Industry/General
Vegetables
and Melons Outlook is an electronic report, issued
every other month in newsletter format, featuring current
intelligence and forecasts of changing conditions in the
U.S. vegetable and melon sectors. Topics include production,
consumption, prices, trade, and more.
Production Expenses of Specialized Vegetable and Melon Farms (September 2008) analyzes the major expense components of specialized U.S. and regional vegetable and melon farms during 1998-2006 using data from USDA's Agricultural Resource Management Survey. Labor was found to account for 30 percent of U.S. cash expenses, followed by fertilizer and agricultural chemicals at 18 percent.
Michigan: A State at the
Intersection of the Debate Over Full Planting Flexibility
(February 2007) examines the impacts of elimination of the restriction
on the planting of fruit and vegetable crops for a broad
set of Michigan fruit, vegetable, and wild rice crops
(dry beans, pickling cucumbers, processing tomatoes, fresh
market tomatoes, squash, and blueberries). In many cases,
barriers to entry would be high enough to significantly
limit, or even prohibit, movement of program crop acreage
into fruit and vegetable production, except for movement
into dry bean production.
Relaxing
Fruit and Vegetable Planting Restrictions (February 2007) finds that
market effects would likely be limited and confined to
specific regions and commodities. Eliminating these planting
restrictions for commodity program participants might
enable some producers to switch from program crops to
fruit and vegetables in such areas as California, the
upper Midwest and the coastal plain in the Southeastern
States. For the full report, see Eliminating
Fruit and Vegetable Planting Restrictions: How Would Markets
be Affected? (November 2006).
Fruit and
Vegetable Backgrounder (April 2006) describes the economic characteristics
of the U.S. fruit and vegetable industry, providing supply,
demand, and policy background for an industry that accounts
for nearly a third of U.S. crop cash receipts and a fifth
of U.S. agricultural exports. A variety of challenges
face this complex and diverse industry in both domestic
and international markets, ranging from immigration reform
and its effect on labor availability to international
competitiveness.
North
American Greenhouse Tomatoes Emerge as a Major Market
Force (April 2005) reviews the rapid growth of the greenhouse tomato
industry in North American and its impact on the field
tomato industry. Canada is the biggest producer, followed
by the United States and Mexico. For the full report,
see Greenhouse Tomatoes
Change the Dynamics of the North American Fresh Tomato
Industry.
Modeling the U.S. Processing Tomato Industry (November 1999) presents background on the processing tomato industry and an econometric model, which provides short-run projections of acreage, yield, production, price, trade, and domestic use.
Urban Influence and
the U.S. Vegetable Industry
(November 1998) analyzes Census population and acreage data to examine
the complex relationship between population growth and
vegetable production. Findings indicate that although
urbanization has caused shifts in land use, overall vegetable
area has not diminished in metropolitan counties over
the past several decades. Given its high production intensity/high
net return characteristics, vegetable production may be
one of the last agricultural enterprises to disappear
from urbanizing areas.
Usual Planting
and Harvesting Dates for Fresh Market and Processing Vegetables (February 1977) is a useful reference for approximate planting and harvesting
dates by State and season for 22 commercial fresh market
vegetables and melons, nine processing vegetables, and
strawberries.
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Prices
Price Trends Are Similar for Fruits, Vegetables, and Snack Foods (March 2008) reports that an increase in the price of fruits and vegetables relative to less healthy foods could reduce consumers' incentives to purchase produce and result in less healthy diets. For commonly consumed fresh fruits and vegetables, analysis of price trends reveals a price decline similar to that of dessert and snack foods. This suggests the price of a healthy diet has not changed relative to an unhealthy one.
Price Premiums
Hold on as U.S. Organic Produce Market Expands (May 2005) explores
price premiums and market margins for carrots, broccoli,
and mesclun mix. Fresh produce has long been an important
component of the organic food sector, and a ignificant
contributor to the organic industry's growth over the
last decade.
How Much Do Americans
Pay for Fruits and Vegetables? (July 2004) uses ACNielsen Homescan
data on 1999 household food purchases from all types of
retail outlets to estimate an annual retail price per
pound and per serving for 69 forms of fruits and 85 forms
of vegetables. Consumers can meet the recommendation of
three servings of fruits and four servings of vegetables
daily for 64 cents. The data
used in the report are also available in Excel
spreadsheets.
The F.O.B.-Retail
Price Relationship for Selected Fresh Vegetables
(November 1999) analyzes the degree to which changes in selected fresh
vegetable grower prices are reflected in retail prices.
