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.



Learn More
  • Industry Alerts: USDA proceedings,
    Bankruptcy petitions — Learn more...
  • New Companies: PACA new
    licensees — Learn more...
  • Bankruptcy petitions have been filed by these companies — Learn more...
  • Company Listing changes: Address, personnel,
    contact information — Learn more...

Crops & Markets

As sweet potato consumpion rises, prices fall

As sweet potato marketers step up their efforts, they’re finding they have more product to sell.

There’s a mixed message in that news, said Charles Walker, executive secretary of the Columbia, S.C.-based U.S. Sweet Potato Council.

“I hear the movement is fine, and we’ll probably have enough product to last until the new crop starts in,” he said.

But growers say they’re not particularly happy with the prices they’re seeing on the markets, Walker said.

“They think they should be getting $1-2 per carton more than what they’re getting, but if the market doesn’t want to give it to you, I don’t know what you can do,” Walker said.

As of March 4, 40-pound cartons of orange U.S. No. 1 sweet potatoes from eastern North Carolina were priced at $13-15, according to the U.S. Department of Agriculture. A year earlier, they were $14-16.

U.S. production in 2012 was 2.65 billion pounds, compared with 1.28 billion 10 years earlier, according to the USDA.

Total acreage in the U.S. in 2011 — the last year for which that statistic is available from the USDA — was 130,300 acres, up from 82,300 in 2002. Yields during the same period increased about 33%, from 156 cwt. per acre in 2002 to 208 cwt. in 2011, Walker said. California growers’ yield led the U.S., at 320 cwt. in 2011. North Carolina’s yield averaged 200 cwt., which is the first time that state had surpassed the 200 mark, Walker said.

“All of these places are showing an increase in yield, which is good for the industry,” Walker said.

He credited the work of researchers and state agriculture extension efforts, as well as newer and better varieties, for boosting yields.

North Carolina remains the most prolific sweet potato-producing state, with 1.24 billion pounds in 2012, according to the USDA. California was next, at 617 million pounds. Those two, along with Louisiana and Mississippi, account more than 90% of U.S. sweet potato production, Walker said.

Volume coming out of other states but not reflected in NASS data may be contributing to downward price pressures, Walker said.

“I think you’re going to see some acreage has gone into some other states, and that might be contributing to some of the weakness in some of the prices,” he said.

An Agriculture Census that is due out in 2014 may provide some evidence, he said.

“If we see there is some large acreage going in other states, we’d go to the NASS and say we ought to collect production from this state, that state and that state,” he said.

Some growers and shippers said they might have to cut back on acreage.

“It’s getting where acres will be down this year. There’s no profit in it this year,” said Jimmy Burch, owner of Faison, N.C.-based Burch Farms.

Growth has come too quickly, he said.

“We’ve expanded too much, and consumption can’t keep up with it,” Burch said.

One possible solution is international markets, said Stewart Precythe, president and chief executive officer of Faison-based of Southern Produce Distributors Inc.

“We have an overseas business that’s helping drive the market. The movement over there is tremendous,” he said.

Chadbourn, N.C.-based Wayne E. Bailey Produce Co.’s shipments are at an all-time high of 30 million cartons a year, said owner George Wooten.

Kendall Hill, co-owner of Tull Hill Farms Inc., Kinston, N.C., described the sweet potato market as “unrealistically low” and laid blame on “poor marketing by the grower-shippers in North Carolina.”

They will have to “wake up” or “go broke,” Hill said.

“You can’t do anything below the cost of production, and we’re selling sweet potatoes from North Carolina below the cost of production,” Hill said.

Hill pointed to one grower-shipper, Nashville, N.C.-based Bissett Produce Co. Inc., which filed for Chapter 11 bankruptcy in mid-February.

“If this keeps up, it will be like dominoes,” he said.”


Prev 1 2 Next All


Comments (0) Leave a comment 

Name
e-Mail (required)
Location

Comment:

characters left

Feedback Form
Leads to Insight