California Fruit and Vegetable

Category: Economics

  • Ouachita Blackberry Receives Outstanding Fruit Cultivar Award

    Ouachita blackberry, a 2003 thornless variety from the University of Arkansas System Division of Agriculture, received the Outstanding Fruit Cultivar Award from the Fruit Breeding Professional Interest Group of the American Society of Horticultural Science.

    The Outstanding Fruit Cultivar Award recognizes noteworthy achievements in fruit breeding and highlights a modern fruit introduction that has a significant impact on the industry.

    Division of Agriculture fruit breeder John Clark shows Ouachita blackberries. The Fruit Breeding Professional Interest Group of the American Society of Horticultural Science presented the 2003 release from the Arkansas Agricultural Experiment Station their 2020 Outstanding Fruit Cultivar Award. (Photo courtesy of John R. Clark)

    The award was presented July 24 during the ASHS Fruit Breeding Professional Interest Group meeting, which was held virtually this year. The award has been presented since 1987 to noteworthy cultivars, according to information on the ASHS website.

    Top Seller

    “Ouachita has been the most important variety from our fruit breeding program,” said John Clark, Distinguished Professor of Horticulture for the Division of Agriculture, and fruit breeder for the Arkansas Agricultural Experiment Station, the division’s research arm.

    Clark said almost 5 million plants have been propagated and sold, based on reports from licensed propagators, who sell the plants to nurseries and commercial fruit farms. An earlier award winner, Navaho, had nearly 2 million plants sold.

    “Plant sales are the strongest reflection of its importance,” Clark said.

    Sales are a good indicator of popularity with growers and consumers, but Ouachita made significant impacts in other ways, particularly because of its good storage and shipping qualities.

    Expanding the Market

    “Ouachita contributed substantially to the establishment of a commercial shipping market blackberry industry in the eastern U.S., especially in the South, in the years following its release in 2003,” Clark said. “It has also been planted in other regions of the U.S., including western, midwestern and northeastern states.”

    “The idea of a shipping industry based largely on southern U.S. production developed because of an increase in imported Mexican blackberries in the 1990s to early 2000s,” Clark said. “Shippers wanted to continue marketing blackberries after the Mexican production season ended in late May.”

    Ouachita proved to be adapted to widely different growing conditions, allowing its use in many different states.

    The first major plantings of Ouachita began in southern Georgia and central Arkansas, Clark said, and expanded to North Carolina, the Midwest and other states as the shipping industry grew. Advances in production technologies, particularly the rotating cross-arm trellis, allowed expansion of blackberry production into regions where the new technologies allowed growers to protect the plants from winter cold in the upper Midwest.

    Ouachita has also been planted in western states, particularly in California, he said.

    This expansion of the U.S. blackberry shipping markets was possible because of Ouachita’s potential for long-distance shipping, Clark said. “The specific traits of importance were retention of berry firmness, low leakage of berries, and reduced reversion (reddening of drupelets after harvest) compared to other cultivar choices at the time,” he said.

    “Ouachita has also been very popular with local-market growers,” Clark said. “This is a substantial use for this variety, especially in Arkansas.”

    Another part of Ouachita’s appeal to growers is its proven resistance to double blossom/rosette, a devastating disease that once made commercial blackberry production virtually prohibitive in the South, Clark said.

    In its 17th year of production, Ouachita continues to be popular with growers, Clark said. Its third-strongest year for sales was the 2018-2019 planting season.

    Ouachita has also been licensed for sale in Japan, several South American countries, Australia, South Africa and Europe, bolstering the Division of Agriculture’s boast that its blackberries are grown on every continent but Antarctica.

    Fruitful Program

    The Division of Agriculture fruit breeding program has released 15 floricane-fruiting blackberry varieties and five primocane-fruiting varieties since the program’s inception in 1964. Clark said he and colleague Margaret Worthington, assistant professor and fruit breeder, continue to breed for improvements in sweetness, flavor and storage and shipping qualities.

    Worthington is leading genetic research to develop innovations in plant form, shape and size that may offer advantages to growers, Clark said.

    The latest variety from the blackberry breeding program was Ponca, released late last year and just entering the markets now, Clark said. “Ponca has superior flavor traits and good storage and shipping qualities,” Clark said.

    He describes Ponca’s unique qualities in a video: https://youtu.be/DJKLtYYBpIs

    Ouachita is the second blackberry and third fruit from the Arkansas fruit breeding program to receive the award, Clark said. The first Arkansas blackberry to receive the award was Navaho, released in 1989. Cardinal strawberry, released by the division in 1974, also received the ASHS award.

