Following this summer's announcement from Del Monte Foods that it would close several canning plants as part of its filing for Chapter 11 bankruptcy, the effects of that decision continue to reverberate throughout the industry. Particularly so following this fall's larger Pacific Northwest pear crop.
"This decision has impacted many growers in the region. The news came in June, with harvest beginning just a short time later, leaving growers with very little time to adjust their plans for the upcoming season," says William Gant of CMI Orchards, LLC.
© CMI Orchards, LLC
The role of the cannery
Historically, cannery contracts have served as an outlet for fruit that is undersized or doesn't meet retail qualifications. Without that processing demand, growers suddenly lost a reliable market for a meaningful portion of their crop, particularly given that the sizing profile that works for canning doesn't translate easily into the fresh market, where retailers and consumers expect larger, more uniform fruit.
"As a result, growers were faced with some difficult decisions late in the season about how to handle fruit that previously had a guaranteed home," says Gant. "While the industry has worked collaboratively to absorb some of this volume into fresh channels and alternative processing outlets, the timing and magnitude of the closure created real challenges. In the long term, the loss of regional canning capacity underscores the importance of continued innovation, market diversification, and strong retailer partnerships to support grower viability and maintain stability within the pear category."
For more information:
Kaci Komstadius
CMI Orchards, LLC
Tel: (509) 888-0536
[email protected]
www.cmiorchards.com