Manufacturing News

Another dot com bites the dust

March 22, 2003
/ Print / Reprints /
ShareMore
/ Text Size+
Another dot com company bit the dust when FoodUSA.com -- an on-line exchange handling the meat and poultry trades -- announced it would shut down after a deal it made to sell the business fell through. FoodUSA.com founder and chairman Rod Heller points to Commerce Ventures as the reason for closing down. Commerce is a competing b-to-b marketplace backed by some of the industry's largest companies -- IBP, Tyson Foods, Gold Kist, Cargill and Farmland Industries.

"Commerce Ventures froze the market," said Heller. "Meat and poultry traders acted like a deer caught in headlights. They won't do anything until they see what happens with Commerce Ventures."

FoodUSA opened for trading in April of 2000. FoodUSA and Commerce did hold talks about a possible partnership or acquisition last spring, but a deal was never struck, in part because Heller and his backers had doubts about Commerce Ventures' prospects.

Looking back, Heller admits the decision to back away from a deal was a mistake, but at the time, independent Net markets like FoodUSA were b-to-b favorites, while industry-led marketplaces were being buried by heaps of doubt. With its closure, FoodUSA laid off 22 employees from its Madison, Wis., headquarters.

Did you enjoy this article? Click here to subscribe to Food Engineering Magazine.

You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

Plant of the Year 2014

Blue Diamond Growers was chosen as Food Engineering's 2014 Plant of the Year. The Sacramento-based company is the world’s largest producer of almonds and almond ingredients.

Podcasts

Burns & McDonnell project manager RJ Hope and senior project engineer Justin Hamilton discuss the distinctions between Food Safety and Food Defense as well as the implications for food manufacturers of the Food Safety Modernization Act.
More Podcasts

Food Engineering

Food Engineering December 2014 Cover

2014 December

In the December 2014 issue of Food Engineering read about our Fabulous Food Plant feature on the Chelten House, a new facility in Las Vegas.

Table Of Contents Subscribe

FSMA Audit

What is the is most important step you have taken to become ready for a FSMA audit?
View Results Poll Archive

THE FOOD ENGINEERING STORE

Food-Authentication-Flyer-(.gif
Food Authentication Using Bioorganic Molecules

This text provides critical tools and data needed to augment routine food analysis and enhance food safety by aiding in the detection of counterfeit, and potentially deleterious, foods.

More Products

Clear Seas Research

Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications,Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.

STAY CONNECTED

FE recent tweets

facebook_40.pngtwitter_40px.pngyoutube_40px.png linkedin_40px.pngGoogle +

Food Master

Food Master Cover 2014Food Master 2014 is now available!

Where the buying process begins in the food and beverage manufacturing market. 

Visit www.foodmaster.com to learn more.