Posts Tagged “consigned produce loads”
Mexician produce is causing a flood of volume crossing the U.S. border. In fact it is so much product, combined with lousy winter weather spanning much of the US, it is killing demand (in other words consumers aren’t buying as much and retailers aren’t ordering as much).
A main concern in this situation is some shippers will do just about anything to sell their product before it rots. That can mean rolling loads of produce unsold — in other words on consignment. This too often results produce truckers having to change destinations, facing more drops than originally told, etc.
This makes it especially important you are dealing with good, honest shippers, truck brokers, receivers – to make sure you are getting fairly compensated for any additional mileage, drops, etc.
West Mexico vegetables came on strong in February as delayed volumes of tomatoes, bell peppers and cucumbers finally started crossing at Nogales, AZ and in South Texas. Shippers, meanwhile, were facing poor demand thanks to a series of winter storms in the Midwest and Northeast.
One example is peak supplies of romas are now hitting Nogales three weeks later than normal.
After a lot of cold weather, replantings, etc, the warm weather in Mexico is resulting in big volumes. However, the crappy wether continues in much of the US.
As spring approaches there also big volume with eggplant, vine ripe tomatoes, bell peppers and cucumbers. This situation is expected to continue for at least another two months.
Mexican produce crossing the border at Nogales – grossing about $3600 to Chicago.