The Source - September 21, 2015

California - Gala supplies are light and most shippers are looking to clean up. Fujis are steady and continue to peak on 100/113s but the availability is limited. Granny-smith apples are peaking on 100/113s and the 125 and 138 availability is also good. The Granny market is being quoted steady but some shippers will flex on volume. Braeburns are steady and are heavier to 100/113/125s. The quality for all varieties has been good.
Washington - The C.A. Red Delicious are almost cleaned up. New-crop Red Delicious supplies are better but still limited and the sizing remains mostly large. Most packers are peaking on 72/80/88s. Golden delicious are steady and are peaking on premium grade 100/113/88s. New crop Granny smith are steady and they are peaking on 88/1000s. Most packers have very little if anything larger than an 88-size. Gala are small and still peaking on 100/113/125s. The Fujis are heavier to large fruit but supplies are still light. Honeycrisp are steady to lower and are big as they normally are with the main size being 64/72s. There are Honeycrisp deals on lower grade fruit. The quality for all varieties has been good.
Michigan - Macs are steady and they are peaking on larger fruit but they good numbers of smaller fruit. Galas are steady on all sizes due to light supplies and the demand has been strong. Gala supplies are still limited. Golden delicious are steady and the market is steady. Honeycrisp are steady and supplies are fairly limited. Jonathans, Cortlands, and Jonamacs are starting this week.
New York - Macs, Galas, Honeycrisp and Gingergolds are all being quoted steady to slightly lower. McIntosh volume is up and there some flex on certain sizes and grades. The Macs are peaking on 100s, the galas are heavier to 100/113s and the Gingergolds are peaking on 56-88s. The quality has been good on all varieties.

This market is softer. Expect pricing to stabilize by the middle of the week. Production from the Northern Baja region has finished. Southern Baja has begun. The best availability is with the standard size packs. Jumbo continue to be light in availability. Peruvian product is available in Miami if desired. The quality continues to be reported as good in all the growing regions.

Very light availability again this week for blackberries in all California growing regions. With the hot weather over today and this past weekend, production has slowed down and quality becomes more of a concern. The current crops have past peak for this season and the recent heat accelerated quality issues with soft fruit, red cell and juicing. Labor is also an issue as more pickers are focusing on culling fruit and controlling quality for the limited harvests. Projections show a shortage of blackberries all the way through September and into October until the Mexican blackberries come on with good volume and begin crossing the border into the United States.

Alerts:
Demand exceeds supply due to CA seasonal decline and current extreme temperatures reducing production volume.

Pacific Northwest (OR, WA, BC) blueberries are very limited again this week as most shippers have ended major commercial production in this region. Quality continues to suffer on the remaining PNW fruit with shriveled, aging, soft berries and some mold. Most of this fruit is being packed from storage. Southwest Michigan has slowed down in production due to some rain over several days in previous weeks, some recent reports of damage from the rain. These blueberries have some splitting, shrivel, soft and occasional mold as well. Pricing is continuing to climb upward as we get deeper into September. Availability of the large packs (pints, 18oz, bulk) is extremely limited with more 6oz and 4.4oz clamshells being packed due to limited raw product volume. There is some offshore fruit beginning to hit the US coasts with imports from Uruguay, Argentina and Peru. The volume of offshore fruit is very low to start but we expect it to steadily increase throughout October and into November. This new product is also demanding a premium price. Some light color being reported along with damage from rain in the early growing season. Shippers are anticipating weekly shortages all the way through September.

Alerts:
Raw product supply will continue to gap as we transition from domestic fruit in the Pacific Northwest to offshore fruit from Uruguay, Peru, Argentina, Mexico then Chile. Offshore arrivals have been very slow on the west coast. Disruptions in supply and production have resulted in shortages daily.

Availability has improved some over last week for most shippers but quality will continue to suffer after last weekend's extreme heat. Expect to see some soft, leaky fruit in the clams on arrival. Berries are very dark red color and overripe fruit will be in the clams as well. The heat from this weekend did limit harvest and increase amount of fruit being culled, some shippers quoting short for front half of this week while others have fruit available to sell.

Quality is still the biggest concern with fresh strawberries out of the Salinas/Watsonville growing region. After the extreme heat that was experienced last week and again this past weekend, quality continues to suffer. Fruit size is small (20-25 per 1 pound clam), berries are full-red color with bruising and some overripe, soft spots and bleeding. Some mildew also reported. Overnight temperatures are remaining too warm and the fruit continues to ripen too quickly, turning full-red color before reaching a mature size. The fruit will not last as long as you are used to. Order for quick turns and do not carryover. Maintaining the cold chain is of utmost importance when dealing with lower quality fruit. Fruit should be kept 32-34 degrees at all times. The Santa Maria fruit is coming on slowly but still limited volume out of this area. The fruit size is larger (14-22 per 1 pound clam), berries are firmer. While this area is an improvement over Salinas/Watsonville, the volume is not significant enough to replace the fruit out of the north. Some soft shoulders, overripe fruit and bruising is being reported out of the south as well. Varying markets based on quality and availability out of Salinas/Watsonville district. Santa Maria fall crop fruit is demanding a premium price. A very small amount of fruit is now being packed in Oxnard, a few pallets per day. Fruit is smaller to begin the season, similar to sizing out of Santa Maria but on the smaller end of the spectrum. Some mis-shapen berries but firmer.

