The Source - August 27, 2015

Summary

BLUEBERRIES:
Rain forecasted for the Pacific Northwest this coming weekend threatens a severe disruption in supply if it materializes. This weather, along with an already anticipated shortage is leading us to believe a swift drop off will occur next week and last throughout September.

Weather Update

High pressure remains in charge out west with coastal temperatures in the 70s to low 80s with mid 90s to low triple digits expected in the interior valleys. A slight cool down is expected over the weekend as an approaching low from the northern Pacific Ocean brings an increased marine layer to the coastal fields. The increased marine layer will bring some drizzle to the coast as overnight temperatures remain above normal thru the week.
Excessive heat continues in the southwest deserts under the strong ridge stretching into Northern Mexico and Baja. Moisture from the south brings a chance of showers and thunderstorms mainly in the afternoon. Noticeable cooling expected early next week as a deep low pressure system moves into the west coast of California.
The Southeast will have increased moisture and shower activity as a frontal system brings rain and thunderstorms into the region through the week. Strong thunderstorms are possible with the increased moisture as temperatures remain in the 80s to low 90s thru the week.
We are monitoring a couple of tropical disturbances currently, Ignacio heading toward Hawaii and Erica likely to impact Florida and move up the east coast next week. Both systems are expected be category 1 hurricanes as they approach the coast. At this point Erica looks to reach Southern Florida on Sunday tracking up the east coast early next week. We will continue to follow these tropical systems and keep you up to date as we gather more information.

Freight Update

California trucks remain steady but look to tighten up on Friday. Washington and Idaho trucks look to be steady for the week. The national average dropped .05 cents this week and is currently $2.561 per gallon. A difference of $1.250 from this time last year. California prices dropped .05 as well and are now at $2.894 per gallon. Crude oil dropped slightly and is now at $38.83 per barrel.

Commodity Updates (Click row for summary) Expand All

Apples

California Galas continue to peak on higher color 100/113s. The Gala crop is packed and most suppliers are shipping from inventory so the availability is limited on some sizes but there are volume deals to be had. Fujis are steady on all sizes and they are spread evenly from large to small fruit. Granny-smith apples are peaking on 88/100s and the market is firm due to strong demand. The quality for all varieties is good.
Washington Red Delicious are steady and the market remains firm due to stronger demand. 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 Paula reds and Gingergolds are steady. The Paula reds are peaking on 88/100s and the Gingergolds are peaking on 100/113s.
New York Jonamacs, Paula reds, and Gingergolds are all steady but the availability remains light. The quality has been good for all.

- pa_admin
Growing Region Market Quality
Coopersville/Belding/Sparta, MI Steady Good
Wenatchee/Yakima, WA and Hood River, OR Steady Good
Hudson/Pleasant Valley/Red Hook, NY Steady Good
Asparagus

The market continues to gain strength. Production from the northern Mexico region is expected to run until mid-September at the latest. 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.

- pa_admin
Growing Region Market Quality
Caborca, Mexico Higher Good
Ica, Peru to Trujillo Higher Good
Salinas Valley, CA Higher Good
Avocado (California)

California harvest is declining and is expected to continue to decrease gently through August and should wrap up its 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.

- pa_admin
Growing Region Market Quality
Oxnard/Ventura, CA Steady Excellent
Avocado (Mexican)

Mexico's Flora Loca crop harvest is going well, with good volume 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 its 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.

- pa_admin
Growing Region Market Quality
Michoacan, Mexico Steady Good
Berries (Blackberries)

Blackberries are increasing in volume week over week across California's 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.

- pa_admin
Growing Region Market Quality
Salinas, CA Steady Good
Watsonville, CA Steady Good
Santa Maria, CA Steady Good
Oxnard, CA Steady Good
Berries (Blueberries) Alert

Pacific Northwest blueberries have been transferring into California with better numbers this week. Overall, quality has been good. However, rain is forecasted in the Pacific Northwest this weekend. If this materializes, it will take a significant amount of fruit out of the industry and affect overall volume, severely limiting availability from this region. Some shippers are anticipating severe shortages starting next week and going all the way through September. 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. Pricing is forecasted to climb upward as we get into September. Availability of the large packs (pints, 18oz, bulk) is still spotty with more 6oz and 4.4oz clamshells being packed. With some shippers now projecting a shortage of fruit throughout the month of September, the recommendation would be to load heavier end of this week so you can have some carry over inventory to start out next week.

