Monday, December 29, 2014

Sliding into the New Year

Historically speaking, the produce business generally sleeps between Christmas and New Years.   In most cases, the wholesalers  and chain stores have over ordered before the holiday and are coasting into the New Year.  The producers, from potato farms in Maine to lettuce growers in Arizona are dealing with labor shortages as low paid employees take a little extra time with their families.  So supply is tight, but their is no demand.  The weather does not seem particularly disastrous in any area, so there is no hysteria regarding an imminent shortage of any product.  So everyone is looking to ease into a New Year with better prospects for fresh produce than 2014.  An expanding economy with more jobs means more money on the margins for consumers to indulge in a little more fresh food.  More restaurant meals means increased foodservice business.   It is a virtuous cycle which feeds on itself. 

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