Watermelon supplies are expanding toward July 4
Watermelon supplies are expanding toward July 4
Watermelon volumes were building just before the Memorial Day holiday, with volumes expected to be adequate for demand in the early days of June.
Watermelon prices on the verge of the Memorial Day holiday were "substantially higher" than those of the Memorial Day of 2004, "although prices are higher because there is not enough volume, Lloyd Rosen of Wm. Manis Produce Marketing Co. in Plant City, FL, said May 24.
By May 22, 2004, Florida had shipped 4,400 loads of seedless watermelons. Using round figures, Arnold Mack of McMelon Inc. in Lake Wales, FL, said that USDA figures as of May 22, 2005 indicate that just 3,100 loads of melons had been shipped.
The 30 percent drop in early-season 2005 watermelon volume was attributable to cold damp weather in Florida.
"On the bright side, the market is stronger than normal in a year when South Florida acreage was also normal. Yields were down so much that the region shipped 1,300 fewer loads. Mr. Mack observed, "When the markets remain strong, it doesn't take as many loads when you make more money per load. "If we had 1,300 loads of additional volume, we would have needed better weather [in the consuming region] up north to keep up with it.
Watermelon consumption is heavily dependent on weather conditions in the consuming market. If the weather in a market is summer-like, consumers are more apt to buy watermelons. Mr. Mack said that if the cold, wet early spring in the Northeast had been otherwise in 2005, there would have been a greater imbalance between supply and demand. As the season transpired, a balance worked out well. In a May 24 interview, Mr. Mack indicated that, as south Florida was reaching a volume of shipments late in its season, "Now we are behind on orders. If the weather in the north was better, we would be more behind.
Mr. Mack said that seeded watermelons are experiencing declining demand except for traditional customers in the southeastern United States. Still, he said that May 22 figures showed that south Florida's shipments of seeded watermelons are 1,200 loads below 2004 volumes. That is half the 2,400 loads shipped by May 22, 2004. The total reduction of 2,500 trailerloads of seeded and seedless watermelons "is a lot of melons, Mr. Mack observed.
"Texas is up a little from last year through the same period, Mr. Mack noted, "Although they're not up enough to make up for 2,500 loads. Mr. Mack said that Texas' watermelon shipping volume up to May 22 is about 1,000 truckloads, which is about 500 above the same period in 2004. "Texas growers don't ship as early as Florida growers, he said. With reduced volume in Florida, more Texas growers were shipping to the East Coast this spring. Texas growers have a better early watermelon crop than a year ago.
Mr. Mack said that north Florida and Georgia watermelon growers will be shipping later than normal this year. Still, "we could get into a normal supply by the end of June or the first of July if the weather stays good.
Mr. Rosen said on May 24 that Florida's southernmost watermelon growing district, which includes Clewiston, Labelle and Immokalee, is at the tail end now. The growing areas in the middle of Florida were beginning to ship.
Mr. Rosen expected Georgia to begin shipping about June 5 or 12. "Western Florida and Alabama will come into production about the same time.
In Florida, Mr. Rosen said, "the very early crop acreage was down and yields were down and the size of the yield was substantially down. The early deal was very high-priced with light volume. A few farmers have had substantial hits with inclement weather, replanting, excessive rain and diseases in vines in some instances. The early deal was not a good one. We were two to three weeks late. Now we're 10 to 14 days late in mid- to northern Florida, and I understand Georgia has been pushed back. That is good and bad news. There has been a real strong good weather pattern in the Midwest, so the Midwest has had good business in the third week of May. "The Northeast has been 15 degrees below normal, which is bad for watermelon sales. It's good that not enough volume had come in in the first place. Mother Nature is dictating a balance of supply and demand. We started to see increases of supply today. The quality has been good right along. With the cool weather, the watermelons grew slowly and strongly. Sugars are way up. The texture is very palatable and the watermelons give a very desirable eating experience. The fruit we do have is of exceptional eating quality.
Mr. Rosen said that watermelons "were trading in the range of $20 to $22 on 45-size seedless, but that seems a little bit weaker today, May 24. "The market won't collapse because there is not the volume to warrant a crash. It will ease a little. That is a factor as more areas are coming in while old areas are still giving some production. Watermelon prices around the same date a year ago were $12 to $14 for 45-count seedless watermelons.
Mr. Rosen said that the national watermelon business "will peak for the July 4 business. History suggests that business runs through Labor Day, but the real season peaks July 4 and goes downhill from there in demand. Promotions will change in nature as we get into August. The business changes to cut melons: cut quarters and halves.
Mr. Rosen noted, "There is still good demand for seeded watermelons in the Southeast, which is a traditional market for seeded melons, which are a large piece of fruit.