    To learn more about the Division of Agriculture Research, visit the Arkansas Agricultural Experiment Station website. Follow us on Twitter at @ArkAgResearch and Instagram at ArkAgResearch. — By Fred Miller, University of Arkansas

    About the Division of Agriculture

    The University of Arkansas System Division of Agriculture’s mission is to strengthen agriculture, communities, and families by connecting trusted research to the adoption of best practices. Through the Agricultural Experiment Station and the Cooperative Extension Service, the Division of Agriculture conducts research and extension work within the nation’s historic land grant education system.

    The Division of Agriculture is one of 20 entities within the University of Arkansas System. It has offices in all 75 counties in Arkansas and faculty on five system campuses.

    The University of Arkansas System Division of Agriculture offers all its Extension and Research programs and services without regard to race, color, sex, gender identity, sexual orientation, national origin, religion, age, disability, marital or veteran status, genetic information, or any other legally protected status, and is an Affirmative Action/Equal Opportunity Employer.

  • Farmworker Pandemic Safety Campaign Launched

    The California Farmworker Foundation has launched a new campaign, La Seguridad Empieza con Usted, which translates to Safety Starts with You, to help the farmworker community stay safe through the pandemic by providing encouragement for best practices and information on additional resources. The campaign will reach farmworkers in the greater Bakersfield and Fresno growing regions.

    Advertisements on Spanish-language radio will encourage farmworkers to visit the foundation Facebook page for ways to stay safe during the pandemic. On the foundation Facebook page are messages that encourage safe practices during a pandemic, dispel myths about the pandemic, and provide tips for increased safety measures in daily life. These messages will continue throughout the campaign.

    “The health of farmworkers and their families is just as essential as their work to keep the world fed,” said Hernan Hernandez, California Farmworker Foundation executive director. “Farming operations have adopted safety procedures to keep workers safe on the job. This campaign provides our communities with more Spanish-language information and resources about the pandemic, including the dispelling of COVID-19 myths, to better educate everyone on the need to make safe choices in their personal lives.”

    This campaign is an expansion of work that the foundation has already been doing to keep the community safe during the pandemic, including distributing PPE, combatting food insecurity, and providing virtual medical consultations. The foundation has a free hotline for farmworkers to call seeking additional information on ways to stay safe during the pandemic. The number is 661-446-4077.

    The farmworker safety campaign is supported by the California Fresh Fruit Association and California Table Grape Commission.

  • Watermelon Board Launches 2020 Recipe & Carving Challenge

    National Watermelon Promotion Board (NWPB) kicked off its annual consumer recipe contest – but this time with a twist. Unlike in year’s past where consumers were asked to create and submit an original watermelon-focused recipe, in 2020 NWPB tasks fans with putting their own unique spin on existing recipes and carvings found on the newly relaunched watermelon.org website. The contest launched Memorial Day and closes August 21st.

    After visitors chose which recipe or carving they will personalize, home chefs can customize it by swapping out up to five ingredients, changing the way the dish is served or adding something new to the dish. Watermelon fans can then enter the contest two ways: by posting their recipe/carving image to their public profile on Instagram using #WatermelonRecipeContest or at watermelon.org.

    “Not only will this contest be more approachable to consumers who may have been intimidated to create a recipe, but they will have all summer long to experiment with the recipes and carvings from the Watermelon.org website and show us how they add their own unique flair,” says Stephanie Barlow. “Additionally, this time period, more than any other, is all about finding new stay-at-home activities for consumers and continuing to source the best products in health, value and versatility.”

    To help launch the contest on Instagram and gain exposure and momentum for the hashtag #WatermelonRecipeContest, NWPB recruited six influencer partners, all of whom have chosen their own recipe or carving to recreate and inspire their followers. Each partner is scheduled to post images and versatility messaging at different times throughout the summer in order to maintain a steady cadence of contest visibility.

