Orange Juice Prices Continue to Soar Amid Disease and Harsh Weather
The average price for a gallon of orange juice has grown 33% since Oct. 2019 The price of orange juice has risen due to bad weather and disease affecting citrus crops. A single gallon of orange Juice cost $9.18 for the four-week period ending on Oct. 7, compared to $8.20 for the same period in 2022, which has seen prices increase by over 31% over the past four years. This is due to poor production in Brazil, the world's largest producer of fruit and juice, due to harsh droughts and the spread of a citrus greening disease. The disease, huanglongbing, has shown a 56% growth in Brazil's crops and has now spread to Louisiana, Texas and California. California has replaced Florida as the country's leading producer of oranges due to the disease's impact.
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Your next gallon of orange juice is going to cost nearly $1 more than it did last year, after bad weather and disease have slammed citrus crops.
A single gallon of orange juice cost $9.18 on average for the four-week period that ended on Oct. 7; during the same period in 2022, a gallon went for an average of $8.20, according to the Florida Department of Citrus. When compared to 2019, when a gallon cost just $6.99, prices have jumped more than 31% over the past four years.
Orange juice prices have been steadily climbing over the past year as stocks of citrus crashed. U.S. producers of orange juice concentrate had roughly 325 million pounds of stock in July, down from around 500 million pounds during the same time in 2022, according to the U.S. Agriculture Department.
In July 2021, U.S. producers had some 700 million pounds of concentrate stock.
One of the largest drivers of poor production has been harsh droughts in Brazil — the world's largest producer of fruit and juice — as well as the spread of a citrus greening disease in parts of that country's São Paulo and Mines Gerais states. An August study by Fundecitrus found that the disease — huanglongbing — has shown a 56% growth in Brazil's crops, Reuters reported.
The greening disease has been a persistent threat to Florida's agriculture since 2005, reducing citrus production by 75%, according to the USDA. Huanglongbing has now spread to Louisiana, Texas and California, the department said in August.
California has replaced Florida in recent years as the country's largest producer of oranges, in part because the greening disease is decimating the Sunshine States' crops, according to SuccessfulFarming.
In addition, the U.S.'s Gulf Coast is still reeling from the aftereffects of Hurricane Ian, which in Sept. 2022 unleashed yet another wave of the flooding and torrential rains that have ravaged the area's citrus fields in recent years.
"Ian’s impact on orchards is still contributing to the new price levels," Daniel Pereira, a soft commodities analyst with the agriculture research team at the London Stock Exchange Group, told The Messenger earlier this month.