Posts Tagged “feature”
Talking with a hauler of oversized loads and he was lamenting how rates on the moving the big stuff has dropped in recent weeks. Well, the same holds true for loads of fresh fruits and vegetables, although this is fairly predictable this time of the year when total praoduce volume across the country is much lower than during it’s summer peak.
Still, if you haul perishables, the western states are the place to be doing it — especially with this being the last full week before Christmas.
Washington state apples continue to be shipped in record amounts with about 3,200 truckload equivalents being loaded per week from the Yakima and Wenatchee valleys…..A little further south in Washington’s Columbia Basin and the nearby Umatilla Basin in Oregon, both potatoes and onions are being shipped, although in much lesser volume than with Washington’s apples.
The Columbia and Umatilla basins are loading about 400 truckloads of potatoes and around 750 truckloads of onions per week.
The Yuma district in Arizona is likely your best bet when it comes to winter vegetables. This desert area is shipping Iceberg lettuce, romaine, broccoli and cauliflower, among other items. Between these four veggies, the total truck loads are around 2,500 of per week.
Idaho potatoes are another big mover from the Western states. There are about 1,750 truckload equivalents of spuds being shipped on a weekly basis. The state needs to sell a lot of potatoes to pay for their sponsorship and ads related to the recent Famous Idaho Potato Bowl!
In case you haven’t noticed strawberries in retail supermarket are costing about 30 percent more, or about a dollar more per 16 ounce claimshell package, than only a few weeks ago. After a summer of plentiful supplies, this is the time of year when strawberry production is in a transition from the bountiful fields at Watsonville, CA to areas further south, such as Ventura and Orange counties, as well as in Mexico. It will be the first of the year before supplies increase, and perhaps some break in what you are paying in the stores.
Long gone are days of 99-cent-per-pound apples. Yet, this fruit is one of the better buys in produce departments. Despite a freeze wiping out the vast majority of apples in Michigan last spring, plus cold weather hitting New York apples hard, the nation should have nine percent more apples than a year ago – thanks to a humongous crop in Washington state. Still it depends on the variety, what you will pay. For example, two of my favorites, the Gala and the fuji apples are selling at my store for $1.77 per pound. However, another favorite of mine, the Ambrosia apples, costs about 50 percent more.
Table grapes have been another wonderful eating experience this year. California’s crop has been so sweet and cruncy I sure hate to see the season end. I’m noticing the late season grapes from California are not quit as good as the super tasting product that has been available for month. Grapes also have been one of the best buys in the produce department. The California product will soon be replaced by grapes from Chile. We can only hope Chile has as good a crop.
Other good buys in the produce department continue to be bananas and kiwifruit.
USA potato loads will be up eight percent over a year ago when this season ends around August. The 991,500 acres of spuds is six percent more than athe previous season. Of course, Idaho shipments easily lead all other states, but there are significant loadings available in Washington state, Oregon, Wisconsin, the Red River Valley of North Dakota and Minnesota, among others.
Idaho is shipping about 1750 truckload equivalents of potatoes per week, although a greater percentage is shipped by rail than most other spud production areas….By contrast, Colorado’s San Luis Valley is moving about 1000 loads per week, all by truck.
Southeastern Greens
Central and southern areas of Georgia are loading collards, kale, mustard and turnip tops for the holidays. Loads of greens should continue from Georgia into March or April, depending on the weather. Broccoli also is being shipped.
Chilean Imported Grapes
While Chilean grapes are starting to arrive in the USA anytime now, it will be late January before good volume and loading opportunities are available at USA ports. Grapes arriving at such ports as Wilmington, NC; Philadelphia, and Long Beach, CA are shipped throughout the states and into Canada, with volume expected to top last year.
Georgia vegetables – grossing about $2800 to Boston.
Idaho potatoes – about $5400 to New York
Colorado potatoes – about $2000 to San Antonio.
USA imports of fresh fruit and vegetables have increased significantly since the 1990s, and this has increased loading opportunities during a time of the year when it is an off season for a majority of American grown produce items.
These off season suppliers for fresh produce are primarily the Southern Hemisphere countries countries near the equator for bananas.
While it is trendy and cool to be associated with locally grown produce these days, locally grown is minor compared to the strong growth in volume and variety of fresh produce that is imported. These imported fruits and vegetables has allowed U.S. consumers to eat more produce, and for truckers to haul more produce, on a year-round basis. This is product that normally would not be available.
The USDA states that between 1990-92 and 2004-06, annual USA imports of fresh fruit and vegetables surged to $7.9 billion from $2.7 billion, with the share of total USA imports for agriculture rising to 13.3 percent from 11.5 percent. USA exports of fresh produce also increase, but less. As a result, the United States has increasingly become a net importer of fresh produce.
