PepsiCo Inc. will raise prices on its Tropicana juice line by between four and eight percent after this season’s record cold temperatures severely impacted Florida’s orange crop, the Wall Street Journal reported. The increase in pricing is similar to one taken earlier this year by rival Coca-Cola on its Minute Maid and Simply Juice brands.
This is the second consecutive year orange juice prices have risen due to weather damage. Florida’s orange crop this season came to 138 million 90-lb. boxes, down 3.4 percent from a U.S. Department of Agriculture forecast from last month, and the average price for a gallon of orange juice in the U.S. is now $5.72.
The spike in pricing also comes on the heels of waning demand for orange juice. According to the Florida Department of Citrus, citing Nielsen sales data, orange juice sales have declined eight percent since last Feb. 19.