Fruit and Tree Nuts YEARBOOK -- SUMMARY                   October 30, 2007
October 2007, ERS-FTS-2007s

               Approved by the World Agricultural Outlook Board
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This SUMMARY is published by the Economic Research Service, U.S. 
Department of Agriculture, Washington, DC 20036-5831.  The text of the 
yearbook will be available electronically about 1 week following this 
summary release.
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Fruit-Bearing Acreage and Production Down in 2006; Crop Value Up

Bearing acreage dropped 7 percent for citrus and almost 1 percent for 
major noncitrus crops between 2005 and 2006, but increased 2 percent for 
miscellaneous noncitrus crops and 1 percent for tree nuts (table a-2).

Bearing acreage declined for all major citrus fruit, mostly led by the 
loss of acreage in Florida (table a-4 and various C section tables).  
Orange acreage fell in both Florida and California.  California growers 
are removing Valencia orange trees due to weak demand for the fruit.  Most 
of the grapefruit acreage loss occurred in Florida, with California and 
Arizona acreage declining slightly.  Grapefruit bearing acreage has 
remained constant in Texas since 2002/03 at 18,500 acres.  Lemon acreage 
declined by 1,000 acres in Arizona, but Californias acreage remaining 
unchanged between 2005 and 2006 at 44,000 acres, and accounted for 77 
percent of the total.  The 5-percent decline in total tangerine acreage 
was a result of fewer acres in Florida, even though California continues 
to plant more acres of different tangerine varieties that are showing 
strong popularity among American consumers.  These varieties, such as 
clementines, are at present still mostly imported.

Among noncitrus fruit crops, bearing acreage fell between 2005 and 2006 
for apples, peaches, pears, tart cherries, plums/prunes, apricots, figs, 
Hawaiian pineapples, and kiwifruit.  Some of the decline was offset by 
increased bearing acreage of sweet cherries, avocados, bananas, dates, and 
Hawaiian papaya.  The number of bearing acres remained relatively 
unchanged for grapes, nectarines, and cranberries.  

Total fruit production declined 4 percent in 2006 from 2005, totaling 30.2 
million tons, the smallest quantity produced since 1991 (table a-3).  
While citrus production was up 1 percent in 2006, it was still low 
relative to recent years, as Floridas trees still felt the effects of the 
hurricanes in 2004 and 2005 and diseases, such as citrus canker and citrus 
greening, continued to hinder Floridas production.  Noncitrus production 
fell 8 percent in 2006 from 2005, with 16.9 million tons produced.   
Smaller peach, grape, tart cherry, apricot, fig, Hawaiian pineapple, 
avocado, nectarine, kiwifruit, and papaya crops contributed to the decline 
in noncitrus production (table a-5).

Tree nut production increased 9 percent between 2005 and 2006 to 1.6 
million tons (in-shell basis) (table a-3).  Almond production set a new 
record high at 953,000 tons (in-shell basis), 23 percent above 2005 and 2 
percent above the last record crop in 2002.  Production was also higher in 
2006 for hazelnuts and macadamia nuts, but down for pecans, walnuts, and 
pistachio nuts. 

The value of the 2006 fruit and tree nuts crops reached $16.7 billion, 2 
percent above 2005 and the highest on record (table a-3).  The value of 
production rose for citrus and noncitrus fruit, but fell for tree nuts.  
Very strong demand for citrus both in the fresh and processing markets 
drove crop value up 19 percent to $2.7 billion, a record high.

Grower and Consumer Prices Up in 2006

In 2006, the index of prices received by fruit and tree nut growers 
reached 156 (1990-92=100), 19 percent above 2005 and the highest on record 
(table a-6).  Among the major fruit used to create the index, smaller 
quantities of apples, peaches, grapes, and oranges helped drive up grower 
prices for these commodities.  While production was up for both pears and 
strawberries in 2006, grower prices for both of these commodities averaged 
higher than the previous year due to strong demand for them in response to 
lower supplies of many other fruit.  While prices for grapefruit, lemons, 
and tangerines were down from 2005, they were still relatively high 
compared with previous years.  The very high citrus grower prices in 2005 
resulted from 2 consecutive years of poor crop years in Florida from 
hurricane damage. 

Partially in response to higher grower prices in 2006, the Consumer Price 
Index for fresh fruit rose 6 percent from 2005 to 315.2 (1982-84=100) 
(table a-6).  The CPI also was higher for frozen fruit and juices and for 
processed fruit.  

Consumers paid more at retail for all major fresh fruit surveyed by the 
Bureau of Labor Statistics (table a-7).  Prices increased more than 10 
percent between the 2 years for lemons, grapefruit, Valencia oranges, and 
Red Delicious apples.  

Grower Cash Receipts Fall in 2006 from Record High in 2005

While U.S. cash receipts for fruit and tree nuts fell 4 percent in 2006 
from the record high in 2005, they still totaled $17 billion, the second 
highest on record (table a-8).  Receipts for grapefruit returned to a more 
average level of $315 million, but were less than half the value received 
from the 2005 crop.  Orange and tangerine receipts also declined in 2006, 
but not by the same degree.  While cash receipts fell 8 percent for grape 
growers in 2006, to $3.3 billion, grapes still accounted for about a fifth 
of total cash receipts.  Almond cash receipts fell from $2.5 billion in 
2005 to $2.0 billion in 2006, a 19-percent decline.  On the other hand, 
cash receipts increased 22 percent for apple producers to $2.1 billion, 
making them the second-highest ranking in terms of cash receipts after 
grapes, and replacing almond producers who ranking dropped from second in 
2005 to third in 2006.  Rounding out the top 5 were orange producers, with 
cash receipts at $1.8 billion, 8 percent less than in 2005, and strawberry 
growers, with cash receipts of $1.5 billion, 9 percent above the previous 
year and the highest on record.

