The Source - January 7, 2016

Washington - red delicious are steady and most suppliers continue to peak on 72/80/88s. 113 and smaller reds remain short. Golden delicious are steady and continue to peak on Wash-Extra 100/113s. Most suppliers don't have much larger than an 88-size Golden. The Granny-smith market is steady on all sizes and they are peaking on 88/100/113s but the market remains very strong. Most Granny shippers still don't have much larger than an 88 and are also short on 125's and smaller. Galas are steady on all sizes and continue to peak on 100/113s. Most Gala shippers don't have much fruit larger than an 88. Fujis are steady and continue to peak on extra-fancy 80/88/100's. Honeycrisp are steady to higher and the market is strong due to light supplies. Honeycrisp are still peaking on 64/72s. Lower grade Honeycrisp remain relatively cheap but supplies are limited. Jonagolds and Braeburns are both steady and continue to peak on 72/80/88's. The quality for all varieties has been good.
Michigan - Red delicious are steady on all sizes and are still peaking on 80/88s. Most Michigan packers have limited supplies of 125 and 138 reds. McIntosh are steady and they are heavier to 125/138s. Galas are steady on all sizes and are peaking on 125/138s. Golden delicious are steady and they are still peaking on 125/138s. Jonathans are steady on all sizes and they are still peaking on 150/138/125s. Jonathans are still the low-price leader in Michigan. Fujis are steady and they are peaking on 125/138s. Jonagolds, Red Romes, and Ida-reds, and are all still available.
New York - Red delicious, Macs, Galas, Cameos, Romes, Crispins, Empire, and Golden delicious are all steady. Empire and Red Rome volume is good and some shippers will flex for volume on the smaller sizes. The quality has been good on all varieties.

Asparagus is still a major problem with availability. Supplies from Peru and Mexico are non existent. Peru is just about finished and Mexico is dealing with cold temperatures in the Baja and Caborca growing regions. The market is extremely active and this type of situation will last possibly through the month of January.

Alerts:
Extremely Limited supplies of both Peruvian and Mexican Asparagus

Transitions:
Caborca has started in a very light way

Mexican shipments to the US this week are good. Size curve running heavy to the 32s/36s/40s followed by 48s. Availability on the smaller sizes of 60s/70s remain very limited.

Mexico is ramping up production and volume is expected to increase with shipments to both the East and West coasts in the coming week. Quality has improved over recent weeks.

Availability is limited this week as several vessels from South America have been delayed coming into ports on both coasts. Overall availability will increase once these vessels arrive and fruit is restored in the distribution pipelines. More inbound vessels are arriving over the weekend as well. Increased arrivals from South America and additional volume should continue over the next few weeks. Mexican production has been steady. Some delays with transfers coming into coolers. Quality has been good overall.

Production has decreased significantly in California as the season winds down. Mexican production is increasing and quality has improved with more favorable weather in the growing regions.

Demand exceeds supply. California's Southern growing district has experienced significant rainfall over the past several days and total precipitation will exceed 3.00" in some areas. Production has been disrupted as harvests are being delayed and/or cancelled due to weather and lack of ripe fruit. Some thunderstorms have brought excessive wind and even hail. Once the rain has subsided, fields will be evaluated for harvests. Growers will spray fungicide to control effects of the moisture. Harvesting crews will focus on cleaning up the wet fruit and plants before fruit can be harvested for fresh market. Quality expectations should include light color, white shoulders, wetness and wet bruising on the berry. Counts are still small, ranging in the mid to upper 20s. More rain is forecasted for CA this coming weekend as well. Florida has struggled with sizing and quality as temperatures have remained warmer than average over recent weeks. Berries have been small, soft, showing bruise. An expected cold front should bring some relief in the growing region and help to improve size and quality in the coming week. Mexico production is ramping up. Days have been warm with cool nights which has helped fruit to size up and has improved quality. We should see better volumes from Mexico over the next several weeks.

Alerts:
Demand exceeds supply. Limited availability in all growing regions this week.

Broccoli is still having supply issues in all growing regions. There seems to be better supplies of bunched broccoli versus broccoli crowns. Shipper are having an easier time packing bunched based on the much smaller crown size. This trend seems to be in Santa Maria, Salinas, Mexico, and Yuma. Processors are still struggling to cover orders and continue to purchase broccoli crown acreage keeping the carton market active.

Alerts:
Broccoli crowns are still very limited in supply. Also Processed Broccoli is still very limited in supply

Supplies are the main reason this commodity is at above normal pricing. Salinas is still harvesting product but the extreme cold weather up here is causing serious problems with sizing. And now add serious rainfall will continue to limit supplies. Also the cold weather in Mexico is holding back supplies of new crop. Sizing will still be limited to small to medium. Look for this to continue for the next three weeks.

Alerts:
Still trending to Small to Medium size, coupled with limited supplies

Cold weather continues to hamper size growth in the carrot crop. Jumbo size carrots coming out of fields are at a very low percent.

