The market for limes imported from Mexico has remained steady, though prices could improve in the near future as production shifts to different parts of the country.
“Demand for limes has increased in the United States and supplies have kept up pretty well,” said Ronnie Cohen of Vision Import Group. “Bottom market prices have not been as low as they were about 10 years ago, so there have been stable markets.”
Auctions within Mexico vary and the domestic market in Mexico can affect volumes of fruit that makes it to the United States, but the confluence of factors affecting lime shipments has kept the market steady. Growers, packers and exporters need F.O.B. prices in Texas to be near $5.00 per carton in order to break even, and, so far, prices have been above that $5.00 mark. On July 16, prices for a carton of seedless type 110s from Mexico were between $6.00 and $8.00 at Texas crossings.
“The market seems like it will be steady over the next weeks, but weather is always the determining factor as well as transitioning from production areas in each state,” said Cohen. “I believe we will see markets firm up as we transition to new production. Prices could increased by $2.00 to $3.00 over current market prices.”
Import levels not affected by volcanic eruption
A volcano eruption in the Mexican state of Colima blew ash into the air, and dozens of people living in proximity to the volcano have been relocated. But, while there is lime production in the state, shipments to the United States are unlikely to be affected.
“Colima has more production of a seeded lime that has a taste profile and acid level that's not like the seedless lime,” Cohen pointed out. “That seeded lime mostly stays in the domestic market.”
For more information:
Donald Souther
Vision Produce Company
+1 213 622 4435