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Red Book Marketing

September 28, 2007

Sponsored by

United Farms LLC  

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United Farms LLC

South American Blueberries

Market Snapshot*

South American blueberries were not yet shipping. The U.S. Department of Agriculture reported that Oregon/Washington coast districts were shipping flats of 12 4.4-ounce cups with lids of medium-large blueberries from controlled-atmosphere storage for mostly $23-24.90.

*Prices from the USDA's National F.O.B. Review, Sept. 26.

The Shipping Scene

Cool weather in Argentina means South American blueberries will get off to a slow start this fall, but once volume picks up, buyers can expect significant supplies.

United Farms LLC, Hallandale Beach, Fla., is expected to have blueberries from Argentina by the second or third week of October, said Marcelo Estrada, general manager.

Argentine berries will be available through mid-December with some overlap with Chile, which has blueberries from November until April, he said.

The company expected to have excellent quality and good sizes throughout the season thanks to good farming and post harvest practices, like growing the right varieties with appropriate cultural practices and maintaining the cold chain.

The winter in South America, which is counter to summer in North America, seemed longer than usual, Estrada said, and was characterized by very low temperatures and snow, a very rare event.

The cold weather has affected various growing areas differently.

Estrada expected low yields and low volume from the Tucuman area, where the earliest fruit comes from, despite many new farms entering production.

"In Buenos Aires and Entre Rios, there is a different picture," he said. "New farms entering production, mature farms getting better yields due to very good practices, and little damage from a cold winter will result in significantly bigger volumes compared to last year."

United Farms has been producing and exporting blueberries from South America for 15 years, Estrada said. The average stay in the company's Miami storage facilities last year was less than 24 hours.

"In this way, our clients received fruit which had been harvested 48 hours earlier," he said, and the cold chain was maintained.

Dave's Specialty Imports Inc., Miami, expected to have blueberries from Argentina the first week of October, but supplies will be light, said owner Dave Bowe.

Shipments likely would have started around Sept. 10, if not for the cold weather, he said. Daytime temperatures were about 45 degrees from mid-August through mid-September, and nighttime readings were around 38, dropping to as low as 32 degrees.

"The early fruit was green and just waiting for warm weather," Bowe said.

Bowe expected volume to increase during the second week of October and peak from Oct. 15 through Nov. 24 with 600,000 cases arriving in the U.S. each week before supplies start to drop off.

Quality should be excellent, and production out of Argentina is expected to be 30% to 40% above last year, he said.

Most blueberries from Argentina are shipped by air, he said. The standard consumer container is the 4.4-ounce clamshell packed 12 per case.

Aside from starting two to three weeks later than usual, the only problem with this season's Argentina berry program will be that they may all come on at once, said Eric Gingrich, import specialist at Earth Source Trading, Ephrata, Pa.

"But that may provide good promotional opportunities for retailers at the end of October," he said.

Earth Source's Chilean blueberry deal should get under way the first or second week of December, Gingrich said.

"Promotions will be available for Christmas," he said. "We should be in good shape for the Christmas holiday."

Quality from both areas is expected to be very good. "We're excited about that," he said.

(By Tom Burfield, Western correspondent for The Packer. The Packer and Red Book Credit Services are part of food360º, a division of Vance Publishing Corp., Lincolnshire, Ill.)

Resources

USDA Fruit & Vegetable Truck Rate Report
National FOB Review

Blueberry Shipments by Origins
United States Standards for Grades of Blueberries

Florda Department of Agriculture and Consumer Services
Florida Inspection Offices
Washington Department of Agriculture
Washington Inspection Offices

 

PACA regional offices:

Manassas, Virginia

Business Hours: 8 a.m. - 4:30 p.m. Eastern Time

Basil W. Coale, Regional Director
Email: basil.coale@usda.gov
Gary Nefferdorf, Assistant Regional Director
Email: gary.nefferdorf@usda.gov
Telephone: 800-495-7222
703-331-4550 (local)
Fax: 703-330-4856

Tucson, Arizona

Business Hours: 8 a.m. - 4:30 p.m. Mountain Standard Time (Nov. - March)
Pacific Standard Time (April - Oct.)

Jerry W. Taylor, Regional Director
Email: jerry.taylor@usda.gov
Patrick P. Romero, Assistant Regional Director
Email: patrick.romero@usda.gov
Telephone: 800-495-7222
520-879-4361 (local)
Fax: 520-670-4798


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