Posts Tagged “feature”
Grocery store food prices are increasing this year, according to projections by the USDA.
The USDA Economic Research Service forecasts the food-at-home consumer price index (CPI) to rise 1 to 2 percent in 2019. Though that’s higher than the 0 to 1 percent uptick estimated for 2018, the increase expected for 2019 would mark the 4th straight year of deflating or lower-than-average inflating retail food prices, the agency noted in its Food Price Outlook 2018-19 report. The gain also would be less than the 20-year historical average of 2.1 percent.
Product categories expected to see price increases this year include dairy products (+3% to +4%), fresh vegetables (+2.5% to +3.5%), fresh fruit (+2% to +3%), cereals and bakery products (+2% to +3%), beef and veal (+1% to +2%), poultry (+1% to +2%), fish and seafood (+0.25% to +1.25%), and sugars and sweets (0% to +1%).
The expected rise in dairy prices for 2019 comes after a flat to 1% decrease estimated for 2018, according to the USDA.
Food prices are on their way up at the grocery store this year, according to projections by the USDA.
The USDA Economic Research Service forecasts the food-at-home consumer price index (CPI) to rise 1% to 2% in 2019. Though that’s higher than the 0% to 1% uptick estimated for 2018, the increase expected for 2019 would mark the fourth straight year of deflating or lower-than-average inflating retail food prices, the agency noted in its Food Price Outlook 2018-19 report. The gain also would be less than the 20-year historical average of 2.1%.
Product categories likely to see price increases this year include dairy products (+3% to +4%), fresh vegetables (+2.5% to +3.5%), fresh fruit (+2% to +3%), cereals and bakery products (+2% to +3%), beef and veal (+1% to +2%), poultry (+1% to +2%), fish and seafood (+0.25% to +1.25%), and sugars and sweets (0% to +1%).
The expected rise in dairy prices for 2019 comes after a flat to 1% decrease estimated for 2018, according to the USDA.
“Milk production is expected to rise at a modest rate of 1.1% in 2018. Dairy exports have strengthened but are expected to be limited for the rest of the year due to recent tariffs imposed by Mexico and China,” the report said. “Domestic demand for most dairy products has been relatively weak in the first half of the year but is expected to recover in the second half of 2018.”
Egg prices — among the most volatile retail food prices due to changes in seasonal demand — are projected to inch up 1% or less in 2019 following an estimated 10% to 11% jump in 2018. The USDA said recent price hikes at the farm and wholesale levels indicate that retail egg prices could continue to rise over the next few months. That contrasts with 2017, when more egg-laying birds and a higher number of eggs per hen eased prices, the agency explained.
Food categories that may experience retail price decreases include fats and oils (-3% to -2%), pork (-0.75% to +0.25%), other meats (-0.25% to +0.75%), processed fruits and vegetables (-1% to 0%), and nonalcoholic beverages (-0.25% to +0.75%).
“In addition to commodity prices, prices for other factors of production may influence retail food prices in 2019,” the USDA said in the report. “Electricity and diesel costs, as well as many other costs associated with food production, transport, and retail sales, are expected to rise, placing upward pressure on prices.”
Meanwhile, the USDA expects food-away-from-home prices — food purchased at restaurants — to grow at a consistent rate this year, rising 2% to 3%, the same increase estimated for 2018.
California asparagus shipments are looking favorable for a launch in March with healthy product predicted and growing demand for organic “grass” despite a decline in acreage.
For example, Greg Paul Produce Sales Inc. of Stockton, CA expects to be shipping its Delta Queen brand from the Central San Joaquin Valley from from mid-March to May. Shipments come from 500 to 1,000 acres.
Produce broker Jacobs, Malcolm & Burtt Inc. of San Ramon, CA reports a normal winter has set the stage for the big, healthy plants.
Cold temperatures kill pests and provide good chilling conditions, which allows asparagus ferns to mature. Timely and generous rainfall in the region this season has been very benefical.
The company’s 4 growers include one organic producer and harvest has been underway for a couple of weeks.
There are 820 acres in Fresno in the Central Valley and in San Joaquin County, which will be shipping at the same time as imports from Mexico and Peru.
