Thursday, 31 Oct 2024

Orange juice futures are hitting record highs. Here's why, and what it means for consumers


Orange juice futures are hitting record highs. Here's why, and what it means for consumers
1.3 k views

Orange juice futures are hitting record highs because of bad weather and a nasty citrus disease. That could mean higher prices at the grocery store.

In recent weeks, prices in the OJ futures market have topped $3 per pound. Around this time last year, prices were hovering at around $1.81 per pound.

The price increase has been fueled primarily by short citrus supply around the globe.

"It's really a sad and perfect storm of what's hitting the industry," said Billy Roberts, senior analyst for food and beverage at CoBank.

In Florida, which typically produces most of the orange juice consumed in America, Hurricanes Ian and Nicole in the fall of 2022, plus a late freeze later that year, devastated crops already thinned by citrus greening, which cuts off key nutrients to orange trees. Trees infected with the disease produce fewer, lower-quality oranges and eventually die.

Late last year, the US Department of Agriculture predicted that in the 2022-2023 season, Florida was expected to produce 20 million boxes of oranges - a 51% decline from the prior year, and the smallest amount produced since the 1936-1937 season.

By July, the forecast had fallen even further. Last month, the USDA said it expected Florida to produce 15.9 million boxes in 2022-2023.

you may also like

Delta Air Lines Flight from Las Vegas to New York Makes Emergency Landing Today Due to Cockpit Fumes
  • by travelandtourworld
  • descember 09, 2016
Delta Air Lines Flight from Las Vegas to New York Makes Emergency Landing Today Due to Cockpit Fumes

A Delta Air Lines flight bound for New York City from Las Vegas made an emergency landing shortly after takeoff on October 29, 2024, due to fumes in the cockpit. Flight DL2133, originating from Harry Reid International Airport (LAS) in Las Vegas and destined for LaGuardia Airport (LGA) in New York, reported an issue within minutes of departure, leading the crew to declare an emergency and return to the Las Vegas airport for a safe landing.

read more