Imagine you’re walking down your local produce aisle, looking to cross some fruits and veggies off your list, and you notice something is a bit off. The lemons are a little smaller than usual, watermelons have a slightly different look to their rind. Your favorite Hass avocados aren’t quite as meaty and you can’t put your finger on them but their shape is different than you’re used to as well.
Of the many diverse commodities grown in the United States, onions are one of the hardest hit by import increases, up 14% at $221.1 million this year. Typically, onion imports would support the industry by providing supply during the off-season, but mid-February freezing temperatures in South Texas significantly reduced yields for onion crops, and that has translated to higher prices this year.
Onion shippers are looking to imports to make up for lost crops, which according to Dante Galeazzi, president, and CEO of the Texas International Produce Association, estimates point to damage of 20% to 30% of crops in 2021. In order to maintain control over market conditions in cases like natural disasters and the increased demand due to the pandemic, the USDA has historically agreed with producers/shippers to create something called a “Marketing Order.”
Marketing agreements and orders are initiated by the food industry to help provide stable markets for dairy products, fruits, vegetables, and specialty crops. Each order and agreement is tailored to the individual industry’s needs. Marketing Orders are a binding regulation for the entire industry in a geographical area and are approved by the producers and the Secretary of Agriculture. In short, Marketing Orders would allow onion growers in Texas to promote their products by collectively influencing the supply, demand, or price of particular varieties of onion. P
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Doug Plantada has been with the Allen Lund Company for two years and is currently a broker in training at the Los Angeles office.
The fresh cranberry outlook is strong for the Cranberry Cooperative of the Americas, said Scott Simmons, director of sales.
In March, the owners of Habelman Bros. Co. in Tomah, Wis., and L&S Cranberry LP in St. Lucien, Quebec, announced the formation of Cranberry Cooperative of the Americas.
“Those two are the largest two independent growers of fresh cranberries in North America,” Simmons said.
“It’s been a great opportunity to really elevate what we can do.” He said the cooperative’s high-speed co-packing capacity is a key to the cooperative’s strengths.
Simmons said CCA offers big fresh cranberry volume in Wisconsin and Quebec.
“The crops in those regions are looking good,” Simmons said, noting average size, good fruit quality, good color, and good keeping quality anticipated.
“The organic crop might be a little behind, versus the conventional crop in Wisconsin, but it is still good shape.”
Quebec’s fresh cranberry season runs a little earlier than Wisconsin, especially with the Canadian Thanksgiving on October 11th. “The crop tends to go earlier, but some of that is driven by early season varieties that are harvested and used specifically for early demand,” Simmons said.
Canada’s fresh cranberry season tends to be broken into two seasons: Canadian Thanksgiving demand, then increasing for December demand.
In the U.S., retailers want cranberries when they become available in September, with volume eventually increasing for the U.S. Thanksgiving November (25th) push, followed by lighter volume in December.
“We have supply right through the holidays,” Simmons said. “We manage our crops so that we’ve got good varieties that can last through December.”
From a freight cost perspective, Wisconsin is well-positioned to supply cranberries to much of the South, Midwest and West, while Quebec can cover much of the East Coast demand.
MountainKing Potatoes of Houston expects strong quality for its fall harvest of fresh potatoes in Colorado’s San Luis Valley.
MountainKing’s creamers and fingerlings began shipping in late September. Its Butter Reds and Butter Russets will be available by the end of October.
“The 2021 crop outlook is very bright,” Andreas Trettin, director of marketing for MountainKing Potatoes, said in a news release. “The ability of our farms to evaluate prior season successes and setbacks have provided us with a great road map. Modifications were made to fertilization and irrigation plans as well as land changes amongst our varieties. These adjustments continue to breed improvement year after year.”
MountainKing’s early harvest test digs indicate impressive potato sizes with minimal bruising, Trettin.
MountainKing will see “dramatically increased” acreage for its yellow-flesh varieties as shoppers continue to shift from traditional white-flesh reds and russets to more flavorful yellow-flesh types, according to the release.
MountainKing acreage expanded by 94% for its Butter Russets, 30% for its Creamer Reds and 14% for its Butter Golds, according to the company. In total, MountainKing allocated more than 1,200 acres for its yellow-flesh varieties. The company also dedicated more than 400 acres for its small potatoes.
“We spend a lot of time in the offseason examining IRI data and customer feedback on the different varieties,” Trettin said. “Our increased acreage directly reflects customer purchasing habits and national potato sales trends.”
