Pricing on imported garlic is approximately 40 percent higher than this time last year.
Kian Fattahi with Global Farms Enterprises in Los Angeles, CA points to a few issues behind the price jump. “The really big problem is the shipping issue and getting product through the port. It’s really created a shortage. There are good supplies of domestic garlic available but not enough to make up for the shortage we’re seeing on imports. Not even close,” he says.
Zia Fattahi and Kian Fattahi of Global Farms Enterprises.
While garlic from China is approximately the same volume as last year, Fattahi says it is slow to arrive. “And they haven’t shipped as much garlic from Spain this year because they’ve had quite a bit of rain that damaged some of the garlic,” he says. Add to that the Mexican season is just about finished with garlic. “It’s all going to make things worse for the next few months while the ports remain slow. We should see Argentinian garlic sometime in January-February and that may alleviate things or if the port movement speeds up. Then things might go back to normal,” he says.
Eyeing quality
Along with supplies arriving at uneven intervals, there are also quality concerns. “The quality’s been fine on the fresh garlic. But we’re starting to see some quality issues on the peeled garlic that goes to foodservice. It’s just sitting too long out there,” says Fattahi.
Domestically, California saw a good yield of garlic this year with good quality, though most of that product is destined for retail. “The costs of growing garlic in California have gone up so much as well and we don’t see it becoming easier or less expensive in the future,” he says.
And then there’s demand. As the U.S. and Canada moves into the holiday season, demand is increasing for garlic. “And it’s putting a lot of pressure on pricing. It’s moving prices upwards because the supply has been so short,” says Fattahi.
That said, he anticipates given that pricing is already high, prices aren’t likely to push up more anytime soon. “But I do see things being short for the short term because of the unpredictability with shipments right now,” Fattahi adds.
For more information:
Kian Fattahi
Global Farms Enterprises
Tel: +1 (323) 415 6000
[email protected]
www.global-farms.com