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Cornelius de Villiers – Freshgold

Indian demand exceeds supply of South African Flash Gala apples

By the end of next month the apple harvest will be done, all the fruit in bins to be allocated to the packhouse or to the controlled atmosphere rooms which keep exports running the whole year.

Free State apple farmers had a difficult year due to multiple instances of hail, and they could definitely see a downturn in the crops from central South Africa, says Cornelius de Villiers, commercial manager at Freshgold. Even from some areas of the Western Cape, he says, the crop feels lighter, but it's only by the end of this month that they'll know for sure what hand they've been dealt.

"There is a very good demand for all your Gala varieties," he remarks. "We receive lots of calls for Royal Galas."

And of Flash Gala, the full red, South African-bred Gala variety, they don't have enough to satisfy India's appetite. Already, the country takes the greater portion of the Flash Gala apples that Freshgold receives from its farmers.

© Freshgold
Left, Royal Gala and right, Flash Gala from South Africa, carefully exhibited in a fruit and vegetable store in Kochi, India

Feedback from the market in Europe suggests a good season for Pink Ladies – India also takes more Pink Lady every year, though not at the pace it's warmed to Flash Gala – but in Canada South African Pink Lady apples face headwinds.

There's a strong demand for Grannies from Malaysia, Indonesia, Singapore, and India.

In Africa, constituting between 25% and 30% of their apple foreign trade, there was a brief disruption caused by the punitive ban that Tanzania's trade minister announced against South Africa. Freshgold's exposure to Tanzania happens through intermediaries in Kenya who trade in apples.

Business with Nigeria unfortunately comes with very high risk of non-payment and every year they're sending less, De Villiers says. "It's a market where they pay us in Rands and not in currency, because buyers have tremendous difficulties getting USD. It's been the situation for years, it's nothing new."

For more information:
Cornelius de Villiers
Freshgold
Tel: +27 21 555 1966
Email: [email protected]
https://freshgoldsa.co.za/

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