Seasonal droughts in California have become more frequent and severe in recent years. However, what California is experiencing right now has everyone who is involved in agriculture concerned. California is the largest grower of US fresh produce.
There are over 69,000 California farms and ranches that are being affected that supply over a third of U.S. vegetables and two-thirds of its fruits. To keep up with demand, these farmers rely heavily on their regional water availability which is a huge challenge today. In the farming valleys of California, an ongoing drought is impacting both the production and price of the crops. With scarce water, farmers are being forced to rip out their trees and produce early because of drylands and high temperatures. This is a tough business decision for them because it affects their seasonal production and becomes more costly to replant and regrow.
For example, California almonds harvesting accounts for about 80% of global production. Almonds require more water to thrive on and if they lack moisture a 25-year investment can be ripped from the ground. To keep their farms from ruins, growers are searching more for underground water resources.
They are drilling depths of 1000 feet for water to sustain thirsty citrus, fruits, and pistachios which adds costs and takes away farmland from production. They’re also exploring other possibilities such as dry-farming techniques that rely less on water. Farmers are stuck between scaling back and prioritizing growing low value vs high-value crops and how much of them should be planted.
To produce as much as possible, farmers are planting crops closer together in an attempt to make the root structure denser and keep moisture in the soil. They also focus on crops that require less water. Tree crops like avocados that are highly water-intensive have gone up by 10% in retail price from last year. The water crisis is causing a short food supply in retail.
Certain commodities at grocery stores are lightly stocked to empty and shoppers are seeing inflation on prices because of this. Vendors are shifting where they grow and sell things to help increase production to keep the commodities affordable and readily available. Having no control over the weather, growers will need to continue to find more ways to adapt and find supplemental water in order to supply 400 key commodities to millions of Americans.
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Milagros Aredo is a senior transportation broker with ALC San Francisco, CA. Milagros has six years of experience in logistics and graduated with a double major in International Business and Marketing from USF.
Mexican raspberry exports soared by 18.9 percent in the first six months of the year, maintain a positive streak, according to the Ministry of Agriculture and Rural Development.
There were 68,153 tons of raspberries exported during the first half of 2021, with foreign sales already seeing an increase of 21 percent from 2019 to 2020, going from $912.4 million to over $1 billion.
Mexican raspberries have been exported to 33 countries located in North America, Europe, Asia, and Oceania, such as Canada, the Netherlands, Russia, Japan, Saudi Arabia, Belgium, Hong Kong, Ireland, and Kuwait.
However the main buyer is the U.S.
Foreign sales of these berries stood at $713 million as of May, posting nearly 20 percent more than the $599.8 million for the same period in 2020, according to information from the Agrifood and Fisheries Information Service (SIA
Raspberry production has also made progress in Mexico, increasing 13.6 percent in 2020, going from 128,848 tons in 2019 to 146,343 in December of last year.
Jalisco is the main producer of these berries with 104,080 tons, followed by Michoacan with 28,895 tons, and Baja California with 10,222 tons.
In 2019, Mexico was the world’s second largest producer of raspberries with 128,848 tons and presents the biggest agricultural yield of these berries in the world. Mexico consumes .3 kg per capita.
Most of Texas’ few thousand acres of pumpkins are grown in Floyd County around Floydada, a small agricultural town northeast of Lubbock.
Pumpkin shipments are mostly directed to wholesalers and shipped throughout Texas, Oklahoma and as far east as Mississippi.
Pumpkins represent a small amount of acreage when it comes to crop production, but Floydada is famous for its pumpkins. Illinois produces around 90% of the nation’s crop, but a handful of growers around the Texas town continues to produce high-demand heirloom and jack-o’-lantern standard varieties.
Growers in Floyd County are averaging around 30,000 pounds per acre with good quality aside from early planted jack-o’-lantern varieties that matured with soft outer shells.
Last year, yields were down about 30% due to drought. This year, production was average, but demand is strong.
Dollar General has completed its initial rollout of its DG Fresh initiative, so now the company will focus on adding more fresh produce to stores, and possibly self-distribution of fresh produce.
Based in Goodlettsville, TN, the company is now delivering refrigerated and frozen items to 17,500 stores from 12 facilities.
“And while produce was not included in our initial rollout plans, we believe DG Fresh provides a potential path to accelerating our fresh produce offering in up to 10,000 stores over time as we look to further capitalize on our extensive self-distribution capabilities,” Jeff Owen, COO said.
Fresh produce is now in more than 1,500 stores, with plans to expand to a total of more than 2,000 stores by the end of the year.
