The outbreak of the renewed war in the Middle East, this time involving the Gulf countries, has placed professionals and the fresh produce market in a dire situation. For a Moroccan exporter specializing in Gulf markets, such as AGCO, "the situation is very serious and amounts to a complete halt in exports, comparable to what we've been through during the Covid-19 crisis," according to Lamia Adlouni, the company's general manager.
War broke out at the height of the season for several Moroccan products. Adlouni says, "We had a lot of orders for raspberries, strawberries, blueberries, clementines, mandarins, Navel oranges, cherry tomatoes, and certain vegetables. There was also high demand for strawberries, but there are flood-induced production issues in Morocco regardless."
© YPA - Wikimedia Commons
Moroccan deliveries of fresh produce to the Gulf are mainly made by air, given the nature of the products, which has made Moroccan exports to these countries vulnerable. Adlouni states: "We were shocked by the massive cancellation of flights last Saturday, which abruptly brought our operations to a standstill.
We are faced with three scenarios: some products were already in flight but did not reach their destination on Saturday. We managed to recover some shipments, but with significant losses due to their prolonged exposure to ambient temperatures. There are also products stuck in transit, for example, in Istanbul, for which we still have no visibility, and which are likely to suffer the same fate due to the break in the cold chain. Finally, there are products that were in the process of being loaded, which we redirected to the local market at low prices and significant financial losses due to the price difference," Adlouni explains.
© AGCO
The exporter says that the situation remains uncertain. "The political context and the lack of communication from airlines are keeping us in limbo. We don't know what tomorrow will bring."
The company is studying alternative routes, which is no easy task. Adlouni says: "Delivering by air to a country on the Red Sea coast, then continuing the journey by road to the Gulf countries, remains a viable option for the future, but it is very complicated and simply impossible today."
According to Adlouni, the disruption to deliveries could lead to a shortage of certain fresh produce in Gulf markets in a few weeks' time. "There is still local production in the Gulf countries at this time of year, and this will continue until the end of March. But if the situation persists, shortages will be inevitable," she concludes.
For more information:
Lamia Adlouni
AGCO
Tel: +212661401621
Email: [email protected]
