CAMPAIGNS

PHOTOS COURTESY OF CAPITAL CITY FRUIT
CAPITAL CITY FRUIT
Capital City Fruit is a third-generation
family business based in the Des Moines
suburb of Norwalk. The company was
founded in 1949 by Joseph T. Comito and
began as a fruit market. It began produce
brokerage operations in the 1960s and
started repacking and distributing in the late
1970s, when Joseph T.’s son, Joseph M., took
over the business. In the mid-2000s, Brendan,
Kieran and Christian Comito assumed ownership
of Capital City.
Currently, the company employs 150
team members and operates out of an
83,000-square-foot facility constructed in
2012. The company focuses on supply chain
management for its retail and foodservice
customers and delivers fresh fruits and vegetables
to Iowa, Missouri, Kansas, Nebraska,
Minnesota, Wisconsin and Illinois.
“The economy in Des Moines is consistently
rated by national publications among
the very best in the entire United States,” says
Comito. “Since we don’t have mountains and
oceans, the biking and running communities
are very active, and those recreational events
attract thousands of participants, who are
fueled by fresh produce.”
One of the biggest challenges businesses
are experiencing is that the thriving city is a
victim of its own success.
“Because the economy is so strong, businesses
are struggling to find the employees they
need to grow,” says Comito. “Every business
owner I speak to says their No. 1 issue is finding
qualified employees.”
This factor has driven up labor costs and put
companies like Capital Fruit at a competitive
disadvantage. To compensate, the wholesaler
has had to focus on execution.
Another challenge is population. The Des
Moines area is only 500,000, and the state of
Iowa has only 3 million people.
“As a result, we have to be much more on
“Since we don’t have
mountains and oceans,
the biking and running
communities are very
active, and those
recreational events attract
thousands of participants,
who are fueled by fresh
produce.”
— Brendan Comito, Capital City Fruit
our game than produce companies located
in highly populated areas,” says Comito. “In
some ways, that makes us more innovative and
better at serving the customer than produce
companies in bigger cities that can rely on
huge populations for their sales and are not
challenged on a consistent basis.”
Capital City Fruit has been working with
local formers for decades, but has benefited the
most in the past five to 10 years. This includes
qualifying growers, planning their planting
schedules to meet volumes and handling the
logistics of getting product from the farms to
customers.
“The demand for locally grown produce is
growing by double digits each year, and we
work with more than 30 growers in our sevenstate
delivery area to meet that demand,”
says Comito. “The local produce starts in May,
but really does not hit heavy volume until
mid-June and it continues right up until the
first hard freeze.”
LOFFREDO FRESH PRODUCE
Another thriving wholesaler in the city is
Loffredo Fresh Produce, which built a new
fresh-cut facility, Produce Innovations, 4 miles
from its main warehouse in November 2014.
“This [venture] impacted us greatly, as
we’ve been able to stretch out and not only
do our own local business, but open our
doors to co-packers and expand our reach
into c-stores like Kwik Trip and Casey’s
General Stores,” says Gene Loffredo, president
and chief executive of Loffredo Fresh
Produce. “Our business has grown in Des
Moines as the city is growing and picking
up population.”
The city’s accolades haven’t hurt, with West
Des Moines named the fifth most desirable
place to retire in a recent report by Bankrate.
com. Not only is the cost of living affordable,
but the city has a concentrated number of
insurance companies, medical facilities and
banks to support retirees.
But not many have the history of Loffredo
Fresh Produce in the city, which has been in
business for 125 years.
“Being located in the middle of the country,
we do business within 500 miles of our warehouses,”
says Loffredo. “Our business continues
to grow, and we’re working harder, particularly
in the Madison, WI, and Kansas City markets,
with business up about 5 percent this year.”
Its offshoot, Produce Innovations, also is
growing. The firm just hired more than 100
employees, and at press time, was expecting a
strong summer business.
Adam Babcock, director of operations
for Produce Innovations says being centrally
located with a demographic of largely young,
urban professionals and people looking to
eat healthier has kept business booming.
“Our biggest challenges have been procuring
fruits and vegetables from California, Texas and
Mexico, since it’s quite a ride up here,” he
says. “Although we’re centrally located, there
are logistical challenges getting produce here
that is reasonably priced and in good shape.”
The company’s selling region covers the
majority of the Midwest states, from Madison,
PRODUCE BUSINESS / AUGUST 2016 / 89