| Another
cool, wet spring for tomato processors in California |
VEGETABLES AND
SPECIALTIES YEARBOOK -- July 22, 1999
July 1999, ERS-VGS-278
Approved by the World Agricultural Outlook Board
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This report is published by the Economic Research Service, U.S. Department of Agriculture,
Washington, DC 20036-5831.
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Excerpts from" Vegetable and melon use expected to rise in 1999
Processors of five selected vegetables (tomatoes, sweet corn, snap beans, green peas, and
cucumbers) expect to contract for 1.4 million acres in 1999-up 2 percent from a year
earlier. Given a need to replenish tomato product stocks, contract acreage is up strongly
for tomatoes (18 percent). Processors also increased contract area for cucumbers for
pickles (up 4 percent). With adequate frozen stocks and lackluster demand for canned
product, processors decided to reduce contract area for sweet corn (down 3 percent), snap
beans (down 2 percent), and green peas (down 2 percent). Given average acreage losses and
trend yields this coming season, output of the 13 leading processing vegetables could be
15 percent higher than a year ago and total a record high 18 million short tons.
For processing tomato growers, another cool, wet spring in California (which accounts for
95 percent of the crop) delayed the start of planting by several weeks. With more acreage
to cover this year, processors are concerned that bunching of the tomato harvest could
overwhelm handling capacity, resulting in loss of fruit and reduced production. As of July
1, the 1999 U.S. processing tomato crop is expected to rise 24 percent over a year earlier
to 11.5 million short tons. Despite the fact that production will likely be rising,
wholesale prices for most processed tomato products have only declined marginally over the
past few months. With foreign and domestic demand remaining relatively strong, stable
prices may be a reflection of the need for yet another substantial crop in 2000 to help
replenish stocks.
Printed copies of the Vegetables and Specialties Situation and Outlook Yearbook are
available. For more information contact Gary Lucier, 202-694-5253 or Charles Plummer,
202-694-5256. The text and tables for this report are also available electronically via
the ERS website at www.econ.ag.gov.ERS-USDA news release |
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