Extreme weather conditions to impact cost of fresh produce

Farmers Australia wide battled to protect their fresh produce from weather damage this week as soaring temperatures peaked across the states. Fresh Food Economist and CEO of the SOCexchange.com.au, Franco Lagudi predicts that the extreme conditions will have a big impact on consumer’s shopping baskets when it comes to price.

Demand for good quality produce will be high as much stock over the next few weeks won’t meet market floor standards. Franco explained: “Retail price point will definitely be a reflection of the quality stocked at your local fresh food retailer. Farmers have had to discard much of their produce as the damage is too extreme to sell the items. Consumers should keep their eyes open for high quality items and be aware of the price tag.”

Franco is one of Australia’s leading wholesalers and, at the coalface of the industry, is the conduit between farmers and grocers, allowing him to predict price changes on wholesale and retail floors on a national level. This insight is reflected in his weekly Fresh Food Report.

Highlights from this week’s report focus on the knock-on effects of the weather conditions:

• Raspberries – The heat and humidity that has engulfed Victoria this week has severely affected a significant amount of the state’s raspberry crops. These have been ploughed due to poor quality and as a result there will be less volumes arriving on market floors nationally. Over the weekend and in the coming week expect raspberry prices to increase by around 20%, in comparison to the Christmas and New Year period. 

• Lettuce – The quality and yield of lettuce crops has been affected, however farmers are doing all they can to keep up with the demand as the hotter weather means more shoppers craving salad. The result will be reduced lettuce volumes arriving on market floors around the country which will in turn force the price up by around 20% depending on quality. Regardless, both Iceberg and Cos lettuce will continue to be great buys.

• Tomatoes – While Victoria is our major supplier of tomatoes nationally at this time of year, it’s also expected that the heat wave in NSW will have had a damaging effect on locally produced tomatoes resulting in less quantities for sale at the open markets. Victorian temperatures will also have a knock on effect on the market. The tomato price will rise over the weekend and early next week by as much as 30%, depending on quality.

• Strawberries – After New Year’s Day strawberry prices increased by around 25% depending upon quality.  Most of the good quality fruit was harvested before New Year. The heat and humidity had taken its toll on the remaining crops, resulting in them being discarded on the farm due to poor quality. Quality has not improved over the past week as weather conditions have worsened so beware of what you are buying over the coming weekend and early next week. 

For more fruit and vegetable forecasts, download the SOC exchange Fresh Food Report from socexchange.com.au/foodreport