Archive For The “Trucking Reports” Category
Check out where in the nation the biggest demand for produce truckers is….Also, there are reasons South Texas is becoming a bigger player for hauling Mexican imported produce. Plus, what’s up with pomegranates.
Idaho Potato Shipments
The biggest demand for produce trucking in the country is coming out of the Twin Falls, ID area. Easily, the largest potato shipping state, Idaho is currently averaging about 2000 truck load equivalents of mostly russet potatoes per week.
Idaho potatoes – grossing about $2200 to Atlanta.
California Pomegranate Shipments
Most pomegranates for the holiday season have already been shipped because of a short crop due to heavy October rains. The USDA reports only 120,000 pounds of U.S. pomegranates shipped between November 6 – 12, off from 660,000 between November 8 – 14 a year ago. The year-to-date total for U.S. pomegranate shipments is 7.56 million pounds, down from 9.17 million pounds at the same point last year.
California’s Pom Wonderful accounts for about 60 percent of the pomegranate shipments, which normally lasts through January.
Crown Jewels Produce, of Fresno, normally ships through the second week of December, but finished its season a month early. Its volume is down about 30 percent.
Simonian Fruit of Fowler, CA typically ships pomegranates into January, or February, but will wrap up its season by Christmas if not sooner.
Mexican Import Growth
Mexico continues to play a pivotal role in the Texas produce industry.
“We’ve seen tremendous growth in our Texas ports of entry on the import side,” Bret Erickson, president and CEO of the Texas International Produce Association, said recently. “It’s important to recognize also that many of our largest producers in Texas are also some of our largest importers, so the import industry plays a real critical role in the overall success of the produce industry in Texas.”
Import volumes were up nearly 25 percent in 2015 from the previous year, and a significant volume of fresh produce coming from Mexico now goes through Texas.
This has resulted in volumes of fresh produce coming through Pharr, TX just about equaling tonnage in Nogales, AZ.
Reasons for the increase in import volume include a new highway system in Mexico, which serves as a pipeline from the main production area of Mexico straight to south Texas.
Weather and labor issues in the U.S. have also contributed. However, the import growth rate is expected to slow in the coming years as the infrastructure in the area expands to handle the volume now being transported.
The boom in infrastructure in south Texas is certainly a positive economic impact to the state of Texas in terms of jobs and construction companies getting bids to build cold storage facilities, with some being as large as 100,000 square feet.
Mexcian imports through South Texas – grossing bout $3100 to Miami.
South American country Peru has become quite ambitious about the blueberry, even claiming it could become the world’s biggest blueberry producer within the next two years. That claim was made by Peruvian Minister of Agriculture Jose Hernandez.
Living in Peru recently had a commentary entitled Peru on Its Way to Becoming Leader in Blueberry Exports (November, 2014). The writer was optimistic about Peru’s blueberry industry, stating that “while Peru continues to successfully export staple-goods like coffee, potatoes, and quinoa, the blueberry market has, in the span of only a couple of years, made an important niche for itself.”
Peruvian blueberry growers are looking to grow as much as 20,000 ton of blueberries in 2016. This seems quite possible since just in the first three months of 2016 alone, Peruvian farmers grew 3,600 tons of blueberries, four times the amount during the same period in 2015. If this trend continues, by the end of the year, Peru could have exported as much as $200 million worth of blueberries.
A critical issue regarding the future of blueberry production is farming land. The good news is that according to Alfonso Velasquez Tuesta, president of Sierra Exportadora, the goal for this year is to have abut 7900 acres of land growing blueberries.. Most of the farming land is found in La Libertad region.
Peru’s avocado exports to China totaled 12,319 tons in 2015. This year, this figure is expected to rise by 84 percent to 22,764 tons, and by 2017 an additional 63 percent would it bring it to 37,075 tons.
Peru is now the 10th largest exporter of fruits in the world, having exported $2.714 million worth of fruits from January to August.