    In addition to pushing fans to master watermelon carving techniques and recipes, the contest helps to drive traffic to the new website and capture user-generated content. Other benefits include:

    • Increase page views and engage with on-site with comments
    • Populates NWPB’s database of assets and editorial content with captured UGC and can use for promotion on owned channels
    • Crowd-sources recipe ranking by interest in entries, as well as tweaks for improvements
    • Incentivizes Instagram posts and tags during peak watermelon visibility showcasing versatility for the people, by the people
    •  Real-time feedback on watermelon techniques and recipe steps

    Prizes will be awarded in three categories including Food, Beverage and Carving. All winners will receive a watermelon prize pack of goodies, plus first place winners will receive a $250 gift card, second place a $100 gift card and third place a $50 gift card. Judging criteria will be a mix of the recipe or carving’s unique spin, visual presentation and appearance.

    For more information about the Recipe & Carving Challenge, including official contest rules and to submit an entry, visit watermelon.org/recipe-challenge prior to August 21, 2020.

    About National Watermelon Promotion Board
    The National Watermelon Promotion Board (NWPB), based in Winter Springs, Florida, was established in 1989 as an agricultural promotion group to promote watermelon in the United States and in various markets abroad. Funded through a self-mandated industry assessment paid by more than 800 watermelon producers, handlers and importers, NWPB mission is to increase consumer demand for watermelon through promotion, research and education programs.

    Watermelon packs a nutritious punch, with each serving providing an excellent source of Vitamin C (25%), a source of Vitamins A (8%) and B6 (8%), and a delicious way to stay hydrated (92% water), with only 80 calories. Watermelon consumption per capita in the United States was an estimated 15.6 pounds in 2019. Watermelon consumption in the United States was approximately 5.1 billion pounds in 2019. The United States exported an additional 321.2 million pounds of watermelon. For additional information, visit www.watermelon.org.

  • Fusarium Root Rot in Seedling Lima Beans

    In May, I looked at a lima bean field in the Sacramento Valley that showed poor seedling emergence scattered throughout the field (photo 1). I sent samples to the UC Davis Plant Pathology lab and the main pathogen consistently recovered from the roots was Fusarium root rot, a fungal disease caused by Fusarium solani f. sp. phaseoli. This pathogen is specific to beans and field peas and will not infect other field crops. A few bean seedlings also had Rhizoctonia and Pythium (also fungal pathogens).

    Finding Fusarium root rot in a lima bean seedling field was a surprise because this disease is most commonly encountered in established fields during mid- to late season, where it is one of the causes of early maturity (“cut out”). Rhizoctonia and Pythium can cause seedling damping-off in dry beans. However, plants usually outgrow these pathogens, particularly if the seed is treated with a fungicide and conditions favor rapid emergence.

    Fusarium solani attacks underground stems and roots of plants. In established plants, early infection is characterized by elongated reddish streaks on the roots. As the disease progresses, these eventually form reddish-brown lesions that will surround the entire root, causing decay. The above ground plant symptoms of affected plants included yellowing, wilting, stunting, and dieback. On seedling plants in the affected field, I observed dieback of the growing point, stems that were a bit swollen, and roots that were brownish and not well developed (Photo 2, diseased roots on left, healthy on right).

    Fusarium root rot causes little damage to healthy plants, but under conditions of plant stress due to drought, poor nutrition, or oxygen-stressed, waterlogged soils, Fusarium root rot can cause plant dieback and yield losses, particularly in fields with a long history of bean production. In this particular lima bean field, soil moisture was lost, causing plants to be extremely water stressed. Crop rotation, use of seed treatments, and closely watching field conditions to ensure plants are not stressed will help manage Fusarium root rot. This disease tends to be a problem in fields with a long history of bean production. More information on diseases in dry beans can be found on the newly revised UC IPM guidelines for dry beans. — By Rachael Freeman Long, UC Cooperative Extension

    Photo 2. Lima bean seedlings infected with Fusarium root rot (4 left plants) compared to healthy roots (3 plants on right).

  • China Market Opportunities for California Nectarines

    On March 4, 2020, China announced market access for fresh U.S. nectarines as part of the U.S.-China Economic and Trade Agreement (ETA). This report briefly mentions the market access conditions for U.S. nectarines, discusses several key factors of China’s nectarine market (including import competition), and offers market-entry recommendations to consider when exporting fresh U.S. nectarines to China.

