The Florida Citrus Commission (FCC) recently heard a report that 13% of consumers surveyed in June said the increased price of buying orange juice (OJ) is a barrier. Florida Department of Citrus (FDOC) Director of Economic and Market Research Marisa Zansler provided that information to the FDOC’s governing board.
Zansler also reported that 5% of consumers said they were less likely buying orange juice due to a lack of trade promotions at retail. With less promotions taking place, it is essential to reinforce the leading demand drivers for OJ, Zansler said. Those drivers include the health and wellness attributes of OJ along with having breakfast at home.
In the 2021–22 season, 94% of Florida oranges were processed as juice, Zansler reported. It is estimated that Florida will account for at least 80% of domestically produced OJ. Not-from-concentrate (NFC) OJ imports and domestic receipts are up by 40% while frozen concentrate OJ imports and domestic receipts are down by 16%, Zansler added. The volume of NFC movement is above 2018–19 levels while pack from fruit is down.
For grapefruit juice, Zansler reported that 44.89% of the Florida crop was processed as juice in 2021–22, a higher share of the crop when compared to previous seasons. The majority of processed grapefruit is utilized as NFC with the Florida crop representing 73% of NFC Florida processor receipts.
Overall, Florida citrus processor movement trends in 2021–22 remained strong compared to the 2018–19 baseline season, Zansler said. During the 2021–22 season, processors relied on existing inventory and imports to meet market demand.
With inflation high, it remains critical to continue robust marketing programs to ensure citrus is a staple while the industry seeks to resolve supply shortages and increase production, Zansler stated.
Also at the FCC June meeting, Meredith Nelson of FDOC marketing firm Edible reported that half of U.S. shoppers are searching for a deal and 31% are buying less food overall.
Source: Florida Department of Citrus
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