THINGS YOU SHOULD KNOW:
July 25, 2012
ÂŠ 2012 PRO*ACT, LLC
No Commodity Alerts at this time.
The unseasonably cool and moist weather pattern in the Salinas Valley will continue this week with region wide cooling well below (5-15 degrees) seasonal temperatures, especially near the coast. Cool temperatures will continue through Friday as the marine layer coupled with onshore flow will keep temperatures in the 60s along the coast to the 80s in the warmer inland regions. This continuing weather pattern will not help with yields and quality of upcoming crops.
Freight: Mike McIntire Trucks in California remain steady with rates higher than normal due to the lack of freight headed west. Trucks in the Northwest and Idaho are steady. Crude oil remains steady and is currently at 87.30 per barrel. The national average on diesel went up .088 cents from last week and is currently at 3.783 per gallon.
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Commodity Updates APPLES/PEARS John Tole Washington Reds are still peaking on 88/100’s in the Washington-extra grades. Supplies of the fancy grade are already limited and getting tighter. Golden delicious are also heavy to the 88/10 sizes and the higher grades. Lower grade Golden’s are also extremely limited short. Granny-Smiths are also heavy to extrafancy grade 88/100’s. Lower-grade grannies are also very short and getting shorter. California should start packing new-crop st grannies around September 1 . Galas are essentially finished for the season in Washington. California should start packing st new-crop Gala’s between August 1 and August 8th. Washington Fuji’s are still peaking on extra-fancy 72-88’s and they remain extremely short as the season is almost over. The D‘Anjou pear season is essentially finished in Washington. California is packing new-crop Bartlett and Stark-Crimson pears. The Bartletts are heavy to the middle sizes. ASPARAGUS Gabe Romero/Mike Pacheco The market on Mexican grass is going up early next week. Supplies out of Mexico continue to be moderate at best. Peruvian product will be light throughout the week. There continues to be no 28 pound cases being packed by any supplier, only eleven pounders. Jumbo grass continues to be the lightest size for availability. AVOCADO Tim Kelley Mexican supplies continue to decline weekly. California volume is good; peak size has switched to 48’s and larger, with 60ct and 70ct much lighter in supplies. California fruit has good maturity, flavor and oil content. BELL PEPPERS Western Bells: Jaime Contreras Green bell market is expected to trend up slightly to steady. Adequate supplies on all green bells .Colored Red bell steady to trending slightly up as some growers will come off slightly in production this coming week. Demand is steady. Gold bells are the same as Red bells. Eastern Bells: Janine Baird With Michigan now working their own peppers there is plenty of volume out of the Northeast and Carolinas, the market has softened a bit. As is the case with the initial harvests, sizing is
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Commodities at a glance… Commodity
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Stone Fruit Tomatoes (Western) Tomatoes (Eastern) Watermelon
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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) Eggplant Red Grapes Green Onions Lettuce: Leaf Lettuce: Iceberg Melons: Cantaloupe Melons: Honeydew Onions Pears Potatoes
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Commodity Updates Z heavy to the larger sizes with very little off grades available. Quality is good and demand is steady.
BERRIES Mike Gorczyca Strawberries: Long days/nights and warm nights over the last couple of weeks have hurt the quality of the strawberries coming out of California. The main issue is ripe fruit showing up in the packs which are not holding up as long as we are use to. The pickers are doing their best to keep this fruit out of the packs and we have seen some improvement with arrivals this last week. Demand is still good with moderate to good supply. Market is firm. The Salinas/Watsonville growing areas have hit their peak production currently and numbers are starting to go backwards. Fruit size is medium running in the 18 count to 22 count range with full color fruit. Strawberries are still be harvested in Salinas/Watsonville and Santa Maria growing areas. Santa Maria has hit and miss quality depending on shipper with size being medium to small. Raspberries: The market is starting to firm up as they hit their peak in production this last week. We will see a slight low in production for about two weeks and then the numbers will start to increase again. Quality is being reported as good. Blackberries: The blackberry market is starting to improve as each week moves on but supplies have not caught up with demand. Quality is reported as only fair to good. Blueberries: Northwest is the main growing area currently. Quality is being reported as good. Market is slightly weaker. The main pack sizes are 6oz and larger. BROCCOLI Gabe Romero/Mike Pacheco This market is steady. Pricing is very competitive in the industry as suppliers look to increase orders as much as possible. Santa Maria and Salinas continue to be the main growing regions for this commodity. There are no major issues to report in terms of quality. Deals can be made on volume type orders with some suppliers. CARROTS Tim Kelley California carrot supplies remain good. Sizing of the carrots are good with steady warm weather. Good demand is firming the market.
