Archive For The “Trucking Reports” Category
Loading opportunities for produce haulers for imported Mexican fresh fruits and vegetables have been rising for the past two decades or more, and this trend is expected to continue.
The reasons range from favoritable climates (with the emphasis on the plural) south of the border, cheaper labor and growing costs, not to mention the outrageous political and regulatory climate in crazy California that is makes it ever more difficult to do business there.
For example, A.M. Farms, Stockton, CA., had grown asparagus there since the 1930s, but no longer farms the product. Dole Fresh Vegetables of Monterey, CA no longer markets asparagus from California and is concentrating its efforts with Mexican grown asparagus.
It used to be Mexican imports by U.S. businesses got underway around Thanksgiving and continued through March or maybe mid-April. Now some produce items are still crossing the border in late spring and early summer. For example, watermelon shipments are now available through most of June. Table grape, mangos and some leafy items go well into summer.
Peak loading opportunities of Mexican produce imports for the winter season, used to be January or February, but now it is closer to being March and April.
Some produce growers are moving farther south into Mexico building greenhouse operations, allowing a longer growing and shipping season. This helps them bridge the supply gap for the U.S. crops in May and June that are hitting big volume.
Just as some product from west Mexico now is imported through McAllen, TX, during the fall and winter to offer a freight advantages for the Midwest and Eastern markets, some product from Jalisco now comes through Nogales during the spring and summer to offer freight advantages to West Coast receivers.
Some U.S. tomato growers now ship from Mexico year-round by sourcing from new growing areas during what traditionally has been the off season. Sonora is a huge area for Mexican grown produce and it continues to expand. It used to be the state of Sinaloa was where the main volume originated.
Virtually all of Mexico’s grapes come from the Caborca and Hermosillo regions of Sonora, with shipments starting in April and continuing into July.
Imported Mexican melons, tomatoes and vegetables from Nogales – grossing about $2800 to Chicago.
U.S. fresh market apples remaining to be shipped are double digit over last season and 97 percent of those apples for hauling are located in three states.
U.S. fresh market apples remaining to be shipped on February 1st were 13 percent higher compared with the 2015-16 shipping season and 9 percent more than the five-year average, according to the February storage report from the U.S. Apple Association. The leading varieties remaining to be shipped are red delicious and gala.
Total fresh market apples remaining to be shipped were 85.7 million bushels, up from 76 million bushels in 2016, but lower than 95.1 million bushels two years ago.
Washington state reported holdings of 76.4 million bushels, or about 89 percent of the total national fresh holdings. Michigan apples remaining to be shipped totaled 4.1 million bushels, or about 5 percent of the remaining supplies. New York’s apple inventories were 2.9 million bushels, or 3 percent of the U.S. total fresh market apples in storage on February 1st.
By variety, the storage report showed that fresh market red delicious holdings were 28.2 million bushels, up from 21.5 million bushels last year but down from 33.8 million bushels two years ago. Gala inventories on hand totaled 16.1 million bushels, up from 12.2 million bushels a year ago and 15.95 million bushels in 2015.
Other fresh market apples remaining in storage 1 were:
- Pink Lady/cripps pink: 4.4 million bushels, up from 3.7 million bushels last year;
- Fuji: 9.3 million bushels, up from 8 million bushels a year ago;
- Golden delicious: 5.3 million bushels, compared with 6 million bushels in 2016;
- Granny smith: 8.4 million bushels, compared with 10.9 million bushels last year; and
- Honeycrisp: 3.2 million bushels, compared with 2.9 million bushels a year ago.
Yakima and Wenatchee Valley, WA apples and pears – grossing about $4500 to Dallas and $6400 to Boston.
Western Michigan apples – grossing about$900 to Chicago and $2700 to Atlanta.
There has been a small turn around in California strawberry fields following a three-year trend of declining acreage, while shipments are up significantly.
At least for this year, the trend for decreased acreage has been halted, with an estimate of a bit more than 36,000, on par with 2016 numbers, according to the California Strawberry Commission Acreage Survey for 2017.
In 2016, total strawberry shipments from California topped 196 million trays, representing about 3.4 percent gain over the previous year even with 5 percent fewer acres.
2017 has not gotten off to a very good start due to several rain storms having drenched California during the first six weeks of the season. However, it is still running ahead of 2016 though behind 2015. By mid-January, total California shipments were in the 750,000 tray range compared to half that in 2016, but 1.2 million in 2015.
However, shipments from both Mexico and Florida were well ahead of the past two years. In mid-January, Florida strawberry shipments loaded almost 3 million trays for shippin while Mexico topped 3.5 million. In 2016, by mid-January those two competing points of origin had only delivered a total of 2.5 million trays last year and about 3.8 million the previous year.