Per Capita Fruit Consumption Down in 2006; Nut Consumption Up

Total per capita fruit and nut consumption average 275.9 pounds in 2006, 
down 2 percent from 2005, and the lowest since 1995 (table a-1).  The 
decline was led by reduced consumption of most grape and orange products, 
2 of the most popular fruit in the American diet.  Contributing to the 
lower use for these fruit was lower production in 2006 which was not fully 
compensated for by imports.

Fresh fruit:  Per capita fresh fruit consumption averaged 100.9 pounds in 
2006, 1 percent above the previous year (table f-36).  Americans ate 
slightly more fresh noncitrus fruit during this period, but slightly less 
citrus due to a smaller orange crop in California and smaller grapefruit 
crops in Florida and California.  Noncitrus fruit consumption averaged 
79.3 pounds per person in 2006, the third highest on record, and 2 percent 
above 2005.  Strong demand for apples and pears, blueberries, 
strawberries, cherries, kiwifruit, and tropical fruit--mangoes, papayas, 
and pineapple helped offset weak demand for fresh table grapes, peaches 
and nectarines, and plums and prunes.  Consumption of bananas, the No.1 
fresh fruit consumed in the United States, declined fractionally in 2006. 

Canned fruit:  Canned fruit per capita consumption averaged 13.12 pounds 
(processed weight) in 2006, 8 percent lower than 2005 (table f-37).  
Consumption declined for almost all the canned-fruit products, except 
apples, pears, pineapples, and plum/prunes.  Although consumption of these 
four canned fruit products were higher than in 2005, only canned pineapple 
consumption was above 2004.  Demand for most canned-fruit products has 
been declining since 2000/01, as consumers have shown increased preference 
for fresh and other processed-fruit products such as juices and some dried 
fruit. 

Frozen fruit:  Although frozen fruit consumption declined 8 percent in 
2006 from 2005, at an average of 4.03 pounds (processed weight) per 
person, demand for frozen fruit appears to continue to grow in the United 
States as it has throughout the 2000s (table f-38).  Berries, and 
strawberries in particular, make up the bulk of frozen fruit.  Although 
strawberry production was up in 2006, fewer strawberries went to 
processing.  With beginning stocks lower than anytime since 1999, a 12-
percent increase in imports was not sufficient to drive up supplies above 
last season, contributing to a consumption decline of 10 percent. 

Dried fruit:  Americans consumed an average of 2.18 pounds (processed 
weight) of dried fruit in 2006, 5 percent less than in 2005 (table f-39).  
Raisins account for about two-thirds of dried fruit consumption, rising to 
almost 70 percent of the total in 2006.  Raisin demand was strong, and was 
the only grape product to show an increase in demand for the year.  While 
raisin demand has not been as strong in recent years as it was in the late 
1980s, early 1990s when it was around 2 pounds per person each year, 
demand appears to have stabilized at around 1.5 pounds per person annually 
over the past 5 years.   Much of the decline in dried fruit consumption 
for the year appears to be due to weak demand for prunes (dried plums) (f-
34).  While U.S. production of prune variety plums was up in 2006, per 
capita consumption was half the amount of 2005.  Although both imports and 
beginning stocks were down for 2006/07, total supply was still above that 
of the past 2 seasons.  Exports were also strong, but, despite all these 
factors, ending stocks were the biggest since 2000/01, indicating supply 
was not a factor in reduced consumption.  Therefore the decline in per 
capita consumption from 0.35 pound in 2005, (and an average of 0.42 pound 
of the 5-year period 2001/02-2005/06) to 0.17 in 2006 could be seen as 
largely due to weak demand.   

Fruit juice:  Per capita fruit juice consumption averaged 7.8 single-
strength equivalent (sse) gallons in 2006, 2 percent more than in 2005, 
but below any other year since 1991/92 (table f-40).  Citrus juices 
accounted for 59 percent of juice consumption, down from 69 percent in 
2000/01.  Orange juice consumption, the No. 1 fruit juice consumed in the 
United States, fell 6 percent in 2006 to 4.13 sse gallons per person, the 
third consecutive annual decline, and over a gallon less per person than 
in 2000/01.  At the same time, grapefruit juice consumption, which has 
been declining steadily since 2000/01, increased 45 percent in 2006 from 
2005, to an average of 0.29 sse gallon per person. 

Noncitrus juice consumption increased 12 percent in 2006 to an average of 
3.21 sse gallons per person, with apple juice accounting for 69 percent of 
the total.  Much of the increase in supply available for domestic 
consumption came from imported apple juice.  In 2006, imports accounted 
for 80 percent of U.S. apple juice consumption, up from 76 percent in 2005 
and an average of about 60 percent throughout the 1990s.

Tree nuts:  In 2006, U.S. tree nut consumption increase to 3.36 pounds per 
person, 22 percent higher than 2005, but about the same as in 2004.  
Increased availability of many domestically produced tree nuts, due to the 
on cycle of many of the crops, contributed to the increase in 
consumption.  Large supplies of imported tree nuts, in particular cashews, 
brazil nuts, and pine nuts (pignolias), which together accounted for 29 
percent of all tree nut consumption for the year, were also an important 
factor in the increased consumption for 2006.