Business

USDA decreases estimate of Florida orange crop

LAKELAND -- The U.S. Department of Agriculture on Tuesday lowered its estimate of the 2015-2016 Florida orange crop by 7.5 percent, or 6 million boxes, to 74 million boxes.

The USDA dropped 3 million boxes off early-mid varieties, now pegging them at 37 million boxes and 3 million boxes off Valencias which put that variety at 37 million boxes as well.

"The lower estimate is a stark reminder that the Florida citrus industry is in the fight of its life," said Michael W. Sparks, executive VP/vice president and CEO of Florida Citrus Mutual. "It also shows how desperately we need more trees in the ground to help maintain the existing infrastructure."

The organization of citrus growers is asking Congress to help the citrus industry.

Rep. Vern Buchanan (R-Longboat Key) introduced a bill last week dubbed the Emergency Citrus Disease Response Act which allows growers for the next 10 years to immediately deduct the cost of planting new citrus instead of the standard 14 year depreciation period under the current IRS rules.

The change is designed to help increase citrus production.

"We are asking Congress to support a tax measure ... that would incentivize growers to plant more citrus trees," Sparks said.

Florida growers are now battling citrus greening a bacterial disease. It attacks the vascular system of a tree and can kill it within two years. Citrus greening is endemic to Florida and has reduced production more than 50 percent over the past decade.

The USDA makes its initial estimate in October of each year and revises it monthly as the crop takes shape until the end of the season in July. The USDA said the final 2014-2015 Florida orange crop tallied 96.7 million boxes. The USDA's estimate of the 2015-2016 Florida grapefruit crop decreased 100,000 boxes to 12.2 million boxes and specialty fruit dropped 50,000 boxes to 2.15 million. The yield for frozen concentrate orange juice is 1.58 gallons per 90-pound box.

This story was originally published November 10, 2015 at 5:23 PM with the headline "USDA decreases estimate of Florida orange crop ."

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