Market Notes July 15th, 2021
LABORIt has now become apparent to many that the best job you can get is to sit at home and let the government pay you. This atrophy of the American work force has created a new economy from which many will benefit, and many will fail, but most will probably wallow in the middle. The lower work effort is showing up in all aspects of everyday produce trading, and once again accommodations must be made on the fly for those who must survive. We thought it might be fun to list a few areas where the impact is real, and some that maybe are not. Enjoy
TRUCKINGIt has become a driver’s market. Impact is that trucks are lost at the last minute for the same run at twice the price. Drivers for standard can now name their price. Fewer truckers available for over-the -road trips and reliability is challenged. Overnight transportation is soaring, and commitment times are almost a thing of the past. These days, we are thankful just to get it.
PACKAGINGSuddenly there is not enough plastic for bags clamshells, and other packaging materials. Box inventories are dwindling and run time for replenishment is almost double. Price of packaging has risen to justify all the overtime required to complete an order. Fruits and vegetables remain on trees and in fields unable to be harvested due to lack of packaging.
EMPLOYMENTFor those who want to work the choices are silly. Businesses are desperate to find workers as the government continues to support the unemployed. It is an employee’s market and there is good money to be made. This will define a new relationship between employer and employee and the result is most likely lower output and lower levels of service. The consumer, who is giddy with mask free joy, will not recognize this as they will be accepting to a fault and thankful to be out and about.
INFLATIONSo, everyone is making more money and doing less. Meanwhile good and services have been reduced in access and increased in cost. Have the payrolls gone up more than the costs of goods and services? If you judge by gasoline and groceries, probably not. What happens when we realize out earnings have gone up by 1 but services have gone up by two? What happens when the goods and services we want are not available because no one is working to produce them? Do we accept and “understand” the new lower standard? I will probably be up to the robots.
NEW PRODUCE QUIZ – WHO AM I ???I am an evergreen, a native of Brazil. I proudly rise up to 40 feet high. I grow in warm, subtropical, and cool tropical regions. I am harvested 5 to 6 times a year, as I must be separated from the 1 to 4-inch spear shaped leaves protecting me. I am round and only one inch in diameter. My thick black, maroon, or purple skin gives way to my white or pinkish translucent pulp. I grow out of the larger branches and directly from the trunk of the tree. Highly cultivated in Rio de Janeiro, I have also been seen occasionally in the United States and have even traveled as far as Australia. Often enjoyed fresh, we can also be used in fruit salads or as a garnish. I create succulent jams, jellies, juices, and wines. My high sugar content makes a satisfying snack while providing ample amounts of vitamin C.
Answer to last weeks quiz….AMARANTH…Congrats to all winners!
Call 908-789-4700 –Lisa or Richard– Fax 908-789-4702 Visit us at www.culinaryproduce.com “like” us @ Culinary Specialty Produce on Facebook© Culinary Specialty Produce, Inc., 2020