EAST COST TERMINAL MARKET REPORT
EAST COAST TERMINAL MARKET REPORT
Good morning and Happy Labor Day for those of you whom will read this on Monday when you get back to work.
RED PEPPERS – The deal with red peppers has changed. This is not due to significant volume increase in California as much as it is from added product from Mexico and Canada. California red peppers are NOT abundant. Many shippers are in one day and out the next. As I told you on last week’s video posting, the volume is behind us not ahead of us. Canadian and Mexican are the blocky variety and if you prefer that type you can adjust your buying that way and I believe they will cost less on a price per pound basis over California. The quality of the California peppers can’t be matched by the Canadians or the Mexicans. The first picture is from reds packed on Saturday to prove my point. Mexican 11# are also very good some with green streaking. The Canadian Blocky packed in 25# display boxes have significantly more green streaks, especially on the shoulders. This may change in the coming week. What does all this mean for sales at the terminal level? 15# xl reds from California should bring $24, based on an $18.95 FOB. There will most likely be downward pressure, because there will be more choices. In my opinion the price difference per pound, which is small, customers should pay for the California’s. You will all have to be salesmen this week and feel your way through this because every market will have a different set of circumstances.
YELLOW PEPPERS – As with reds there will be more 11# from Mexico to put pressure on this market. Currently 11# yellows are in the $10-$12 range. Luckily there seems to be less volume from California so maybe a disaster will be averted.
GREEN PEPPERS – This market is off the bottom. Green peppers from Canada are the way to go. They are off their bottom and prices may rise a little further buy the quality is outstanding.
CUCUMBERS – Again for the best you have to go west, the caveat is you will pay more for the quality. Currently SS cucumbers are being quoted from $16.95 to 22.95, which should translate into a $30-35 market at the terminals. Canadian Cucumbers are getting much better, probably the cooler nights, and their prices are up as well but can be as much as $10 less from Mexico.
ROMA TOMATOES – 2 more weeks of being at these levels, $8-$10 fob on Mexicans. There are still romas locally and from Canada, which will start to dwindle in the coming weeks.
KABOCHA SQUASH – We have them in California as well as Canada and if I must say we have the BEST. $14 to $15 delivered should bring $17/$18 at the terminal level.
WATERMELONS – Summer is over, holiday is over and it’s time to switch to boxes and Texas melons. Unfortunately, we are also waiting for our boxes to be delivered in West Texas so we may have to skip this week.
I am hoping to get out to our operation this week and do a live video from there so stay tuned.
I hope to show you some of our organic fields in Texas as well as our conventional fields in Mexico and the cold storage and packing facilitates, and all are or are in the process of being certified. It’s going to be an exciting year. Thank you and have a great Labor day.