2021 brings expectations for growth in organic, grapes

Along with the flashing yellow caution light of the COVID-19 pandemic, 2021 also is bringing green lights for Mexican produce moving through Nogales, Ariz., distributors report.

Along with the flashing yellow caution light of the COVID-19 pandemic, 2021 also is bringing green lights for Mexican produce moving through Nogales, Ariz., distributors report.

Like producers everywhere, the pandemic caused some Mexican growers to cut back on production because of the loss of foodservice demand.

“Commodities and volumes continue to change every season through Nogales as growers try to keep pace with demands and commodity trends,” said Alan Voll, salesman for Fresh Farms, Green Valley, Ariz.

Despite the pandemic, industry leaders said there are plenty of trend arrows pointing up.

“There have been record crossings through Nogales in the month of February,” said Chris Ciruli, COO of Ciruli Bros., Rio Rico, Ariz.

“We expect Nogales fresh produce crossings to continue in an upward trend.”

One of the fastest growing commodities is citrus, he said, and Ciruli thinks that category will continue to increase.

Overall crossings in Nogales in 2021 could be similar to slightly above 2020, said Miguel Suarez, president of Rio Rico-based MAS Melons & Grapes. He said squash and cucumbers are a couple of commodities that could see gains.

Organic produce from Mexico continues to grow, said Aaron Quon, executive category director for The Oppenheimer Group.
“Oppy is proud to offer retailers a well-rounded organic program in the Divemex brand, with both conventional and organic crops Fair Trade Certified,” he said.

“Being a Fair Trade partner since 2004, we have generated $5.86 million in premiums since 2013 alone.”

Better growing conditions for grapes in Sonora could increase crossings of that commodity in 2021, said Lance Jungmeyer, president of the Fresh Produce Association of the Americas.

“The Mexican grape crop is going to be better,” he said, noting the crop received good chill hours this season.

Jungmeyer said demand has been increasing for colored bell peppers, driven by increased eating at home and also e-commerce.

“Items that come in a package, such as a sleeve with three colored bell peppers, are pretty popular,” Jungmeyer said.

Retail statistics show sales of tomatoes increased nearly 20% year over year in 2020, compared with overall produce gains of 9.9%, Jungmeyer said. That type of performance may be tied to consumers eating more salads, pastas and other tomato dishes at home. The continued growth of protected agriculture production in Mexico is feeding that demand, Jungmeyer said.

The Packer logo (567x120)
Related Stories
At the recent Washington Conference, panelist Rochelle Bohm of CMI Orchards warned the “exorbitant” fees associated with EPR compliance will quickly swallow up what little financial breathing room produce companies have left.
As peak harvest seasons in Florida and California converge with diesel prices sitting at $5.40 a gallon, refrigerated trucking capacity is poised to hit its tightest level in over a year. An expert reveals how to avoid a shipping scramble in July.
The Union City, Calif.-based company is eyeing a potential 50% boost in sales following the first acquisition in its 63-year history, a strategic expansion engineered to master the high-stakes world of just-in-time produce logistics.
Read Next
Driven by a consumer desire for health, sustainability and transparency, the sector is experiencing remarkable market growth, which growers are meeting through third-party certifications, supply chain management and high-volume, reliable retail programs.
Get Daily News
GET MARKET ALERTS
Get News & Markets App