Week 42

After a season thus far notable for exceptionally high export pack-outs, we are starting to see first signs of a change in pattern as Class 2 and 3 volumes increase. Instances of Class 3 volumes exceeding Class 2 within a pack-out are not entirely uncommon. This not infrequent occurrence is creating a marketing challenge. Surface ridging and wind damage appear to be the primary causes of rejection.

With packing ramping up as we head into the main export window, downward pressure on values is starting and accordingly it is time to restrict the supply of certain sizes into the New Zealand market. Consequently, yesterday we restricted the packing of Class 3 fruit in sizes 36 and 42 as these smaller fruit have dropped in value to the point at which returns are not viable. Rick and Danielle will work with our packhouses on this issue.

We continue to achieve strong and stable values in sizes 16 to 28 across the Class 2 grade. Values for Class 3 are slightly reduced across sizes 16 to 28 however demand is consistent in this range.

Despite a messy retail environment this season due to the impact of Covid-19 and associated restrictions, we are noting good demand and support for the avocado category. Retail orders are strong and despite limited promotional opportunities this year consumers are engaged and purchasing

Pricing is for the current sales period. Prices may not always accurately reflect your returns as stock may be held over pending sale or as the market dictates. Where no price is recorded, sales have not been made in the report period. Prices are subject to change based on daily market conditions.