The Source - August 24, 2015

California Galas are mostly steady and continue to peak on higher color 100/113s. 80-size and larger remain short. Volume deals are available in certain sizes. Fujis are steady on all sizes and they are spread evenly from 80s to 138s. Granny-smith apples have also started and they are peaking on 88/100s. The quality for all varieties is good.
Washington Red Delicious are steady to higher and the market remains firm. Most shippers are still peaking on higher grade 88s and larger. Small size reds remain short. Earligolds and Gingergolds are steady to higher on most sizes and they are evenly sized from large to small. The demand for small fruit has been strong. Granny-Smith are steady to higher on all sizes and the market remains firm due to light supplies and strong demand. Granny-smith are still peaking on 72s and larger with limited availability of 100s and smaller. Lower grade Grannys are also limited. Washington Galas are steady to slightly lower and they are peaking on 100/113s. A couple suppliers are starting to pack Fujis and they are heavier to large fruit.
Michigan is packing Paula reds and Gingergolds. The Paula reds are peaking on 88/100s and the Gingergolds are peaking on 100/113s.
New York is packing still Jonamacs, Paula reds, and Gingergolds. The quality has been good for all.

Transitions:
Washington is going to start packing Honeycrisp apples this week.

The market is stronger with all shippers. Production from the northern Mexico region is expected to run until mid-September. After that, suppliers will transition to the southern region of Baja. All pack sizing is limited, with jumbo packs being the tightest in availability. Production out of Peru is moderate to light. Supplies are better on standard and large packs.

California harvest is declining and is expected to continue to decrease gently through August and should wrap up it's season early September. Peak sizing is on 40s and 48s with very little smaller fruit. Very good demand is keeping supplies on all sizes tight. Quality and flavor are both excellent.

Mexico's Flora Loca crop harvest is going well, with good volume coming in on 40s and 48s and still limited supplies on 60s and smaller. Limited volume on #2 fruit as quality is very good. The Flora Loca fruit has come up in it's maturity, with better oil content and breaking better. Ripe fruit could still be green in color as the skin isn't mature enough for it to darken. Color is not an indication of ripeness, pressure is.

Blackberries are increasing in volume week over week across California growing regions. Quality has been good and we expect continual increase over the next several weeks! Demand has been relatively moderate keeping the market steady.

Demand is good and market is steady to begin this week. Pacific Northwest and British Columbian blues have been arriving into California with better numbers to start this week. Quality has been good. Southwest Michigan received good weather with optimal growing conditions last week bringing on more fruit than expected. Quality has been very good out of this region. Availability of the large packs is still spotty with more 6oz and 4.4oz clamshells being packed. Some shippers still projecting a shortage of fruit to begin September and the market eventually climbing up as well. We should then begin to see more offshore fruit arriving with Peru, Argentina and Mexico all lining up in the next couple months.

Demand is good and market is remaining steady to higher to begin this week. Availability has been limited due to recent heat and subsequent quality issues requiring culling of fruit. The heat causes the plants to hold onto the fruit making it even more difficult to harvest without damaging the delicate raspberries. Although shippers are quoting good quality for the fruit that is being packed, it may not have the legs we are used to. Order for quick turns. Grower-shippers are spending extra time in QA to make sure quality specifications are being met and subpar fruit is being diverted in order to counter current challenges. We are also seeing a dip in production from crop cycles that is limiting availability.

Demand for fresh strawberries is moderate and the market has steadied some over previous weeks. Availability is better to begin this week. Quality is still a concern out of the Salinas/Watsonville growing region. Fruit is small, full-red to overripe, bruised/discolored and likely to show signs of early decay. Some mildew and mold being found in the clams upon arrival as well. Cold chain is of utmost importance, berries must be maintained at 32-34*. Santa Maria fall crop is coming on in a small way. These berries are larger, more firm and overall better quality. This fruit is demanding a premium price as well. This crop is still in early stages but projections are increasing!

Transitions:
Santa Maria fall crop is coming on in a small way. The berries are better quality than out of Salinas/Watsonville and will also demand a premium price.

This market is stronger with all suppliers to begin the week. Many are sold out on bunched product as well as crowns. The least availability is on the crowns. Processors will be holding to averages all week at a minimum on broccoli florets. The quality of this commodity is average at best. There has been a few sightings of brown and yellow beading, as well as a rubbery texture due to past and current high temperatures in all the growing regions. The main production continues to be out of the Salinas Valley. The Southern California region will have moderate to light production for the entire week. Production out of Mexico is moderate at best.

