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-   -   Our Local Produce Auction (http://www.tomatoville.com/showthread.php?t=42413)

Hellmanns August 1, 2016 08:42 PM

Our Local Produce Auction
 
The goodies are really starting to roll in. All the produce in this line is locally grown.

Funny story from there a few years ago.. There was a whole pallet of strawberries in line to be auctioned, but were just a little on the soft side. All of the older ladies were really interested in them, but they needed to be worked up pretty fast given their condition. When they were being auctioned all of the ladies gathered 'round with interest, but an old feller just kept out bidding them and had the high bid. After the bidding was over a little old lady went up to the old feller and said, "what are you going to do with all them berries, make preserves?" Old feller replied, "call it whatever you want, but it'll eventually end up in quart jars."

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[URL=http://s243.photobucket.com/user/barney097/media/IMG_20160801_182142_zpsoziuk8h1.jpg.html][IMG]http://i243.photobucket.com/albums/ff95/barney097/IMG_20160801_182142_zpsoziuk8h1.jpg[/IMG][/URL]

Cole_Robbie August 1, 2016 08:52 PM

Neat pics. Those are 25 pound boxes of tomatoes, right? Do you have any idea what they are going for? Just curious, thanks.

Hellmanns August 1, 2016 09:17 PM

[QUOTE=Cole_Robbie;583505]Neat pics. Those are 25 pound boxes of tomatoes, right? Do you have any idea what they are going for? Just curious, thanks.[/QUOTE]

Most of the grade tomatoes go into #10 boxes, lower grade and canners go into 20-25 lb. boxes. Most times.

I know this won't help, but prices are all over the board, in the same sale I've seen 10 lb. Boxes go for as much as $30, and tomatoes that are just as good go for $3 or $4 . Generally, a 20-25 lb. Box brings $8-18. and a 10lb. Box brings $7-16.

I'll pay closer attention Thurs. night, the next sale.

I have done really good there over the years, but people trust me and buy my maters with confidence. I learned years ago that there was way less work selling at an auction, compared to a farmers market. I can work full time, and still sell at the auction, where there is no way I could work and sell at a farmers market...

gothicgardens August 1, 2016 09:53 PM

In our area we have a Amish produce auction. If you are not the first one to have a vegetable it doesn't pay to sell there. The area grocery store chains have buyers at the auction paying rock bottom prices but not passing it on to the consumers. Some prices from today No. 1 tomatoes average price of $4.50 for a 10 lb box, sweet corn average price per dozen $1.00, and green beans 1/2 bushel $4.95. Seller has to buy box or bags from the auction company plus pay 10% commission that also has to be subtracted from above prices.

Cole_Robbie August 1, 2016 10:12 PM

Thank you both for the price information.

tash11 August 1, 2016 10:14 PM

Around here I have seen 10# box go for as low as $1-$3, but they seem to do more like $5-8 or so. Cherries seem to be about $1-2/pint, but sometimes as low as a quarter.

Now peppers can be $6-8 a peck (about 8-16 peppers depending on size) for colored ones. Superhots get up there even for just a single pint.

I haven't been yet this year but I checked the market report and this is what they have been up to recently:

peck bells 2.00- 6.00
bushel bells 1.00-8.50
peck hots 2.00- 8.00

10# tomato- 1.25- 17.00
10# green (unripe) tomato- 2.00- 9.00
10# yellow tomato- 7.00- 17.00
pint cherries .25- 1.70
˝ bushel canners 1- 10.00

That's from the past week (four auctions). I am sure some of the variation was sellers bringing different quality and some was buyers.

What kind of buyers do you usually get? The auction here seems to have a mix of locals getting stuff to put up, and commercial buyers who can be split into the ones who will make things (like salsa) and ones who just go and resale at parking lot 'farmers' stands and a few from grocery stores.

Hellmanns August 2, 2016 10:46 AM

[QUOTE=tash11;583527]Around here I have seen 10# box go for as low as $1-$3, but they seem to do more like $5-8 or so. Cherries seem to be about $1-2/pint, but sometimes as low as a quarter.

