The Source - August 4, 2016

Washington - Red delicious are higher on all sizes and grades with only light availability of fancy-grade fruit. Most shippers continue to peak on extra-fancy 72-88s. Expect the market to remain strong through the balance of the storage season. Earli Golds & Ginger Golds are steady and they peaking on Wash-Extra 88/100/113s. There is very little lower-grade fruit right now. Granny Smith are steady to higher on most sizes and continue to peak on 88-113s. New-crop Galas are limited but are peaking on higher grade 100/88/113s. The quality for C.A. reds, goldens, and granny-smith has been good. The Gala quality has also been good.
California - Galas are steady and they are still peaking on smaller fruit but supplies are light. The quality has been good.
Chile - Chilean Pinks Ladys are steady but only 70s are available. Chilean Fujis are also steady and peaking on 80-size with more sizes available this week. The import quality has been good.

Volume from Mexico and Peru are lower. Quality is good from both regions.

California harvest is in its seasonal decline. Harvest volumes are expected to decline significantly this next week. Southern groves are in clean up picking and northern groves are picking early and heavy to get fruit off the tree and take advantage of the market and for the health of the trees. Crop is still skewed towards smaller fruit. Market on 48s and larger remain strong with 60s and 70s weakening due to increased volumes of smaller fruit from Mexico.

Mexico has backed off slightly on their harvest after a huge harvest week 3 weeks ago. Inventories are growing, and Mexico's harvest has slowed in response to dropping and unstable market pricing.

Bell pepper has moved up to the Central and Southern San Joaquin Valley. Better supply on both Green and Red Varieties, Sizing is good on Both colors.
Reds are still showing the effects of the heat with some condition defects, quality is expected to improve as we move forward. Extreme high temps have dropped in California.
Yellow pepper has slightly improved supply with better quality.

Supply is steady with production out of CA, OH, IN, WA and OR. Some growers are gapping and in between varieties out of Oregon. Some deals are being made on the Santa Maria blackberries in order to bring traffic down to load them. Quality is good out of all areas. There have been some isolated instances of wet and leaky berries, also reports of red cell.

Supply is lighter than recent weeks and markets have strengthened from all growing regions. The Pacific Northwest production in Oregon, British Columbia and Washington has backed off some due to recent rainy weather. We do not expect this seasonal crop to ramp back up although we will see some late variety Elliot from Washington in a few weeks. Michigan was slow to start again this week due to rain in the Southwestern growing districts and Indiana is producing blueberries steadily. South American blues are about a month away and will start with light volume around the first of September.

Transitions:
Peru, Argentina and Uruguay blueberries should begin to hit US ports with light volume around the first of September.

Supply and availability have improved over recent weeks. Quality has remained good out of all regions, some isolated instances of wet, leaky or light color berries.

Transitions:
Baja California, MX production will begin to increase over the next few weeks.

Supply is steady with good demand. Quality is good with pickers paying extra attention to pack quality and avoid bruised and overripe fruit. There have been a few reports of white shoulders and green tips still showing up in the packs. Sizing is small with berries running 18-28 per 1 pound clamshell. Although there are still a lot of berries in the fields and a lot of flowers indicating more fruit coming, it is taking more berries to fill each clamshell and requiring pickers to cover more ground to do so. Lack of labor is an issue with all growers in all growing regions. Weather forecast for this week is ideal for berries with highs in the low-mid 70s and overnights cooling down around 50 degrees. Order for quick turns on strawberries as we are in the late summer season of the crop and fruit will not last as long.

Transitions:
Santa Maria new crop (Summer planted) strawberries will begin to increase in production over the next several weeks. We will begin to transition to this area as volume increases.

Broccoli supplies are abundant. The market will be aggressive all week with suppliers offering deals in all growing regions. The quality out of Salinas and Santa Maria is excellent with nice crown size and minimal yellowing. Mexico is showing minimal hallow core and quality is nice as well.

Mexico for the most part is finished with their supplies. This is definitely putting pressure on the current acreage in Salinas and Oxnard. The market is trending higher very quickly. Quality on the domestic product is excellent. Look for this to be the trend well into next week.

Alerts:
Brussel Sprouts supplies are starting to tighten up and creating a higher market.

The Bakersfield crop is in full production. Growth is good and producing good percentage of Jumbo size and supplies are good. Supply of baby peeled carrots are good.

There are plenty of supplies for this week in both growing regions this week. Lack of demand has kept supplies steady and markets aggressive. Quality form both Salinas and Santa Maria has been really nice with few issues upon arrival.

