"If you stay on cloud nine too long, you forget you're floating," says Henk van der Meij of Hars & Hagebauer, describing the current situation in the mango market. "After the Ivorian season wrapped up a few months ago, supply remained tight and prices stayed high for quite some time. But as always, there comes a moment of reckoning. My mother used to say, 'Sweetness never lasts long.'"
According to Henk, that reckoning arrived about three weeks ago. "The market completely flipped. Promotions were canceled, programmed volumes were cut back, and in the end, demand came to a standstill. All in all, it's a mango market in misery. Prices have since stabilized, but they're still at levels below production costs. It just goes to show, every peak eventually gets paid back in the valley."
© Hars & Hagebauer B.V.
The market has also been dealing with inconsistent fruit quality. "The last mangoes from Senegal and the Dominican Republic came with their share of problems. Even though overall supply isn't excessive, the market still struggles to absorb what little fruit is available. Low demand and competition from other fruits are weighing heavily."
What could turn the situation around? "Either demand has to pick up or volumes need to shrink. But neither seems likely at the moment. Brazil has a sizeable crop coming, and for the first time in years, Spain is also looking at a good harvest. So once again, the outlook for the mango market is uncertain and volatile, as it so often is," Henk concludes.
For more information:
Henk van der Meij
Hars & Hagebauer
Selderijweg 90F
2988 DG Ridderkerk
Tel: +31 180 745100
[email protected]
www.harshagebauer.nl
