Fruit Logistica usually marks the transition to the final months of the Belgian top fruit season. It is the time to check inventories, and so far, that can only be described as 'good news'. That is according to Tony Derwael of Bel'Export. "We're working with good prices for all varieties. That's different from the past few years," he begins.
"That's mainly down to this season's lower stocks. For pears, Comice are selling at around €1.50, and good size Conferences go for well over a euro. Also, for apples, you pay close to €0.85 for Jonagold and Golden and more than a euro for Elstar. We didn't dare talk about these prices last year, and people are also willing to pay them. It's a good trend because costs are still rising, so the fruit needs to be slightly more expensive to work profitably. The only question is why we had to sell them so cheaply in the past years, especially apples. That's just due to pressure."
There, Tony sees a lesson. "Consumption has declined significantly in recent years. We always said European consumption is around 12 million tons, but nowadays, that's closer to 11 million. Also, per capita consumption in Belgium has halved in the last 25 years. So, there's been too much production in the last few years. That's something we must consider," he says.
Not seeing the forest for the trees
Tony notes a revaluation of the 'ordinary' varieties. "People are increasingly opting for the well-known varieties, such as Conference, Elstar, and Jonagold. When you visit the trade show in Berlin, there are so many new varieties on display. I think consumers sometimes can't see the forest for the trees."
"They pick up an apple, look at the price, and make a choice based on that. But if they go for the more expensive ones, they often don't realize exactly what brand they're picking," Tony says. "All newly introduced varieties are gradually becoming competitors. They encroach on each other's territory, which somewhat benefits 'standard' apples and pears."
What will imported pears do to the market?
Derwael believes this season's nice prices will likely continue. "In the weeks before the fair, prices dropped as per usual. This year, it was relatively more than other years because everyone's waiting for the season to change. No one dares buy until after the trade show, so there was too much at auction. We're looking at the inventories, but also what imported pears will do when they hit the market," he explains.
"I don't think they'll flood it. Except for a few small sizes, they sell for more than Conference. The productions in South Africa and South America seem to be a few percent lower than last year. From experience, I know pears will always be sent to Europe. That market is reliable. But I doubt it will cause an oversupply."
"Besides, for apples, alternatives have been found. Overseas top fruit is focused more on the Middle East and Asia. They get more for it there, and the transport distance is significantly shorter, which, with the sky-high container prices, is no unnecessary luxury. I, therefore, generally expect the positivity in both apples and pears to continue until the end of the season. Provided there's no panic leading to a flooded market. The stocks are roughly equal to consumption for the coming months of the season, so everyone will make money," Tony concludes.
For more information:
Tony Derwael
Bel'Export
2 Nerem Street
3840, Borgloon, BE
Tel.: +32 (0) 12 44 05 51
belexport@belexport.com
www.belexport.com