Melissa’s/World Variety Produce Inc., Los Angeles, distributes conventional asparagus from May to September and the organic crop from May to July.
Devine Organics of Fresno, CA ships asparagus under the Double D Farms Organics brand, and has been shifting its 72 acres in Coalinga to organic due to increasing demand. Harvest will start in April.
The company is also planning to increase acreage, but hasn’t decided whether it will be in California or on its land in Mexico. It will be able to lower costs with a new irrigation system allowing valves to be turned on and off remotely if there is a leak.
Durst Organic Growers Inc. of Esparto, CA expects a small increase in volume this season because of newer plantings, and the company typically sells about 100,000 cartons a year. Last year the operation began harvesting in early February.
California asparagus acreage fell 60 percent from 2007-17 to 8,300 acres, according to California’s Department of Food and Agriculture. Production fell 41 percent from 2016-17.
Greg Paul Produce Sales Inc. report the No. 1 problem is the cost of labor.
Under a 2016 law, larger employers must now pay overtime to hourly workers after 9.5 hours, a threshold which will fall in subsequent years and eventually include smaller companies. Historically, overtime was paid after 10 hours.
Also this year, the hourly minimum wage rose to $12 for larger businesses; $11 for smaller ones.
Finally, Mexican asparagus growers expanded production this year, growers and industry experts say, and are timing their crops to potentially compete with California growers in a price war growers say they can’t hope to win.
Last year, Greg Paul Sales was getting 57 cents to 71 cents per pound of asparagus — reflective of lower and lower prices discouraging California growers from replanting. The company believes the California asparagus industry is on the very of disappearing altogether.
Over production and poor markets has the California strawberry industry in a quandary following the 2018 season when profits took a big hit. That’s not so bad for truckers hauling the fruit simply because more loads are available.
However, the strawberry growers and shippers were expecting a major reduction in acreage this year, but that apparently hasn’t happened.
During late January strawberry shipments from Ventura County were very light with some quality issues. However, volume is building weekly and quality is expected to improve at the same time. Decent volume is occurring just in time for Valentine’s Day (February 14) shipments.
However, the bigger issue remains over production. California’s acreage report estimates 25,704 acres for 2019, but that is only a 1,722-acre drop, which would be about a 6 percent decrease. California’s acreage dropped by almost 8 percent from 2017 to 2018, but as is the case this year, strawberry production is expected to increase because newer varieties are having greater yields. In 2018, California shipped over 222 million trays of fresh strawberries to the market, which was a 10 percent increase over 2017 despite the 8 percent drop in acreage.
California Giant Berry Farms of Watsonville reports acreage has decreased, but the newer varieties have greater yields, so there is not the same drop in volume.
GEM-Pack Berries of Irvine, CA, likewise doesn’t see a drop in acreage during 2019 resulting in fewer berries to ship. The company points out around of 9 million trays were shipped during some weeks in 2018, which is simply too many berries for the market to absorb.
Colleen Strawberries Inc. of Watsonville, CA, also calls for a further reduction in the California acreage for the strawberries to be profitable. While weather problems could reduce shipments this season, the acreage total is not sustainable without some issue reducing overall volume.
On a positive note, huge volume is typical for Easter and this year Easter is late — April 21st. This should give the season extra time to be producing good volume and quality. California strawberry shipments tend to peak during April and May. Easter is followed by Mother’s Day three weeks later (May 12th), when shipments surge for both occasions.
The berry category in general remains strong for blueberries, blackberries and raspberries — as well as strawberries and continues to rise. Strawberries still remain the favorite with more than 50 percent of the total berry volume, but that number is decreasing.
Ventura County strawberries and vegetables – grossing about $7400 to New York City.
Eagle, Idaho –When the Big Idaho® Potato dropped at midnight in front of the Capitol Building on New Year’s Eve, the Big Idaho® Potato Truck, which was front and center for the “spudtacular” show, officially ended its 2018 tour. And what a year it was! The Truck…
- Traveled 40,000+ miles
- Participated in 68 scheduled events
- Four events had over 300K attendees
- St. Patricks’ Day Parade, Pittsburgh, PA
- Art Car Parade, Dallas, TX
- National Memorial Day Parade, Washington, D.C.
