December 2002 Indian Sun Newsletter

ONLY BLUE SKIES FOR FLORIDA CITRUS GROWERS

A Florida grower called me recently and asked me to come to his office right away. I asked him, what was the matter. He told me, "I just read your November News Letter and I am so depressed I need you to come here and help me." "Are you thinking about getting out of the citrus business?" I inquired. "Yes, I'm getting out of it permanently", he said, "and I need you to kick the chair out from under me."

Maybe I have been too negative during the past few months, and I need to look at the brighter side of the citrus industry for a change. So, I have decided that the December News Letter will focus only on the positive side of Florida citrus. I hope this will cheer you up and set the mood for a joyous Holiday Season.

FLORIDA ORANGES - Early-Mid crop NOT as feeble as once thought Things are looking up for Florida's early and mid season orange crop, namely the Brix/acid ratios. A month ago, it looked like the acid levels of the Hamlin oranges were dropping faster than g-strings at the Mons Venus*. Not so in December! Florida's early oranges have stopped dropping acid and decided to grow up and act more like mature fruit. The oranges are gradually gaining good color and building better taste with higher Brix. The wimpy Hamlin we met in November has toughened up and is a contender in December.

* Mons Venus - A "gentleman's club", whose patrons include citrus growers and other shady characters.

 

Valencia Oranges – Sports car sales to jump following Valencia profits

Florida Valencia orange growers are looking forward to spending their mid-life crisis behind the wheel of a new BMW Z-4 after cashing in on the sale of what will certainly be record prices for their oranges.  Rumors around Stuttgart indicate that the Florida Dept. of Citrus has ordered a fleet of  bright orange beemers to be delivered at the end of the season.  The new color scheme will be known as the “Orange Crush” and the FDOC has offered to license it to qualified parties for an undisclosed amount. 

 

The Valencia oranges have been growing in size and maturing internally at an accelerated rate.  I believe they are about one month ahead of schedule in terms of ratio.  My guess is that Valencias will be harvested as early as February.  Prices for the raw fruit being bantered about by some processors in Florida are as high as $1.30 per pound solid ($344/MT basis 12.0 Brix) delivered.  It is difficult to say whether this price level will hold, as there is still a lot of time before harvesting begins in earnest, but it is clear that Florida Valencia oranges will command good prices this year.  Growers, start your engines!

 

ORGANIC CITRUS JUICES - Well look who's making money now! The Federal Government stepped into the organic citrus business with the confident swagger of a Wisconsin dairy farmer walking into the milking shed bare foot in the dark. Nevertheless, the Feds overcame their reluctance to kick up some organic dirt and have managed to bring some order to a dysfunctional industry.

However, the order has brought with it one problem, only "real" organic growers will actually benefit from the production and sale of organic products. This is forcing some wanna-be-organic producers to cancel their girlfriend's shopping sprees to New York and their New Year's gambling extravaganza in Las Vegas and, in some cases, seek shelter behind a trusted attorney's coattails.

Those honest organic growers who remain in good graces with the Federales are going to do well. These dedicated and steadfast Boers of Florida's unspoiled farmlands will reap a bonanza from a shrinking supply of certifiable organic fruit. If it were not for the annoying three years required to register an organic farm, the loss of 30% to 50% of the production per acre, the increased cost of fertilization and weed-control, and the never-ending amount of government bureaucracy, I know every grower in Florida would want to grow organic fruit. Definitely, not!

 

FLORIDA WEATHER - Congratulations! It a Nino. After a couple of very dry seasons of barren weather, Florida is celebrating the birth of a metrological phenomenon called El Nino, which promises to deliver a lot of rain to Florida during the coming months. We can expect to encounter scattered flooding throughout the low-lying areas of the state until El Nino, like all children, grows up and moves away, leaving us to clean up the mess.

 


GRAPEFRUIT JUICE - Profits set to rebound any day. Really!

Grapefruit growers received good news last week when the USDA announced that it would revise downward its forecast of Florida's grapefruit crop. The USDA reduced the grapefruit crop size by one million boxes in both of the main varieties, White and Red. Growers celebrated by immediately moving their prices up. The only problem is that packouts are still troublingly low and the cannery prices still don't cover the cost of growing the fruit. However, as we wish to focus on the positive, we should say that when you hit the bottom, as we have in grapefruit, the future is looking up.

BRAZIL APPLES - Set to start a new season, without hail, oxala!

 

 

 

 

 

 

 

SPAINISH CLEMENTINES - Excellent fruit, but where is the market?


The states of Santa Catarina and Rio Grande do Sul are watching the weather closely and praying for a hail-free early summer. Normally, December is the month that brings hail to this mountainous region of southern Brazil. Last season hail, which fell at the end of December destroyed almost 50% of the crop. So far this season, only one grower has been affected, in a very small way, by a hailstorm. Brazilian apple growers specialize in the production of firm, sweet tasting fruit such as the Galas, Royal Galas and Fuji varieties. Sizes tend to be small with the production peaking in sizes 135 and 120. While the small sizes can cause some problems in marketing, the fruit quality and taste are excellent and the fruit is gaining an excellent reputation with consumers worldwide.

 

Importers of Spanish Clementine oranges were elated when the USDA dropped the barriers to importing this fine seasonal fruit. Many rushed to secure supply and bring fruit into the USA before the Thanksgiving holiday. A limited volume made it in time and fetched very good price levels at the retail level. However, the import restrictions were lifted too late for retailers to include Clementines in their promotions and advertising features. So, despite the fact that only a fraction of the normal volume has arrived in the market, sales of the fruit are lackluster and retailers have dropped their prices to entice consumers to pick up the fruit. Importers are now trying to break even if they can. It is a shame that in a year of very nice quality fruit, it may be impossible for anyone handling Clementines to make a profit.

CHARITY PROJECT - Seeking your help for a worthy cause LETABA SCHOOL - Tzaneen, Northern Province - SOUTH AFRICA

In my Sep/Oct News Letter, I introduced you to the Letaba School and briefly described their mission and explained their urgent needs. The Letaba School is in need of our support to provide 200 physically and visually handicapped children, ages 4 to 12, with a regular school curriculum (reading, writing and arithmetic), along with the tools necessary to become productive citizens. Because these children all come from the poorest sector of the economy where Aids has had the greatest impact in South Africa, most of them belong to a single parent home or are being raised by a non-parent family member, grandparents or uncles.

There are so many needs around the world and I am sure you are solicited repeatedly. However, if you would like to make a small contribution to a worthy cause, where small money can make a big impact in the life of an individual, please consider the Letaba School in your Christmas charity plans. If you were able to make even a small donation of cash, clothing (boys and girls children sizes) or didactic materials for the visually impaired (brail), it would be wonderful.

Imagine how happy the children would be to know that someone they have never met, who lives far away, has taken an interest in his or her well being. Who knows how far one of these children might go with just a little help?

The school's address and bank details are:
Letaba School
P.O. Box 2445
Tzaneen, South Africa
Attention: Ms. Sue Mogg
Telephone: (27) 82-773-0595
Facsimile: (27) 15 303-1655 or 1194 (ask for fax line)

Banking details:
Account: Letaba School
Bank name: ABSA (Check Account)
Account Nr.: 1260491268
Branch Code: 334359

The bank has agreed to waive incoming wire transfers fees for the account of the Letaba School so all of your contribution will go to benefit the children.

FOR GREAT CITRUS GIFT FRUIT IDEAS, CALL TOLL-FREE: 1-877-4MINTON (646866) and order today a MINTON SUN CATALOGUE.

We always welcome your comments or questions. Reach us on line at:
jack@indiansun.com, bonita@indiansun.com