May 01, 2023 | Industry News
May 2023 Regional Market Report News
The domestic black raspberry crop has been facing severe challenges over the past few seasons, impacting the supply of melba sauce. After tireless communication with our partners, we have been able to regain control of the category and restock our products. This positive crop turnaround ensures we can once again provide supply of our high-quality melba sauce.
As previously discussed in the March Bulletin, mustard seed crops are finally beginning their recovery after a near disastrous harvest in 2021. Inventory levels continue to rise as seeds from the 2022 harvest are distributed to our mustard manufacturers.
Roasted Red Peppers
We are anticipating challenges in the roasted red pepper category as inclement weather continues in key producing countries. Heat and drought in Spain have caused producers to source the red pepper crop from other countries such as Peru. However, Peruvian growers are also currently experiencing unfavorable weather during their planting season. This disruption is expected to result in smaller yields for the 2023 red pepper harvest.
Despite these challenges, Roland Foods remains committed to providing the highest quality roasted red peppers in the market through strategic partnerships. We remain optimistic about our ability to meet our customer’s needs in this category in 2023 and beyond.
Global Supply Chain and Logistics Updates
Containerized Imports on Track with Projections
Despite current economic uncertainties, import levels continue to rise in Q2 of 2023. Consumer spending has kept orders flowing while major retailers continue to sell through existing inventory and restock carefully. Comparatively, imports are lower than they were in 2022 and 2021, but slightly higher than the levels in 2019.
Below are the updated import projections from the National Retail Federation, which compare the expected monthly container imports for 2023 to the actual 2022 import data.
Continued Supply Chain Challenges
Shipping lines are facing new challenges in 2023. New sailing vessel capacities are much greater than the expected growth of international trade, meaning the current capacities will outweigh container demand. To operate at a profitable level, shipping lines will need to reduce sailings to match this container demand. The reduced shipments will continue to challenge the reliability of the supply chain.
As mentioned in last month’s edition of the Bulletin, other factors, including reduced Chinese imports and West Coast Port labor issues, continue to challenge the supply chain. We are closely monitoring all issues to stay ahead of these challenges.