Staple of the American Breakfast Table Is Disappearing
August 31, 2016
used to be the beverage of choice at neighborhood potlucks
and the breakfast table.
now demand for frozen concentrated orange juice—and
even its "ready to serve" version—is waning
as consumers begin sitting down for breakfast less,
while other beverages, such as smoothies and energy
drinks, grow in popularity, the Wall Street Journal
with disease and weather, those changing tastes have
sent Florida's orange harvest toward a 52-year low.
The Sunshine State is the U.S.'s main supplier for O.J.
and the world's second largest behind Brazil.
one analyst says the real culprit is one that runs counter
to the way orange juice has been marketed for years:
It's bad for you.
The largest issue is the view and some of the scientific
evidence that orange juice is actually unhealthy for
you due to the high fructose sugar content," Shawn
Hackett, CEO of Hackett Financial Advisors, which specializes
in agricultural commodities, told Fortune. " That
generational change in perception has made consumers
question why they should pay a high price for an unhealthy
2015, the U.S. Department of Agriculture proposed new
guidelines for daycares in 2015 that would prohibit
fruit juices from being served to children under 1 year
shift in perception isn't affecting only the U.S. Primary
schools in the U.K. have banned fruit juices, while
the British government's leading obesity advisor has
warned that fruit juice contains as much sugar as Coca-Cola,
and has called for a tax on the product. The Australian
Capital Territory Government also banned the sale of
fruit juices and soft drinks in Canberra public schools
orange consumption slipped in the 2015-2016 fiscal year,
according to the U.S. Agricultural Department.
on Wall Street, the once flourishing frozen orange concentrate
market seems to be headed toward extinction, Hackett
told Barron's. The concentrate began trading as a soft
commodity in the 1940s, and was served as the primary
breakfast drink until the 1980s, when "ready to
serve" juices were invented. Now the number of
futures contracts is down about 70% from its high in