    Product Description & Access Overview

    On March 4, 2020, in accordance with the U.S.-China Economic and Trade Agreement (ETA), China granted official market access for U.S. fresh nectarines from designated counties in California (specifically Fresno, Tulare, Kern, Kings and Madera counties). California nectarines account for 95 percent of U.S. production. The harvest season for U.S. nectarines runs from mid-summer to mid-autumn, partially overlapping with Chinese domestic supply, which runs from May to October. Read the full report from the USDA Foreign Agricultural Service HERE

  • California Prune Growers Suffer the Brunt

    California prune growers forced economically to make a 23% reduction in crop deliveries have also suffered a 28% reduction in price. This hardship comes in spite of a number of positive factors for the industry including $50 million in USDA purchases of prunes and positive results from trade mitigation offsets and industry promotion efforts in Japan and elsewhere. Growers reviewed the daunting double hit to grower returns from a number of factors including the disruption to trade caused by the coronavirus pandemic at the 52nd annual membership meeting of the Prune Bargaining Association (PBA) held on Thursday last week by conference call/video conference.

    Average grower returns for a number of growers will fall by more than $500 per ton from the previous crop year according to data presented by PBA General Manager Greg Thompson. “Growers are to be commended for the tremendous efforts they have made to match production with demand,” explained Thompson. “Growers were told they would be paid little or nothing for smaller prunes, so they increased their efforts to prune, thin, and then screen out fruit at harvest, bringing the crop down from an estimated 110,000 tons to 85,000 tons.” As background, according to the University of California, growers have an investment of nearly $18,000 per acre (not including land) to establish a prune orchard. Growers spend an additional $4,194 per acre each year to produce and deliver the crop. “The extra effort made this past year by growers increases expenses and reduces yields,” explains Thompson. “It is truly a double whammy to have grower prices fall so precipitously.”

    The brutal cut to grower prices comes in the face of many positives for the industry. Imports of cheaper but poorer quality prunes are down 76% for the first 5 months of year, while domestic shipments of California prunes are up 13%. USDA programs in response to unfair and retaliatory tariffs and trade barriers, and needy family feeding programs, have helped offset losses in overseas markets and gain back market share. Shipments to Japan, a key market for California prunes, are up 14% over the previous year. Over the past 3 years, the USDA has purchased nearly $50 million of prunes for needy families, school lunch, and other feeding programs.

    One of the biggest positives for the California prune growers comes from a united industry working together to promote health and wellness through nutrition research. “Everbody wants to make a health claim these days,” explains Ranvir Singh, PBA President. “But prunes are the tried and true healthy and completely natural food. There is so much more to the health benefits of eating prunes than anyone first imagined.” Scientific research is revealing more and more about the importance of gut health to overall health. Prunes have been shown to have a positive impact on both gut health and bone health, among other bonuses. “The benefits of micro-nutrients, boron, potassium, fiber and an apparent anti- inflammation benefit in gut make prunes a truly remarkable food,” remarks Singh.

    The Prune Bargaining Association was formed in 1968 as a grower-owned cooperative to improve the economy of the California prune industry, encourage the production of a quality product and provide a forum for growers to exchange ideas regarding the industry. The PBA establishes the industry’s raw product price for prunes. 

  • CA Specialty Crop Representatives Appointed as USDA/USTR Ag Trade Advisors

    On July 17th, U.S. Secretary of Agriculture Sonny Perdue and U.S. Trade Representative Robert Lighthizer announced the appointment of 25 new members to serve on seven agricultural trade advisory committees, including some of our friends in California. This will bring a greater voice and trade opportunities for specialty crop growers in California.

    The Agricultural Policy Advisory Committee is comprised of senior representatives from across the U.S. agricultural community who provide advice to the U.S. Department of Agriculture and the Office of the U.S. Trade Representative on trade policy matters including the operation of existing trade agreements and the negotiation of new agreements. Members of the six Agricultural Technical Advisory Committees (ATACs) provide technical advice and guidance from the perspective of their specific product sectors.

    The newly appointed advisors will serve until 2024. Each committee will be supplemented by additional appointments over the next four years. Applications are encouraged at any time. A complete list of committee members and application information is available at www.fas.usda.gov/topics/trade-advisory-committees.

