Today's Pricing

WATERMELON — F.O.B.S AS OF MAY 13

MEXICO CROSSINGS THROUGH NOGALES, ARIZ. — Crossings (705-766-766, seedless 683-751-759, seeded 22-15-7) — Movement expected about the same. Trading seeded slow, others moderate. Prices seedless 35-60 counts lower, others generally unchanged. Red-flesh seedless-type per pound 24-inch bins approximately 35-60 counts mostly 20 cents, 75-80s 14-16 cents; red-flesh seeded-type approximately 35-55 counts 12-14 cents. Flat cartons red-flesh seedless miniature 6-9s $7-9. Quality variable. Many present shipments from prior bookings and/or previous commitments.

LOWER RIO GRANDE VALLEY, TEXAS — Shipments (29-96-255, seedless 26-83-223, seeded 3-13-32) — Movement expected to decrease slightly. Trading very active at slightly lower prices. Prices 24-inch bins per-pound red-flesh seedless-type approximately 35-60 counts 28 cents, seeded-type approximately 28-35 counts mostly 21-22 cents. Quality generally good. Most present shipments from prior bookings and/or previous commitments at lower prices.

FLORIDA — Shipments (124-159-233, red-flesh seeded 16-29-53, red-flesh seedless 51-130-180) — Movement expected to increase as more growers start the season in central Florida. Harvesting slowed. Trading very active. Prices generally unchanged. 24-inch bins per-pound red-flesh seeded-type 35s 24-25 cents; red-flesh seedless-type 45 count 29-30 cents, 60 count 29-30 cents. Quality generally good.

IMPERIAL AND COACHELLA VALLEYS, CALIF., AND CENTRAL AND WESTERN ARIZONA — Shipments (AZ seedless 0-23-16, CA 0-26-78, seedless 0-24-73, seeded 0-2-5) — Movement from western Arizona, Imperial and Coachella valleys expected to increase seasonally. Trading fairly active at slightly lower prices. Prices slightly lower. Red-flesh seedless-type per pound 24-inch bins approximately 35 and 45 counts mostly 22 cents. Organic red-flesh seedless 24-inch bins per pound approximately 35 and 45 counts 35 cents; miniature carton 6s and 8s $20.50. Quality generally good. Harvest central Arizona expected to begin the week of May 27.



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Issue Announcement

California cold snaps jolt prices of lettuce

romaineCourtesy Tanimura & AntleHarvesters work a romaine field in the Yuma, Ariz., area for Tanimura & Antle Jan. 28 near muddy roads. Rains have further diminished supply. Lettuce prices have shot up fivefold for some pack sizes and varieties since Christmas as another round of freezes and rainstorms hit desert production regions.

Cartons of 24 romaine heads out of Yuma, Ariz., shipped for $33.25 to $36.35 on Jan. 28, according to the U.S. Department of Agriculture. They were just $6.95 to $7.65 on Dec. 17.

A dozen three-count packages of romaine hearts were $36.50 to $37.56, up from $10.45 to $12.

John Burton, general manager for sales and cooler at Coachella, Calif.-based Peter Rabbit Farms, calls it a “nightmare gap.”

When will it end? The answer varies by region and grower. February could bring a measure of relief, but some growers are already bracing for another shortfall in March when the deal transitions to Huron and Salinas.

“There’s an empty pipeline and nothing to replace it with, including iceberg,” Burton said. “Foodservice and salad guys are looking for clean romaine so they’re out buying fields. Everyone’s grabbing for their piece of the pie and there’s just not enough to go around. People that would take four loads a week are getting one.”

In Yuma, production came to a standstill as an inch and a half or so of rain fell Jan. 25-27. More was forecast. That followed a series of frost nights in the first half of the month.

“We had anywhere from 10 to 14 straight days of morning ice,” said Mark Adamek, general manager for romaine and mixed leaf production at Salinas, Calif.-based Tanimura & Antle. “A few of those episodes were long-duration ices. The crop is pretty beat up and the industry is dealing with down yields. But we’re also trying our best to hold on to our inventories, because we all think that at the end of the deal we’re not going to have enough.”

The spate of frost nights in January followed one in December. Frosts aren’t unusual in the Arizona or California deserts. What really hurt this year was unseasonably warm weather early in the deal that left volume already depleted, due to quality issues, when the thermometer dropped.

“The first part of the season, even though I was harvesting the fields, I was throwing a good third of it back on the ground,” Adamek said. “It wasn’t shippable.”

In Coachella, there were four to five frosts in the first 10 days or so of January.

“Those cold days turned a legitimate gap into a nightmare gap where we couldn’t harvest more than 25% of normal on any given day,” Burton said.

Not only romaine, but iceberg, green leaf, red leaf, butter and spinach just stopped growing. His romaine peeled and blistered.

Burton was cautiously optimistic about a pickup in Coachella volume.

“We’ll be pretty much out of the woods by the first week of February, according to our farming department,” he said. “We’re tired of this weather but it is what makes markets. We think this thing is going to fix itself with good, warmer conditions.”

On iceberg, prices for film-lined cartons of 24 ran mostly $24.48 to $27.75 out of Yuma, according to the USDA, up from $6.35 to $7.14 on Dec. 17.

“Sadly enough, it might not be enough of a market to dig us out of the hole we dug in the fall,” Adamek said. “We were losing so much production to heat. But it goes a long way in helping.”

“Supply may ease up to a small degree in the next few weeks,” he said. “But what’s not going to change is the shortage that’s looming at the end of the deal. In spite of all these cold weather episodes, I’m still a week and a half ahead in all my fields.”

“The San Joaquin and Salinas valleys had cold, wet weather during their initial plantings. At the end of the desert deal, when we’re wrapping up our last plantings (in Yuma) and the two come together, I suspect they won’t dovetail very nicely.”


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