Findings indicate that retail prices show the greatest
response to changes in grower prices for carrots and tomatoes.
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Food Safety
Outbreak
Linked to Spinach Forces Reassessment of Food Safety Practices
(June 2007) discusses the 2006 U.S. foodborne illness outbreak that
was traced to contaminated spinach. While the risk of
contracting a foodborne illness from eating spinach is
low, spinach and leafy greens have been associated with
numerous outbreaks due to contamination with E. coli
O157:H7. Although many growers already follow voluntary
U.S. Food and Drug Administration guidelines to reduce
the risk of microbial contamination, the outbreak forced
the spinach and leafy green industries to consider new
approaches to food safety.
The Economics
of Food Safety: The Case of Green Onions and Hepatitis
A Outbreaks (December 2004) examines the economics of food safety
using the example of recent hepatitis A outbreaks in the
United States associated with green onions from Mexico.
The report reviews the incentives to adopt additional
food safety practices and the economic impact of an outbreak
on green onion growers in Mexico.
Food
Traceability: One Ingredient in a Safe and Efficient Food
Supply (April 2004) describes the results of an investigation into
the amount, type, and adequacy of traceability systems
in the United States, focusing on the fresh produce, cattle/beef,
and grain sectors. The investigation finds that these
systems vary across industries as firms balance the private
costs and benefits to determine the efficient level of
traceability. For the full report, see Traceability
in the U.S. Food Supply: Economic Theory and Industry
Studies.
Produce, Food
Safety, and International Trade
(November 2003) reviews the private and public responses to food safety
problems of imported produce by examining three cases:
Guatemalan raspberries, Mexican strawberries, and Mexican
cantaloupe. Outbreaks of foodborne illness associated
with imports affect U.S. consumers, growers of the contaminated
product, and frequently U.S. producers. While the three
cases focus on fruit, the lessons learned also apply to
vegetables.
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Trade/International
Increased
U.S. Imports of Fresh Fruit and Vegetables (September 2007) have allowed
U.S. consumers to eat more fruit and vegetables and enjoy
year-round access to various fresh produce. Primary suppliers
are the North American Free Trade Agreement region for
fresh vegetables, the Southern Hemisphere countries for
off-season fresh fruit, and equatorial countries for bananas.
China's
Rising Fruit and Vegetable Exports Challenge U.S. Industries
(February 2006) reports that most of China's fruit and vegetable exports
are processed products, which do not yet pose a serious
challenge to U.S. exports. However, China's fresh vegetable
sales to Japan and other Asian markets and its apple exports
to Southeast Asia compete directly with U.S. products.
Over time, China faces stiff challenges in improving the
quality and safety of its products, upgrading its marketing
and distribution infrastructure, and reducing marketing
costs.
European
Trading Arrangements in Fruits and Vegetables (July 2004) describes
the extensive participation by the European Union (EU)
in regional and preferential trading arrangements. Over
70 percent of EU fruit and vegetable imports are from
countries benefitting from preferential treatment for
some portion of trade. Exports from countries without
preferences, including the United States, are at a disadvantage
in EU markets.
Global Trade Patterns
in Fruits and Vegetables (June 2004) examines the domestic markets
and trade experiences of major fruit and vegetable traders
to better understand the economic and institutional factors
affecting trade. With major advances in produce handling
and transport, combined with trade agreements and changing
consumers preferences as incomes rise, a more global market
is providing consumers with greater year-round variety.
The
U.S. Ag Trade Balance...More Than Just a Number (February 2004) explains
why the value of U.S. agricultural imports has been increasing
faster than exports, a trend closely tied to higher per
capita consumption of fruits, vegetables, and wine. The
article further discusses prospects for U.S. food imports
and the agricultural trade balance as the size, diversity,
and tastes of the U.S. population change through the decade.
Country-of-Origin
Labeling: Theory and Observation (January 2004) examines the economic
rationale behind the various claims about the effect of
country-of-origin labeling and indicates that mandatory
country-of-origin labeling would likely generate more
costs than benefits. Voluntary country-of-origin labeling
is an option, but food suppliers have generally discounted
the U.S. label as a quality attribute that can attract
sufficient consumer interest.
Regulatory
Barriers in International Horticultural Markets (January 2004) examines
the impact of multilateral trade rules on the use of sanitary
and phytosanitary measures applied to fruit and vegetable
imports. These rules have lowered many unnecessary barriers
to horticultural trade, primarily through requirements
that regulations be transparent and based on science.
