January 28 2022 - Lipman Family Farms
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january 28 2022
THE MARKET
UPDATE
ROUND TOMATOES later harvests. This creates more shrink at the packing level,
With recent cooler weather and rain in the growing areas, FL’s but the final product is still nice.
round tomato production has slowed down a notch this week
but remains adequate. Quality is excellent on crown picks and There’s still plenty of grape tomatoes coming out of Mexico,
slightly less on any 2nd harvests. The size profile is a touch but volume is slightly lighter due to the cooler nights.
bigger than usual for this time of year but there is a mix of
sizing options available. The Naples/Immokalee area, where BELL PEPPERS
Lipman and several other growers are currently harvesting, Although FL’s East and West coast pepper growers have been
has a very cool forecast ahead for the weekend with the in full Winter production mode, last weekend’s cool
chance of freezing temperatures for one or two nights. This temperatures and this week’s rain have slowed down harvests
two-day shot of cold air may cause bloom drop and impact this week. With near freezing temperatures projected for this
production in 3-4 weeks, but volume will definitely be affected weekend, supply will likely remain on the light side for at least
to some degree in the short term. the next week or so. Most of the fruit that’s available is still in
the jumbo and 2X size range, with limited XL volume and very
Growing areas in Sinaloa have been experiencing night time little choice product. Overall quality is good with no major
lows in the 40-50’s, which is keeping the projected volume issues reported.
increases at bay. Maturity is lagging behind but the fruit is
there and we should see the volume increases eventually. Mexico’s bell pepper production has been strong with good
Supplies are currently moderate with sizing still heavier to big volumes coming into Nogales from Sonora and Sinaloa in the
fruit (4x4’s and 4x5’s) and overall quality has been good. East early part of the week. All sizes and grades were available with
Mexico and Baja still have a handful of fruit, but volume is some looking to move large and medium fruit. There have
waning as each area enters its wintertime production been occasional reports of bruising and inventory started to
schedule. build up for some, but overall quality has been good. As the
week progressed, some growers slacked off on harvests, as
ROMA TOMATOES market prices were very low, and supply has temporarily
FL’s overall roma production levels are down about 25% this tightened up going into the weekend, especially on XL sizing.
week but there has been enough available to meet demand.
Lipman’s Naples crops held at steady production levels and CUCUMBERS
has excellent quality. In part due to variety, but mostly due to The vast majority of Eastern cucumbers is still coming from
the daily temperature variance (+20 degrees), our fruit is the Honduran import programs, which will continue through
running on the large side with more jumbo and XL than mid-March. The logistics piece of that supply seems to have
smaller sizes. The weekend’s chilly weather will slow things smoothed out a little and product is available on a more
down a bit, so we’re likely to see less fruit for the next 7-10 consistent basis. Quality is average to good, depending on the
days. lot, and all sizes/grades are available. There’s been a very
limited amount of FL product around, but this weekend’s
Despite cooler nights, Guaymus, Culiacan and Guasave roma freeze/near freeze will likely take that acreage completely out
growers continue to have good volumes. There’s more of the picture. Hopefully the weekend weather won’t hinder
acreage in play, so the slow-down is less impactful on the start of FL Spring crops, currently planned to begin
availability. Expect mostly consistent production now through around March 10.
the month of February. Overall quality is very nice.
Sonora and Sinaloa continue to provide a steady supply of
GRAPE TOMATOES cucumbers. Growing conditions have been ideal so quality
FL’s grape tomato production has been rolling along at fairly remains strong as long as the fruit is fresh. Some growers
consistent levels, but lightened up a bit this week as some have just started new shade houses, so we expect consistent
growers transitioned to Mexico acreage and cooler weather supply over the next several weeks.