Bakersfield crop is in full summertime production. Size in the fields is dropping some and the percentage of jumbo size carrots is falling off a little. With good demand for jumbo size and this fall off in size and market is firm. Quality is good.

Demand exceeds supplies on this commodity. Business has picked up, especially on value added items. Suppliers are holding to averages as school business has increased strongly. Twelve count sizing in particular continues to have the least availability of all the sizing. The quality continues to be good. This market is expected to gain strength throughout this week as planting gaps are in the forecast with all shippers.

This market is steady, overall. Santa Maria production continues to be stronger in small sizing, thirty-six counts in particular. Supplies out of the Michigan region is moderate. Production in Salinas is beginning to slow down compared to past weeks. Large sizing is the least available in all of the growing areas. Twenty-four counts in particular will show pricing to be the strongest. The quality continues to be reported as good with all suppliers.

This market is firm with all suppliers. Demand exceeds supply. This will continue throughout the week. Planting gaps in northern and southern California are key reasons for the shortage of product in the marketplace. The Baja region of Mexico is moderate to light in production numbers. Some seeder and black coloring on the product has been reported upon arrivals from all the growing areas.

Demand remains very high and we are seeing extreme demand exceeding supplies on 165s and larger and on all grades of fruit. We are really feeling the extent of the drought conditions of the last couple of years, with fruit not sizing and seeing high percentage of undersized fruit that goes straight to juice and leaving are large shortage on fruit. Expect this shortage to go until we start the desert crop in late September.

Alerts:
Demand exceeds supply has reached an extreme shortage of supplies. Expect shortages to go through September until new crop Desert fruit starts.

The lime market remains stabile on the larger sizes with the 230ct and the 250ct softening slightly. The old crop is finishing up and new crop volume is very light. Overall supplies are going to be in light through the month of August. The overall quality is good on the new crop that is being harvested. The old crop limes are average to below average in quality due to it being hot in the growing region and they are tired now. Stylar breakdown is the main defect some lots of old crop and yellowing also may be found. Large sizes are less plentiful.

California Valencia oranges are moving very well and are in full demand with the school push started; 88s/113s/138s are in a extreme demand exceeds supply situation. Because poor pack outs that shippers are experiencing with soft fruit and undersized fruit, many shippers are already looking at their final few weeks of their Valencia season, this is much sooner then many expected. Shippers are also having labor shortages as pickers move to grapes to help finish that crop off. Packers have been slowing the pace of packing fruit to stretch out this year's lighter volume Valencia crop, but even this may not help much.

Alerts:
Demand for California Valencia oranges 88s/113s/138 has reached an extreme demand exceed supplies as school demand is in full swing.

The market on green seedless grapes is gradually strengthening as the Thompson Seedless begin to lighten in supplies. The late Thompsons are beginning to show some amber in the pack. This coupled with the decline in the Princess variety is the reason for this strengthening. The Autumn Kings are now coming on, but supplies look to gradually tighten across the industry throughout the coming month. The harvest overall is 2-3 weeks ahead of "normal".

The red seedless grape market is steady with good demand and adequate supplies. Sizing is running more to the larger fruit than it has in the past few weeks. Consequently, the fob price on the smaller grapes has firmed up and is now more in line with the rest of the market.

This market is active with many suppliers. Demand has been flat for over a month, but things are starting to change. Mexico production is definitely on the lighter side. Good weather continues out of the Mexico growing region. All sizing is available, with the heavier availability coming in small and medium packs.

This market is unchanged. A few shippers are attempting slightly higher pricing, but this is optimism at best. Good supplies and good quality continue with this commodity. The Baja region as well as domestic product are plentiful and clean. Expect strong quality and competitive pricing throughout this week.

With the start of schools across the nation, demand is stronger for this commodity. Suppliers are dealing with this along with lower production yields due to past as well as current high temperatures. Internal burn is the big problem. Puffiness and insect damage continue to be issues as well. Night time temperatures continue on the high side. The weights on palletized are averaging 40-46 pounds. Salinas and Santa Maria are the two main growing areas at this time. Production in Santa Maria is moderate at best.

The romaine market has remained unchanged from the previous week. This commodity has not reacted to higher pricing like lettuce. Issues continue to be fringe burn, insects, dehydration and internal burn reported upon arrivals. The weights on romaine cartons continue to average 31-36 pounds. Chopped romaine as well as romaine hearts continue to show pinking upon arrival. Green and red leaf markets are steady as well. Fringe burn, mildew damage and insect pressure continue to be defects associated with these commodities.

