Published May 31, 2024 6:00am EDT
Orange juice makers consider using alternative fruit as prices skyrocket
Orange juice makers are getting squeezed by high prices
By Megan Henney FOXBusiness
A global shortage of oranges that sent prices soaring has prompted some orange juice manufacturers to consider turning to alternative fruits to make the breakfast staple.
Global prices for oranges hit $3.68 per pound in April, up about 33% from the $2.76 figure recorded one year ago, according to International Monetary Fund data. That also marks a stunning 210% increase from January 2021, shortly before the inflation crisis began.
"There are three main factors driving the soaring price of orange juice, and it's drought, disease and demand," Ted Jenkin, oXYGen Financial CEO and co-founder, told FOX Business.
The spike stems from declining output in Florida, which is the primary U.S. producer, and disease and extreme weather events in Brazil, which accounts for about 70% of global production.
Orange trees in Brazil have been suffering from a disease known as citrus greening. Once infected, citrus trees produce fruits that are partially green, small, misshapen and bitter. There is no cure, and trees typically die within a few years of infection.
The disease, along with severe heat waves and drought that occurred during the pivotal phases of flowering and early fruit formation, have put Brazil on track to register one of its worst orange harvests in more than three decades, according to a new report published by Fundecitrus and CitrusBR.
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https://www.foxbusiness.com/economy/orange-juice-makers-consider-using-alternative-fruit-prices-skyrocket
