The Source - March 28, 2018

Washington - Markets are fairly steady on most sizes (80 count and smaller) and grades Red Delicious, Golden Delicious, Granny Smith, Galas, and Fujis. Demand on small size Red Delicious WX2 and lower has improved which has stabilized this market. Supplies of Honeycrisp are seasonally lighter with a slightly firmer market. Rising star varietals are steady with a few deals being made on 125s and smaller. Quality is very nice so far this storage season.

Idaho - This will be the last week as shippers are just cleaning up inventory off their floors.

Pennsylvania - Red and Golden Delicious, and empires are the only varieties left with the season slowly winding down over the next two weeks. Quality has been good. Markets are steady.

New York - Galas, Red and Gold Delicious, Red Romes, Empires and Ruby Frost are still available. Sizing has been peaking on large sizes. The market is steady with good quality fruit being packed. Mclntosh is almost done for the season.

Peak Seasons:
Washington Apples are in peak season.

Weather is starting to warm up in Caborca, and San Luis Mexico. Volumes are lower in these two regions due to seasonality. We should see their season wrapping up the first two weeks in April. Gonzalez, CA is also seeing some improved weather which should help production as they're in the middle of their season. Ica and Trujillo, Peru have just started, and we should see volumes increasing as their fall season gets going. Markets are overall lower as all the Easter AD's have wrapped up.

California is harvest continues to ramp up. The much-needed rain last week disrupted harvest for the 2 to 3 days of rains. This rain will help size up the fruit. Fruit is ripening well and tasting great. We still see a good portion of fruit being sold to overseas export, but availability for domestic use is improving.

Mexico's harvest and shipments remain steady with good volume. There will be no harvest in Mexico this weekend as they will take off for Palm Sunday and Easter, causing a slight dip in the shipments. Expected to see shipments to pick back up once the Holy Holidays are over. Demand is good. Eating quality is very good, and fruit is ripening evenly.

Supplies are light in south Florida and have been for the past month, but demand is low and western pepper has kept the market in check. Florida growers are getting to the end of the winter season and waiting for the spring crop to begin. Below normal temperatures during March have delayed the start of the spring crop by about ten days. The transition should begin next week. Look for pricing to creep up as the week goes on.

Alerts:
Light supplies and quality issues.

Transitions:
The transition to central Florida will begin next week.

Blackberries are in good supply this week. Mexico production has started it's second peak production period, and we are seeing good availability in all areas with aggressive prices being offered for hot buys in Texas. Quality has improved, and flavor is excellent. Markets prices are lower this week. We expect to see good supplies for the next two weeks with an overlap in production between Mexico and California by mid to late April.

Transitions:
California is expected to start harvest in mid-April.

Peak Seasons:
Mexico is in its second peak production period of the season.

Blueberry supplies have become limited this week. We are seeing the last of the Chilean fruit make its way through the market this week and will quickly come to an end. Quality on the Chilean fruit has been fair with reports of soft berries and shrivel. Domestic harvest has been very slow to start, and Mexican production is tapering off, leaving supplies limited industry-wide. Demand is strong, and market prices are higher. We expect Florida to gradually ramp up production next week, followed by California and Georgia mid-April. We expect supplies to be fairly limited over the next week as we make the transition to domestic production. Market prices will remain higher until we see increased volume in Florida.

Alerts:
Supplies are tighter and markets are higher this week.

Transitions:
Florida will slowly ramp up production over the next two weeks. California and Georgia are expected to see good volume by mid-April.

The rain and cold weather has delayed production in the California growing regions. Mexico is our primary source of Raspberries at this time and production numbers are down this week. Supplies are limited and demand is very strong. Market prices are higher and quality has been solid. We expect this to be the case until domestic harvest starts up slowly in Santa Maria and Oxnard by mid April.

Alerts:
Supplies are limited and markets are higher.

Transitions:
Santa Maria and Oxnard are expected to slowly start by mid April.

