It is becoming increasingly difficult to find pineapples in the fruit juice and tinned goods aisle of some supermarkets. The first to be effected are the retail and discount brands. La Laiterie Saint-Denis de l'Hôtel (LSDH), the main retail brand supplier has had to completely stop deliveries to many Casino stores. Other stores, such as Système U and Métro have accepted an increase in prices (prices have increased from €0.55/litre to €0.95/litre in a year).
Emmanuel Vasseneix, President of the LSDH, explains that “If the shortage continues, our pineapple juice production will be divided by 3 or 4 this year. In the weeks ahead, there will be no more pineapple concentrate based juice in the aisles until the next harvest, in June-July.”
Due to insufficient stock, pineapple suppliers (Dole, Del Monte, Florida Products…) are prioritising the fresh juice market (pure juice followed by concentrate-based). “There is not enough for everybody”, says Emmanuel Vasseneix, “The more premium juices, which are sold for more, will be less concerned”. Last year concentrate prices went from $1,500/ton to $3,800/tons and pure juice increased from $850/ton to $1,500/ton.
The shortage is due to climate conditions; heavy rain and El Nino affected harvest in the main production countries, Thailand and the Philippines (which supplies the tinned market). Pineapple production in Thailand is also in competition with rice or rubber production which is more lucrative and is replacing the pineapple fields. The shortage in Costa Rica (main supplier of fresh pineapples) is due to the government wanting to keep soil and not plant more acreage. The situation is no better in Kenya, where Del Monte Foods (one of the main fresh and tinned pineapple suppliers) has thousands of hectares that were not producing. They had to shut their factory for four months before Christmas. Not only has the weather stood in their way, but the lease on their factory has not been renewed.
Meanwhile, fresh pineapple juice demand has surged in some countries such as the USA, as fruit juices are in fashion. This and the unfavourable exchange rate linked to the increase in the dollar are factors leading to a surge in prices over the last 18 months. The sector hopes the next harvest will bring more stability with it.