"The unusually heavy rainfall in November, December, and early January completely destroyed our melon plantings for the first two export weeks (weeks 3 and 4), while the plantings for export weeks 5 and 6 suffered significant damage," says Rolf Weber of Global Producers in Venlo, looking ahead to the Costa Rican melon season in this article.
"We have not significantly increased our cultivated area of approximately 1,100 hectares with Pafru S.A., but there has been a change in varieties and the cultivation window. For instance, the acreage of yellow Galia and mini watermelons (Lynx and Mielhart), as well as supermini watermelons (1969), has been further expanded. We have maintained the same acreage for Honey melons and Cantaloupe melons, while the planting of watermelons has been reduced, meaning we will end the season a week earlier."
"I expect manageable volumes of Galia, Cantaloupe, and true mini watermelons this year, as the acreage of these varieties has been decreasing for years due to poor weather conditions and cultivation challenges, which continue to reduce plantings. The financial results of these 'standard watermelons' are increasingly dependent on the weather in Europe in March and April rather than on acreage and import volumes," Rolf observes.
"In recent years, there have been significant financial setbacks. However, unfavorable weather in Europe, with high rainfall and low temperatures in March and April, kept the melon supply manageable due to substantially reduced plantings. For example, cultivation areas in Costa Rica have decreased by 28%, Panama has negligible acreage, Honduras focuses on the expensive sugar melon varieties, and planting in Guatemala remains insignificant."
"Additionally, we face the poor exchange rate of the US dollar against the euro. It is important not to overlook the strength of local currencies in Central America—such as the Costa Rican Colón, which has risen 30% against the euro—along with the increased costs of transport and logistics, as well as the ever-rising energy costs of diesel, oil, and electricity in the producing countries," Rolf continued.
Nevertheless, he remains cautiously optimistic about the market outlook for the upcoming Costa Rican season. "Given the weather conditions in recent years, the supply-demand ratio should be balanced. However, if we experience a period of favorable weather, the market could soon face a supply shortage."
For more information:
Rolf Weber
Global Producers
Venrayseweg 136 B
5928 RH Venlo
+31 77 465 81 00
[email protected]
www.global-producers.nl