Log In

Mexico loses 80-100% of crops to freeze, US prices to skyrocket

Freezing temperatures hit some of Mexico s produce areas  and as a result  crops such as tomatoes (s...
The cold weather experienced across much of the US in early February made its way deep into Mexico and early reports estimate 80-100 percent crop losses which are having an immediate impact on prices at US grocery stores with more volatility to come.
Houston - Wholesale food suppliers have already sent notices to supermarket retailers describing the produce losses in Mexico and the impact shoppers can expect. Sysco sent out a release(pdf) this week stating the early February freeze reached as far south as Los Mochis and south of Culiacan, both located in the state of Sinaloa, along the Gulf of California. The freezing temperatures were the worst the region has seen since 1957.
According to Sysco’s notice sent out this week:
“The early reports are still coming in but most are showing losses of crops in the range of 80 to 100%. Even shade house product was hit by the extremely cold temps. It will take 7-10 days to have a clearer picture from growers and field supervisors, but these growing regions haven’t had cold like this in over half a century.”
At this time of year, Mexico is a major supplier to the US and Canada for green beans, cucumbers, squash, eggplant, asparagus, peppers and round and Roma tomatoes. Compounding the problem is the freezing cold that hit Florida in December and January.
Sysco continued with its dire report:
“Florida normally is a major supplier for these items as well but they have already been struck with severe freeze damage in December and January and up until now have had to purchase product out of Mexico to fill their commitments, that is no longer an option.”
Validating that statement, The Packer released a statement at the end of December stating:
“Freeze damage to Florida crops could increase demand for Mexican vegetables for the rest of winter, grower-shippers say.”
That December report noted Florida’s cold temperatures and crop loss but was optimistic over Mexico’s produce, even if prices were climbing. “My gut feeling tells me the Mexican deal is going to be very active,” said Ken Maples, sales manager for Plantation Produce in Mission, Texas, according to The Packer.
“Green beans in Florida were seriously hurt. Romas that are $10 or $10.95 today in 25-pound bulk, I look for it to be in the mid-teens,” Maples added.
But that was December. On Wednesday, The Packer reported that:
“Supplies of tomatoes, peppers, cucumbers and other vegetables from Mexico will be severely limited until at least March following an early February freeze.”
Wholesale prices for many crops have already begun climbing, doubling and almost tripling what they were at the beginning of February.
The Packer notes that the short-term, mid-term and long-term outlook for some crops is “devastating” and using this week’s pricing as a gauge of what is in store for consumers noted:
“On Feb. 8, the U.S. Department of Agriculture reported prices of $22.95-24.95 for two-layer cartons of 4x4, 5x5 and 5x6 vine-ripe field-grown tomatoes from Mexico, up from $6.95-9.95 the week before and $5.95-7.95 the year before.”
Jerry Wagner, sales and marketing director for Farmer’s Best, based in Nogales, AZ, said: “The end of February and the first half of March, there will be even worse shortages of product” than during the first part of February, The Packer reports.
Wagner called it “a miracle” if 20 percent of the cucumber crop survives. Yellow, green and grey squash took the biggest hit. “Some plants will come back but the vast majority is lost,” Wagner added.
Sysco called the Mexico freeze an “unprecedented disaster” and noted the volatility of the matter in its release:
“With the series of weather disasters that has occurred in both of these major growing areas we will experience immediate volatile prices, expected limited availability, and mediocre quality at best.”
Mike Alton, marketing director for Prime Time International LLC based in Coachella, CA said: “We’re in for a long, tough haul,” according to The Packer.

