Market Report

OVERVIEW Growing weather has been ideal and most commodities continue to have good quality and volume. We do not anticipate any changes next week if the weather continues. Overall quality remains very good. Grape and cherry tomatoes are tighter this week due to bloom drop and field transitions. Corn out of Florida seems to be improving but could get short at the end of the month once the Homestead finishes up. Banana markets remain firm due to the Force Majeure being declared by major global banana suppliers. Growers have suffered major damage to crops and infrastructure, causing a large ripple in the supply chain. We expect an escalated banana market through at least the first quarter of 2021. Limes are very short, and we are in a Force Majeure with our supplier. We expect very active lime markets through the middle of April. Avocados are also getting extremely tight due to higher demand, and lower volume estimates are coming out of Mexico due to yield loss. California estimates were also revised down and expect a very active market until Peruvian fruit arrives in late May.

APPLES – EXTREME The Washington Apple community is reporting that the 2020-2021 crop is down this year by nearly 30 million cases for several reasons.  At this time, we are also seeing deficits in other regions on a national level. This is due to weather-related pressure, late summer and early fall in the Pacific Northwest, and unprecedented demand at retail. Please keep in mind, the USDA Food Box program, as well as other government-backed programs, have reduced the overall availability of the fruit. This shortage is impacting the Granny Smith and Gala varieties, which are major food service items. Between the production shortages, which are weather-related, unprecedented demand, and COVID-19 restrictions and closures, there will be continued upward pressure on price. Please note that we are expecting pricing to remain higher until the new crop begins sometime in August 2021.

AVOCADOS – ESCALATED Volume will continue to tighten up, pushing FOB prices higher as we see lighter numbers crossing from Mexico due to revised volume and higher demand. We continue to observe the spring crop as we see losses due to freezing temps in the region earlier in the year. Revisions to the California avocado estimates have been down. We expect active markets until we see relief from Peru in late May.

BANANAS – ACT OF GOD/FORCE MAJEURE Weather is getting better in the topics, which should increase quality. Supply is still lower due to the hurricanes in 2020.

CAULIFLOWER – ESCALATED Lighter supply continues as we approach the transition. Quality is good. Cauliflower floret prices are escalated.

GARLIC – EXTREME The market for domestic garlic remains high with good quality.

GINGER – EXTREME Ginger is very volatile due to very inconsistent supply and market is higher. Supply remains tight for the foreseeable future.

LIMES – ACT OF GOD/FORCE MAJEURE The lime market continues to rise as fruit becomes limited and demand increases as businesses reopen. This is pushing our growers to secure additional fruit, when available, at market. Quality and rain-related issues have impacted the older crops, which is where the current fruit is being harvested. Political issues are also impacting the supply routes through Mexico and we expect very active markets for the next several weeks. Should these conditions worsen, we could face pro-rates and force majeure pricing. We recommend scaling back the usage of limes as a garnish and using thinner slices for beverages. Temporary Substitute: Lemons

PICKLES – EXTREME Market remains extremely light from Mexico due to rain-related bloom drop and will be short for the next several weeks.

GRAPE TOMATOES (FLORIDA AND MEXICO) – ESCALATED  Florida: Florida supply is tight this week and anticipated to stay firm over the next several weeks due to bloom drop and the transition from older fields to newer blocks. We expect this market to remain active for the next several weeks. Mexico: Volume has tightened up as demand shifts from Florida due to lighter volume in the region. The seasonal transition between older and newer sets has begun in Culiacan. We expect improved crossings over the next two weeks.