THINGS YOU SHOULD KNOW:
Very limited supplies continue for the next 2 weeks
March 6, 2013
ÂŠ 2013 PRO*ACT, LLC
Weather: Tim Lynch The Southern California region, Oxnard and Santa Maria in particular will have rain coming today thru Friday. Expect Friday to be the heaviest downfall. Temperatures will be high in the low 50s and lows will be in the 40s.Winds 1015 mph. Yuma will have highs in the 60s-70s will light winds. No rain is expected to hit this region for the rest of the week. Winds are expected to be light with no major issues to report. The weather overall should not play any factor in harvesting of most row crop items.
Small Granny-Smith apples are extremely short
Avocado supplies from Mexico have dropped greatly and market making a big jump up
Freight: Mike McIntire Trucks in California continue to be steady but will start to tighten up when the Easter pull starts toward the end of next week. Trucks in the Northwest are steady. Crude oil remained steady and is currently 89.94 per barrel. The national average on diesel fuel remained steady and is currently 4.130 per gallon. California diesel fuel was steady as well and is 4.341 per gallon.
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Commodity Updates APPLES/PEARS John Tole New York continues to pack Gold Delicious, Reds, Red Rome’s, McIntosh, and Empires. The availability is still fair and all varieties are heavier large fruit except the Mac’s which have ranged in size. The larger New York shippers still expect to pack for the entire month of March. Washington Reds are steady and are peaking on extra-fancy 88/100’s. The lower grades and smaller sizes remain short but there is the occasional deal out there. Some shippers are still packing hail-grade reds. Golden Delicious is also steady and heavy to extra-fancy 88/100’s. Lower grade Golden availability remains fair on 88’s and larger but light on 100’s and smaller. Granny-Smiths are higher and still peaking on 64-80’s and the higher grades. Small and the lower grade Granny’s are still in a demand exceeds situation. Galas are still peaking on 80-100’s and the Washington extra-fancy grade. The Gala market is steady and the demand remains very strong! Washington Fuji’s are heavy to 64/72/80’s and are producing more of the Washington extra-fancy grade. Fuji volume is higher so continue to look for deals with this variety. Pink-Lady’s, Cameo’s, Jonagolds, Braeburns, Rome’s, Jazz, and the other varietals are still available. Washington D’Anjou's are still peaking on the larger sizes and the US#1 grade. Washington Bartlett’s are still producing mostly us#1 110’s but supplies are light. Bosc and red pears are still available. ASPARAGUS Gabe Romero/Mike Pacheco This market is steady. The pricing is competitive on standard and large as supplies have picked up dramatically from Mexico. California has begun in a light way with production. Pricing is higher for California product. Jumbo and extra large sizing will be tight throughout the week. Peruvian grass is available in LA, as well. If loading is an option in Miami, Peruvian grass is available. Supplies are expected to be good throughout the week for Mexican product. AVOCADO Tim Kelley Mexico has reached a point in their season where they have moved the heavy volume that they have had this year and are now down to normal volumes for the balance of their season. This means about 20 percent less than they have been crossing. California growers
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Commodities at a glance… Commodity
Good Good Good Fair Good Good Good Good Good Good Good Good Good
Steady Steady Steady Higher Steady Steady Steady Lower Higher Steady Steady Steady Steady
Grapes, Green Grapes, Red Green Onions Lettuce: Leaf Lettuce: Iceberg
Good Good Fair Fair Fair
Lower Steady Lower Higher Higher
Melons: Honeydew Onions Pears Potatoes
Good Good Good Excellent
Higher Steady 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 are still waiting to gain size to their fruit and only harvesting limited amounts (about 3 percent of shipments). They will continue to increase volume as we move through the month, but don’t expect to see normal volumes from California until April. The market is currently rising daily, and should start to stabilize next week. BELL PEPPERS Western Bells: Mike Cantu Green bell market is unsettled; indications market is moving upward on large fruit. Adequate supplies on choice and smaller fruit. Open field colored Red bell market is showing signs of an upward trend in market as some are transitioning or experiencing a small gap. Supplies are adequate and mostly big fruit available as some new acreage comes online. Gold bells are indicating an upward trend in FOB’s as some are transitioning and gapping. Extreme demand exceeds current supplies. Eastern Bells: Janine Baird The pepper market has nudged up a bit in recent days as a reaction to Florida’s freezing temperatures. This