California growers are slowly recovering from last week's rain damage. In Santa Maria and Oxnard, shippers spent the front part of the week cleaning the fields of water damaged fruit and stripping plans. Production volume has been very light, and we expect supplies to be limited for the remainder of this week and into next week. Quality is being challenged as shippers do their best to pack as much as possible to fill demand, but still, try to keep the questionable fruit out of the pack. The berries are showing some bruising, and we can expect to see soft spots and occasional wet berries until we can transition into the new growth cycle. I have attached some pictures of what we are seeing out of these areas. Markets prices have been high and firm due to the shortages. I expect to see some relief by mid next week. Florida supplies are drying up quickly as most shippers are either done or plan on being done in the next week. Quality has been fair, and markets are steady. Salinas and Watsonville areas have been pushed back 2-3 weeks due to the rain and recent cold weather. We can expect harvest to start back up by mid-April and ramp up toward the end of the month.

Alerts:
Supplies remain limited and markets are higher.

Transitions:
Salinas and Watsonville areas expected to resume harvest in 2-3 weeks.

The broccoli market remains flat as we have four growing regions harvesting broccoli. Supplies are extremely abundant. Quality is excellent from all regions as we are seeing a decent crown size, dark green color with the occasional yellow, and minimal dehydration.

We continue to see a decrease in supplies from Mexico. Oxnard is the other growing region currently, and there are not enough supplies to fill the void from Mexico. Quality remains excellent with vibrant green color and a multiple of sizes.

California carrot supplies are good on value-added packs and medium-size carrot. We are still seeing a lower than normal percentage of jumbo sizes coming out of the fields.

The cauliflower market is holding firm at current market levels. The Yuma growing region is just about finished. This will put pressure on the Salinas and Santa Maria growing regions to fill the void. The supplies are limited in Salinas, but Santa Maria is the most competitive. The quality has been really good form the new crop out of Salinas and the consistency of Santa Maria. We are seeing minimal bruising / brown spotting and vibrant white color.

This market is finally moving with supplies tightening up fast. Yuma is winding down in production, approximately two more weeks at most and Southern California is tightening up in production. Small sizing, thirty-six and smaller are commanding the highest price in the marketplace. Demand is up and expects stronger markets next week. Good quality continues to be reported even with all the rains and cool temperatures that have hit the growing regions.

Cilantro supplies are steady form all growing regions. The market although varies from supplier to supplier. There are more competitive prices in Oxnard and Santa Maria. Quality has been really nice with full bunches, minimal yellow to brown leaves, and little dehydration.

The lemon market is steady with good supplies in District 1 and 2. Sizing in the San Joaquin Valley (District 1) is skewed heavily to the 140's and larger. District 2 (Oxnard / Ventura) is peaking on the 115's to 200's. Quality is good in both areas with District 1 packing out more of the fancy grade fruit while District 2 is heavier to choice. All said availability is good in both districts with few issues reported or expected for the coming week.

This week is a celebrated religious holiday in Mexico. Harvest crews will only be harvesting 2 days (Monday and Tuesday). They will return to work on Tuesday 4/3. Taking into consideration pack and transit time from Mexico to Texas, we may not see new inventory of Limes until Next Friday 4/6. Shippers are packing ahead in anticipation of demand, but supplies will be limited and new business will be difficult to cover until normal production resumes. Market prices have remained steady and quality is improving. We expect after the Easter Holiday delays, harvest volumes should increase as we move into April.

Alerts:
Easter week will bring delays and short supplies.

Quality continues to be excellent on the California Navel Orange crop. The market is steady with no change expected for the coming week. The recent rains have shown no real effect on the oranges other than having delayed some harvest for a few days. Sizing is peaking on the 56's to 88's. All indications are that sizing will continue to be an issue as the crop moves closer to the end of the season. The smaller 113's / 138's will become increasingly scarce over the next two months.

The Honduras imports will continue for another week with light supplies. Florida shippers are starting their spring deal with growers on the east and west coast of the state beginning. Volume will increase next week as yields pick up, temperatures rise, and more growers start harvesting. Florida has been very windy for the past six weeks, causing some scaring issues and irregularly shaped cucumbers.

