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 (May
2007) 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 significant 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-dumping 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
Marketing U.S. Organic
Foods: Recent Trends From Farms to Consumers (September
2009) explores the U.S. market for organic foods, which
now occupy prominent shelf space in the produce and dairy
aisles of most mainstream food retailers. Fresh produce
continues to be the top-selling organic category as the
marketing boom has pushed retail sales of organic foods
up to $21.1 billion in 2008 from $3.6 billion in 1997.
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 significant 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
Younger
Consumers Exhibit Less Demand for Fresh Vegetables
(August 2009) identifies how a household's spending on
fresh vegetables for at-home consumption may depend on
the head of household's birth cohort, with younger consumers
today exhibiting less demand for fresh vegetables than
older consumers.
Supermarket Loss Estimates
for Fresh Fruit, Vegetables, Meat, Poultry, and Seafood
and Their Use in the ERS Loss-Adjusted Food Availability
Data (March 2009) analyzed updated food loss estimates.
The new estimates are generally close to the current loss
assumptions. The new estimates would increase annual per
capita estimates at the retail level by 4.2 pounds (2.7
percent) for fresh vegetables.
Canned Fruit and Vegetable
Consumption in the United States: A Report to the United
States Congress (February 2009) examines consumer
perceptions and consumption of canned fruits and vegetables.
If current trends prevail, total fruit and vegetable availability
will continue to increase, but canned fruits and vegetables
will account for a declining share of that total.
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 in-store
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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