2024-04-02 14:34:55
Although there is a deficit of imported white pitahaya, the next supply will not be as expected. «Shipments from Ecuador will resume in the next 10 days, but supply will be scarce.warns Alan Goldberg, from A&B Tropical Produce, who adds that the supply gap is brief, since until last week they received fruit. «The contrast with last year is considerable, because then we had an abundance of fruit and prices fell to single digits and were even on consignment for a time.
The reason why upcoming supply will be tight is not clear. «In December and January, they predicted the same type of production for February-March and it never happened. There was fruit, but not as much as last year,” Goldberg recalls.
Although weather conditions could have contributed, the fact that there was so much production last year affected the income of many farmers and, in turn, the return on investment of farms was insufficient. “A lot of land was abandoned,” says Goldberg. In addition, shippers may also have supplied less goods than last year to ensure that prices did not fall to the same levels as then. «For importers it was a setback. “We were waiting for the supply floodgates to open and it never happened,” he adds.
Demand challenges
As for demand, it has been good, although the fruit is of good quality, which favors sales. «It’s not spectacular. The sector has been in the doldrums in general and things have not gone too well this year, but there is decent demand,” explains Goldberg. “I have spoken with many people in the sector and last year was bad for everyone, and they are trying to move forward to see what happens.”
Meanwhile, it is difficult to know how Florida’s dragon fruit production, which begins in June and peaks between July and September, will develop. Florida is also expected to have less production than other years. Traditionally, production is centered in the Homestead region, although Goldberg notes that it is also consolidating in the north, near Lake Okeechobee. «They are mainly small plantations. However, it is difficult to have a clear idea of what is taking place. Many of those plantations are also in the hands of sellers from the Northeast, such as New York. They are making deals where, in some cases, they own the farm. “It is a form of consolidation,” he says.
It is not surprising that, at this time, prices are high, almost $30 FOB Miami, due to the lack of supply. Before this shortfall, they ranged between $16 and $18, which is where they are expected to return once shipments increase, although it will also depend on what they are like.