had an impact on production. Lipman (and others) will
continue with regular harvest plans through the Winter YELLOW & ZUCCHINI SQUASH
season, but there will be less overall acreage in play until the Squash production is at extremely limited levels in FL this
Spring. The weekend’s cold temperatures will likely slow week. Lighter acreage, cold weather, and the wind’s effects on
production another notch for next week, so expect light to
moderate supplies. Quality continues to be very nice on the Continued on page 2
earlier picks, but begins to decline once you hit the 8th and
ON THE HORIZON | 01
YELLOW & ZUCCHINI SQUASH...Continued COLORED BELL PEPPERS
quality have taken a toll on harvests in the Immokalee, There’s still plenty of colored bells available from Central Mexico
Homestead and East Coast areas. The forecasted cold and Culiacan-area growers this week. As we move into the first
weather this weekend will also have a negative impact on week of February, we expect to see less volume from both West
production since squash crops don’t respond well to the cold. and Central Mexico. Culiacan-area growers are just coming off a
Although we could see a slight rebound once the weather big flush and have slightly cooler temperatures in store which will
warms up, we anticipate product staying snug until Spring slow their volumes for the short term while Central Mexico’s low-
crops begin in about mid-March. tech season is nearing its end.With a portion of the growers out of
the mix, supply should settle in at somewhat lighter levels for the
Older fields in the southern areas of Mexico have played out next 3-4 weeks. Quality is mixed, with the better fruit coming from
and new plantings have been coming on slower than expected high-tech operations.
thanks to cool weather, creating a snug supply situation in the
West. However, we are beginning to see signs of life in MINI (PERSIAN) CUCUMBERS
zucchini as some new-fields harvests have started this week. Volume has been tightening up since many growers let their fields
Yellow squash is still very limited and is lagging behind by a go after a prolonged period of cheap market prices. However,
week or two. The acreage is there and production will increase there's still plenty available and quality is good in both Mainland
over the new few weeks, with the timing of that dependent on Mexico and Baja.
weather.
MINI SWEET PEPPERS
EGGPLANT Our year-round mini sweet program in Baja is going strong with
FL’s eggplant production is at a seasonal low with very light steady volumes and good quality. Mainland Mexico growers are
availability. The limited acreage in south FL is not seeing also into strong production. Mini sweet availability looks to be in a
strong production as the cool/cold weather has its way. When good place for at least the next month or so.
weather patterns improve, we could see a few more eggs in
the pipeline but production will remain at light Winter levels ORGANIC GRAPE TOMATOES
until new crops and areas get going in April. Quality is just We have solid volumes of organic grapes coming from our ranch
okay, as only about ½ of the current harvests are fancy fruit. with nice quality. With most other growers in the same situation,
availability is very good on this item, with potential promotional
Mainland Mexico’s eggplant production is carrying on at opportunities available.
mostly consistent levels with nice-quality fruit coming into
Nogales. As we move into March and lead up to Easter,
ORGANIC ROMAS
demand will strengthen for the Lent season on this item.
Organic roma production remains consistent with an adequate
amount of product available to meet demand. We expect this
CHILI PEPPERS trend to continue through the month of February before
FL’s chili pepper production is now at minimum Winter levels tightening up in March.
with limited volume coming from the East Coast and
Immokalee areas. Jalapenos, poblanos and Cubanelles are
available pretty consistently (in light volumes), but there are
very little, if any, specialties around. We expect the cold
weather, rain, and then more cold weather to tighten things
up a little more over the short term.
Sonora and Sinaloa’s chili pepper crops are bringing good
volumes and quality on all varieties. New plantings are on tap
to begin soon, so we don't expect any major availability issues
in the near future.
GREEN BEANS
Between less acreage, cool weather, and rain, FL’s green bean
supply is very light this week. At this point, quality has been
good on what’s available, but it is raining today and we could
see impacts on quality this weekend. Add the weekend’s
forecast to the mix, and we’re looking at light supply for at
least the next 7-10 days.
Green bean production is limited in Mexico this week for
several reasons: 1) Cooler night-time weather is slowing down
production increases, 2) Some growers report labor issues,
and 3) Prior low market prices hindered some from taking
care of their crops and now yields are suffering. It looks like
supply is going to stay on the lighter side for the next few
weeks.
