October 13, 2004
By Laura Ruane
lruane@news-press.com
Florida will have the smallest orange crop in 11 years, following a series of hurricanes that blew fruit off trees and flooded groves, a federal forecast released Tuesday shows.
The U.S. Department of Agriculture survey also indicates Florida's grapefruit crop — the smallest in 67 years — will be down 63 percent from last season. Florida supplies three-quarters of the nation's grapefruit.
Opinions are mixed on whether consumers will see higher prices for orange juice; however, grapefruit juice fans are likely to get hit in the wallet.
Fewer crops likely will increase prices growers earn for their fruit and cause fresh grapefruit exporters to scramble to find new sources.
That puts mostly unscathed groves in eastern Lee, Collier and Hendry counties in a good position.
"We're sitting pretty on the grapefruit," said Mark Colbert. He manages A. Duda & Sons' operations in LaBelle. The company grows and processes oranges and grapefruit for juice, and also exports fresh fruit.
About 1,000 of the company's 10,000 acres in Hendry County are planted in grapefruit, Colbert said. That's more grapefruit acres than in all of Lee County. Numbers from Florida Citrus Mutual indicate grapefruit represents less than 5 percent of planted citrus acreage in Lee, Hendry and Collier counties.
The region's growers in general, "are elated about the returns coming this way, this year," said Colbert, who serves as vice president for the Gulf Citrus Growers Association. "However, we're very saddened that other growers have to take it on the chin."
Owners of a mom-and-pop grove in eastern Lee County aren't elated just yet. Frank Green said he'll welcome any price increase for the oranges he grows, but added it probably won't make up for setbacks in recent years. The Tristeza disease cut short the life of many trees on his 110-acre farm, forcing him to plow slim earnings into replanting.
"I've been so discouraged with our returns, Nancy (Green's wife and business partner) doesn't let me see them," Green said. "The trees we replanted in the last two years are just starting to bear. In the next two years, we should be in a better position to compete."
Green does hope to make out better with about nine acres of Mineola tangelos. Agriculture officials have predicted modest price increases for all specialty citrus, including tangelos and tangerines.
Statewide, the storms represent the biggest blow to the $9 billion citrus industry since the freezes of the 1980s, which led many growers to Southwest Florida.
The orange crop is expected to produce 176 million 90-pound boxes. That's down 27 percent from 242 million boxes last season — and the smallest since the 1993-94 season.
The grapefruit crop is forecast to produce 15 million 85-pound boxes, down from 40.9 million boxes last season. It will be the smallest crop since the 1937-38 season, according to the USDA estimate.
Because of crop reductions, the cost of future contracts for frozen orange juice concentrate is expected to rise.
Juice drinkers, though, may be cushioned from price increases at grocery stores because of a large inventory held by processors from the second-largest crop last season. Most of Florida's oranges are turned into juice.
"We'll get a nice little kick up in grower prices. ... Consumers likely won't see anything," said Tom Spreen, a University of Florida professor.
But Pete Brace, a spokesman for Tropicana, which purchases about a third of Florida's orange crop, said in a statement that "some price increase is likely due to increased costs."
Grapefruit juice drinkers, meanwhile, are likely to see higher prices in grocery stores because any grapefruit left on trees will likely be diverted to the fresh fruit market. Grapefruit juice production will be down 68 percent from last year, Florida Department of Citrus officials estimated.
Hurricanes Charley, Frances and Jeanne blew fruit off trees and flooded groves in orange-producing belts of south-central Florida and the grapefruit-rich district along the Atlantic Coast. Hurricane Ivan spared Florida's citrus-growing areas, striking the Panhandle instead.
Florida produces 40 percent of the world's orange juice. Brazil, the world's largest orange producer, supplies about 45 percent of the world's orange juice.
The entire United States was expected to produce 240.3 million boxes of oranges.
— The Associated Press contributed to this report.
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