Reported about 1 year ago
Orange juice prices have surged in recent years, mainly due to a decrease in supply from major U.S. producer Florida and extreme weather challenges faced by Brazil, the largest producer. This has led some juice makers to consider using alternative fruits in their blends to reduce reliance on orange juice. Analysts predict prices may continue to rise as demand remains high and supply remains scarce, with Brazil facing its worst orange harvest in over 30 years due to abnormal high temperatures and citrus greening disease. The situation has also been exacerbated by climate change, causing frequent and severe weather events. Reiter Capital Investments trader Dave Reiter attributes the price increase to drought, disease, and demand, emphasizing Brazil's significant role in the global orange juice supply despite being less commonly associated with production compared to the U.S. states of Florida and California.
Source: YAHOO