    Following is a list of the new advisors, by committee:

    Agricultural Policy Advisory Committee
    Constance Cullman, American Feed Industry Association
    David Puglia, Western Growers
    David Salmonsen, American Farm Bureau Federation

    ATAC for Trade in Animals and Animal Products
    Robert DeHaan, National Fisheries Institute
    Mallory Gaines, American Feed Industry Association
    David Herring, Hog Slat Inc./TDM Farms
    James Parnell, Alabama Farmers Federation
    Maria Zieba, National Pork Producers Council

    ATAC for Trade in Fruits and Vegetables
    William Callis, U.S. Apple Export Council
    Casey Creamer, California Citrus Mutual
    Jodi Devaurs, California Table Grape Commission 
    Jonathan Maberry, Washington Red Raspberry Commission
    Caroline Stringer, California Fresh Fruit Association

    ATAC for Trade in Grains, Feed, Oilseeds and Planting Seeds
    Peter Bachmann, USA Rice Federation
    William Gordon, American Soybean Association
    Derek Haigwood, D.I.D. Farms
    Patrick Hayden, North American Export Grain Association
    Dalton Henry, U.S. Wheat Associates
    Edward Hubbard, Renewable Fuels Association
    Tina Lyons, Double River Forwarding, LLC

    ATAC for Trade in Processed Foods
    Kevin Latner, National Industrial Hemp Council
    Richard (Denton) McLane, McLane Global Trading
    Max Moncaster, National Association of State Departments of Agriculture
    Bernadette Wiltz, Southern United States Trade Association

    ATAC for Trade in Sweeteners and Sweetener Products
    (No new members.)

    ATAC for Trade in Tobacco, Cotton and Peanuts
    Karl Zimmer, Premium Peanut

    Jodi Devaurs

    Regarding the news, Kathleen Nave from the California Table Grape Commission report, “The appointment of Jodi Devaurs, California Table Grape Commission trade policy director, to ATAC where she will serve as a trade advisor to USDA and USTR is important for the California table grape industry and represents an expansion of its direct involvement in trade matters of import.”

    Dave Puglia

    David Puglia from Western Growers shared, “I am honored to be appointed to the Agricultural Policy Advisory Committee. International markets are vital to the growth of the fresh produce industry, accounting for more than $23 billion in fruit, vegetable and tree nut sales in 2019. However, tariff and non-tariff barriers continue to restrict access to key export destinations. I look forward to working with USDA, USTR and my committee colleagues to help formulate durable trade policies that benefit our domestic growers.”

    Casey Creamer

    Casey Creamer from California Citrus Mutual stated, “I’m looking forward to continuing California Citrus Mutual’s service to this important advisory committee.  Trade issues have significantly impacted the citrus industry over the years and I’m glad to make sure our growers have a seat at this important table.”

    Caroline Stringer

    President of the California Fresh Fruit Association, Ian LeMay said, “We appreciate Secretary Perdue’s appointment of Caroline Stringer to the ATAC for fruits and vegetables and look forward to her continuing the long history of representation for CFFA and California agriculture on this important advisory group.”

    Congress established the advisory committee system in 1974 to ensure a private-sector voice in establishing U.S. agricultural trade policy objectives to reflect U.S. commercial and economic interests. The U.S. Department of Agriculture and Office of the U.S. Trade Representative jointly manage the committees. 

  • CA Specialty Crop Representatives Appointed as USDA/USTR Ag Trade Advisors

    On July 17th, U.S. Secretary of Agriculture Sonny Perdue and U.S. Trade Representative Robert Lighthizer announced the appointment of 25 new members to serve on seven agricultural trade advisory committees, including some of our friends in California. This will bring a greater voice and trade opportunities for specialty crop growers in California.

    The Agricultural Policy Advisory Committee is comprised of senior representatives from across the U.S. agricultural community who provide advice to the U.S. Department of Agriculture and the Office of the U.S. Trade Representative on trade policy matters including the operation of existing trade agreements and the negotiation of new agreements. Members of the six Agricultural Technical Advisory Committees (ATACs) provide technical advice and guidance from the perspective of their specific product sectors.

    The newly appointed advisors will serve until 2024. Each committee will be supplemented by additional appointments over the next four years. Applications are encouraged at any time. A complete list of committee members and application information is available at www.fas.usda.gov/topics/trade-advisory-committees.

    Following is a list of the new advisors, by committee:

    Agricultural Policy Advisory Committee
    Constance Cullman, American Feed Industry Association
    David Puglia, Western Growers
    David Salmonsen, American Farm Bureau Federation

    ATAC for Trade in Animals and Animal Products
    Robert DeHaan, National Fisheries Institute
    Mallory Gaines, American Feed Industry Association
    David Herring, Hog Slat Inc./TDM Farms
    James Parnell, Alabama Farmers Federation
    Maria Zieba, National Pork Producers Council

    ATAC for Trade in Fruits and Vegetables
    William Callis, U.S. Apple Export Council
    Casey Creamer, California Citrus Mutual
    Jodi Devaurs, California Table Grape Commission 
    Jonathan Maberry, Washington Red Raspberry Commission
    Caroline Stringer, California Fresh Fruit Association