ON THE HORIZON | 02
Transportation
Produce
Facts:
The national average price for diesel fuel
continues its upward trajectory this week (up
Barometer:
$.05), moving from $3.73 to $3.78 per gallon
All reporting regions in the country saw price
increases, ranging from $.02 per gallon in the
ITEM QUALITY PRICING
Rocky Mountains to $.08 per gallon in New
England.
Diesel fuel prices are $1.06 higher than the same Bell Pepper Good E-Higher; W-Lower
time last year.
The highest diesel prices are reported from Cucumber Good E-Steady; W-Steady
California ($4.82) and the West Coast ($4.49),
while the lowest costs can be found on the Gulf
Coast ($3.53) and in the Midwest (3.66). Eggplant Varied E-Steady; W-Steady
The truck situation in Nogales has improved
slightly, but shortages continue in all active
Green Beans Varied E-Higher; W-Higher
shipping areas. The "mostly" price for a truck
from Nogales to Philadelphia is around $9,750.
Running a truck from South Florida to Philly will
Jalapeños Good E-Steady; W-Steady
cost in the neighborhood of $3300 per load.
Squash-Hard Mostly Good E-Steady; W-Steady
Squash-Soft Varied E-Elevated; W-Elevated
Tomatoes Good E-Steady; W-Steady
Events
DID YOU KNOW?
-Eggplants aren't really vegetables;
they're berries. That's not so strange March 3-5, 2022
considering other fruits (like
SEPC's Southern Exposure
tomatoes) are commonly mistaken
Swan & Dolphin Resorts
for vegetables.
Lake Buena Vista, FL
-A study published in the New England Journal of Medicine www.seproducecouncil.com/events
in 1993 showed that eggplant has, by far, the highest level Team Lipman looks forward to seeing you at
of nicotine of any vegetable. But it's really such a small booth #124!
amount that there's no need for concern. You would have
to eat 20-40 pounds of eggplant to consume the amount of
nicotine in one cigarette. May 16-18, 2022
International Fresh Produce Association's
-Eggplant is a perennial plant, but most producers grow it
Brandstorm Conference
as an annual (they plow and destroy the plants after
Marriott Marquis San Diego Marina
harvesting the fruits).
San Diego, CA
www.freshproduce.com/events
-The world's top eggplant producers are: 1) China, 2) India,
3) Egypt, 4) Turkey, and 5) Iran. Eggplant is a staple in the
the cuisines of these countries.
ON THE HORIZON | 03JANUARY 28, 2022 | NEWS ARTICLES
RESTAURANT INDUSTRY NEWS
Yelp Economic Average: Consumers and Mudan sees the opportunities ahead for restaurants,
hospitality and entrepreneurs.
Restaurants Adapting to New Normal
“In 2021 we saw consumer behavior continue to adapt
WWW.MODERNRESTAURANTMANAGEMENT.COM to the new normal that is pandemic life,” said Mudan.
January 26, 2022 “Our data shows a record peak of mentions of rising
prices in reviews as businesses face inflation,
Consumers described more inflationary experiences
alongside supply and labor issues. At the same time,
within their reviews on Yelp in 2021 than ever before,
growth in people searching for higher cost businesses
according to fourth quarter 2021 data for the Yelp
on Yelp, and renewed interest in travel and event
Economic Average (YEA) report, a benchmark of local
categories could be a positive sign for local economic
economic strength in the U.S. Additionally, restaurant
recovery.”
and food new business openings (74,616) also
increased 10 percent from 2020 (67,611). Overall new
Last year also brought an increase in new business
business growth was near pre-pandemic levels
growth with nightlife, beauty, and hotels and travel
decreasing only one percent in 2021 compared to
businesses making a comeback. While the omicron
2019.
