market attracted a
large field of entries, with the final competition
involving employees of Sielers of New England,
Southern Cafeterias, Denny's Restaurants, Morri-
son's Cafeterias and Szabo Food Service. The re-
cipes in the competition are prepared on a regular
basis by the individual organizations and provide a
continuing source of publicity for citrus fruits and
products.
Incentive promotions played a major
role in marketing operations again, with 415 such






programs completed in cooperation with leading
food service operators, with emphasis on the use
and availability of citrus during the entire day.
Planned for the new year is a new con-
cept in package promotions, to be supported by
one of the strongest trade advertising schedules yet
conducted by the Department of Citrus for the
institutional trade. Directed toward increased use
of Florida citrus products for all meals and for
snacks, the themes are "It Isn't Just for Breakfast
Anymore," "OJ on the Rocks" and "Florida
Citrus Carnival."























12















International Marketing


13


Exporters of Florida citrus products this
year continued strong marketing techniques. As a
result, movement of processed products through
the Three Party market development program ran
about the same as last year, and will equal last
year's accomplishments by the end of the market-
ing period. This, in spite of the freeze, increased
prices and limited supply situation.
In Europe, retail and institutional con-
centrated juices continued to hold a large share of
the market for Florida processed products, followed
closely by ready-to-serve juice in paper cartons
reconstituted from frozen concentrate. An assess-
ment of the records for all shipments of citrus
juices this year under the I l .. Party Pi ..i. ,1 .
which is administered by the Department of ..i ,i .
revealed that Scandinavian countries accounted for
approximately 55 per cent of all shipments to
Europe. Over 45 per cent of all shipments of pro-
cessed citrus products to Europe were in retail and
institutional sizes of frozen concentrated juice.
Over the past two years, Florida has be-
_',I making small inroads into France and Holland
with citrus juice sales, but should seek also to ex-
pand such populous markets as 'A....r Germany
and the United Kin I.1.!n. in the area of fresh citrus
exports, Florida likely will move 9 million cartons
to overseas markets this year, slightly less than last
year's record 10 million cartons.
Florida's primary market for fresh grape-
fruit continues to be Japan. During the season, in
excess of 6 million cartons of fresh grapefruit likely
have been shipped to Japan with approximately 2
million cartons to western Europe.
If the Japanese government lifts restric-
tions on imports of frozen concentrated orange






juice, Florida is prepared to market concentrate to
be blended with juice from Japan's Mikan oranges.
Established last year, the F ... Trade
Advisory Committee has been active in setting up
the final stages of the upcoming trade ii, 'tiations
in Geneva. In addition, a protest against European
Economic Community preferential trade agreements
with certain Mediterranean countries was lodged
with the Section 301 Committee of the Special
Trade Representative's office in A'.,rlg.i:tron, D. C.
A position paper was drafted for presentation to
the Special Trade Representative's office and Flor-
ida's congressional delegation, outlining the Fl .1 i,1,
citrus industry stand rcl ri,_- to citrus trade barr-
iers in international markets.
Increased activities for citrus products
from areas other than Florida create competition,
but also stimulate consumer awareness of pure
juices. As this awareness increases, Florida with
high quality processed and fresh citrus products,
progressive market development j''.l.,,,. and
energetic exporters should enjoy increased ex-
port sales.













14















Market Research


15


A major addition to the continuing re-
search capabilities of the Department of Citrus was
made during the year with the purchase of Majers
Retail Advertising Index. To be provided on abi-
monthly basis, this service reports retail advertising
volume and features by advertised as well as private
label brands. The material generated by this index
will be used by the market research staff as well as
by merchandising field representatives in contacts
with the retail food trade.
Additional tabulations also were calcu-
lated in the A. C. Nielsen Food Index which details
processed citrus sales specifically for Department
of Citrus marketing regions.
A number of special studies were con-
ducted during the year for industry guidance and
assistance. A grapefruit market test was completed,
for instance, which confirmed the findings of last
year's grapefruit strategy study. As a result, gains
were achieved in the sales of total processed grape-
fruit juice by emphasizing the availability of con-
centrated and chilled product, rather than through
a strictly generic approach employed for orange
juice.
An in-depth study was completed on
nutrition and consumer perception of nutritional
advertising in connection with Federal Trade
Commission hearings on that subject. The report
served as basis for Department of Citrus testimony
at the hearings.
A focus group strategy inquiry revealed
wide ignorance among consumers regarding fresh
oranges and how to use them. A market test
to validate the results, which could change the De-
partment's commodity advertising and promotion
for fresh oranges, was cancelled following the Janu-







