The Source - April 12, 2017

Washington - reds are steady on most sizes and they continue to peak on larger fruit. Large reds are more prevalent than smaller reds. Golden delicious are steady to higher and strong due to increased demand and light supplies. The fruit is still peaking on 72/80/88s so supplies of smaller fruit are short. Granny-smith are steady to higher on all sizes and the demand had been increasing. The fruit is still peaking on 72/80/88's so small fruit is extremely tight. Most shippers are still subbing up in size and grade on anything smaller than an 80. The Gala market is steady on all sizes. Galas are still peaking on 80/88/100/72s and they have better volume in the larger sizes. Fuji's are steady to higher on all sizes and are still peaking on 72/80/88s. Fuji supplies are starting to get lighter so expect the market to remain strong. Honeycrisp are steady to higher and they continue to peak on 80/88/100s. Expect the Honeycrisp market to continue to slowly climb until the season ends in May. The quality has been good.
Michigan--McIntosh and Empires remain strong but steady due to light supplies. Golden delicious are steady to higher due to increased demand from other areas and light supplies. Galas, Jonathans, Jonagolds, and Fujis are all fairly steady but supplies for all of them are fairly light. Some suppliers have finished with Fujis. Red Delicious are steady on all sizes but the demand has increased from other areas. The Galas and Jonathans are still peaking on smaller fruit while the Golden delicious, Red delicious, and McIntosh are heavier to the medium sizes. The quality has been good.
New York---the Empire and McIntosh markets are high and strong due to light supplies. Red delicious, Galas, Fujis, and Red Romes are also steady to higher due to light supplies. All varieties are currently producing mostly large fruit! The quality has been good.

Alerts:
Michigan will finish packing golden delicious, Galas, Empires, Red Romes, and Jonathans around May 1.

Peak Seasons:
Michigan is till in the peak of its red delicious season.

Washington is still in the peak of its red delicious, golden delicious, Granny-smith, Fuji, and Gala seasons.

As the winter season in Caborca, Mexico winds down, the weather has remained warm. Most shippers will be wrapping their season in the next week. Baja Mexico has started slowly and should be in for for another 4-6 weeks. Market has stabilized and should remain the same with the Easter pull ending. California will see rain this weekend, but should not slow down production. Market is up with Caborca almost finished, and better quality on the California product. Peru has started slowly, but with most shippers closing down for the Easter holiday volume will not increase until next week.

California expecting to harvest around 7 to 8 million pounds this week. We expect to see 7 to 9 million pounds per week though May. Current harvest is still peaking on smaller sizes 60s/70s, but expect to see some size growth as weather warms up and start improving the availability of 48s/40s.

Mexico's shipments last week were in the 37 million pounds, however this week begins the Easter Holy week in Mexico and harvest crews will taking off work not expected to start harvest again until the beginning of next week. This week shipment are expected to be half of what we got last week, and shortages and higher markets are expected next week. Field pricing from Mexico is pushing up. Long-term projections still indicate that volume will continue to decline in the coming weeks.

Alerts:
This is Easter Holy week in Mexico and harvest crews will taking off work not expected to start harvest again until the beginning of next week. This week shipments are expected to be half of what we got last week, and shortages and higher markets are expected next week.

Green bell Pepper has improved in supply especially on off grade large sizes. prices have dropped and will continue for the near future. larger sizes on number one grade peaking.

Colored Bells ( Red, Yellow and Orange) has had an increase in supply, both blocky and elongated varieties. Good quality and condition will continue, supply will remain better for the near future. market and demand are much easier. Packing 25# 15# and 11# units. Both number one and number two grade.

Blackberry supplies have taken a turn for the worse over the last several days. An unexpected downturn in availability has been brought on by recent weather in the Mexican growing regions. Cold weather and hail have decreased production by as much as 35%. This is an industry wide problem. Santa Maria and Oxnard production has been minimal, leaving Mexico as the primary source. Because of the recent decrease in production, supplies have become extremely limited. Salinas/Watsonville areas are still a month away before producing any real volume. We expect supplies to remain limited for the remainder of the month, advanced orders are recommended.

