Anecoop has expressed its concern about the viability of the orange campaign in East Asia due to the increase in the transit times of ships that opt for the Cape of Good Hope route to avoid the situation in the Red Sea.
More specifically, the Valencian cooperative has pointed out the risks faced by the second phase of the orange campaign, scheduled to begin in February with shipments to the Far East. This process is conditioned by the increase in sea travel days, which could negatively affect the fruit's shelf life. The cooperative has warned that the viability of the campaign could be in jeopardy if the increase in transit times reaches twenty days.
Miguel Abril, commercial director of Anecoop, said they currently have only one container of Persimmon in transit to China, which departed on December 4 and will experience a delay in its arrival.
Shipping lines are diverting their vessels through the Cape of Good Hope on routes to the Far and Middle East, excluding Saudi Arabia. This results in an increase in the transit time of ships and their cargoes, in addition to the increase in freight prices due to additional fuel costs.
In addition, Abril stated, there's been an increase in competition in Europe, Anecoop's main market, due to the presence of citrus fruits from Egypt; a result of the difficulties this country's exports to Asia.
The Port of Valencia, which has received its first vessel diverted due to concerns of possible attacks in the Red Sea, reports that the alternative route through Africa increases the transit time by two weeks on average. The Business Confederation of the Valencian Community (CEV) has also warned about the 15 to 20 days increase in transit times, which could cause delays in the delivery of goods and final products.
Source: valenciaplaza.com