- pa_admin

Alerts:
Rain forecasted for the Pacific Northwest this coming weekend threatens a severe disruption in supply if it materializes. This weather, along with an already anticipated shortage is leading us to believe a swift drop off will occur next week and last throughout September.

Growing Region Market Quality
Grand Junction, MI Steady/Higher Excellent
Salem, OR Steady/Higher Good
Pitt Meadows, BC Steady/Higher Good
Mossyrock, WA Steady/Higher Good
Berries (Raspberries)

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 insure quality specifications are being met and sub-par fruit is being diverted. We are also seeing a dip in production from crop cycles that is limiting availability. We continue to see fill-rates across the board as there is not enough fruit to over the current demand.

- pa_admin
Growing Region Market Quality
Salinas, CA Higher Good
Watsonville, CA Higher Good
Santa Maria, CA Higher Good
Oxnard, CA Higher Good
Berries (Strawberries)

Quality is still the biggest concern with fresh strawberries out of the Salinas/Watsonville growing region. Fruit size is small (20-25 per 1 pound clam), berries are full-red color with bruising and some overripe, soft spots. 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. 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.

- pa_admin

Transitions:
Santa Maria fall crop is coming on and will continue to increase in volume week over week.

Growing Region Market Quality
Salinas Valley, CA Steady Fair
Watsonville, CA Steady Fair
Santa Maria, CA Higher Good
Broccoli

This market continues to gain strength, especially on crowns. Processors will be holding to averages all week on broccoli florets. The quality of this commodity is average at best. Escalated pricing is in effect. 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 of 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 as well as McAllen is moderate at best.

- pa_admin
Growing Region Market Quality
Celaya Guanjuato Mexico Higher Fair
McAllen, TX Higher Good
Oxnard/Santa Maria, CA Higher Fair
Salinas Valley, CA Higher Fair
Carrots

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.

- pa_admin
Growing Region Market Quality
Bakersfield/Santa Maria, CA Steady Excellent
Cauliflower

Escalated pricing is in effect on this commodity. Demand exceeds supplies. 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 of all shippers.

- pa_admin
Growing Region Market Quality
Oxnard/Santa Maria, CA Higher Good
Salinas Valley, CA Higher Good
Celery

This market is unchanged. Santa Maria production is moderate at best. Supplies out of the Michigan region is moderate as well. 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.

- pa_admin
Growing Region Market Quality
Michigan Steady Good
Oxnard/Santa Maria, CA Steady Good
Salinas Valley, CA Steady Good
Cilantro

This market is firm. Demand continues to exceed 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. This shortage of product is expected to be the same next week as well.

- pa_admin
Growing Region Market Quality
Baja, MX Steady Fair
Oxnard/Santa Maria, CA Steady Fair
Salinas, CA Steady Fair
Citrus (Lemons) Alert

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 an extreme shortage on fruit. Expect this shortage to go until we start the desert crop in late September.

- pa_admin

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

Growing Region Market Quality
Oxnard/Ventura, CA Steady/Higher Good
Citrus (Limes)

The lime market remains stable on the larger sizes with the 200ct, 230ct and 250ct softening. The old crop is finishing up and new crop volume is very light. Overall supplies are going to be 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.

- pa_admin
Growing Region Market Quality
Veracruz, Mexico Lower/Steady Good
Citrus (Oranges) Alert

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 than 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.

- pa_admin

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

Growing Region Market Quality
Merced to Bakersfield, CA Higher Good
Merced to Bakersfield, CA Higher Good
Grapes (Green)

The green seedless grape market is growing steadily stronger. The Thompson Seedless and Princess varieties are winding down as the Autumn King and Pristine varieties come on. The newer varieties are generally larger on berry size with slightly less yield per acre. This, coupled with good demand, is helping to move the market upward. We expect to see a continual strengthening of this market over the next several weeks.