Pricing is very competitive as production is strong in all growing regions. The best flexing amongst shippers continues on twenty- four counts. Expect flex pricing for the rest of the week, as suppliers do their best to keep inventories clean. Production and quality in Michigan is good. Salinas and Santa Maria production is following the same pattern. Expect good quality and production for the entire week with this commodity.

Anaheim - Sizing and quality remain good. Good volume coming out of the San Joaquin Valley . Excellent size and color.

Pablano - Good quality and condition expected to continue.

Tomatillo - Good supply of tomatillo shipping from California. Good color and fresh husk . Good quality over all on tomatillos.

Jalapeno- good quality on new crop pepper, mostly large sizing with good color.

Supplies from Mexico are extremely limited to a few suppliers. So the pressure continues to be on Oxnard, Santa Maria, and Salinas. But it looks like demand is off and creating a surplus. Prices have leveled out. But Black spotting, yellowing, burn, and seeders are the current quality issues we are still experiencing.

The Ventura crop is our main supplier of domestic fruit. Demand is stronger than normal and continues to build. We are seeing 140s/165s/200s/235s supplies tighten clean up daily. Chilean fruit is available is good supplies.

Lime supplies are tightening, markets reacting upward. Rains in growing area is slowing harvest. Quality is falling off and shippers are having to rerun many lots to clean up the pack of blanching. Shippers are starting to see styler end breakdown that they also tying to clean up in the pack. More wet weather is in the forecast.

Shippers have good supplies of Valencias and peaking on 88s/113s/138s. Demand for 113s and 138s is high and increasing as school demand continues to ramp up over the next few weeks.

Good quality and condition on cucumbers coming out of Northern Baja coast. All sizes are being packed in 1 1/9 bushel boxes. Also 24's-36's-42's being packed.

With hot weather continuing, eggplant is showing condition issues and limited supply. Sizing is mostly large with some medium.

We have multiple option on green grapes in terms of varieties, size and price. Currently we have the choice of Thompson, Sugarone, Princess and Ivory varieties. We have the whole spectrum of sizes available, but most of the green varieties are peaking in the Large to XL range (12-14 ring size). Quality has been very strong. The Thompson and Sugarone varieties have more range in size and show more amber on the berry in comparison to the other varieties, but market prices reflect the difference.

We continue to have good availability on red seedless grapes. We started the San Joaquin Valley season with the Flame variety. Quality has been strong on Flames and markets have been very flat. As we move forward over the next 2 weeks, the Flames will start to phase out. Scarlet Royal and Crimson varieties are just getting started this week. Volume is still limited but is expected to increase by next week. Sizing on the new varieties will bigger with more range. Quality will be excellent. Current pricing on the Scarlet and Crimson varieties is at a premium because of the limited availability and larger sizes. As we move forward and volume increases, we expect the markets to level out on all varieties.

Alerts:
Flame variety is phasing out. Scarlet Royal and Crimson varieties will start ramping up next week with better sizing.

Supplies remain abundant from both growing regions. There also have been minimal quality complaints upon arrival. The market will be aggressive all week with deals on iced green onions.

Kale supplies are steady from all growing regions. The market will be steady this week as well. there have been minimal complaints of dehydration, size of the bunches, and yellowing upon arrival. Quality has been excellent.

This market continues on the flat side. Quality overall is good. The weights have been averaging 40-44 pounds on palletized product. Schools are beginning this week with more to open next week. Business is expected to pick up, so take advantage of low pricing this week. There continues to be a gap in pricing and expect this to continue throughout the week. Expect this market to get stronger by the middle of next week. Suppliers were optimistic for a stronger market this week, but demand simply was minimal, in comparison to harvesting numbers.

Production on all leaf items with most suppliers will continue to be good throughout the week . Minimal mechanical and insect damage is being reported. The weights on romaine are averaging 34-40 pounds. All other leaf items are also having strong reports on good weights and quality. The emergence of school business has suppliers optimistic next week for this market to get active, but this awaits to be seen. Again this is a good time to take advantage of low pricing on all leaf items.

There are really good supplies coming out of the West Side. All sizes are available. Sugar levels are really good right now too. The markets are aggressive even with the increased demand for summer.

The West Side has plenty of supplies of honeydews. All sizes are available. Sugar levels are optimum. The market remains aggressive and competitive. Quality is excellent.

Demand for Western Watermelon has curtailed. Watermelon is being shipped from Southern and Central California. Quality is good with mostly Large sizes being harvested. Extreme heat has increased the sizing to mostly very large fruit,30s,36 and 45s. Low production of watermelon still coming out of Arizona and showing light color.

