The start of the imported table grape season in North America is not without its challenges as the domestic table grape season draws to a close. An abundance of white seedless grapes in California combined with a lighter early Peruvian crop is providing importers with some additional considerations. This is as opposed to last year, when producers from all regions were flooding the North American market with excess supplies.
"The start of the season is turning out to be a little more complicated than expected," said Mark Greenberg, of Capespan North America. "Last season was characterized by a start to the imported grape season that had domestic table grapes being sold well beyond Christmas, combined with an early and strong start to imports from Peru and Chile. The glut that resulted in the US market took weeks to clear up and at great cost to growers and receivers."
"This year, the early Peruvian crop is substantially lighter and the Chilean crop is later and the California domestic crop was expected to not go much beyond mid December," Greenberg continued. "It looked pretty much like smooth sailing. But the USDA grape storage report issued on December 6 shows a substantial increase in the volume of white seedless grapes in storage at the end of November and a less dramatic increase in the volume of red seedless grapes."
Retailers showing intent on California stock
Because the amount of table grapes in California is showing good supplies and satisfactory condition, retailers are showing a tendency to stick with California supply until the New Year.
"Many US retailers have indicated their intention of staying with California table grape sources through Christmas," Greenberg said. "In the case of white seedless grapes, some will continue into the New Year. The reality is that California growers will every season plan to sell grapes through Christmas and it will be the exceptional season when they fail to do so."
Greenberg observed that imports of Peruvian seedless grapes will pick up over the coming weeks. "The first of Peru’s seedless table grapes have been flowing into the US East Coast and West Coast, and greater volumes are expected in the coming weeks," he said. "Through Week 47, Peru has shipped 721 000 cases of seedless table grapes to the East Coast and another 76 000 to the West Coast. Of this, 60% are red seedless consisting mainly of Flame and Crimson. We expect imported red seedless sales on the US East Coast to pick up next week, Week 50, and continue to increase as we move toward Christmas week."
Predictions for strong Chilean season
Moving into early 2018, arrivals of table grapes from Chile will begin and the season is expected to be strong. An invigorating Winter dormancy period has suppliers expecting a strong season with good quality fruit and steady supply.
"Chile will dominate the North American table grape market from January through April," Greenberg said. "The Chilean winter was cold and wet providing good dormancy and replenishing water supplies. We are expecting a well-paced season with good quality products that will encourage retailers to promote grapes and keep inventories moving."
South Africa, too, is set to have a look in to the North American market from the start of the year. Greenberg said that Canada will be a likely strong market for South African imports, adding that import inspections might present a challenge for South African fruit to make a smooth entry into the US market.
"South African grapes will also arrive in the USA and Canada from Week 1 onward," he concluded. "Canada has offered South Africa a good market alternative as the US market poses phyto-sanitary challenges that will naturally restrict departures."
For more information:
Mark Greenberg
Capespan North America
Tel: +1 (514) 739-9181