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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News

Strong organic demand fuels opportunities

Organic leeksVicky BoydCold-hardy crops, such as organically grown leeks, fared well this winter and should be in good supply this spring, says Brian Peixoto, sales manager for Watsonville, Calif.-based Lakeside Organic Gardens. Demand for organics continues to grow, prompting conventional retailers to expand offerings and create opportunities for grower-shippers.

Samantha Cabaluna, director of communications for Earthbound Farm, San Juan Bautista, Calif., said the overall “good food movement” is one reason for organics’ increasing popularity.

The movement focuses on food nutritional value and food production practices, and organics fit in nicely, Cabaluna said.

In fact, Earthbound Farm saw sales of its organics increase 12% in 2012 compared with 2011, she said.

“Growth continues to be quite strong,” she said. “It’s across the board — everybody’s growing.”
Cabaluna said many conventional retailers have begun offering organics or increased dedicated space because they saw opportunities in an “exciting area of growth.”

No slowdown in sight

Paul Rabadan, organic sales manager for Oxnard, Calif.-based Deardorff Family Farms and an organic produce industry veteran, said the demand for organics is unending.

“It just continues to expand and grow, and the demand for good quality organic food increases every year,” he said. “I see no slowdown. Demand exceeds supply.”

Rabadan credited both organic and conventional retailers for the increase.

Deardorff Family Farms’ organic sales have continued to grow by about 25% per year, he said.

In response, the grower-shipper has expanded its offerings to include a wide array of cool-season vegetables, and it plans to bring another 70 acres of organic production on line in August.

Between production in the Oxnard-Ventura and Salinas, Calif., areas, Deardorff Family Farms is able to offer most organic items pretty much year-round, Rabadan said.

Russ Widerburg, sales manager for Boskovich Farms Inc., Oxnard, said he’s seen a new wave of demand for organics over the past year or two, fueled partly by more mainstream retailers.

Peter Oill, organic sales and marketing director at Boskovich Farms, said Whole Foods kicked off the trend.

“Whole Foods initiated the whole thing when they started getting big,” he said. “It forced the grocery stores to start competing with them. You’ll see more and more groceries start handling organics.”

Increased efficiency

One reason may be that organics have become more competitive on the growing end as more farms begin growing organically and growers become more efficient, Widerburg said.

As a result, f.o.b. prices for some items have decreased, making them more attractive to retailers, he said.

Boskovich Farms saw opportunities in the sector and has boosted its organic acreage nearly twofold, Oill said.

At the same time, it expanded organic offerings from the handful of “bread and butter items” it had carried the past five or six years to the current wide array that includes three colors of swiss chard, two varieties of kale and bunched beets.

Boskovich Farms also hired organic produce veteran Oill as director of sales and marketing for its B Organic line, Widenburg said.

“The long-term goal for us is to mirror our conventional to the extent we can,” he said.

The Nunes Co., which markets under the Foxy Organic label, has seen steady growth from its organic romaine hearts, celery and celery hearts, said Doug Classen, sales manager for the Salinas-based grower-shipper.

“There’s continued interest across the board from all aspects of the industry,” he said.


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