Alerts:
Supplies are extremely limited due to recent weather in Mexico.

Transitions:
Salinas/Watsonville are expected to start in 3-5 weeks.

Blueberry supplies continue to gradually improve. Mexico has been consistent in production and is expected to remain steady for the next 2-3 weeks. Central California will start with very light numbers this week and slowly increase as more growers start their programs later in the month. Florida supplies are improving this week with good quality fruit readily available. Georgia had a rough start but harvest is improving. Quality overall has been solid in all areas, but we are getting some reports of Mexican fruit becoming weaker. Once California starts in full production we should see much better availability and quality. Market prices have remained steady, but as more fruit becomes available in CA, FL and GA, we will see some decline.

Transitions:
Central Valley, CA has started with very light numbers this week but will improve over the next 2-3 weeks. Georgia production is improving.

Raspberry supplies continue to be limited, but we have seen some improvements in order fulfillment. Mexico/Baja remain the primary suppliers at this point. Oxnard and Santa Maria have yet to produce any significant volume. However, with the weather forecasted for the next 7-10 days, we hope to see production increase. Salinas/Watsonville are expected to start by the end of the month. Demand is still very strong. We expect supplies to remain limited until we transition to Salinas/Watsonville.

Transitions:
Salinas/Watsonville is expected to start harvest by the end of the month.

Looks like we finally turned the page on strawberry supplies, for the next week anyway! Weather forecasts are calling for cool dry days for the next several days in Santa Maria and Oxnard. Salinas/Watsonville has a chance of light shows on Sunday, but as of now, nothing that will have a big impact on production. Shippers are anticipating good volume of high quality strawberries over the next 7-10 days in all areas. With the Easter pull coming to an end, we will start to see aggressive prices being offered to move volume. As we look 2-3 weeks down the road, however, we will see markets firm up again for Mother's Day. If the weather cooperates, we should have good supplies for the holiday. Lid prices will come out next week.

Transitions:
Salinas/Watsonville production is increasing over the next 2-3 weeks.

The broccoli market continue to keep an extremely high level. The supplies from all shippers are extremely limited especially with bunched broccoli. Processors are having an extremely difficult time getting yields from the raw product. They are also having difficulty with supply gaps on their acreage. This is turn will keep this market and supply trend well into the next couple of weeks. Quality although has been good despite supply and market factors. Mexico is experiencing the same supply factors only their cause is 90 plus degree temperatures in the growing regions.

Alerts:
We continue to see extremely short supplies and volatile markets due to supply shortages caused by previous weather in the growing regions.

The brussel sprout market has firmed up and looks to trend higher. As the supplies from Mexico will decrease significantly due to the Easter holiday and coupled by heat in the growing region. Harvesting crews will be limited to keep supplies at a steady pace. Also the heat has really taken its toll on the quality. We are seeing decay, holes in the sprouts, to yellow to brown discoloration. This quality trend will last well into next week. The markets will also react as well.

Alerts:
We will see a significant decrease in supplies due to the excessive heat in the Mexican growing region as well as lack of labor to harvest due to the Easter holiday.

Carrot supplies of jumbo, cello and value added product are very good and look continue to be so for a while.

The cauliflower market remains active with continued limited supplies. We will see this trend for the next several of weeks. Quality has been fair at best with cream to yellow in color due to previous rains. Processors are struggling as well with their acreage and the yields are drastically below normal. The markets will remain active well into next week.

Alerts:
The cauliflower market is extremely active with extremely limited supplies due to a sever supply gap.

The celery market has become stronger with some shippers while others have remained steady. The Southern California region, specifically Oxnard and Santa Maria has been pressed to pick up production due to the desert finishing up. Salinas will begin to harvest in the month of June. There have been some light issues of bowing, pith and insects, but overall the quality has been reported to be good with most shippers. Most seizing is available with eighteen counts being the lightest in availability. Supplies should be better next week as the holiday pull will be over.

