Posts Tagged “Mexican tomato shipments”
By Mark Campbell, ProduceIQ
A record-setting heat wave across the West has toppled long-standing March temperature highs from Yuma to Palm Springs, and now that heat is advancing east, according to the article published by the Blue Book.
Forecasts show much of the Southeast running 15–30 degrees above average the week ending March 23.
That surge in temperatures is fast-tracking the close of the Yuma season, raising the stakes for a smooth handoff to California production. If West Coast growers aren’t ready to take the baton, markets could face a brief but impactful supply gap just as production begins a seasonal decline.
Tomato markets are “channeling” the spirit of March Madness. After all varieties posted notable declines last week, prices for round, plum, and grape tomatoes are climbing once again.
Extremely light supply from Florida and Mexico, paired with the +17 percent duty on Mexican tomatoes, is fueling renewed volatility. With supply constrained and demand steady, instability is expected to persist through April.
The same heat driving production shifts in the West is also tightening supply in other categories. Asparagus prices jumped +22 percent week-over-week as heat-stressed supply struggles to keep pace with Easter demand. Week #12 prices are now well above average, ranking as the second-highest in the past decade. Relief remains limited: ongoing heat in the West and delayed shipments from Peru are expected to keep upward pressure on the market through the next two weeks.
Meanwhile, warmer temperatures are beginning to reshape demand patterns. Warmer weather is stirring demand for watermelon, pushing prices up +9 percent from the previous week. Week #12 pricing is now at the second-highest level in the past 10 years. With Florida production still weeks away, the market is leaning heavily on dwindling Mexican supply. Prices are likely to climb further over the next 3–5 weeks until domestic harvests arrive to meet seasonal demand.
Even tropical items are feeling the squeeze as supply struggles to keep pace with warm-weather demand. Pineapple prices continue to hold firm at elevated levels in week #12. Tight import supply, driven by adverse weather, is trailing just behind strong Easter demand. With supply expected to remain limited, prices are forecast to edge higher in the coming weeks.
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Tomato shipments got underway in early April from Culiacan, Mexico and are now in good volume. Harvesting started from Florida’s Ruskin/Palmetto growing region in mid-April, according to a news release from Markon Cooperative of Salinas, CA.
Round
- Supplies are increasing in Florida, especially large-size fruit
- Growers are harvesting spring fields in Mexico’s Culiacan region
- Quality is good
- Large sizes (4×4 and 4×5) are most abundant
Roma
- East Coast supplies continue to increase
- Mexico’s Culiacan supply is more plentiful with the new crop
- All sizes are available
- Central Mexico began harvesting spring crops in late April
Grape & Cherry Varieties
- Florida volume has increased through April
- Stocks are increasing in Western Mexico
- Supplies have been tight but improving in Central Mexico and Baja
There’s probably no single California produce item having more truck loads per week than table grapes, although this should be changing soon as volume is headed towards a season ending slide. Still, San Joaquin Valley shippers loaded about 975 truck loads last week. The first Chilean grapes to arrive at Philadelphia by boat are expected the week of December 18th.
In the Southern San Joaquin Valley in the Bakersfield area, there is pretty steady movement of carrots averaging around 375 truck loads weekly.
As the seasonal shift of vegetable shipments is nearly completed from the Salinas Valley, light volume of items ranging from broccoli to cauliflower has started from Central and Western Arizona. Heavier volume already is underway, particularly from the Yuma area with lettuce. The combination of head lettuce, as well as romaine and leaf lettuce totaled nearly 2500 truck loads last week and volume is still increasing.
Low Tomato Shipments
Thanks to Hurricane Irma last September, Florida tomato shipments this season are down 54 percent compared to the same time a year ago. Florida, as of December 9th has shipped 3.44 million cartons, down 54 percent from 7.4 million cartons in 2106. For example, Florida tomato shipments the week of December. 3-9 totaled 500,000 cartons, down over 65 percent compared with 1.492 million cartons the same week last year.
The USDA reports total supply of domestic and imported tomatoes the week of Dec. 3-9 was 1.9 million cartons, down 25 percent from 2.56 million cartons the same week a year ago.
Tomato prices at shipping point had hit $35 in mid-December resulting in high prices at retail stores and resulting in fewer sales as consumers balked at the high prices. The f.o.b. (shipping point) price for central and south Florida tomatoes on Dec. 12 was $37.95 per carton for some mature green tomatoes, four times higher than the $8.95 per carton the same time a year ago.
Cold weather in central and eastern parts of the country limited some Mexican tomato shipments coming through south Texas in early December. For imports coming in through Nogales, tomato shipments from Sinaloa, Mexico should experience significant volume increases in January.
Florida may not have normal tomato shipments until mid-January.
Here’s an international glimpse at fresh produce loading opportunities, starting with Canadian vegetables from Quebec, Northwest cherries, and the up coming Mexican tomato shipping season.
Quebec Vegetable Shipments
While HaulProduce.com has reported on Ontario vegetable shipments (see June 25th report), here we go with what’s coming soon out of Quebec.
While there are still a few onions from the past season still being shipped, the new crop of onions will be getting underway in mid July, with cantaloupes to soon follow the third week of July, along with carrots, lettuce and peppers.
Broccoli shipments recently started and will continue into early November.
While Quebec ships vegetables to the upper Midwest and some East Coast markets in the U.S., most of its apples never leave this Canadian province – shipping regionally, if not locally.
Quebec also has a couple of fresh cranberry shippers. They shipped over one million pounds last year, and expect to load even more this fall.
Northwest Cherry Shipments
Northwest cherries, led by Washington state are cranking up shipments. It is estimated the Northwest will load 22 million boxes, which could be the region’s second-largest crop behind 2012’s record shipments of 23 million boxes.
Mexican Tomato Shipments
Looking ahead to the 2014-15 season for Mexican tomato shipments, of which a good percent cross the border into the U.S., shows a slight decline projected by the USDA. Around 2.28 million tons of tomatoes will be shipped this coming season, down from 2.35 million ton from the season that recently ended. Acreage for Mexican fresh tomatoes is projected at 106,000 acres, off from the 111,000 in the 2013-14 season.
However, produce haulers will notice little difference in tomato loadings because Mexican yields are up due to expanded plantings in greenhouses, shade houses, tunnels and other forms of protected measures for growing. Many tomato growing operations are financed or owned by major tomato shippers in the U.S., especially growers from California.
Washington state fruit – grossing about $4200 to Chicago.