Market Update for Table Grapes

With spot market pricing now exceeding $50.00 per box, the table grape industry is officially in uncharted territory. Mexican growers have been unable to get going and it looks as if we won’t see any meaningful volumes for another week. There are still a few shipments from Brazil and Chile trickling into the east coast, but not nearly enough fruit to impact the market. Regional terminal market prices have reached almost $70.00, but at some point, consumers will push back and stop buying high priced, average quality fruit. It feels as if the market has reached its highest point, which means that there is only one place to go from here. Once normal volumes start crossing in June, the market adjustments will be fast and furious, with FOBs dropping more than $30.00 per box by the 15^th of June. Buyers beware!

Red Seedless

There have been zero Flames crossing from Mexico so far and imports from Brazil and Chile are almost nonexistent. We may see another 10 days of spotty arrivals from South America and Mexico won’t start crossing Flames until the 25^th of May. Spot pricing for imports is well over $50.00 FOB this week and Mexican marketers are already taking Flame POs for next week at $52.95. This is going to be a real challenge for buyers that must manage a market that will drop to $22.95 by the 15^th of June.

Green Seedless

There has been better availability of green seedless in the market from both Brazil and Jalisco, Mexico, but that hasn’t stopped FOBs from exceeding $50.00 per box. Overall quality from Brazil has only been average, but pricing has not reflected that. We will start to see some Mexican Perlettes and Early Sweets crossing into Nogales this week with FOBs ranging from $46.00 to $48.00. Expect these elevated FOBs to be with us for at least this week and adjust lower day by day until we get to promotable pricing by the middle of June.