ary freeze and hopefully will be accomplished in
the coming year.
A life style study currently is being con-
ducted to assist in communicating better with con-
sumers. The study was deemed necessary to track
changing patterns attributed to working women
and other sociological up-heavels.
The third in a series of back-up studies
for promoting processed oranges in the future was
completed and resulted in two viable alternatives
to the Anita Bryant campaign. Both of the alter-
native campaigns were structured around the "ex-
tended use" strategy, utilizing a theme of "It
Isn't Just for Breakfast Anymore." This theme,
which emerged from the back-up research, was
added to the current series of Anita Bryant com-
mercials, resulting in higher scores and better com-
munication than in any other time in the past four
or five years.


16















Merchandising


17


Change was a factor for a second year in
the structure of Department of Citrus merchandis-
ing operations.
During the 1976-77 marketing year,
change at the headquarters level involved assign-
ment of the two merchandising product managers
to work more closely with advertising/promotion
program directors in coordinating and planning
promotions with the advertising agencies. Thus,the
responsibilities of the product managers were shif-
ted away from the more general areas of processed
and fresh citrus to the more specific subjects of
oranges and grapefruit in all forms.
The field operation was strengthened
further by the careful placing of personnel into
new market areas. For instance, merr.lvI.lising
representatives were located in South Carolina and
Oklahoma to cover increasingly important key
markets and an institutional representative was
moved into the St. Louis, Missouri, market.
Other organizational changes place the
control and supervision of school and institutional
activities under the regional manager. This was
done to unify the field staff under one department
and offer closer contact with management in the
field.
The "Market Development Plan" was
implemented for the first full year, providing a
guideline and objectives for field personnel in bet-
ter planning and more effective use of promotional
funds. This permitted scheduled trade promotions
to take place on a regular basis, with special empha-
sis on "tie-in" programs involving Department of
Citrus consumer promotions and promotions for
selected markets.







This effort was interrupted by the Janu-
ary freeze which brought cancellation for many
trade and consumer promotions. As a result, pro-
motions were held to a minimum and those that
were approved were activated only after careful
consideration.
Workshops and training sessions were
continued by a management consultant firm to
help upgrade the field personnel as well as to im-
prove overall effectiveness of the field force.
Special emphasis was placed on time and
territory management and the proper criteria to
use in evaluating the potential trade contact.
Many of the promotions that were elimi-
nated during the season will be implemented during
the 1977-78 year, once again placing the merchan-
dising effort solidly behind all Florida citrus fruits
and products.


















18















Publicity


19


The anticipated largest citrus crop in the
industry's history, the lowest retail prices for frozen
concentrated orange juice in over a decade, the
worst freeze since 1962, followed by some of the
highest prices in a decade, all combined to furnish
the publicity office with an extremely busy year.
With the consumers' acute sensitivity to
inflation, the freeze and anticipated higher prices
for citrus products brought calls and crews from all
major radio and television networks. News report-
ers from across the nation and even England con-
tacted the Department of Citrus about the freeze.
Conflicting and misleading national stories promp-
ted the publicity office to issue timely status re-
ports from the executive director on citrus supply,
price and possible trends to the nation's 2,000 food
editors and consumer affairs directors.
Then in April, the Department's public
relations agency, along with the publicity staff,
hosted 10 consumer affairs directors from leading
national grocery chains on an industry orientation
tour. The tour included stops at citrus research
facilities, processing plants, packing houses and
freeze-damaged groves. The food retailers had
ample opportunity to talk freely with citrus grow-
ers, packers, processors and brokers. This
these final marketers of Florida citrus a new per-
spective on the industry and its pricing practices.
The industry's investment as a participant
at Walt Disney World continued to reap outstand-
ing promotional and goodwill benefits. By the end
of June, over 15 million guests had attended the
citrus growers-sponsored Tropical Serenade attract-
ion in the Magic Kingdom. The sales of citrus pro-
ducts in the Theme Park outpaced last year's re-
cord levels. These citrus sales are proof that con-







