**Orange Juice Crisis: Soaring Prices Force Industry to Adapt**

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Orange Juice Soaring to Record Heights Amid Supply Crisis

Get ready for a price shock at your breakfast table: orange juice has hit an all-time high, sending the industry into a frenzy. This beloved morning staple is facing dwindling supply, leading manufacturers to scramble for alternatives.

Florida’s Citrus Crisis

Florida, the U.S. orange juice powerhouse, has been battling a devastating citrus tree disease called Huanglongbing (HLB) for over a decade. Combined with extreme weather events fueled by climate change, the state’s orange output has plunged.

Brazil’s Orange Woes

As the world’s largest orange juice producer and exporter, Brazil wields significant influence on global supply. However, excessive heat last year crippled its latest harvest, leading to a 24% drop in production for the 2024-2025 season.

Oranges being collected in an orchard in Arcadia, Florida

Manufacturers Adapt

With supply constraints gripping the industry, manufacturers are forced to innovate. Commodity analyst Harry Campbell reveals that they are reducing orange juice content in their blends and exploring alternatives like pear, apple, and grape juice. This shift reflects the long-term nature of the supply shortage.

Greening and Growing Demand

Adding to the turmoil is the persistent threat of greening, a citrus tree disease that stunts fruit growth and leaves it bitter. This menace is spreading worldwide, posing a serious risk to orange groves.

Compounding the supply woes is surging demand. Consumers are less willing to give up their daily dose of orange juice, keeping prices elevated.

Orange juice on display in a grocery store in Miami, Florida

Future Outlook

Analysts see no immediate end to the supply crisis, predicting further price increases. Dave Reiter, a commodities trader, highlights the “three Ds” driving the surge: drought, disease, and demand.

The benchmark orange juice futures contract is projected to reach .16 per pound, reflecting the market’s extreme volatility.

Conclusion

As the supply of orange juice dwindles, the industry faces unprecedented challenges. Manufacturers are adapting, consumers are paying a premium, and the future of this breakfast staple remains uncertain. The “three Ds” of drought, disease, and demand will continue to haunt the orange juice market for the foreseeable future.