Now peppers can be $6-8 a peck (about 8-16 peppers depending on size) for colored ones. Superhots get up there even for just a single pint.

I haven't been yet this year but I checked the market report and this is what they have been up to recently:

peck bells 2.00- 6.00
bushel bells 1.00-8.50
peck hots 2.00- 8.00

10# tomato- 1.25- 17.00
10# green (unripe) tomato- 2.00- 9.00
10# yellow tomato- 7.00- 17.00
pint cherries .25- 1.70
˝ bushel canners 1- 10.00

That's from the past week (four auctions). I am sure some of the variation was sellers bringing different quality and some was buyers.

What kind of buyers do you usually get? The auction here seems to have a mix of locals getting stuff to put up, and commercial buyers who can be split into the ones who will make things (like salsa) and ones who just go and resale at parking lot 'farmers' stands and a few from grocery stores.[/QUOTE]
We have a unique produce auction, in that we auction in small quantities with the high bidder having the option to buy the whole lot. This type auction draws people who just want a single mess of something like a farmers market would.

Another funny story..
One year an Amish kid about 10 years old had cleaned his garden up and brought several items to auction, beans, corn, a few tomatoes and such. In the kids lot was a pint container that had a single tiny broccoli spear laying in the bottom of the container. Being it was August, and hot and dry, the little spear sure didn't look good. The auctioneer grabbed the container and started it out at 50 cents. Not a single bid after trying and trying to get a bid. The auctioneer then told the crowd to help the kid out, WHO will give something for the broccoli. Finally a lady bid 25 cents, then someone uped the bid to 30 cents, then .50, then .75.. .that little spear of broccoli ended up bringing $29!:twisted:

tash11 August 2, 2016 12:39 PM

[QUOTE=Hellmanns;583618]We have a unique produce auction, in that we auction in small quantities with the high bidder having the option to buy the whole lot. This type auction draws people who just want a single mess of something like a farmers market would.

...[/QUOTE]

The auction I go to does that too which is also part of the price variation. There are two auctioneers going at once, one in the 'small lots' and one in the 'large lots'. The small lots can be any number of pecks (rarely see 10# boxes but it's not unheard of) put up for sale and the top bidder picks how many they want, then 2nd highest bidder picks how many pecks they want (at top price) and so on. At the end the small lots auction they do table lots which is single quarts and pints and even single watermelon and cabbage and such. Eggs are up there too. The "large lots" can be a few hundred watermelon down to a couple pecks of peppers or whatever. No splits. They also allow repacks in the small lots but it has to be marked as such.



That funny about the broccoli.
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PureHarvest August 2, 2016 03:25 PM

The auction near me is no way to make a living.
25# boxes of tomatoes brought $8-10 yesterday.
1/2 bushel box of jalapenos $7
Watermelons $2.25
1/2 bushel box of yellow squash $5
Cantaloupes $1.30

I often wonder if people that want to get into the game of market growing (while looking at the pictures of tidy green rows of crops and romancing the idea of living the farm life) seriously consider volume, price and their distribution options when they decide to jump in.
Think of how many boxes of tomatoes you have to move at $10 each to [B]NET[/B] just $1,000 by the end of the season. How many plants will that take? How much cost (including your time) goes into the production and harvesting of those plants?
I am in awe of anyone that makes a living solely by growing vegetables on a non-industrial scale.
Then there is that sweet spot where you find a production system that works for you and a distribution channel that pays you what need and more to make the money that is worth working for...

Starlight August 2, 2016 03:31 PM

Thanks for posting the pictures. I've never seen a produce auction before. I don't even think we have such a thing around here. I know some produce vendors that go to market go to Atlanta to the big warehouse market and buy stuff to resell. Lots neat to see actual farmers selling stuff.