Alerts:
it's been very windy in Florida, beware of scaring issues on cucumbers.

Transitions:
Cucumbers are transitioning from imports the South/Central Florida.

New fields of eggplant are starting closer to the central part of the state and quality has gotten better. Supplies are still light as growers are working on small acreages. Cooler temperatures during March have held yields down and are slowing the growth of new field set to start in central Florida. The forecast for the next ten days shows consistently warmer weather, which will help bring the volume up.

Alerts:
Better quality. Supplies are still light.

Green Grapes have entered into a two-tier market. New arrival grapes are terrific quality but are in the 30 dollar range. There is still storage crop available to ship in the lower 20 dollar market, but we are seeing more difficulties with quality and shelf life. Expect to see a more difficult green grape market for the remainder of the Chilean season.

There is a wide range of variety and sizes, but quality is spotty, especially any grapes purchased cheaply. Splits and decay are the main issues we are seeing so make sure to check quality upon arrival. The red grape market is steady with product still coming in, as well as sitting in storage.

The Easter holiday is upon us. We will see a major decrease in supplies coming from Mexico this weekend. Harvesting crews will be taking 4 to 5 days off due to the holiday. This will definitely increase the market on both iced and iceless green onions moving into next week. The quality continues to be consistent with white tips and minimal yellow to brown tops.

Kale supplies remain abundant form all growing regions. The quality is also excellent with dark green color, minimal yellowing or dehydration. The market is also competitive.

Demand has fallen off considerably. This market is softer. Huron production has picked up, and Yuma is expected to have production for another 2-3 weeks. Santa Maria is light in availability but expected to be better in the coming weeks. The defects that are continued to be reported upon arrivals include pinking and discoloration as well as irregular shaped heads and puffiness. The weights continue to range between 40 -45 pounds. Shippers are willing to flex on volume type orders.

Transitions:
Yuma production will continue for lettuce another 2-3 weeks.

This market is steady overall. There is a gap in pricing due to supplies being spread out in Yuma, Santa Maria, and Huron. Supplies are moderate. Romaine hearts continue to be tight in availability, and this will continue throughout the week. This commodity is on escalated pricing. Shippers continue to deal with issues like blistering, epidermal peel, pinking on the ribs and discolored leaves on romaine, butter, as well as red and green leaf. All of these defects are directly related to rain and cool weather that has occurred in past weeks. Huron production is going to be stronger next week as Yuma begins to wind down. Salinas will begin harvesting in early April.

The spring mix, baby spinach, and arugula supplies remain abundant as we finish up the Yuma Season in two weeks. But most suppliers will be transitioning to Salinas next week. We have also seen steady supplies of organics. Now that has a possibility of changing as we get back into Salinas due to the previous rains. As you all know this will create mildew in the organic tender leaf items. The market remains steady as well. The quality has been decent overall. But we have had some arrivals of excess wetness and bruising of the leaves leading to some sliminess.

The cantaloupe market is active as the smaller sizes such as 15 count and 18 count are in extremely limited supplies. The long-term outlook is 7 to 10 days away from a sizing correction. The shortage of supplies has caused the market to trend much higher on nine count and 12 count cantaloupes. Quality is really nice with normal brix / sugar level and minimal soft rot.

The honeydew market is trending higher as we are seeing a 7 to 10 day supply gap in the smaller sizes such as eight count and nine count. We are seeing an influx of 4 count, five count, and six count honeydews. The overall quality has been really good with minimal scarring or brown spotting and normal brix / sugar levels.

Northwest Storage supplies are slowly starting to wind down, and some of the smaller grower-shippers have finished for the season. The larger shippers will go through the middle to end of April out of Idaho, and a few shippers out of Washington will go to the middle of May. This is all dependent on quality and demand. Quality of the storage onions is still nice. New crop onions coming out of Mexico are peaking on jumbo's and larger on Yellows and Red. Good supplies are available. Quality is very nice. Idaho's demand is moderate with a steady market on all colors and size. Washington demand is a moderate market on medium yellows and reds slightly higher. Yellow Colossal slightly lower. Mexico demand is moderate with a slightly weaker market on all sizes and grades.

