This time of year, Peru is the dominant supplier of blueberries to the U.S. market. While volumes are higher than last season, they aren't reaching projected levels. "It has been a particular difficult year to forecast production volume," says Luciano Fiszman with Gourmet Trading Company. It is always challenging to predict volume because from afar everything sounds and looks similar. "However, once being on the ground and getting the opportunity to visit multiple operations, it becomes clear that they all face reality and conditions vary by grower, region, and variety." The weather and growing conditions were great for blueberry production and harvest. However, for several growers, newer genetics as well as better known varieties didn't perform as expected during harvest, resulting in a slower start to the season than anticipated.
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Looking ahead
What can be expected of the weeks to come? For some growers, production has passed its peak while others are at their peak or are a few weeks away from entering peak production. Overall, the next few weeks are considered peak production, but the volume will be lower than originally announced by Proarandanos back in September. The Peruvian Blueberry Growers & Exporter Assocation is about to publish updated projections that might reflect this. While Peru is dominating the market in terms of market share, the U.S. market is getting less fruit than projected and there isn't yet enough fruit to fill the pipeline. Although fruit is moving, there are no inventories at this time. Still, the market is holding it together at good prices for growers. Peru probably expected the U.S. market to suffer more. In view of the 10 percent import tariff, more fruit was shipped to other markets, but at the moment, that doesn't seem to be a big hiccup for the U.S.
"Currently, it is hard to predict when supply will meet demand, but I would venture to say that by late October or early November, the market will feel will more presence of Peruvian blueberries. By then, we will see how the market reacts, but I don't expect to see a crash this season," Fiszman said.
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Diversified sourcing
In addition to Peru, some other countries like Mexico and Argentina are also shipping blueberries to the U.S. While their volume is lower compared to Peru's volume, they are enjoying the current market conditions. As Peru's volumes ramp up, the window for Argentina will narrow. "For importers, it is crucial to maintain multiple sources of supply. Because of weather events and other factors, it is not recommended to rely on one region alone."
Organic blueberries
Gourmet Trading Company offers conventional as well as organic blueberries. "While our farm in the north of Peru is committed to growing organic blueberries, we are the first ones to admit that it is very hard," shared Fiszman. It is more expensive, the resources to fight bugs and diseases are more limited, and yields are lower compared to conventional production. "Nevertheless, we are happy to serve our customers with quality organic blueberries out of Peru. We don't do it because it is easy, but because others won't do it due to the challenges it brings. We embrace the challenge and trust our customers value our efforts."
All in all, it has been a smooth transition from the northern hemisphere to the southern hemisphere blueberry season. There was a bit of overlap as the U.S. market started receiving fruit from Peru before the Pacific Northwest season had finished. At the time, the Peruvian fruit wasn't really needed, but the market responded well. "It made for a balanced transition and not having a gap is a great thing," Fiszman commented.
The team
Fiszman is proud of the Gourmet Trading team that works hard every day to succeed. "We went through difficult times in this operation but have been able to succeed thanks to everyone who is part of this family." Growing blueberries can't be explained in an Excel file. It's important to take the time to learn, invest in people and give them confidence to try. "They are the reason why we are successful and seeing their commitment and passion inspires me to do the best job possible for them and for the company." Looking forward to meeting this team in person? Stop by booth #3393 at IFPA's Global Show in Anaheim, CA on October 17 and 18.
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For more information:
Luciano Fiszman
Gourmet Trading Co.
Tel: +1 310 216 7575 ext 1888
[email protected]
www.gourmettrading.net
