Stellar turns to terminal markets for early-season fig movement
Stellar turns to terminal markets for early-season fig movement
It was May 4 and the California fig crop was just starting to hit the top upscale retail operations and restaurants across the country. At around $45 for a four-pound pack, the fruit was high priced and in short supply.
Almost all of that fruit came to those customers via the traditional wholesale produce market. “Right now we are selling almost all our figs through the terminal markets,” said Kurt Cappelluti, sales manager for Stellar Distributing Inc. in Madera, CA. “The terminal markets play such a very important role in the produce industry.”
He noted that at this early part of the season when prices are sky high, retailers only want to carry a few packs in their top stores. They are not ordering the volume that will allow for direct pick-up at a shipper’s dock so they get a pallet, or even just a few cases from a terminal market operator. Naming many of the top wholesalers in the company of which he does business, Cappelluti reiterated that it is through their efforts that the early-season figs — and a host of other specialty-type items — get distributed early in the season.
Stellar expects its volume to increase throughout May, and by early June volume will have risen — and the price will have fallen — to the point where direct deliveries to retailers will make sense. By that time the Brown Turkey and the Black Mission varieties will be on the shelves and the harvest will have moved up to the San Joaquin Valley.
The company is also touting its increasing production of Tiger figs. It’s not a proprietary variety, but Cappelluti said Stellar and its growers have the vast majority of the volume. He said it is a great fig that makes a great presentation. The figs are eye-catching with their striped green and yellow skin and bright red flesh.
The company has also increased its production of organic figs. Its Maple Leaf Ranch (named in honor of its owner, Ontario-based Paul Catania and the M.L. Catania Co.) has about 150 acres of organic trees. The firm also markets for several organic fig growers. Cappelluti said there is a strong market for organic fruit, with organic figs typically bringing a 25-30 percent premium in the market place. “If conventional figs are selling for $18-20 per tray, organic figs are probably in the $22-24 range.”
But the longtime fig and fruit salesman says he is not interested in driving the price too high and dropping demand. “When we get good volume on the organic crop, we want to give the buyers a break. Give them a deal as well.”
Speaking of this year’s crop and the fig crop in general, Cappelluti said it will be an excellent quality crop. He noted that he has been selling it for close to three decades and growers have been growing it for longer than that. “After 30 years of doing something, you should be doing it better with more consistency — and we are.”