Florida orange growers have seen their production drop more than 70% the last 5-7 years due to a combination of factors. Citrus Greening has been the big culprit and hurricane Irma did not do Florida citrus growers any favors last year. However, this year, we began predicting last June that Florida citrus growers would likely be safe from any major hurricane disaster. It was certainly a close call, of course, as NW Florida saw one of the worst October hurricanes in modern history.
So why were we bearish orange juice futures several months ago and advise to our newsletter clients a likely fall in prices below the $140 area? Register for our FREE report, here
A 17% rebound this year in Florida orange production (read here)
Brazil rainfall has increased during this critical time for the bloom. After a reduction in Brazil production last year, this year’s crop is getting off to a much better start. Brazil, has of course taken over as the #1 producer of Oranges over Florida, many years ago
Demand for orange juice has been falling for years, as more people drink alternative drinks like cocoanut water