Thursday, November 04, 2010

Mushroom Market Update

The Chinese mushroom market is still firm as suppliers seek to cover pending contracts from the previous crop. It seems to have become the standard market update from China that new crop product has been affected by floods, and warmer weather, along with higher labor costs and increased domestic demand. Coupled with zero carry over stock from the previous crop, this leads to a firm market until perhaps the first quarter of 2011.

A new marketing ploy has appeared in the mushroom market: some importers are bringing in #10 product with very low drained weights. The industry standard continues to be a 68 oz. drained weight, but we are now seeing 62 oz., 58 oz. and even 53 oz. drained weight product hitting the market. Pricing is obviously cheaper by the case, but often more expensive by the ounce.

India continues to be a viable source for your mushroom needs, but as always they are monitoring the situation in China and will market their product to mirror new crop Chinese prices.

Finally there is also fresh pack Dutch Mushrooms available. European mushrooms are packed 6/62 oz. and 6/68 oz. drained weights, but pricing is relatively high due to the unfavorable euro-dollar exchange rate.