Skip to main content

Ample mango supplies pushes pricing down


Overview of the Peru mango season with Jesse García of the LA Produce Distributors, complemented by charts from Agronometrics.



Original published in FreshPlaza.com on March 10, 2020

Thanks in part to supplies from Peru, pricing for mangoes is down this season.

“There’s a lot of fruit coming in from Peru—about a 60 percent larger crop so they should be shipping through to the middle of March,” says Jesse Garcia of LA Produce Distributors in Los Angeles, Cal. “They had a bumper crop this year. Last year it was a really tight market with good pricing and this year there’s some sloppy pricing. It flip flops every year.”

As Peru begins to lighten up on shipments later this month, Guatemala will begin exporting red mangoes on top of the yellow mangoes it is already shipping. “We should get some red fruit in good volume from Guatemala before the end of the month,” says Garcia. On top of that, Mexico, who is already shipping yellow fruit, will begin shipping red as well in April-May.

Volumes of mangoes in the US market.



Source: USDA Market News via Agronometrics.
(Agronometrics users can view this chart with live updates here)

As Peru begins to lighten up on shipments later this month, Guatemala will begin exporting red mangoes on top of the yellow mangoes it is already shipping. “We should get some red fruit in good volume from Guatemala before the end of the month,” says Garcia. On top of that, Mexico, who is already shipping yellow fruit, will begin shipping red as well in April-May.

Volumes of Peruvian mangoes in the US market.



Source: USDA Market News via Agronometrics.
(Agronometrics users can view this chart with live updates here)

Promotions on call

Demand meanwhile looks good for mangoes. “But when there’s a glut of supplies, demand won’t look as high but it is there,” says Garcia. “With so much more fruit this year, especially out of Peru, it was hard to move it—we had to put promotions out.”

In turn, that’s pressed pricing on mangoes. Garcia estimates prices are between $1-$1.50 cheaper than last year at this time.

Reported price of mangoes from Peru in the US market.



Source: USDA Market News via Agronometrics.
(Agronometrics users can view this chart with live updates here)

Looking ahead though, Guatemala should finish up near the end of May to minimize competing directly with the Mexican season. “And once Peru stops shipping, the market will get a bit better on red fruit. We’ll begin Tommy Atkins mangoes out of Guatemala and that may bump up pricing between $1-$1.50,” says Garcia, noting it should stay at that level until Guatemala gets into its heavy shipments. “And then we might start seeing a dip again. But before the end of this month, we should see a bit of a rise in the pricing.”

The News in Charts is a collection of stories from the industry complemented by charts from Agronometrics to help better tell their story.

Access the original article with this (Link).

Comments

Popular posts from this blog

Avocados In Charts - Prices are falling and why are they likely to settle below 2018

Agronometrics has often spoken about what is to come and how the market could be affected. We hold a strong belief in being able to look at objective data can help navigate complicated scenarios. The recent spike in prices that avocados have seen is an example of one of these scenarios, catching many by surprise at a time of the year where we had never seen movements like this before. This can be seen in the chart below where the 2019 line has towered above all other prices since Sept. 2017 and every price recorded for June in the last five years.

Historic Hass Avocado Prices


Source: USDA Market News via Agronometrics. (Agronometrics users can
view this chart with live updates here)
Comparing the volumes of this year to the last can offer some insight as to how these prices have come about. Considering the prices were almost flat last year, the volume data serves as a great benchmark to understand where customers expectations lie.

In this year’s data, an important oversupply can be …

The table grape industry is in uncharted territory right now

Overview of the potential impact of COVID-19 on future grape supply and price, by Ira Greenstein of Direct Source Marketing, complemented by charts from Agronometrics.



Original published in FreshPlaza.com on March 24, 2020

While the Chilean and Peruvian grape seasons are winding down and their weekly volumes are decreasing, the table grape industry has seen an uptick in demand in the past weeks. This is partially a result of the high retail movements due to the coronavirus panic-shopping of the past few weeks. Ira Greenstein of Direct Source Marketing says: “A month ago, importers had a real concern that the industry wouldn’t be able to move through the condensed volumes and huge inventories would be sitting in cold storages. That sentiment has completely reversed with substantially increased retail demand due to the COVID-19 pandemic.”

With the lower volumes but increasing demand, the cold stores are rapidly being depleted and spot market pricing is expected to continue to increase, …

Price Alerts! are here for all

As we bring price alerts to Agronometrics we thought we would pen a piece on our thinking behind the service as well as the methodology for it.

The idea for the Alerts arose from our conversations with the industry, where several people expressed high interest in knowing when there are important changes in the market prices that could affect their business.

This impetus created the Price Alerts! service, whereby we monitor daily average prices of every commodity on our platform, so that you don’t have to. As soon as the difference in price reaches a certain threshold you get an email alerting you of said price change. You can take a look at our sample report through this link (US Avocado Price Alert!)

In order not overflow our users with these email alerts, we have used some fancy statistical analysis and determined the required values so as to send some 12 alerts per year for each commodity. In the table below you will find the list of commodities along with their estimated limits t…