As of 2007, USA fresh produce trade was dominated by a few regions. Fresh vegetable imports from Mexico and Canada were over $3.2 billion, which comprises the single-largest trade channel among regions of U.S. fresh produce trade.
USA fruit trade is more diverse than vegetable trade in terms of foreign trade partners. Whereas fresh vegetable trade is largely concentrated within North American Free Trade Agreement countries and Asia (95 percent of exports and 84 percent of imports), fresh fruit trade with those regions is less significant (85 percent of exports and 28 percent of imports).
Because fresh produce is highly perishable and seasonal, geography has traditionally played a major role in the global trade patterns of fresh produce.
The main sources of USA fresh fruit imports are banana-exporting countries, and the Southern Hemisphere and NAFTA regions. The banana exporters — Colombia, Costa Rica, Ecuador, Guatemala, Honduras and Panama — are the largest providers of fresh fruit to the United States.
Together, these countries supply 36 percent of total U.S. fresh fruit imports, with bananas making up more than three-quarters of the fresh fruit value shipped by these equatorial countries to the United States. Southern Hemisphere countries — Argentina, Australia, Brazil, Chile, New Zealand, South Africa and Peru — supply 32 percent of U.S. fresh fruit imports. The NAFTA region supplies 27 percent of U.S. fresh fruit imports.
The structure of the U.S. fresh fruit import mix, however, has changed substantially, particularly since the 1990s, as grape and tropical fruit imports have grown faster than bananas.
Blueberries are a good example of an item that has grown quickly and hugely over the past decade. Other fruits and vegetables, such as asparagus from Peru, are also inching toward the list of items that are outpacing banana imports.
While Michigan and New York took major hits with apple crops this year, there are plenty of apples for hauling through the end of the season, which won’t occur until next summer. In fact, nine percent more apples remain in USA storages, compared to a year ago.
As of December 1st around 103 million bushels of fresh-market apples remained for haulers. This also is nine percent above the five-year average.
Forget the freeze-related losses in Michigan and New York, Washington state is loading the fruit in record numbers. 34-million bushels of red delicious apples alone, remain to be shipped. Beside red delicious, there are more Galas, golden delicious, fujis and granny smiths than last year.
Florida Citrus
While loads of Florida citrus will be down by five percent this season, the USDA still sees 146 million boxes being shipped. The primary decrease in volume will occur with the early and mid season varieties, which are off seven percent. The USDA issued its first forecast in October and will follow with monthly updates through the end of the season in July.
The USDA makes its first estimate in October of each year and revises it monthly as the crop takes shape until the end of the season in July. Disease and weather factors are cited for the decline in volume.
During the 2011-12 season, Florida moved 146.6 million boxes of oranges.
For Florida specialty fruit, the USDA predicts volume declines with tangelos and tangerines.
As for Florida grapefruit, the Sunshine state should ship around 18 million boxes, down from the forecaset of 20.3 million boxes a month ago.
Florida citrus – grossing about $2400 to New York.
Washington state apples – about $5600 to New York.
Early California navel orange shipments have gotten off to a good start this season and expect to load around 93 million boxes before the season concludes. This would be up from 83 millon cartons from the previous season. Loadings have been steady and are expected to remain this way in the weeks ahead.
Something to keep an eye on is the restrictions California is putting ictions on citrus fruit and plants in Tulare County after two recent detections of Asian citrus psyllid. It is not a full quarantine, but if another psyllid is found — it would be the fourth detection. This would trigger a two-year quarantine. Current restrictions are in place for six months.
The psyllids, which can carry citrus greening disease, feed on citrus trees, sucking the sap and weakening them, but they can carry citrus greening, a bacterial disease. The disease is no threat to humans or animals, but it can stunt and even kill citrus trees. The problem also has been detected in Florida and Texas.
Desert Shipments
In The California desert, as well as Yuma, AZ, recent warm cauliflower and broccoli shipments well above normal. Loadings are usually brisk this time of year anyway as supplies to buyers for the Christmas holidays are ramping up. A similar situation exist for various types of lettuce in the desert.
Strawberries
California is in between seasons now and strawberry shipments are light. While the Watsonville area has pretty much finished, loadings are now coming out of Ventura and Orange counties. Volume will remain light until after the first of the year.
Although the eight-day strike at ports in Los Angeles and Long Beach has ended, picking up and delivering loads to the terminals is still a mess and it could be for weeks.
It is not like the flexibility in trucking where a load can be diverted elsewhere due to a labor strike, weather factors or any number of other reasons.
Container terminals reopened Dec. 5 at both California ports as clerical workers in International Longshore and Warehouse Union Local 63 reached a tentative contract with operators and shipping lines, as the union sought limits on outsourcing. In L.A. about 700 striking harbor clerks were backed by thousands of longshoremen who honored their picket line.
About $8 billion was lost in the strike to the local economy.
While the strike has ended, the congestion has not.
