Leaf lettuce supply is good and increased over this time last year, though demand is on the softer side. Ratto Bros Inc. has green, red, and romaine lettuce supply coming out of Yuma, Arizona right now. "The quality is excellent–we have had very, very mild weather in the desert," says Frank Ratto. He also notes that supply is good for the same reasons on other commodities it works with including cilantro, cabbages, parsley, and more. "There's been no extremely cold weather that traditionally could happen early on. It's been quite nice and so there's excellent supply."
Healthier eating demand coming?
However, demand for lettuces is surprisingly on the lighter side, though the contract business is pulling as normal. "Maybe it's after the holidays when there's a bit of a lull in volumes going out. While it's also the time of year that people start eating healthier, we're just not seeing that on leaf lettuce," says Ratto, adding that the stormy weather across the country could factor into the slower demand given shoppers tend to shop less when that happens or trucks could be facing challenges in shipping product from the west coast to the east coast.
Looking ahead, supply is expected to remain plentiful and Ratto says some in the industry are disking fields. "There's just a surplus of leaf lettuce out there and it's selling for well below the cost of producing the product," says Ratto, adding that some shippers are selling load volumes open (priced after sale) and are being returned $3-$4/box. "That's pretty devastating for the grower."
For more information:
Frank Ratto
Ratto Bros. Inc.
Tel: +1(209) 545-7575
[email protected]
www.rattobros.com