As this week continues supplies are much better and the market is correcting itself. The quality is still fair at best with yellow discoloration in some lots. Also arrivals have been showing up with black to brown spotting.

The celery market is softening a bit with a few suppliers as demand has lessened. Yuma will not begin production for another two to three weeks at the minimum. Temperatures this week in the Southern California region will range from the 40-60s and the current rain storms have not helped. This will keep supplies snug throughout the week. Crews will be delayed in harvesting product. Sizing will be more readily available with thirty and thirty-six count packs. Harvesting in Florida still hasn't offset supplies in California.

Alerts:
Limited Supplies due to existing rain in Oxnard

The cherry market is fluctuating as supplies begin to tighten up. The Chilean deal is two to three weeks from finishing for the season. Supplies will become more erratic as we move forward. The current market is steady with light demand and light supplies.

Alerts:
Cherry volumes lightening up.

Cilantro supplies are limited mainly due to cold weather in all growing regions, coupled with lack of labor for harvesting. Processed, 30 count, and 60 count cilantro supplies look to be in serious short supply for the next 2 weeks. Quality arrivals showing black slimy decay and yellowing in most packs. Heavy Rains in Oxnard are adding to the problems as well.

Alerts:
Rains in Oxnard have caused more limited supplies and higher markets

Lemon demand is strong. Size peaking on 140s and larger, with 165s and smaller fruit remaining very tight.

Alerts:
Small size fruit 165s/200s/235s remain very tight. Expect tight supplies on these sizes to continue.

The lime market is steady on all sizes. Good demand and fewer supplies has caused the market to rise. The overall quality level is good with some lots coming in with a bit of yellow mixed in with the green.

California Navel growing area has received good rains this week and has rain predicted for the balance of the week. There has been no harvest and none expected until weather dries out. The rains are much needed for the health of the trees, but with no harvest, bin inventory of picked fruit is falling and supplies are tightening up and many shippers will be clean of inventory by the weekend and leaving very little to shipped the begging of next week.

Alerts:
Rain in California's Navel growing area has not allowed for any harvest this week. Fruit is tightening up.

The green seedless grape market is steady with good demand and light supplies out of Chile. We are currently suffering from late vessel arrivals and limited quantities upon arrival. This looks to be improving slightly as volumes shipped are improving. The arrivals are still erratic but this too looks to improve over the next few weeks; barring weather related issues.

The red seedless grape market is demand exceeds supply. The current arrivals at port are selling out almost before arrival. We expect this situation to change slightly in the coming weeks as volumes arriving at port continue to improve. That being said, the pipeline is dry and it will take several weeks for the market to show substantial improvement.

Alerts:
Demand Exceeds Supply.

As an industry green onions are in a severe supply gap. Cold weather,labor issues, and rain today in the growing regions has put a major strain on this market. Elevated markets and shippers walking in with no supplies what so ever have led to fill rates. Quality issues will be the problem now with the rains.

Alerts:
Extreme high markets and limited availability on Iced and Iceless

The weather has finally caught up to us and limiting supplies. We are finally caught between the cold weather in Mexico and the rain in Oxnard. Good green color and full boxes have been see upon arrival. The market is following an upward trend and will do so into next week.

The iceberg lettuce market is demand exceeds supply. Several weeks of freezing and below normal temperatures have brought growth to a stand still. That, coupled with the frost and freeze damage that comes with it, has drastically reduced yields. Supplies are at much lower than "normal" numbers even as demand is improving. The outlook for the coming weeks and months is poor. The frost and freeze has damaged much of the young plants as well as the product ready to harvest. We see a much stronger than normal market well into next month; and possibly through the Yuma deal.

Alerts:
Market moving higher as yields drop.

Freezing temperatures of the past several weeks in the desert growing regions is taking it's toll. Quality is suffering with all leafy greens showing epidermal peel both on the outer ribs and down into the heart. Additionally, we have had a recent rain event that will only exacerbate the quality issues. Romaine, red and green leaf will all show some discoloration and "breakdown" where the blisters on the epidermis occur. Yields are suffering as a result. With this drop in production we are seeing a much stronger market and expect it to continue to strengthen through the month of January.

Alerts:
Frost and freeze damage with poor yields per acre in all desert leaf.

Cantaloupe supplies are increasing. West coast supplies continue to build slowly and with the increase in supplies we should see better availability in the near future. The quality is very good overall. The peak size is 9ct with better supplies on 12ct and even 15ct finally. The 18ct are trickling in now. We are experiencing good demand on the cantaloupes that are arriving. The current market is lower on all sizes. Honduran grown lopes have been arriving in Florida for the last two weeks and the Guatemalan supplies are tapering off.

Demand is good on all sizes. The peak size for the offshore is 5ct while the small amount of Mexican dews are peaking on 6ct . Offshore dews continue to arrive on the west coast in low volume and some lots have spotting and occasional stem decay. Honduran grown honeydews are starting to arrive in Florida. Mexican dews continue to ship out of Nogales AZ however many growers have finished and the volume is very light. Some lots of the offshore dews have been arriving with superficial spots caused by previous rains in Guatemala. The Mexican dews are very nice. The market is rising on all dews.

