Delta Fresh hoping for improvement in tomato market
Delta Fresh hoping for improvement in tomato market
Delta Fresh Sales, a leading distributor of Mexican-grown tomatoes, has seen the highs and lows of the tomato deal since its founding over 90 years ago. But owner Thanasi Panousopoulos hasn’t experienced a year quite like this one.
“This is the worst year we have ever had,” he said Nov. 12. “We have no volume and no markets, with demand at an all-time low. This is the result of a slow start to the season, which was caused by cold and rain that affected production in the growing areas in Mexico.”
Panousopoulos said he has noted a shift in consumer buying practices as well, which he feels has further hampered Delta’s business.
“This generation of shoppers is eating healthy, but not as much fresh foods as in the past,” he said. “Maybe it’s due to the economy, but people are on a budget and they are buying more beef, chicken and eggs, but not as much fresh produce or tomatoes.”
Sam Capin, office manager and sales executive at Delta Fresh, said, “It seems that grab-and-go items are in demand, and consumers are buying just what they need right now and not shopping for the week.”
Panousopoulos said that tariffs on Mexican tomatoes, and the possibility that retroactive duties could be levied if the U.S. government raises the level above the current 17 percent as dictated by the tomato suspension agreement, is keeping growers on edge.
“We’re in a tough spot on the tomatoes, because they can go back to July 14, 2025 and hold us accountable to pay the extra duties, once the review is done in two to three years and the actual tariff is determined,” he said. “This could force a lot of growers to close their doors.”
But Panousopoulos prefers to take a “glass half full” perspective on the season and the company’s future.
“The last couple of years, Sonora and Sinaloa were affected by drought conditions, but this year is looking better,” he said. “Hopefully, once volume starts coming on the markets will still be good.”
He also said Delta Fresh’s recent acquisition by Grub Market has been a positive move for his company.
“It has been great working with Mike and the team at Grub Market,” said Panousopoulos. “They are good people and very transparent, so they are easy to work with.”
Panousopoulos and Capin said they look forward to the upcoming SWIPE convention in January, where Delta will be exhibiting.
“Every year it gets better,” said Panousopoulos. “And having it in Tucson means it’s easier for people to attend, so we applaud the FPAA for making the move.”