- Rose Festival, Portland, OR
- 15 events had over 100K attendees, including
- Indianapolis Indy Car Race, Indianapolis, IN
- NASCAR, Bristol, TN
- St. Patrick’s Day Parade, Hilton Head, SC
- Pegasus Parade, Louisville, KY
- SeaFair Festival, Seattle, WA
- Four events had over 300K attendees
- Donated $12,000 to 21 charities across the country through its “A Big Helping” program
- Was invited to appear at American Idol’s Semi-Finals in Coeur D’Alene, ID
- Generated more than 300 million media impressions
However the biggest news of the year was the unveiling of Big Idaho®Potato 2.0. Weighing in at 4 tons, the fiberglass potato is just as impressive as the original, but with a few subtle differences. The potato is still 28 feet long and 11.5 feet high, but it’s a little trimmer in the middle (10 feet wide), and two tons lighter so it can travel to more places. The original potato, which was only supposed to last one year, became too road worn to travel and now resides in its home state of Idaho.
“The Big Idaho® Potato Truck continues to drive many of our marketing campaigns. It’s the focus of our national television commercials, it helps promote the potato’s impressive nutritional profile and generates hundreds of millions of impressions for the Idaho® potato brand,” explained Frank Muir, President & CEO, Idaho Potato Commission. “Now that we’ve got a new fiberglass potato, there’s no end in sight for the biggest potato on wheels.”
After seven years the Truck’s track record is pretty impressive…
- The average tour length is 6 months
- The Truck has traveled approximately 211,722 miles
- It’s attended events in 651 cities/towns
- 46 events had more than 300,000 people in attendance
- 76 events had more 100,000 people in attendance
- The Truck has traveled through more than 10,000 cities and towns, nationwide and all lower 48 states
- “A Big Helping” has donated $67,000 to 124 charities located across the country
- Millions have taken pictures of the Big Idaho® Potato Truck on their mobile devices
- Every day we receive appearance requests from fans, festivals, and events, all over the country
- Media coverage to date is in the billions!
The 2019 Big Idaho® Potato Truck Tour schedule will be available in early February 2019 atwww.bigidahopotato.com.
About the Idaho Potato Commission
Established in 1937, the Idaho Potato Commission (IPC) is a state agency that is responsible for promoting and protecting the famous “Grown in Idaho®” seal, a federally registered trademark that assures consumers they are purchasing genuine, top-quality Idaho® potatoes. Idaho’s growing season of warm days and cool nights, ample mountain-fed irrigation and rich volcanic soil, give Idaho® potatoes their unique texture, taste and dependable performance. These ideal growing conditions are what differentiate Idaho® potatoes from potatoes grown in other states. For more information, visit www.idahopotato.com.
U.S. citrus shipments should be up this season in most growing areas compared to last year, and despite challenges in some areas, growers contend they are shipping some good-quality fruit.
During the late fall in California, the navel orange season got off to a rough start.
The San Joaquin Valley was unusally hot last summer, where most of the state’s oranges are grown. At one point, temperatures topped 100 degrees for more than 30 days straight, which shut down the trees.
As a result, sizing on the fruit, especially the early varieties, was unusually small.
Rainfall around Thanksgiving and in December and early January was helping to improve fruit size. Early this season, citrus growers nationwide had to deal with Southern Hemisphere fruit lingering in the domestic market for longer than usual. There was plenty of questionable quality.
This resulted in October, November and December being sluggish.
But as supplies of imported citrus wound down and domestic movement picked up, markets seemed to be improving. Market improvements finally arrived with the New Year.
Florida’s citrus industry still is recovering from the effects of Hurricane Irma, which hit the state in September 2017, wiping out a large part of the orange and grapefruit crops.
During the 2017-18 season, the state shipped only 45 million 90-box equivalents of oranges, 3.9 million boxes of grapefruit and 750,000 boxes of tangerines.
Hurricane season now is over for Florida growers, but they’re keeping their fingers crossed until March or so, when the threat of freezes should be over.
Up to 95 percent of the Florida’s oranges are grown for processing.
