The Source - September 17, 2015

California - Gala supplies are light as the end for the season approaches but there are a few left. Fujis are steady on all sizes and they are peaking on 100/113s but the availability is light. Granny-smith apples are peaking on 100/113s and they are producing more of the smaller sizes. The Granny market is being quoted steady but there some volume discounts for various sizes. Braeburns are steady and are heavier to 100/113/125s. The quality for all varieties has been good.
Washington - The C.A. Red Delicious are almost finished for the season. New-crop Red Delicious supplies are increasing and the sizing remains large. Most shippers peaked on 72/80/88s. Golden delicious are steady and are peaking on premium grade 100/113/88s. New crop Granny smith are steady but they are smaller than last year. Most shippers peaked on 88/1000s. Most packers have very little if anything larger than an 88-size. Gala are smaller this year and are peaking on 100/113/125s. The Fujis are heavier to large fruit but supplies are improving as more shippers have started. Honeycrisp are steady to lower and are big as they normally are with the main size being 64/72s. There are Honeycrisp deals on lower grade fruit. The quality for all varieties has been good.
Michigan - Macs are steady and they are peaking on larger fruit but they good numbers of smaller fruit. Galas are steady on all sizes and the demand has been strong. Gala supplies are still limited. Golden delicious are steady and supplies are also light this week. Honeycrisp are steady to lower and supplies will be better next week.
New York - Macs, Galas, Honeycrisp and Gingergolds are all being quoted steady. McIntosh volume is up and there some flex on certain sizes and grades. The Macs are peaking on 100s, the galas are heavier to 100/113s and the Gingergolds are peaking on 56-88s. The quality has been good on all varieties.

Transitions:
Michigan - Empires will start next week and reds, Cortlands, and Jonagolds will start the week after that. On the week of October 5th they will start packing red Romes, Ida-Reds, and Fujis.
Washington - Braeburns and Jonagolds will be packed next week. Pink Ladys will start the week of October 27th.
New York - Empires will start in two weeks.

This market is steady, overall. Production from the Northern Mexico region will be finishing in another week. After that, Southern Mexico will begin, but supplies will be moderate to light to start the season. All pack sizing is limited, with jumbo packs being the tightest in availability. Better pricing can be done out of Miami on Peruvian product. Supplies are better on standard and large packs out of this growing area. The quality continues to be reported as good in all the growing regions. Pricing may go up early next week, based on reports.

California harvest is down to just a couple of shippers receiving the last of this year's crop. Should be finished for the season by next week.

Mexico's harvest is going well, with good volume on 40s, with 48s starting to tighten up and still limited supplies on 60s and smaller. Limited volume on #2 fruit as quality is very good. The fruit is still low in its maturity, but is coming in 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.

We have had light availability again this week for blackberries in all California growing regions. With the current cooler weather this week, crops have recovered some and availability and quality has improved slightly over last week. The current crops have past peak for this season and the recent heat accelerated quality issues with soft fruit, red cell and juicing. Labor is also an issue as more pickers are focusing on culling fruit and controlling quality for the limited harvests. Projections show a shortage of blackberries all the way through September and into October until the Mexican blackberries come on with good volume and begin crossing the border into the United States.

Pacific Northwest (OR, WA, BC) blueberries are very limited again this week. Most shippers will end major production in the PNW region this week. Some shippers are anticipating weekly shortages all the way through September. Quality continues to suffer on the remaining PNW fruit with shriveled, aging, soft berries and some mold. Southwest Michigan has slowed down in production due to some rain over several days last week, some recent reports of damage from the rain. These blueberries have some splitting, shrivel, soft and occasional mold as well. Both domestic areas are still shipping both fresh harvest and controlled atmosphere storage fruit. Pricing is continuing to climb upward as we get deeper into September. Availability of the large packs (pints, 18oz, bulk) is extremely limited with more 6oz and 4.4oz clamshells being packed due to limited raw product volume. There is some offshore fruit beginning to hit the US coasts with imports from Uruguay, Argentina and Peru. The volume of offshore fruit is very low to start but we expect it to steadily increase throughout October and into November. This new product is also demanding a premium price. Some light color being reported along with damage from rain in the early growing season.

Availability has improved some over last week but quality will continue to suffer after last week's extreme heat. I expect we will see some soft, leaky fruit in the clams on arrival. Berries are very dark red and overripe fruit will be in the clams. With the weather cooling down some after this past weekend, we should see raspberry quality and availability recover some by the end of this week, front side of next week.

Quality is still the biggest concern with fresh strawberries out of the Salinas/Watsonville growing region. After the extreme heat that was experienced last week, quality continues to suffer. Fruit size is small (20-25 per 1 pound clam), berries are full-red color with bruising and some overripe, soft spots and bleeding. Some mildew also reported. 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. Maintaining the cold chain is of utmost importance when dealing with lower quality fruit. Fruit should be kept 32-34 degrees at all times. 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. Varying markets based on quality and availability out of Salinas/Watsonville district. Santa Maria fall crop fruit is demanding a premium price.