    ATAC for Trade in Grains, Feed, Oilseeds and Planting Seeds
    Peter Bachmann, USA Rice Federation
    William Gordon, American Soybean Association
    Derek Haigwood, D.I.D. Farms
    Patrick Hayden, North American Export Grain Association
    Dalton Henry, U.S. Wheat Associates
    Edward Hubbard, Renewable Fuels Association
    Tina Lyons, Double River Forwarding, LLC

    ATAC for Trade in Processed Foods
    Kevin Latner, National Industrial Hemp Council
    Richard (Denton) McLane, McLane Global Trading
    Max Moncaster, National Association of State Departments of Agriculture
    Bernadette Wiltz, Southern United States Trade Association

    ATAC for Trade in Sweeteners and Sweetener Products
    (No new members.)

    ATAC for Trade in Tobacco, Cotton and Peanuts
    Karl Zimmer, Premium Peanut

    Jodi Devaurs

    Regarding the news, Kathleen Nave from the California Table Grape Commission report, “The appointment of Jodi Devaurs, California Table Grape Commission trade policy director, to ATAC where she will serve as a trade advisor to USDA and USTR is important for the California table grape industry and represents an expansion of its direct involvement in trade matters of import.”

    Dave Puglia

    David Puglia from Western Growers shared, “I am honored to be appointed to the Agricultural Policy Advisory Committee. International markets are vital to the growth of the fresh produce industry, accounting for more than $23 billion in fruit, vegetable and tree nut sales in 2019. However, tariff and non-tariff barriers continue to restrict access to key export destinations. I look forward to working with USDA, USTR and my committee colleagues to help formulate durable trade policies that benefit our domestic growers.”

    Casey Creamer

    Casey Creamer from California Citrus Mutual stated, “I’m looking forward to continuing California Citrus Mutual’s service to this important advisory committee.  Trade issues have significantly impacted the citrus industry over the years and I’m glad to make sure our growers have a seat at this important table.”

    Caroline Stringer

    President of the California Fresh Fruit Association, Ian LeMay said, “We appreciate Secretary Perdue’s appointment of Caroline Stringer to the ATAC for fruits and vegetables and look forward to her continuing the long history of representation for CFFA and California agriculture on this important advisory group.”

    Congress established the advisory committee system in 1974 to ensure a private-sector voice in establishing U.S. agricultural trade policy objectives to reflect U.S. commercial and economic interests. The U.S. Department of Agriculture and Office of the U.S. Trade Representative jointly manage the committees. 

  • USDA Outlines Opportunities for US Fresh Blueberries in China

    U.S. fresh blueberries was one of several U.S. agricultural products that received new or expanded access under the U.S.-China Economic and Trade Agreement, which was signed on January 15, 2020. This report briefly outlines the market conditions, access regulations, and market entry recommendations for U.S. blueberry exporters. Since consumers have become much more familiar with blueberries recently, exporters are encouraged to take note of consumer expectations for size, color, and brix content. Smaller packages of about 125g are considered the most convenient to purchase, and appropriately sized, for Chinese consumers. 

    Product Description and Access Overview

    Blueberries are not a traditionally consumed fruit in China, however a higher standard of living and an increased awareness of the health benefits from consuming fruit, have led more consumers to seek out new fruits, such as blueberries. Consumers tend to consume blueberries fresh, however they are also consumed in dried snack foods, such as a snack mixture of other dried fruits and tree nuts, or as a standalone snack product. Blueberries are also increasingly being processed into purees and other concentrates for use in processed dairy products, beverages, and yogurts. Chile and Peru are the largest fresh blueberry exporters to China. Fresh blueberries for direct consumption are cultivated based on their brix level (sugar content) and skin composition. Chinese consumers tend to prefer larger blueberries with relatively higher brix levels; a good appearance, firm texture, and longer shelf-life.

    According to a May 21, 2020 U.S. Department of Agriculture, Animal Plant Health Inspection Service (APHIS) announcement, APHIS and China’s General Administration of Customs (GACC) signed a work plan in May 2020 outlining measures U.S. producers must undertake to export blueberries to China. Fresh blueberries from Florida, Georgia, Indiana, Louisiana, Michigan, Mississippi, New Jersey, and North Carolina may be exported to China after treatment. In addition, blueberries from California, Washington, and Oregon to China may be exported “using a systems approach.”

