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HIGHER AND STABLE PRICES FOR SPANISH GRAPEFRUIT DUE TO LOW MARKET SUPPLY

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HIGHER AND STABLE PRICES FOR SPANISH GRAPEFRUIT DUE TO LOW MARKET SUPPLY

by Tatyana Ivanovich
November 10, 2022
in Logistics, Market
0
HIGHER AND STABLE PRICES FOR SPANISH GRAPEFRUIT DUE TO LOW MARKET SUPPLY

The Spanish grapefruit season started in mid-October, later than usual, with lower production, resulting in higher and more stable prices than last season.

According to data from the Ministry of Agriculture, Fisheries and Food (MAPA), the grapefruit harvest could reach 75,394 tons. This is 13.7% less than last season and also the lowest harvest in the last three seasons, after two consecutive production records in the previous two campaigns.

“Many feel that there is even less fruit than officially estimated,” says Miguel Barber, manager of Pomelos MBC, which specializes in the year-round production and marketing of grapefruit, with a volume of more than 16 million kilos. “We started harvesting in week 42, later than usual and coinciding with a more premature withdrawal of supplies from the southern hemisphere, which has led to an expected demand for Spanish grapefruit from European chains.”ADVERTISEMENT

Miguel Barber recalled that production will fall in all producing countries of the Mediterranean, such as Israel and Turkey, “where the drop in harvest is very noticeable.” He also points out that “we don’t notice the presence of Mexican grapefruit, which tends to overlap with South Africa and is usually a competitor for us at the start of the season.” High volumes are also not expected from Florida, where productions were affected by Hurricane Ian. “Because of this situation, we are shipping more volumes to France, which usually import quite a lot from Florida,” he says.

Due to the summer drought, small sizes predominate, “which is strange in a year with less fruit available.” However, given the lower supply, prices are higher than at the start of the previous season and are holding up, helping to offset the increase in production costs. With higher prices, we cannot expect demand to skyrocket. In fact, it would be good if this balance could be maintained throughout the season.

According to MAPA data, the citrus growing areas that have grown the most this year are those of lemon and grapefruit, which have increased by more than 10%, mainly in Andalusia and the Murcia region. “The reason the acreage devoted to grapefruit is growing so strongly is because it is currently the most profitable citrus fruit of all. It is growing too fast, however, because the prospect is that Spanish grapefruit production will increase by 85% by 2025. We have it. about a niche product that has enjoyed a very stable consumption level for several years now.

A source: https://deleciousfood.com

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