Asia Fruit Logistica, the important industry gathering for the international apple industry and starting signal of the export season, was held on 18th November, but due to Corona, the event was changed into a digital event this year. "Although incomparable to a normal trade show, our sales staff were able to network with both existing and new customers. In this respect, Asia Fruit Logistica was quite successful for us," says Frank Döscher, Managing Director of Elbe-Obst Vertriebsgesellschaft.
The management of the North German distribution company is looking forward to an exciting export season. "The first containers have already been planned, soon to arrive in the United Arab Emirates. Furthermore, we are planning renewed exports to Taiwan and India."
Frank Döscher at Fruit Logistica 2020
Difficult market conditions characterize export industry
With regard to the current Corona problem, Döscher is seeing increased challenges for the export industry. "The European yields this year are at a mediocre level and therefore there is little aggression on the markets." Outside of Europe, however, average prices are significantly lower. "On the one hand, this is because purchasing power has decreased in many countries during the times of Corona, and the other reason is that there are lots of goods from South American countries. For European exporters, it therefore makes little sense to enter at these price levels."
In terms of quantity as well as quality, people are quite satisfied with this year's yield. The company now wants to be ready to deliver by the start of the new, 2021 harvest. "This year, a lot of goods were sold in March-April, which is why we sold out too early." Particularly with regard to the export business, the company will only focus on selected sales markets this year, Döscher explains. "We could easily sell large quantities to Egypt at low prices, but our volumes and margins would be too small for that. This year, Poland is the only country which is quantitatively able to supply these price-aggressive markets."
Freight and price situation
In this exceptional year, it is important for Elbe-Obst to serve existing customers in the export sector. "Of course we want to export selectively. Currently, it will probably be difficult to establish new structures: The economic situation already has made export customers less willing to take risks."
In addition to this, there are problems with the procurement of freight space and containers. Döscher: "Sharply increased prices and changed transport routes due to the Covid crisis are making out planning much more difficult."
In general, the marketing structures in the export markets are incomparable with the supply of the domestic market. "Every country is different. In contrast to Germany and Western Europe, in the Asian region, for example, a great deal of goods still flow into the specialist retail trade and to the wholesale markets. In terms of packaging, a lot of plastic is still used there, within the local trade."
Cautious optimism
All in all, the Elbe-Obst Vertriebsgesellschaft is confidently looking forward to the second half of the season. "We have had good autumn marketing on the domestic market so far. Provided that there are no further Corona aggravations, we are cautiously optimistic."
For more information:
Elbe-Obst Vertriebsgesellschaft mbH
Frank Döscher
Bassenflether Chaussee 4b
D-21723 Hollern-Twielenfleth
Tel.: + 49 (0) 4141 - 9531- 854
Fax: + 49 (0) 4141 - 9531-950
Mail: [email protected]
www.elbe-obst.com