FOOD

Why is orange juice so expensive right now? The reason behind the increase in price of OJ

The price of orange juice in the United States has skyrocketed, reaching record highs due to a poor harvests ravaged by climate change.

Florida, the leading orange-producing state in the US, has been hit hard by hurricanes, droughts, and freezing temperatures, severely impacting its orange crop yields. As such, its value in the market has increased by over 250% over the last three years.

The 2022-23 season saw Florida’s orange production plummet to just 15.7 million boxes, a staggering 62% decrease from the previous season and the lowest level since the 1930s. This dramatic decline is largely attributed to the devastating effects of Hurricane Ian and Hurricane Nicole, which caused significant damage to orange groves.

Additionally, the citrus greening disease, an incurable bacterial infection spread by an invasive insect, has been ravaging orange trees in Florida. Infected trees typically die within a few years, leading some producers to abandon farming and sell their land.

Brazil’s Struggles and Global Impact

With Florida’s production dwindling, the US has become increasingly reliant on imports, primarily from Brazil, the world’s largest orange juice producer.

However, Brazil has also faced challenges due to extreme weather events like droughts and heatwaves, exacerbated by climate change. The 2024-25 season is projected to see a 24% decline in Brazil’s orange production compared to the previous cycle.

The combination of reduced supply from both Florida and Brazil has created a global shortage of oranges, driving up prices for orange juice worldwide.

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