South African Table Grapes to Benefit From High Demand and Low Supply in EU Markets

There is a good opportunity for South African table grapes in the EU market. The Northern Hemisphere supply has exited the market, leaving a healthy EU market awaiting fresh grapes from the Southern Hemisphere. South African supply is set to take advantage of the high demand and low supply in the EU. As of W46, there were 19% less Peruvian and Brazilian grapes on its way to the EU. This is as a result of higher freight costs and weaker exchange rates, which make the natural US trade channel more appealing for these South American nations. The season is still long, and with South African grape production costs up 17% compared to last year, each and every favourable movement in the EU will need to be capitalised on to ensure profitable returns to growers.