Archive For The “News” Category

Mexican Tomato Volume is Forecast to Fall 9% in 2026

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Mexico’s 2026 tomato production is forecast at 2.6 million metric tons (MMT), a 9 percent decrease
from 2025, according to a report from the USDA.

This is mainly a result of the continued imposition of a 17 percent antidumping duty on U.S.
imports of Mexican tomatoes, reduced profit margins for producers, and weather conditions. This
reduction in production is expected to contribute to a forecasted 9 percent decrease in tomato exports to
1.8 MMT in 2026. The United States remains Mexico’s top export market for tomatoes, typically
importing over 90 percent of Mexico’s exportable supply.

Mexican tomato production is expected to continue the downward trend that began in 2023. For calendar
year (CY) 2026, tomato production is forecast to decrease 9 percent to 2.6 MMT. This is mainly a result
of ongoing market disruptions (including the 17 percent antidumping duty on U.S. imports of Mexican
tomatoes), reduced profit margins for producers, and unfavorable weather conditions. Planted area is
forecast at 38,000 hectares for CY 2026, an 11 percent decrease from CY 2025. Post also expects a
reduction in area dedicated to open skies planting in favor of shifting production to protected systems,
including greenhouses and shaded structures.

In July 2025, the U.S. government terminated the 2019 suspension agreement with Mexico and imposed
an antidumping duty of 17.09 percent on most Mexican fresh tomato imports. This duty, combined with
the appreciation of the Mexican peso in 2025 and early 2026, has squeezed profit margins for many
Mexican tomato producers and exporters. The value of the Mexican peso increased by 14 percent in
2025 and 2 percent through April 2026. Mexican tomato exports typically enter the U.S. market through
negotiated contracts in fixed U.S. dollar (USD) prices or the spot market. The peso appreciation has
reduced the number of pesos Mexican exporters receive for each dollar of tomato sales to international
markets. According to industry reports, these factors have also led to some consolidation in the market
and growers transitioning to other crops in the face of uncertainty.
Mexico produces tomatoes in 31 out of 32 states and utilizes three production methods for tomatoes:
open skies (low tech), shaded infrastructure with some automatic irrigation (medium tech), and
greenhouse and substrate production with advanced irrigation (high tech). Protected agriculture (medium
and high tech) is the main mechanism for tomato production in Mexico, representing about 65 percent of
total production. Low tech producers obtain between 45 to 75 MT per hectare. Medium tech offers
yields that reach an estimated 140 to 215 MT per hectare. High tech producers (especially the specialty

In July 2025, the U.S. government terminated the 2019 suspension agreement with Mexico and imposed
an antidumping duty of 17.09 percent on most Mexican fresh tomato imports. This duty, combined with
the appreciation of the Mexican peso in 2025 and early 2026, has squeezed profit margins for many
Mexican tomato producers and exporters. The value of the Mexican peso increased by 14 percent in
2025 and 2 percent through April 2026. Mexican tomato exports typically enter the U.S. market through
negotiated contracts in fixed U.S. dollar (USD) prices or the spot market. The peso appreciation has
reduced the number of pesos Mexican exporters receive for each dollar of tomato sales to international
markets. According to industry reports, these factors have also led to some consolidation in the market
and growers transitioning to other crops in the face of uncertainty.
Mexico produces tomatoes in 31 out of 32 states and utilizes three production methods for tomatoes:
open skies (low tech), shaded infrastructure with some automatic irrigation (medium tech), and
greenhouse and substrate production with advanced irrigation (high tech). Protected agriculture (medium
and high tech) is the main mechanism for tomato production in Mexico, representing about 65 percent of
total production. Low tech producers obtain between 45 to 75 MT per hectare. Medium tech offers
yields that reach an estimated 140 to 215 MT per hectare. High tech producers (especially the specialty

tomatoes growers) can obtain between 250 and 300 MT per hectare. The most advanced production
methods include greenhouse infrastructure, controlled climate, substrate as a soil, and drip irrigation
with minerals that support ideal plant growth.

