The Peruvian ginger export value up until August has far exceeded the increase in volumes shipped. Thus, while shipments increased by 49% to 47,550 tons, their value climbed by 74% to 66 million dollars, according to data from Fresh Fruit.
"Currently, there is an uptick in international demand. However, many of the large producers are experiencing great difficulties in meeting this increased demand. There are various reasons for this, from a drop in production due to inclement weather to a change of crops due to decisions made at the beginning of the pandemic- the worst time for ginger-," the consultant explained in its latest report.
"Peru has faced different complications in the current campaign. The production has been affected by natural disasters. In addition, the quality of the product has had serious complications and producers have had to destroy several contaminated batches. Despite this, everything indicates that ginger will be able to close the year positively due to good international prices and the increase in the national stock."
"This year the North American market has been especially short of stock. The Brazilian campaign began quite late due to quality problems, high prices, and the producers' commercial decisions. In the coming months, Brazilian producers' shipments to this region are expected to gradually decrease. China is also sending less and less ginger and at a much higher price than Peru and Brazil. This is due to the fall in China's plantations and the prioritization of its domestic market, which substantially increased its demand."
"Other producers of lesser relevance, such as Costa Rica and Nicaragua, have also had shorter campaigns for productive reasons."
"Peruvian firms have been getting good prices. However, they have experienced serious quality issues. In Germany, several shipments were destroyed due to the presence of the Ralstonia solanacearum bacterium. This has raised a strong alert in the European Union, which is taking samples of the Peruvian product for analysis more frequently. No sanctions have yet been enacted in this region. However, if they continue to detect this bacteria, they could apply restrictions to Peruvian shipments, seriously damaging this product. SENASA has already taken action. Large exporting companies are being oriented to only collect ginger from certified crops and avoid mixing it with ginger of dubious origin."
Source: freshfruit.pe