Produce, Food
Safety, and International Trade
(November 2003) reviews the private and public responses to food safety
problems of imported produce by examining three cases:
Guatemalan raspberries, Mexican strawberries, and Mexican
cantaloupe. Outbreaks of foodborne illness associated
with imports affect U.S. consumers, growers of the contaminated
product, and frequently U.S. producers. While the three
cases focus on fruit, the lessons learned also apply to
vegetables.
Vegetable
Policies in Japan (November 2002) provides a detailed description
and analysis of policies used by Japan to support its
vegetable producers and to regulate vegetable markets.
Domestic policies include compensation to farmers when
market prices fall below a moving average of historical
prices, subsidies to make farms and processing more efficient,
and subsidized hazard insurance for greenhouses and some
field crops.
China Increases
Exports of Fresh and Frozen Vegetables to Japan (August 2002) examines
China's sharply increased exports of fresh and frozen
vegetables to Japan in the 1990s. U.S. exports of frozen
vegetables to Japan, mainly prepared potatoes and sweet
corn, meet a minimal challenge from China's shipments.
In comparison, China's exports to Japan of fresh vegetables,
including broccoli, onions, and asparagus (the three major
categories of U.S. fresh vegetable exports to Japan) have
grown strongly in recent years.
NAFTA Commodity
Supplement (August 2002) analyzes the impact of NAFTA on vegetables such as tomatoes,
dry beans, and potatoes.
Trade Issues
Facing U.S. Horticulture in the WTO Negotiations (August 2001) provides
an overview of issues affecting U.S. trade in fruits and
vegetables that are likely to be considered during upcoming
agricultural trade negotiations at the World Trade Organization
(WTO). Tariff reductions, tariff-rate quotas, export subsidies,
and domestic support are discussed, as are the impacts
of anti-umping and countervailing measures and the Sanitary
and Phytosanitary Agreement on horticultural trade flows.
The Role of Exports
in the U.S. Fruit and Vegetable Industry
(April 1999) details the expansion of fruit and vegetable exports during
the 1990s. The article found that nearly 10 percent of
fruit and vegetable supply was exported in 1997 and fruit
crops were more export-dependent than vegetables.
Import Penetration in
the U.S. Fruit and Vegetable Industry
(November 1997) examines the extent to which imports have penetrated U.S.
fruit and vegetable markets during the 1990s. The article
found that 16 percent of all fruits and vegetables consumed
domestically in 1996 came from imports.
Exporters
Target U.S. Asparagus Market (April 1997) describes the rapid import growth in the U.S. asparagus
market. With imports (mostly from Mexico and Peru) soaring
74 percent in the 1990s, fresh asparagus is now available
year-round. But imports arrive not only during the off-season.
They also come in during the U.S. season beginning in
January, reducing the early-season price premium for growers.
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Organic
Price Premiums
Hold on as U.S. Organic Produce Market Expands (May 2005) explores
price premiums and market margins for carrots, broccoli,
and mesclun mix. Fresh produce has long been an important
component of the organic food sector, and a ignificant
contributor to the organic industry's growth over the
last decade.
Organic Produce,
Price Premiums, and Eco-Labeling in U.S. Farmers' Markets
(April 2004) describes how the popularity of farmers' markets in the
United States has grown concurrently with organic production
and consumer interest in locally and organically produced
foods. This research, based on interviews with 210 market
managers, describes the significance of these markets
as outlets for many organic farmers, and recent shifts
in relationships between organic growers, market managers,
and customers.
Organically Grown Vegetables:
U.S. Acreage and Markets Expanding During the 1990s
(April 1997) reports on the increase in organic acreage in top vegetable-producing
States and price premiums for organic carrots and mesclun.
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Consumption
Are Lower Income Households Willing and Able To Budget for
Fruits and Vegetables? (January 2008) analyzes the relationship between income and fruit and vegetable consumption by low-income households. Discrepancies between actual consumption and Dietary Guidelines for Americans recommendations are fueling interest in ways to promote more intake of fruits and vegetables, especially among low-income households. Could small adjustments to the buying power of low-income households increase their purchases of fruits and vegetables?
