The Source
AUAI
THINGS YOU
SHOULD
KNOW:
COMMODITY
ALERT:
Strawberry demand
exceeds supply
Special packs are
not available.
Quality is fair at
best.
November 5, 2014
© 2014 PRO*ACT, LLC
Weather Tim Lynch
Temperatures warm across California today as a strong high pressure ridge
returns with record highs (upper 80s) possible by mid-week. High pressure
remains in charge with temperatures 10-20 degrees above seasonal norms
this week in California. Temperatures in the upcoming desert regions will
warm to the mid to upper 80s into the weekend with gusty winds (25-35mph)
as high pressure brings warmer temperatures into the weekend.
Apples and Pearsthe eastern supplies
are short and
Washington is in
large fruit so stay
ahead on the smaller
sizes
Freight: Mike McIntire
Trucks in California remain steady while trucks in
Arizona are tighter than normal. Washington and
Idaho trucks remain tight which is normal for this time
of year. Please continue to get your orders in as
early as possible. The national average on diesel
fuel dropped slightly again this week and is now
3.623 per gallon. CA price is currently 3.861 per
gallon. Crude oil dropped slightly and is currently at
77.60 per barrel.
P RO * AC T T h e S our ce
Commodity Updates
APPLES/PEARS John Tole
New York continues to pack McIntosh, Gala’s,
Macoun’s, Cortland’s, Honeycrisp, Empires,
Red Romes, Red Delicious, Golden Delicious
and Stamens. The New York markets are all
steady and all varieties are peaking on 100’s
and larger. New York is short on 100’s and
smaller now. Michigan is packing Cortland’s,
Empires, Fuji’s, and Gala’s, Golden Delicious,
Honeycrisp, Jonagolds, Jonamacs, Jonathans,
McIntosh, Reds, and Romes. The size of the
Michigan fruit is larger than normal but they
continue to have better availability of 125/138’s
in the extra-fancy grade. Washington Red
Delicious is still peaking on 80’s and larger in
the WX#1 and premium grades. 113 and
smaller Reds remain limited. The Red market
for 113’s and smaller is steady to higher and
the larger sizes are fairly steady. Golden
Delicious is steady to slightly lower and the fruit
remains evenly sized.
Granny-Smiths are
steady on all sizes and continue to peak on
premium 80/88’s. The volume deals on Granny
88’s and larger are going away. Washington
Gala’s are steady and are peaking on 88/100’s
now. Gala availability is down as the harvest is
almost finished. The Fuji market is steady on
100’s and smaller while 88’s and larger are
steady to lower. Braeburns, Jonagolds,
Sweeties, Jazz, Red Romes, Cameo’s,
Honeycrisp, and Pink Lady’s are all available in
Washington. Most of the Washington varietals
are large. The harvest is almost complete so
expect all variety’s to firm up. Washington
Bartlett pears are steady and are peaking on
US#1 100/110’s and larger. Smaller Bartlett’s
are limited. Washington D‘Anjou pears are
also steady and remain heavier to 110’s and
larger. Washington Bosc is steady and has
more of the smaller sizes than the Bart’s or
D’Anjou’s. Washington red pears are mostly
steady on all sizes.
ASPARAGUS Gabe Romero/Mike Pacheco
This market is active. Production from Mexico
continues to be heavier to small, standard and
large sizing. Extra large and jumbo are
commanding a higher price. Production in
Peru is moderate as well. Better FOB pricing
exist if loading out of Florida product from Peru.
Jumbos and extra large also are commanding
a higher price out of this region.