sumers do enjoy citrus products at times other
than breakfast.
The Department's national publicity pro-
gram was expanded this year to reach suburban
newspapers, special interest publications, radio and
television stations and to provide for production of
special recipe and citrus information leaflets for
supermarket chains.
At a brunch for the nation's leading food
editors, the audience heard reports on nutritional
research conducted by the citrus industry and con-
sumer research on fresh fruit perceptions. Both
presentations as well as the special citrus recipes
used in the brunch menu are still being reported in
the national press. A similar presentation on orange
juice nutritional research was given to the annual
convention of the Florida Fruit and Vegetable
Association. The presentation was reported exten-
sively in trade as well as daily newspapers.


20















School Marketing


21


Indicative of the steady progress of the
School Marketing Expansion Program in encour-
aging increased use of Florida orange juice and
orange products in the nation's school feeding sys-
tems is the fact that the staff projection for 1976-
77 of 837,000 gallons of pre-packaged frozen con-
centrated orange juice was surpassed.
The program proved successful in increas-
ing the usage of prepackaged juice, according to a
report from Audits & Survey, Inc., which indicated
an increase of 84 per cent over the previous year.
Incentive programs for fresh and process-
ed oranges contributed to this success by encour-
aging participation by private enterprise in supply-
ing schools with high quality Florida .,: i-.- pro-
ducts. Payments to participants in the processed
incentive program alone increased by almost 50 per
cent over the year before.
A new technical manual was prepared
and distributed to p.... 1-.,., providing information
and instruction in the proper reconstitution, pack-
aging and distribution of Florida frozen concen-
trated orange juice. This manual should ensure
that only top quality orange juice is supplied
schools for consumption.
Active contacts with local food distri-
butors were made by the program's six dealer-service
representatives. The number of nutrition consul-
tants calling on school food service personnel was
doubled with the addition of three new consultants.
Contacts by these two _i ,,ip., are essential in broad-
ening distribution channels and increasing the use
of orange juice in schools.
The Teddy Roosevelt "press conference"
program moved from Florida to national exposure







during the year with excellent results. This nutri-
tion education program proved an exceptional
public relations vehicle and contributed to the
institution of breakfast programs in many school
systems.
An award for excellence from the Family
Circle Food Council of America was presented to
the School Marketing Expansion Program for out-
standing achievement in creating consumer aware-
ness of good nutrition. The award, the second for
the Department of Citrus in the past three years,
was for a nutrition education puppet show entitled
"The Unhappy Alligator."
The 90 field personnel of the Department
of Citrus were enlisted in all-out blitz that began in
June in an effort to contact more than 6,000 po-
tential school food suppliers and to acquaint these
distributors with the school marketing expansion
plan.
Plans for the new year include publication
of a newsletter for informing distributor/suppliers
of new developments in the feeding programs;
tours of the citrus industry for program participants;
school food service trade advertisements; instruct-
ional films and a brochure for high school athletic
coaches.


22















Economic Research


23


During the year, the staff completed a
study to evaluate the proper mix between Depart-
ment of Citrus advertising and national brand
advertising for Florida frozen concentrated orange
juice. The study concluded that during rhe eight
years that ended March 1976, the actual Depart-
ment of Citrus advertising share was 59 per cent,
very nearly the 61 per cent which the analysis
suggested as an optimum share. Actually, Depart-
ment of Citrus and branded advertising compli-
ment one another, with the study showing one
type of advertising to be most effective in pro-
ducing added sales when conducted at the same
time as the other type. Another study result
indicated that media cost inflation has had a nega-
tive effect on advertising effectiveness.
The Three Party market development
program in Europe, which is financed by the
Department of Citrus, the Foreign Agricultural
Service of the United States IDepartment of Agri-
culture and European distributors of Florida citrus
fruit and products was evaluated in another study.
Consensus was that the program helped sell frozen
concentrated orange juice to European countries
and that it was more profitable to spend money on
the Three '1- ii. Program than to divert the funds
to domestic market advertising. The programs
should be expanded if additional funds become
available, the report declared.
In the area of long-, I.'. production,
projections for Florida citrus were made on the
basis of the January 1976 citrus tree inventory
announced by the Florida Crop and Livestock
Reporting Service. A range of projections for each
season through 1981-82 was made, using random
draws from the distribution of actual yields by age
of trees for the past 10 years. The results of this