- pa_admin
Growing Region Market Quality
Arvin, CA Steady/Higher Good
Delano, CA Steady/Higher Excellent
Fresno, CA Steady/Higher Excellent
Madera, CA Steady/Higher Excellent
Grapes (Red)

Much stronger demand is driving the red seedless market up. Demand is increasing due to the start of the new school year around the country. Simultaneously, we are seeing a move to larger size varietals at harvest. The improved demand for the smaller (foodservice) grape is spilling over into the larger fruit. Historically, this push upward will only be temporary and the market should steady out; albeit at higher price levels.

- pa_admin
Growing Region Market Quality
Arvin, CA Steady/Higher Good
Delano, CA Steady/Higher Excellent
Fresno, CA Steady/Higher Excellent
Madera, CA Steady/Higher Excellent
Green Onions

This market is steady. Demand started better in the beginning of the week, but then died off. 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.

- pa_admin
Growing Region Market Quality
Mexicali, Baja Steady Good
Salinas Valley, CA Steady Good
Kale

This market is steady. There is plenty of good quality product available. Pricing is competitive. The Baja region as well as domestic product are plentiful and clean. Expect strong quality and competitive pricing throughout this week as well as next.

- pa_admin
Growing Region Market Quality
Baja, MX Steady Good
Oxnard/Santa Maria, CA Steady Good
Salinas, CA Steady Good
Lettuce Iceberg

Overall, this market is firm. Escalated pricing is in effect. Suppliers continue to deal with lower yields daily. 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.

- pa_admin
Growing Region Market Quality
Oxnard/Santa Maria, CA Steady Fair
Salinas Valley, CA Steady Fair
Lettuce Leaf

The romaine market is steady. Supplies look to be steady for the rest of the week. 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.

- pa_admin
Growing Region Market Quality
Oxnard/Santa Maria, CA Steady Fair
Salinas Valley, CA Steady Fair
Melon (Cantaloupe)

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.

- pa_admin
Growing Region Market Quality
Firebaugh, CA Steady/Higher Excellent
Mendota, CA Steady/Higher Excellent
Melon (Honeydew)

The peak size is currently 5ct. The quality and sugar contents are really good right now and this trend looks to continue. The market is coming down a little on 5ct and 8ct right now due to increasing supplies. We continue to experience good demand right now across the board, especially on 6ct.

- pa_admin
Growing Region Market Quality
Firebaugh, CA Lower/Steady Excellent
Mendota, CA Lower/Steady Excellent
Onions

Washington is packing all colors. The yellows are peaking on mediums and then jumbos with only light availability of colossal and supers. The reds and whites are peaking on jumbo size. Washington has most volume of red onions right now. The market is steady on all sizes but there is flex on jumbo reds and yellows as well as medium yellows.
Idaho/Oregon yellows are also heavy to jumbos and mediums and there is also some volume flex. Idaho/Oregon has more colossal and super-colossal yellows than Washington. Reds and whites are also producing mostly jumbos and both colors are steady. The quality has been good for all.
California still has a few onions left but they are almost finished for the season. The late shippers will still pack into early September.
New Mexico is finished for the season.

- pa_admin
Growing Region Market Quality
Huron/Metler, CA Steady Fair
Ontario, OR to Nampa, ID Steady Good
Quincy/Hermiston, WA Steady Good
Pears

California Bartlett pears are peaking on US #1 90-100s and the market is steady to lower. Demand is lighter since Washington has started packing and the price flexibility for 90/100/110s is still available. 120-size and smaller are no longer available. California 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. The market is steady on 90s and larger while 100s and smaller are steady to slightly lower. The Bartlett demand has been fair. Washington red pears are steady on all sizes and are peaking on 45/50 half cartons.