variant surged in Q4, increases in consumer interest
across several categories signaled a return to travel
"Restaurant and food businesses are continuing to
and social activities. In 2021, business openings
adapt to the many challenges they’ve faced over the
increased by eight percent to 559,715 up from 517,231
last two years," Pria Mudan, data science leader at
in 2020. Nightlife (9,344 new businesses), hotels and
Yelp, told Modern Restaurant Management (MRM)
travel (12,396), beauty (42,540) and local services
magazine. "Our data shows restaurant and food new
(60,069) categories on Yelp had the largest percentage
business openings increased 10% last year from 2020
increases year-over-year, rising 26, 22, 14 and 15
– a strong sign that these businesses are adapting to
percent respectively in 2021.
the changing conditions. The easing of restrictions
and rollout of vaccines have allowed many temporarily
"Changes to everyday life and business operations as a
closed restaurants to reopen and have helped create a
result of the pandemic have created new
favorable environment for new business to open as
opportunities for entrepreneurship across industries,
consumers return to dining out."
including restaurants," said Mudan."We’ve seen this in
food delivery businesses, which our data shows
In Q4, consumer reviews mentioning higher cost of
increased in Q4 2021 73 percent above pre-pandemic
goods and services grew, reaching a five year peak
levels (2019). In prior quarters we have also seen
after dipping at the onset of the pandemic, a 29
bakeries and dessert shops open at increasing rates –
percent increase from Q4 2020 and a 49 percent
possibly as people continue to turn their baking
increase from the five0year low in Q2 2020. As
hobbies into new ventures. Both suggest that as the
consumer concerns about inflation reached a record
pandemic continues to evolve, more people might
high, Yelp data also revealed an increase in people
create new businesses that meet the needs of their
searching for higher cost businesses.
local communities."
"We are seeing consumer interest rise for dining
Another lesson: the popularity of food delivery is not
options that were heavily impacted by pandemic
dropping anytime soon.
restrictions, with communal dining seeing a noticeable
uptick in 2021, Mudan added. "Conveyor belt sushi,
"Businesses that offer food delivery have continued to
buffets and food courts all saw an increase in
open and consumers now have more options for
consumer interest last year compared to 2020. It is
restaurant and food businesses that offer delivery,
interesting to see the increase in consumer searches
and many see it as a safer alternative to dining out,"
for higher priced restaurants while consumers are
said Mudan. "Our data also shows that consumer
also mentioning rising prices in their reviews. Yelp
demand for food delivery services remains strong,
data shows a 56 percent increase in searches for
with consumer interest up 107 percent in Q4 2021
restaurants at the highest price point in 2021
than it was in Q4 2019. As more people become
compared to 2019. As people returned to pre-
accustomed to getting their food delivered through
pandemic activities including travel and events, we
the pandemic, we expect food delivery to continue to
observed that people were more willing to spend at
be a popular option for consumers in the year ahead
higher price points, whether they were dining in or
and beyond."
out, or supporting other local businesses in their
communities."
ON THE HORIZON | 04Keep Your Eye on for nutrition while 81% noted the importance of
satisfaction. Eighty-five percent of consumers said they
the Consumer eat at least one snack for sustenance and one snack for
indulgence each day.
Sizing Up Snacking Trends
WWW.FOODBUSINESSNEWS.NET The survey found a rising appetite for functional snacks,
By: Eric Schroeder
with 78% of consumers saying they snack regularly to
January 26, 2022 “take care of their body” or serve “nutritional needs,” up
Consumers’ preference for snacking as a regular eating eight percentage points from 2020. Seventy-two percent
behavior over traditional mealtime eating occasions of consumers said they are seeking snacks that are
continues to gather momentum, according to the third portion controlled, up from 63% in 2020.
annual State of Snacking report released Jan. 19 by
Mondelez International, Inc. Sixty-four percent of global Looking ahead, between 40% and 48% of consumers
consumers said they prefer to eat many small meals surveyed said they expect to seek out snacks that offer
throughout the day, as opposed to a few large ones, up the following attributes in the next few years: vitamin rich,
five percentage points from 2019. boost immunity, high in protein, support gut health, low in
sugar, carbs or fat, and natural/organic. A smaller
To create the State of Snacking report, The Harris Poll percentage (29%) said they imagine seeking out plant-
through an online survey contacted 3,055 adults aged based functional snacks and gluten-free (23%).
