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U.S. Mexico Canada Agreement seasonal perishable products - weekly update

Movement of Mexican asparagus though Calexico, California and San Luis Arizona expected about the same

Grower-shippers continue to face increasing costs for packing materials and fuel as well as labor and production costs. Some invoices now include line-items to account for the expense of palletizing, delivery surcharges, and other expenses. These costs are being passed on to consumers, as the USDA Economic Research Service’s Food Prices Outlook, released each March, predicts further increases of 4.5-5% for 2022 after last year’s 9% increase in grocery prices overall. However, the category of fresh fruits and vegetables is forecast to see a slightly lower increase, of 3-4%, in 2022.

Movement of Mexican asparagus crossings though Calexico, California, and San Luis Arizona, expected about the same. Trading was moderate with prices on organic lower and others higher. Spot market demand fairly light though contract business remains strong. Harvest out of the Caborca region is winding down with shippers hoping next week brings additional business for Easter promotions. Movement of Peru asparagus is expected to increase slightly as more shippers increase imports this week and next, but to remain very light through next week. Trading moderate on very light supplies, and no F.O.B. report is currently being issued. The first F.O.B. report is expected the week of either April 10 or April 17, when both volumes and numbers of shippers are sufficient to issue a report. Quality is reported as variable, but generally good.

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