Awwwww. Cute story about the broccoli. Probably made that child's day for sure. : )

Hellmanns August 2, 2016 08:54 PM

[QUOTE=PureHarvest;583724]The auction near me is no way to make a living.
25# boxes of tomatoes brought $8-10 yesterday.
1/2 bushel box of jalapenos $7
Watermelons $2.25
1/2 bushel box of yellow squash $5
Cantaloupes $1.30

I often wonder if people that want to get into the game of market growing (while looking at the pictures of tidy green rows of crops and romancing the idea of living the farm life) seriously consider volume, price and their distribution options when they decide to jump in.
Think of how many boxes of tomatoes you have to move at $10 each to [B]NET[/B] just $1,000 by the end of the season. How many plants will that take? How much cost (including your time) goes into the production and harvesting of those plants?
I am in awe of anyone that makes a living solely by growing vegetables on a non-industrial scale.
Then there is that sweet spot where you find a production system that works for you and a distribution channel that pays you what need and more to make the money that is worth working for...[/QUOTE]
I made a living growing produce, mainly tomatoes, and sold them through that auction for several years. I now play around with tomatoes, and still make more than I should compared to the fun I have doing it.

For one, if a person can't make money selling their products at going market price, they are in the wrong business. For two, if one values their products above market price they are in the wrong business. For three, if a person makes less than he spends producing a product, he needs to get a bigger truck, or learn more about the product he is producing.

When I was at my prime growing tomatoes for market, I roughly estimate that I had a return of $100 for every $10 spent, maybe more certain years.

Worth1 August 2, 2016 09:12 PM

I have a friend that worked where I worked and hated it as much as I did and wanted to be with his children.
He bought a small farm and continued working for awhile.
Then he quit went home for good got a job and started using his farm to make money and feed his family.
He is now doing so well he quit the day job he had and is working full time on the farm and doing great.
He didn't know hardly anything about it and was in his 30's when he started.
He is now butchering his own hogs and cattle at home making lard and everything including a milk cow and his kids are right there learning and helping.
They grow flowers vegetables and fruit to sell and everything that place can produce.
It was his dream to do this.
One thing is for sure those kids are going to know where food comes from and what work is.

Worth

Hellmanns August 2, 2016 09:48 PM

[QUOTE=Worth1;583828]I have a friend that worked where I worked and hated it as much as I did and wanted to be with his children.
He bought a small farm and continued working for awhile.
Then he quit went home for good got a job and started using his farm to make money and feed his family.
He is now doing so well he quit the day job he had and is working full time on the farm and doing great.
He didn't know hardly anything about it and was in his 30's when he started.
He is now butchering his own hogs and cattle at home making lard and everything including a milk cow and his kids are right there learning and helping.
They grow flowers vegetables and fruit to sell and everything that place can produce.
It was his dream to do this.
One thing is for sure those kids are going to know where food comes from and what work is.

Worth[/QUOTE]
That is exactly what I wanted to do for my kids, and at this point, I have succeeded.

My best friend of to many years to count watched me for years. He didn't know anything about farming, or produce when we met. Now, he and his family, including grandchildren have a hugely successful produce business.

A buyer, and friend of my best friend, asked him how long he had been growing produce because he was so impressed with the abundance, and quality of his offerings. He told the guy "about 8 years now".. The guy said NO WAY you learned all this in 8 years! My friend told him he had 20 years experience before he even started. When the guy told me what my friend had told him, it nearly broke my heart.:yes:

Cole_Robbie August 3, 2016 02:01 AM

The median income of a small farm in the US is a negative number. Most farms are used as tax shelters.

PureHarvest August 3, 2016 07:06 AM

Not saying it doesn't small farming never works, but the current push by USDA, extensions, organizations etc to get new/young farmers in the game I think are misleading to many aspiring farmers.
It can be done, but for many, volume and distribution crush the small farmer.
Many niches are saturated and the farmer's market fad is absolutely a bubble here that will burst at some point.
The age old wisdom of finding your market first and then planning your farm production still applies. This assumes you have run crop budgets and know what it will take to hit your goals. I don't see enough emphasis on this from the entities promoting new farmers.
Lots of info on production systems/techniques and grants/programs and fluff, but little in the way of running a biz/accounting/budgets/taxes etc.

