Brazilian grapes are starting to arrive on the European and UK markets this week. "Our Brazilian grapes used to have a much bigger window, going from mid-October and mid-December. Unfortunately, that is no longer the case, as year after year the Europeans are extending their season and increasing their volumes, leaving Brazil in a difficult position of a very short window to supply the market," explained Llany de Oliviera from Britannia Import and Export. "Last year, the European supply ended early, creating good demand and exceptional prices for our Brazilian grapes. This year, the Italian season is continuing for longer, so real demand for Brazilian grapes will only start at week 46."
"In addition, Peruvian grapes are also coming to the European/UK market by weeks 46-47, which takes a slice of the market from us, therefore bringing prices down. It is hard times for Brazilian grapes this year, but as ever we remain optimistic!"
© Britannia Import export
New varieties in full production
In terms of production, Brazil has been excellent, and the weather has been mostly good and favourable for grape production. "We do expect good quality, also the new varieties are in full production this year, giving more options to our clients, varieties such as Cherry Crush and Autumn Crisp being offered in more volumes."
Llany is sure they will import more than last year, "If we go back to August when we visited our suppliers in Brazil, our expectations were to import around 120 containers in total (between mid-Oct to mid-Dec), that number has now been considerably reduced, that is a reflection of the European market, we have made that decision in order to not take unnecessary risks, due to the current scenario, demand, availability and offers, even though we have decreased that number we will still bring a good volume to the European and UK market respectively."
Britannia's main varieties are Autumn Crisp, Sugar Crisp, Arra 15, Cherry Crush, Cotton Candy, and Vitoria.
© Britannia Import export
Reduced exports to Europe and the U.S.
"Brazil will export a good volume to Europe/UK this year, nothing extreme as many people are saying, the growers in Brazil have been conscious about the extended presence of European fruit in the market, and the low price speculations. It is important to emphasise that Brazil has a very high production cost and also pays import duty in Europe; the two factors don't help when it comes to the current prices in the market. That is pushing many growers to reduce the volume for the export market and focus on the strong and ongoing domestic market in Brazil, which brings them less risk, better margins, and more security in many ways."
Due to the US tariffs, Brazil will not be able to export much to the US market this year, which has also contributed to the uncertainty and a lot of speculation in the market.
© Britannia Import export
"The US is a very important market for Brazilian grapes and Mangoes, not having this market available has forced Brazil to look for alternatives. For some, Europe is the only route; for others, as mentioned above, the domestic market and Mercosur are a better alternative. That doesn't necessarily mean Brazil will send all the volume to the European market; some specific varieties, such as Cotton Candy (a favourite of the US market), will be seen in more volume in the European market, but overall, we expect it to be in balance."
Britannia had its first arrivals in the UK and the Netherlands last weekend; these were small volumes, and the big volumes are to start arriving by next week.
For more information:
LLany Oliveira
Britannia Produce
Phone: +44 7889 540 646
Email: [email protected]
Fabio Alves
Maya Produce UK
Phone: +44 7366 563 749
Email: [email protected]
