Citrus exporters are preparing for a busy season, with confidence in both fruit quality and demand holding firm despite ongoing geopolitical uncertainty. For Brisbane-based exporter Sai World, the outlook remains positive even as global conditions shift.
Sai World's Sam Vaisala says the business is currently in preparation mode, with citrus shipments expected to ramp up in the coming weeks.
"We're just getting ready for citrus," he says. "At the moment everything's up in the air… no one's really committing to anything."
© Sai World
Much of that uncertainty stems from the broader global situation, including the conflict involving Iran and its potential impact on freight, fuel, and trade routes. However, Vaisala is cautious about drawing conclusions too early.
"You can presume a hundred things in this industry, but what actually happens turns out to be completely different," he says.
Freight costs and fuel prices are key concerns across the sector, but Vaisala points out that exporters have faced similar pressures before.
"Freight is freight — during Covid it went up as well," he says. "If they put up a war surcharge, we've seen that before… and coped with it."
That experience underpins a broader mindset he applies to the business. "We've been through Covid, we've been through floods, and there's always a silver lining to everything. I'm never negative about anything."
While the Middle East is a regular export destination, he acknowledges it may become more difficult in the current environment. Even so, the business has contingency plans in place.
"We always have a backup," he says. "If one market doesn't work, we move into another."
© Sai World
Asia remains the core focus, with shipments typically heading to China, Japan, Korea, Vietnam, and Thailand. Shorter transit times and established demand make the region a reliable outlet, particularly in uncertain periods.
"Asia has always been the main market for us," Vaisala says. "It's quicker transit, and especially this year, we'll probably just keep it closer to home."
Despite concerns about a softer global economy, he believes demand for citrus will remain resilient. "At the end of the day, people have to eat. Apples, oranges — there's always a space for it on the shelf."
In fact, shifting global supply dynamics could work in Australia's favour. Vaisala points to potential disruptions affecting competing exporters as a source of opportunity.
"If Europe or Egypt can't ship into Asia, and California's had a tough season, there's going to be less fruit," he says. "This might be good for us."
Higher input costs may be offset by stronger pricing if supply tightens. "I'm actually expecting whatever the higher costs are, it's going to be compensated with higher pricing," he says.
While emphasising that he would like the war on Iran to end, Vaisala draws a clear distinction between humanitarian concerns and business realities.
"From a humanitarian point of view, you want peace," he says. "But from a business point of view, you've got to cope with it; you've got to deal with it."
For Sai World, that means staying flexible, maintaining market options, and focusing on delivering quality fruit. "If we're producing good produce, then we're always going to be competitive."
For more information:
Sam Vasala
Sai World Pty Ltd
Tel: +61 (07) 5641 2217
Mob: +61470406579
Email: [email protected]
www.saiworld.com.au