Ricky Shaw August 3, 2016 07:51 AM

Hobbyist's drag down the local auctions, that's what cattlemen say here. Same deal for dirt farmers I'd imagine, competing against people who don't need the money so much as the tax diversion.

BigVanVader August 3, 2016 07:53 AM

Being someone just now getting into the whole growing fro profit thing I have to say it is a little disheartening to see 10# boxes of tomatoes go for 8$, and last year there was such a huge influx of tomatoes from NC that the farmers stopped picking tomatoes to sell because the price was down so low.

I can certainly see why it is more appealing to just do re-sale since you would likely make more than if you grew and sold it anyway. There doesn't seem to ever be organic produce at the auctions though since it cant compete with pricing of conventional.

Hellmans it looks like you just grew red hybrids? I saw in one post you said you made millions selling produce. Care to explain how? I really enjoy growing and would like to do it full time but I'd need to make a lot more money for that to be reality.

tash11 August 3, 2016 08:36 AM

[QUOTE=BigVanVader;583906]...
I can certainly see why it is more appealing to just do re-sale since you would likely make more than if you grew and sold it anyway. There doesn't seem to ever be organic produce at the auctions though since it cant compete with pricing of conventional.
....[/QUOTE]


There are a TON of resellers here. One just built a sales 'barn' on a busy road going into a richer area. Don't know how they will do as that richer area is known to be cheapskates. They have a good image with the 'barn' and some pumpkins growing in the acre next to it. All their FB posts on the local groups focus on 'local'. But their pics look exactly the same as the auction.
The local apple orchards buy their squash and flowers from the auctions too.
And I have seen at least one person at the farmers market in town not even take things out of the peck boxes they got at auction. Most farmers markets have rules about no reselling.

I do see organic or chem free at our auction sometimes. Because of the spots though it goes for next to nothing. Like the 8 pecks of apples I got last year for $2 a peck because they had some flyspeck on them. Tasty though. Probably from someones backyard tree that they just ignore until harvest.

There used to be an organic you pick apple farm near me. But they stopped doing that and focus only on cider now because of the appearance issue. Apparently people really do care about spots on their apples.....

Hellmanns August 3, 2016 09:18 AM

[QUOTE=BigVanVader;583906]Being someone just now getting into the whole growing fro profit thing I have to say it is a little disheartening to see 10# boxes of tomatoes go for 8$, and last year there was such a huge influx of tomatoes from NC that the farmers stopped picking tomatoes to sell because the price was down so low.

I can certainly see why it is more appealing to just do re-sale since you would likely make more than if you grew and sold it anyway. There doesn't seem to ever be organic produce at the auctions though since it cant compete with pricing of conventional.

Hellmans it looks like you just grew red hybrids? I saw in one post you said you made millions selling produce. Care to explain how? I really enjoy growing and would like to do it full time but I'd need to make a lot more money for that to be reality.[/QUOTE]

The millions was sarcasm, I thought the emoji spoke for that. Sorry.

I grew 2 high quality red hybrids for the bulk of my sales, and a bicolor to round it out. I also learned to avoid having peak production this time of year. I started growing in a tunnel about 30 years ago, and would have a crop that commanded top dollar because no one else had any. I would also plant a main crop to mature about the time everyone else's was ending. Those two things along with paying strict attention to quality helped more than anything to turn a profit.

The two hybrids I grew were the best I could find in regards to flavor, and productivity, and I became very familiar with them to get maximum production of high quality fruit. I always picked vine ripe fruit too, and learned to handle it to keep it perfect.

BigVanVader August 3, 2016 10:29 AM

[QUOTE=Hellmanns;583920]The millions was sarcasm, I thought the emoji spoke for that. Sorry.

I grew 2 high quality red hybrids for the bulk of my sales, and a bicolor to round it out. I also learned to avoid having peak production this time of year. I started growing in a tunnel about 30 years ago, and would have a crop that commanded top dollar because no one else had any. I would also plant a main crop to mature about the time everyone else's was ending. Those two things along with paying strict attention to quality helped more than anything to turn a profit.