study suggest average yearly production increases
of 4 per cent for round and Temple oranges and
for grapefruit between 1977-78 and 1981-82.
Because of wide variations in tree yields from year
to year, orange crops can differ as much as 50 mill-
ion boxes and grapefruit crops as much as 14 mill-
ion boxes from projected averages.
The need for demand and supply pro-
jections was particularly acute during the season,
due to the extreme variability in projected crop
sizes, while a series of outlook reports was based
on additional basic research. Emphasis in this area
was placed on updating consumer-demand para-
meters for processed orange products, deriving the
relationships between FOB level and retail level
prices, and on the development of more complete
demand and pricing relationships for fresh grape-
fruit and grapefruit products.
Other studies during the year included
an analysis of the impact of shipping holidays for
fresh fruit; long-run outlook for grapefruit supply
and demand; economic importance of the Japan-
ese market to Florida grapefruit producers, and a
detailed analysis of a proposal to subsidize Florida
frozen concentrated orange juice by way of a mon-
ey pool generated by a tax on citrus production.









24















Scientific Research


25


The fourth year of the special program
on mechanical harvesting continued to give high
priority to the screening and development of
abscission chemicals, with increased emphasis on
collecting data necessary to obtain Food and Drug
Administration approval for use of the active chem-
icals. Research also was directed toward improving
the techniques for application of abscission chemi-
cal combinations.
January's freeze caused a change in the
use pattern of mechanical 1I.i ... .ri,. systems, but
development of improved systems continued with
the addition of both new and modified pieces of
equipment. Actual use of the systems was expand-
ed through an incentive program that encouraged
utilization of abscission chemicals, mechanical
removal equipment and mechanical fruit ',iI., ii,.
equipment.
Loans and grants were extended for the
development of potential equipment or methods
for mechanically harvesting citrus fruit.
Altl, iiiLul fruit for processing now can be
harvested mechanically from most groves with
little d.iii.ice, citrus industry economics have not
necessitated widespread use of mechanical harvest-
ing systems.
In other activity by the scientific re-
search .t iff, a one-year study was completed in
accumulating data for the possible nutrition label-
ing of canned grapefruit juice and a high-speed
liquid chromatographic method was developed for
the determination of riboflavin in various citrus
juices. A quality survey of processed grapefruit
juice produced in Florida was continued and im-
provements made in methodology for determining
the bitter principles limonin and I.iri._,in and the







artificial sweetener neohesperidin-dihydrochalcone.
Water-extracted soluble orange solids
concentrates from commercial sources were studied
in an effort to develop techniques for estimating
juice content by objective analysis and to obtain
data for a preliminary recommendation on stan-
dards of identity.
The absorption of folate from orange
juice is not affected by the drug diphenylhydantoin,
used in the treatment of epilepsy, according to
studies by the medical and nutritional research
group at the University of Florida's College of
Medicine. The group also initiated studies on
pectin and disclosed that the uses of the orange
juice thirst quencher resulted in positive potassium
balance in athletes.
In fresh fruit research, causes of high,
early-season losses in Robinson tangerines were
defined and a new formulation of the experi-
mental fungicide imazalil displayed promise in
controlling molds resistant to Benlate and TBZ.
Variations in susceptibility to chilling injury and an
interaction between peel injury and diphenyl
phytotoxicity were attributed to seasonal growth
conditions. Hormones controlling these pheno-
mena are being studied.
Pollution abatement research advanced
to the point where ethylene dibromide used in
fumigation was reclaimed and reused. Energy
conservation studies are concentrating on means
of reducing fuel use in fruit drying.