18 and over in 12 global markets from Oct. 5-27 on
behalf of Mondelez International. As important as nourishment is, 79% of consumers said
some snacks should be just for enjoyment or satisfaction.
The survey found consumers are seeking out snacks to Eighty-five percent of consumers said they don’t want to
meet a variety of needs to a greater degree than they sacrifice on flavor, and 74% said they can’t imagine a
were two years ago, with convenience and freshness world without chocolate.
rising to the top of the list of attributes that regularly
impact snacking choices. Ninety-one percent of The global pandemic has changed the way consumers
consumers surveyed in 2021 listed convenience as their think about snacking and how they shop. Eighty percent of
top attribute, up from 87% in 2020. Freshness was just consumers said they expect to be able to buy the snacks
behind at 90% (up from 85% in 2020), followed by they want whenever they want, with 74% noting they
indulgence at 85% (up from 81%), healthy at 84% (up expect to be able to use any channel they want. As part of
from 80%), energizing at 82% (up from 79%) and unique that trend, 53% of consumers said they shopped more
at 74% (up from 68%). using at least three nontraditional or emerging channels
in 2021 than in 2020.
The definition of snacking also has evolved in recent
years. According to the survey, 82% said “snacks have “Our State of Snacking report found that the definition of
served different purposes for me at different phases of snacking is evolving among consumers globally, which is
my life.” Digging deeper into the data, Gen Z consumers reshaping the meaning of snacking within people’s lives,”
said they are more likely to snack to relieve anxiety (86% said Dirk Van de Put, chairman and chief executive officer
vs. 76% of all consumers) and boredom (79% vs. 69% of of Mondelez International. “Snacking is much more than a
all consumers), while millennials are the most likely source of nutrition and indulgence; it also is a source of
generation to snack to meet their nutritional needs (85% social connection and inspiration for broadened
vs 78%) and Gen X most often seeks out snacks as a experiences. Notably, consumers continue to prefer
comfort food (85% vs 82%). snacking occasions throughout the day over traditional
mealtime — as this growing behavior, accelerated by the
More than three-fourths of consumers surveyed said ongoing pandemic, increasingly becomes part of daily life.
they eat different snacks today than they ate three years That’s why we are proud to continue offering the right
ago, and 84% said they anticipate there will be more snack, for the right moment, made the right way.”
snack options to choose from in the next three years.
Consumers also are seeking snacks as well-being
boosters throughout their daily lives, part of a nuanced
approach to nourishment that Mondelez noted as part
of its research. The survey found 80% of consumers are
seeking snacks to improve physical health, while 75%
cited mental health and 80% mentioned emotional
health. Meanwhile, 65% said they are seeking snacks
that help them improve their social health.
Different snacks lead to different nourishment needs,
though, the survey found. Seventy-six percent of
consumers said they seek different snacks when they
are seeking physical nourishment than when they are
seeking emotional nourishment. Eighty-eight percent
said it’s important that their diet includes foods that are
ON THE HORIZON | 05On the Road Again some issues there. And then vice versa, even if the Canadian
driver that's going to pull some fertilizer down into the U.S. isn't
vaccinated, they're not going to be allowed in.”
Just When You Think Fertilizer Shortages
are Improving, Trucker Vaccine Mandates Krapu says it’s not that truck traffic is shuttered. She says it’s
just severely throttled back since there are so many cross-
Slam Supply Chain Into Disarray border truck drivers unvaccinated. But there’s no definitive
answer on just how many are still unvaccinated despite the new
WWW.THEPACKER.COM
mandate. She says some drivers who aren’t vaccinated are
By: Tyne Morgan opting for different routes that don’t take them across the
border. So, that leaves fewer drivers able to transport goods,
January 27, 2022 including everything from food and fertilizer, across the border.