The two hybrids I grew were the best I could find in regards to flavor, and productivity, and I became very familiar with them to get maximum production of high quality fruit. I always picked vine ripe fruit too, and learned to handle it to keep it perfect.[/QUOTE]

AKMark said the same thing about being first to market with tomatoes, and I was this year but not in the quantity needed. I saw you have Big Beef growing, I grew Big Beef this year in my little tunnel and the production is impressive but it seems everyone around here grows R&R hybrids so I could only make money from them as early crops. My goal is to grow heirlooms in tunnels organically AND be first to market. Growing under plastic makes it so much easier here in the land of constant rain/high humidity.

zipcode August 3, 2016 11:12 AM

I'm surprised anyone amateur can still be there first-ish to market. Looks like the commercial growers there are really lagging behind the times.
What I learned selling on ebay is: auction is risky and usually sells for a lot less. Of course, with stuff that goes bad if not sold it may be the only way sometimes.

BigVanVader August 3, 2016 12:03 PM

[QUOTE=zipcode;583946]I'm surprised anyone amateur can still be there first-ish to market. Looks like the commercial growers there are really lagging behind the times.
What I learned selling on ebay is: auction is risky and usually sells for a lot less. Of course, with stuff that goes bad if not sold it may be the only way sometimes.[/QUOTE]

I was really surprised as well. Luckily it is a producer only market and none of the sellers grow in high tunnels. The high tunnel growers sell wholesale because they normally only grow a couple of crops and most actually only grow tomatoes or flowers since the most money is there. Plus we had late frost and I heard a few vendors lost all their early plants.

I used a combination of starting my plants in January and up potting till plant out then used reflective mulch and weekly fertilization to speed up ripening. It worked well and If I had a heated high tunnel I could likely be the first at that market by a month or more.

They were selling tomatoes at a nearby produce auction long before I was, but resell isnt allowed at my market and the vendors get really pi$$ed if anyone tries to cheat. It helps that some of the smaller growers are on the board and will make farm visits anytime they get complaints or something seems awry.

Cole_Robbie August 3, 2016 02:02 PM

Reselling isn't supposed to be allowed at my market, but exceptions are made, off the record, to resellers who are not competing with members. For example, a few years ago, after a very cold and wet May, someone had a truckload of sweet corn on Memorial Day weekend. The field corn was knee-high at best by that point. The idea of local sweet corn existing was a complete joke to anyone who has ever grown it. Asking the sellers where it was grown was funny. "Cairo, " they said. uh-huh, maybe that's where the corn crossed into Illinois.

I asked my grandpa about it. He said they let them in that weekend because no one else had sweet corn, and it was good for the market that they were there.

I wish I could get demand for a late crop, but it just doesn't seem to be anything like the spring. People are sick of tomatoes.

And I'm familiar with the idea of finding the market for a product before you grow it. But buyers want to see what you are selling. I'm not going to be able to get a produce manager at a grocery store to commit to buying something I don't have...next year. They don't know if a product is any good, or even that I will be able to grow it, based upon words alone. So it's a chicken and egg problem. Which comes first, the buyer or the product? It's hard to sell it until you have it, but that's the opposite of the 'find a market first' advice.

PureHarvest August 3, 2016 03:53 PM

I hear you loud and clear Cole. I meant dropping big money on equipment, gear, or land, and planting like a couple of acres your first year without working out the harvest and distribution a market.
By all means, grow what you intend to sell on a trial scale and take a sample box to those you want to sell to. Then ramp up accordingly.
I can't imagine showing up to get someone's business with a brochure or business card and the offer to supply a year from now.
And if they say, "I'll take 15 boxes a week", tell them you already have commitments for this year's crop but are expanding to serve them next year.

PureHarvest August 3, 2016 04:06 PM

[QUOTE=Hellmanns;583920]The millions was sarcasm, I thought the emoji spoke for that. Sorry.