P RO * AC T T h e S our ce
Commodities at a glance…
Commodity
Quality
Market
Apples
Asparagus
Avocado (Mexican)
Avocado (California)
Bell Peppers (Western)
Bell Pepper (Eastern)
Berries: Strawberries
Berries: Raspberries
Berries: Blackberries
Berries: Blueberries
Broccoli
Carrots
Cauliflower
Celery
Citrus: Lemons
Citrus: Oranges
Cucumbers (Western)
Cucumbers (Eastern)
Good
Good
Good
Done
Good
Good
Fair
Fair
Fair
Fair
Good
Good
Fair
Good
Good
Good
Good
Good
Steady
Higher
Steady
Done
Higher
Steady
Higher
Steady
Steady
Steady
Higher
Higher
Higher
Higher
Lower
Lower
Steady
Higher
Eggplant (Western)
Good
Higher
Eggplant (Eastern)
Good
Higher
Grapes, Green
Grapes, Red
Green Onions
Lettuce: Leaf
Lettuce: Iceberg
Good
Good
Good
Fair
Fair
Steady
Higher
Steady
Higher
Higher
Melons: Cantaloupe
Fair
Lower
Melons: Honeydew
Onions
Pears
Potatoes
Squash (Western)
Squash (Eastern)
Stone Fruit
Tomatoes (Western)
Tomatoes (Eastern)
Watermelon
Fair
Good
Good
Good
Good
Good
Excellent
Fair
Fair
Good
Steady
Steady
Steady
Higher
Higher
Steady
Higher
Steady
Steady
Steady
Commodity Updates
Z
AVOCADO Tim Kelley
Mexico’s is going well with volume stabilizing as
we get into a normal flow of fruit. Supplies are
very good on 60’s and 70’s, but limited on the
48’s and larger. Looks like 2 to 3 weeks before
we see better supplies on 48’s. This early
season fruit will have a tendency to remain
green when ripe and ready to eat, and also have
a thicker skin making it difficult to detect the
degree of ripeness.
BELL PEPPERS
Western Bells: Mike Cantu
Supplies are steady but will start lightening up in
the next couple of weeks. California green and
colored bells are currently transitioning to
southern California. Current supplies are
meeting demand but we anticipate with
transitions, gaps in supplies to take place. Texas
currently has good supplies in mostly hothouse
colored bells with some open field bells
available. We have some colored hot house
bells in Nogales. We are currently in an active
market now as we project the lack of production
from Baja California due to hurricane Odile to
press markets up. Nogales will have its
traditional start in bell pepper production by late
November/ December there are however; some
availability on green bells in Nogales from early
starting fields and product brought in from other
districts. Market will be higher because of
concern over hurricane Vance’s possible impact.
Gold bells market is steady as transitions have
taken place. Some greenhouse gold bell
peppers are crossing through South Texas and
Nogales.
Eastern Bells: Janine Baird
Florida and Georgia are both working pepper
with decent volume. Market should remain at
the lower levels for the remainder of the week.
BERRIES Tom Smith
Strawberries: We will be in a demand exceeds
supply situation on strawberries this week and
possibly into the next several weeks with varying
levels of severity. As forecasted, the northern
growing districts of CA received rain this past
weekend, exceeding 2” in some areas. The
southern districts actually received more than
forecasted with 1.25” in Santa Maria and up to
0.50” in Oxnard. With all areas receiving rain,
production has been severely disrupted to start
P RO * AC T T h e S our ce
continued
this week. Most shippers have not harvested
since Friday AM and may not be into their fields
again until Wednesday of this week. The majority
of growers in the northern districts will be done
for the season and will focus on the next planting
rather than returning to these fields to salvage.
This will likely put some Santa Maria fields out of
play for the season as well as that crop was also
coming to its end. What’s remaining in Santa
Maria and Oxnard cannot sustain the volume to
catch us up with the decline in the northern
district. We will have very light availability this
week. Expect fill-rates, moved and cancelled
orders. We will focus on covering all contracts
first, then regular business. Quality of any berries
being harvested this week will be fair at best.
OUTLOOK: We have some mainland Mexican
product crossing over in a very light way, loading
in McAllen TX. This will help some but cannot
compensate for the loss in CA. Florida crop is
still about one month out.
Raspberries: California crop volumes continue
to decline as the season ends and quality is fair.
