About a week ago, tropical storm Alberto came through Central Mexico and affected the growing areas of different produce items, including hot peppers. It was the first storm of the Atlantic hurricane season and brought heavy rains. "While the rain was very much needed, the muddy fields delayed production and we are left with some damage as well," says Jimmy Garza with Bebo Fresh. "It created inconsistency in the supply chain."

However, the most damaging was a hailstorm that came through the region prior to tropical storm Alberto. "It wiped out all 80 acres of hot peppers we have in that area," commented Garza. Sometimes, a hailstorm will damage young plants, but this time around, it was a total loss. "We had to pull out all the plants and moved production to a different area. This created a gap in supply." All in all, Central Mexico has been struggling with the weather conditions this summer. "We will continue to pray for good weather throughout summer, so we can fulfill our contracts," Garza said.

High prices
As a result of harvest delays and a production gap, the market is up. The majority of hot peppers currently run in the low $30s or high $20s for a standard bushel box. This includes Jalapenos, Poblanos, Serranos, etc. Anaheims are even more expensive as they are closer to $40 at the moment. "These wholesale prices are about 30 percent higher than normal. Usually, we see pricing in the teens and up to mid $20s."

Demand for hot peppers is steady and will pick up in the course of this week. "We expect a good pull for the 4th of July holiday and increased orders will be starting this week," shared Garza. As a result of increased demand, prices could go even higher.

Production of hot peppers will continue in Central Mexico through the summer and then transition to the West.

Source - https://www.freshplaza.com