MARKET UPDATE 07.11.24

Good afternoon,

Sitting outside is already sticky and sweaty and it is obvious that summer fully here. This year we have an El Nino weather pattern and in simple terms, that means more rain and higher levels of heat. We are seeing record temperatures across the US this week including temperatures around the west coast reaching 120 F, roughly 49 C.

The ongoing heat is not only heating up markets, its imposing challenges onto perishable markets this week with occasional quality issues becoming present in several different commodities.

CARROTS have been harvested primarily out of Mexico and are seeing some break down from the intense heatwave. Discoloration and softness have been reported on arrivals as the root veggies just don't have the legs they would normally have under seasonal conditions.

BELL PEPPER supplies are nearly non-existent this week as GREEN BELLS on the east coast are gapping between North Carolina and northern supplies like Michigan and New Jersey. RED, YELLOW, and ORANGE BELLS have suffered through the heat in Mexico and the lack of supplies is keeping markets extremely tight. We will see at least another week or two of elevated BELL PEPPER markets.

San Joaquin Valley GRAPES have started up, signaling better availability out of California and less of a need to rely on Mexican supplies. Markets are settling together rather than seeing two tiers with one low quality and one higher. We should see improved supplies over the next several weeks but there is the lingering threat of this extreme heat to quality.

ASPARAGUS prices are up due to the same weather in Mexico but we are starting to see improvements out of Peru. Smaller sizes are more readily available but we expect to see all sizes improve after next week.

We are getting deeper into the STONE FRUIT season in California and with that, we expect to see supplies improve overall. The heat may cause some immediate delays shortening harvesting times but we should see a steady improvement in availability overall. CHERRIES out of Washington have another 3-4 weeks left, depending on the weather. Lucky for us, the grower we partner with is expected to have the majority of the late fruit for the state of Washington.

More as it happens,

Parker Tannehill