Usually, prices are low when volumes are high, but for the current lime market in North America, both prices and volumes are exceptionally high. The market is coming down, however, and it's expected that good volumes through the summer will bring prices down to normal levels.
"The weird thing is that we're bringing in about 400 loads of limes from Mexico every week and prices are still high," said Diego Morales of Don Limon. "North America usually brings 150 or 200 loads every week, so it's surprising that prices are up to $50.00 per 40-pound carton. Prices are normally around $20.00 per carton at this time of year."
A strong market enticed Mexican growers, in some instances, to rush out limes that were undersized, so while volumes have been high, sizes have been smaller. A strong market has also brought many lower-grade limes across the border into the United States. Once across the border, American packers sort out the lower grade fruit and send them into a secondary market. Even that secondary market has been hot, with prices per 40-pound carton reaching up to $25.00.
"The market is unstable at the moment, and nobody really knows what's going on," noted Morales, though he expects this market won't last too much longer. "Consumption will get better in the United States as the weather gets better, but I do expect prices to drop at the end of the month. We will have good volumes through June and July, so prices should fall drastically into the $10.00 to $15.00 range."
