Sweeter Than Sour: Global Cherry Market Outlook

Published 2021년 11월 12일

Global sweet cherry shipments grew at a CAGR of 9% over the last decade, and at a CAGR of 5.2% from 2020 and 2025. The composition of the leading suppliers and importers has changed significantly in recent years, with Chile becoming the global leader in cherry exports and China leading global consumption. Poor weather conditions hampered production in many countries, with Spain suffering heavy rains and Italy experiencing frost. South Africa experienced its most fruitful cherry production ever, and in Australia, Tasmanian cherry exports increased by 40% in the 2020/21 season.

Global cherry demand continues to grow

Cherry exports have grown yearly, owing to increased global demand as consumers become more health-conscious. There has been a surge in the consumption of fresh beverages, leading to an overall spike in global cherry demand. Global exports reached a value of USD 3.4 billion in 2020, rising by 11% from the previous year. Large and sweeter varieties such as Cheery grand and Cheery treat have increased in demand, instead of soft and sour cherries that do not perform well under fluctuating weather conditions and storage conditions. Demand for these two varieties has increased in China, Hong Kong, Japan, and the Americas, leading to suppliers like the US growing them rather than the conventional Chelan variety.

Chinese cherry consumption continues to grow as middle-income households increase in Shanghai, Beijing, and Guangzhou. China’s leading cherry supplier is the US, with about 300K tonnes imported from the North American country from June to mid-August 2021. The Bing variety is gaining popularity amongst Chinese consumers due to its size and quality. Due to the high import tariffs on US cherries, China is now sourcing cherries from other suppliers such as Kyrgyzstan, Uzbekistan, and Tajikistan.

Asian market consumes the majority of Chilean cherries

Asia is the fastest-growing cherry market, with China and Hong Kong SAR accounting for most of the global fresh cherry market, importing a value of USD 1.64 billion and USD 862.29 million in 2020, respectively. China is Chile’s largest market, primarily due to the zero-policy free trade agreement between the two nations and sufficient ripening time of cherries in Chile, which occurs between November and January during China’s Spring Festival. The total planted area in Chile, the world's leading cherry supplier, continues to grow yearly. However, due to the effects of COVID-19, shipments to China decreased at the back-end of the 2020/21 season. Cherries are now the leading Chilean fresh fruit export product, with 91% of the country's cherry shipments reaching China. However, forecasts for the 2021/22 season estimate that Chinese wholesale prices will remain high, leading Chilean exporters to explore alternative markets, such as the US and South Korea.

Unfavorable weather conditions impact Italian and Spanish production

Spring frost impacted cherry production in Northern Italy, with Emilia Romagna and Veneto losing close to 50% of their harvest. Apulia, a vital agricultural region in Italy, suffered from low cherry yields, small-sized fruit, and contracted prices due to unfavorable weather conditions this year. This increased presence of small-sized cherries boosted the demand and the cost of large-sized and well-processed cherries. Several cherry-growing regions in Spain had abundant rains which affected production. El Jerte, Extremadura, the leading cherry production region in the country, suffered from heavy rains during the peak of the harvesting season, impacting the fruit leading to significant damage, with cracking damage ranging between 20% to 40%.

Tasmanian cherry exports rise by 40%

Australian exports of Tasmanian cherries rose by 40% during the 2020/21 season compared to the previous year, the second-largest on record. Approximately 51% of Australian cherries come from Tasmania, with Hong Kong as the largest market, followed by China, Vietnam, Taiwan, and Thailand, accounting for 80% of Tasmanian cherry exports in 2020/21. According to the United States Department of Agriculture (USDA), Hong Kong has witnessed a rise in the demand for Tasmanian premium-quality cherries, ranging from USD 50 to USD 100 per kg. In Vietnam, Australian cherry exporters were given access to two onshore irradiation facilities, increasing the processing efficiency and reducing freight costs for growers.