Frankly Speaking

Frankly Speaking - Week 30 Update
26 July 2015

Frankly Speaking - Week 30 Update

Please accept this Grower Update to the end of week 30 [Sunday 26 July].

Zespri reported good sales rates for SunGold [G3] at its Annual Grower Meeting last week and have increased their forecast for the current year to between $7.60 and $7.90 per tray. Seeka has revised its own estimate to $7.57 per tray noting the large number of unknown variables in forecasting grower returns. Our onshore performance for G3 remains good with 443k trays still in store.

 

The outlook for Hayward conventional has softened slightly and recent shipping slower compared to last year. The industry still has a long way to go with Hayward and a lot of fruit to sell. Zespri’s range has reduced to between $4.80 and $5.20 per tray with Seeka predicting $5.05 per tray. We have been responding to softer than average fruit at Oakside, but now are moving fruit from the entire inventory.  Fruit loss to date is substantially lower than last year at this point both as a percentage and absolute amount, and there are large loadouts through the next few weeks.

 

Hayward organics is travelling well. Zespri’s forecast range has tightened slightly to between $6.70 and $7.00 per tray with Seeka using $6.91 per tray as its forecast. Hayward organics have a heavy loadout this week with 70k of the 413k trays in store being shipped. Fruit loss to date is insignificant.

 

Reports have come in of a major failure of a vessel to Europe called the Messina. This vessel with approximately 2000 Hayward pallets was the slow boat to Europe scheduled by Zespri to alleviate the tight coolstorage some in the industry experienced this year. This vessel also carried apples. Unfortunately the vessel has arrived with soft fruit and Zespri has invoked an insurance process. Zespri are now working to minimise the impact to the grower.

 

Please see update below about additional progress payment for Gold growers.

The statistics as at midnight Sunday 26 July 2015:

 

Hayward

 

Seeka packed/loaded:  20,761,924 trays  Industry packed:       84,081,835 trays [24.7%]

Seeka average size:     32.53                    Industry average size:     32.41

 

Fruit Loss to date:  54,873 trays [0.26%]    Time Pool Est:     $469,848 [$0.023/te]

Shipped:                 11,182,799 trays          In-store:               9,523,340 trays

 

On order for week 31               544,096 trays

On order for week 32               917,443 trays

 

Hayward organic

 

Seeka packed:  1,049,430 trays      Industry packed:           3,970,307 trays [26.4%]

Seeka average size:  34.87             Industry average size:  34.48

 

Fruit Loss to date:   578 trays [0.01%]   Time Pool Est:      $90,194 [$0.086/te]

Shipped:                  635,754 trays          In-store:               413,112 trays

 

On order for week 31                       70,414 trays

On order for week 32                       39,585 trays

 

 

G14

Seeka packed:  165,095 trays      Industry packed:            1,365,938 [12.1%]

Seeka average size: 36.74           Industry average size:   35.92

 

Shipped:      165,095 trays           In-store:           0 trays

 

All done. Final Fruit loss at 0.67% a big improvement on 2014.

 

G3 [Sungold] Conventional and organic

 

Seeka packed:          3,880,768 trays      Industry packed:     27,296,449 trays [14.0%]

Seeka average size: 30.41                      Industry average size:  30.57

 

Fruit Loss to date:    56,362 trays [1.4%]      Time Pool Est:   $746,561 [$0.192/te]

Shipped:                   3,383,960 trays            In store:             443,446 trays

 

On order for week 31     174,991 trays

On order for week 32       96,484 trays

 

In the home straight for G3 – G3 organic running at 0.23% fruit loss.

 

Hort 16a

 

Seeka packed:          404,163 trays         Industry packed:          4,393,086 trays [9.2%]

Seeka average size: 31.41                      Industry average size: 31.64 

 

Fruit Loss to date:    636 trays [0.08%]     Time pool est:     $87,122   [$0.22/te]

Shipped:                   374,319 trays           In store:              29,652 trays

 

On order week 31:              968 trays

On order week 32:              0  trays

 

The Zespri supply team might have forgotten about Hort 16a. Now being repacked and transferred for a Vietnam holiday.

 

G9 [Charm]

 

Seeka packed:          86,219 trays                 Industry packed:      760,213 trays [11.4%]

Seeka average size: 36.43                            Industry average size: 34.29  

 

Fruit Loss to date:  1,006 trays [1.15%]        Time pool est:     $12,566   [$0.14/te]

Shipped:                 65,568 trays                   In store:              20,651 trays

 

On order week 31:                0 trays 

On order week 32:                0 trays

 

Absolutely no orders for this fruit over the last two weeks although it has been waiting for sometime. Now likely to be loaded for the local market.

 

 

Extra advance to gold growers

Seeka has received some feedback about the slow fruit payments to growers and accordingly have advanced its growers an extra $0.20 per tray this evening to be recovered from the next progress payment.

 

Regards

Michael.

Seeka Key
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