Mexican crop volumes have increased beyond
projections and fruit is available with good quality.
Blackberries: California crop volumes continue
to decline as the season ends and quality is fair.
Mexican crop volume has increased and quality
has improved some. Volumes should continually
increase from Mexico over the next several
weeks.
Blueberries: Domestic crop is done for the
season. Offshore product is available from
Central America and Central Mexico. Availability
will be volatile depending on where you choose to
load as product is being transferred daily to meet
order requirements.
Good quality is being
reported with the offshore berries.
BROCCOLI Gabe Romero/Mike Pacheco
The market continues to gain strength on
bunched product as well as crowns with most
suppliers. Broccoli crowns will be light in
availability for the week. Pricing will be active.
Salinas and Santa Maria are the main growing
regions for this commodity. Once again,
production on this commodity starts late
November to early December in Yuma. Mexico
has moderate production available if needed.
Commodity Updates
Z
CARROTS Tim Kelley
Bakersfield crop is dropping in volume on Jumbo
size carrots and with good demand we are see
markets firm up. Quality of carrots is still very
good
CAULIFLOWER Gabe Romero/Mike Pacheco
This market is stronger with all suppliers. Most
shippers are calling for supplies to get tighter in
availability each day of production. The market
will be active thru the month of November.
Salinas and Santa Maria are the main regions
currently producing this commodity. The quality
continues to be up and down with issues of brown
spotting and discoloration. Production in Yuma
will not start until the end of November to Early
December.
CELERY Gabe Romero/Mike Pacheco
This market is stronger with all suppliers.
Thanksgiving ads are kicking in with all shippers.
Expect this commodity to be active now thru the
Thanksgiving pull. Currently, production is out of
Salinas and Santa Maria. Oxnard has also begun
production. Small sizing continues to command a
higher price with most shippers. The quality
continues to be good out of Salinas and Santa
Maria.
CITRUS Tim Kelley
Lemons: The market is easing as we see
increasing supplies out of the desert regions. We
are seeing better quality and peak sizing on
140’s/115’s and 165’s.
Oranges: Navel production continues to ramp up
and most all packing houses are packing. Internal
maturity on the Navels is ahead of normal. Size is
currently peaking 88’s/113’s/72’s/138’s/56’s.
Limes: We are into the latter part of the current
growing region and are slowly transitioning into
the next area. The market is holding steady on
all sizes. Demand is currently holding steady.
The overall quality continues to be acceptable
with some yellowing and minor defects showing.
CUCUMBERS
Western Cucumber: Mike Cantu
Market is settling slightly.
Production from
Sonora is picking up pace but we’re experiencing
some lots with quality issues. Supplies should be
adequate from here on out barring any weather
P RO * AC T T h e S our ce
continued
issues. Sonoran supplies are making up for the
affected Baja production due to the past storm
damage.
Eastern Cucumbers: Janine Baird
Frost and cold temperatures throughout South
Georgia have put an end to cucumber production
in that area. Central Florida does not have
sufficient acreage planted in the fall to support
the increased demand this will create. However
Nogales has decent supply. Market will be up
slightly.
EGGPLANT
Western Eggplant: Mike Cantu
California eggplant is active. Eggplant has started
out of Coachella growing areas. Demand is still
somewhat outpacing supplies. First few lots of
Mexican eggplant crossing today and expect
volume to increase in the next couple of weeks.
Current market uptick is due to concern of
hurricane Vance’s possible impact on Sinaloa
growing areas.
Eastern Eggplant: Janine Baird
The eggplant market is up slightly and should
continue that trend this week.
GRAPES: Brad Tremblay
The markets have firmed up across the board
due to improved demand, uncertainty in quality
after the recent rains and the approach of the end
of season harvest. Growers are still assessing
their fields for any long term damage caused by
the rains. The medium large red market is strong
at $16.95 with larger fruit pushing up into the
$20.95 to $22.95 range. Many shippers are now
shipping in styro cartons only on the extra large
fruit. Autumn Kings, the primary green variety, is
now ranging from $20.95 to as high as $24.95 on
the extra large fruit. Some early Peruvian grapes
are being reported on the east coast markets but
volume on these will hit around the end of
November. Chilean grapes are expected to start
around the middle of December.