Central Florida strawberries – grossing about $1200 to Atlanta.
California growers continue to be the leading production region in the world and are expected to supply more than 79 percent of the volume shipped in the United States in 2017.
The acreage report is published two times a year with acreage information voluntarily provided by California strawberry growers and shippers. The first “Acreage Survey” for the 2017 harvest year includes acres that were planted in the fall of 2016 as well as the forecast of acreage that will be planted in the summer of 2017 for fall production. For 2017, the commission reports a total of 36,141 acres, with 30,074 planted last fall and an estimated 6,067 slated for summer planting. As a point of comparison, last year, fall plantings totaled 29,318 acres with a then estimate of 6,721 for summer planting.
In 2013, the CSC January acreage report revealed 35,670 acres of fall plantings and 5,146 summer plantings for a total of 40,816 acres. In 2014, total acreage dropped to just under 39,000 and in 2015, the total was 38,100. Last year saw another decline of about 5 percent to 36,039. This year represents a negligible gain, but it’s a gain nonetheless.
In its report about acreage, CSC noted that while acreage has declined in recent years production has actually remained stable or increased partially due to new varieties, which has led to higher yields per acre.
Ventura County strawberries – grossing about $3600 to Dallas.
Refrigerated haulers expecting to load California citrus could very well face significant delays because rains have delayed harvest. On another front, an upstate New York apple shipper will be shipping Canadian apples this season.
California Citrus Shipments
Disruptions at citrus loading docks are expected the week of February 13-17 due to rain delayed harvests in California’s San Joaquin Valley.
A rainy week in California has citrus growers there expecting some shortages in mid-February due to excessive rains in citrus groves the week of February 6 – 10.
California citrus growers have been conducting picking operations on a limited basis between the rains. It has been a challenge getting workers and equipment into the fields after big storms. Some citrus orchards have been affected more than others depending on soil types and location. In some cases it is takes a few days for the orchards to dry out.
Delays in harvest as well as loading opportunities for citrus haulers are expected with lemons, oranges and specialty citrus, such as mandarins. Mandarins typically are more sensitive to the rain than other types of fruit.
California citrus – grossing about $4200 to Atlanta.
New York Apple Shipments
New York Apple Sales Inc., based in Glenmont, NY is shipping late-harvest apple varieties from Nova Scotia. The fruit is coming from orchards in the Scotian Gold Cooperative, which grows and harvests Honeycrisp, Ambrosia, and Sonya apples. The product is grown in the Annapolis Valley, near the Bay of Fundy. The three Nova Scotia apple varieties being imported and distributed by New York Apple Sales differ from U.S.-grown counterparts.
Nova Scotia apples have the latest apple-growing season in North America, according to a news release, and trees don’t bloom until the later weeks of May, with the Honeycrisp harvest typically starting during the last week of September, and Ambrosia and Sonya picking to follow.
The Scotian Gold Growers have been providing apples to New York Apple Sales for the past three years.
Whether recent weather issues in Mexico will adversely affect quality of imported Mexican mangos remains to been seen.
Through the third week of May, a normal projection of 29 million boxes is projected, with much of this production to be imported by the U.S.
As much as 30 to-40 percent of the Mexican mango crop was reported affected by winds. This is expected to decrease import volume by U.S. importers in February, but quality appears normal — so far. Mexico ships mangos most of the year and various production regions begin at different times.
Volume for imported mangos from Peru has increased 20 to 30 percent from last year after a bumper crop in a season that started earlier than usual. Peak volume imports to the U.S. are occurring, but will start declining in the next couple of weeks or so.
Mango imports by the U.S. during January included much less fruit from Ecuador than last season, down from about 18.5 million pounds to about 3.5 million pounds. This was due to the Ecuador season starting two to three weeks earlier than usual. Peak season for imported mangos from Ecuador is mid October through mid November (last year). The season is now virtually complete, with the exception of one late season variety that will continue until March.
Total mango imports by the U.S. during January were about 32 million pounds, down from about 52 million pounds for the same period last year. The big decline was due to a change in timing for one country’s season.
The Peruvian mango season was early by about four weeks in 2016, resulting in peak volumes to be shipped earlier in December and well into January of 2017. Last year this time, Peru had already pretty much finished their season.
Imported Mexican tropical fruit, and vegetables through the Lower Rio Grande Valley of Texas – grossing $1100 to Dallas; and $3200 to Miami.
