DETROIT (FOX 2) – A well-known food distributor in Detroit is closing after more than 50 years of service. This shutdown is already creating ripples in local markets and grocery stores.
How will this affect your wallet?
Harvest Sherwood, a major distributor that sends out 20 million pounds of food each week, is shutting down its operations. This news comes as a shock to many, including Sami Bahoura, co-owner of Liberty Food Center Clip. He mentioned that the company has started layoffs recently, affecting around 45 to 50 employees. Initially, he thought these layoffs were a part of cleaning up the organization but realized it hinted at bigger issues.
Bahoura has had a long relationship with this distributor, receiving beef, poultry, and pork from them since the late 80s when they were known as Sherwood Food Distributor. He recalls a positive working relationship until a few years ago when Sherwood merged with Harvest Foods from California. After the merger, he noticed disconnects, stating, “They don’t know what Detroit is or what the market needs.” Despite attempts to share insights, he felt unheard.
While the exact reasons for Harvest Sherwood’s closure aren’t clear, Bahoura suspects that skyrocketing meat prices are to blame. He observed that beef prices have surged significantly more than those of chicken or pork. As a result, many consumers are shifting from steak to more affordable options, with chicken and seafood witnessing increased popularity.
Looking ahead, Bahoura assured customers that Liberty Food Center would manage through these changes. They are committed to keeping prices steady, despite rising costs from suppliers. “We’re not increasing our price. The price is going up from manufacturers,” he clarified. Thankfully, they are also sourcing from other local distributors, which should help maintain their supply.
FOX 2 has reached out to Harvest Sherwood for further comments and is awaiting a response.
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