GREEN ONIONS Gabe Romero/Mike Pacheco
This market is steady and this pattern will likely
continue throughout the week. Demand has
fallen off, so availability is expected to be good
throughout the week. The best availability
continues to be in small sizing.
Commodity Updates
LEAF Gabe Romero/Mike Pacheco
The romaine market is strong. Escalated pricing
is in effect. Demand exceeds supply. The issue
of fringe burn, seeder, tip burn and decay on
romaine continues to be reported defects from
all suppliers. These defects are industry wide.
The weights on romaine have been averaging
26-32 pounds. Green and red leaf is stronger as
well. Colossal romaine hearts are almost nonexistent. Regular romaine hearts are also light in
availability. High temperatures in the growing
regions in past weeks have not allowed hearts to
cup properly. The quality is average at best with
all suppliers.
LETTUCE Gabe Romero/Mike Pacheco
This market is on fire. Escalated pricing is in
effect. Demand exceeds supply. Huron lettuce
like in Salinas is light in availability. Yuma has
begun production with a few suppliers. More will
be coming on next week. Demand is expected to
be strong throughout the week with all shippers.
Weights are fluctuating between 37-42 pounds
in all the growing regions. There continues to be
issues on this commodity. Pinking, seeder, rib
discoloration, bottom rot and russet spotting are
the main defects being reported out of Salinas
and Santa Maria. Expect this commodity to be
light in availability throughout the week. Yuma is
also having issues of seeder and light weights to
begin the season.
MELONS: Jim Murphy
Cantaloupe: The overall current supply of
melons has increased.
The desert has
increased in volume but continues to peak on
large fruit such as 9’s and 6’s. Lope 12’s, 15’s
and 18’s continue to slowly increase in supply.
The market is slowly adjusting down from its
recent high levels. Demand has slowed down
due to the recent high prices. The Westside
district is done. Quality is fair to good on the
new crop from the desert.
Honeydew: The Westside district has finished.
Mexico and the desert have adequate supplies
and are still heavy towards 4’s, 5’s and 6’s. The
market is steady on all sizes. Quality is fair to
good.
ONIONS Mike Gorczyca
Market is steady on all sizes and colors. Quality
is being reported as good. Onions are coming
out of Idaho, Washington and Colorado. Trucks
P RO * AC T T h e S our ce
Continued
are the biggest issue in the onion world. I would
recommend staying ahead on onions due to the
truck situation.
POTATOES Mike Gorczyca
Idaho – Most shippers are in storages that are
peaking on 80ct and smaller currently. We are in
a demand exceeds supply situation on 40ct
through 60ct. Most shippers are sold out 3 to 4
day in advance on their large cartons. As you get
into 80ct and smaller supplies get better. Look
for this to continue for the next couple of week.
Quality is being reported as good. Retail ads for
bales for Thanksgiving start this week which
hopefully will help produce more cartons.
Washington/Colorado – Most shippers are
peaking on 70ct potatoes and have a good mix
of cartons available. Quality is good with a
steady market.
Wisconsin – Demand has increased due to
supplies being light in Idaho. This has caused
the market to increase slightly. Sizing is peaking
on 70ct. Quality is being reported as good.
Bakersfield,
California
is
still
shipping
Washington red, white, and gold potatoes. The
market is steady for all sizes and colors but
Premiums and Bakers are limited for all colors.
Western Washington is steady on all colors and
they are peaking on A-size reds while the whites
and gold’s are peaking on B’s. North Dakota
reds and gold’s are also steady. The N.D. reds
are heavy to A-size while the gold’s are
producing more B-size. North Dakota B reds are
fairly short. The Idaho red market is steady on
all sizes but they are still short on Red B’s.