Transitions:
A few growers began packing in Oxnard this week, very light volume to start. Some other growers will start walking their Oxnard fields as early as next week and will start packing commercial fruit within the next 2-4 weeks.

This market is firm. Supplies continue to be very light on crowns. There is escalated pricing on broccoli crowns as well as florets. Demand exceeds supply. Processors will be watching averages closely. The quality of this commodity continues to be average at best. There has been defects including brown and yellow beading, as well as a rubbery texture. Theses defects are a direct result of past warm temperatures. The main production continues to be out of the Salinas Valley. The Southern California region will have light production for the entire week. Production out of Mexico as well as McAllen is limited.

Bakersfield crop is in full summertime production. Size in the fields has improved and the percentage of jumbo size carrots is much better. Quality is good.

This market continues to gain strength with many suppliers. The best availability continues to be in twelve count packs. Demand is up. Brown and black spotting and yellowing has been seen upon arrivals. This is caused directly from the high temperatures in past weeks. Yields are down and expect pricing to increase throughout the week. Although temperatures are beginning to subside, the damage has been done. Temperatures are expected to go upward next week.

This market is steady. This pattern looks to stay this way for the rest of the week. Santa Maria's production is moderate at best on large sizes. Supplies out of the Michigan region are winding down, but there is availability. Production in Salinas is moderate to light. The quality continues to be reported as strong and this will continue throughout the week with most suppliers.

This market continues to get weaker. Supplies will be ample to fill all orders. The Baja region of Mexico has better production as well as southern California. Some seeder and black coloring on the product has been reported upon arrivals from all the growing areas. Salinas production is moderate.

Demand remains very high and we are seeing extreme demand exceeding supplies on all sizes and 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 California lemons. The new crop in the desert is just beginning in a very light way. Expect this shortage to go until we see the desert crop hit some volume 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 hits some volume.

The lime market is steady now across the board. The old crop is finishing up and the new crop volume is picking up nicely but not enough to fill in the lack of volume due to the old crop finishing. The overall quality is good on the new crop that is being harvested which is currently the small sized limes. The old crop limes are average to below average in quality and they are tired now. Stylar breakdown is the main defect some lots of old crop and yellowing also may be found. We continue to have good demand on limes. The old crop looks to be finished by mid October.

California Valencia oranges are moving very well and are in full demand with the school push; 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 off that crop. 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.

Transitions:
California Navel crop looks to be starting around mid October.

The green seedless grape market is strengthening as we move towards Fall. The better size and quality is commanding a significant premium over the smaller medium large fruit. This trend will continue as supplies of the premium quality fruit will be diverted towards storage in the coming weeks.

The red seedless grape market is about steady with some strengthening on the large to extra large fruit. We are now shipping primarily Crimsons on the medium large fruit with the large to extra large mostly in the Vintage Reds and Scarlet Royals. Quality is generally reported as excellent.

This market continues to gain strength with most suppliers. A few are sold out of this commodity to start the day. Supplies in Mexico as well as California have tightened up. Demand is stronger. Production in Mexico continues to be the main territory this commodity is being grown. Salinas' production is very light. The main sizing is predominantly small and medium packs.

This market has remained unchanged. Good quality and availability of this commodity will continue throughout the week in all the growing regions. Pricing continues to be competitive. The Baja region as well as California continue to be the two main growing regions at this time.

Demand continues to exceed supplies. This market is firm. Issues continue on the quality of this commodity. These issues are small and irregular head size, large seeder, puffiness, insect damage and internal burn. The defects are directly related to past high temperatures in the growing regions. All shippers are having these problems. Yields are down with all suppliers. The weights on palletized are averaging 38-42 pounds. Salinas and Santa Maria are the two main growing areas at this time.

Leaf items are firm. Issues will continue. These issues include fringe burn, small and irregular sizing, insects, dehydration, seeder and internal burn on romaine. The weather has cooled in the growing regions, but the damage has been felt by the growers. Yields are down. Temperatures are expected to be high again starting early next week. The weights on romaine cartons are averaging 27-33 pounds. Chopped romaine as well as romaine hearts continue to show pinking upon arrival. Green and red leaf markets are higher as well. Fringe burn, mildew damage, internal burn and insect pressure continue to be defects associated with these commodities.

The West Side is producing less volumes of all sizes. The peak size at the moment is 15ct and 9ct and 12ct have become scarce again. The West Side has very good quality and sugar contents. The current market on all sizes is moving upwards especially on 9ct and 12ct. We are experiencing good demand for cantaloupes at this time. The desert region is looking to begin harvesting the first week or two of October.