26
















Financial Report


The assessment receipts for 1976-77
amounted to almost $26 million, reflecting an
increase of $1 million over 1975-76. However,
this gain was partially offset by the ..iu.in,
reduction in investment earnings. Treasury bills
and certificates of deposit earned an average of
5 5y per cent.
Expenditures were up $700,000 for a
total of $28.7 million. This increase in expense
was primarily in the area of coupon redemption,
which reflected a 19 per cent increase, and a
42 per cent increase in the cost and distribution of
point-of-sale materials.
The assessments collected were based on
the following 1976-77 citrus taxes:


Orange
Grapefruit
Temple
Tangerine
Tangelo
Honey Tangerine


(per box)
(per box)
(per box)
(per box)
(per box)
(per box)


Fresh
10.3c
8.3c
7.3c
7.3c
7.3c
7.3c


Processed
10.3c
10.3c
5.3c
5.3c
5.3c
5.3c


The citrus industry supports the Depart-
ment of Citrus in its payments of assessments
and the Department continues to sustain a minimal
annual loss of less than $1,000. For the third
consecutive year, the Department received a very
favorable legislative audit report which reflected
no major accounting procedural problems nor
fiscal discrepancies.


27










FLORIDA CITRUS ADVERTISING TRUST FUND

SUMMARY STATEMENT OF RECEIPTS AND EXPENDITURES ALL FUNDS

JULY 1, 1976 TO JUNE 30, 1977


TOTAL NET REVENUE BOXES:

FUND BALANCE -JULY 1, 1975
RECEIPTS: Assessments
Other Income
TOTAL CURRENT YEAR RECEIPTS


EXPENDITURES:


TOTAL AVAILABLE

Administrative & General Operations
State General Revenue Charge
Scientific Research
Economic Research
Sub-Total NON-MARKETING EXPENSE
School Marketing Program
Publicity
Marketing Administration
Market Research & Development
Institutional
Merchandising
Export Programs
Advertising -General: Advertising & Administration
P.O.S. Materials & Warehouse
Gift Fruit Promotions
Consumer Advertising
Coupon Redemption
Rebates


Total Advertising & Rebates
Sub-Total MARKETING EXPENSE
Release of Certified Funds (12/31/76)
Sub-Total CASH EXPENDITURES
Inventories & Deposits Net Change
TOTAL EXPENDITURES
FUND BALANCE JUNE 30, 1977


PRIOR YEAR
1975-76

M46,919,471

$ 38,101,626
24,871,531
2,180,938
27,052,469
$ 65,154,095

$ 1,072,714
539,913
1,953,180
119,401
3,685,208
$ 1,407,689
692,096
60,247
595,837
693,187
3,376,299
576,676
299,288
583,793
88,383
12,981,001
2,875,719
373,200
$ 17,201,384
24,603,415
( 357,424)
$ 27,931,199
( 33,433)
$ 27,897,766
$ 37,256,329


INCREASE
(DECREASE)

9,957,685

$( 845,297)
1,080,256
( 339,710)
740,546
$( 104,751)

$ 162,381
15,581
( 15,697)
36,377
198,642
$ 933,680
98,534
5,265
70,564
( 251,222)
( 634,959)
96,419
( 135,939)
244,448
( 49,885)
( 544,135)
367,262
( 15,459)
$( 133,708)
184,573
357,424
$ 740,639


CURRENT YEAR
1976-77

256,877,156

$ 37,256,329
25,951,787
1,841,228
27,793,015
$ 65,049,344

$ 1,235,095
555,494
1,937,483
155,778
3,883,850
$ 2,341,369
790,630
65,512
666,401
441,965
2,741,340
673,095
163,349
828,241
38,498
12,436,866
3,242,981
357,741
$ 17,067,676
24,787,988
-0-
$ 28,671,838
5,559
$ 28,677,397
$ 36,371.947


28












CITRUS ADVERTISING TRUST FUND
BALANCE SHEET
JUNE 30, 1977


II ABILITIES


CUIIE. ASSETS:

C with Irasurer $1 ,54,:61
( ; i lr .5(,16,714
( ri wili State Board of Adminiiration

ToLal Cash
At NqISI I IECIEI 1AB1E:
SLa Ho.ird of Admlinislration lilrel [arned $ 313B,136
Miw II r IJI X)llW_4l 8l



I,, .. s $ 220,613
... II i !ckets 2,733
,, ,.. Other Supplies 21 172
Total inventories
INVESTMENTS BY STATE BOARD OF ADMINISTRATION:

PREPAID EXPENSES:
i I 1 1 i I I *.- 1 1 -


. III, I % --I I.:
Insurance & Utility Deposits

TOTAL OTiHER ASSETS:
TOTAL CITRUS ADVERTISING TRUST FUND
FIXED ASSETS:
Land
I ,,..,ii Equipment Office
Machinery & Equipment -- Scientific
Film
Auto iiotiv t
"T iT FALL ,1 TS

TI)TAI ALl ASSETS


$ 1,932,204



$ 342,974




$ 244,518
$36,966,738


CI RIlENT LIABIL IIES:




otal Ac mount Pa yabl



I oal l os it






CanK:rll(*d & iteslonid Warrants
101 1 ', I LI N Ii XLII liii N

In IM lII Ini) 1 IN) t 11 iN



o ,rkm s u upensai utt thi Depositu

Total K
$39,506,881 i I' :
IUn encumbered ... i .ids
Uneneumrberedm ,d Fund
S Stabilization M Fund
I for 1977-78 Encumbrance
574 Reserve for Coupon Redemptioln
S Inventories
$39,507,455 Revolving Fund
Total Operating Fiund Balrance


$ 574


$ 246,125
669,497

139,838
30,717


1 2,490),907
$11, 998,302


S2,897,214
2241,218
$ 3,121,1.32



1,392


$ 3,122,824


$ 4,110
574
8 000
$ L2,68'


S 1,549,057
2,000,000
15,818,416
11,424,356
5,323,600
244,518
12,000
$36,371,947


TOTA L Ii SE\ ES ANDI FUND IALAiNCE




T'1 O II INV T N FIX ASSETS:

TOI AI ALL. LL \LLTI ES


$36,384,631

$39,507,455


$ 2,490,907

$41,998,362


29


ASSETS

















Staff Members


EDWARD A. TAYLOR
Executive Director
DR. W. BERNARD LESTER
Deputy Executive Director
MONTEREY CAMPBELL
General Counsel
RICHARD MAY
Comptroller
JAY B. HAVISER
Staff Attorney
DR. JOHN ATTAWAY
Scientific Research Director
DR. LESTER MYERS
Economic Research Director
TAD JEFFERY
Marketing Director
W. ARTHUR DARLING
Publicity Director
FRED S. FORSEE
International Marketing Manager
HERBERT GRAMSTORFF
Advertising/Promotions Director Grape
DOUGLAS OFFER
Market Research Director
FRANCIS J. MULKEEN
Institutional Marketing Director
VERNON S. MULLEN
Advertising/Promotions Director Orang
HARRY RIXMAN
Merchandising Director
CARL P. SCHULER
School Market Expansion Program Director


fruit


e


































FI IDI)A IlI'ARTMI.NI' (O)I (CITIUIS
P. (). lix 1-18
l-..ik m. nll, lorida 33.HHO


:1 (WI)II)A I)EI'ARTMEN t) (1 CII'RUS
I hIn pill I L d ) iiii.ii t vi.il s jwr(1 i llll.nii .11
an 11111111i .' l 1I $1,5 'I or :i 'si I $1 5 7
p[ir ct pl I)r l l' l ipur os. 4 rtl ip ritnII I 1
.Irt1L i. .i t IVitiS. [h lli t lJ 'qrida I)tr.nl. ilti-l
oft (Citru




University of Florida Home Page
© 2004 - 2010 University of Florida George A. Smathers Libraries.
All rights reserved.

Acceptable Use, Copyright, and Disclaimer Statement
Last updated October 10, 2010 - - mvs