1. Weekly News

India

Mango Farmers in Goa Report 40% to 50% Drop in Production Amid Adverse Conditions

The mango season in Goa has shown a significant reduction in production due to adverse weather conditions. Mango farmers reported a 40% to 50% year-over-year (YoY) drop in production, particularly affecting the Mancurad variety. The decline in bee populations, which is required for pollination, also contributed to the decline. Despite the overall drop in production, mango prices remained unchanged due to high production costs. In Andhra Pradesh, untimely rains severely impacted mango orchards, causing substantial crop damage. Many farmers have faced losses for three consecutive years due to weather adversities. The initial harvest from Nuzividu displayed mangoes with a sour taste. Retailers have raised prices in local markets due to crop damage, leading to consumer discontent.

Dharwad's Mango Industry Thrives with Increased Demand from America

Dharwad, North Karnataka, is experiencing increased demand from the United States (US). A recent visit by five Americans to Pramod Gaonkar's orchard in Kalikiri Village led to an order for five tons of mangoes, which are now being exported to San Francisco and Chicago. The local demand for Alphonso mangoes remains strong, with significant quantities entering the market daily, indicating a prosperous season for Dharwad's farmers.

Pakistan

Pakistan's Mango Industry Struggles with Reduced Production

The All Pakistan Fruit and Vegetable Exporters Association (PFVA)reported a significant reduction in mango production for the third consecutive year due to climate change, potentially preventing the country from meeting its export targets. With exports expected to start from May 20, 2024, the PFVA has set a target of 100 thousand metric tons (mt) of mango exports for the current season worth USD 90 million. Climate change has negatively impacted mango orchards in Pakistan, leading to a significant production reduction. The total production is expected to drop by 600 thousand mt.

However, the mango industry faces challenges due to increased costs of electricity, gas, transportation, garden maintenance, pesticides, and water management, making it difficult to compete for exports. Climate change has emerged as the biggest threat to mango production, with long winters, rains, hail, and severe heat waves changing the pattern of agricultural diseases in Pakistan. The PFVA calls on federal and provincial agricultural research centers to work urgently to help farmers deal with the effects of climate change.

Peru

Peruvian Mango Exports Dropped by 68% YoY During 2023/24 Season

In the 2023/24 season, Peruvian fresh mango exports reached USD 237 million, marking a 20% YoY decline. Despite a significant drop in volume by 68% YoY, totaling 82 thousand tons due to reduced supply due to climate change despite diversification efforts in countries like South Korea, Chile, and Russia, the average price surged by 145% YoY, reaching USD 3.79 per kilogram (kg). The Netherlands remained the top destination, receiving 40% of exports, followed by the US with 30%.

Peruvian Mango Industry Targets International Expansion

Peruvian mangoes are becoming popular in Europe and North America, with over two-thirds of exports going to these regions. However, there is a growing focus on expanding into Asia, including Japan, China, South Korea, Singapore, and Vietnam. Market research is crucial to understanding consumer preferences and developing effective penetration strategies. Moreover, the Middle East and Indian markets are seen as potential opportunities for the Peruvian mango industry. The Middle East offers high prices and gourmet markets, while India's large population and potential for free trade agreements make it attractive.It's crucial to boost the promotion of Peruvian mangoes, prioritizing the opening of new markets and ensuring both quality and production levels are maintained. Moreover, it is crucial to prioritize research and development towards identifying mango varieties that are resilient to climate change. Furthermore, there's a call to emphasize research and innovation within the Peruvian mango industry to secure its future growth and sustainability.

Philippines

Mango Growers in Laoag City and San Mateo Face Losses due to Oversupply and Low Demand

Due to oversupply, mango growers in Laoag City, Ilocos Norte, have been forced to discard five tons of mangoes worth USD 1,719 (PHP 100,000) that were rejected for being overripe and starting to rot. In response, the local government unit advised growers to distribute unsold mangoes to the community instead of discarding them. Meanwhile, a mango grower from San Mateo, Isabela, was also forced to discard nearly 3 thousand kg of mangoes due to low selling prices in the area, indicating that no one buys it even at low prices.

Thailand

Thai Fresh Mango Exports Soared by 130% in Q1-24

The initial surge in the popularity of sticky rice paved the way for significant increases in mango and sticky rice exports. In Q1-24, Thailand's fresh mango exports soared by 130% year-on-year to around USD 43.9 million (THB 1.6 billion), while sticky rice exports rose by 13% year-on-year to about USD 27.4 thousand (THB 1 billion). The director-general of the Trade Negotiations Department attributed this growth to TasteAtlas ranking Thai mango sticky rice as the world's second-best rice pudding, boosting its global appeal.This presents a significant opportunity for Thai exporters to leverage free trade agreements (FTAs) with ASEAN, China, Japan, South Korea, Australia, New Zealand, India, Chile, Peru, and Hong Kong.