You know something is up when for the first time you walk into your local Midwestern Wal-Mart store and Peruvian grapes are the only ones being sold. Sure, it is expected California is pretty much finished, but this is normally when Chilean grapes have taken center stage in the produce department. Bottom line is grape haulers should use extra caution as there are serious quality problems with many Chilean grapes.
There also is a glut of grapes being imported from Chile. Combine this with imported fruit from Peru and a trickling of late season California grapes and there’s too much fruit.
Meanwhile, there are heavy volumes of grapes in the storages all along the Delaware River.
The glut is expected to continue short term and volumes will gradually come more in tune with demand. Starting the Chilean grape season we were told there were light supplies, but good quality, despite rains in the early producing northern growing areas of Chile. Instead, much higher volumes, combined with serious quality issues occurred. Meanwhile, Peru has plenty of volume and good quality grapes.
The USDA reports, as of January 21st, 2,355 40,000-pound units of Chilean grapes had come into the Port of Philadelphia, compared to 2,002 units at the same time a year ago.
Between November 28th and January 1st, Chile had shipped 138 percent more grapes to the U.S. than it did a year earlier. During this period, Chile shipped over 7.75 million boxes of grapes, where last year, it was 3.26 million.
Part of the glut came as California grape shippers continued loading red seedless grapes for destinations across North America well past Christmas and into the New Year. At the same time, Chile’s grape crop was much earlier than originally anticipated. Plus, Peruvian grapes have been available since early November.
The glut of grapes should decline a lot during the second half of February, as Chilean flames give way to crimsons.
In fact, loading opportunities for imported late season table grapes from Chile will probably not be nearly as good heading into late-March and into April.
Updated estimates continue to show fewer Red River Valley potatoes for hauling this season, plus here’s a look at California strawberry loads and Texas citrus.Fall Potato production in North Dakota is 20.8 million hundredweight, down 25 percent from 2015, according to the USDA’s National Agricultural Statistics Service. Yield, at 325 hundredweight per acre, is down 20 hundredweight from a year earlier. Area harvested, at 64 thousand acres, is down 16 thousand acres from 2015.
Red River Valley potatoes – grossing about $1700 to Chicago.
California Strawberry Shipments
January rains in California may have disrupted the harvest and shipments of strawberries, but the welcome moisture should bode well in the weeks and months ahead. Volume is building out of Ventura County leading up the popular St. Valentine’s Day, February 14th. Oxnard shipment should continue through April. In the meantime, light volume from the Watsonville area as well as Santa Maria will start in March.
Strawberries and vegetables from Ventura County – grossing about $6200 to New York City.
Texas Citrus Shipments
Citrus acreage in Texas is expected to increase from 27,000 acres this year to as much as 30,000 acres by next year, despite challenges like citrus greening and the Mexican fruit fly.
Most of the state’s citrus are Texas red grapefruit varieties, but there also are early and mid-season oranges, navels and valencias.
The season has been progressing smoothly and orange shipments should continue through March and possibly into April.
The firm started grapefruit in early November and expects to continue through April.
Lower Rio Grande Valley of Texas grapefruit, oranges and imported Mexican vegetables and tropical fruits- grossing about $2500 to Atlanta; $2800 to Chicago and $4200 to New York City.
Consistent loading opportunities for imported melons are expected in coming months. However, an expected bump in avocado shipments leading up to the Super Bowl will not be as big as originally thought.
Steady imports of imported melons are seen throughout the winter season for distribution throughout the U.S. and Canada by truck.
Guatemala’s imports finished in late January, but will be ramping up again in March.
Imported Mexican watermelon volume is much better this winter and are dealing with El Niño-affected volumes like last year. Current Colima production will shift to Sonora from May through July.
Excellent fall and winter growing conditions in Guatemala have been very good for record melon yields and imports.
Mexican melons, tomatoes, vegetables crossing at Nogales, AZ – grossing about $3400 to Chicago.
Mexican Imported Avocados
There will not be any increase in imports of Mexican avocados for U.S.. produce truckers anytime soon from the state of Jalisco, which was planned for shipping in time for the February 5th Super Bowl. Avocado shipments typically increase significantly prior to the big game since it so popular with Super Bowl parties, etc. Still, there should be enough avocados to meet the demand.
Shipments from Mexico’s state of Jalisco — thought to be on track in mid-January — are expected to be delayed for three or four months. However, final clearances have not been approved and some issues apparently have to be resolved.
Jalisco’s share of Mexico’s 3.4 billion pounds of output is estimated at about 5 percent. The USDA reported that 2016-17 acreage of avocados in Jalisco totaled 44,000 acres, about 9 percent of Mexico’s total avocado acreage of 503,000 acres.