I grew 2 high quality red hybrids for the bulk of my sales, and a bicolor to round it out. I also learned to avoid having peak production this time of year. I started growing in a tunnel about 30 years ago, and would have a crop that commanded top dollar because no one else had any. I would also plant a main crop to mature about the time everyone else's was ending. Those two things along with paying strict attention to quality helped more than anything to turn a profit.
[/QUOTE]

This is exactly what I have concluded after this season so far!
You are absolutely correct Hellmanns.

Growing one long crop from early May to frost makes no sense for me.
I am gonna do a very early crop next year and set them into a heated high tunnel in Mid-February. Hope to harvest from May to mid-July. By the time the heat rolls around in late July, my next crop will be coming on in the vegetative stage. So no fruit to split, or blossoms to drop.
Combined together, I hope to yield more for the year from 2 crops than one long crop that has to struggle through the heat at some point with new blossoms or fruit load.
I also think I can get the premium on the early stuff. Nobody has local tomatoes in may or June here commercially.
My buyer will have to go elsewhere for late July to August, but that is fine, he's a broker and that's his job and he knows how to get product if need be. Plus, there are plenty of tomatoes around then.

Starlight August 3, 2016 04:17 PM

Curious.... What do you do at the auctions if nobody buys your stuff and you have all that produce in a box?

Are the veggie auctions like hard good ones where you set a min on your product that has to be met first?

Does anybody do CSA's anymore to take to market for pick up or have they gone out of style.

Hellmanns August 3, 2016 04:52 PM

[QUOTE=Starlight;584059]Curious.... What do you do at the auctions if nobody buys your stuff and you have all that produce in a box?

Are the veggie auctions like hard good ones where you set a min on your product that has to be met first?

Does anybody do CSA's anymore to take to market for pick up or have they gone out of style.[/QUOTE]

You can set a minimum price, or refuse the high bid here, but I suggest not if you are trying to get established. I've seen people refuse a high bid before, then buyers wouldn't bid on their lots in the future.

Most of the people who refuse a bid are new growers who see high quality tomatoes bring a certain amount down the line. Then their not so good cracked tomatoes, or improperly graded boxes bring considerably less. So they refuse to accept. It's funny how some people are so proud of their tomatoes they actually can't see the difference in a good one, and their bruised fruit.

I've seen a bunch of folks get into growing tomatoes for profit over the years. One year is generally as long as they last.

Hellmanns August 3, 2016 05:11 PM

[QUOTE=PureHarvest;584055]This is exactly what I have concluded after this season so far!
You are absolutely correct Hellmanns.

Growing one long crop from early May to frost makes no sense for me.
I am gonna do a very early crop next year and set them into a heated high tunnel in Mid-February. Hope to harvest from May to mid-July. By the time the heat rolls around in late July, my next crop will be coming on in the vegetative stage. So no fruit to split, or blossoms to drop.
Combined together, I hope to yield more for the year from 2 crops than one long crop that has to struggle through the heat at some point with new blossoms or fruit load.
I also think I can get the premium on the early stuff. Nobody has local tomatoes in may or June here commercially.
My buyer will have to go elsewhere for late July to August, but that is fine, he's a broker and that's his job and he knows how to get product if need be. Plus, there are plenty of tomatoes around then.[/QUOTE]

Be careful starting to early, even in a heated tunnel. You will have problems with fruit set. I have found here in zone 6, that mid March is ideal for a good set on first, and second clusters.

When I was growing for a living, mid March was when I always planted. Then depending on the season, I would get ripe fruit with Big Beef anywhere from mid June to early July.

PureHarvest August 3, 2016 06:25 PM

Understood.
I am right on the line of zone 7b so that was why I was considering mid February.
Did you seed early March or transplant early March?

Hellmanns August 3, 2016 07:00 PM

[QUOTE=PureHarvest;584090]Understood.
I am right on the line of zone 7b so that was why I was considering mid February.
Did you seed early March or transplant early March?[/QUOTE]

I always seeded January to early February, and planted mid March. Some years I would still lose the first set, but the second and third clusters would make up for it.


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