1. Weekly News

Egypt

Rising Demand for Egyptian Table Grapes Despite Production Challenges

Despite a drop in production due to fertility issues caused by uncertain weather, the demand for Egyptian table grapes is increasing. The 2023 season has lower volumes, but the good grape quality gives them an edge over competitors. Egypt will offer late varieties, including Crimson Red Seedless and Arras, in June, July, and August. The Red Sea crisis has made exporters reluctant to ship to the Far East due to extended transit times. Currently, Egyptian grape prices are higher than the previous season, with European importers increasing their orders for late varieties.

Italy

Early Start and High Demand Mark Italian Grape Season in 2024

The Italian grape season started earlier this year than in 2023, with higher prices and high demand for tunnel-grown tunnel-grown grapes. The Victoria and Black Magic varieties are now receiving larger volumes. Prices for Italian grapes are currently between USD 3.8 per kilogram (kg) to 4.62/kg (EUR 3.5/kg and 4.25/kg). But as more grapes enter the market from the second half of Jun-24, prices will start to decrease.

Peru

SENASA Certifies Over 89 Thousand HA of Grape Vineyards in Peru

Peru's National Agrarian Health Service (SENASA) certified 89,186 hectares (ha) of grapes in nine regions during the 2023/24 campaign. The main areas are Ica, Piura, and Lambayeque, with other regions also working in coordination. SENASA’s head emphasized Peru's resilience as a significant grape-producing country. The campaign aimed to promote access to new markets, train producers to meet sanitary and phytosanitary standards, and conduct phytosanitary surveillance. The fruit was exported to 65 markets, with the United States (US) being the primary consumer. Peru’s phytosanitary authority indicated that Peruvian grapes could enter 98 markets, with Japan, Argentina, Indonesia, Malaysia, Vietnam, and the Dominican Republic being the last commercial access windows.

South Africa

South African Table Grape Exports Surge Despite Port Inefficiencies

South African table grape exports in 2023/24 saw a 16% year-over-year (YoY) increase, reaching 74.1 million boxes. Export revenue is anticipated to drop between USD 642.1 million and 695.6 million (ZAR 12 billion and 13 billion). However, inefficiencies at Cape Town Port have resulted in significant losses for exporters, costing producers approximately USD 1.09 per box of grapes exported. South African Table Grape Industry (SATI) projects that equipment challenges at the Cape Town container terminal will continue for about two years as Transnet awaits new equipment orders and installations.

South Korea

New Pre-registration System Enhances Safety and Competitiveness of Korean Grape Exports to Taiwan

The Ministry of Agriculture, Food, and Rural Affairs (MAFRA) has established the Taiwan Export Grape Pre-registration System to enhance safety management during customs clearance. From May 23, 2024, the system assigns a unique registration number to exporters and farms, ensuring safety throughout the export process. Exporters must complete pesticide safety training, report to the Korea Agro-Fisheries and Food Trade Corporation, receive a unique registration number, and undergo pesticide residue testing. This system is expected to strengthen the export competitiveness of Korean grapes and promote safe and high-quality Korean grapes to Taiwan.

2. Weekly Pricing

Weekly Grape Pricing Important Exporters (USD/kg)

Yearly Change in Grape Pricing Important Exporters (W22 2023 to W22 2024)

Chile

The recent increase in grape prices in Chile, up by 2.63% week-over-week (WoW) to USD 1.14/kg in W22, marks a return to the pricing levels seen in W20 after a temporary drop last week. The seasonal dynamics of grape production primarily drive this fluctuation as the season nears its end, leading to a decrease in overall supply. The limited availability of high-quality grapes has particularly impacted prices, causing them to rise significantly compared to last year. Despite the recent drop, prices remain higher than at the start of last year's production season, reflecting the ongoing challenges in grape supply and pricing in Chilean markets.

Peru

In W22, Peruvian grape prices continued declining for the second consecutive week, dropping by 1.65% WoW to USD 0.80/kg. This decrease adds to a 4.01% month-on-month (MoM) and a 6.67% YoY decline. Despite efforts to stabilize production in Ica and the minimal impact of El Niño, international price fluctuations and weak production in Piura have contributed to the ongoing downward trend in grape prices.

India

Grape prices in India increased again in W22 due to ongoing supply constraints caused by a severe heat wave. The extreme temperatures stressed grapevines in key regions like Jalgaon, Malegaon, and Nashik, reducing yields. As a result, the decreased supply has continued to drive prices up, building on the 24.15% WoW increase seen in W21. Grape prices continued to increase in W22 by 7.70% WoW to USD 0.84/kg compared to USD 0.78/kg in W21.

3. Actionable Recommendations

Enhancing Korean Grape Exports to Taiwan Through Safety Management

Korean grape exporters should promptly register with the Taiwan Export Grape Pre-registration System, ensuring compliance with pesticide safety training and residue testing requirements. This will enhance export competitiveness and promote safe, high-quality Korean grapes in the Taiwanese market.

Strategic Export Measures for Egyptian Table Grapes Amidst Production Challenges and Rising Demand

To optimize Egyptian table grape exports amidst reduced production and increased demand, exporters should diversify market channels, prioritize high-quality varieties like Crimson Red Seedless and Arras for June to August, and explore European markets due to higher prices and increased orders. Additionally, they should address shipping concerns to the Far East caused by the Red Sea crisis to ensure steady export volumes.

Enhancing Phytosanitary Standards in Peru's SENASA Grape Export Campaign

SENASA should continue its campaign to promote access to new markets and train grape producers to meet sanitary and phytosanitary standards. It should also enhance phytosanitary surveillance to ensure the quality of Peruvian grapes exported to 65 markets. It should focus on meeting standards for entry into new markets like Japan, Argentina, Indonesia, Malaysia, Vietnam, and the Dominican Republic.

Source: Tridge, Freshplaza, Mafra, MXfruit, Foodmate