Florida is tonight on a freeze watch - bracing for another blast of
artic air over the weekend. The state has experienced six consecutive days of
extreme cold and over the weekend it could worsen. But first - temperatures
will return to the 60s tomorrow but on Friday night, another strong cold front
will arrive. The temperature is forecasted to dip below 28 degrees on Sunday
night. That’s critical for the state’s citrus crop which will be
destroyed if exposed to temperatures below 28 degrees for more than four hours.
And while it is bad news for Florida’s citrus growers – it is good
news for ours. That is because the rush of frigid air is expected to damage
the state’s $9 billion citrus industry. In fact more than 5% of the state’s
citrus crop could be damaged.
That is where Belize comes in because the damage could drive up prices
for concentrate and will result in a bonanza for our growers. Chief Executive
Officer of the Citrus Growers’ Association Henry Anderson told us via
phone from Stann Creek that based on the new citrus futures, the CGA is negotiating
a new price with the Citrus Products of Belize Limited.
Henry Anderson, CEO – Citrus Growers Association
“The big threat is expected going into this weekend and that there
might be as much as 5% damage to crops there. So if that happens then it would
mean a rise in the price. If the fruit gets damaged then there is less fruit
on the market. If you have less fruit then you have the prices higher and then
yes there is an opportunity for us to sell more at a higher price.
The market has been gradually going up over the speculation that happened
last week. We triggered a new price submission from CPBL. They were suggesting
the new price would be in the order of about $9.42 per box. Right now it is
$8.14 and we are figuring it should be above $11 so we rejected that submission
and we will be meeting with them tomorrow again to go through what will be the
new prices for growers. Going into this weekend, if it jumps again, it might
very well mean that the price will go up even beyond that. So there is potential
that the prices could be very good for the growers in Belize.”
Keith Swift,
“If there is that increased demand, will Belize be able to supply?”
Henry Anderson,
“We will be able to sell the amount we produce for a better price.
Remember Brazil produces 51% of the world market, Florida is 30 something percent,
and we are less than a percent. But we are anticipating 27 million tonnes solid
and it means that we will be able to sell that at a higher price so our growers
will get a better price for their fruit.”
Belize primarily exports concentrate. It is of note that prior to the
cold snap - Florida citrus crop was already forecasted to decline by 1 million
boxes. And while it is cold in Florida – it is bitterly cold and freezing
in parts of the United States and even in areas of Europe.
Email
Print