Additional Facts:
-Fruits accounted for 12.4 percent of all Peruvian exports during the same period. Peru also became the largest Latin American exporter of mandarins in the first eight months of 2016 (worth $106.8 million).
The country’s global exports of cranberries reached $41.3 million, up 125.6 percent from last year.
The Trade Bureau concluded by saying: Peru’s exports are expected to rise even further, since the US, Netherlands and Spain account for 53 percent of its non-traditional fruit exports.
While California desert shipments may not be exactly enormous, vegetable loadings are now taking place out of California’s Coachella Valley and the nearby Imperial Valley.
Green bean and bell pepper loadings have been increasing lately as the California winter desert vegetable shipments gear up. Grower-shippers in the state’s Coachella and Imperial valleys expect adequate volume with mixed vegetables and leafy greens.
Cauliflower shipments will be on a bit of a roller coaster ride bringing back memories of volatility of that crop last summer when it was coming out of Salinas.
Coachella’s Prime Time International was cranking up its green bean loadings prior to Thanksgiving, while its green pepper shipments got started in October. Green peppers are now being joined by red peppers. Green bell pepper production in the California desert was already well underway as November began, but red bells were just kicking off November 1st.
In the Imperial Valley, Coastline Family Farms at Brawley has just started harvest of mixed vegetables, with head lettuce kicking off around December 5th. Starting last week was Pacific International Marketing with conventional spinach in Brawley and El Centro, CA, with organic lettuce and conventional broccoli just now getting underway.
Desert artichoke loadings will begin in late November from Ocean Mist Farms, which is headquartered in Castroville, CA. Shipments should continue into the second week of March. The shipper now grows over 30 vegetables in the desert and has doubled its brussels sprouts acreage. Ocean Mist also for the first time will ship Coachella Valley-grown head lettuce to supplement its production in Yuma, AZ. The company started shipping romaine hearts, leafy greens and broccoli in mid November, with cauliflower getting underway right after Thanksgiving.
California’s Imperial Valley and nearby Yuma, AZ – shipments of head, romaine and leaf lettuce, as well as broccoli, cantaloupe and honeydew – grossing about $4900 to Atlanta.
As we plow right into the holiday shipping season, here’s a look at loading opportunities from South Texas and Mexico to the Red River Valley.
Lower Rio Grande Valley of Texas fruit shipments began in early October with grapefruit, but volume has been increasing leading up to the Thanksgiving holiday. A significant increase in loadings is expected after Thanksgiving and leveling off to more steady shipments through January.
South Texas orange shipment also got going in October and were in full swing with the arrival of November. However, Texas orange shipments only account for about 25 percent of the total citrus volume.
Mexican avocado Imports
Mexican Avocado Imports are Increasing through South Texas and big volumes are seen again through the winter months. During the 2016-17 shipping season, Mexican avocado shipments should hit about 2 billion pounds, similar to a year ago.
Lower Rio Grande Valley citrus, plus crossings from Mexico of tropical fruits and vegetables – grossing about $2600 to Chicago; $4100 to New York City.
Red River Valley Potato shipments
Red potato shipments from the Red River Valley, the nation’s largest red potato producer, will be down more than one-third from last year’s big crop, and 20 percent less than the five-year average. There were thousands of acreage lost to excessive rains ranging from Grand Forks, ND to the Canadian border.
It is estimated only 64,000 out of 80,000 planted potato acres in North Dakota will be harvested. One potato production forecast is at 19.8 million hundredweight (cwt.), down 28 percent from last year. However, another forecast believes an additional 4 million cwt. has been lost. Most of the acres lost were in northeast North Dakota on non-irrigated land. The state’s processing crop which yields much higher was largely unaffected by heavy rains.
Whichever estimate turns out to be more accurate, red potato volume from the Red River Valley will be far less than 2015-16 when 27.6 million cwt. of potatoes were shipped.
Red River Valley potatoes – grossing about $1700 to Chicago; $2600 to Dallas.