    Domestic Market Overview

    More than 70 percent of domestically produced blueberries in China are consumed fresh. Until 2011, blueberries were traditionally supplied to high-end markets due to lower domestic production and limited imports. As consumer awareness increased and domestic production grew, prices became more affordable for the middle-class. June and July are the peak harvest season for domestic blueberries. Retail prices of domestic blueberries were about $4.00/kg in June and July 2019 and reached a low of $2.00/kg in late July 2019.

    In 2012, China opened its market to imported blueberries from several countries, including Chile, Mexico, Uruguay, Canada, and Peru. Chile and Peru account for over 99 percent of the import market due to free trade agreements and opposite harvest seasons. Blueberries from these two countries are not assessed tariffs compared to the 30 percent most-favored nation (MFN) rate. All other exporters pay the MFN import tariff rate. The peak import sales season is January and February, because these months are the off-season for domestic production and there is strong demand for fresh fruit during China’s Spring Festival holiday period.

    Competitors to U.S. Fresh Blueberries in China

    Chile and Peru are the leading blueberry exporters to China. Because South American producers have a different harvest season for fresh blueberries, Chinese domestic blueberries primarily compete directly with U.S. blueberries due to having similar harvest seasons. In September and October, domestic blueberries are nearing the end of the season and quality drops sharply, while South American blueberry quality is also at the low end. Blueberries are also now being exported from British Colombia, Canada, but production is low and cannot satisfy market demand. The future market is moving toward higher quality imported blueberries with stable supply and a sweet taste.

    Growing blueberry consumption is driving expanded domestic cultivation with production increasing from 14,000 tons in 2012 to 180,000 in 2018. Shandong, Guizhou. and Liaoning provinces are the primary producing areas. Industry experts forecast domestic production could exceed one million tons by 2026, surpassing North America as the world’s top producer. Large fruit producers, including Driscoll’s, Costa, Hortifruit, and SA Berry Fruit have made considerable investments in China to cultivate blueberries and other berry fruits. Domestic producers have begun to invest in different varieties which offer improved aroma and a balance of sweet and tart flavors.

    Regulations

    Producers are expected to adhere to GACC’s phytosanitary import requirements. According to GACC’s May 13, 2020, Number 64, announcement, blueberries must come from packing houses or shippers registered and approved by USDA APHIS. All shipments must be accompanied by a phytosanitary certificate issued by USDA APHIS. Fresh blueberries from California, Florida, Georgia, Indiana, Louisiana, Michigan, Mississippi, New Jersey, North Carolina, Oregon, and Washington are eligible to export to China. All exports, except those from California, Oregon, and Washington will need to be fumigated prior to export to China. Specific import regulations are subject to change. Exporters are encouraged to check with their Chinese importer, and USDA APHIS by reviewing their Phytosanitary Export Database (PExD) to confirm the most current import-export regulations.

    Distribution Channels

    Guangzhou and Shanghai are the predominant fresh fruit import destinations as they have the most efficient customs processes, are situated on popular ocean freight routes, and have well established domestic transport networks. Fresh fruit imports have traditionally been handled by importers and regional distributors, however large retail chains with advanced logistics and transport efficiencies are increasingly seeking to source directly from exporters and importers to eliminate distributor networks. Retail outlets typically use free tastings, gift boxes, colorful displays, and nutritional information to expand sales of fresh fruits.

    Fresh blueberry exporters should also pay attention to how e-commerce platforms are gaining market share and changing the traditional importer-distributor-retailer network. Beginning in 2014, e-commerce platforms started focusing on offering fresh food to consumers. E-commerce fresh product sales grew 42 percent, exceeding $2.9 billion in 2018. Major platforms, such as Tmall, JD, and MissFresh enjoy first- mover advantages on traffic and sales, but there are many other niche platforms, such as Benlai and Chunbo that focus less on volume and more on brand recognition and an improved customer experience. E-commerce contacts reported that the industry has been reluctant to directly import fresh berries due to logistical challenges and cost, although some have air shipped orders to fill the gap when the domestic harvest season ends and South American blueberries have not yet arrived by ocean freight. Most platforms still choose to work with importers or distributors to ensure that products are fresh and reduce their risk for loss of these highly perishable products. Contacts also reported that blueberries, if not cautiously handled in delivery, can result in a very high customer complaint rate, therefore they only seek to source products with a firm texture.

