The worst drought in recent memory continues to affect Brazil, causing declines in production and consequently driving prices up for a large number of crops.
Lime prices have actually tripled over the past four weeks in the Brazilian market.
"As a result of this drought there are limited volumes of fruit available, but local consumption is still high, as limes are a staple product for most Brazilians," explains Daniel Briso, of the exporter Argofruta.
In an earlier interview with FreshPlaza, Daniel reported that Brazilian exports to Europe this year are expected to increase by 20%.
"While so far this year the export volume of limes to Europe is higher than in previous seasons, over the past four weeks Brazil has shipped very little fruit," he points out.
Many European importers have stopped buying, likely because prices have become too high.
"For the time being, European importers are resorting to their own stocks, but these will not last for more than two weeks," he explains.
Given Mexico's low production volumes this campaign due to bad weather, a considerable price increase in the European market during the month of November will be inevitable.
Daniel Briso
ARGOFRUTA
T:+55 11 5593 5900
M:+55 11 9811 9899
[email protected]
www.argofruta.com