Citrus movement in Texas started off a bit slower than usual this season, mostly because of the large amount of imported fruit remaining the in the distribution pipeline, which slowed shipments. While loadings picked up for Christmas, volume still was behind the previous season.
Still, Texas citrus shipments should be greater this season than last.
Lower Rio Grande Valley citrus, plus Mexican produce crossings – grossing about $4800 to New York City.
Applewood Fresh Growers LLC, located in Sparta, MI, is now shipping Michigan apples.
Although it’s a new company, Applewood Fresh traces its roots to the 1935 founding of Applewood Orchards Inc., of Deerfield, MI.
“Our work is about more than just sales or profit,” Scott Swindeman, Applewood Fresh owner and fourth-generation grower and partner at Applewood Orchards, said a news release. “We take pride in serving as a reliable partner to our growers and customers, providing access to healthy, great-tasting fruit to people across the country and cultivating strong industry relationships along the way.”
Applewood Fresh Growers produce 21 apple varieties across the country year-round. The company’s grower network has more than 11,000 acres, and apple varieties include some managed (licensed) varieties: Kiku, Kanzi, Rave and SweeTango.
Applewood Fresh emphasizes sustainability measures adopted by growers, including advanced irrigation and pest control, eco-friendly packaging and solar/wind power.
“We are thrilled to extend the legacy of a multi-generational company that not only offers delicious, quality apples but also values and prioritizes its relationships throughout the supply chain, from grower to buyer to consumer,” Antonia Mascari, director of marketing at Applewood Fresh, said in the release.
Applewood Fresh announced the new company on Jan. 8, the same day Riveridge Produce Marketing, another Sparta apple grower-shipper-marketer, announced its acquisition of Sparta apple company Jack Brown Produce’s sales operation.
Florida orange shipments should total about 77 million 90-pound box equivalents, most of which will go to processing. Last year’s total was about 45 million boxes.
This is a significant increase in volume as Hurricane Irma had devasting consequences in 2017.
The state’s growers are expected to ship 6.4 million boxes of grapefruit and 1.2 million boxes of tangerines this season.
Duda Farm Fresh of Oviedo, FL is shipping juice oranges, navel oranges, tangerines, plus white and red grapefruit this winter.
Volume for oranges is expected to increase 30 to 40 percent from last year, mostly because of the devastation from Hurricane Irma. Quality this season is reported good in part because Florida has had some cooler weather.
Last year good fruit color was a challenge because of warm fall weather.
Duda Farm Fresh completed its navel season in early January, and will begin picking valencias in February.
Grapefruit volume should be up over 60 percent for the company this season compared to last year, when the firm’s orchards received a direct hit from the hurricane.
Duda Farm Fresh Foods is offering red and white grapefruit, with the season extending through most of February and hopefully into March.
Florida Classic Gowers Inc., Dundee, FL will have an longer season this year for its valencia oranges as a result of an expanded storage program, with shipments running through June.
The company’s valencia program started in late January, with optimism for a good, quality crop. Initial indications are for larger sizing than last season, with more 64- and 80-count fruit.
The company expects to ship more valencias this year than last year.
The Honey tangerine harvest started the week of January 14th and should be available into April.
Increased competition for domestic lemon growers and shippers is coming from other countries who are supplying more product to North America.
Salix Fruits LLC of Canton, GA reports for the first time, Turkey is becoming an important player in the North American lemon market. The fruit importer/exporter specializing in citrus notes the only fruit available in the U.S. during the northern hemisphere season was California. However, imported lemons from Spain got underway about five years ago. Now, Salix Fruits also is importing lemons from Turkey.
U.S. lemon shipments and supplies have been better this season than expected.
Spain also has a good crop as well as Turkey. But Turkey has seen rain recently, slowing imports down a little bit as its season comes to a close in mid February. Spain has a longer season because they have another variety called Verna. But that variety needs cold treatment for entering the U.S.” Depending on the year, the Spanish season can go until April/May.
With this amount of product in the market, prices are competitive and lower than last year. “Prices are about 10-15 percent lower than last year,” says Elortondo. “It’s competitive and demand is stable for lemons. It’s not like Persian limes for example, which have more seasonality because they’re also used for cocktails and during the summertime. Lemons have regular demand throughout the year.”
