Jan 13 12 potatoes onions

DLJ Marketing Report
Week of September January 13, 2011
A Solid Partnership Makes A World of Difference
13260 Daum Drive
City of Industry, CA 91746
626-330-6849
ONIONS AND POTATOES
Potatoes
White Rose ---the local product is very rough due to the passing
weather system we had last weekend and yet another storm on the
way. Washington is experiencing weather this week which is to last
through next Wednesday. Quality has been fair at best and supplies
should become much tighter as we approach the holidays. King Pak
will start Bakersfield White Rose on Dec 12th.
Red potatoes---basically the same scenario on the local grown reds
and whites. Washington has excellent quality red potatoes, with
reasonable pricing and quality—this is the item to promote.
Yukon Gold---Washington is where most of the product is coming
from with fair quality at best. Idaho has a numbered variety called
Gold Dust that mimics Yukon Gold but is not true seed, this is a less
costly potato.
Russets---with Thanksgiving right around the corner ,demand moves
to the poly bags. Washington still has has a large size Norkotah
potato which will require the bottom carton sizes (120 ct, 100 ct, 90
ct ) to make consumer bags. The larger size cartons (35 ct, 40 ct, 50
ct) . Idaho is not as bad off on size profile due to running Russet
Burbank variety but consumers are in demand. Colorado has the
same predicament as Washington, putting pressure on Idaho.
Onions
White onions---heavy demand to export to Mexico has driven the
market higher. Nevada has the largest supply of white onions right
now in the US but higher pricing was implemented to slow down
sales. Mexico is expected to be late this season due to weather.
Brown onions---I feel the market is waiting to see the stocks on hand
report to determine the fate of storage onions for the rest of the
season.
Red onions---excellent yields have kept this market suppressed from
the start and as long as quality does not become an issue the
market may not move.
Transportation as always holds the key to much of the pricing. Inbound California trucks are very short with rates moving upwards as
demand exceeds supply.