Factors
Affecting Carrot Consumption in the United States
(March 2007) examines the consumption distribution of fresh-market
(including fresh-cut) and processed carrots in the United
States. The majority of carrots are purchased at retail
and consumed at home, with at-home per capita consumption
of fresh baby/cut carrots greatest in the central and
eastern regions. Non-Hispanic Whites and Asians consume
the most carrots.
Understanding Fruit and
Vegetable Choices (November 2004) provides information on the economic,
social, and behavioral factors influencing consumers'
fruit and vegetable choices. USDA's Food Guide Pyramid
recommends 2-4 servings of fruit and 3-5 servings of vegetables
daily, but current consumption levels of these healthy
foods do not meet dietary recommendations.
Factors Affecting
Spinach Consumption in the United States (January 2004) analyzes
U.S. fresh-market and processed spinach demand, shedding
new light on the distribution of U.S. spinach consumption
across different market channels, geographic regions,
and population groups. The analysis indicates that consumption
is greatest in the Northeast and West and strongest among
Asians, highest among women 40 and older, and weakest
among teenage girls.
Factors Affecting
U.S. Mushroom Consumption (March 2003) examines the consumption
distribution of fresh-market and processed mushrooms in
the United States. The analysis indicates that per capita
mushroom consumption is greatest in the West and Midwest.
A little more than half of fresh-market mushrooms are
purchased at retail and consumed at home, while three-fourths
of processed mushrooms are consumed at home.
Sweet
Potatoes: Getting to the Root of Demand
(November 2002) analyzes supply and demand trends in the U.S. sweet potato
market. Per capita use of sweet potatoes, which peaked
in 1920 at 29.5 pounds, has ceased declining—stablizing
at about 4.1 pounds over the past 15 years. Sweet potatoes
are most popular in the South, where per capita use was
estimated to 5.7 pounds in 2001—more than twice that
of the West (2.6 pounds), which consumes the fewest sweet
potatoes.
Cabbage
Heads Higher
(September 2002) describes the recent turnaround in cabbage consumption
which had been trending lower since the 1920s. In the
past decade, fresh-cut products, new recipes, and a growing
body of nutritional research have lent new support to
cabbage demand. Coleslaw accounts for an estimated 40
to 45 percent of cabbage use, with fast-food restaurants
the single largest buyer.
Fresh
Snap Beans: No Strings Attached (March 2002) analyzes the U.S. fresh snap bean market, including supply,
demand, and price characteristics. Spurred by strong demand,
per capita use of fresh-market snap beans has been rising
over the past decade—reaching 2.1 pounds in 2000.
According to a USDA food-intake survey, snap bean consumption
is highest in the South and weakest in the West.
Sweet
Peppers: Saved by the Bell (December 2001) analyzes the sweet pepper industry, including supply,
demand, and price characteristics. According to a USDA
food-intake survey, 37 percent of bell peppers are consumed
as food away from home, with demand strongest in the East,
the West, and the Midwest.
Factors Affecting
Watermelon Consumption in the United States (November 2001) explores the U.S. watermelon industry, including supply,
demand, and price characteristics. A USDA food-intake
survey indicated that watermelon demand is greatest in
Western areas of the country with middle-aged women the
most frequent consumers.
How
Sweet It Is: Fresh Sweet Corn (August 2001) analyzes the upward trend in U.S. sweet corn demand over
the past decade. Improved quality, consistency, and marketability
have helped consumption reach record highs. New sweeter
varieties, value-added packaging, and increasing off-season
demand are among the developments which may fuel further
growth in consumption in coming years.
Factors Affecting Onion Consumption in the United States (April 2001) analyzes U.S. fresh-market and processed onion demand, across different market channels, geographic regions, and population groups. U.S. onion consumption has been rising and the analysis indicates that the majority of onions are consumed at home with fresh use greatest in the West. Results also indicated that men consume 40 percent more onions than women.
Americans
Relish Cucumbers
(December 2000) describes how cucumber use in the United States has climbed
steadily since the 1960s, reaching 10.3 pounds per capita
in the 1990s. Sixty percent of cucumbers are consumed
in fresh form, mostly at home, with 40 percent consumed
as pickled products (one-third used in fast foods). U.S.
cucumber production totaled 2.4 billion pounds in 1999.
Average annual farm value was $361 million during 1997-99.
Florida is the leading cucumber state, producing 19 percent
of the nation's output during 1997-99, with Michigan a
close second.
Factors Affecting Tomato Consumption in the United States (November 2000) provides a demographic breakdown of who eats tomatoes using a USDA food intake survey. Findings include the fact that per capita fresh tomato consumption is greatest in the Northeast and West while processed tomatoes are most popular in the West and Midwest.
