Strong economy drives strong demand for California grapes early



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The Californian harvest started slightly at the beginning of 2021.

“It’s about half a week to a normal week. It’s not a huge swing for us, â€says Jim Beagle of Grapery based in Shafter, Calif. “Maybe it’s the lack of really cool weather in the spring. Sometimes at the end of April or May we’ll have a cold snap and we haven’t done it this year.

The harvest itself is a significant harvest and Beagle says it is of high quality and the harvest has started in San Joaquin Valley, California. “I think the industry is going to be pretty much the same as last year, but on a per acre basis the yield looks to be as good as last year or maybe better,†Beagle said, adding as Grapery continues to increase its high yield. varieties of flavors such as Cotton Candy and Gum Drops.

Grapery continues to add to its high flavor varieties such as Cotton Candy (above) and Gum Drops.

Manage water problems
Growing conditions are good, albeit dry given the current drought in the state. “There is water for the harvest. With drier weather the disease pressure decreases, resulting in really clean fruit, â€says Beagle. He notes that with regard to water, they are of less concern for grapes. “If we had several years in a row with this low tide, that would be more worrying. We’re going to spend more money pumping water out of the basement than we’d like. But grapes are a fairly water efficient crop and consume a little less water than some tree and row crops grown here. Citrus fruits, for example, take more water because they are evergreen and use water all year round.

Another challenge is rising costs on several fronts. “There are concerns about the cost and availability of transport to get the crops to market. This also counts for shipments abroad, â€he adds. In addition to this, not only labor costs continue to rise, but also other inputs.

Jim Beagle and Jack Pandol of Grapery.

What drives the demand
However, meeting this important harvest appears to be a strong demand for Californian grapes.

“The economy is strong and people have money to spend, whether it’s on work, higher wages or stimulus checks. The economy has opened up from the pandemic, so there is a lot of pent-up demand, â€Beagle said. He notes that while last year’s strength in demand stems from the significant shift from foodservice outlets to grocery stores for fruits and vegetables – the grocery store is a more important channel for grapes than restaurants – this year’s demand appears to be galvanized by the strength of the economy.

This leaves prices which are also strong. “The start is looking strong and I am optimistic that we will have high prices because demand is increasing,†says Beagle.

For more information:
Jim beagle
Grape
Phone. : + 1-661-387-9300
[email protected]
www.graperie.biz

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