Maurice A. Auerbach says California drought is pushing prices higher
Maurice A. Auerbach says California drought is pushing prices higher
On April 29, Bruce Klein, director of marketing for Maurice A. Auerbach in Secaucus, NJ, told The Produce News that it was the first day that temperatures reached into the 70s, despite that spring officially started on March 20.
But some problems the produce industry faces today aren’t going away with the passing of seasons. One of the major problems facing the domestic industry, and will likely have an impact on imported produce in the future, is the drought in California.
Klein said California growers who are farming report having enough water for their needs.
“But some are virtually bailing out of farming and instead selling their water for income,” he said. “And some have changed what they grow to items that require less water.”
Maurice A. Auerbach, Klein explained, turns to wherever it must when California’s crops are short.
Maurice A. Auerbach’s six-ounce vacumm-packed organic garlic is a retail favorite and its five-pound jars of peeled garlic are a popular item as well.“But some customers really prefer California, or at least domestic, product rather than from Mexico or other countries,” he said. “The result of California’s drought is, put simply, higher prices.”
New Jersey crops are running a week to 10 days late this year due to the cold and long winter. But the company is looking forward to the start of the asparagus crop, despite that it’s late.
“We expect the Jersey asparagus crop will start soon,” said Klein. “It’s a relatively short season and growers will be looking for big money. But then, when everything starts coming in strongly from Peru, Washington and California, the oversupply will drive prices down.”
When prices are too high, retailers, foodservice operators and even consumers start to look at other items to take the place of asparagus, such as Brussels sprouts and other spring vegetables.
Maurice A. Auerbach continues to enjoy its cutting edge facility that opened in fall 2011. The 60,000-square-foot facility has 45,000 square feet of refrigeration and an unbroken cold chain.
The construction also offers enhanced sustainability. Klein noted that even though the facility is maintained at a temperature that is perfect for fresh produce, it was much more comfortable for customers and employees than if they had to be on an exterior dock that is exposed to the elements.
“We’ve enjoyed the new facility since the first day we moved in,” said Klein. “It has resulted in us gaining new and increased business. We invite customers to visit us, and every time someone walks in the first time they express how impressed they are. That always translates to increased or new business.”
The company is one of the Northeast’s larger distributors of garlic. Its peeled garlic, in five-pound jars in a 20-pound case for foodservice, and six-ounce vacuum packed pouch for retail, have been particularly strong sellers.
It also does a major business in ginger, shallots and other specialty items, including tropical and Asian produce.
And it is seeing demand increase for its organic line.
“We are adding ginger to our organic line,” Klein noted. “Garlic, shallots and ginger complement each other and work well together in stores. The organic demand is definitely here today.”
He acknowledges the increased demand for Asian and Hispanic items, but points out that garlic is used by nearly every culture and around the world.
“The Asian and Hispanic population continues to increase, and we’re enjoying growth in both areas,” said Klein.