Pricing and movement steady for O.C. Schulz
Pricing and movement steady for O.C. Schulz
Dave Moquist, secretary/treasurer for O.C. Schulz and Sons Inc., said prospects for the marketing of the 2012 red potato crop have been bright. “We’ve had excellent demand and good movement,” he told The Produce News.
The company is located in Crystal, ND, and is a grower-packer-shipper of quality red potatoes, 90 percent of which are sold to the fresh market. The company’s harvest ramped up in mid-September and finished in early October. According to Mr. Moquist, potato quality was good, and yields were average to above average.
Production conditions were dry this year, and soil dryness presented its own set of challenges for producers. “We would like more soil moisture to cushion the potatoes and soften any lumps we may have during harvest,” he said, adding that between 1,500 and 1,800 acres for Red River Valley growers were not harvested owing to these conditions.
O.C. Schulz did experience some grade-out attributed to dryness. “But everything from production to movement looks good,” he added.
Although the East Coast is a significant destination for shippers in the Red River Valley, Mr. Moquist said Hurricane Sandy has had minimal impact to product movement. “Some East Coast business did slow down a week or so,” he stated. “I heard a few repackers were affected for a while. But no one we deal with directly was affected.”
He was asked how prices are faring. “Pricing has been steady,” he replied. “B-size reds are a little higher. A-size reds are steady. Time will tell.”
Potatoes are primarily marketed east of a line drawn from North Dakota to Texas under the “Crystal Champ” label, with additional product sold under the “Schulz Gourmet” label. The biggest share of potatoes is sold to wholesalers and repackers. This season, Mr. Moquist said the company is doing a little more business with retailers and foodservice.
This is the third year O.C. Schulz has grown the Sierra Rose potato variety for Discovery Garden’s LLC, headquartered in Oakland, CA. “We are continuing with the program for this marketing year and hope it continues to grow,” Mr. Moquist went on to say. “Their strongest area is still on the West Coast. But it continues to build in the Midwest.”