Shortages, high prices press garlic supply

Published 6:00 pm Wednesday, April 29, 2020

A field of garlic in Gilroy, Calif. A combination of short supply and higher demand have driven prices higher.

GILROY, Calif. — The garlic market is running hot.

U.S. retailers are experiencing garlic shortages and prices are spiking during the COVID-19 shutdowns. Growers say the pandemic was the final nudge on a row of dominos that moved the market.

Stuck at home, more people are cooking with garlic, according to retail data. Some industry leaders speculate the garlic rush is also tied to the vegetable’s health properties. But while demand is rising, supply is shrinking.

The virus caused disruptions in the supply chain with China, the world’s largest garlic producer. Argentina, another garlic Goliath, recently rerouted most of its exports to Brazil instead of the U.S. in a trade deal. And domestic-produced garlic was already in short supply after violent rainstorms destroyed much of 2019’s crop.

“All these stars lining up have really made an impact,” said Doug Stanley, garlic grower and general manager at Harris Fresh.

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According to the U.S. Department of Agriculture, one string of five garlic bulbs cost around $1.43 on average this spring — 29% more than at the same time last year.

Industry experts predict garlic imports will increase and prices will stabilize in May or June as global supply chains recalibrate and lockdowns are eased.

“There’s no need to panic-buy,” said Bill Christopher, president of Christopher Ranch LLC in Gilroy, California, one of the nation’s largest garlic producers. “I know a lot of stores are out of garlic, but it shouldn’t be for long.”

When the pandemic hit, Christopher said he suspected some consumers were buying more garlic to stay healthy.

Google Trends, a tool that analyzes top search queries, seems to confirm Christopher’s hypothesis. It revealed that in the last month, some of the most popular search terms related to garlic were:

• Garlic immune system.

• Does garlic kill viruses?

• Does garlic help fight viruses?

• Garlic antiviral.

• Coronavirus garlic.

According to health professionals, a post circulated on Twitter and Facebook advising people to make garlic soup as a “cure” for the virus. The World Health Organization called the claim that garlic could cure coronavirus a myth.

Garlic has health benefits, WHO said, and is being researched for its antimicrobial, antiviral, anti-tumor and antibacterial potential. But according to WHO’s statement, “there is no evidence from the current outbreak that eating garlic has protected people from the new coronavirus.”

With global supply chains disrupted, Americans are turning to domestic producers. California produces the most U.S. garlic, with Oregon in second place.

Growers such as Stanley say domestic garlic has a richer flavor profile and adheres to higher food safety standards, but it’s hard to compete with international prices.

In recent years, according to Mintec, a commodities data firm, China has been responsible for about 80% of the global garlic supply.

Although American garlic growers are profiting from high prices during the pandemic, they’re suffering in other ways.

Torrential California rains devastated farmers during 2019’s harvest, meaning they have fewer bulbs to sell when demand is up.

“It was Oklahoma-style rain,” said Stanley. “I lost about $2.6 million, and I wasn’t alone. Everybody out here got a taste of the poison.”

And those farmers who sell to the wholesale market, especially to restaurants, are also struggling.

Christopher said his restaurant market for peeled garlic is down about 80%, and restructuring supply chains isn’t easy because peeled garlic is harvested, packaged and shipped differently.

Even the famous annual Gilroy Garlic Festival, held in a northern California city nicknamed the “Garlic Capital of the World,” is postponed until 2021. The event typically features flame-throwing chefs and garlic-laced foods including calamari, fries and even garlic ice cream.

Despite challenges, growers say they are grateful to see high consumer demand for their products and commitment from their workers.

“Our workers are coming to work every day. They’re making the sacrifice,” said Christopher. “I hope consumers appreciate the garlic on their table as a result.”

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