In general sizes have been smaller this season, although volumes have remained the same in certain regions as last year.
JP says Russia has been a tough market so far for South African citrus. "There have been too many vessels loading for Russia earlier the season. In one week we had close on 13 00 pallets from RSA loaded to Russia. This means too much volume arrives too quickly for the market, and receivers need to lower their prices in order for the fruit to move quicker. The aftermath of this is that a lot discount or ‘market assistance’ has been asked for from receivers in Russia. This has lead to a chain-reaction effect in price returns, as Russians now need to sell other fruit commodities to make up for the losses incurred from Oranges. We saw the same trend last year in Russia. Russia is nevertheless a very important market for South African citrus, as they take larger sizes.”
The Middle East was good for lemons at the start of the season and fair prices were paid. An equilibrium is now being achieved and stability is being seen.
Looking forward to the grapefruit exports he says that bigger sizes between 40 -45 are expected from the Eastern Cape, as opposed the smaller sizes of 50-55 on Star Ruby seen from the North earlier in the season. This is good for exports with both the EU and Hong Kong. Taiwan and to a certain extent the Middle East are preferring the small sizes of 50-55.
In general the season has been very dynamic thus far and has been positive.
For more information:JP Bezuidenhout
Cape Citrus
Commercial Manager
Tel: +27 (0)21 979 4800
Mob: +27 (0)82 787 0773
[email protected]
www.capecitrus.com