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CAULIFLOWER Gabe Romero/Mike Pacheco This market is active for the first time in awhile. There is a spread of 2-3 dollars in pricing in the market. Larger sizing is lighter in availability and commanding a higher price. Expect this market to get stronger throughout the week. Light brown spotting continues to be seen sporadically upon arrivals, so please be aware. Most shippers continue to deal with this issue. CELERY Gabe Romero/Mike Pacheco This market is firm. Large sizing is moderate in availability, with small sizing still being on the light side. The option for Salinas and Santa Maria are the two regions to choose from when loading out of California. There are no real deals being offered currently on large, volume orders. CITRUS Tim Kelley Lemons: Ventura crop harvest is going at full production. Supplies are good, with good steady summer time demand. Oranges: The Valencia orange harvest remains steady, with sizing peaking on larger sizes – 72’s/88’s. Good demand and very light supplies on small sizes is keeping market firm. Limes: Supplies are good on all sizes. We are beginning to see the crop shift back to peak size of 230/200/175ct. CUCUMBERS Western Cucumber: Jaime Contreras Market is trending up slightly, lighter supplies on fancy fruit. Unseasonable warm weather has impacted production. Eastern Cucumbers: Janine Baird Supplies are steady out of New Jersey and Michigan and the quality has been excellent. North Carolina’s volume is still hit and misses. The market remains steady. EGGPLANT Western Eggplant: Jaime Contreras Market is active and trending up. Light supplies on large and fancy fruit. Most availability is on choice fruit. Demand outpacing supply. Eastern Eggplant: Janine Baird With hot weather and excessive rains, Georgia has finished with eggplant 2-3 weeks early. Michigan just doesn't have the volume yet, which has led to a very tight market this week. There is little to no choice eggplant available
Commodity Updates Z and the market on fancies should continue to rise over the course of the next couple of weeks.
GRAPES: Amy Grolnick The market on the red grapes is steady in California with very light demand. Quality is excellent. Sugarones are in good supply with a steady market. There are some lower priced Perlettes available and Thompson has started in a light way. Black Seedless and Red globe both have good supplies. GREEN ONIONS Gabe Romero/Mike Pacheco This market is steady like the previous week. Supplies are coming out of Mexico with most suppliers. The quality continues to have a few issues with decay upon arrival. Pencil sizing will have the best availability. LEAF LETTUCE Gabe Romero/Mike Pacheco The leaf market has firmed up with many suppliers. Romaine hearts will continue to be on the light side throughout the week. Suppliers are reporting fringe burn and slight mildew on carton romaine so please be aware of this. Multiple shippers have reported this. The availability of leaf items will be highly influenced on local production across the U.S. To start the week, availability is moderate. LETTUCE Gabe Romero/Mike Pacheco The lettuce market is firm. Suppliers are fluctuating in price and this has caused a spread in pricing by as much as four dollars. Decay, pink ribbing and brown outer leaves are a defect that exists lightly with suppliers. Santa Maria has production also available, with weights similar to Salinas’s lettuce. MELONS: Amy Grolnick Cantaloupe: Bakersfield has limited supplies this week. Westside product is going strong with product peaking to 12’s and 15’s and deals on small fruit. Next week availability on the large fruit will be even more limited. Honeydew: Mexican fruit in Nogales will finish up at the end of this week. The Westside is going now with sizes peaking to 5’s and 6’s and very limited on small fruit, quality is excellent.
