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"By February, Egyptian exporters to Russia will face major logistical complications"

A recent report of the U.S. Department of Agriculture (USDA), released on December 19, 2022, projects a 20% increase in Egyptian citrus production. The report attributes this increase to optimal weather conditions and temperatures during tree flowering, which have increased fruit set and production.

To comment on the increase in citrus production, we spoke with Mr. Nessem Amgad, Export Manager at Elteriak Farms. Mr. Nessem had already announced this increase in November. He explains, "By optimal weather, I mean below normal temperatures. Egypt usually faces a heat wave in April that causes embryo abortion and fruit drop. This past April, there was no heat wave and the weather was perfect for fruit set."

This optimal weather was also reflected in the quality of the citrus, which improved this season. But it wasn't without its drawbacks, according to Mr. Nessem: "The weather also had a negative impact on orange size, as there was a shortage of large-sized fruits, and this year's sizes are medium and small compared to previous years."

The USDA report also notes that the main destination for Egyptian citrus exports remains Russia, despite logistical disruptions due to the political situation in Eastern Europe. According to Mr. Nessem, these logistical difficulties will be amplified in February, which will have an impact on exports. He explains, "In February we will have the largest quantities of crops that will need to be shipped to Russia. Valencia oranges and potatoes will be in very large quantities and the few operating shipping lines will not be enough, this will cause big problems."

Egyptian exporters will therefore put a lot of pressure on their logistics teams and service providers: "Exporters must take orders as soon as possible, plan shipments over at least four weeks. Transporters must be on the alert and in constant contact with forwarders to organize shipments smoothly".

Finally, the USDA report points out that the majority of citrus acreage is located in the Egyptian desert and not in the Nile Delta. This makes sense, according to Nessem, since the delta area is made up of very small farms, ranging from 1 to 5 acres, while the Egyptian desert is owned by agricultural companies and consists of huge areas. Elteriak Farms, for example, operates 6,300 ha in the desert and has plans to add 2,100 ha the next year. But apart from the land parameter, according to Mr. Nessem, the quality of desert oranges is better than in the black lands anyway.

Mr. Nessem concludes: "It is true that this citrus season in Egypt brings very good news, but also great challenges due mainly to the situation in Russia. We hope that the war between Russia and Ukraine will end soon and that the situation will return to normal."

For more information:
Amgad Nessem
Elteriak Farms
Tel: +201 207 976 920
Email: [email protected]
Website: elteriakfarms.com 

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