gradual increase could continue through the weekend. BERRIES Mike Gorczyca Strawberries: Cold and wet weather moving back into the California strawberry growing areas today into weekend. This will hurt the quality and supplies the end of this week. Market is steady but will firm up slightly as we get closer to the weekend. Fruit size is large currently. The main issue we are seeing is with the fruit being large is bruising showing up in the packs. Mexico supplies are winding down quickly due to warm weather and will finish up in the next week or so. Florida growers are dealing with a wide range of quality with an unsettled market. Forecast is calling for some thunder storms coming thru the growing areas on today. Raspberries: We have past the low in production with most growers. Supplies are slowly improving as each week moves on. Good demand is keeping the market firm. Quality is being reported as good with a few fair lots showing up. Blackberries: Supplies are starting to get limited due to warm weather in Mexico. This
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has the market slowly firming up. Quality is fair with a few good lots. Blueberries: Moderate supplies and demand has this market steady. Chile blueberry growers are getting close to being done for the season. Quality is being reported as good to fair depending on the lot. The main pack size is switching into 11oz with a few 6oz being packed. Look for this market to slowly firm up in the next week. BROCCOLI Gabe Romero/Mike Pacheco This market is steady overall. Suppliers have picked up on bunched product as well as crowns. There are some suppliers that are better off than others. Santa Maria, Phoenix and Santa Maria are the main growing regions. Demand will dictate where this market will go, but for now, pricing is steady. The overall quality is reported as being good. CARROTS Tim Kelley California carrot supplies are steady. Demand remains good and market is steady. CAULIFLOWER Gabe Romero/Mike Pacheco This market is softer. Some suppliers have picked up production numbers and are offering deals for larger volume type orders. Smaller sizing continues to be more readily available and better deals are being offered on sixteen counts. There have been minimal complaints on brown spotting as the product overall has been clean. The availability is expected to be moderate to good for the entire week. CELERY Gabe Romero/Mike Pacheco This market is getting stronger again. Shippers are having lighter availability on large sizing in Oxnard, Santa Maria and Yuma. The smaller sizes, mainly the 36s have decent supplies. The supplies out of all areas are expected to be moderate for the rest of the week. CITRUS Tim Kelley Lemons: The Desert crop is finished for this season. The Ventura and the Central Valley are now the lemon producing areas. Volume is good on all sizes. Quality is good. Oranges: The Navel crop volume is good. Fruit quality and flavor is very good. Fruit is currently peaking heavy to the Fancy grade and on
Commodity Updates Z 88’s/72’s/113’s, with 56’s and larger a tightening. Limes: Supplies are light with some quality issues showing. Cold temps in the growing regions of Mexico have slowed growth. The market is active continues to firm.
CUCUMBERS Western Cucumber: Mike Cantu Market is very unsettled. We are experiencing from all indications a gap due to bloom drop resulting from the last cold snap a few weeks back. We anticipate better supplies by week’s end. Current market is extreme demand exceeds. Eastern Cucumbers: Janine Baird Some domestic cucumbers have started in recent days but strong winds and freezing temperatures in south Florida have destroyed many of those crops and what is left is poor quality. Cooler temperatures in Honduras keep the off shore market extremely strong. Look for this to continue into next week. EGGPLANT Western Eggplant: Mike Cantu Market is on an upward tick. Demand exceeds current supplies. Eastern Eggplant: Janine Baird The eggplant market is gaining strength as supplies out of South Florida begin to dwindle. GRAPES: Amy Grolnick Shippers continue to be priced based on fruit quality. Quality problems still include splits and soft wet berries at the low end of the pricing on flames. The east and west coast have good availability of product mostly med and med/lg fruit on both red and green grapes. The green market will continue to come off next week with the red market strengthening as several shippers finish with flames and transition to the more expensive Crimson varietal. Globes and blacks have good availability. GREEN ONIONS Gabe Romero/Mike Pacheco This market is softer. Supplies are stronger with all suppliers out of the Mexico region. Overall, supplies are expected to be good for the entire week. There continues to be issues of yellowing, slime and decay being reported upon arrivals. The complaints, however has been much less compared to past weeks.
