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Marketing Michigan Apples Peaches and Plums 1982 Crop

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Marketing Michigan Apples Peaches and Plums 1982 Crop Marketing Michigan Apples Peaches and Plums 1982 Crop Federal-State Market News Service Michigan Department of Agriculture Marketing Division United States Department of Agriculture Agricultural Marketing Service Fruit and Vegetable Division 3. FOREWORD This publication summarizes the 1982 marketing season on Michigan apples, peaches, and plums, and was published by the Michigan Department of Agriculture, Marketing Division cooperating with the united States Department of Agriculture, Agricultural Marketing Service, Fruit and Vegetable Division. The information contained in this summary was obtained from printed reports issued at the Federal-State Market News Office in Benton Harbor, Michigan. Other sources of information include the U.S.D.A., Statistical Reporting Service, Michigan Agriculture Reporting Service, The Michigan Apple Committee, and the Benton Harbor Fruit Market. We wish to express our sincere appreciation to Michigan growers and shippers and others in the fruit and vegetable industry for their cooperation which made this report possible. A telephone recorder is in operation during the season providing market news information which is updated daily. (Area Code 616 - 925-1096). Shipping Point Trends and prices on apples and other fruit are featured three times weekly by the Michigan Farm Radio Network on the following radio stations: WABJ - Adrian; WCSY - South Haven; WGWY - Charlotte; WHFB - Benton Harbor; WION - Ionia; WJPW - Rockford; WKBZ - Muskegon; WKLA - Ludington; WMTE - Manistee; WSGW - Saginaw; WTCM - Traverse City. Additional printed copies of this report may be obtained upon request from: U.S. Department of Agriculture, AMS Federal-State Market News Service F&V Division, Market News Branch P. 0. Box 1204 2503 Agriculture South Building Benton Harbor, Michigan 49022 14th & Independence Ave., S.W. Phone Area Code 616 - 925-3270 Washington, D.C. 20250 C.W. Hackensmith, Local Representative Released June 1983 TABLE OF CONTENTS PAGE FOREWORD 3 APPLE NARRATIVE REVIEW 5- 6 National Production & Value 7- 8 Fresh and Processed Utilization 9-10 Benton Harbor Fruit Market Volume and Price 11 Michigan Fresh Market Truck Shipments 12 International Exports of Michigan Apples • • • 13 Rail & Truck Arrivals 14 U.S. Cold Storage Holdings 15 Estimated Amount of Michigan Apples in Storage Nov. 1, 1982.. 16 Michigan F.O.B. prices 17-19 Wholesale Terminal Market Prices 19-27 PEACH NARRATIVE REVIEW 28-29 Production 30 Fresh and Processed Utilization. 31 Price Per Pound & Value of Production 32 Rail & Truck Arrivals 33 Benton Harbor Fruit Market Volume & Price; and Michigan Fresh Market Truck shipments 34 Michigan F.O.B. Prices 35-36 Michigan F.O.B. Prices & Wholesale Terminal Market Prices.... 36-37 PLUM-PRUNE NARRATIVE REVIEW % 38 Production, utilization, and Price Per Ton 39 Benton Harbor Fruit Market Volume and Price..... 40 Rail & Truck Arrivals 41 Michigan F.O.B. and Wholesale Terminal Market Prices 42-44 5. APPLES PRODUCTION According to the Crop Reporting Board of the S.R.S., U.S.D.A., united States commerical apple production was 8.21 billion pounds (3.72 million metric tons) in 1982, 6 percent above the previous year's crop but 7 percent less that the 1980 record crop. Of the total production, 8.20 billion pounds were utilized, 6 percent more than last season. There were 3.13 billion pounds utilized in the East. This was up 13 percent from last year's crop. Utilized production was up 27 percent in the .Central States to 1.45 billion pounds. The Western States utilized 3.62 billion pounds, 5 percent below 1981. Washington, the leading State, produced 2.75 billion pounds, fractionaly below last year. Production in New York, the second ranking State, totaled 1.13 billion pounds, up 41 percent from 1981. Michigan ranked third with 950 million pounds. This was up 290 million pounds from the previous apple crop, and was 50 million pounds over the 1980 crop. THE GROWING SEASON In spite of weather extremes that produced record lows in April and the warmest May on record, the weather cooperated well enough to produce a bountiful apple crop in 1982. Spring arrived during the first few days of April only to see winter quickly return for one week. The mini- blizzard brought temperatures that approached near zero on the morning of the 7th« Fortunately the trees had not broken dormancy and this minimized any damage. Temperatures were near normal during the balance of the month, while precipitation was extremely light. May on the other hand was much wetter and warmer than usual, with the rain coming in the last half of the month. Daily highs reached 80 degrees or more on 13 