Healthy demand has propelled along good movement of table grapes from California. While good quality and somewhat tight supplies on certain varieties has brought good prices, it's doubtful prices will go up through this part of the season with peak production.
"There's a tight supply of reds for larger sizes of flames; Scarlet Royals and some patented varieties are starting to harvest and there are more supplies coming,” said Stevco's Jared Lane. "Movement on reds has been really good for both extra-large and large sizes. There's an excess of supply for green grapes, and movement been good but not great. It depends on the variety, with some premium varieties getting very good prices."
On August 4, prices for a 19-pound container of bagged large and extra-large Flame Seedless grapes from the San Joaquin Valley were between $18.95 and $20.95. In general, Lane said prices for medium and large grapes are in the low teens, in the high teens for larger grapes, and in the low twenties for patented varieties. Older varieties have been a bit more challenging to sell.
"We're getting into the peak of the season,” he added, “so I don't see prices going up this month.”
Demand, quality drive movement
The market for grapes this summer has been steady, and good movement is due to healthy demand. Grapery's Jim Beagle believes the reason for that demand has to do with the quality of grapes coming from California right now.
"It's been a good flavor year where grapes taste good across the board. That's when consumers will buy a bag and keep buying more because they like the taste,” explained Beagle. "This kind of demand keeps pricing strong when grapes have good flavor.”
In the long term, he worries about the rising cost of growing grapes in California. If current trends continue, he says, shoppers may be forced to choose between grapes grown in California and other commodities. But, for now, demand has been a highlight of the season, both domestically and abroad.
"The strong dollar has had a little bit of an impact on exports,” said Beagle, “but, overall, we see strong demand from the export market.”
For more information:
Jared Lane
Stevco
+1 661 392 1719
Jim Beagle
Grapery
+1 661 387 9300