Cyclospora outbreak dents lettuce sales, boosts local markets

Michigan health officials have cleared shoppers to buy lettuce again, but the impact of the cyclospora outbreak continues to ripple through the produce industry. The FDA has traced the outbreak, which has now spread to 15 states, to iceberg lettuce from Taylor Farms operations in central Mexico. Michigan has been the hardest hit, reporting over 12,000 cases and two deaths.

Consumer confidence in fresh produce has taken a hit beyond just the recalled items. Data from NielsenIQ shows US fresh lettuce unit sales fell 9% in the week ending July 18. The parasite causes gastrointestinal distress, including diarrhea and nausea.

At Sunrise Market in Au Gres, Michigan, owner Angie Bussinger says sales have not rebounded despite the state's all-clear. She notes that many customers are unaware of the updated guidance and expects anxiety to persist for weeks. The caution has also affected berry sales, as shoppers acted on online rumors about seeded fruit.

Bussinger has kept her salad aisle mostly empty, wary of the sales slump seen by chains like Taco Bell. Foot traffic at the fast-food chain was down over 11% in early August, and salad chain Sweetgreen has projected a 7-8% decline in comparable sales for the year.

Reactions vary across the region. At Steve's Country Market in Harrison, Michigan, night manager Tammy Hayes says romaine sales have been stable, with regulars treating the outbreak as a passing concern. In Wisconsin, some stores are discounting affected products, and many shoppers are taking advantage of lower prices.

Meanwhile, local and farmers markets are seeing a surge. The Farmers Market Coalition reports sales up 15-30% as consumers seek alternatives. At New York City's Union Square market, vendors say shoppers are gravitating toward locally grown options. Argus Farm Stop in Ann Arbor, Michigan, which sources directly from nearby farms, reports lettuce is selling quickly as farmers struggle to meet demand.