Central California and New Mexico are still the main growing areas for onions. Both areas have hit their peak production and are slowly winding down for the season. Washington and Idaho have started in a light way with supplies building each week. Market is steady on all colors and sizes which should continue till all supplies are in storages in late September. Quality is still being reported as good. Sizing is smaller out of New Mexico with limited Super Colossal and colossal Yellow onions. Growing conditions have been ideal in Washington and Idaho up until this last week when high temperatures moved into the growing areas.

Transitions:
Washington and Idaho have started harvesting New Crop onions.

California - Bartlett pears are steady on all wraps while the tight-fills are steady to slightly lower, and they continue to peak on 100/110/90s. Wrapped pear supplies are more limited right now. Most suppliers don't have much smaller than a 120-size. The quality has been good. Crimson pears are steady and continue to peak on half carton 45/40s but supplies are limited, and some suppliers have finished. Bosc are available in limited quantities and they are peaking on smaller fruit. The quality has been good.
Washington - Bartlett pears are peaking on 80/90/100s and the market is steady to lower but supplies are still limited. The quality is good.
Chile - Chilean Bosc continue to peak on 70-100s but supplies are limited. The quality has been good.

Demand is moderate on all sizes and packs out of all growing areas. Idaho is down to its last couple of weeks of storage Burbanks which are only left in a few hands. Quality is still being reported as fair to good depending on lot. Market is steady. New crop Norkotah potatoes have started in all growing areas with building supplies. Sizing and quality is being reported as good out of Washington and Idaho except for #2's which is typical. Colorado and Wisconsin have very small potatoes which are peaking on Non-A (retail bag size) currently. Sizing should improve out of these two areas over the next couple of weeks. Market is firm with limited supplies of all cartons out of these two areas.

Stockton California - reds, whites, and golds are all steady on all sizes. All colors are peaking on A size but bakers and premiums remain short. The red and white quality is good while the golds are only fair.
Virginia - they are steady to lower on A-size for all colors and steady but limited on B-size and smaller. The quality has been good.
Muleshoe Texas - red potatoes are steady on all sizes but supplies are light. The quality has been good.
Minnesota - red potatoes are steady to slightly lower with good availability. The quality and color have been good.
Wisconsin - the red potato market is steady to slightly lower and the availability is improving as they now have more A-size. The quality is good.
Washington - eastern red and gold potatoes are steady and both are peaking on A-size. The quality is good.

Heavy production on both zucchini and yellow squash are being offered in volume. Sizing is mostly larger due to warm weather. Quality is mostly good but some scarring on certain lots.

Not much change in stone fruit. Availability is excellent on large size fruit. Nectarines, Peaches and Plums are all peaking in big sizes. Smaller volume fill fruit is very limited. Quality has been strong. Market prices are starting to climb gradually as the warmer weather continues to push harvest forward. If the weather stays warm, shippers are expecting peaches and nectarines to come to an early finish this year. Plums are expected to be in good supply through fall.

Rounds - The market is steady. Supplies are steady with plenty of growing regions. Prices are moderate throught, with steady markets. Typical August-type business in the East and West. Quality is Good.
Roma - The market is steady. Similar to rounds, plenty of growing regions are in production, allowing good,steady supplies. Market looks to be consistent in all regions. Quality is Good.
Cherry - The market is steady / lower. 4 main areas are in production, with good supplies. Michigan, Virgina/Maryland, Baja Mexico, and Central California. There are also smaller local areas in production, with supplies. Quality is Good.
Grape - The market is lower. Plenty of supplies in all areas. Shippers looking to move heavy volume. Demand on the light side, giving shippers plenty of hold-over product. Quality is Good to Fair

Rounds - The market is steady. Supplies are steady with plenty of growing regions. Prices are moderate throught, with steady markets. Typical August-type business in the East and West. Quality is Good.
Roma - The market is steady. Similar to rounds, plenty of growing regions are in production, allowing good,steady supplies. Market looks to be consistent in all regions. Quality is Good.
Cherry - The market is steady / lower. 4 main areas are in production, with good supplies. Michigan, Virgina/Maryland, Baja Mexico, and Central California. There are also smaller local areas in production, with supplies. Quality is Good.
Grape - The market is lower. Plenty of supplies in all areas. Shippers looking to move heavy volume. Demand on the light side, giving shippers plenty of hold-over product. Quality is Good to Fair