Good afternoon,
FLORIDA STRAWBERRIES are in PEAK supply! We are entering a rare week or two out of the year where production, quality, and pricing all line up perfectly. STRAWBERRIES are a great item to promote this coming week.
APPLE markets look to take an interesting turn this spring and summer. We are already seeing prices on GALAS move up weekly in an attempt from Washington growers to slow demand. Projections are VERY SHORT on GALA APPLES, and behind on GRANNY SMITH and GOLD APPLES as well. The real challenge will begin in the spring, where MICHIGAN GALAS are projected to be finished at the end of March. That timeline is incredibly early compared to most years and will cause a significant shortage of GALA 175-198 specifically from APRIL - AUGUST.
Relief on west coast veg seems to have arrived as LETTUCE, CAULIFLOWER, CELERY, and BROCCOLI markets have softened this week. Production has rebounded as we have moved through most planting gaps and weather has stabilized.
BROCCOLINI is exempt from that relief as production is much lighter on this commodity and the few growers who produce it remain in a demand exceeds situation. GREEN ONIONS also remain tight as product is dealing with cool temperatures in MX.
Just as things improve out west, of course things get complicated in the east! Growers have sold out of pre-freeze supplies and we are now living in the post freeze world! PEPPER, CORN, CUCUMBERS, TOMATOES, BEANS, SQUASH, and even CABBAGE have seen halts or delays in production. Market activity should be expected for the next several weeks as recovery from such significant damage will take some time.
The LIME market continues to escalate rapidly. Costs in Mexico are rising as yields decline due to colder seasonal temperatures, which is typical for this time of year. However, extreme cold temperatures experienced across Mexico in January caused significant fruit drop in the groves, which will continue to impact production in the coming weeks. As a result, yields are expected to remain reduced through March and into April, tightening overall supply.
More as it happens,
Parker Tannehill