Cooler Weather, Stronger Markets

Now that we are getting towards the middle of October, with nighttime temperatures dipping close to freezing, and with shorter days, supplies of vegetables in the Salinas and Santa Maria areas are starting to tighten up. With that, shippers are looking to push prices upward. And make no mistake, they will NOT be bashful! They will push prices as high and as fast as they can. Items such as lettuce, broccoli, cauliflower, celery, various leaf items, strawberries, and other mix items are all effected.
Long range weather in the Salinas and Santa Maria areas show cool nights and days in the 60s and 70s, typical for this time of year. But, again, cooler weather definitely slows product growth, and eventually tighten markets. No rain forecasted for the next 7 days, but a chance after that.
Trucks are still plentiful, and should be so for the next 3 weeks, or so, then after that, Thanksgiving business will start to kick in. If you can believe it.

LETTUCE– cooler temperatures are allowing shippers to push prices up, and they ARE. We could see them push up prices all this week. It’s hard to say how high prices will go, as demand is only so-so. Still, the shippers don’t care,and will go for everything they can. Quality is decent, as we wind down another Salinas deal, but we are recommending not to hold the lettuce too long, as it just doesn’t have the “legs” that we see in the Spring and Summer. Huron looks to start around the 19th.

BROCCOLI–even with supplies still available in the East coast, shippers are raising prices out West daily. In fact, prices have more than doubled in the past week. Crowns, in particular, are scarce, with prices $3-4.00/box more than bunch.

CAULIFLOWER– temperatures can REALLY effect cauliflower. Warm weather can bring supplies on, while cool weather can basically stop growth and production. That is where we  currently are. Prices, like broccoli, have more than doubled in the past week, and shippers are looking for more. But, again, demand is only fair, so it is only a matter of time before the shippers kill the market.

LEAF ITEMS–with head lettuce getting stronger, it is only a matter of time before prices start to go up on red, green, boston, and romaine. Right now, prices are fairly reasonable, but we expect them to start going up very soon. Supplies will be coming out of the Salinas area until after Thanksgiving.

CELERY–even celery prices are starting to make a move. After the past few months of rock bottom prices, things are starting to make a move upward, especially with the “preferred” labels. Labels such as Dole and T&A are pricing their celery $3-4.00/box higher than the general market. This bump in demand and prices are attributed to the Canadian and Michigan deals winding down, and Thanksgiving business around the corner.

STRAWBERRIES–cooler nights and shorter days are doing one thing for strawberries. It is helping to firm the fruit and improve overall quality. The downside to this is that supplies drop off. Fortunately, demand is barely fair, so prices are basically holding. That is, of course, except for Driscoll, who continue to be $3-4.00/box more than the rest, AND pro rating orders.

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