Idaho gold’s are steady and are still peaking on
A-size. Wisconsin reds and gold’s is both
steady. The Wisconsin reds are heavy to A-size
while the Gold’s are split between A’s and B‘s.
SQUASH
Western Squash: Mike Cantu
California squash is currently shipping out of
Santa Maria and Fresno. Supplies are slightly
off from Sonora and higher demand is pressing
market upwards. Lighter supplies as some
Sonoran growers taper off in production.
Eastern Squash: Janine Baird
Squash market will firm up a bit as Georgia’s
prolonged cool temperatures and frost has
halted the production in that region, bringing an
end to the Georgia Fall squash season. There
will be cheaper prices out of Georgia as shippers
Commodity Updates
try to clear out their coolers. Florida is working
squash from Plant City area all the way down to
Homestead.
STONE FRUIT Brad Tremblay
The last of the red and black plums are coming
in now. Late season red plums are in with limited
supplies at $26.85 to $34.85 depending upon
size. The availability on black plums is even
more limited but pricing is a firm $26.85 on all
sizes. Chilean cherries are now arriving by air in
limited quantities. The market on an 11lb cherry
ranges from $52.00 to $68.00 depending upon
size. All are quoted fob LAX in limited quantities.
The ETA on peaches and nectarines out of Chile
is mid to late December.
TOMATOES Aaron Aliotti
Western/Mexico:
California
experienced
significant rain over the weekend ending the
season with heavily watered crops. Though
California packers will close their doors in the
next week or so, Mexican product will start to
increase daily in terms of fresh crossings. Round
tomatoes are expected to increase in volume
with seasonal decline occurring in December.
Roma tomatoes are being harvested in light
volumes consisting of smaller sizing due to prior
weather, with volumes increasing next week.
Grape and Cherry tomatoes are steady with
increasing volumes. Cherry and grape tomatoes
out of the west have followed a similar pattern
as the Romas over past ten days. While
domestic shippers wind down, the Mexican
importers have increased volume, easing the
market demand that has been so high in recent
weeks.
Eastern/Tomatoes: Florida tomatoes out of
Immokalee continue to build steam this week.
Cool temperatures over the weekend caused
some cracking in some areas and have put a
damper on production; however next week
should be more productive. Florida shippers
continue to search for more volume in their
fields, as inclement weather conditions during
growing has greatly affected the yields. The
northern Florida operations seem to have
already wrapped up their fall deals for the
season. Central Florida in the Palmetto-Ruskin
area has begun to harvest their first tomatoes
last week. This new crop has filled buyers with a
sense of enthusiasm toward the market supply,
P RO * AC T T h e S our ce
Continued
though price will not reflect this alleged increase
in fruit as it currently experiences virtually all
demand across the country. Roma volumes are
increasing bringing some relief by next week.
More cherry and grape shippers are finding their
footing in new Floridian fields after being on
hiatus on the eastern seaboard for the summer.
This added volume will help both the grape and
cherry markets in the coming weeks.
VALUE ADDED Gabe Romero/Mike Pacheco
Fringe and tip burn as well as seeder on
romaine continue to be issues that growers are
dealing with. This will continue for the next few
weeks, minimum. All growers are reporting
these defects. The warm temperatures in the
growing regions continue to cause problems in
quality. Lettuce supplies are extremely light in
availability. All romaine and lettuce items are on
escalated pricing this week. The quality
problems of seeder, pinking and russet spotting
will continue. This is industry wide. Broccoli
supplies have tightened up. Cauliflower
production has dipped dramatically and supplies
will be light all week.
WATERMELON Mike Cantu
Current crops are mostly packed in bins and
cartons packed by request. Increasing volumes
through Nogales and Market is holding steady
albeit at high FOBs. Current production is in
South Texas and some in Sonora. We ought to
see watermelon crossings in Nogales to
increase in the next couple of weeks. We still
have a demand exceeds market due to lower
than expected yields from Mexican production.