THINGS YOU SHOULD KNOW:
West and east coast offshore red grapes in very short supply
January 21, 2013
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Weather: Tim Lynch The strong high pressure ridge out west dominating the weather pattern will begin to push east mid week as low pressure systems move in from the Pacific Northwest. This will keep the desert regions warm with above normal high temperatures (mid to high 70s) expected through the week. This feature will keep the region dry and clear with cool morning temperatures this week and frosts possible in the coldest interior valleys. Crop assessments will be ongoing and product will remain very tight for the foreseeable future as long range forecasts show a cold wet pattern once again taking shape next week.
Extreme cold temperatures in Idaho, potatoes are limited
Small Granny-Smith & small Gala apples are extremely short
Extreme, continual cold weather has caused row crop items to be very scarce. Expect light supplies on most row crop items throughout the month of January
The storage onion market is extremely active for all colors!
Freight: Mike McIntire Trucks in California have loosened up and should remain steady for the near future. Trucks in the Northwest are also steady. Crude oil remained steady and is currently 95.20 per barrel. The national average on diesel fuel remained steady last week at 3.894 per gallon and should trend steady again this week when it comes out later today.
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Commodity Updates APPLES/PEARS John Tole New York continues to pack Golden Delicious, Red Delicious, Red Rome’s, Crispins, and McIntosh. The availability is fair. All New York varieties are large except the Mac’s which are small. The larger New York shippers still expect to finish packing in mid March. Washington Reds continue to peak on size 88/100’s with high color. Small lower grade reds remain very short. There are a couple suppliers with hail-grade reds. Golden Delicious are also heavy to the 88/100 sizes and the Washington extra-fancy grade. Lower grade Golden’s are more available than many varieties but are still limited in the smaller sizes. Granny-Smiths are still heavy to the higher grades and are peaking on 64-80’s. Lower grade Granny availability is extremely light especially on 88’s and smaller. Small Granny-Smiths may be the shortest item in Washington. Gala’s are still producing more of the Washington extra-fancy grade and continue to peak on 80-100’s. Gala demand remains very strong and many shippers are booked up!! Washington Fuji’s are heavy to 64/72/80’s and are producing more of the Washington extrafancy grade. Fuji volume is up so look for deals in this variety. Pink-Lady’s, Cameo’s, Jonagolds, Braeburns, Rome’s, Jazz, and the other varietals are still available. Washington D’Anjou's are heavier to the larger sizes and the US#1 grade. Washington Bartlett’s are still producing mostly 110 and larger fruit and are heavier to US#1 grade as well. Bartlett supplies are light on all sizes. Bosc and red pears are still available. ASPARAGUS Gabe Romero/Mike Pacheco This market is firm. Demand exceeds supply. Although the weather has been better in Mexico over the past four days, the consistent days of past freezing temperatures has altered production severely. Peruvian grass is available in LA but supplies are very light. Place orders as soon as possible. If loading is an option in Miami, Peruvian grass is available at lower fob costs compared to California. AVOCADO Tim Kelley Mexico continues with good volume. We are starting to see demand pickup and the market firm up. Supplies of 60’s and 70’s are lighter,
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Commodities at a glance… Commodity
Good Good Good Good Good Fair Good Fair Good Good Good Good Good
Steady Steady Higher Higher Steady Higher Steady Higher Higher Steady Steady Steady Steady
Grapes, Green Grapes, Red Green Onions Lettuce: Leaf Lettuce: Iceberg
Good Good Fair Fair Fair
Steady Steady Higher Higher Lower
Melons: Honeydew Onions Pears Potatoes
Good Excellent Good Excellent
Steady Higher Steady Steady
Squash (Eastern) Stone Fruit Tomatoes (Western) Tomatoes (Eastern) Watermelon
Good Good Good Fair Good
Steady Steady Steady Steady Steady
Apples Asparagus Avocado (Mexican) Avocado (California) Bell Peppers (Western) Bell Pepper (Eastern) Berries: Strawberries Berries: Raspberries Berries: Blackberries Berries: Blueberries Broccoli Carrots Cauliflower Celery Citrus: Lemons Citrus: Oranges Cucumbers (Western) Cucumbers (Eastern)
Commodity Updates Z with 48’s and 40’s still holding steady. Mexican fruit remains the major supply and remains at a good price point even with the firming market.
