Brazil, the leading global producer and exporter of orange juice, has seen a 19.7% decrease in its orange juice exports during the first half of the 2024/25 crop year, compared to the same timeframe in the previous season, according to CitrusBR, a group representing citrus juice exporters in Brazil. The country shipped 430,078 metric tons of orange juice in this period. This downturn occurs as the global prices for frozen concentrate orange juice remain near historic highs in New York, influenced by a reduced orange supply from both Brazil and Florida.
The decrease in orange production in Brazil's principal cultivation areas has been attributed to adverse weather conditions and the proliferation of greening, a disease that impacts productivity and for which there is no cure. The current harvest in these areas is projected to be close to a 30-year low, as indicated by the latest projections from Fundecitrus released in December.
CitrusBR's executive director, Ibiapaba Netto, highlighted that the decline in exports is also occurring in the context of diminishing consumption. "The sector faces five cycles of small and medium crops and, according to international references, an unprecedented price rise that shows that demand decline is inevitable," Netto stated. Despite the fall in export volumes, the revenue from Brazil's orange juice exports experienced a 42.7% increase from July to December, reaching $1.88 billion, propelled by the higher prices on the international market. Europe has maintained its status as the primary importer of Brazilian orange juice, accounting for 42.7% of the total exports.
Source: Reuters