On September 27, the price of November futures for frozen orange juice concentrate on the ICE Futures US exchange increased by more than 5% to $3.69 per pound. The price has risen by 13% in a month and by almost 78% since the beginning of the year, the publication reported.
Prices reached record levels amid fears of a decline in the US orange harvest, writes CNBC. Hurricanes and bad weather hit Florida, the top U.S. orange juice producer, last year, causing the harvest to fall to its lowest level in nearly 80 years. Late frosts at the end of last year also negatively affected supplies, the publication writes.
In July, the USDA said it expects Florida to produce about 15.9 million boxes of oranges this year, down 70% from the 2020-21 season. Other major exporters such as Brazil and Mexico also lowered their harvest estimates for this year, citing harvest difficulties due to hot weather.
Besides, orange harvest in brazil may fall due to citrus greening (an incurable bacterial disease that threatens plantations). In the US, growers in Florida have been battling citrus greening disease for more than a decade, causing declines in production in the state. Infected trees produce green, misshapen and bitter fruits that are unsuitable for fresh sale or juicing.
2023-09-27 16:41:57
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