Transitions:
Yuma production is finished. Southern California is the region centered on this commodity.

Pablano - Excellent size and Quality will continue with improved supply.

Tomatillo-Much lighter supply and just fair quality, both peeled and husked. Sizing is only fair. Color and condition will continue to be only fair.

Jalapeno- good quality on new crop pepper, Excellent Size color and condition with huge supplies. Many number 2s are being shipped.

Anaheim- good quality, condition and size are expected to continue as supply have improved.

The cilantro market is trending higher. Oxnard is the main growing region and Mexico as well. Suppliers have finished their harvesting in Yuma and the Salinas valet hasn't started their production. We are transitioning growing region within the next 2 weeks in Mexico causing a short term supply decrease and a spike in the markets. Quality remains good with the sporadic bunch having yellow to brown leaves.

Size growth to the lemon groves in California have left good volume of large size fruit 115s/95s/75s and very limit supplies small fruit 140s/165s/200s. All shippers have reached demand demand exceed situation on small fruit 140s/165s/200s that will last through the summer.

Alerts:
Demand exceeds supplies on 140s and smaller, all grades.

Limes continue to peak on smaller sizes such as 230's and 250's although we are seeing an uptick in the supplies of larger sizes which is helping to ease supply issues. New crops limes have taken over production and are smaller in size. We have begun to see a slow but steady evening out of the size profile as volume picks up. Quality has been excellent on the limes over the past several weeks and looks to keep this trend. Weather overall has been very cooperative which will promote good growth and quality. We are in April now and prices have been softening up rather than being traditionally high and volatile. Holy week is going on and supplies are going to be light this week because labor will be short so a pop in the market could happen. The market is currently steady with a hint of upside in it.

Rains over the weekend halted harvest. There is still good export and domestic demand is increasing. Many of the smaller shippers will be done with Navels by May, and others are looking to finish by mid May. Size growth of the fruit has brought peak sizing up to 72/56 and the smaller sizes of 88s/113s/138s are extremely limited and we see the demand greatly outpace supply for all 88s/113s/ 138s of both fancy and choice grades. We are seeing a limited amount of Valencia oranges starting this week, but now volume until the end of the month to first part of May.

Alerts:
Demand far exceeds supplies on 88s/113s/138s both grades.

Improved supply on cucumber coming out of Mexico, Excellent color, quality and condition on all grades, sizes and pack styles. Supply will improve for the next week.Euro cucumber is also available with very heavy supply, #1and #2 both single layer and bushel boxes.

Good quality and condition with good size are currently being shipped from Nogales, mostly 18 count followed by 24 count are available as volume drops slightly. Many number 2s being shipped showing some scarring and occasional internal discoloration.

Green grapes feel like they have found a plateau here with the high prices we are currently paying. Supplies are steady at the lighter volumes and demand has leveled. Problems continue to surface on a majority of the newly arriving grapes ranging from decay to nesting which has created a short and high market. Storage grapes are also showing some signs of quality problems which is causing shippers to re-pack lots that are unacceptable. Promotable volumes are not available right now on green grapes. The market is steady at the current high levels.

Red grapes are in a steady market with a few deals being made due to slightly less demand. Schools are going through their spring breaks and Easter is this Sunday which has caused demand to back off a little. Crimsons and some of the other red varieties are very nice and are definitely worth loading. Lower quality grapes have nearly all been shipped out. Growing conditions are good for producing high quality grapes. The market is holding steady here and looks to do so for the near future unless demand fades further and in that case the market will come down.

There are still plenty of supplies for the balance of the week. But as we enter next week we will see decreased supplies due to the Easter holiday. Also the market this week will be steady. And as we enter next week we will see it trend higher. Quality has been good with minimal arrivals of yellow to brown tops. The iceless packs are commanding a higher price than the iced packs.