The shipping outlook for North Carolina sweet potatoes has improved substantially in recent weeks, while steady movement continues from California grapes.
Heavy rain from Hurricane Matthew in October dropped torrential rains and flooding on North Carolina sweet potato fields with more than half of the crop still in the ground, concerns for high that volume shipments might be drastically affected. However, the covington variety — the state’s major variety — proved to hold up well to excess water. The crop is now virtually harvested and growers are claiming North Carolina sweet potatoes will be available year-round as usual.
In 2015, North Carolina shipped about 16.48 million 40-pound cartons of sweet potatoes. November is the top shipping month with over 12 percent of the total crop being moved. This compares with 8 percent in October and 9 percent in December.
Now instead of a 40 or 50 percent loss of sweet potatoes from the hurricane, estimates are now in the 10 to 15 percent range for North Carolina sweet potatoes in the state. Overall the crop is expected to be about the same if not a little more than last season. Helping offset losses is an increase in acreage from last year.
Eastern North Carolina is shipping about 300 truck loads of sweet potatoes a week.
North Carolina sweet potatoes from the Benson area – grossing about $1000 to Atlanta; $1300 to Philadelphia and Chicago; $1950 to Miami; and $2300 to Boston (with spot rates possibly increasing).
California Grape Shipments
With more California table grapes remaining to be shipped than a year ago, loading opportunities should be good through the holidays.
California grape inventories through October were 14 percent above the same time a year ago. Total supplies of California grapes were 11.94 million boxes on Oct. 31st, up from 10.48 million boxes a year ago, but down from 12.3 million boxes two years ago.
California’s July grape crop was estimated at a near-record 117.06 million boxes, up from 109.6 million boxes in 2015.
Grape shipments from California’s Kern District were running at about 2.4 million (19-pound) boxes per week in early November, while shipments from the state’s San Joaquin Valley were reported at 450,000 boxes per week.
Kern District grape shipments – grossing about $4100 to Chicago; $5900 to Baltimore.
There should be good loading opportunities for produce truckers hauling apples during the 2016-17 shipping season.National Apple Shipments
Fresh apples in storage as of November 1 totaled 134.8 million bushel (42-pound) cartons, up 14 percent from last season’s levels and 13 percent greater than the five-year average.
The first storage report from the U.S. Apple Association, shows total apple inventories were 179.1 million cartons, up 11 percent from a year ago and from the five-year average.
Northeast Apple Shipments
November 1 total fresh holdings were 8.1 million cartons in the Northeast U.S., down from 11.4 million cartons a year ago and 10.5 million two years ago. New York state’s fresh holdings were pegged at 5.82 million cartons, or more than 70 percent of remaining fresh supply.
Midwest Apple Shipments
In the Midwest, the storage report showed 7.7 million cartons of fresh apples on hand, up from 6.9 million cartons in 2015 and 6.7 million cartons in 2014. Within the Midwest region, the storage report showed Michigan accounted for 7.54 million cartons, or 98 percent of the Midwest fresh supply.
Northwest Apple Shipments
Northwest U.S. fresh apple holdings on were 117.6 million cartons, up from 98.4 million cartons a year ago but off from 127 million cartons in 2014.
For the Northwest region, Washington’s apple inventories were 116.3 million cartons, or 99 percent of remaining fresh apples in the Northwest states.
Variety breakdown
The leading U.S. fresh varieties on hand Nov. 1 were red delicious (39 million cartons), gala (25.9 million), fuji (14.7 million), granny smith (13.7 million), golden delicious (8.1 million), Honeycrisp (7 million cartons) and cripps pink/Pink Lady (5.5 million cartons).
The Washington State Tree Fruit Association on Nov. 9 raised its estimate of the Washington fresh apple crop to 137.4 million cartons, up 3.4% from the August estimate of 132.9 million 40-pound cartons.
