The Source - September 3, 2015

California Galas are cleaning up and the availability is light. There is still some volume left on some sizes but lots of holes in the manifests. Fujis are steady on all sizes and they are spread evenly from large to small fruit. Granny-smith apples are peaking on 88/100s but they are also spread fairly evenly from large to small. The quality for all varieties has been good.
Washington Red Delicious continue to rise due to both stronger demand and lighter supplies. Most shippers are still peaking on higher grade 88s and larger. Small size red delicious are extremely short. Earligolds and Gingergolds are higher on most sizes due to light supplies. Golden delicious will start to get packed at the end of this week. CA Granny-Smith are steady to higher on all sizes and the market remains firm due to light supplies and strong demand. The CA Grannys are still peaking on 72s and larger with limited availability of 100s and smaller. New crop Granny smith are also available and they have better availability of 88s and smaller. Washington Galas are steady to slightly lower and they are peaking on 100/113s. The Galas are currently producing a lot of small fruit. A couple suppliers have packed early Fujis and they are heavier to large fruit.
Michigan Paula reds and Gingergolds are steady but already starting to clean up. The Paula reds are peaking on 88/100s and the Gingergolds are peaking on 100/113s. Michigan will start packing Galas next week.
New York Macs, Jonamacs, Paula reds, and Gingergolds are all steady with light availability. The quality has been good for all varieties.

This market continues to gain strength in the marketplace. Production from the Northern Mexico region will be finishing in mid-September. 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. Production out of Peru is moderate to light. Supplies are better on standard and large packs out of this growing area. Light supplies will continue throughout the week.

California harvest is declining and is expected to finish their season in a couple of weeks. 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.

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.

Blackberries are available with good volume and increasing week over week across California's growing regions. Quality has been good and we expect a continual increase over the next several weeks! Demand has been relatively moderate keeping the market steady.

Pacific Northwest (OR, WA, BC) blueberries are limited this week. Severe weather and rain over the previous weekend coupled with the seasonal decline of this crop is beginning to severely limit transfers of fresh fruit from this area. This could also end production for some ranches in the area for this season. Some shippers are anticipating severe shortages beginning the end of this week and going all the way through September. Southwest Michigan received some wet weather over the weekend as well, slowing down production to begin this week. Quality has been very good out of the MI region so far. Pricing is continuing to climb upward as we get into September. Availability of the large packs (pints, 18oz, bulk) is limited with more 6oz and 4.4oz clamshells being packed due to limited raw product volume.

Alerts:
Supplies are forecasted to be limited throughout the month of September. As the Pacific Northwest region declines to a seasonal end, we will be relying on MI and any offshore fruit from Argentina, Uruguay, Mexico and Chile that begins to arrive. Production gaps are expected.

Availability has been limited due to recent heat and subsequent quality issues that required 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. High humidity has also left us with some softer fruit. 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. This shortage is projected to last throughout the first 3 weeks of September and we should see better volume available after that.

Alerts:
Demand is exceeding supply as recent heat and humidity weakened fruit on the plants and required culling of subpar fruit. This coupled with gaps in the current crop and rotation have limited available fruit in the fresh market. Raspberries will be limited availability throughout the first three weeks of September.

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. 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.

This market is softer on bunched product in Northern and Southern California. Crowns however continue to be on the tight side. Processors continue will be holding to averages all week on broccoli florets. The quality of this commodity continues to be average at best. Escalated pricing is in effect on crowns. There has been defects including 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 production for the entire week. Production out of Mexico as well as McAllen is moderate at best.

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.

This market is active. Escalated pricing is in effect. Processors are going to be watching averages very closely as extra product outside averages will be difficult to acquire. Demand exceeds supplies. Twelve count sizing in particular continues to have the least availability of all the sizing. Black spotting and yellowing has been seen upon arrivals. The excessive heats in the growing areas are starting to take a toll on the quality. This market is expected to gain strength throughout this week as planting gaps are in the forecast with of all shippers.

This market is firm. Santa Maria's production has tightened up on large sizes. Supplies out of the Michigan region are moderate. Production in Salinas is beginning to slow down and is moderate at best. The quality continues to be reported as good and this will continue throughout the week with most suppliers.

This market is steady. Planting gaps in northern and southern California are key reasons for the shortage of product in the marketplace. Demand continues to exceed supply, but it should be noted that demand is not a strong as in past weeks. The Baja region of Mexico continues to have light production numbers. Some seeder and black coloring on the product has been reported upon arrivals from all the growing areas.

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 of fruit. Expect this shortage to go until we start the desert crop 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 starts.

The lime market continues coming down across the board. The old crop is finishing up and new crop volume is picking up nicely. The overall quality is good on the new crop that is being harvested. 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 have good demand on limes right now but it's not keeping the market from adjusting downwards.

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 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.

The strengthening of the green seedless grape market has begun to accelerate as the late season Thompson Seedless and Princess varieties finish. Grape sizing is moving to the larger berry sizes which is tightening up the availability of smaller fruit. This trend will continue and become more pronounced over the next several weeks as growers begin to hold the better fruit back to build inventories for the late season orders.

The red seedless market is about steady to higher with some tightening of supply on the smaller medium / large fruit. Projections for the short term are for this trend to continue leading to firmer pricing on both the medium / large to large fruit. Quality, especially on the larger size fruit, has been reported as excellent.

