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Smaller Harvests Raise Fruit Costs

 

WASHINGTON — Prices for apples, oranges and several other fruits and tree nuts are expected to remain high in the near term, according to a report published last week by the U.S. Department of Agriculture's Economic Research Service division. The report notes that while the fruit and tree nut grower price index declined 1% in October, it remained 9% higher than the same period a year earlier.

A late navel orange harvest in California pushed prices 20% higher than October 2010. Grapefruit prices were up 26%. This year's grapefruit crop is projected to be smaller than last year, which will likely keep prices elevated. Similarly, a smaller crop of apples in Washington State — the country's largest apple-producer — contributed to a grower price increase of more than 20%.

A smaller crop and a weather-delayed harvest also led to a sharp increase in prices for grapes during this period, with grower prices up almost 84%. Here again the ERS expects lower total production to keep prices high.

By contrast, a large harvest of pears led to ample supplies and a price decline of 10% in October, compared with the same period a year earlier. Increased imports have also kept lemon prices from rising, but the ERS expects a smaller domestic crop to pressure lemon prices higher for the remainder of the marketing season.

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