News and Stories
UPDATE SUMMARY: Week of June 20, 2016
June 23, 2016
Mexico’s spring avocado crop is winding down, while the summer season will not begin until mid- to late July. Prices will remain extremely volatile for the next six to eight weeks. The Salinas/Watsonville growing region experienced higher-than-normal temperatures affecting green leaf, iceberg, romaine, strawberry, and tender leaf crops; expect heat-related quality issues and increased insect pressure over the next 7 to 10 days.
Avocados
- Mexican imports, the main source at this time of year, are approximately 50% below typical levels; the spring/Marciena crop is winding down
- The avocado market will continue to climb through July; demand is strong
- Quality is good; oil content is high
- Stocks will remain limited until late July when Mexico’s summer/Flora Loca crop hits the market
California Strawberries
- Supplies are abundant
- Expect prices to ease
- Markon First Crop (MFC) Strawberries are available; warmer-than-normal temperatures will decrease quality and shelf-life in the weeks to come
- Expect low prices and ample supplies through Independence Day (Monday, July 4)
Domestic Melons
- Large sizes (9- to 12-count cantaloupe and 5- to 6-count honeydew) dominate stocks; smaller sizes will be limited over the next week
- Prices will continue increasing into early next week due to strong holiday demand
- MFC Cantaloupe and Honeydew Melons are available in Arizona and California
- Expect active prices over the next 7 to 10 days as high temperatures in the Arizona growing regions are reducing yields and strengthening demand
Idaho Potatoes
- Idaho Norkotah potato supplies are depleted; the Burbank variety will be shipped for the rest of the 2015-2016 season (June/July) until new crop, field-run Norkotahs become available in late July
- Prices are expected to remain relatively steady, with slight fluctuations, through the end of the season
- High temperatures during the Idaho summer season, as well as sudden shifts to freezing weather, caused quality issues and inconsistent size in the storage crop
- Remaining Idaho Burbank stocks will be dominated by small potatoes (80- through 100-count sizes); large supplies (40- through 70-count sizes) are limited
Ready-Set-Serve (RSS) Romaine Hearts Trigger Up
- Supplies are tight
- Open-market romaine heart prices have hit first-tier contract trigger levels; effective June 20, prices for RSS Romaine Hearts increased to first-tier trigger levels
- Demand is strong
- Supplies will remain limited for the next 7 to 10 days
Salinas Valley Insect Pressure
- Insect pressure is an ongoing problem this year in the Salinas Valley, especially in finished packs of green leaf, iceberg, romaine, and tender leaf items
- The current heat wave in California will prolong this issue, as high temperatures increase insect reproduction and other heat-related defects
- Weather will remain in the high 80s/low 90s in the hottest areas of the Salinas Valley over the next 7 to 10 days
- Insect populations will vary in fields throughout the summer, but they generally increase in late summer/early fall
Tropical Strom Danielle
- Areas including Tampico, Tuxpan, and Veracruz received 8 to 12 inches of rain over this past week
- Veracruz, Mexico is the main region for year-round lime production
- The surge of rainfall suspended harvesting while groves dried out
- The increased moisture will promote growth and increase size; prices will continue to ease through July
Please contact your Markon customer service representative for more information.
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