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OPN Connect Newsletter 365 · April 4, 2024

Kings River Packing Expands Organic Citrus Program, Sees Strong Demand


After making its organic debut last season, Kings River Packing, an eighth-generation family-owned-and-operated citrus supplier based in Sanger, California, has expanded its organic offerings.

Jesse Silva, packing sales manager for Kings River, said the company decided to enter the organic space in 2022 after “careful research and preparation.”

Cal Organic May 2024

Jesse Silva, Packing Sales Manager, Kings River Packing

“With the notable success and heightened interest from retail partners, we expanded the program during the most recent season to encompass additional varieties and increased volume,” Silva said. “Recognizing the significance of organic citrus items to many consumers, this introduction enables us to offer a well-rounded citrus assortment, enhancing load capacity optimization and simplifying the purchasing process for our partners.”

Kings River Packing’s organic citrus season runs from October through August and includes lemons, grapefruit, mandarins, Minneolas, and four varieties of oranges (navel, raspberry, Valencia, and Cara Cara).

Earthbound Farms May 2024

Kings River sources its organic citrus from partner growers in California, mostly in the Central Valley, and Silva noted the growers were selected based on quality. “We have in-house field representatives that assess the fruit quality and the growing techniques involved,” he said.

The company’s customer base includes the retail, wholesale, and foodservice sectors. “Our customers vary from those who purchase bulk label products to others who prefer bagged items, encompassing both private label products and our own brands,” Silva said. “Currently, we ship throughout North America.”

Now in its second season of organics, Silva said Kings River has experienced “a significant surge in demand. Through this period, we've gained a deeper understanding of our customers' specific needs and have strategically targeted our efforts to meet those demands,” he said.

Driscolls May 2024

In particular, Silva highlighted Kings River’s introduction of a variety of pack styles for its organic citrus this season, which he said have been very successful. He noted that packaged citrus improves organic rings at retail and also reduces shrink.

Silva said the current organic citrus season has faced some challenges related to significant rainfall as well as the light sets of prior years. “The fruit that did set was notably large but unfortunately marred by thrip infestations, resulting in significant scarring that often rendered [it] unfit for packing,” he said. “These circumstances led to shorter programs, which were less than ideal. Although it hasn't been a standout year, we remain optimistic for the next season, especially considering the strong demand our program has received from customers.”

“We have in-house field representatives that assess the fruit quality and the growing techniques involved." - Jesse Silva

Organic farming is challenging in general, Silva said, due to limits on the types of interventions that can be used both in-field and in the packhouse. “We consistently confront weather-related obstacles and invasive pests, which pose continuous challenges,” he said. “Nevertheless, growers and the industry at large have demonstrated resilience in overcoming these hurdles.”

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In terms of pricing trends for organic citrus this season, Silva said he’s seen “a more competitive market environment than anticipated, with many competitors selling fruit at significant discounts.”

“While we continue to strive for competitive pricing, we recognize the necessity for maintaining a strong premium over conventional citrus to ensure viable returns for growers,” he said. “Organic production entails higher costs and requires additional effort to remain competitive, factors that we diligently consider as we navigate the market landscape. We remain committed to monitoring organic market trends closely to adapt our strategies accordingly.”

Silva said Kings River’s pricing approach is to build strong partnerships and programs with its customers.

“Our primary focus is on delivering exceptional-quality products to warrant premium pricing in the upper market segments,” he said. “However, it's important to note that pricing is ultimately influenced by overall market conditions; we operate within existing market dynamics rather than shaping them.”

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Looking ahead to its third season, Silva said Kings River will focus on the specific organic commodities that have been successful both for itself and its customers.

“Our approach will remain strategic, focusing on cultivating strong partnerships and expanding our supply capabilities in line with evolving demands,” he said. “We are committed to maintaining a progressive mindset, willing to take calculated risks guided by a clear vision of our goals. By remaining agile and forward-thinking, we aim to adapt to market dynamics effectively while staying true to our long-term objectives.”

Overall, Silva said Kings River is thrilled to have entered the organic marketplace. “As we look ahead, the future of organics promises to be intriguing and dynamic. We're excited to be part of this journey, navigating the evolving landscape and contributing to the ongoing growth and development of the organic sector.”

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