Mexico accounted for about 95 percent of U.S. avocado supply in mid-January, with light volume also noted from Chile, the U.S. and the Dominican Republic.
Mexcian avocadoes crossing through the Lower Rio Grande Valley of Texas – grossing about $4200 to New York City.
A small decrease is expected for Florida citrus shipments this season, while increases are projected for California and Texas.
The U.S. Department of Agriculture estimates in its Jan. 12 report that Florida orange shipments will 71 million 90-pound boxes, one million less than expected in the USDA December forecast, a decrease of about 1 percent.
Loadings for midseason and navel varieties remains unchanged at 36 million boxes, but the forecast for the later valencia oranges is now 35 million, down about 3 percent from the earliered total of 36 million. These small changes are considered normal for season to season.
The good news is observers believe the citrus industry is gaining ground on fight citrus greening disease (huanglongbing) as new trees are now being planted.
The overall forecast of 71 million boxes of Florida oranges is 13% less than last season’s production.
Florida is projected to ship 9 million 85-pound boxes of grapefruit, off about 3 percent from the December forecast, with the expectation for red grapefruit steady at 7.3 million boxes and the outlook for white down from 2 million to 1.7 million.
The projection for tangerines and tangelos in Florida was up slightly to 1.52 million boxes from 1.5 million in the December forecast.
Southern and Central Florida citrus, strawberries and vegetables – grossing about $2400 to New York City.
California Citrus Shipments
California is expected to ship 53 million 80-pound boxes of oranges, up about 5 percent from the December forecast of 50.5 million. The state is expected to ship 44 million boxes of non-valencia oranges and 9 million boxes of valencia oranges. In December, the forecast was for 42 million boxes of non-valencias and 8.5 million of valencias.
The Golden State is expected to produce 4.1 million 80-pound boxes of grapefruit, up 2.5 percent from the December prediction of 4 million.
Forecasts for lemon shipments were down nearly 5 percent in California, from 21 million 80-pound boxes to 20 million, and down nearly 14 percent in Arizona, from 1.8 million to 1.55 million.
The expectation for California tangerines and tangelos was unchanged at 23 million boxes.
Southern California citrus, tomatoes and kiwifruit – grossing about $3900 to Chicago.
Texas Citrus Shipments
The Lower Rio Grande Valley of Texas, should ship 1.45 million 85-pound boxes of non-valencias, up from a December projection of one million, a 45 percent increase. The forecast for 350,000 boxes of valencias was unchanged from last month.
The USDA projected Texas production will be 5.3 million 80-pound boxes, up nearly 13 percent from the December forecast of 4.7 million.
In the last 10 seasons, the January citrus forecast for the various regions has deviated from final production by an average of 5 percent, ranging from 15 percent below production to 10 percent above production.
South Texas citrus, Mexican tropical fruit and vegetables – grossing about $2800 to Chicago.
By California Avocado Commission
IRVINE, Calif. – Despite some consumer media stories stating that California had a short avocado crop in 2016, the California Avocado Commission (CAC) reported that last year’s harvest was above average in volume at 401.4 million pounds. It also delivered the third highest California avocado crop value on record. However, for 2017 a smaller California avocado volume forecast will mean a tighter window for supply and shipments.
“The California avocado harvest for 2017 is projected to be around 225 million pounds, and sizing of the fruit on the trees is looking very good now,” said Rick Shade, California Avocado Commission chairman. “CAC representatives and I have been out in groves in the various California avocado growing regions, and early sampling of the crop confirms the quality should be excellent this year.”
Shade has plenty of experience to be a good judge of avocado quality. A California avocado grower for more than 35 years, he learned the business from his grandfather. Shade served as CAC chairman of from late 2007 to late 2009, and was elected chairman again in November 2016. He explained that California avocados are an alternate bearing crop. Often, but not always, a larger crop one year is followed by a smaller crop the next season, which seems to be the case for 2017. Other factors contributing to a smaller 2017 California avocado crop estimate are weather-related events from 2016, and vary by region.
“The recent rains in California are good for this year’s crop as well as for next year’s,” said Shade. “We’re evaluating what the rain will mean in terms of harvest timing. While some California avocados are already in distribution in a few local chains, in general it looks like a ramp up of harvesting in mid to late spring.”
About the California Avocado Commission
Created in 1978, the California Avocado Commission strives to increase demand for California avocados through advertising, promotion and public relations, and engages in related industry activities that benefit the state’s nearly 4,000 avocado growers. The California Avocado Commission serves as the official information source for California avocados and the California avocado industry.
Southern California citrus – grossing about $5300 to New York City.