Washington - D'anjou pears are peaking on 90's and larger. Moderate supplies of 100/110s market steady. 120s and smaller are limited and have a firm market. Bosc pears have a steady market with supplies slowly winding down for the season in the next two weeks. Sizing is peaking on 80/90s. Red pears supplies have been limited. Supplies should last into the start of May. Quality has been good on all flavors.

Offshore - Supplies of Bartlett pears are shifting from Chilean to Argentinian on both coasts. Sizing is peaking on 90/100s Quality is very nice.

Transitions:
Offshore Bartlett are shifting form Chilean fruit to Argentinian.

Volume from the tropics is good. Easter pull has begun, and we see fruit starting to tighten a bit. Size continues to peak on 6s/7s.

The market out of most areas is slightly higher on cartons 40 - 80 count with bales steady. Shippers are in smaller lots currently, with most peaking on 80 count and smaller. This has been good for the retail bales for Easter up until now as demand has backed off. Quality is good out of all areas with very few reports of issues on arrivals. Look for the market to stay fairly steady with a slight upward trend on the larger cartons.

Western/Eastern Washington - Red and gold potatoes are fairly steady and are peaking on A-Size on both colors. Availability and quality are good. Supplies out of the Western side will start to finish up for the season by the second week of April.

Bakersfield, California - Reds, golds, and white are steady on all sizes and are peaking on A's. Supplies will be winding down as the switch growing areas. Quality is good.

Idaho - Supplies are steady on but reds and gold, Both colors are peaking on A-size. Quality is good. Supplies will go into May.

Wisconsin/Colorado - Supplies are winding down for the season. The market is steady. Quality is still being reported as good.

North Dakota - Market steady on both reds and golds, Quality is good. Supplies will go into June maybe longer.

South Florida - Market steady with good supplies. Quality is very nice.

Squash growing regions continue to produce high yields in south and central Florida. Homestead will continue supply during most of April. Squash remains in peak availability, and the market is reflecting that with very reasonable pricing. Quality has been good in all growing regions, and with warmer weather in the forecast, no weather related quality issues is expected.

Transitions:
Squash is in transition to central Florida.

Peak Seasons:
Squash is in peak season.

We are coming to the end of the Chilean season, and all fruit is arriving bigger, which means less volume fills and more tray packs. The market remains steady with good quality. Ship arrivals have been sporadic depending on the weather. Availability of Chilean peaches, nectarines, and plums continues to be light.

As April fast approaches, Spring harvests have established the traditional state of affairs for the start of the season. As southern Florida wraps up winter programs in Immokalee, new harvest further north out of Palmetto/Ruskin districts have brought forth fresh supplies boasting excellent quality and size. With more large fruit available coming in strong, smaller sized tomatoes are less available creating level pricing for the round category. As harvests break from crown picks, April will begin to show traditional step-down pricing between sizes as production continues into 2nd picks. Similarly, Roma tomato prices have tumbled with volumes reported from Central Florida at three times that of just weeks ago. Likewise, the transition north has also brought a heavy injection of grape tomatoes to market offering relief to the bite-size category as well. Cherry and Grape tomatoes have settled into regular price from the season easing off several dollars from just a week ago providing for an excellent start to the Spring season.

Supply from Central Mexico has rebounded earlier than previously forecasted with production beginning in new fields before the Easter Holiday. The increase in volume has provided for an affordable market with all varieties being offered at the price floor. As a result of excellent growing conditions, Vine Ripe, Roma, Grape and Cherry tomatoes are all of good quality and steady at this time. Although a minor harvest delay is expected at the end of this week as much of Mexico celebrates the Easter Holliday, supplies are strong enough to where prices are expected to remain steady.