BELL PEPPERS Western Bells: Jaime Contreras Green bell market is slightly unsettled; some indications market is moving upward on all fruit. Southern California has wrapped up. Sizing will be more toward medium and choice; supplies are adequate on these sizes. Last and latest weather disturbances have hampered production in some growing areas. Open field colored Red bell market is steady to upward trend. Growers are anticipating slight increase in production as new ranches come online. Coachella/Thermal California are currently shipping light volume and anticipate wrapping up soon. Demand exceeds market. Last and latest weather disturbances will hamper production in some growing areas. Gold bells are settling and adequate supplies. Eastern Bells: Janine Baird Not much change in this market but off grades is harder to come by. Market should remain steady through the week. Demand is strong. BERRIES Mike Gorczyca Strawberries: Markets are steady out of all areas with light demand the start of this week. Strawberries are coming out of California, Florida and Mexico currently. Warm weather in Florida last week has hurt the quality of the fruit with bruising showing up in the packs. Looks like Mother Nature might make Valentine’s Day pull interesting as both California and Florida have rain in the forecast starting this weekend. Raspberries: Good demand and light supplies is firming the raspberry market. The lighter supply is caused by a typical light fruit set this time of year. Quality is being reported as good to fair. Blackberries: Supplies have also tightened up with moderate demand which has firmed this market up. Quality is being reported as good. Blueberries: Moderate supplies and demand has this market steady. Quality is being reported as good. The main pack size is switching into 11oz with a few 6oz being packed.
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BROCCOLI Gabe Romero/Mike Pacheco This market continues to gain strength. Demand continues to exceed supplies on bunched product as well as crowns .Shippers continue to struggle on covering contract as well as open business. The weather has been in the low 70s for a high temperature in the growing regions but nighttime temperatures continue to be low. Pin rot, purple cast and bruising are common characteristics that is seen so please be aware. Supplies will be light for the next few weeks. CARROTS Tim Kelley California carrot supplies are lighter. Demand is much better as other growing regions finish for the season. Market is firm. CAULIFLOWER Gabe Romero/Mike Pacheco This market is stronger. Demand exceeds supply. A few suppliers have started this week sold out on Monday. Supplies will be very light throughout the week. There are continual issues with brown spotting and curd discoloration seen upon arrivals so please beware of this. Pricing will steadily increase throughout the week. CELERY Gabe Romero/Mike Pacheco This market is stronger on all sizing. The smaller sizes, 36s and smaller still have better availability but not a good size for foodservice. The cold weather has simply slowed growth severely for this commodity. Santa Maria and Oxnard are the areas of production, with light availability coming out of Yuma. CITRUS Tim Kelley Lemons: The Desert crop volume is good on large sizes as we see the size is switch to more of the larger sizes (115’s and 95’s) with 165’s and 200’s lightening up with normal seasonal growth. Quality is good. Market is firming on smaller sizes. Oranges: The Navel crop volume is good. Fruit is testing well and color is good. Fruit is currently packing on heavy to the Fancy grade and peaking on 88’s/72’s/56’s. We have had freezing temps in the growing areas over the weekend and this morning. This cold could go
Commodity Updates Z through mid week. The early reports do not look bad, but assessments are still going on. Limes: Supplies are fair with some quality issues showing. Cold temps in the growing regions of Mexico have slowed growth and harvest. The market is firming. CUCUMBERS Western Cucumber: Jaime Contreras Market is very unsettled but there are signs market is settling due to increased production. Supplies are still light. Demand still Exceeds. Eastern Cucumbers: Janine Baird With the domestic crop coming to an end and multiple quality issues arising, the cucumber market remains very strong with limited availability. Demand on East Coast cucumbers is high due to the cold temps out west. EGGPLANT Western Eggplant: Jaime Contreras Market appears to be settling although supplies are still light. Recent weather systems have impacted production but warmer weather will help alleviate the supply situation. Eastern Eggplant: Janine Baird The eggplant market is rising right along with everything else. Quality has been good and demand is strong. GRAPES: Amy Grolnick The Chilean red and green grapes are still extremely limited the next available product will be tomorrow at the earliest on both coasts. Most reds are running small, 500 code and smaller. The west and east coasts are selling the vessels out before they port. We will be limited at best on product through the end of this month. There are several varietals of green grapes around from Brazil, Peru and Chile. The green grape prices have a very large range depending on country of origin and varietal on the green grapes. Green grapes are limited as well on both coasts. Red Globes are available with good quality. There are limited supplies of black grapes starting on the west coast. GREEN ONIONS Gabe Romero/Mike Pacheco Light availability continues to be the theme on this commodity coming out of Mexico. The freezing temperatures in Mexico have proven
