This article has some translation problems, but I think everyone should be able to get the gist of it.
http://www.freshplaza.com/news_detail.asp?id=57710
Mexico: The frost affected 100,000 tons of citrus
At least a hundred thousand tons of orange "valencia" and grapefruit were damaged, and there was a drop of almost 50 percent in the price per ton as a result of market saturation, this was the result of severe frosts in the early days of the year in the Tamaulipas zone.
Producers of the Union de Ejidos Ctricultores, Emiliano Zapata", described the situation as desperate and accused the state and federal officials of lying when they stated that only 800 hectares were affected by cold.
"They're telling lies. They cannot say that only 800 hectares were affected, because in the social sector alone, where 2300 producers are registered, we have 10,300 hectares affected in the municipalities of Hidalgo, Guémez, Padilla and Victoria. To this figure we must add the area of private property which is also distressed," said very upset Irma Ruiz Alvizo.
For his part, Manuel Uvalle Guel, president of the citrus organization, said that there are two things that concern them most: the collapse of the price per ton for oranges, which fell from 200 thousand pesos to 550 thousand pesos, and the inability of the juice companies to acquire the citrus.
He described the problem as "scary" because although they are paying 550 dollars per ton for the product placed in the juicer, then you need to deduct 70 pesos for transportation and 350 for crews to pick them.
"In reality we have been keeping an average of 180 pesos per ton," Vazquez said.
The collapse of the price per ton, he said, are compounded by the fact that they refuse to receive the citrus from the social sector producers, because they already have their suppliers which they give preference to.
"The situation is hopeless because in addition to the low price we do not have anyone to sell to, he said.
Given the situation, the Union de Ejidos Citricultores submitted a formal application to the state and federal governments, demanding support of seven thousand dollars per hectare, to allow producers to partially compensate their losses.
I consider government intervention as urgent because of the intermediaries who are the "coyotes" who are benefiting more the problem because they buy in volume production and that enables them to earn huge profits.
SOURCE: EL DIARIO DE VICTORIA
Publication date: 1/27/2010