This market is firm with many shippers. Supplies are definitely lighter out of Mexico where most of the green onions are grown. Demand is stronger. Salinas' production is moderate at best. All sizing is available, with the heavier availability coming in small and medium packs.

This market has remained unchanged. There is good quality and availability of this commodity in all the growing regions. 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.

This market is firm with most suppliers. Defects continue to include small and irregular head size, high core, puffiness, insect damage and internal burn. All shippers are having these issues. This is industry wide, and directly caused by the warm temperatures over the past three to four weeks. Yields are down 25-40%. 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.

Leaf items continue to be steady. There are some gaps in pricing, romaine in particular. This will be seen throughout the week as shippers continue to evaluate losses in the field. Issues on this commodity continue to include fringe burn, small and irregular sizing, insects, dehydration and internal burn. The weights on romaine cartons are averaging 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.

The West Side continues to produce good volumes of all sizes right now. The peak sizes at the moment are 12ct and 15ct, however the larger sizes are picking up volume. The West Side has very good quality and sugar contents. The current market on all sizes is trending downward. We continue to experience decent demand for cantaloupes.

The peak size is currently 5ct. The quality and sugar contents are really good right now and this looks to continue. The market is behaving in a stable way on all sizes right now. Honeydews are in peak production. We continue to experience good demand across the board which is a good thing.

The yellow market is steady to slightly lower on jumbos in Idaho/Oregon, while Washington and California are steady. Washington still has more small jumbos and mediums while Idaho/Oregon has better size. California is finishing up and isn't a factor in the market. The red market is steady to slightly lower and is still controlled by Washington which has the most volume. Idaho/Oregon reds are steady but are higher priced than Washington. Whites are steady in the northwest. The quality for all colors in the northwest has been good.

California Bartlett pears are peaking on US #1 80-100s and the market is steady but the availability is light. Demand is lighter since Washington has started packing and the price flexibility for 80/90/100s is still available as most packers look to clean up. 120-size and smaller are no longer available. California Crimson pears are still peaking on 35-55 count half cartons and the market is steady to slightly lower. California Bosc pears are steady to lower and they are peaking on smaller fruit. The quality has been good for all varieties.
Washington Bartlett pears are still peaking on 90/100/110s and the market is mostly steady but some are lower. The Bartlett demand has been fair. Washington red pears are steady on all sizes and are peaking on 45/50 half cartons. A couple packers have started Bosc and they are peaking on smaller fruit as well.

Washington norkotahs are being quoted steady but they will flex on volume orders of 80-count and smaller. Number-twos are limited. The quality has been good.
Idaho is steady on 80-count and smaller while 70-count and larger are lower with good availability. The quality has been good.
Wisconsin and Colorado are also both peaking on the smaller counts and are short on 70-count and up. The quality has been good.

Stockton, California - Reds, whites, and golds and all are still peaking on A-size and the market is steady on most sizes and colors. Premium/baker red and gold availability is light. The quality has been good.
Western Washington - Reds and golds are steady to slightly lower. The reds are peaking on A-size while the golds have more B-size.
Western/Central Idaho - Reds are steady and are still peaking on A-size. The golds are steady with limited volume on some sizes. The quality has ranged from good to fair but the quality is improving.
Wisconsin - Reds and golds are steady on most sizes. Premium and baker reds and golds are limited along with 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. Minnesota has a lot of #2 A-size reds.

The nectarine market is demand exceeds supply and essentially done for the season. Several shippers have stockpiled inventories to carry them through the next week; so there will still be limited availability. The peach market is steady with good demand as shippers feel the increased demand created by the lack of nectarines. Overall quality is reported as good to excellent on both. The plum market is strong and going up as supplies become more sporadic in the face of improving demand. Sizing on plums is trending towards the larger fruit. Quality is reported as generally good.

Rounds - The market is strong. Still very short on volume. There are some small deals with local growers but the major producing areas are coming up short. Rain has played a heavy role on the availability. Pricing will remain steady for the rest of the week. Quality is good.
Roma - The market is steady. Volume is slightly higher this week with Mexico having good volume in the west. Market will remain steady this week with a slight drop in pricing. Quality is good.
Cherry/Grape - Cherry market is strong. Just not enough volume to cover demand. The market will remain strong with a slight increase in pricing due to availability. Quality is fair. Grape market is strong with Virginia/Maryland producing decent volume. Quality still better than in the west. Quality is good.

Rounds - The market is steady. Central California remains on the short side, but enough supply for the current demand. Vine Ripe Toms from Mexico have been up and down lately in regard's to volume. This week they are in good volume and the market price has dropped. Look for rounds to remain steady price wise this week and to drop with the vine ripe. Quality is good.
Romas - Roma market is steady. The volume coming out of California and Mexico has brought the price down. Market should see this slight decrease for the rest of this week. Quality is good.
Cherry/Grapes - Cherry market is strong. School volumes have created an even larger supply to demand gap. If you are still willing to pay the elevated costs you may find some availability. Quality is Fair. Grape market is Steady. Due to some quality issues the grape tom market had jumped the last couple weeks. Currently we are seeing better volumes and quality. The market should stay steady this week price wise with a slight decrease. Quality is Good.