Availability of imported lemons in the U.S., like with many other commodities, has become very consistent throughout the year. Once the northern hemisphere seasons are over, Chile comes into the picture, and last year, Argentina was allowed to enter the U.S.
The first year many U.S. importers were cautious with Argentina and limited the number of loads they imported. However, good quality was reported with competitive prices, so heavier volumes are anticipated this next season, which will start in April. Turkey is expected to be a key player during the spring and summer months.
By USDA AMS
SWASHINGTON – The U.S. Department of Agriculture (USDA) has published the 2017 Pesticide Data Program (PDP) Annual Summary. The Summary shows more than 99 percent of the samples tested had pesticide residues well below benchmark levels established by the Environmental Protection Agency (EPA).
Each year, USDA and EPA work together to identify foods to be tested on a rotating basis. In 2017, tests were conducted on fresh and processed foods including fruits and vegetables as well as honey, milk and bottled water. AMS partners with cooperating state agencies to collect and analyze pesticide residue levels on selected foods. For over 25 years, USDA has tested a variety of commodities including fresh and processed fruits and vegetables, dairy, meat, poultry, grains, fish, rice, specialty products and water.
USDA tests a wide variety of domestic and imported foods, with a strong focus on foods that are consumed by infants and children. EPA relies on PDP data to conduct dietary risk assessments and to ensure that any pesticide residues in foods remain at levels that EPA has determined to be safe. USDA uses the data to help U.S. farmers improve agricultural practice and to enhance the department’s Integrated Pest Management Program.
The annual pesticide residue results are reported to the Food and Drug Administration (FDA) and EPA in monthly reports as testing takes place throughout the year. FDA and EPA are immediately notified if a PDP test discovers residue levels that could pose a public safety risk.
The 2017 data and summary can be found on the Pesticide Data Program page on the AMS website. Printed copies may be obtained by contacting the USDA Agricultural Marketing Service, Science and Technology Program, Monitoring Programs Division by e-mail at amsmpo.data@ams.usda.gov.
For more information about pesticides and food, please visit the EPA website and the FDA website.
DALLAS — Despite reports to the contrary, there will be plenty of guacamole as U.S. imports of Mexican avocados are at record levels and will continue approaching the Big Game, Sunday, February 3 in Atlanta. The United States received a record 71.9 million pounds for the week ending January 13, 2019; January imports of Mexican avocados are projected to reach 217 million pounds, up 16 percent from last year during the same period.
The Los Angeles Rams play the New England Patriots at 6:30 p.m. EST, on CBS.
Big Game Sunday is the biggest day for avocado consumption in America, according to Avocados From Mexico, and guacamole is one of the most popular foods served at game-day parties.
“This season is one of the most active periods for the Mexican avocado industry,” says Alvaro Luque, President of Avocados From Mexico. “It’s a priority for our farmers, packers and distributors to ensure Americans have the avocados they want for the Big Game.”
Additionally, back for a fifth straight year, Avocados From Mexico will have a 30-second commercial during the Big Game, airing Sunday, February 3, 2019 on CBS. This year, AFM returns with its classic light-hearted humor to showcase that Avocados From Mexico are “Always Worth It.” Over the last four years, Avocados From Mexico has told dynamic stories of Avocados From Mexico’s versatility, seasonality, and health benefits (good fats), all leading up to this year’s overarching umbrella message: Simply put, Avocados From Mexico are Always Worth It.
Americans’ demand for avocados isn’t just for game-day parties. Mexican avocado imports are expected to reach a record-breaking 2 billion pounds this fiscal year, an increase of 7 percent from last year.
About Avocados From Mexico
Avocados From Mexico (AFM) is a wholly-owned subsidiary of the Mexican Hass Avocado Importers Association (MHAIA), formed for the purpose of advertising, promotion, public relations and research for all stakeholders of Avocados From Mexico. Under agreements, MHAIA and the Mexican Avocado Producers & Packers (APEAM A.C.) have combined resources to fund and manage AFM, with the intent to provide a focused, highly effective and efficient marketing program in the United States. AFM is headquartered in Irving, TX.