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US(CA): With smaller local deals, tomato prices strong

While summer usually features less demand for California open-field tomatoes because of local production across the country, rainy weather in many parts of the country limited that local production this year. Demand was higher than usual in those rain-affected areas, so California's tomato growers have enjoyed good sales this summer.

“The market has been very good to us this season,” said Todd Giardina of The DiMare Company. “Everyone else had fewer supplies, and California, even with the drought, has been up on packages this year.” Part of the reason for a good crop in California was the heat, which accelerated production in some areas.

“July and August are when the homegrown deals are big,” said Giardina. “It's been pretty wet on the East Coast, and that's shortened up the homegrown deals and any other deals they have going there.” Further driving demand has been the volume of tomatoes coming from Mexico. With lighter than expected shipments from Mexico, California shippers have enjoyed that much more demand. On September 17, prices for a carton of loose extra-large mature greens from California's Central District were between $11.95 and $13.95. Back in July, prices per carton were in the $7.00 to $9.00 range.

“I don't see prices changing much,” said Giardina, “until we start getting some more volumes from Mexico.”

For more information:
Todd Giardina
The DiMare Company
+1 209 862 2872