Stalking
Celery (November 2000) analyzes the U.S. celery industry, including supply, demand,
and price characteristics. Using a USDA food-intake survey,
findings include the fact that celery demand is strongest
among older, more affluent consumers.
Garlic:
Flavor of the Ages (June 2000) explores economic trends in the U.S. garlic industry,
including how immigration and medical research might lie
behind the tripling of garlic consumption during the 1990s.
Broccoli:
Super Food For All Seasons (April 1999) explores economic trends in the U.S. broccoli industry,
including how salad bars and changing attitudes toward
health might lie behind the 36- percent increase in broccoli
consumption during the 1990s.
Onions:
The Sweet Smell of Success (October 1998) describes supply and demand trends in the U.S. onion industry,
worth an estimated $2 billion at retail. Findings include
the fact that output and per capita use of the two major
categories of bulb onions—storage onions and the
milder spring/summer varieties—have increased during
the 1990s.
Melons:
Food for the Angels
(August 1998) describes the various trends in the U.S. melon sector.
Per capita consumption of melons trended higher in the
1990s driven by year-round demand and availability, increasing
health consciousness among consumers, strong economic
growth, and more creative marketing. Melon sales have
benefited from pre-cut product displays and instore salad
bars that have become mainstays of retail produce marketing
in the 1990s. While cantaloupes are reportedly purchased
more often than any other type of melon, watermelon accounts
for over half of melon consumption by weight.
Leafy
Greens: The Foundation of the Vegetable Industry
(February 1998) explores the economics of vegetables such as lettuce,
spinach, and kale. It finds sharply rising demand for
fresh spinach and leaf and romaine lettuces as consumers
look to boost variety and nutrition in their salad bowls.
What's
Up, Doc?—Carrots
(November 1997) explores the rapid growth in the U.S. carrot industry.
In the 1990s, per capita use of fresh-market carrots averaged
25 percent above the average of the 1980s, while use of
carrots for freezing was up 30 percent during the same
period. As a result of increased demand, both domestic
production and imports of carrots have soared in recent
years.
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Marketing
U.S. Fresh Produce Markets:
Marketing Channels, Trade Practices, and Retail Pricing
Behavior (September 2003) synthesizes results of a multiphase project
that examined the dynamics of produce markets, produce
shipper-retailer relationships, and the relative market
influence of producers, retailers, and consumers. In the
past decade, retail consolidation, changing consumer demand,
marketing practices, and new technology have transformed
U.S. fresh fruit and vegetable markets.
Recent Changes in Marketing
and Trade Practices in the U.S. Lettuce and Fresh-Cut
Vegetable Industries (May 2001) investigates how retail consolidation,
changes in technology, and increased consumer demand for
convenience, product diversity, and year-round availability
have all influenced shipper-retailer relations in the
lettuce and fresh-cut vegetable industries.
Lettuce:
In and Out of the Bag (April 2001) examines changes in U.S. lettuce marketing. With the average
American consuming a record 33 pounds in 2000, lettuce
is more popular today than ever before. In response to
growing consumer demand for variety, freshness, and convenience—and
as a result of technological innovations in packaging
materials—shippers now offer everything from heads
of iceberg lettuce to ready-to-eat salads.
The U.S. Lettuce
and Fresh-Cut Vegetable Industries: Marketing Channels,
Sales Arrangements, Fees, and Services (April 2001) explores the marketing experiences and practices within
the fresh-cut vegetable industry. Based on survey information
from 15 lettuce and bagged salad shippers and processors,
the article finds a changing, more formalized relationship
now exists between vegetable shippers and retailers.
U.S. Fresh Fruit and
Vegetable Marketing: Emerging Trade Practices, Trends,
and Issues (January 2001) compares trade practices in 1999 with those
prevalent in 1994, placing them in a broader context of
evolving shipper/retailer relationships. For instance,
the incidence and magnitude of fees and services associated
with transactions has increased, in part due to retail
and shipper consolidation, changes in consumer preferences,
and technological innovation.
Marketing
Winter Vegetables from Mexico (April 1998) analyzes the marketing of Mexican vegetables to the United
States during the winter. Information gathered from interviews
with Mexican producers, U.S. distributors, and industry
organizations describes how winter vegetables from Mexico—including
tomatoes, bell peppers, eggplant, summer squash, and snap
beans—are marketed to the United States.
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