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Reduced air freight capacity makes rambutan season more challenging

Rambutan supplies coming into the US from Central America look to be much better this year compared to last. “Weather-related issues in 2017 resulted in lower supplies than anticipated,” says Andres Ocampo with HLB Specialties. “This year, we are off to a much better start. It began with an unexpected 4-week mini-season in March,” said Ocampo. Last year’s unusual weather pattern triggered flowering during the off-season, resulting in four weeks of supplies at a time when rambutans are usually not available. “This gave us more presence in the market and it was a good reminder for consumers.”



Penetration keeps growing
In May, the regular season started and HLB has had plenty of volume since then. The weather pattern has been much more stable this season. “We haven’t had the extremes that affected flowering and all growers have confirmed that product availability will be higher this year,” Ocampo mentioned. “However, the hurricane season is just getting started, so let’s hope hurricanes won’t derail everything I just mentioned.” As a result of more favorable weather conditions, HLB has so far been able to satisfy its customers’ demand. “More product is being offered and the penetration of the product keeps growing as more retailers are lining up rambutan as a regular product.” Increasingly, traditional grocery chains are offering the fruit variety. 

Honduras to complement Guatemala
Guatemala is the rambutan source for the first part of the season and this week, Honduras will kick off. “We will complement our Guatemalan supplies with fruit from Honduras that tends to be a little larger.” Guatemalan harvest is expected to finish around mid-November. By then, Honduras will be the exclusive supplier with product available into December, and hopefully well into January or even February if weather allows.



Reduced air freight capacity
Despite the better supply situation, logistics have been a bit of a challenge this year due to reduced air freight capacity. There are three carrier options out of Guatemala: LAN, UPS and Avianco Cargo. “UPS downgraded its planes from Boeing 767 to 757, resulting in a 30 percent decrease in capacity,” Ocampo mentioned. “Product always used to fly on time, but schedules haven’t been as reliable this year.” Rambutans compete with many other fresh produce items that are transported by air from Guatemala to the US. The situation regarding air shipments from Honduras is better as the country doesn’t export as many products. “We mainly compete with okra and Tilapia fish.” Vessel shipment doesn’t seem to offer a solution to the tight air freight situation. “It has been tested, but due to the perishability of the fruit, it is not a viable option,” said Ocampo. “Hopefully, airlines will create more cargo space for fresh produce next year.”

For more information:
Andres Ocampo
HLB Specialties
Tel: (+1) 954-475-8808