Thailand ranks as the world's fifth-largest mango exporter and the second-largest exporter of sticky rice. Among ASEAN countries, only Laos and Cambodia impose a 5% import tax on Thai mangoes, while several major markets, including China, Japan, Hong Kong, and Australia, impose no import tax. For sticky rice, many countries, such as Australia, New Zealand, and Hong Kong, have zero import taxes, while China has reduced the tax to 50%. Additionally, frozen ready-to-eat mango sticky rice is exported to 16 countries with zero import tax.

United States

NMB Forecasts 8% YoY Reduction in Mango Exports to the US for W19 to W24

In the latest report by the National Mango Board (NMB), the US shipped approximately 3.8 million boxes of mangoes in W18. Mexico led the shipments with 3.4 million boxes, followed by Guatemala with 374.4 thousand boxes, and Nicaragua with 22.8 thousand boxes. Compared to W20 2023, all three countries experienced a decline in volume. Looking ahead, the NMB predicts a further 8% YoY reduction in mango shipments from W19 to W24 compared to the previous year, with arrivals expected between W20 and W25.

2. Weekly Pricing

Weekly Mango Pricing Important Exporters (USD/kg)

Yearly Change in Mango Pricing Important Exporters (W20 2023 to W20 2024)

Mexico

Mexican mango prices in W19 decreased slightly due to a brief improvement in supply conditions. However, prices increased by 1.40% week-over-week (WoW) to USD 1.45/kg in W20, driven by continued disruptions from the El Niño effect and low harvest volumes, especially of larger fruits. Despite a consistent supply of mangoes throughout the season from Mexico's multiple growing regions, prices have slightly increased. This increase amounts to 31.19% YoY. Heightened demand, driven by South America's slower crop recovery, has put pressure on the available supply, leading to the price rise.

Peru

The increase in mango prices in Peru can be attributed to a significant drop in supply, with fresh mango exports decreasing by 68% YoY. This led to surging wholesale mango prices in W20, which increased by 10.34% WoW to USD 1.39/kg, compared to USD 1.26/kg in W19. This represents a dramatic increase of 172.40% YoY, compared to USD 0.51/kg in the same period last year. The significant YoY increase in prices indicates the strong demand for Peruvian mangoes despite the reduced supply, which is likely to continue driving prices higher.

Brazil

Flooding, damaged orchards, and reduced local production caused Brazil’s mango prices to surge. This has led to a decrease in Brazilian mangoes, affecting both domestic and international markets. The flooding has raised quality concerns, as the damage to orchards could affect fruit quality. The reduced local supply could also shift trade patterns, with other mango-producing countries increasing exports to compensate. Overall, the combination of these factors has led to a significant increase in mango prices in Brazil, with prices rising by 18.97% WoW in W20 to USD 1.53/kg compared to USD 1.29/kg and increasing by 63.08% month-on-month (MoM) and 72.52% YoY.

India

Mango prices in India increased by 15.37% WoW in W20, with the price stood at USD 0.29/kg. The price increase is due to the significant reduction in production in key mango-growing regions such as Goa and Andhra Pradesh. In Goa, adverse weather conditions led to a 40% to 50% YoY drop in production. The price change in India also reflects a decrease of 3.86% MoM and an increase of 8.69% YoY.

3. Actionable Recommendations

Investment in Climate-Resilient Farming Practices

Given the adverse impact of climate change on mango production in countries like India, Pakistan, and Peru, stakeholders should invest in climate-resilient farming practices. This includes promoting the cultivation of drought and disease-resistant mango varieties, implementing efficient irrigation systems, and adopting sustainable agricultural practices to mitigate the impact of climate change on mango yields.

Diversification of Export Markets

To reduce dependency on traditional export markets and mitigate price fluctuations, stakeholders should focus on diversifying mango export markets. This includes exploring new markets in Asia, Europe, and North America, conducting market research to understand consumer preferences, and developing targeted marketing strategies to penetrate new markets effectively.

Promotion of Value-Added Mango Products

To enhance the value of mango exports and increase market competitiveness, stakeholders should promote the production and export of value-added mango products. This includes mango pulp, juices, dried mangoes, and mango-based snacks, which have higher value and longer shelf life compared to fresh mangoes.

Enhancement of Post-Harvest Infrastructure

To reduce post-harvest losses and ensure the quality of mango exports, stakeholders should invest in post-harvest infrastructure. This includes upgrading storage facilities, implementing cold chain systems, and improving transportation networks to maintain the freshness and quality of mangoes during export.