Mexico produces a broad range of tomato varieties that are ripened on the vine, including traditional
varieties (Round and Roma) and specialty varieties (Cherry, Grape, and Heirloom).

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Fresh Farms kicks off Baja tomato season with strong market position

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Produce marketing firm Fresh Farms  with offices in Rio Rico, AZ and Kingsburg, CA is entering the Baja tomato season on a good footing, aligning seamlessly with the end of the Sonora crop. This strategic transition allows the company to maintain consistent supply while capitalizing on favorable growing conditions in Baja, where growing weather has been optimal.

In a press release, the company explained that, unlike various key growing regions across the US and Mexico, where weather remains a crucial factor affecting the market, Baja’s stable climate provides a strong foundation for high-quality production. This, they said, puts the firm in an advantageous position as the season begins.

Demand for premium tomatoes remains strong among Fresh Farms’ core customers, the firm said, with buyers opting for reliable suppliers capable of delivering consistent quality. The company expects to deliver just over 1 million cases of Roma tomatoes from late June through November.

“This volume outlook reflects both confidence in production and the ability to meet sustained customer demand throughout the season,” read the document.

According to the producer marketer, tomato markets have remained stable in recent weeks, providing a solid pricing environment.

Furthering an already positive outlook, ongoing weather challenges in other growing regions could tighten availability of high-quality tomatoes in the near future. This scenario, the company said, may strengthen its position, as consistent supply becomes increasingly valuable.

“We remain committed to its proven strategy: strengthening existing partnerships while actively developing new relationships, particularly along the US West Coast. By combining reliability, quality, and strategic growth, the company is well-positioned to deliver a successful and stable Baja tomato season,” the firm concluded. 

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California Cantaloupe Supply Shortage Is Ending with Strong Summer Volume Projected

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Approximately 70 percent of California’s cantaloupe crop is produced in the San Joaquin Valley, where harvest began June 29, which is right on schedule, notes Garrett Patricio, President of Classic Fruit Company of Fresno, CA and chairman of the California Cantaloupe Advisory Board, who stressed shippers are expecting promotable volume to be available by early July.

“The good news is that we expect strong cantaloupe volume beginning in early July and continuing throughout the remainder of the summer,” Patricio said. “Consumers and retailers can look forward to a steady supply of high-quality California cantaloupes once the San Joaquin Valley season gets underway.”

About 75 percent of all cantaloupes consumed in the United States are grown in California. As the San Joaquin Valley harvest gets underway, the California Cantaloupe Advisory Board is launching an expanded consumer marketing campaign designed to drive demand throughout the summer season. 

In the meantime, unusual weather patterns severely impacted melon production in California’s Imperial Valley and the Yuma, Arizona growing region. Growers had extremely limited supplies of all melon varieties, including cantaloupe, during the last half of June.

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HAPPY 250TH BIRTHDAY AMERICA!!!

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The 250th anniversary, also called the Semiquincentennial, commemorates the signing of the Declaration of Independence in 1776. This milestone offers an opportunity to reflect on the nation’s history, honor contributions of Americans past and present, and envision the future for the next generations.

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Applewood Fresh, Belding Fruit Storage form Strategic Partnership with Michigan Apples

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Applewood Fresh, a Sparta, Michigan-based apple grower, packer, and shipper operating under parent company FirstFruits Farms, announced a new strategic sales partnership with Belding Fruit Storage, Inc. of Belding, Michigan. Through the partnership, Applewood Fresh will serve as the sales and marketing function for Belding Fruit’s apple program, further strengthening supply capabilities and customer support throughout the Midwest and East Coast.

Belding Fruit Storage, Inc. operates one of the largest apple storage facilities in the eastern United States, with storage capacity exceeding one-half million bushels. The partnership brings together two long-standing Michigan apple organizations with shared commitments to quality, service, and strategic partnerships.

