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Potential gap ahead in grapes from Mexico

Grape production is underway from Mexico already though sizeable volume may not be seen until late May. Miguel Suarez with MAS Melons & Grapes says supplies are coming in currently from Jalisco, Mexico. “It’s a small deal still compared to northern Mexico with the state of Sonora. There are a few companies going from Jalisco with grapes but I don’t think they’re going to last very long--probably for another two to three weeks at the most,” he says.

There were weather factors that delayed the start of the season including colder and rainy weather. However, grape varietals are also a factor. “There is less and less of the earlier varieties that existed here in Northern Mexico like Perlette. They were an early variety and there are still some but I don’t think this year it’s going to be more than 300,000 boxes to 350,000 boxes,” he says. Flames is another older variety that’s seeing a smaller amount of production. Last year saw 7 million boxes of Flames and the projection this year is for 6.5 million, though Suarez believes it will be less based on what growers are saying.

Later Sonora start
These newer varieties also start some 12-15 days later in Sonora. That means there could be a gap in supply given that good volume from Mexico may not be seen until after May 25th. “There will definitely be a later end to the season--at least until the middle of July,” Suarez says.  

In turn, the start of most of the Mexican volume will likely see high prices given the likely gap. “There are going to be very few grapes in May but June is going to be big,” he says. So pricing will likely be tricky. “If we start on the highest prices, it’s going to be a difficult season. We should keep going with promotions as soon as we have the volume to support them,” says Suarez. “The costs of growing have increased by a lot because of the cost of fertilizers, labor, freight and fuel. If we try to stay very high with pricing for a long time, it’s not going to work. We need to find the level that will move the fruit and get going as soon as we can with those prices.”

For more information:
Miguel Suarez
MAS Melons & Grapes
Tel: +1 (520) 377-2372
miky@masmelons.com  
www.masmelons.com