The cold chain was maintained, but there were concerns about arrival conditions and the possibility of an increase in orders that could challenge capacity.
It has been report the impacts of the strike will be far greater than just eight days. In 2002 there was a 10-day strike. It took months the boats could get back in the right rotation. This could adversely affect, for example, imported fruit from Chile arriving at Long Beach.
Entering the lightest season volume wise for produce loads, it’s not uncommon for multiple pick ups and drops to fill out the trailer. Pick ups starting in southern California may extend to the California desert, Yuma and perhaps even Nogales. Changes for the better are occuring at the Arizona, Mexico border that should improve produce crossings in the USA and reduce delays for loadings at the many Nogales warehouses.
The Mariposa port was built in the 1970s, designed to handled 400 trucks crossing into Arizona daily. Over the years changes have increased the truck count to around 1600 to 1800 a day. In the past an estimated 25 percent of the trucks crossing the border into Arizona were delayed because of gridlock on the Mariposa Road (State Route 189), which connects the port to I-19. Numerous stop lights on the state route often contribute to the delays.
In 2009 a $220 million expansion of the port was started and is scheduled for completion in 2014. This should increase traffic capabilities to 4,000 to 5,000 trucks a day crossing the border in Nogales.
Meanwhile, there is light volume of watermelon, honeydew, squash, bell peppers, tomatoes and other items crossing the border from Mexico, it will be another month of so before the volume really improves.
Nogales produce is grossing about $3400 to Chicago, about $5800 to New York.
Fresh fruit and vegetable retail prices in 2012 were generally lower, according to a recently released government report.
The U.S. Department of Agriculture’s Economic Research Service reports lower fruit and vegetable prices resulting in overall retail prices for food being kept in line through October this year.
From January through October , average food-at-home prices have been flat because deflation in the fresh fruit and vegetable arena and lower prices for milk and pork, the USDA ERS said in a food price outlook report issued in late November. By contrast, beef, veal, poultry, fat and oil prices have been higher.
The inflation forecast for both all food and food-at-home prices in 2012 is 2.5 to 3.5 percent. Lower prices were particularly pronounced for vegetables in 2012, according to the USDA ERS.
The fresh vegetable consumer price index increased 0.6 percent, however it has dropped about every month in 2012. Compared with 2011 year ago, fresh vegetable prices are down 3.2 percent on average, due primarily by a 10.9 percent drop in potato prices, a 4.1 oercent decline in lettuce and a 1.7 percent slide in tomato prices. Other fresh vegetable prices were down 0.7 percent.
Warmer weather and favorable growing conditions in 2012 combined to increase yield and lower prices compared with year-ago levels.
An expected seasonal increase in prices during the second half of 2012 has been less than predicted, and because of that the USDA now expects fresh vegetable prices to fall 4 percent to 5 percent in 2012. The fresh fruit price index is up 2.1 percent from October 2011, and the USDA projected fresh fruit prices for 2012 are now projected to fall between 1 percent and 2 percent.
Compared with October 2011, the USDA said retail apple prices are up 6.4 percent, with banana prices 1.4 percent lower, citrus prices 0.1 percent higher and other fresh fruit commodities up 1.3 percent in retail price.
Prices increases overall of 3 to 4 percent for fresh produce is projected in 2013 by the USDA. The agency sees an increase of 3 to to 4 percent for fresh fruit and 4 to 5 percent for fresh vegetables.
Overall food price inflation for 2013 is projected between 3 and 4 percent. Prices for food served away from home are projected to increase 2.5 to 3.5 percent in 2013, while prices for food served at home are expected to increase 3 to 4 percent.
Strawberry shipments from the Plant City, FL area have been underway for more than a month, but only in very light volume. This is changing as available loads will show significant increases by December 10, and be in big volume around December 15-20. Central Florida also has very light volume with cherry, grape, roma and green tomatoes. The area also is shipping variety of vegetables. However, this overall is seasonally a very light volume period for Florida. Expect multiple pickups to involved with most loads.
You may even have to fill out the trailer from those Florida pick ups with a few pallets of cabbage, greens or broccoli from Southern Georgia. In fact, the whole Eastern seaboard extending into the Northeast and New England doesn’t hold a lot of volume, but sometimes something is better than nothing.
In eastern growing areas of North Carolina, the biggest volume is with sweet potatoes, not necessarily known for paying the best freight rates…..In upstate New York, Orange County is shipping storage onions, while central and western areas are loading cabbage. New York apples were hit pretty hard by freezing weather earlier this year, especially from western and central shipping points. Even the Hudson Valley did not escape the freeze, although it came out better than the rest of the state.
In northern Maine, Aroostoock County is shipping around 150 truck loads of potatoes a week.
Maine potatoes – grossing about $1700 to New York City.
North Carolina sweet potatoes – about $1500 to Atlanta.
Florida vegetables and strawberries – about $2600 to Boston.