Some melon crops shipping into Nogales, Arizona from Sonora, Mexico are seeing an earlier start to the season. "We had sustained historic heat in the middle of March throughout the southwestern United States and northwest Mexico, as well as heat records in cities like Tucson, Phoenix and also Hermosillo," says Scott Vandervoet of Vandervoet & Associates.
© Vandervoet & Associates.
That heat has brought on an early start for watermelons particularly from the region with some shippers reporting beginning two weeks earlier. "Our crops of cantaloupe and honeydew are in line with historic start dates, which is the middle of April, so we're only bringing in watermelons at this time," he says. Some importers have begun though with honeydews and the first cantaloupes began to cross last week with very limited volume.
While the heat prompted the earlier start, it hasn't affected fruit quality.
As for demand, it is good. "It's an enigma because we know shoppers are paying higher prices," says Vandervoet, noting that at this time of the year, the markets are still largely dictated by Central American imports. "The Mexican crop kind of fills a void, whether it be for West Coast or regional shipping or for mixing business with other items available in Nogales."
Stronger watermelon pricing
Indeed, watermelon pricing started off at $350.00/bin FOB Nogales or $32-$34/carton at FOB Nogales. "Freight is also high so we know that the delivered cost is high, especially compared to other years at this time of year. Nonetheless, we're seeing good movement here," says Vandervoet. "Whether that means that consumers have become accustomed to higher prices at the retail level or maybe some of the increased costs are being absorbed at certain points along the supply chain, I can't tell you."
© Vandervoet & Associates.
Supply will continue to come out of Sonora through May and into June, though how deep shipping goes into June depends on factors such as summer heat and its effect on the plants. On top of that, by June, numerous domestic shippers are also going across the country leaving an increasingly diminishing window of opportunity at that point for importers. However, the early start to the season could also indicate an early end to it.
"Overall, Nogales will be an important loading point for US and Canadian buyers until June," says Vandervoet. "Table grapes will come in here towards early May and become an important item for loading. For truck traffic, wholesale and retail buyers should have confidence to shop here because supply will remain ample."
For more information:
Scott Vandervoet
Vandervoet & Associates
Tel: +1 (520) 281-0454
[email protected]
