March 12, 2008

Weather Outlook

Yuma, AZ – Day time highs will drop from low 90’s to 80’s as we move closer to the weekend. Lows for the same time period should be consistent at just below 50 degrees. Sundays high will only get to about 66 degrees. Sunday there is a chance of rain showers and thunder is possible. Light to moderate lettuce ice will hit eastern Yuma areas through Friday. Warmer temperatures up to the 90s are expected early next week.

Oxnard, CA – Clear and dry weather combined with winds up to 15 mph are expected over the weekend. Early next week shows most rain in the northern part of the state. Late next week shows a chance of heavy rain. Daytime temperatures will range from 64-73 degrees. Evening temperatures will range from 42-50 degrees.

Huron, CA – Warmer and windy weather is expected over the next several days. Rain is forecast for Friday, Saturday, and Sunday with winds of 10 – 20 mph. A larger storm with more rain is forecast ten to fourteen days out. Daytime temperatures will range from 62-74 degrees. Evening temperatures will range from 36-44 degrees.

Salinas, CA – Rain is expected Thursday through Saturday of this week, with high temps of 60 – 64 degrees, and lows will average around 40 degrees. Starting next Wednesday temps could drop with highs only in the low 50’s.

ICEBERG LETTUCE:

The lettuce market looks to remain steady for the week. Most shippers have cleaned up on old inventories, reducing available product. Demand is still low, helping to keep the market in balance. The lettuce size will be heavier to the 30 count in most fields. Current lettuce defects include cap discoloration, growth cracks, burst and light epidermal peel. Shippers are trimming defected leaves down, which are making the color very pale. The weights of palletized lettuce are in the 42 to 47 pound range on 24 count packs in Yuma and the Imperial Valley. Look for Huron to begin sometime the last week of March. Florida again is experiencing poor supplies this week due to rain. Weights reported in the 34 – 40 lbs per case range. It is possible that the market may increase next week. Mexican supplies of iceberg are steady.

ROMAINE & LEAF:

The leaf markets continue to have wide price ranges from all shippers. Supplies vary on each of the different leaf packs. Romaine supplies have increased causing the market to react lower. Romaine, green leaf, red leaf and butter are in better supplies now. The quality on Romaine out of Yuma is fair with a touch of blister/peel still showing up and weights in the 35 to 38 pound range. Look for production to move to Huron sometime the last week of March. The quality on the other leaf packs is fair as well with similar freeze related issues. The defects on the other leaf packs can include small head size, fringe burn and dehydration. Florida romaine market has been called good, and supplies are improving again next week. Look for supplies to be steady. Weights are in the 36 – 40 lbs range. Good supplies are also available out of Mexico.

BROCCOLI:

The broccoli market is making noise and jumping up fast. The warmer weather that helped broccoli grow faster, has now led to a supply gap. Shippers are experiencing lighter volume this week, and demand has picked at the same time. Shippers are able to hold their prices as they bring the market up. Demand for processed broccoli continues to be good. The few lots with quality issues are showing some purple cast. Florida has recovered from its temporary supply gap and once again has product available. Good supplies available from Mexico right now.

CAULIFLOWER:

The cauliflower market has turned around from last week, and the market has headed back up again. Demand for cauliflower is increasing also. Warmer weather had improved growth rates and many shippers are ahead of their fields for harvesting product. The faster growth of cauliflower has caused a supply gap. Cauliflower in the desert will be finishing up in the near future. Prices still vary from shipper to shipper as their volumes change. The overall quality of cauliflower is good with some yellow cast and soft shoulders showing up. Weights range between 28 to 32 pounds.

CARROTS:

The Carrot market continues to remain steady. West Coast supply and quality are adequate on all sizes of Carrots, but starting to tighten up just a bit. Georgia is still going strong. Quality and supplies are good and the market remains steady.