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LEAF LETTUCE Gabe Romero/Mike Pacheco This market is up on romaine. Demand continues to exceed supply. The blister and peel continues to exist on the production of this commodity. 8-10 leaves of blister and 2-3 leaves with brown blister is a common characteristic that suppliers are dealing with. Green and red leaf is plentiful and most shippers are listening to offers. Blister and peel continue to be growing issues that all suppliers are still dealing with. Escalated pricing continues on all on all romaine items. LETTUCE Gabe Romero/Mike Pacheco This market is stronger. Many suppliers continue to pack thirty count cartons. The weights on the thirty counts are averaging 3942 lbs. There continues to be complaints on mechanical damage, pink ribbing, and epidermal peel. This will be an issue for the rest of the Yuma deal. The complaints however have been less compared to past weeks. The desert region continues to be the main area of production for this commodity. Huron is expected to begin production at the end of March. MELONS: Amy Grolnick Cantaloupe: Fruit is limited at best with fruit peaking to 12’s. They west coast will have very limited fruit over the next week or so with better availability out of Florida. Most Guatemalan shippers are between fields with the majority of the fruit coming out of Honduras and very limited. The market is very firm. Honeydew: Offshore and Mexican fruit is limited. Mostly large fruit is available. The next few weeks will continue with limited availability. The market is very firm. ONIONS John Tole The yellow markets continue to drop in both Idaho/Oregon & Washington. Several shippers are offering volume deals on mediums and jumbo’s. Some of the smaller shippers in Idaho are coming to the end of their season while the larger suppliers will continue packing through mid April. Jumbo yellows are still the peak size in the northwest. Mexican sweet yellows are slightly lower again and are still being pulled down by the storage market. Northwest Red onions are lower again as well. Storage red supplies remain low but the demand has been
Commodity Updates light. Mexico is still crossing a few reds and that market is steady. Whites are mostly steady in the northwest due to lighter supplies. Mexican whites are also steady. The onion quality has been good in all areas and on all colors. POTATOES John Tole The potato market for all districts is flat. Ample supplies are keeping the market low. The Idaho volume deals are still available for number-two’s and 40-60’s. Idaho continues to peak on 70-count and larger. Most Idaho packers are still running Burbanks while only a few are running Norkotahs. The Washington market is steady on all sizes and they continue to peak on the larger counts. Colorado is steady on all sizes and is also producing more of 70-count and larger. The russet quality has been good to excellent in all areas. Bakersfield, California is almost finished packing reds & Gold’s and has finished with whites. Both California varieties are heavier to st A-size. Expect new-crop around April 1 . Washington, Wisconsin, and North Dakota continue packing red & gold potatoes and they are all mostly steady. All areas have better availability on A-size. North Dakota & Washington are coming to the end of the season. Florida is packing reds, golds, and now white as well. They are all heavier to Asize and the market is lower for all colors. The colored potato quality has been fairly good to excellent in all areas. SQUASH Western Squash: Mike Cantu Market continues unsettled on both Italian and Yellow S/n signs of increasing supplies ought to start alleviating pressure on the market. 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 couple of weeks. Indications are some areas are experiencing bloom drop gaps but, for the most part production has slowed until weather returns to its seasonal averages. Eastern Squash: Janine Baird As far as squash goes the problem started due to a lack of pollination and with the cold weather has become even worse. This week we are seeing drastic shortages that haven’t been seen in years. Unfortunately even if it
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continued warms up we will be in the same boat for several weeks until new areas begin to start in late March early April. There also could be damage on some of the crops further north that are due to get started in 2-3 weeks but again we won’t know what if any until the end of the week. Mexico which usually kicks in and helps supply the East in these times continues to have little to no product as well. STONE FRUIT Amy Grolnick Persimmons are finishing up with limited sizes available. Off shore peaches, plums, and nectarines are available with good supplies. Cherries are done for the season. CA Cherries will start around May 1. California Kiwi is finishing up with mostly Italian available now and Chilean coming in over the next few weeks. TOMATOES Aaron Aliotti Western: There is a wide range of color and quality crossing the U.S and Mexico border with volumes continuing to be reduced due to previous weather patterns in the area. A cold temperature bloom drop has caused volumes to be off in Mexico and reduced acreage is causing reduction in supply. Eastern: Cool weather and rain in South Florida is taking a toll on the volume of second pickings in the region, and in general has fewer plants in production this year. Romas, cherries and grapes are tighter this week and demand will continue to increase as March progresses. VALUE ADDED Gabe Romero/Mike Pacheco The supplies on lettuce have lightened up but there is enough for all the processor’s needs. The Romaine supplies will be light throughout the week, with blister playing a large factor in production. Broccoli supplies will be steady for the week. The cauliflower supplies are ample for all processor’s needs. Escalated pricing continues on all romaine items. WATERMELON Mike Cantu Market continues extremely unsettled but signs that availability is improving. Demand exceeds on s/less watermelon. Jalisco has entered new acreage and some growing areas are experiencing rain related issues. Production is off by nearly sixty percent. The North districts are expected to start first weeks of March. Until then supplies will be extremely light. Availability on seeded watermelon is sporadic.