Market Report June 27th, 2022

This Weeks Market Updates

We are starting to see the seasonal transition begin from South Georgia to Tennessee, the Carolinas, and Alabama on the entire vegetable category. Hot peppers continue to be short at all border crossings and in the Southeast. We hope to see this improve over the next 2-3 weeks as newer regions ramp up production.

In the west we are transitioning from the desert to the Central Valley on pepper, corn, beans, and squash. Local tomatoes are ramping up in the southeast from South Georgia, and South Carolina to Alabama. Bananas will be tighter than normal due to a tropical storm affecting harvest and damaging infrastructure in Guatemala; we do not expect shortages at this time and are evaluating with our partners daily.

In the Salinas Valley we continue to monitor the INSV virus, which is showing in some fields throughout the valley, which could cause some decrease in available supplies from certain shippers.

ASPARAGUS (XL & JUMBO) – ESCALATED

Guanajuato’s production has decreased due to heat in the fields, causing lower than normal yields. Peruvian production continues to slow down due to chilly weather in the growing regions. Due to this we will continue to see a short supply in the XL/Jumbo category. Markets are more active this week due to lower production in Peru and Mexico.

CARROTS (JUMBO) – ESCALATED

Current demand exceeds predicted supply while lower than average yields caused by cold and wet weather have caused limited availability. Shippers continue to struggle with labor due to COVID and not having enough workers show daily to pack carrots.

AVOCADOS – ESCALATED
There is currently roughly a 4% decrease in overall supplies from all countries of origin. The continued decrease in supply has caused markets to uptrend week over week. The market participation between CA, MX, and PR is quite even.

Mexico at 38%, CA at 30%, Peru ramping up and supplied 29%. Flora Loca has been approved for harvest, but its volumes will be light through this week; next week, more municipalities will be online, and volumes will increase through July.

ORANGES – ESCALATED

Valencia’s are showing to be 25% down as an industry peaking on smaller fruit. Due to the industry being 25% down this season, we are expecting the market to stay strong all summer. The average diameter of the fruit is the smallest it has been for many years to start.