The Washington apple harvest is still ongoing for some varieties, but based on volumes harvested so far observers are expecting an increase to 137.4 million boxes. An estimated total may be revised in December. However, observers still see a high-quality crop with good storage potential, with plenty of loading opportunities for produce haulers.
Washington apple shipments – grossing about $5300 to Atlanta.
Michigan apple shipments – grossing about $2700 to Atlanta.
Mushroom shipments have been hit by high temperatures and dry conditions, resulting in lower volume and shortages across the country.
The greatest impact has been felt in southeastern Pennsylvania, where 64 percent of U.S. mushrooms are grown, according to a news release from the Avondale, PA.-based American Mushroom Institute.
The weather’s impact on the compost used to grow mushrooms has many across the industry worried. Some veteran mushroom growers who have been in the business over three decades have never been this concerned heading towrds the holiday season.
Many farms are reporting reduced yields, and some shippers have struggled to fill orders. Shortages are expected nationwide as demand for mushrooms increases with the holiday season.
Concerns are mounting that all the orders for the product can’t be met and that shipments to retailers and other customers may have to be rationed.
With demand outpacing supply, growers are doing their best to get customers the product they need, but it is expected that fulfilling orders is going to be difficult.
“You’ve just got to share the love evenly with everyone because there’s just nowhere to get extra product,” stated one grower. “It’s just not available … Any other time you could work sideways and barter and trade back and forth, but that won’t be able to happen much this season because everyone’s in the same situation.”
Quality of the mushrooms also has been affected along with quantity.
“There hasn’t been a whole lot quite up to par from what I’m seeing, When the compost is weak you can then get blotch … which causes spotting on the mushrooms that sometimes you can’t see when you harvest the mushroom but it shows up later, by the time it gets shipped to the customer, the grower stated.”
At various times 30 Pennsylvania counties have been in a drought watch, which has affected mushroom growers.
By Fresh Produce Association of the Americas
Nogales – During the recently celebrated 48th Nogales Produce Convention, on Nov. 3- Nov. 5, the Fresh Produce Association of the Americas, (FPAA) released the 2015-16 Nogales Produce Import Report.
The report shows the significant impact that fresh produce imported via Nogales has in the overall trade of fruits and vegetable in the country. During the last season, imports reached a total of 6.3 billion lbs. which represents 17% of U.S. global imports.
The report presents a five-year comparison, and it reveals what items are highest in volume and in value.
As part of the FPAA Produce Convention program, a panel of importers discussed the report, offering possible explanations for the volume variations, discussing industry trends, and talking about information impacting the upcoming season.
These importers on the panel included: Chris Ciruli, COO, Ciruli Bros. Inc.; Fried DeSchouwer, President, Greenhouse Produce Co.; Rod Sbragia, Director of Sales and Marketing, Tricar Sales Inc.; and Mikee Suarez, Sales, MAS Melons & Grapes. Moderating the panel was Lance Jungmeyer, President of FPAA.
In summary, “Tomatoes have started a new growth phase, separating themselves from watermelons, the No. 2 item in Nogales. This is reflective of the continued growth in romas, and persisting strong demand for round reds,” said Jungmeyer.
The panel said to expect more growth in grapes, as companies add varietals that perform well in the early part of the season.
“A few years ago we had only three or four white, or green, varieties of grapes with any volume in Mexico. Now, we see 10 or more varietals being grown, with interesting and new flavor profiles,” said panelist Mikee Suarez of MAS Melons and Grapes. “These grapes also fill a great gap at the beginning of the Mexican grape season, when Chilean white grapes are leaving the market.”
The panel noted how the Nogales produce deal can no longer be characterized as having a January through April peak in volume.
In fact, the statistics bear out that there is an even stronger second peak in the season in late April through June. Both grapes and watermelons contribute to the second peak.
The following graph shows the evolution and changes in the peaks in the last five seasons:
While a lack of water and labor in western U.S. states is shifting volume to Mexico, there also is a clear trend of improvements in logistics and infrastructure at the Southwest border that should enable greater product flows through Nogales.
