Snake River Produce pacing production for March finish
By
Kathleen Thomas Gaspar
Snake River Produce pacing production for March finish
With supplies down by 40 percent from 2020, Snake River Produce in Nyssa, OR, Is “pacing our production to finish in late March,” said GM Kay Riley.
The short crop was caused by adverse weather conditions during planting and extreme heat during the summer, and Riley said, “Obviously, shipments are way down from normal.” He also said the plan is to finish in late March, “provided the onions keep reasonably well,” and he added, “We have a good group of customers who expect and need us to provide onions for them throughout our season.”
Assistant GM/Sales Tiffany Cruickshank also weighed in, saying, “This season is about as abnormal as they come. We have adjusted our production schedule and plans for the season to accommodate our customers as best we can, but there will certainly still be shortages.”
Fewer onions resulted in an increase in demand, which Riley said was especially strong at the beginning of the season, particularly for reds. As the season progressed, he said, “Partially by our own design and in an effort to just take care of regular customers, we have in a sense lessened our own demand because of a lack of supplies.” And as the winter holidays drew nearer, Riley explained, “The prices are high, but it seems that demand is off.”
Overall, however, he said, demand “has been pretty well balanced between retail, wholesale and foodservice.” He added, “We have had a reasonable bit of demand for white onions to Mexico as well.”
In addition to reducing yields, the extreme heat also resulted in a smaller size profile, but Riley said, “We have various lots that have enough large onions in them to allow us to supply those customers that use big onions with a limited supply.”
With the reduction in larger sizes came the natural increase in the number of medium yellow onions, and Riley said, “We hope and expect that the disparity in pricing between jumbos and mediums will correct itself. In red onions we also have a higher percentage of mediums than normal, but demand for medium red onions has been excellent, so they have been easy to sell.”
He added, “We are restricting the number of jumbo red onions that we allow customers to buy, and our sizing on whites is pretty normal.”
Commenting on the labor force, Riley said, “We are very fortunate in that we have high percentage of workers that come back year after year, and we have had an adequate labor supply. Of course, having less onions to harvest made it a little easier to have enough help.”
Cruickshank added, “We pride ourselves on having a welcoming workpalace, and that results in a loyal team at Snake River Produce. As we are running fewer hours than normal, it brings a new set of challenges. With regard to health, Snake River Produce has implemented a number of health-safety protocols and recently held a voluntary flu-shot and COVID-19 vaccine clinic with good participation.”
The two also tackled the issue of transportation. Riley said, “Trucks are extremely tight, as are railcars at the moment. We look forward to the opening of the Treasure Valley Reload Center next season, which we think will lessen the challenges of finding adequate freight. On Oct. 1 we held a groundbreaking for the reload center, and groundwork is expected to begin at any time.”
“Transportation has been challenging,” Cruickshank agreed. “As is normal this time of year with temperatures dropping, fewer receivers are willing to take flatbeds and vans. That coupled with increased demand due to the Christmas Tree Rush — they ship on refrigerated trucks — and a tightening of railcar availability puts additional pressure on the market.”
Another issue that Riley said is impacting the Treasure Valley is the termination of Marketing Order 959 for the S. Texas Onion Committee. That MO was terminated earlier this year after a referendum in fall 2020 failed to garner the needed two-thirds vote it needed to continue. Since the termination was announced, the USDA had two comment periods for the industry to voice either support or opposition for the MO on the USDA website. The initial period in September brought nearly 100 comments, with just two voicing opposition to the continuation of the marketing order. A second comment period was begun in early November to run through the month.
Riley said, “As far as the suspension or possible going away of MO 959, we hope that the USDA will realize the potential impact that this will have on us as a country. We are already under heavy pressure with imports from Canada, Mexico and Peru being a constant challenge for us and impacting U.S. suppliers. When the [onion] marketing orders were established with M.O. 958 [Idaho-E. Oregon, 1957], it was common for people to finish shipping by early March.
“With new technology and refrigerated storages, it is common for people to ship well into May and even a few into June. It seems terribly unfair that our marketing order wouldn’t prevail during a time frame where we are still shipping significant product.”
Photo: Tiffany Cruickshank