“This partnership is an exciting opportunity to strengthen our presence in the marketplace as a multi-regional supply entity,” said Lon Hudson, national sales director of FirstFruits.

The expanded program will offer customers access to a robust lineup of conventional, core, and high-flavor apple varieties, including Honeycrisp, EverCrisp, SweeTango, Fuji, Gala, and Red Delicious, among others. The partnership also enhances the companies’ ability to offer stronger volumes and an extended shipping season.

“We are excited about this partnership and the opportunity to serve as the sales function for Belding’s group of generational growers and experienced staff,” said Scott Morrison, general manager of Applewood Fresh. “Partnering with them strengthens our supply chain with additional supply, capacity, storage, and cross-docking opportunities. Additionally, access to fruit grown in other regions of the state will help mitigate seasonal weather fluctuations.”

“This partnership represents an important step forward for Belding Fruit Storage and our growers. By aligning our storage and packing capabilities with Applewood Fresh’s sales expertise, we are creating a stronger, more focused path to market for Michigan apples.” said Curt Norberg, president Belding Fruit Storage.

Together, the companies aim to strengthen partnerships through expanded regional supply, increased flexibility, and collaborative planning designed to drive long-term category growth.

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California Table Grape Acreage Continues to Decline as Non-Bearing Plantings Plummet

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The California table grape industry is navigating a period of contraction, according to the latest data from the US Department of Agriculture’s National Agricultural Statistics Service (NASS). 

The report reveals a continued downward trend in total planted area, totaling 118,000 acres in 2025, a slight 1.7 percent decrease from the previous year. 

Notably, while bearing acreage remained steady at 115,000 acres, non-bearing acreage, which generally represents future production, saw a 40 percent drop.

Released at the end of April, the survey was conducted in partnership with the California Department of Food and Agriculture and the California Table Grape Commission. 

A closer look at the 2025 data shows a slight but consistent decline from the 125,000 total acres recorded in 2023, underscoring a tightening of the state’s table grape footprint. 

The sharp reduction in non-bearing acreage, which fell from 5,000 acres in 2024 to just 3,000 in 2025, suggests a cautious approach to new plantings among California growers, though the USDA doesn’t provide an interpretation of this number in particular.

Despite the overall reduction, Flame Seedless remains the state’s leading table grape variety with a total of 10,506 planted acres, a slight dip from the 10,547 acres reported in 2024. 

Other dominant traditional varieties also experienced marginal declines compared to the previous year, but remained steady overall. Autumn King went from 6,338 to 6,312 acres, while Scarlet Royal reached 6,047 acres, down from 6,056. Red Globe decreased slightly to 5,205 acres from 5,255, and Crimson Seedless remained nearly flat at 4,692 acres.

While many well-established varieties saw reductions, a few newer or proprietary varieties showed resilience or modest growth, consolidating the shift toward green cultivars over reds. Sweet Globe acreage increased slightly to 1,748 acres, up from 1,712, while Great Green (also known as Green Envy or Big Green) grew to 1,146 acres from 1,125. 

Finally, the consumer-favorite Autumn Crisp kept a steady footprint at 4,154 acres, matching its 2024 total. However, with 448 non-bearing acres, the cultivar was Golden State growers’ main choice for new plantings, reflecting its already widely reported commercial success.

he USDA noted that the data reflect significant vine removals, with over 21,000 acres pulled across all grape types in the past 12 months.

As the industry moves forward, these figures signal a strategic consolidation focused on maintaining existing bearing vines while significantly scaling back on new development.

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California Pear Growers Maintain Market Stability for 2026 Crop After Del Monte Acquisition

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Most California Pear Growers will continue to have a dependable market for their crop as Pacific Coast Producers (PCP) of Sacramento, CA has announced it plans to maintain canned pear volume following its recent acquisition of Del Monte’s shelf-stable fruit assets.

The development provides some continuity for pear processing volumes that have long been a cornerstone of the industry.

