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Strong lemon prices typical for summer
With production of lemons largely limited to California's Central Coast, prices have remained strong. Summer is when the market for lemons usually firms up, and prices could go higher before desert production in California and Arizona ramps up in autumn. Increased fall production would then reverse summer price trends.
“Desert activity can begin in August, but it's not until September or October when production there really starts up,” said Bob Walters with Visalia Citrus Packing Group. “Mexican imports can come in around August or September, but it's not really enough fruit to cause a decline in prices.” On July 1, prices for a carton of top grade 75s were mostly between $34.05 and $38.05. Walters said he's seen prices get up to $45.00 per carton on larger sizes.
The lemon market firms up in the summer because production is limited to a couple of districts. Walters hasn't seen many imports coming in, though production in the Southern Hemisphere is in full swing. After the desert regions start up in the fall, lemons from the Central Valley will further bring down prices. But, until then, prices will remain strong.
“Prices typically decline in November or December,” said Walters. “This is going to be the market for the next few months, and prices could get higher. We could hit $50.00 per carton by the end of summer.”