Market getting stronger on imported mandarins

“We have arrivals from Peru and Chile with W. Murcotts and Tangos. So we’re in the late-season mandarins,” says Linda Cunningham of Classic Harvest based in Paramus, NJ. Overall she adds, supply is meeting demand.

Volume from Chile and Peru is about three weeks in and Cunningham notes that it’s up considerably compared to last year. “There are a lot of new plantings in both countries and they both had great growing seasons for the late-season fruit. We’re moving through it,” she says. “Peru was predicted to have more than double digit increases, somewhere in the 20s. And we ourselves are up significantly because we brought in new growers.”

Classic Harvest has been focused on supplying mandarins year-round, packaging in its either Cookie Monster or private label brand. “We’re seeing more than a few retailers focus on private brand which fits their marketing strategy. It gives them a more consistent label on the stands 12 months a year instead of just sometimes,” says Cunningham.

While demand is meeting supply, she does note that they have retailers who are doing promotions in September. “The last two weeks of August have been a little slow for everybody across the board,” she says. “But with some nice cool weather hitting the Midwest and school back in session, we’ll see some real volume movement. It’s going to get a little tighter as we clean up the clementines in the marketplace.”

Pricing though has been lower somewhat. “I’d say it’s about five percent lower than last year,” says Cunningham. “I think it’s just reflective of a little more supply than we’ve had in previous years.”

That said, they do see the market getting stronger. “Last October, we saw some pricing in the $40s. I don’t think we’ll see that this year. We’ll see maybe the high $30s so more in line with reasonable expectations,” says Cunningham. “Once you get over $40 FOB, you’re at $5-$7 retail and it slows retail sales down really fast.”