Dollar General plans to open 1,050 stores this year and remodel 1,750.
While the company’s same-store sales couldn’t keep up with a record 2020, CEO Todd Vasos said basket size is bigger, as is customer base.
“We believe we will ultimately exit the pandemic with a larger, broader, and more engaged customer base than we entered it, resulting in an even stronger foundation from which to grow,” Vasos said, during the call.
Stormy summer weather limited tomato shipments from the East Coast, while California loadings have remained steady.
Markon Cooperative reports the “East Coast has lower volume due to previous tropical storms that impacted plant health and reduced yields” and “Tennessee and North Carolina regions are expected to have a shorter season this year; additional grading is required.”
Florida is still a fews weeks away from commercial production.
Meanwhile, California round and Roma tomato production is steady.
“Round tomatoes from Northern California are of good quality; 6×6 and 6×7 sizes dominate the crop,” Markon said. “Roma quality is good; large to jumbo sizes are more prevalent.”
Mexico sees steady volume as it works through previous weather-related quality issues.
“Vine-ripe and Roma volume in Jalisco and San Luis Potosi is on the lighter side due to prior rain storms. Overall volume had increased by mid-October.
The initial 2021-22 California Navel orange shipping forecast is 70.0 million cartons, down 14% from the previous year, according to a report by the California Department of Food and Agriculture (CDFA).
Of the total Navel orange forecast, 67 million cartons are estimated to be in the Central Valley. Cara Cara variety Navel orange production in the Central Valley is forecast at 6 million cartons.
These forecasts are based on the results of the 2021-22 Navel Orange Objective Measurement (O.M.) Survey, which was conducted from June 15 to Sept. 1, 2021.
Estimated fruit set per tree, fruit diameter, trees per acre, bearing acreage, and oranges per box were used in the statistical models estimating production.
This forecast includes production of conventional, organic, and specialty Navel oranges (including Cara Cara and Blood orange varieties).
Survey data indicated a fruit set per tree of 239, down 25% from the previous year and below the five-year average of 344. The average Sept. 1 diameter was 2.145 inches, below the five-year average of 2.208 inches. The Cara Cara orange set was 211 with a diameter of 2.146 inches.
LOCKPORT, N.Y. — Crunch Time Apple Growers, a New York State-based cooperative of 152 member growers, announced its largest anticipated crop volume of SnapDragon™ apples: 400,000 bushels, a 25 percent increase year-over-year. The sweet, crisp apples are being packed and shipped, with the first apples hitting select produce aisles now, and wider distribution expected in Q4 2021 and Q1 2022.
This harvest season will also mark the first with three new distribution partners: Applewood Fresh Growers LLC, and Riveridge Produce Marketing, both of Sparta, MI; and Rice Fruit Company, Gardners, PA. These new packers and shippers will allow Crunch Time Apple Growers to expand its geographic reach among existing grocers and new retail partners, particularly in the Midwest and Mid-Atlantic.
“While other premium apple varieties grown elsewhere in the U.S. have seen challenges, we’re seeing really good size, color and flavor as harvest begins in upstate New York,” said Jessica Wells, Crunch Time Apple Growers executive director. “After months of nurturing the crop, our growers are excited to get SnapDragon apples, with their Monster Crunch and amazing flavor, into the hands of consumers. We know from our social media channels consumers are ready too.”
“SnapDragon is a variety that changes what people think of eating apples,” said fifth-generation farmer Joel Crist of Crist Bros. Orchards Inc. and Crunch Time Apple Growers board chair. “SnapDragon has always been about elevating the consumer eating experience and driving consumption of fresh apples. It’s easy for us to understand why, in a very short period of time, SnapDragon has risen to the top of the pack.”
To demonstrate the ongoing success of SnapDragon in the premium apple category since its release in 2014, Crunch Time Apple Growers recently partnered with Category Partners, a top market analyst firm for the food and beverage industry, to study the top 10 retailers that carried SnapDragon apples during the 2020 crop year (October 2020 to June 2021), in addition to reported Nielsen data. The findings showed:
SnapDragon was ranked the sixth most popular premium apple variety nationwide and the top premium apple grown on the East Coast.
SnapDragon generated year-over-year volume growth in all of the top 10 retailers and was the only apple that showed growth across all retailers in the study.
SnapDragon posted double-digit sales growth year-over-year in the East Coast market.
SnapDragon grew seven percent overall in volume year-over-year across all markets.
In terms of dollar growth, SnapDragon generated the 10th strongest performance among the 26 identified premium apple varieties.