This market is softer to start the week. Supplies continue to be light on crowns. There is escalated pricing on broccoli crowns as well as florets. The quality of this commodity continues to be average at best. There has been defects including brown and yellow beading, as well as a rubbery texture. Theses defects are a direct result of past warm temperatures. The main production continues to be out of the Salinas Valley. The Southern California region will have moderate to light production. Production out of Mexico as well as McAllen has picked up. Expect pricing to be active towards the end of the week.

This market is softer. Demand overall is off. Brown and black spotting and yellowing has been seen sporadically upon arrivals. The overall quality is better. Some suppliers have been offering aggressive pricing, so promoting this item is a good idea. Pricing is likely to go upward next week. Warm temperatures has kicked in again in all the growing regions. Temperatures are expected to be strong through the end of the week at a minimum.

This market is unchanged. The best availability in sizing continues to be twenty-four counts, but any size can be purchased. There are no shortages as of now. Shippers are looking for orders. Santa Maria's production is stronger compared to last week. Supplies out of the Michigan region are winding down, but there is availability. Production in Salinas is moderate. The quality continues to be reported as strong and this will continue throughout the week with most suppliers.

This market is steady with a few shippers flexing on large volume type orders. The Baja region of Mexico as well as Southern California has increased production. Warm temperatures in the growing regions is speeding up the growth of this commodity. Expect good supplies throughout the week. Production in Salinas has picked up as well.

The lemon market is demand exceeds supply as the effects of the drought continue to be felt. Excess supplies of smaller undersized fruit are affecting the total pack out of usable fruit for the fresh market. Any relief from the new crop Mexican harvest has been delayed by the recent rains in their growing region. We expect the current shortage to last through the month of September; when we should see some new crop fruit from the desert.

The lime market is steady now across the board. The old crop is finishing up and the new crop volume is picking up nicely but not enough to fill in the lack of volume due to the old crop finishing. The overall quality is good on the new crop that is being harvested which is currently the small sized limes. The old crop limes are average to below average in quality and they are tired now. Stylar breakdown is the main defect some lots of old crop and yellowing also may be found. We continue to have good demand on limes. The old crop looks to be finished by mid October.

The Valencia orange supply is winding down rapidly. The lack of quality and size as a result of the current drought has led us into an extreme demand exceeds supply situation. While most shippers are trying to stretch their supplies out as far as possible; the consensus is there will be no relief for the orange market until the Navel deal starts. This means another 6-8 weeks of demand exceeds supply markets is likely.

The green seedless grape market is currently split based upon size and quality. The smaller Thompsons and Princess varieties are being sold at a discount to the much larger Autumn Kings. Some amber has been reported in some lots of the Thompson and Princess grapes. Consequently, the Autumn Kings have been able to command a premium several dollars higher. Demand is good and appears to be improving as supplies are beginning to tighten up on the better quality fruit.

The market on red seedless grapes is steady. Demand is good with good supplies on all sizes. The better quality is still on the larger Vintage Red and Scarlet Royals; but quality overall is reported as generally good. This market should remain about steady throughout the month of September.

This market is active. Most suppliers are up in pricing. Expect some suppliers to be sold out by the end of the week as production is expected to be stronger on the front end of this week. Production in Mexico continues to be the main territory this commodity is being grown. Supplies out of this region will be light all week. Salinas' production will be very limited. The main sizing is predominantly small and medium packs.

This market is steady with most shippers. The availability is expected to be good throughout the week. Pricing continues to be competitive. The Baja region as well as California continue to be the two main growing regions at this time. The overall quality is good with most suppliers.

This market is firm. Demand exceeds supplies. Escalated pricing is in affect on carton business as well as value added items. Defects continue with this commodity. These defects include small and irregular head size, large seeder, puffiness, insect damage and internal burn. The defects are directly related to past high temperatures as well as current high temperatures. All shippers are having these issues. Yields continue to suffer. Labor has been minimized as well. The weights on palletized are averaging 38-42 pounds. Salinas and Santa Maria continue to be the two main growing areas at this time.

Leaf items are steady to begin the week. Extreme high temperatures has hit Northern and Southern California these past four days and issues are going to continue. These issues will include fringe burn, small and irregular sizing, insects, dehydration, seeder and internal burn on romaine. Most shippers are claiming this up front. Yields continue to suffer. The weights on romaine cartons are averaging 27-33 pounds. Chopped romaine as well as romaine hearts continue to show pinking upon arrival. Green and red leaf markets are steady. Fringe burn, mildew damage, internal burn and insect pressure continue to be defects associated with these commodities.

The West Side is producing less volumes of all sizes. The peak size at the moment is 15ct and 9ct and 12ct have become scarce again. The West Side has good quality but green cast is prevalent and some melons are cutting with more green in them than normal, this will continue until the West Side is finished in October. The current market on all sizes is moving upwards especially on 9ct and 12ct. We are experiencing good demand for cantaloupes at this time. The desert region is looking to begin harvesting the first week or two of October.

