“There is a difference in what the smaller mango producers will be the total production volume compared to the opinion of the exporters. The smaller producers think there is a reduction of around 50% in production. Indeed, this suggests that prices should go up. However, on the other hand exporters say that that based on scientific information the volumes has only been reduced by 12%-15% in Piura. Therefore, prices shouldn´t go up as much as the smaller producers are hoping for”, reacts Milton Calle on the strike of producers in Peru. He is the director of Exotic´s Producers & Packers in Peru. This is group of four mango producers and avocados that formed a company in 2016. The producers are located in Piura, Jayanca and Casma.
He continues by explaining that for now the prices in the European market are low. “Brazil has had more mango available than others seasons. Small producers believe that exporters impose on the price, but the truth is that the price depends on the market. It’s necessary to educate the growers about the international market and as well the exporters need to work more transparent.”
This strike could cause low supply, especially during the weeks 51 and 52 as Peru stopped sending its fruits during the weeks 48 and 49. “The price could rise for a short period of time, however this will only give false expectations to the growers and new exporters. If the strike finishes, the volumes will return to normal or perhaps higher for a little while due to the accumulation of fruit. So far it’s not as bad as we think, as this strike avoided the harvest of immature fruit”, concludes Milton Calle.