Idaho - Very good demand on all colors and sizes has the market firming. Look for this to continue into next week. The over all quality is good but there is a few lots of yellow onions starting to show some translucent in the outer layers. It is that time of year to make sure you have good air moving around your onions which will help dissipate the extent of the translucent layers. Mexico is the next area to come into play the end of this month.
Washington - Demand is keeping up with supplies which is keeping the market steady on all sizes and colors. Quality is being reported as good.

Washington - the Bartlett market remains flat on all sizes but is still strong due to light supplies. Bartletts continue to peak on 110/120s and the larger sizes are especially short. Bosc pears are steady and continue to peak on US#1 90/100/110s. Fancy bosc are short on all sizes. D'anjou pears are steady on all sizes. D'anjous are still peaking on US#1 90/100s while all sizes of the fancy grade are limited. Red pears are steady on all sizes and are still producing mostly half carton 45/50s and full carton 90/100s. The quality on Bartlett pears has varied. The D'anjou, Bosc, and red D'anjou pear quality has been good.

Supplies are dropping and volume will be lighter, but steady through Easter.

Idaho - Demand is very good and is over running supplies, A lot of the demand is from the short holiday weeks and cold temperatures that limited packing hours the last two weeks. This should straighten out as week get through next week and demand and supplies equal out. The market is firming on all sizes and packs. This will continue into next week or maybe longer. Quality is still being reported as good. Burbank are the main variety being packed currently with a few sheds packing Norkotahs only a few times a week. Idaho Potato Lovers Month Promotions have started.
Washington, Colorado, Wisconsin - Demand is moderate with steady markets on all sizes and pack. Quality is being reported as good. These growing areas will be getting more creative with the consumer packs to compete with Idaho promotions. If they cannot get movement on the consumer packs it will tighten up the carton market.

Bakersfield, California - reds and golds are steady on all sizes while whites are steady slightly lower. All colors continue to peaking on A-size. Premium and baker size reds and golds remain limited. The quality on all colors has been good.
Western Washington - reds and golds are steady and they are peaking on A size. There are a few storage whites and they are also steady and peaking on As. The quality has been good on all sizes and colors.
Idaho - reds and golds are steady on all sizes. All colors continue to peak on A-size and the quality has been good.
Wisconsin - golds and golds are both steady, both colors are still peaking on A-size. The storage reds are starting to show a little age so the availability is lower. Premium and baker reds, premium and baker golds, and gold Cs are all still short. The quality has been good.
North Dakota - Golds and reds are steady on all sizes and both colors continue to peak on size A. Premium and baker size potatoes remain limited in both colors. The quality has been good.

Transitions:
Florida will start packing new-crop red potatoes the week of 1/25 and then a few golds and whites the next week.

Chilean Stone fruit supplies are improving. The market on peaches, plums and nectarines is about steady. Sizing is running heavily to the 60 - 70 series volume fill and tray packs. Quality is typical of the Chilean fruit: hard with minimal sugar. Supplies and quality should improve as we move into February.

Alerts:
Chilean peach, plum and nectarine supplies improving.

Rounds - The market is steady / higher. Production and yields still on the tighter side, due to weather conditions. Florida will continue to see lighter supplies through the week, and a minimum. Rains in all areas continue and demand still higher throughout all regions. Quality is Good / Fair.
Roma - The market is steady. Supplies are a little better, however, demand continues to be strong. Weather still an issue in Florida. Mexico supplies a little better as well, however, colder temps could slow things up again out west. Demand still strong. Quality is Good / Fair.
Cherry - The market is steady. Florida seeing a little better supplies, with the help of increased production. Mexico also seeing better supplies out west. Demand still consistant. Quality is Good / fair.
Grape - The market is steady. Supplies also look to be a little better out of Florida and Mexico. However, colder temps are forecasted, which may slow things back up. Demand still consistant. Quality is Good / Fair

Rounds - The market is steady / higher. Weather conditions continue to play havoc with production and yields. Supplies still looking tighter in all regions. Back east, weather also continues to hamper supplies. Demand still strong. Quality is Good / Fair.
Roma - The market is steady. Supplies out of Mexico looking better out west. Back east, product out of Florida also looking a little better. Demand still consistant, since rounds are still are the tighter side. Quality is Good / Fair.
Cherry - The market is steady. Supplies out of mexico getting better and better. Supplies back east also looks to be a bit stronger. Forecasted weather showing rains and colder temps out west, so, this could slow things back up. Quality is Good / Fair.
Grape - The market is steady. Supplies on grapes also looking to be better in the west and back east. Mexico crossing more supplies, as new region(s) come on-line. However, colder temps are forecasted, so, this could slow things back up with the grapes as well. Quality is Good / Fair.