Alerts:
Cantaloupes during this time of year have a green cast to them and many of them will cut greener than before. Brix levels are from 10 to 13 which is lower than previous times.

Transitions:
The desert growing regions will be starting within the first week or two of October. Start dates are not determined yet.

Peak Seasons:
Cantaloupes have past their peak harvest for the West Side season.

The peak size is currently 6ct. The quality and sugar contents continue to be good and this looks to continue. Our honeydew market is moving up gradually on all sizes now. Honeydews are also past their peak production now and the desert will begin towards the end of October. We continue to experience good demand across the board.

Transitions:
The desert growing region will start towards the end of October.

Peak Seasons:
Honeydews are past their peak harvest.

Idaho was hit with some moderate to light rain late last week which interrupted supplies the start of this week. The forecast is calling for clears skies all week. All growers are getting back into their fields but harvest has been slow. Demand is good on all colors and sizes which has the market firming slightly on Jumbo's and larger on both Yellow and Reds. Medium yellow and reds are plentiful with a weak but steady market. Quality is being reported as good. Most growers still have a couple of weeks before they get their crop into storage for the season.
Washington onion market is steady on Jumbo Yellow and Reds as they are still in the middle of harvest. Sizing is peaking on Medium yellows and reds. Quality is being reported as good.

California - Most shippers are still trying to clean up their remaining Bartletts. Crimson pears are steady to lower and are peaking on 45-55 count half cartons. Bosc pears are steady to lower and they are peaking on smaller fruit. Most shippers will flex on volume Bosc orders. The quality for the red pears and Bosc has been good. The Bartlett quality is just fair.
Washington - Bartlett pears are peaking on 110/120s and the market is steady but most suppliers will flex for volume of 110s and smaller. The demand has been steady. Washington Bosc are steady and they are peaking on 90/100s. D'anjou pears are steady and are peaking on 100s. Red pears are steady on all sizes and are peaking on half carton 45/50s and 90/100 full cartons. The quality has been good on all Washington pear varieties.

All Potato growing areas are in the middle of harvest. Idaho crop currently is peaking on 60 count and larger with lighter supplies of 80 count and smaller. Market continues to weaken on the large cartons but should steady out shortly as they can't get much lower. Growers are starting to focus on filling their storages due to the weak fresh markets. I do not see the markets changing till all the potatoes are in in storage which will be sometime the middle of October. Quality is good out of all growing areas. Washington, Colorado and Wisconsin are peaking on 80 count currently with a good mix of both smaller and larger sizes. Markets out of these area are slightly weaker on the larger cartons and steady on the smaller cartons.

Stockton, California - All colors are steady and continue to peak on A-size. The availability of premium and baker reds and golds is still good on pallet quantities. The quality has been good on all colors.
Western Washington - Reds, golds, and whites are all steady and the availability is good. All colors are peaking on A-size. The quality has been good for all colors.
Western/Central Idaho - Reds and golds are steady and both colors are heavy to A-size. Gold supplies are relatively light but getting better.
Wisconsin - Reds and gold supplies are back to normal and the market is slightly lower for A and B reds and golds. Premium and baker reds, premium and baker golds, and gold Cs remain very short. Both colors are peaking on A-size and the quality is good.
Minnesota - Red and golds are steady but supplies remain light since they will finished packing this week. The quality on both colors has been good.
North Dakota - Both reds and golds are steady and they are both peaking on As. The availability for both colors is better. The quality has been good on both colors.

Nectarines are done. Peaches are finishing and very limited in supply. Plum supplies are tightening up (especially on the red's) as these also wind down. Quality is still generally very good with few issues reported on any of the remaining stone fruit. Demand is generally good and the market is about steady on all with a few select sizes showing higher due to lighter supplies.

Rounds - The market is steady. Local growers are starting to slow down and providing less volume. Northern Florida and Southern Georgia are expected to come on in a couple weeks with possibly a slight delay in the Northern Florida region. Quality is good.
Roma - The market is steady. Programs in Virginia/Tennessee and Michigan are continuing to slow down and providing less volume. Mexico continues to pick up the slack with increased volumes. Quality is good.
Cherry/Grape - Cherry market is strong. There is still some product available on the eastern shores but quality is very suspect. Pricing will remain elevated for at least another couple weeks. Grape market remains strong with Virginia/Maryland producing decent volume. There are some deals out there just be careful regarding quality. Quality is fair.

Rounds - The market is steady. Central California still coming in with low volume but Mexico is covering with good volume. Vine Ripe tomatoes from Mexico are still coming in with good volume. The market should remain steady toward the end of this week. Quality is good.
Romas - The market remains steady. Good volume in California and Mexico. With the east coast having volume shorts some of the west coast volume is heading east. This is keeping the price steady on the west. The steady price should remain for the rest of this week. Quality is good.
Cherry/Grapes - Cherry market is strong. Some quality issues in the east so this will keep the market strong and prices elevated. Quality is fair. Grape market remains steady. With good volume coming out of Mexico and California we may see a slight drop in pricing this week. Quality is good.