-March 27,2020-
All of a sudden some foods are being considered essential for a healthy immune system all around the world.The impact could be big for California’s citrus, egg, dairy, nut and garlic farmers- just to name just a few.
News Briefs
Surging food demand includes dairy products
Grocery stores and farm groups have been urging people to buy only the food they can use, but a number of staple products have seen surges of demand, including dairy foods. Analysts say people have been stocking up on milk, cheese, ice cream and other dairy products. One small-scale milk processor in the San Joaquin Valley says he’s been operating at 140% of capacity to keep customers supplied.
Tulare’s Rosa Bros Dairy sees 100% increase in sales
Rosa Bros Dairy, based in Tulare, saw their glass bottle milk sales jump 100% last week during what company president Noel Rosa calls a”milk frenzy” by consumers.”We are almost back to normal this week” says Noel who adds in some grocery stores – Rosa Bros milk was the only milk available on the shelves. The small processor ships to about 250 stores in the Valley and more on the Central Coast. The Milk Advisory Board says fluid milk sales last week were up around 32%.Until now, fluid milk consumption has been on a steady decline over the years. In 1975, milk consumption per person averaged 247 pounds according to the USDA.By 2017 it was 149 pounds. Noel says does not know if that will change now.”The truth is that milk is great source of Vitamin D.”
Chinese encourage more milk consumption to boost immunity
All of a sudden some foods are being considered essential for a healthy immune system around the world.The impact could be big for California’s citrus, egg, dairy, nut and garlic growers to name just a few.
Four associations in China have published new guidelines urging Chinese consumers to take in more milk and milk products. Their statement says “Milk and other dairy products are an excellent source of high-quality protein and can also provide a source of Vitamin B2, Vitamin A, calcium and other nutrients essential for the human body. So a higher intake of these products for those low in protein, especially when higher immune resistance is required to fight the novel coronavirus, will be very beneficial.”
Chinese milk consumption could triple if the guidelines are followed. They encourage pregnant mothers and children to drink even more than the average person. China’s per capita milk consumption increased from 18 kg in 2007 to about 36 kg in 2018, but it is still less than one-third of the world average.
Eating at home -pizza delivery spikes
California farmers are mourning the loss of restaurant sales and their food service business with the corona virus spread. But Western United Dairymen report that “consumers are reconnecting with comfort food at home, and shelves of butter, cheese, yogurt, beef, frozen pizza and milk are running low or empty at many locations.”Meanwhile “Pizza places are also well positioned to maintain sales, with Dominos reporting they were hiring 10,000 workers and Pizza Hut three times that to keep up with delivery demands. Papa Johns is also pulling many food industry workers and Papa Murphy’s is adjusting with touch-less pickups. California is the US’ number one producer of mozzarella, producing over a third of the nation’s share. March Madness may have taken on a literal meaning these days, but the lack of sports on tv did not entirely crush America’s spirit, and family pizza night seems alive and well.”The increase in purchasing food for the home has seen gains over 30% year-over-year in many categories
Many farmers markets required to close have reopened
With certified farmers markets now defined as an essential service for distribution of food supplies, many of the markets that had been temporarily closed by local agencies or property owners have now reopened. Some markets lost their permits after authorities issued stay-at-home orders to slow the spread of COVID-19, and not all the markets have reopened. Markets have instituted added safeguards for social distancing.
Plant nurseries maintain services to farmers, gardeners
Spring represents a crucial season both for farmers and for home gardeners who grow produce—and a group representing plant nurseries and garden centers says that makes those businesses essential during the COVID-19 crisis. The Plant California Alliance says nurseries and garden centers remain open to provide services to farmers, urban gardens and community-supported agriculture operations.
Orange juice demand and price juiced up
In a matter of days consumers are less worried about sugar & calories and more about the immune system benefit of Vitamin C. Orange juice futures are up 22% in March, good news for Florida and California orange juice makers.
“Demand has improved as consumers are returning to frozen OJ due to the coronavirus” and the increase “has really turned the market around,” said Jack Scoville, a vice president for Price Futures Group in Chicago.
Citrus Mutual reports improved movement of fruit
Exeter-based Citrus Mutual president Casey Creamer reports that demand domestically and from China has improved fruit movement recently but prices are “still below the cost of production.” Perceived health benefits of Vitamin C-rich citrus has seen daily US home consumption improve in recent weeks, despite a falloff in food service.And with China reducing their retaliatory tariffs on our citrus by about half to 35% earlier in March – export sales to that country – which have been non existent for two years – have increased. On the labor front, Creamer says so far, workers are coming to the fields and packing houses despite the spread of the virus.
Mandarin crop smaller
USDA says U.S.mandarin production is forecast down in 2020 by 14 percent to 844,000 tons due to a smaller crop in California. Consumption is down due to lower available supplies while exports remain unchanged. A world glut of citrus has hurt prices and fewer mandarins may fetch a better return.
Grow your own?
Seed stores across the country are reporting record-high sales. Southern Exposure Seed Exchange, based out of Mineral, Va., has seen an approximate 300 percent increase in orders since March 15 says Politico. Consumers are doing more gardening.
Walnuts see lower tariffs
Recent trade agreements have lowered tariffs on U.S. walnuts from 10 percent to zero in Japan, from 75 to 70 percent in China and from 120 percent to 100 percent in India, noted Claire Lee, who handles international marketing for the California Walnut Commission.
Egg prices climb on demand spike
Demand for eggs roses sharply as consumers drained the supermarket shelves with past few weeks. With an eye towards the coming Easter demand period there is also concerns over product availability. Wholesale prices are posting sharp daily advances with no relief in sight at midweek.Prices are a dollar higher than this time a year ago as well as a month ago.
Strawberries May Reduce Alzheimer’s Dementia Risk
Older adults may reduce their risk of Alzheimer’s dementia by increasing their intake of strawberries, as determined by researchers at Rush University. Dr. Puja Agarwal and her team analyzed data collected for the Rush Memory and Aging Project (MAP) between 2004 and 2018. After reviewing the complete data of 925 participants’ annual food frequency questionnaires and extensive neurological evaluations, an association between frequent strawberry consumption and decreased Alzheimer’s dementia emerged. Among other intriguing results, researchers found participants consuming one or more servings of strawberries per week have a 34% lower risk of developing Alzheimer’s dementia.
Garlic prices soar on perceived health benefits
According to the Packer newspaper, the garlic market has been “running hot in recent weeks.” See these terminal market average prices for garlic in the chart.
California Farm Bureau contributed to some items