Orange juice tumbled to a four-year low on signs that consumption is dwindling amid a U.S. recession, Bloomberg News reports:
Orange-juice concentrate in cold storage last month surged 84 percent from a year earlier, the U.S. Department of Agriculture said yesterday. Retail sales in the four weeks ended Nov. 22 fell 1.7 percent to 47.34 million gallons from a year earlier, according to AC Nielsen data on the Florida Department of Citrus Web site.
“Having ample supply and slowing demand is driving prices lower,” said Stewart Mann, a managing director for LaSalle Futures Group in New York.
Orange-juice futures for March delivery fell 2.15 cents, or 2.8 percent, to 73.4 cents a pound on ICE Futures U.S. in New York. Earlier, the price touched 71.3 cents, the lowest for a most-active contract since Nov. 15, 2004.
Futures have plunged 49 percent this year as inventories climbed and demand dwindled.
Orange juice may drop to 55 cents to 60 cents before the harvest ends around June in Florida, Mann said. The state is the world’s biggest orange grower behind Brazil.
Florida will produce 165 million boxes of oranges this season, down from 170.2 million last year, according to the USDA. A box weighs 90 pounds (41 kilograms).
The most-active contract last traded for less than 60 cents a pound in August 2004.
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14 Responses
Is the fact that you show a picture of Tropicana as opposed to one of the Heimishe brands to be construed as endorsement of Tropicana over say New Square of Lakewood OJ?
Are you aware that Tropicana Omega 3 OJ contains fish oil and should not be consumed with meat or poultry?
See http://www.kashrut.com/Alerts/
A four year low? Even orange juice? Bush just has the magic touch. From ’01 to present, this guy has been bad luck for the USA.
Why are supermarket prices so high? They are much higher than they were 4 years ago.
orange you glad that it will be cheaper? : )
Lets hope the prices of kosher branded juice fall in line with the drop in commodity prices.
I, on the other hand, am ‘recession proof’
Funny, I havn’t seen any price change in the grocery stores of flatbush!
LLEvine, is that a reason to not consume Tropicana, that there’s fish oil in the Omega-3 OJ?
New Square OJ tastes great, as does Tropicana, and Tropicana happens to have certain vitamin combinations that New Square may not, and vica versa.
Incidentally, why is OJ still $3 on sale? Did they hedge, too, like the airlines?
The problem withthe drop in orange juice prices is that the American farmers are going to lose big time and may have to go bankrupt which would only lead to a Depression.
these companies are foolish. they have out priced themselves
people are starting to realize that you can live without these added luxuries / necessities.
and when iy’h things get better for all of us, the wise will say, we can live without these items on a daily basis!
8, maybe for the same reason flour, among other staples, is still overpriced.
llevine,
Do you get 64 Fl Oz with the Heimishe brands? (At least New Square spun it as a new easier to pour container but Lakewood actually just filled up the same size container less…)
Why not just buy a simple orange, extract the juice yourself. You save the cost of paying for the Co’s. labor, trucking, worrying about the hectsher of the juice etc.
B”H
Orange Juice and Milk have risen so high that many people are cutting way back. I haven’t bought Orange juice for at least a year–it was WAY too expensive–and the kids have had to learn to live without so much milk. Serves them right if they have to slash prices now. They did the same thing the oil producers did–took the price so high that everyone found ways to do without. Now they pay for that arrogance.