    Industry Outreach and Market Entry Recommendations

    Trade Shows

    Asia Fruit Logistica is the largest Asian fruit industry show. This year, it will be held in Singapore, September 16 to 18, 2020 (it is usually held in Hong Kong, however the organizers moved it to Singapore due to COVID-19). Each year the China Chamber of Commerce of Import & Export of Foodstuffs, Native Produce & Animal By-products (CFNA) organizes the International Fruit Conference, which focuses mainly on the China market. In 2020, it is expected to be held sometime in in September to December, pending COVID-19 developments. For more information about the conference, please contact chinafruit@cccfna.org.cn.

    Major Chinese Trade/Industry Associations

    China’s Chamber of Commerce of Import and Export of Foodstuffs, Native Produce ,and Animal By- Products (CFNA) is the primary food trade industry association in China. It was established in 1988 under the Ministry of Commerce and with a membership exceeding 6,500 companies. CFNA organizes fruit industry conferences and activities and publishes industry data. They also serve as the primary facilitator between the Chinese government (e.g., GACC) and importers. The key CFNA contact for fresh products is Mr. Lu Kun, lukun@cccfna.org.cn.

    The China Agricultural Wholesale Markets Association (CAWA) is a national association established in 1968 under the Ministry of Commerce. In China, more than 70 percent of agricultural products are distributed through wholesale markets. CAWA has China’s largest 300 wholesale markets as its members, and the largest five wholesale markets in each province. CAWA organizes conferences and national/regional trade shows. The key CAWA contact is Ms. Wang Lijuan at wanglijuan@cawa.org.cn or international@cawa.org.cn.

    Market Entry Recommendations

    Attractive size, packaging, and sweet flavored varieties will help U.S. products gain market share in China. To meet market demand, Chile and Peru have been able to provide appropriately sized blueberries, setting the standard for consumer expectations. U.S. blueberries are expected to be in highest demand after June when Chinese production drops and South American products have not yet arrived in the market. In China, blueberries are generally graded into three levels; 12 to 14 millimeters (mm), 14 to 16 mm, and 16 mm or more. Products are typically sold in 125 gram (g) packages. These smaller packages are convenient to purchase and appropriately sized for smaller Chinese families. Exporters may also highlight the size and high sugar content on the package (and to importers during sale discussions). Importers are expected to seek U.S. varieties which are over 12 degrees brix and larger than 16 mm.

    While this report focused on fresh blueberries, food processors are also seeking dried and frozen berry imports for use in dairy beverages, bakery products, and snack foods. Please refer to most recent USDA FAS GAIN China Food Processing Ingredient Report for more information about opportunities for frozen and processed blueberries.

    Additional Considerations

    According to the April 28, 2016 Foreign Non-governmental Organization (FNGO) Management Law, China requires all FNGOs, including agricultural trade and marketing associations, to register before undertaking certain marketing activities (e.g., public gatherings, promotions, trainings, conferences). The requirements include securing a Chinese sponsor organization, and registering a permanent office or filing for a temporary activity permit. This process typically takes up to six months to complete. Certain activities may exempt from this law, and it does not apply to for-profit businesses and governmental organizations. For more information about the Law, see the USDA GAIN report China’s Foreign NGO Management Law: A Review for U.S. Agricultural Trade Associations. — By Christopher Bielecki, USDA Foreign Ag Service

    For more information about this report, please contact:

    Agricultural Trade Office in Beijing

    U.S. Embassy in Beijing
    Phone: (86-10) 8531-3950
    atobeijing@fas.usda.gov

     

  • FIRE RECOVERY GRANTS AVAILABLE FOR SO CA GROWERS

    Erosion damage caused by the 2018 – 2020 California wildfires can result in discharges of sediment, metals, nutrients and other pollutants that threaten streams, aquatic life and public health. In an effort to mitigate the effects of erosion caused by the fires in Ventura and Los Angeles Counties, the Post Fire Recovery Project will allocate $320,000 worth of reimbursable supplies to applicants for their erosion control best management practices. The grants can be used to obtain items such as silt fencing, jute netting, sandbags, native plantings, seeding, straw wattles and more.

    Grant funds will be distributed on a first-come, first-served basis. Interested growers can complete the application online.

    Online application assistance workshops will be held August 5 at 5:30 p.m. and December 8 at 5:30 p.m. For more information, contact Andy Spyrka, Resource Conservation Specialist at andyspyrka.vcrcd@gmail.com or 805.764.5135.