The Rwandan avocado industry is gearing up for the launch of the next season at the end of September 2024. Seun Rasheed, CEO of SOUK Farms, announces "major developments that will reshape the avocado sector in Rwanda".
Rasheed says: "The production phase is progressing flawlessly, and we're delighted and optimistic about the campaign's success. Our fruits will be available in week 39 or 40, which is perfect timing, just after the Kenyan, South African, and Peruvian campaigns. This season is shaping up to be memorable, as many of the trials we've conducted in logistics, marketing, and farming operations will come into full commercial effect."
As a relatively new player in the avocado industry, Rwanda has seen a massive increase in avocado tree planting in recent years. "We're talking about nearly a million newly planted trees annually," Rasheed said. "Many young trees have reached production maturity this year. We're continuing with our varietal strategy, focusing 90% on the Hass variety. By my estimates, Rwanda will produce over 10,000 tonnes of avocados this season. As for SOUK Farms, our export capacity for the upcoming season (October 2024 to March 2025) is projected to be around 20 containers."
"Next season will bring a change in the marketing of Rwandan avocados," announces Rasheed. Until last season, 90% of Rwandan exports were destined for the Gulf market, and shipped by air, according to the exporter. He continues, "We have made several trials over the last two seasons to deliver to Europe by sea. Last season, we carried out commercial trials to export containers per month to Rotterdam and Algeciras. These trials have been highly successful and will enable us to diversify into the European market starting next season."
SOUK Farms, like other East African exporters, has faced disruptions due to the Red Sea crisis. "Shipping avocados to Rotterdam by sea, via the Kenyan port of Mombasa, used to take about 31 days, which was ideal," Rasheed explained. "However, the Red Sea crisis has increased this transit time to over 43 days. We've had to adapt to this severe crisis by targeting closer markets."
"In February 2024, we shipped a container to Algeciras with a transit time of approximately 48 days, and the avocados still arrived in reasonably good condition. This was a pleasant surprise for all of us and a testament to the quality of Rwandan produce. I would like to acknowledge Maersk's support during these trials. We can confidently say that sea freight has proven to be both logistically feasible and commercially viable, even under challenging conditions such as a 48-day transit period. This marks a significant milestone for the Rwandan avocado industry. On the commercial side, this adaptation has been a success, with our avocados attracting significant interest from clients in Europe."
According to Rasheed, the resilience of the Rwandan avocado sector is grounded in several strengths, with seasonality being one of the most crucial. The Rwandan avocado season runs from October to March, a period when many competing regions have completed their campaigns. Another key advantage, Rasheed highlighted, is the superior quality and sizing of Rwandan avocados. "It's hard to compete with our quality. Our prices are also very attractive, making a compelling case for potential clients, especially when compared to long-established origins in the region."
In this respect, too, next season will bring changes. Rasheed: "Our prices for next season will increase slightly, but remain very reasonable, and are justified by an improvement in sizes. Until now, Rwandan production has been dominated by small sizes, from 20 to 26. Thanks to more advanced farming operations, we've made the transition to a production characterized by larger sizes, mostly from 16 to 20."
A few months ago, Rasheed announced that Rwanda was steadily moving towards becoming a major player in the avocado industry. Today, he remains confident: "We are progressing with great determination. If we take Kenya as an example, with a production of over 200,000 tonnes per season, I believe we will reach this scale within the next 10 to 15 years."
For more information:
Seun Rasheed
SOUK Farms
Tel: +447967997368 / +250738306725
Email: [email protected] / [email protected]
www.souk-ig.com