“In recent years, Del Monte had contracted for nearly 40 percent of the pears used in canned products,” said Chris Zanobini, Executive Director of the California Pear Advisory Board. “With the closure of their Modesto facility, maintaining that tonnage in the system was critical. Pacific Coast Producers’ plan to contract a significant portion of that volume, will help keep the industry operating at sustainable levels and provide some certainty for growers heading into the season.”

Approximately two-thirds of California’s pear crop is utilized in processed products such as canned pears and fruit cocktail. While processing capacity in the state has consolidated in recent years, PCP’s expanded role helps ensure a continued outlet for that fruit.

Pacific Coast Producers is an agricultural cooperative owned by 160 family farmers in Northern California. The company operates facilities in California and Oregon and employs more than 4,000 people. Since 1971, PCP has focused on delivering quality fruit products while supporting the long-term viability of its grower-owners and partners.

PCP is expected to contract with both cooperative members and independent growers, providing flexibility and continuity across the industry.

In a recent statement, PCP said: “We are committed to a viable agricultural community in our state. We have increased our purchases of West Coast fruit to ensure a reliable supply for our customers while maintaining the quality consumers expect.”

California pear growers continue to navigate a competitive global market, with imports—particularly from Argentina—remaining a factor. Industry leaders are actively working on trade policy to support fair market conditions.

Approximately 60 pear farming families remain in California today, continuing a long-standing tradition of pear production. The 2026 crop is expected to be early and plentiful, and growers are well positioned to supply both fresh and processed markets.

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Fuel and Surcharge Costs Continue to Pressure Logistics Markets

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Geopolitical tensions in the Middle East, particularly between the United States and Iran, are continuing to affect global logistics markets through higher fuel costs, risk surcharges, and capacity pressure.

According to Shypple, while the sector has already adapted to longer transit times caused by rerouting around the Cape of Good Hope, the current market environment is adding further pressure on freight costs and supply chain planning.

The company said freight markets remain volatile. Asia-Europe rates are declining on some routes as carriers lower prices to fill vessels, while rates from India and the Middle East continue to rise. Fuel and insurance costs are also increasing through higher Bunker Adjustment Factors and War Risk Surcharges.

Shypple procurement analyst Dennis Wietsma said importers are increasingly being forced to choose between long-term contracts with added surcharges or volatile spot markets.

“Do you opt for the security of a long-term contract, knowing you will still pay emergency surcharges on top of it? Or do you dare to ride the volatile spot market, where rates might drop, but you pay top dollar the moment a new geopolitical escalation occurs?”

According to the company, one of the biggest operational challenges is unreliable ETA data from carriers. Shipping lines are still calculating transit times based on former Suez Canal routing, resulting in delays being added later in the shipment process.

“In a market where shipping lines offer less control and transparency, independent track & trace is no longer a luxury, but a necessity,” said Tim de Groot.

The report noted that many non-food importers are moving away from just-in-time logistics and building inventory buffers of up to three months to reduce supply risks.

For fresh produce importers, however, long-term storage is not an option. According to Shypple, refrigerated cargo sectors such as fruit, vegetables, and plants are relying more heavily on fixed shipping allocations and stable trade routes from Central America and South America.

Shypple account manager Lesley van de Water said real-time shipment tracking is becoming increasingly important for supply chain management.

“You can’t prevent changes from happening, but thanks to the tracking, you can adjust immediately.”

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Record Shipments of Avocados are Coming from Mexico

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The US avocado market continues to expand in 2026, supported by strong import volumes, especially from Mexico, and modest domestic growth.

According to the USDA’s Fruit and Tree Nuts Outlook (March 2026), California is expected to produce 330 million pounds of avocados in the 2025–26 marketing year, a one percent increase from the previous season. About 94 percent of this crop consists of Hass or Hass-like varieties, reinforcing their dominance in the US market.

Despite this growth, the US avocado market remains heavily dependent on imports. In 2025, the United States imported a record 2.87 billion pounds of fresh avocados, marking a seven percent increase from 2024 and surpassing the previous record set in 2023.