- pa_admin
Growing Region Market Quality
Wenatchee/Yakima, WA and Hood River, OR Steady Good
Stockton, CA Lower/Steady Good
Potatoes

Washington is quoting steady on all sizes but they are peaking on 80/90/100s and the larger counts are short. The quality has been nice.
Idaho is packing lots of the larger counts and they will flex for volume on 70s and larger. 80-count and smaller are steady. Number-twos are very short because the new crop norkotahs are so clean. The quality has been good.
Colorado and Wisconsin are also heavier to the smaller counts while they are limited on the larger. The quality has been good.

- pa_admin
Growing Region Market Quality
Hamer/Rupert, ID Steady Good
Quincy/Hermiston, WA Steady Good
Monte Vista, CO Steady Good
Plover/Bancroft, WI Steady Good
Potatoes (colored)

Stockton, California 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 Washington has started packing a few red potatoes and they are heavy to A-size.
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.

- pa_admin
Growing Region Market Quality
Bakersfield, CA Steady Good
Rupert to Rexburg, ID Steady Good
Mount Vernon, WA Steady Good
Big Lake Minnesota Steady Good
Plover, WI Steady Good
Stone Fruit

The market on nectarines and peaches is a mixed bag of availability and pricing. The nectarine harvest is finishing around California with limited availability on yellows and even fewer whites. However, there will be fruit available for the next several weeks as many shippers have held back supplies to cover "normal" business. The peach harvest will continue through September with limited quantities of small volume fill fruit being our only issue. The plum market is much stronger as we gap on varieties and the size range available becomes much more narrow (mostly large fruit in either color). Plums will continue in this fashion throughout the month of September.

- pa_admin
Growing Region Market Quality
Madera south to Arvin, CA Steady/Higher Good
Tomatoes (Eastern)

Rounds - The market is strong. Low supply is just meeting demand. Weather has played a role in Virginia and just not enough acreage planted in the other eastern areas. Local programs are helping with volumes and will continue through the first couple weeks of September. Quality is Fair/Good.
Roma - The market is steady. Mexico's volume is good and quality is improving. This should increase availability in the East. Michigan is coming on with some decent volume. Quality is Good.
Cherry/Grape - Cherry market is strong. Pricing is high but settled for this week. Vendors continue to sell out. Demand is expected to increase with schools starting. Eastern market still lower than the west with Virginia providing some volume. Quality is fair. Grape market is strong. Virginia/Maryland are producing some volume and the quality is much better than in the west. Pricing should remain steady this week. Quality is good.

- pa_admin
Growing Region Market Quality
Charleston, SC Steady Good
Cedarville/Hammonton, VA Steady Good
Benton Harbor/Byron Center, MI Steady Good
Tomatoes (Western)

Rounds - The market is steady. California and Mexico have volume that will keep the market steady for the rest of this week. Mid September still looks like the west will be gapping due to high temperatures during planting. Quality is good.
Romas - Roma market is steady. California and Mexico continue to have good volumes. Market had a slight decrease in pricing. Quality is good.
Cherry/Grapes - Cherry market remains strong. Pricing has settled for this week but may jump again due to schools starting. Quality is fair. Grape market strong. Quality issues coming out of Baja have tighten the market a bit. Color and translucency being the major issues. Market will remain strong for another couple of weeks.

- pa_admin
Growing Region Market Quality
Coachella Valley, CA Steady Good
Southern San Joaquin Valley, CA Steady Good
Northern Baja California Norte, Mexico Steady Good

Things You Should Know

Berries (Blueberries)
Rain forecasted for the Pacific Northwest this coming weekend threatens a severe disruption in supply if it materializes. This weather, along with an already anticipated shortage is leading us to believe a swift drop off will occur next week and last throughout September.

Citrus (Lemons)
Demand exceeds supply has reached an extreme shortage of supplies. Expect shortages to go through September until new crop Desert fruit starts.

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

Transitions and Temperatures

Berries (Strawberries)
Santa Maria fall crop is coming on and will continue to increase in volume week over week.

Want to receive our most recent market reports by email as soon as they're released?
Click here to sign up
Back to Top