Brazilian fruit exports are currently less exposed to global disruptions due to the off-season, which is limiting the impact of rising transport costs linked to higher oil prices. Most shipments from the sector are concentrated in the second half of the year.
Jorge de Souza, technical manager of Abrafrutas, stated that the sector is monitoring developments closely due to trade links with countries in the region.
"The sector is watching with apprehension, since we have direct business dealings with several countries in the Arab world. The United Arab Emirates, Saudi Arabia, and also because the Red Sea route is a very important route that is not currently suffering as much as the Persian Gulf and Strait of Hormuz route, but it is also suffering, mainly because the Houthis from Yemen have also begun to militarily enter the conflict," he states.
Souza noted that logistics operations are being affected for products such as apples due to disruptions on key maritime routes. Demand remains from markets in the Middle East and India.
"We are starting the apple harvest, and we have demand for this fruit from the Middle East region and from India itself, and obviously, the logistics operations are hampered because of this conflict. Obviously, there is not much we can do; we have to wait, and the whole sector here is hoping that the ceasefire will happen so that we can normalize these trade relations," he points out.
The sector continues to monitor developments while awaiting improvements in logistics conditions to support export flows.
Source: R7 / Abrafrutas
