When Tamaulipas citrus producers were about to export 35,000 tons of Italian lemons, they were shocked to see how the price of the product, which was of 4,000 pesos, went down to just 1,200 pesos a ton.
The president of the State Plant Health Committee, Ricard Sepúlveda Cantú, said that this was mainly caused by Florida and California's productivity increase.
"Frosts damaged their trees in previous years; however, they have already recovered and this has led to oversupply in the North American market. As a consequence for this, lemon prices have dropped."
The lemon harvest takes place in the central areas of Tamaulipas during the months of November, December and January and 90% of the production is exported.
"At the moment there is great disappointment about the small profit that this year's harvest will bring, as last year the production was sold at over 4,000 pesos a ton, while now it is down to just 1,200 pesos," he stated.
Sepúlveda Cantú pointed out that this situation is forcing producers to look for new markets in Europe or Asia in order to increase their profit margin.
For his part, the State's Secretary of Rural Development, Jorge Reyes Moreno, said that producers will be supported in their search for new markets.
"Tamaulipas leads Italian lemon exports with 35,000 tons annually, so alternatives are being studied to maintain that level and improve profitability margins for producers."
Source: Gaceta