Just received a copy of the quarter ended 12/31/2011 on the cranberry crop from the CMC. This is the first quarter in the crop year, and shows the delivery of the crop.
What I find interesting, if I am looking at this correctly is that the increase in sales in the first quarter of the year is about 5.8% over the same quarter last year! Great news!
***edit*** ok, so this number was ”total sales and shrinkage” , not total sales. A good portion of this is shrinkage…what is that? I heard that the crop had some rot and low color. Does that affect shrinkage? So, yes, our overall sales, without shrink, were up, but only about 2%. Apparently the crop “shrunk” about 3%. So maybe the rest of this original post isn’t as great as I thought. ****
This follows a 7.93% increase in sales in 2010 and a 4.33% increase in sales in 2009. Look at the last page of the report for these numbers and do your own calculations. If these are indeed the correct numbers, we are seeing more sales and usage of our cranberries. We are “absorbing” in the increasing crop we are delivering. Indeed the 2011 crop just delivered was the second largest US crop in history, behind 2008, and only smaller by 131,654 barrels. Our overall inventory remains high, but can I say…manageable? with our increased sales.
I’m certainly not the CMC numbers expert. Call your CMC representative or Michelle Hogan at the CMC if you have any specfic questions.
Overall though, I think these numbers are good. They show that our sales and usage is increasing. Certainly, this is due to the low prices of cranberries and processors are finding new ways to use cranberries. This is better than the alternative (meaning the prices are low and processors can’t figure out how to use them) So, I call this a win. Now I’m off to find out how all of the above figures into the auction prices. The OS concentrate auction is today. Stay tuned.