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2009 California Prune Forecast
The official state estimate forecast for the 2009 California prune crop is 170,000 tons, up 32 percent from the 129,000 tons produced in 2008. Total 2009 bearing acreage is estimated at 64,000. The French prune variety accounts for 97 percent of all dried plum acreage grown in California. read full report |
| World Market Crisis Impacts U. S. Prune Growers |
Yuba City, CA May 13, 2009 – Prune growers gathered today to discuss the world market outlook on the occasion of the 41st anniversary of the Prune Bargaining Association. The global credit crisis has disrupted normal export channels at a time of increasing production from South America and heavy crops around the world. Growers learned that small prunes will have little to no marketability and crops should be thinned now to improve fruit size and avoid economic loss.
According to Greg Thompson, General Manager of the Prune Bargaining Association, buyers in some of the world’s key export markets such as Russia were unable to secure credit and sellers had no choice but to divert the prunes to other markets where the extra supply resulted in a glut of prunes. “Price have dropped 20% and some of the major markets remain offline,” says Thompson. “Combine that with heavy crops around the world and it is easy to see that we are in a very different situation when supply was limited and California was the predominant supplier. In the past we could negotiate a price for growers in California that would be reflected in the world |
market. With over 100,000 tons of supply in South America, we don’t have that advantage.”
When supplies exceed demand, buyers become more selective in what they buy and California packers expect that the market for prunes this year will be limited to the most useful size range of fruit—generally from 40 to 75 prunes per pound. “We have seen this same type of situation in walnuts,’ explained Richard Wilbur of Wilbur Packing. “When the market is bad, buyers only want the very best product—prunes smaller than 75 count will have a very limited market this year.”
In general, heavy crops result in small prunes, but California growers have learned how to mechanically thin the fruit set by shaking the trees in mid-May to adjust crop load. Doing so reduces stress on tress and improves next year’s crop. Growers are strongly encouraged to measure their crop loads and reduce fruit set where needed. “This needs to take place now,’ said Franz Niederholzer, UC Extension, or they will lose the opportunity for better fruit size this year and a better crop next year.’
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| 2009 California Prune Bloom |
Yuba City, April 3, 2009 - Growers and packers are waiting to see what kind of fruit set results from the 2009 prune bloom. While weather conditions during bloom have raised some concerns, industry members are hopeful for a good crop. Overall, temperatures during bloom were moderate, but a few days saw high temperatures into the high 70’s and one day hit 81 degrees. Temperatures over 75 degrees are thought to reduce fruit set. Strong north winds following full bloom could also have a negative impact.
This season, prune trees bloomed about a week later than normal. In the Sacramento Valley, some early blooming orchards hit full bloom around March 19 and 20 with peak temperatures on those days of 77 degrees. The main bloom hit peak around March 24th
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and 25th. The Sacramento Valley experienced
high temperatures of 72 and 75 on those days followed by 81 and 78 on the 26th and the 27th along with some moderate north wind. The winds became very strong (gusts to 30 mph) for several days after that.
Some growers say that cool nighttime temperatures and dew during the full bloom period leads them to believe that conditions were more favorable than in the past when fruit set was poor. Bee activity during bloom was good this year and the duration of temperatures over 75 degrees was also less.
Growers usually expect to have an idea of fruit set by the later part of April.
The official state forecast for the 2009 crop will be released on June 2nd.
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| Prune Industry Members Address Uncertainty |
Yuba City, CA April 6, 2009 – Prune industry members have undertaken monthly meetings to discuss how to best address market uncertainty created by trade barriers, increasing world production, and the global economic crisis. The initial purpose has been to identify and find solutions to the problems that prevented growers and packers from reaching a field price agreement last year.
According to Greg Thompson, General Manager of the Prune Bargaining Association, strong participation from packers and growers in these meetings has resulted in a number of joint initiatives, including working together to find ways to mitigate the European import duty for California prunes, and increasing communication and participation of smaller packers in the price negotiation process. “Packers and growers face new pressures,” says Thompson. “California shipments are down 7,000 tons or 10% year-to-date at a time when market conditions should have been favorable. Growers and packers are working together to overcome adversity."
Unfair trade barriers have caused part of the market imbalance. In 2003 South
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America gained free trade access to Europe, funding increased prune production. Since then, production in South America has grown from 64,000 tons to an estimated 105,000 tons this year. “They have an unfair advantage in Europe since they have zero duty while we face a 10% tariff,” says Thompson. The global economic crisis has added to the problem. “This year some of the key markets for South America have suffered large economic setbacks.’
Due to reduced world trade, expected demand on the California crop may only be about 120,000 tons compared to 134,000 tons forecast by the Prune Marketing Committee last year. “Growers are watching to see how the fruit will set after last month’s bloom,” says Thompson. “If the set is heavy, growers can have significant impact on crop tonnage through pruning, thinning, and harvest screening.” Growers are encouraged to talk with the packers who buy their crops about their needs for the coming year. ‘Given the current situation, growers should be prepared to keep production in line with the market through cultural practices,’ suggests Thompson.
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