The peak size is currently 6ct. The quality and sugar contents are really good right now and this looks to continue. Our honeydew market is moving up gradually on all sizes now. Honeydews are also past their peak production now and the desert will begin towards the end of October. We continue to experience good demand across the board.

Idaho/Oregon - onion growers are a couple a weeks away from having all their onions into storages. Sizing this year looks to be peaking on jumbos with a good number of smaller onions going into the storages. Colossal and super colossal will be available but will be limited on and off thought out the season. Quality is being reported as good. Market is steady on all colors and sizes.
Washington yellow onions are peaking on medium and smaller with very few colossal. This looks like it will be the trend for the Washington season. Quality is being reported as good. Markets are steady on all colors. The high heat during the growing season is the main reason for the smaller sizing. Demand will be the key to market pricing as we move towards the end of the year.

California - Most shippers are looking to clean up their remaining Bartlett pears. Crimson pears are peaking on 45-55 count half cartons and the market is steady. Bosc pears are steady to lower and they are peaking on smaller fruit. Most packers will deal on Bosc volume to clean it up. The quality for the Bosc is good. The Bartlett and Red pear quality is just fair.
Washington - Bartlett pears are peaking on 110/120s and the market is steady with some lower especially on the smaller sizes. The demand has been steady. Washington Bosc are steady and they are peaking on 90/100s. D'anjou pears are steady to slightly lower and they are heavier to 100s. Red pears are steady on all sizes and are peaking on half carton 45/50s and 90/100 full cartons. The quality has been good on all Washington pear varieties.

Idaho harvest has been interrupted due to moderate rain yesterday and today. Forecast is calling for a slight chance of rain tomorrow then clearing going into the weekend. Growers should be back into full swing by Friday/Saturday. Supplies have tightened up with most shippers but this will be short lived. Market has not reacted and is steady. Quality is still being reported as good. Supplies are sill peaking on 60 count and larger with that market being slightly lower. Smaller sizes are steady.
Washington/Colorado and Wisconsin growers are focused on filling their storages and trying not to run much product for the fresh market due to Idaho flooding the markets currently. Quality is being reported as good. Market is slightly lower.

Alerts:
Idaho - Moderate rain Tuesday/Wednesday has interrupted harvest.

Stockton, California - All colors are steady and still peaking on A-size. The availability of premium and bakers is better this week but they are still limited. The quality has been good on all colors.
Western Washington - Reds, golds, and whites are all steady and the availability is good. Reds, whites, and golds are peaking on A-size. The quality has been good for all colors.
Western/Central Idaho - Reds and golds are steady and both continue to peak on A-size. Gold supplies are light.
Wisconsin - Reds and golds are up slightly again as they are finished harvesting and coming from storage. Premium and baker reds, premium and baker golds, and gold Cs are remain short. Both colors are peaking on A-size and the quality is good.
Minnesota - Red and golds are steady but supplies remain light since they will finished packing next week. The quality on both colors has been good.
North Dakota - They continue to pack reds and golds and both are heavier to As. The red availability is good but gold supplies are light as only a couple packers have started. The gold supplies will be better next week as more packers start to run. The quality has been good on both colors.

The peach market has improved as the last of the nectarines have cleaned up. Sizing is running heavily to the large tray packs in the late season yellow peaches. Several shippers have finished on these as well and it appears we will finish shipping most of this years crop in the next 10 to 14 days. The plum market is stronger as well with supplies beginning to tail off. Red plums are finishing and will be followed by the black plums over the next several weeks.
Fall pomegranates are in full swing with excellent supplies of the Wonderful variety. This market is dropping as supplies continue to improve daily.

Rounds - The market remains steady. Local growers are helping but will only continue for about another 2 weeks. Northern Florida and Southern Georgia are expected to come on in a couple weeks. Some mid-west buyers are looking east for better quality product. This may keep pricing from dropping this week. Quality is good.
Roma - The market remains steady. Programs in Virginia/Tennessee and Michigan are decreasing in volume. Mexico continues to come in with increased volume. Should see a slight increase in pricing due to lower local availability. Quality is good.
Cherry/Grape - Cherry market remains strong. There is some product available on the eastern shores but quality is very suspect. Expect pricing to remain elevated for a few more weeks. Grape market is strong with Virginia/Maryland producing decent volume. There are some deals out there just be careful regarding quality. Quality is fair.

Rounds - The market is lower/steady. Mexico's volume is currently enough to make up for Central California's shortage. Vine Ripe tomatoes from Mexico are continuing to come in with good volume. Look for rounds to remain steady in price with possibly a slight decrease. Quality is good.
Romas - The market is steady. Good volume in California and Mexico will keep the market steady in the west. Some volume is going east which will keep the price from decreasing. Quality is good.
Cherry/Grapes - Cherry market remains strong. Some quality issues in the east so this will keep the market strong and prices elevated. Quality is fair. Grape market remains steady. With good volume coming out of Mexico and California we may see a slight drop in pricing this week. Quality is good.