The kale market remains steady but prices do vary from each shipper and the loading location. Quality remains excellent with little dehydration and yellowing. Supplies are steady with most shippers. And the transition to Salinas has been a seamless one.

Suppliers cannot catch up with processors needs as well as open market business. The Easter pull has been strong and the availability of product has been minimal. Demand clearly exceeds supplies. Yuma is all but finished. Salinas has begun production in a very light way. Huron production will go for another week. The quality has been fair with reports of mechanical damage, pink ribbing, growth cracks, insect damage and brittle. Santa Maria production has been nice overall but availability is limited. Shippers have struggled all week to meet contract demands and this has left little to sell on open market business. The weights are being reported between 37-44 pounds for palletized. This market will continue to be active throughout this week and next at a minimum.

Transitions:
Yuma is finished. Salinas, Santa Maria and Huron are the growing areas for this commodity.

Romaine in Salinas has begun production. Enclosed is a picture of the early crop of this commodity. The weights are showing 34-37 pounds with 11-13 inches in length with occasional big vein. Supplies are light, but expected to be better next week in this region. Romaine hearts are extremely limited in production as well. Huron production is light. Yuma is finished. Demand clearly exceeds supplies and this will continue throughout the week. Escalated pricing is in effect on contract as well as value added items. Common defects that are seen on leaf items include seeders, discoloration, and mechanical damage on production in Huron. Santa Maria will be limited in production this week but better supplies are expected next week.

Transitions:
Yuma is finished, production is in Salinas and Huron.

Cantaloupes are once again active due to continued light supplies which looks to continue for the next week or so. Quality is 95% excellent with a few problems such as softness showing up. We are peaking on 9's and the other sizes are short. The weather has been ideal for growing in all regions and this trend looks to continue. The market is steady to higher for now.

Honeydews are perking up a little. The overall supplies are adequate and look to remain so for the rest of the offshore season. Short term supplies are lighter which has caused a slight upward price hike. Quality has been very nice with almost 99% of them arriving in excellent condition. Weather is ideal for growing honeydews and looks to be ideal for the remainder of the season. Larger sizes such as 5's and 6's are more available than smaller 8's. The market is steady to higher at this time.

Quality and condition are only fair on conventional seedless. Personal seedless are available in limited supply peaking on smaller sizes. Sonora spring crop has started and volume is very limited on large fruit but will improve by the end of the month. Sugar is only fair but will improve as weather continues to warm. Good demand on larger fruit. mostly bins available and cartons being packed to order.

Market yellow onions on Jumbo's and larger good with higher pricing, yellow mediums and Red onions steady. Quality on the storage onions is still being reported as good. Most of the small to medium growers out of Idaho have finished for the season with a few of the large growers will go into the front part of May. This has pushed some demand to other shipping point. Washington growers will finish up the middle of May. Southern California will start up in a light way next week with just Yellows with Reds to follow the following week. Quality should start out very nice. Mexico will finish up next week. Texas supplies continue to build. Quality is has been hit and miss but should improve over next week as long as the weather stay clear. Look for the markets to stabilize at slightly higher levels the middle of next week.

Transitions:
California starting up next week in a light way.

Washington -- D'anjou pears remain large and still heavier to US#1 80/90/100s. The market is steady to higher on all sizes. The quality has been good. Bosc pears are mostly steady and they are peaking on US#1 90/100s but many suppliers have finished shipping them. The quality has been good. Red pears are steady and they are still peaking on US#1 50-size half cartons but supplies are light. The quality has been good.

Chile - Chilean Bartlett pears have finished for the season. Argentinian Bartletts are steady and they remain heavy to larger fruit. Chilean Packhams are steady and they are also peaking on larger fruit but all sizes are available on the west coast. Chilean Forelles are steady and they are still peaking on smaller fruit. The quality for all has been good.