CELERY:

Good supplies and steady demand has held the celery market steady. The supplies of celery look to be good from all growing areas, which include Coachella and Oxnard CA., Yuma, AZ, Texas, and Florida. Demand is steady on celery and looks to remain so for the rest of the week. Shippers are taking deals in order to move excess volume. The Texas and Florida Celery market still is not adversely affecting the market on California and Arizona product. The quality of celery is nice with color ranging from medium to dark green, while weights on celery are lighter ranging between 50 and 60 pounds out of California. Some defects include bow and twist. Very light amounts of pith are being reported in some lots.

BERRIES

Strawberries: The Easter pull starts this week. Demand exceeds supply and will thru out the Easter pull. Quality is great. Markets are firm. Strawberry counts are 12 to 16 with full color at this time. The forecast is for clear weather into the end of this week out of California. All shippers are coming in sold out each day. Volume should build week by week out of California. The Central Florida strawberry growers are slowly winding down with supplies. Quality is fair. Most Florida strawberry shippers will finish harvesting the last week of March.

Raspberries/Blackberries: Raspberry supplies are limited but are increasing. Demand is very good and the market is steady at high levels. Quality is good. Blackberry supplies are starting to get better. Market is steady to slightly weaker at high levels. Quality is good with a few fair lots.

Blueberries: Market is slightly firmer with better demand. Quality is great out of both L.A. and Miami.

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POTATOES:

Large sized potatoes are tightening up even more with 40ct and larger extremely limited, and 50 and 60ct very tight. This will remain the case for the remainder of the storage season. Norkotah potatoes are all but done for the season out of Idaho with Burbanks in good supply on 80ct and smaller. Western’s are in good supply on big potatoes. Washington and Colorado have excellent supplies of Norkotahs and are still peaking to the larger sizes. Nevada has moved into lots that are packing out with smaller potatoes and will be limited on volume large sized product. Good availability on Red potatoes out of California and Washington. Washington finished up with whites several weeks ago and California is coming to an end quickly. California and Washington has limited availability on Gold potatoes. Light supplies of white out of Florida with good supplies of red. North Dakota is still going strong with all colors.

ONIONS:

Onions are shipping out of Idaho, Washington, Oregon, Colorado and Texas with Mexican product at this time. Idaho yellow onions still with good quality and supply. It looks like most shippers will be shipping out of Idaho through the middle to end of April. Washington has good supplies of all colors, while peaking on jumbo and medium sized product they are becoming even more aggressive on prices. White onions have come off a bit with the Texas/Mexican deal bringing on good supplies. Good quality and supplies of yellow onions out of Texas with red onions now available as well.

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APPLES & PEARS:

Markets on Apples and Pears are mostly stable and demand remains as strong as ever. Red availability is generally in better shape than that of Granny Smith where nearly every size and grade are already noticeably tight—availability declines as sizes decrease.

The Red Anjou and Bosc deals will wrap up out of WA within the next month while Green Anjous will remain available into June.

Weather out of the northwest is decent and is not contributing to any significant trucking issues.

BANANAS:

Market FOB’s have stabilized as demand has been noticeably affected by consistently high pricing and recent surcharges. Although supplies remain extremely tight, availability has improved ever so slightly as movement has declined. Expect generally tight supplies to last through April and possibly into early May before any significant relief becomes a reality. Overall quality is still good.

SPECIALTIES:

Stone fruit demand continues to be weak and FOB’s remain low. Quality is still ranging from very good to excellent.

Pineapple supplies for the Easter holiday should be good and pricing is now stable. Availability is equally spread among all sizes and quality is good.

AVOCADOS:

There are dribs and drabs of Chilean product left; quality remains decent. Pricing is stable overall; smaller-sized CA fruit is slightly firmer but not much. CA production volume is still ramping up and will improve significantly during the next month. Mexican supplies are good. Demand remains healthy and quality continues to be good.

ASPARAGUS:

Markets are slightly firmer and although overall supplies are decent, Jumbo’s are on the tight side and floor inventories are cleaning up daily. The CA deal continues to lift off the ground and overall quality is very good. The best availability on Mexican product is on Larges.

CITRUS:

EAST

Grapefruit FOB’s have firmed as demand has strengthened. Quality remains excellent. Availability should last well into May.