Fertilizer availability concerns have plagued agriculture for
"That is one of their concerns is how they're going to get
months, but recent COVID-19 vaccine mandates in both the
fertilizer back from Canada that they regularly have been getting
U.S. and Canada could take even more truckers off the road.
easily from Canada for years,” says Krapu. “And now we're going
As the supply chain is already wading through chaos and
to have to figure out a new situation. They have some drivers
shortages of everything from food products to equipment
that can go but if you had 14 drivers that could go and now you
parts, more fertilizer shortages could be coming just before
only have four, you have to be creative on how you're going to
spring.
get that done."
Trucking industry experts warn while empty store shelves are
Fewer Truckers to Go Across the Border
being advertised as a product of these recent vaccine
Krapu says estimates point to as few as 25% of current U.S.
mandates, the issue will snowball into much more. The
truck drivers are vaccinated. Shaun Haney who hosts Canada’s
concerns derive from a recent vaccine mandate requiring
Real Agriculture says the estimates in Canada show anywhere
truckers to be vaccinated before crossing the border.
from 10% to 30% of drivers going across the border are
Truckers were previously exempt from federal travel
unvaccinated.
restrictions. The new mandate went into effect on January 15,
2022 in Canada, and on January 22, 2022 in the U.S.
“Think of an example from an agriculture perspective of getting
California fruits and vegetables into Canada has all of a sudden
The Canadian Trucking Alliance estimates the mandate may
become a lot more challenging than it was previously,” Haney
block up to 20% of the 160,000 Canadian and American cross-
told AgDay. “And if it does, we're also hearing those freight rates
border truckers from entering either Canada or the U.S. And
have gone up substantially. So a lot of concerns here and it kind
in Canada, a convoy of truckers took to the road across
of, in my mind, feels a little bit like a little bit of a self-inflicted
Canada this week to protest the cross-border vaccine
wound.”
mandates. The protests started in Vancouver over the
weekend and are expected to reach Ottawa by Saturday.
Krapu says a group of senators and governors sent a letter to
the Biden administration asking for an extension to the
"I worked for two years to bring goods and services, and
implementation of the vaccine mandate. That wasn’t fruitful, and
toilet paper and everything to everyone. We went through
she says there aren’t currently any religious or medical
having no showers, no bathrooms, no food — we starved
exemptions truckers can file.
sometimes for days on end on the road — and nobody cared
about us then, and now all of a sudden, they care," convoy
Severe Shortage of Truck Drivers
trucker Bridgette Belton, who owns and operates her own rig
She says the issue is just adding another layer of difficulty into
running food products and containers between Canada and
the supply chain, as trucker drivers were already in short supply.
the United States, told CBC News.
“So currently with a truck driver shortage being as it is, we are
seeing huge supply chain issues and have been for obviously,
More Fertilizer Shortages?
since the pandemic started. And that's two-fold,” says Krapu.
And in the U.S., effects of driver shortages are just starting.
“We're losing drivers to early retirement because of all of the
Kelly Krapu is safety director for True North Compliance
regulations and mandates that are being imposed. So people
Services in West Fargo, North Dakota, a company that helps
have chosen early retirement, and then we're not backfilling
trucking companies and drivers navigate rules and
those retirement positions. And then it's also we are losing
regulations on the road. She says we haven't seen the full
people that industry because of vaccine mandates.”
extent of the impact considering the mandate for drivers
coming to the U.S. only went into effect Saturday. "I have
Canadian grocers report some produce shelves are bare, and
been told from some chatter in industry, and some of my
the cost of hauling everything from tomatoes to lettuce from the
customers is a lot of their fertilizer comes from Canada,” she
southern part of the U.S. has jumped 25%. It's estimated about
says. "About 50% of Canada's fertilizer is exported into the
$45-billion worth of goods crosses the border every month and
United States. So, if an unvaccinated driver is not allowed to
most of the trade between the two countries uses trucks.
go into Canada to pull that fertilizer out, we're going to have
QUESTIONS OR SUGGESTIONS FOR THE NEWSLETTER? EMAIL: JOANNA.HAZEL@LIPMANFAMILYFARMS.COMOM
ON THE HORIZON | 06You can also read
