The supply of hot peppers, including Red Fresnos, jalapenos, and Anaheims, from California is tightening up. "The supply was plentiful a few weeks ago, but scorching temperatures left some crops burnt and inedible," says Brian Cook of Westlake Produce, adding that not a lot of varieties of hot peppers can handle the heat. "As we get closer to the end of this month and early next month, California will wind down with hot pepper production."
It's a similar scenario to last year at this time with lots of supply and then heat impacting that supply, which in turn significantly decreased by mid to late October. "The difference this year was that Baja had that hurricane come through, and believe it or not, there was actually a surplus of expected product because of that weather," adds Cook.
In California, production is coming from Santa Maria as well as some volume from Fresno. The season began on time this year at the end of June-early July and production will keep going until the first freeze. Growing conditions have been good for hot peppers, a factor that has contributed to the plentiful supply.
© Westlake Produce
Moving hot peppers
A shift in supply may be welcome given demand is softer for hot peppers. "Right now, one of the biggest challenges is trying to move product and get someone to take it," says Cook. "There's just a lot of everything, so we aim for the right price and the right people who need it. When California is in full swing, you have the Pacific Northwest, Colorado and other states that are also growing. They aren't purchasing out of California because they have local deals. Homegrown and local is definitely the biggest trend. Those states probably have a couple of weeks left before the freeze, and once that happens, they'll start coming back to California peppers."
Add to this the fact that in terms of overall consumption rates, the demographic with the highest consumption of hot peppers is Hispanic people. However, sales are showing that third and fourth generation Hispanics in the area aren't buying peppers like their parents and grandparents did and the effect on the market can be seen.
All of this has left pricing lower this year because of that ample supply, though a month or two ago, Baja product saw stronger pricing with Serranos in the high $30s and jalapeños in the high $20s. However those prices had to come down given the supply available in California.
Looking ahead, weather reports indicate rain is on the way and if that happens, the crops could be affected and be pushed back. "This will have the market get a little more active and a little more tight as supply and demand shifts," says Cook.
For more information:
Brian Cook
Westlake Produce
Tel: +1 (213) 624-8676
[email protected]
https://westlakeproduce.com/