Mexico alone accounted for 83 percent of import volume and 88 percent of total import value, highlighting its critical role in supplying the US market year-round.

Supply conditions in early 2026 have further shaped the market. Between January and mid-March, avocado shipments from Mexico were 24 percent higher than during the same period in 2025. In addition, larger avocados accounted for 50 percent of shipments, up from 40 percent a year earlier.

This increase in both volume and fruit size has placed downward pressure on prices, with average shipping-point prices for larger Hass avocados falling to around $1 per pound, roughly one-third of the price seen a year earlier.

Seasonal imports from other countries also influence the US avocado market. In 2025, Peru supplied 218 million pounds, accounting for about 7 percent of total shipments, with most arriving between June and August. Colombia contributed an additional four percent, with shipments spread more evenly throughout the year. These imports often coincide with California’s peak season, increasing overall supply and contributing to lower prices.

Overall, the USDA report shows that the US avocado market in 2026 is characterized by record import dependence, increasing supply, and falling prices. While these trends benefit consumers by increasing availability and affordability, they also create competitive pressure on domestic producers, particularly in California.

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Regulatory Whiplash: How the Fight Over Freight Emissions is Strangling the Supply Chain

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By Makenna Christensen ALC Logistics

For over half a century, the California Air Resources Board (CARB) has leveraged its unique ability to secure federal EPA waivers to set emissions standards that have dramatically reduced pollution and improved air quality across California. While CARB deserves credit for its historic accomplishments, its recent trajectory has sparked concern. The agency’s mandate to achieve carbon neutrality in the freight and logistics sector will be nearly impossible without widespread, bipartisan buy-in. Further, without a massive expansion of our electrical grid and a full-scale overhaul of supporting infrastructure, we risk placing an impossible burden on the carriers that keep goods moving across the United States.

Compounding this pressure is a federal government locked in a decades-long battle over climate policy. As federal waivers are granted and revoked with each change in presidential administration, the resulting regulatory whiplash makes long-term business planning nearly impossible. 

When President Trump took office last year, he made clear that many Biden-era waivers would not survive his second term. Rather than simply revoking them, his administration worked with Congress to successfully invoke the Congressional Review Act (CRA) against three specific EPA waivers. These CRA resolutions not only void the EPA waivers, but they also permanently ban the EPA from issuing any ‘substantially similar’ rules without formal approval from Congress. California responded by filing a lawsuit against the federal government that challenges the constitutionality of the resolutions; the case is ongoing.
Faced with a federal roadblock, California lawmakers are attempting to circumvent the federal government entirely with Assembly Bill 1777. This legislation would give CARB and other air regulators the power to regulate “indirect sources of pollution.” By labeling warehouses, railyards, and ports as ‘pollution centers,’ the state shifts the burden of emissions reduction squarely onto the shoulders of shippers and receivers across California. If passed, AB 1777 will likely face intense litigation.
For many shippers and receivers, these ‘indirect source rules’ are more than just a legislative threat; they are a present-day reality. In recent weeks, CARB has quietly ramped up enforcement of its Transport Refrigeration Unit (TRU) regulations. Under these rules, large facilities receiving refrigerated shipments must either report every TRU that enters their gates or sign a declaration, under penalty of perjury, that they will not permit non-compliant units on-site. 
Ultimately, state and federal regulators remain deadlocked in a high-stakes political chess match. But it isn’t the politicians who will suffer the consequences; it’s the U.S. supply chain and everyday consumers who are left to navigate the chaos.
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Makenna Christensen graduated from Marquette University in 2022 with a Bachelor of Science in Marketing and Human Resources. In July of the same year, she joined the Allen Lund Company as a Software Marketing Coordinator for ALC Logistics. She is a proud alumna of the Fresh Produce & Floral Council’s Apprenticeship Program, Class of 2024.

makenna.christensen@alclogistics.com

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