The West Side is producing good volumes of 15ct and 18ct right now. The main size right now is 15ct. The size curve is swinging back towards smaller sizes and 9ct are coming in with less volume than last week. The West Side has very good quality and acceptable sugar contents. The current market on 9ct is up with 12ct from some shippers making an upwards move also. The 15ct and 18ct markets are coming down a bit right now. We are experiencing decent demand for cantaloupes.

The peak size is currently 5ct with honeydew 8ct still being light in volume. The quality and sugar contents are really good right now and this trend looks to continue. The market is steady on sizes right now. We continue to experience good demand right now across the board.

Idaho and Washington are the main shipping points for onions and will be for the next 7 to 8 months. Sizing is peaking on jumbo yellow and smaller with colossal and super colossal yellow onions being limited with good demand. Red and white onion market is steady with moderate demand. Quality is being reported as good out of both areas. Watch for the jumbo and medium yellow onion market to slowly come off as supplies continue to build. Sizing should slowly improve over the next couple of weeks.

California Bartlett pears are still peaking on US #1 90-100s and the market is steady to slightly lower. Demand is lighter since Washington has started and the price flexibility for 90/100/110s is still available. 120-size and smaller are no longer available in large quantities. Stark Crimson pears are still peaking on 35-55 count half cartons. California Bosc pears are steady to slightly lower and they are peaking on smaller fruit. The quality has been good for all varieties.
Washington Bartlett pears are peaking on 90/100/110s and the market is steady on 90s and larger while 100s and smaller are lower. The Bartlett demand has been fair. Washington red pears are steady on all sizes and are peaking on 45/50 half cartons.

Idaho new crop Norkotahs are looking very nice and are peaking on 70 count and larger. All other potato growing states (Washington, Colorado and Wisconsin) are peaking on 80 count and smaller. The market is slowly coming off on the 70 count and larger out of Idaho with the 80 count and smaller holding steady. Washington, Colorado and Wisconsin market is firm on 70 count and larger with 80 count and smaller slowly coming off. Quality is being reported as good out of all growing areas.

Stockton, California continues to pack reds, whites, and golds and all are still peaking on A-size. The market is steady on all sizes and colors. The quality has been good.
Western/Central Idaho reds and golds are steady and all colors are peaking on A-size but the availability is limited on some sizes. The quality has ranged from good to fair.
Wisconsin reds and golds are steady on all sizes. Premium and baker reds and golds are limited as are C-size golds. Both colors are peaking on A size but have good availability of B-size reds. The quality is good.
Minnesota reds and golds are steady on all sizes. Both colors are peaking on A-size with good quality and color.

Transitions:
Western Washington will start packing reds this week and golds in two weeks.

The nectarine market is winding down rapidly with an estimated 2 weeks left to harvest. This market will strengthen as supplies dry up. The peach market is continuing about steady with limited numbers of small volume fruit available. This market will gradually improve as pressure from the nectarine deal ending makes itself felt. Plums are available in both red and black varieties. With many shippers gapping on some varieties and the range of sizing at harvest tightening up, this market is moving up. The plum harvest is estimated to finish in about 3 weeks with fruit available at least until the end of September.

Rounds - The market is strong. Demand still exceeding supply. Low volume coming out of the Virginia and Tennessee regions due to low planting acreage and weather. Local programs will be helping out with the volume for about a month. Those programs are starting to ramp up but still not providing enough to bring pricing down. Quality varies with all the players involved but mainly good.
Roma - The market is steady. Mexico's volume is good and quality is improving. This should increase availability in the East. Quality is Good.
Cherry/Grape - Cherry market is strong. Although pricing is high and climbing, vendors continually sell out. There just is not enough acreage planted to meet demand and quality is an issue on the eastern shores. Quality is fair. Grape market is strong. More volume is expected this week but probably will not affect the pricing. Similar to the Cherry market there just is not enough acreage planted to meet demand right now. Quality in the East is good.

Rounds - The market is steady. California and Mexico have volume that should keep the market steady for this week. September will tighten up due to past high temperature's effect on crops and lighter plantings due to water issues. Quality is good.
Romas - Roma market is steady. California and Mexico have good volumes and quality has improved (Good). Market should remain steady into next week.
Cherry/Grapes - Cherry market remains strong. Supply is not meeting demand due to low planting acreage. As prices continue to rise suppliers continue to sell out. Quality is fair. Grape market strong. There is availability in multiple areas but the quality varies (color issues). Market will remain strong for another couple of weeks.