Alerts:
Washington is almost finished with Bosc pears.

Chilean Bartletts have finished for the season.

Peak Seasons:
Argentinian Bartletts and Chilean Packhams are in the peak of their seasons.

Washington is still in the peak of its D'anjou pear season.

Supplies remain light. We should see demand back off some now that the Easter pull is over. Better supplies from the tropics are still projected to start to return toward the last part of April.

Market on carton 40 though 70 count exceeds offerings with a slightly firmer market out of all growing areas. 80 count and smaller remain about steady. Quality overall is good. Burbank are the main variety shipping out of Idaho with only a few Norkotah being shipped which will finish for the season in the next week or so. Growers are starting to work their fields, getting them ready for next year storage crop.

Bakersfield California -- new-crop golds, whites, and reds are steady on all sizes and both are peaking on A size. C size whites and golds are very short. The quality is good. There is still some old-crop reds and golds around and they are priced slightly lower than the new-crop. Next week two major suppliers will start packing their Bakersfield crop so expect more volume by the end of the week.
Idaho - old-crop red and gold potatoes are steady to lower and most suppliers are flexing to compete with other areas. The reds are still split between A and B size while the golds are peaking on As. The quality is holding well.
North Dakota - old-crop red and gold potatoes are steady to slightly lower and both continue to peak on A size. Most shippers will flex to compete with other areas. The quality has been good.
Florida - reds, whites, and golds are all peaking on A size and all are producing mostly #1 product. Number-twos are limited in all colors. The rumor is that south Florida may finish early while north Florida starts early. The quality has been good.
Canada - a few old-crop reds, golds, and whites remain but the availability is fairly light. The quality has been poor to good.

Transitions:
North Florida will start packing a few days early with golds next week and reds and whites the week of April 25th.

Arizona will start packing red potatoes the week of April 25th.

Bakersfield will start packing its own crop next week.

Peak Seasons:
Idaho is in the peak of its red and gold season.

South Florida is in the peak of its red, gold, and white potato season.

Yellow Squash and Italian Squash has transitioned to Sonora. The Quality has improve and supply has improved. sizing is mostly medium followed by fancy and xfancy with some W/B being offered. Hard Squash is still being offered in good supply on Butternut followed by Spaghetti and Acorn. Very limited supply of Kabocha.

The import stone fruit season is coming to a close or has closed. Imported Peaches are done for the season. Imported Nectarines are days away before they are finished. Imported plums will arrive through April. Weather in California's San Joaquin Valley has been positive for good production. The wet winter and plenty of cold nights has growers expecting a great CA stone fruit season. The current market on imported stone fruit is steady due to low demand.

Transitions:
Start dates for the CA stone fruit season look to be normal, see below. The dates are rough estimates and could be pushed back by 5 days or so.

Apricot: 5/1
Yellow Peach: 4/22
Yellow Nectarine: 4/22
White Peach: 4/22
White Nectarine:5/4
Black Plum: 5/17
Red Plum: 5/21

Southern Florida has began transitioning into new fields further north but production has been minor and markets remain steady. Pricing for gas greens remains staggered with XL sized rounds commanding a premium while most availability is trending towards smaller fruit. Crown Picks out of Palmetto/Ruskin should be available in the marketplace by the end of next week evening out price amongst size. Roma tomatoes are higher in price this week with less coming out of Mexico. Prices should settle down after Easter as Mexico transitions to new growing areas as well. Grape and cherry tomatoes are steady with good supply in the pipeline to soften prices towards the second half of the month.

It is Easter week in Mexico and picking schedules have slowed to a halt as Easter approaches. In conjunction with fewer pickings, fields transitioning from Culiacan to Obregon have caused the roma market to tighten slightly. Price has came up more than a dollar from the mandated minimum resulting in a 3 to 5 dollar jump in the east where roma availability is exceeded by demand. The small increase realized this week will more than likely settle by next week with warm weather in the forecast and more fruit entering the supply chain.