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Industry News | 3 min read
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ProducePay
November 21, 2023
ProducePay
November 21, 2023

Florida’s citrus harvest poised surpass last year’s.

Florida’s citrus industry is grappling with a series of challenges that could jeopardize its position as a production leader in the United States.

A combination of hurricanes and devastating diseases, such as HLB, has plunged citrus producers into low production and uncertainty.

However, recent USDA estimates suggest that Florida’s citrus harvest could be on the path to recovery.

Reasons for Industry Improvement

After a challenging 2022/23 cycle, where several hurricanes severely damaged the citrus industry, prospects for the 2023/24 season are optimistic. The USDA predicts orange production will reach 20.5 million boxes, a significant increase from the previous season’s 15.8 million boxes.

This uptick in citrus harvest is partly due to favorable weather conditions that have allowed for better crop development. Unlike last year, when hurricanes Ian and Nicole left their destructive mark, the current season has been more forgiving.

The absence of extreme weather events has enabled Florida’s citrus producers to focus on caring for their trees and obtaining high-quality fruits. Additionally, research efforts to address the HLB problem have yielded positive results, contributing to improved production.

Challenges in Florida’s Citrus Industry

Despite positive news, the industry still faces significant issues that require attention and long-term solutions.

The foremost challenge is the HLB disease, caused by bacteria transmitted by insects, which remains a critical threat to citrus crops in the state. The disease weakens trees and affects fruit quality, and while progress has been made in research to combat HLB, it remains a significant concern for producers.

Additionally, California has emerged as a robust competitor in citrus production. Florida, historically the leader in U.S. citrus harvests, must strive to maintain its position as the top domestic-producing state.

Consideration must also be given to changes in consumer preferences, such as the declining consumption of orange juice for breakfast, impacting the demand for citrus products. For this reason, the industry must adapt to meet new consumption trends and maintain its relevance in the market.

Finally, it’s crucial to remember that over the years, the citrus cultivation area in Florida has significantly decreased due to real estate development. This poses additional challenges as growers sell their land for high prices to developers.

What ProducePay Can Do

Through Pre-Season Financing, ProducePay assists citrus producers in investing in agricultural practices that enable them to tackle productivity challenges, obtain higher-quality products, and meet consumer demands, translating to increased competitiveness.

Sources: The Packer, USDA-NASS, WLRN, WMFE