Turkey was the top supplier of sultanas this season
Suppliers in China uniformly report that sales have dropped this season. They are pointing the finger at Turkey, where prices are at their lowest point in years. The drop in price could be one of the factors which have led to the increased global imports from Turkey in 2016. Sales to Germany even rose by 80% as compared to 2015. Exports to the UK, however, remained on a relatively stable level.
Exports have considerably increased
Turkey has so far sold more than two thirds of the 2016 production and buyers are urged to hurry in securing purchases. Almost 125,000 mt have been shipped abroad since the beginning of the season, 40% more than last year.
Possible increases in price
Turkish prices for raw sultanas have increased to a level of 3.80-4.30 TRY/kg, which has not yet produced any effects on the export prices. The farmers want to gain as much profit as they possibly can from their remaining supplies. Since many suppliers have already closed contracts there currently is no need for buyers to worry about higher prices. The weather conditions in March and April are decisive for the further development of prices in the current season since frost could have a potentially severe impact on the crop. Market participants currently estimate a production of 250,000 mt, which may be less than last season but still satisfactory.