Smaller onions a challenge to shippers - The Packer

Smaller onions a challenge to shippers

09/14/2012 11:28:00 AM
Melissa Shipman

“American shipping companies are trying to optimize space, and it’s harder to get cargo moved where you want it,” he said. “It will be a concern going forward for other commodities as well. Logistics are more challenging than in the past.”

Delbert Bland, owner of Bland Farms LLC, headquartered in Glennville, Ga., says shipping costs are higher.

“It’s more expensive to ship this year than what it normally is, but that’s part of what you get into,” he said.

DeBruyn also said another possible issue with having tighter supplies this season could be the attempt to undercut existing contracts.

“A lot of these relationships with growers are set up way in advance by contracts, and some people want to be pirates and go down there to pay more than an established contract and buy out a grower directly with cash,” she said.

However, she says this kind of thing can happen to importers across the board.

“It’s just the nature of the beast when supplies are tighter and the market is hotter,” she said.

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