Scanty vegetable supplies are causing “exorbitant prices,” says the chief executive of Landec Corp, which sells salad kits, vegetable trays and fresh-cut bagged produce in the food and biomedical markets.
“Despite our efforts to meet the increasing demand for our products, there is simply not enough supply from our contracted growers, or for purchase on the open market, to meet demand,” said CEO Molly Hemmeter in warning of lower company revenue. “Shortages have been due to unseasonably warm weather. Many experts in the Western vegetable industry have commented that they have never seen vegetables in such short supply, which has led to exorbitant prices and low quality for many crops.”
Cauliflower prices, for instance, are three times their average level.
Agrodaily pointed to drought in California, the No. 1 fruit and vegetable state, and in Mexico, a key produce supplier. “The group [Landec] also highlighted the heavy rains in Florida, another major vegetable producing state.”