Orange juice futures fell Friday after the U.S. Food and Drug Administration (FDA) said that fungicide found in Brazilian exports was not a public threat and would not affect supply.
Futures for March delivery were down two percent to $2 per pound in Friday morning trading in the third straight day of declines. The futures had previously hit a record high of almost $2.27 in January.
The FDA said on Thursday the presence of the fungicide, the chemical carbendazim, would not require a recall. Levels were of the chemical were found to be less than 80 parts per billion guideline set by the Environmental Protection Agency.
In January, the FDA reported that the fungicide had been found after Brazilian growers used it to spray oranges. The chemical is banned in the U.S.
Chemicals have also been found in other juices. In November, Consumer Reports said that 10 percent of 88 samples of apple and grape juice had arsenic levels that broke federal guidelines.