20 comments

#1Feb 11, 2011 Cynthia Trowbridge
This abnormally cold weather ( Global warming?) has really played havoc with fresh produce. Up, up and away go the prices in the grocery stores. :(
#2Feb 11, 2011 Kevin Jess
A lot of people don't realize that "global warming" means extreme weather (hot and cold, wet and dry) and a change in weather patterns that we may not have time to accustom ourselves to and which could prove disastrous on many levels.
#3Feb 11, 2011 Carol Forsloff
Really well done and important news. We are worried about what the weather will do also to Louisiana crops.
#4Feb 11, 2011 sumdume
We need to remember that we had cold winters before they coined the term global warming.
#5Feb 11, 2011 Richard Bass
@Kevin Jess
A lot of people don't realize that "global warming" means extreme weather (hot and cold, wet and dry) and a change in weather patterns that we may not have time to accustom ourselves to and which could prove disastrous on many levels.
Well.. at least it does now. Global warming means any weather experience on earth now. Why even bother with the term weather anymore.
Looks like I will get going on that garden/greenhouse I meant to do last year.
#6Feb 11, 2011 Richard Bass
@Cynthia Trowbridge
This abnormally cold weather ( Global warming?) has really played havoc with fresh produce. Up, up and away go the prices in the grocery stores. :(
Imagine the impact his will have for those that were depending on the crops for a job.
#7Feb 11, 2011 sumdume
Here is an interesting article that ties into the story.
#8Feb 11, 2011 Cynthia Trowbridge
@Richard Bass
Imagine the impact his will have for those that were depending on the crops for a job.
It will be devastating for most of them.
#9Feb 12, 2011 Lynn Herrmann
there's this here to counter the wsj report.
as kevin noted, global warming is associated with extreme weather condition, both hot and cold.
it is a good idea if we all learn how to plant, and grow, gardens.
#10Feb 12, 2011 Richard Bass
That is hardly a counter and the combined monies pales in comparison to what has been feeding the MMGW fanatics through grants all pending on a vast revenue stream to governments and their supposed green investments. Just one man, Al Gore, managed to bilk people out of an estimated 100million for his nonsense. Fannie Mae's Franklin Raines was also gearing up and had patented a venture to rake in the dough on the backs of people with a patent for carbon trading." Patent No. 6904336 was approved by the U.S. Patent and Trade Office on Nov. 7, 2006 -- the day after Democrats took control of Congress. "
The patent, which Fannie Mae confirmed it still owns with Cantor Fitzgerald subsidiary CO2e.com, gives the mortgage giant a lock on the fledgling carbon trading market, thus also giving it a major financial stake in the success of cap-and-trade legislation.
Besides Raines, the other “inventors” are:
Former Fannie Vice President and Deputy General Counsel G. Scott Lesmes, who provided legal advice on Fannie Mae’s debt and equity offerings;
* Former Fannie Vice President Robert Sahadi, who now runs GreenSpace Investment Financial Services out of his 5,002-square-foot Clarksburg home;
* 2008 Barack Obama fundraiser Kenneth Berlin, an environmental law partner at Skadden Arps;
* Michelle Desiderio, director of the National Green Building Certification program, which trains “green” monitors;
* Former Cantor Fitzgerald employee Elizabeth Arner Cavey, wife of Democratic donor Brian Cavey of the Stanton Park Group, which received $200,000 last year to lobby on climate change legislation; and
* Jane Bartels, widow of former CO2e.com CEO Carlton Bartels. Three weeks before Carlton Bartels was killed in the Sept. 11 attacks, he filed for another patent on the software used in 2003 to set up the Chicago Climate Exchange. "
There are trillions more to be made on MMGW than any oil company stands to make without it.
#11Feb 12, 2011 sumdume
@Lynn Herrmann
there's this here to counter the wsj report.
as kevin noted, global warming is associated with extreme weather condition, both hot and cold.
it is a good idea if we all learn how to plant, and grow, gardens.
How does an article discussing Exxon's funding of anti global warming groups relate to a study being done by the National Oceanographic and Atmospheric Administration?
Are you implying that NOAA is a tool of Exxon Mobile?
#12Feb 12, 2011 Richard Bass
I could be wrong.. but I don't think it was Exxon or any other company against MMGW that was caught fabricating data and reports which everyone ran with to prove MMGW was real and governments wasted no time in trying to ram through ill conceived legislation to tax the hell out of everyone and everything well before the facts were in.
#13Feb 12, 2011 Lynn Herrmann
@sumdume
How does an article discussing Exxon's funding of anti global warming groups relate to a study being done by the National Oceanographic and Atmospheric Administration?
Are you implying that NOAA is a tool of Exxon Mobile?
actually, i provided a link, without implications.
take it for what its worth.
#14Feb 12, 2011 Cynthia Trowbridge
Actually the report its self is about the crops that froze and the prices that will be going up because of it.
#15Feb 12, 2011 Hans Smedbol
thanks Lynn for this story, disturbing as it is......we certainly don't like to contemplate even more for our fruits and vegies...
too bad this story stimulated the usual climate debates.............which are obviously going NOWHERE...so why bother.
#16Feb 12, 2011 Rick Haines
I think people are really gullible that think man-made emissions of CO2 can cause warming and cooling. Neither has been proven. When Al Gore did his movie, he said nothing about there being a link to possible freezing events or snowstorms. On the contrary, people were saying that cold and snowy winters were a thing of the past. On Jan. 21, 2010, records were set in two MN cities with recorded temps of -46°, beating the previous record by-5°. On Feb. 10, OK set a state record for coldest temperature recorded ever in that state at -31°, breaking the old record by -4°, a record that had stood since 1905. This crop loss in Mexico should show sensible people that we have more to worry about from cooling than from warming.
#17Feb 12, 2011 Kim I. Hartman
Good report and more reason to depend on my garden for much of my needs.
37 days till Spring :-D
#18Feb 13, 2011 Lynn Herrmann
@Kim I. Hartman
Good report and more reason to depend on my garden for much of my needs.
37 days till Spring :-D
i know what you mean, kim. hoping this season is better than last year's drought conditions here in the hill country. the onions are in the ground, but got hit hard with the recent cold spell.
now, about those white-tailed deer thinking the garden is a buffet...
#19Feb 13, 2011 Cynthia Trowbridge
My neighbor erected a very high fence to keep the deer out of his garden. But I have still seen them jump it. :)
#20Feb 13, 2011 Lynn Herrmann
@Cynthia Trowbridge
My neighbor erected a very high fence to keep the deer out of his garden. But I have still seen them jump it. :)
in these parts, if cornered, they can easily clear seven feet, almost eight.

Top ^

View: Mobile site | Full Site

© 2014 digitaljournal.com | Contact Us
powered by dell servers