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ONIONS John Tole The yellows market is steady to higher in both California and New Mexico. Pacific Rim export demand is strong right now and some of the New Mexico suppliers are finishing early. Most New Mexico shippers still have smaller size but it is improving. California yellows are larger but the demand for supers has been strong so they are limited and most won’t ring very well right now either. Reds are steady in both areas. Most California shippers have jumbo reds and are limited on mediums. Some of the New Mexico suppliers will finish reds next week so expect a stronger marker as they buy from California for mixers. Whites are steady in both areas with good supplies available. The quality has been good on all colors. Washington and Colorado will start packing new crop yellows & reds in one to two weeks. POTATOES John Tole The Idaho market is mostly unchanged but supplies are starting to dry up. Many shippers have gone up on the larger counts because they have smaller spuds so watch for a stronger market on 70’s and larger. The earliest to start new-crop will do so next Monday and the rest should be up and running on or before August 16th. Washington is still packing new-crop norkotahs. The Colorado market is steady to lower on old-crop. Nebraska & Texas are also still packing newcrop Norkotahs. Bakersfield, California continues to pack russets and that market is generally lower. California manifests are still heavy to 80’s and smaller. The russet quality has been excellent in all areas. Bakersfield has finished packing colors but still has a few on the floor. Stockton is packing new crop reds and they have a few golds and whites. Virginia is still packing reds, whites, and golds and they are heavier to A-size although N.C. is finished. Alabama continues to pack reds and they are mostly A-size as well. Washington and Minnesota are both starting to pack new-crop reds. SQUASH Western Squash: Jaime Contreras Market trending up on both Italian and Yellow S/n. Some growers are reducing production
Commodity Updates due to low markets and quality. Weather has impacted both especially yellow s/n. Yellow squash has wide range of quality. Yellow squash continues demand exceeds. Eastern Squash: Janine Baird Michigan, New Jersey and the Carolinas are all into good volume on squash. The weather has been warmer than average and that means plentiful supplies on both colors through the week. Market remains steady on yellow with there being more flexed in the green. Quality is excellent. STONE FRUIT Amy Grolnick California peaches are running very large with limited availability of volume fill fruit. Nectarines have better availability but plums remain limited with an active market. Washington is going with very good quality and good availability of cherries. Apricots limited as several shippers finish up in the San Joaquin Valley. Washington has started with apricots and has very good availability. TOMATOES Jay Martini Western: Volume is lighter this week in California’s San Joaquin Valley, and mature green tomato prices are firm. This ‘skip’ of sorts has been reported to be the result of rains back in April when there was a lot of replanting going on. Still, daytime temps have been seasonal & in the 90’s, so look for yields to increase after next week, albeit not heavily. Eastern: The Eastern Shore deal in Virginia/Maryland has caught sporadic rains, as has the Tennessee mountain district near Unicoi and volume has been hit & miss. Prices have continued to be strong, with quality being very good, but distribution has been limited to the Eastern part of the U.S., with homegrown tomatoes beginning in the middle region of the country. VALUE ADDED Gabe Romero/Mike Pacheco The lettuce quality continues to have some issues of decay. Supplies are adequate for all processors’ needs. The Romaine supplies are better. Broccoli supplies are not an issue for processors for now. The cauliflower supplies will be lighter this week. Occasional brown spotting has been reported on this commodity.
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continued WATERMELON: Jaime Contreras Markets are expected to trend up in pricing. Continued demand exceeds on s/less watermelon. Nogales season has wrapped up. Most availability will be in bins on s/less. Availability on seeded watermelon is sporadic. Phoenix is currently shipping but will wrap up within a week or two. Monsoonal weather will also slow down production. Other loading points have same market trends, Yuma, Southern Cal.