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to be very difficult for suppliers to catch up on demand. Demand exceeds supplies. Escalated pricing is in effect on all contracts. The market is active on all sizing. There have been some slime and decay issues reported. LEAF LETTUCE Gabe Romero/Mike Pacheco This market is strong to start the week. With the blister and peel that growers are dealing with, expect supplies to continue to be light, especially on romaine and romaine hearts for the next 2-3 weeks minimum. Demand clearly exceeds supply. Romaine hearts are extremely light and shippers are watching twelve week averages. Romaine issues include blister and epidermal peel due to excessive days of cold weather. Overall, green and red leaf has become stronger as well. Blister and peel are issues that all suppliers are dealing with on all leaf items daily. Yields are down, needless to say. LETTUCE Gabe Romero/Mike Pacheco This commodity has lightened up in pricing compared to most other commodities. The weights on the palletized lettuce have been averaging 40-44 #s. There continues to be complaints on mechanical damage, pink ribbing, epidermal peel and discoloration. This is all due to the past freezing temperatures. All shippers are having these issues. Yuma continues to be the main growing area for this commodity. MELONS: Amy Grolnick Cantaloupe: Offshore fruit is on the second cycle. Cantaloupe is moving to the large sized fruit again with limited small fruit around. Pompano area has good availability. The west coast now has good availability as well. Honeydew: Offshore fruit is becoming limited as they get into the next cycle. It will remain limited this week. Mexican fruit with some hit and miss quality issues. The market is strong. ONIONS John Tole Washington & Idaho/Oregon are steady but strong on yellows. Demand has leveled off in both areas. Most suppliers are still bullish from the Asian export demand, the lower stocks-onhand, and the lower yields. The cold weather in Idaho/Oregon has limited the packing for a
Commodity Updates few shippers. Washington is peaking on jumbo yellows now along with Idaho/Oregon. There are a few Mexican sweet onions crossing into Texas and they are quoting 40# cartons and sack mediums. The Red onion market is steady as well but red supplies are down so expect that market to continue to rise. Many Washington shippers will only sell reds with yellows now. Whites are higher in both areas due to lower availability. The quality has been good in both areas and all colors. POTATOES John Tole Idaho Norkotahs are steady while Burbanks are slightly higher. Most suppliers are running Burbanks right now. The current cold front is preventing many shippers from hauling bulk to their packing sheds so expect light availability on Idaho cartons until the weather warms up. The lack of packing is pushing the market higher. Demand for both varieties has been fair to strong. Idaho is still producing mostly 70’s and larger. Washington is steady to slightly higher on counts and they are also heavier to the larger sizes. The Colorado market is steady on all sizes and they continue to produce more of the larger counts but they have been covering all orders. The russet quality has been good to excellent in all areas. Stockton, California is finished packing whites and gold’s. Bakersfield, California continues packing Gold’s and Whites. Both California varieties are heavier to A-size. Washington, Wisconsin, and Minnesota continue packing red & gold potatoes and they are all mostly steady. All areas have better availability on Asize. Idaho reds and golds are also both peaking on A-size and the availability is good. B-size is limited in Idaho for both varieties. The colored potato quality has been fairly good to excellent in all areas. SQUASH Western Squash: Jaime Contreras Market continues unsettled on both Italian and Yellow S/n and both. Supplies have been interrupted as the last and latest weather disturbances will and have hampered production in some growing areas. Supplies will continue light for at least 1-2 weeks. Indications are some areas did experience cold weather damage but, for the most part production has slowed until weather returns to its seasonal averages.
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continued Eastern Squash: Janine Baird The squash market remains strong as much of the east is seeing a considerable amount of west coast business... This market will continue to rise through the rest of the week. STONE FRUIT Amy Grolnick There are both Hichiya and Fuyu persimmons and pomegranates available with good availability and quality. Off shore peaches and nectarines are available now but nectarines remain extremely limited. TOMATOES Aaron Aliotti Western: The volume of rounds at the Nogales crossing have been increasing with good quality and are of larger sizes, however Mexico growing regions have had some cooler weather creep in from Southern Arizona and Northern Mexico which may slow the harvest in coming weeks. Roma and Grape tomatoes are reported in good volumes but are of a wide range in quality with a light supply of cherries also varying in quality. Eastern: Florida remains in good supply and quality, but larger fruit is harder to come by. New fields are reported to start up in 3-5 days which could bring more size to the smaller fruit in the market currently if record high temperatures don’t have an adverse effect. Grape tomatoes remain plentiful and Roma volume is average. VALUE ADDED Gabe Romero/Mike Pacheco The supplies on lettuce are light. The Romaine supplies are extremely light as well. Broccoli supplies have tightened up severely. The cauliflower supplies will be limited throughout the week. Every value added item will be watched by processors in terms of twelve week averages over the next few weeks. Escalated pricing is in effect. WATERMELON: Jaime Contreras Market is unsettled and on an upward trend. Demand exceeds on s/less watermelon. Jalisco has entered new acreage and most fruit available will be large sizes. Smaller fruit will be light in supplies. The North districts are mostly done. Jalisco fruit is mostly available in cartons. Availability on seeded watermelon is sporadic. Seeded W/melon crossing through Nogales is sporadic.