For instance, the new Unified Cargo Inspection Program in Nogales is bringing Mexican Customs officers to the U.S. side of the border to conduct inspections. Companies with the proper security clearances can take advantage of this program to reduce their crossing times from 4-6 hours during peak season to less than an hour.
Light volume with Mexican melons, vegetables through Nogales – grossing about $3200 to Chicago.
Red River Valley red potato shipments could be off 30 to 40 percent this season due to excessive rains, while Prince Edward Island is looking a normal volume.
During the 2015-16 shipping season, 25 percent of all red potatoes shipments in the U.S. originated from the Red River Valley eastern North Dakota and western Minnesota.
The remaining 75 percent were spread out among 11 other shipping regions. The state of Florida ranked second with roughly 12 percent, while the Big Lake region of Minnesota came in third with a nine percent.
Due to weather factors delaying the Red River Valley harvest this fall, there wasn’t the urgency to ship red potatoes from the new crop out of Central Minnesota (Big Lake). This latter area typically starts shipping a month or so ahead of the Red River Valley and works to complete its season before the valley starts. Big Lake also does not storage potatoes like is done in the valley.
When the Valley started shipping in October, red potato shipping regions around the country such as Wisconsin, Colorado, Idaho and the Skagit Valley in Washington, had light volume as well.
While loadings of red potatoes has been a little different so far this season, one thing potato haulers can pretty much count on every year – a flood of Idaho russets courtesy of over producing growers. For example a bale of Idaho russets can be delivered for around $4.00. Folks, that’s cheap!
A recent issue of the North American Potato Market News points out last year’s national red shipments exceeded 2011-12 shipments by 1.7 million cwt, or 14 percent.
Prince Edward Island Potato Shipments
Prince Edward Island is the leading province in Canada with potato shipments and expects to have about 25 million cwt (hundred weight). The potatoes are grown on 89,000 acres, which has remained steady for the past four or five years.
PEI accounts for about 25 percent of Canada’s potato shipments. About 30 percent of the crop is shipped to the fresh market, 60 percent for processing and 10 percent for seed.
by Avocado Producers and Exporting Packers Association of Mexico
URUAPAN, Mexico – The Avocado Producers and Exporting Packers Association of Mexico (APEAM) is pleased to report strong shipments to the U.S. market, as the Mexican avocado industry moves swiftly to resume normal operations after a temporary shipping delay caused by a work stoppage in Mexico earlier this month. Harvesting in Mexico resumed on October 15th, and APEAM initially projected shipping 40 million pounds of avocados to the U.S. last week (October 24 – 28). The industry surpassed that projection and shipped a total of 51.6 million pounds – one of the largest weeks ever for Mexican avocado shipments to the United States.
APEAM expects the distribution system to be fully back on track over the next 10 days. This will enable the industry to fulfill ongoing demand throughout the coming months including football season, Thanksgiving and the Holidays.
Weekly avocado shipments now projected through December have been increased by about 10 percent from previous estimates for a total projection of 469 million pounds for the mid October to December time period.
Last year, the U.S. consumed over two billion pounds of avocados with about 80 percent of the supply coming from Mexico. With the updated projections, Mexico is on track to support the strong U.S. demand for avocados through its network of importers, retailers and foodservice partners.
About APEAM
APEAM is a nonprofit organization founded in 1997 to represent the Hass avocado industry throughout Mexico in its export program for the brand Avocados From Mexico. APEAM is dedicated to developing and implementing stringent quality measures to ensure the production of the finest avocados available anywhere, worldwide. APEAM currently represents more than 19,000 growers and 46 packinghouses.
Mexican avocados, tropical fruit and vegetables crossing the border in the Lower Rio Grande Valley of (Pharr) Texas – grossing about $3700 to New York City; Chicago about $2300; and Atlanta, GA, about $2100.