days in May. This helped tree development make up for the time lost in April. In fact, there was concern that the bloom had moved too fast due to the heat. These concerns proved to be insignificant as by mid-June trade sources were estimating an apple crop of record proportions. The growing season progressed normally in June although the weather was cooler and more moist than usual, while July proved to be a fairly warm and dry month. THE HARVEST Commercial growers in Michigan began harvesting summer varieties of apples in the beginning of August. The pace gained momentum by mid month as more blocks of Paulareds became mature. Harvesting could have moved along at an even faster rate had it not been for a slow market that developed in August as Washington Shippers struggled to finish the '81 storage crop. Even with the slow pace of trading the harvest of summer apples was mostly complete by the 2nd week of September, although a fair volume did remain to be shipped. By this time growers were beginning to harvest a heavy crop of Mclntosh. Unfortunately cloudy, cool and wet weather had settled in and slowed activity as growers waited for color. By the week ending September 19th, the Michigan Agricultural Reporting Service estimated that 25% of the Mclntosh were picked compared to an average of 40%. Meanwhile the harvest of Red Delicious and Jonathans was gaining in volume. When warmer and dry weather arrived in October Mclntosh were nearing completion while Red Delicious were one-third complete with Jonathans about 25%. By the week ending October 8th approximately 50% of the Delicious and Jonathans were off the trees. High temperatures during this time period were causing some additional coloring and maturity problems. Adding to these difficulties growers began experiencing a shortage of bulk boxes. This slowed the harvest for some of the later varieties, and forced growers to be more selective about which apples were being placed in long term storage. On the 16th and 17th a hard freeze Increased the number of drops and created some additional anxiety. Good weather soon returned and by the end of October the harvest was generally complete in the lower two-thirds of the state, while the harvest continued in the north. 6. APPLES- continued THE HARKET The marketing of Michigan's record sized 1982 apple crop presented a challenge to growers and shippers alike in both the fresh and processed apple markets. The season began disappointingly with the early varieties, particularly Paulareds. Shippers had anticipated a strong early season deal due to the freeze out of the North Carolina's apple crop, but this was not to be. Any influence this may have had on the market place was more than offset by the late clean-up of Washington's '81 storage crop. During this time western shippers literally plugged the distribution system with inexpensive fruit, which in turn slowed the movement of new crop apples from Michigan and other central and eastern states. In a number of ways this set the tone for the coming marketing season. The season began in Michigan with the first sales of Paulareds reported on August 9th. Cartons of 12-3 lb film bags of U.S. Fancy or better 2 1/4 inch and up Paluared sold from $7.50 to 8.00, while some Jersey Mclntosh sold at $8.00. This was the same opening price of the previous three seasons. The demand from buyers was good at this price range and trading was fairly active. This soon changed as supplies increased. The market entered a slump and prices declined steadily during the balance of the Paulared deal. When the last prices were issued for Paulareds on September 19th, sales were slow at $5.50. First-of-season sales were reported on Mclntosh on the 2nd of September at $6.50-7.00, and one week later on Jonathans at $7.00-7.50. Golden Delicious soon followed with the same price as Jonathans, while Red Delicious sales ranged from $7.50-8.00. Although these appeared to be reasonable starting prices, a lagging demand and increasing supplies forced dealers to compete sharply for the available business, and this in turn edged prices lower. By the beginning of October f.o.b. sales on Red Delicious were ranging from $6.00 to 6.50, with Jonathan $5.50-6.00, and Mclntosh $5.50. The market place appeared to be glutted with apples for both fresh market and processing uses at this time and growers and shippers searched desperately for ways to move fruit. The market continued to slide and by week ending October 15th when Romes and Idareds entered the market at $6.50 to 7.00, prices on the other varieties were bottoming out. By the first of November prices on Red and Golden Delicious had settled to a level of $5.50 to 6.25, with Jonathans and Mclntosh $5.00 to 5.50, Romes and Idareds were selling at 6.00-6.50 with Winesap at $5.75-6.50.
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