(A full report on watermelons appears in the June 6 issue of The Produce News.)
Watermelon prices on the verge of the Memorial Day holiday were "substantially higher" than those of the Memorial Day of 2004, "although prices are higher because there is not enough volume, Lloyd Rosen of Wm. Manis Produce Marketing Co. in Plant City, FL, said May 24.
By May 22, 2004, Florida had shipped 4,400 loads of seedless watermelons. Using round figures, Arnold Mack of McMelon Inc. in Lake Wales, FL, said that USDA figures as of May 22, 2005 indicate that just 3,100 loads of melons had been shipped.
The 30 percent drop in early-season 2005 watermelon volume was attributable to cold damp weather in Florida.
"On the bright side, the market is stronger than normal in a year when South Florida acreage was also normal. Yields were down so much that the region shipped 1,300 fewer loads. Mr. Mack observed, "When the markets remain strong, it doesn't take as many loads when you make more money per load. "If we had 1,300 loads of additional volume, we would have needed better weather [in the consuming region] up north to keep up with it.
Watermelon consumption is heavily dependent on weather conditions in the consuming market. If the weather in a market is summer-like, consumers are more apt to buy watermelons. Mr. Mack said that if the cold, wet early spring in the Northeast had been otherwise in 2005, there would have been a greater imbalance between supply and demand. As the season transpired, a balance worked out well. In a May 24 interview, Mr. Mack indicated that, as south Florida was reaching a volume of shipments late in its season, "Now we are behind on orders. If the weather in the north was better, we would be more behind.
Mr. Mack said that seeded watermelons are experiencing declining demand except for traditional customers in the southeastern United States. Still, he said that May 22 figures showed that south Florida's shipments of seeded watermelons are 1,200 loads below 2004 volumes. That is half the 2,400 loads shipped by May 22, 2004. The total reduction of 2,500 trailerloads of seeded and seedless watermelons "is a lot of melons, Mr. Mack observed.
"Texas is up a little from last year through the same period, Mr. Mack noted, "Although they're not up enough to make up for 2,500 loads. Mr. Mack said that Texas' watermelon shipping volume up to May 22 is about 1,000 truckloads, which is about 500 above the same period in 2004. "Texas growers don't ship as early as Florida growers, he said. With reduced volume in Florida, more Texas growers were shipping to the East Coast this spring. Texas growers have a better early watermelon crop than a year ago.
Mr. Mack said that north Florida and Georgia watermelon growers will be shipping later than normal this year. Still, "we could get into a normal supply by the end of June or the first of July if the weather stays good.
Mr. Rosen said on May 24 that Florida's southernmost watermelon growing district, which includes Clewiston, Labelle and Immokalee, is at the tail end now. The growing areas in the middle of Florida were beginning to ship.
Mr. Rosen expected Georgia to begin shipping about June 5 or 12. "Western Florida and Alabama will come into production about the same time.
In Florida, Mr. Rosen said, "the very early crop acreage was down and yields were down and the size of the yield was substantially down. The early deal was very high-priced with light volume. A few farmers have had substantial hits with inclement weather, replanting, excessive rain and diseases in vines in some instances. The early deal was not a good one. We were two to three weeks late. Now we're 10 to 14 days late in mid- to northern Florida, and I understand Georgia has been pushed back. That is good and bad news. There has been a real strong good weather pattern in the Midwest, so the Midwest has had good business in the third week of May. "The Northeast has been 15 degrees below normal, which is bad for watermelon sales. It's good that not enough volume had come in in the first place. Mother Nature is dictating a balance of supply and demand. We started to see increases of supply today. The quality has been good right along. With the cool weather, the watermelons grew slowly and strongly. Sugars are way up. The texture is very palatable and the watermelons give a very desirable eating experience. The fruit we do have is of exceptional eating quality.
Mr. Rosen said that watermelons "were trading in the range of $20 to $22 on 45-size seedless, but that seems a little bit weaker today, May 24. "The market won't collapse because there is not the volume to warrant a crash. It will ease a little. That is a factor as more areas are coming in while old areas are still giving some production. Watermelon prices around the same date a year ago were $12 to $14 for 45-count seedless watermelons.
Mr. Rosen said that the national watermelon business "will peak for the July 4 business. History suggests that business runs through Labor Day, but the real season peaks July 4 and goes downhill from there in demand. Promotions will change in nature as we get into August. The business changes to cut melons: cut quarters and halves.
Mr. Rosen noted, "There is still good demand for seeded watermelons in the Southeast, which is a traditional market for seeded melons, which are a large piece of fruit.
(A full report on watermelons appears in the June 6 issue of The Produce News.)