Valencia markets are steady and volume remains healthy with sizes skewing on 64’s, 80’s, and 100’s; there are virtually no 125’s to speak of. Juice content is excellent and should remain this way for about the next month.

Spring Navels are available in limited quantities for about the next two months.

Honey Tangerines remain plentiful and markets have softened. Brix levels and overall quality are both good.

WEST

CA Navel markets have strengthened on 72’s and larger. Eating quality and external color are very good but there is some softer fruit out in the marketplace. Good availability should last through April. As a sidenote, import Navels from South Africa and Australia should land in May.

The CA Valencia deal has begun with limited quantities to start and the majority of product going to the export market.

Lemon availability is shifting towards smaller-sized fruit and markets are fairly steady on these sizes. 75’s and 95’s are much tighter and FOB’s are a little firmer. Juice content and overall quality is very good. Some Spanish fruit is available on the east coast and Chilean product should land in early May.

Lime demand far exceeds available supplies and markets are active. Rain has limited production volume. Larger-sized fruit is very tight. However, we should see some volume improvement within the next week.

GRAPES:

Markets on both Red and Green Seedless have firmed as the Chilean season enters into its late stages and the storage season kicks in. Thompsons are already shipping out of storage while Sugarones dry up. Flame harvests have finished as we transition into Rubies and Crimsons.

MELONS:

Plentiful amounts of Cantaloupe 9’s and 12’s have softened these markets. Smaller-sized fruit is limited. Demand is good but off-shore arrival numbers have strengthened. Quality is good to very good.

Honeydew pricing is mostly steady on average. Quality is good.

Watermelon markets have firmed as strong Mexican demand for Seeded has impacted available volume crossing into the US (into Nogales and McAllen). By later next month, we should see new acreage break out of Sonora.

CUCUMBERS:

Eastern

Markets have fallen, especially on Selects, as FL volume increases and there is still plenty of off-shore product making arrivals. Overall quality is good. There is just some minimal softness and decay being reported on off-shore product. The Plant City/Wimauma area will not start up for another 2-3 weeks.

Western

Markets have firmed slightly but are expected to remain fairly stable through the Easter holiday. Baja is beginning to cross product into Chula Vista and Nogales will receive fresh supplies out of Mochis and Hermosillo by month’s end.

GREEN BELL PEPPERS:

Eastern

FOB’s have increased significantly as poor weather in the past has taken a toll on supplies. Choppers that were fairly plentiful at the week’s beginning are now very tight. Immokalee has begun some crown picks this past Monday and we can expect markets to straighten out within the next 7-10 days. Quality is decent.

Western

FOB’s have increased significantly out west as well. Large and XL are especially tight. The CA Desert deal will begin around the middle of next month. Quality is currently wide ranging.

RED BELL PEPPERS:

Western

Markets are expected to remain strong through the holiday and should break sometime shortly afterwards. Current production remains light as some growers have passed their production peak and others harvested their product green weeks ago to take advantage of market conditions. Some new-field product out of Baja should become available out of Nogales next week but significant relief will hit by the middle of next month. Quality is ranging from fair to excellent.

SQUASH:

Eastern

Yellow and Zuke markets are steady. Production out of Homestead, Belle Glade, and Immokalee is decent but not great. Plant City will begin ramping up shortly. Some warmer weather may assist production and help ease FOB’s by the weekend. Overall quality is good.

Western

Demand is good. Production has increased out of existing growing areas but new fields are expected to break next week out of northern Sonora. The Fresno deal may begin within the next 2-3 weeks. Quality remains good to excellent.

TOMATOES:

Round FOB’s have begun to ease on both coasts. Cherry and Grape FOB’s are mostly stable while Romas have firmed. More growers are harvesting spring crops in and around Immokalee and Naples and as production volume increases, expect lower FOB’s. Mature Greens arriving from Puerto Rico will wrap up next week.

Although there are some reports of stem pop with Cherries, overall quality out of FL remains good. In the west, there are reports of grey wall in Rounds, Romas, and Grapes.