1. Weekly News

Bulgaria

Producers Ask BAPOP to Reform Greenhouse Subsidies in Bulgarian Agriculture

Viktor Asenov, a greenhouse tomato producer and member of the Bulgarian Association of Greenhouse Producers (BAPOP), advocates for differentiated support within the sector. The Bulgarian agrarian ministry plans to implement this starting in 2025 to distinguish between producers investing in heated greenhouses and those relying solely on subsidies. Asenov highlighted the current subsidy disparity, with Bulgarian greenhouse producers receiving USD 985.11 (BGN 1,800) per acre while production costs for heated greenhouses reach USD 27,364 to 32,837 (BGN 50,000 to 60,000) per acre. He stressed the need for subsidy adjustments to better reflect these costs. Proposed changes in yield requirements for greenhouse crops, including tomatoes, aim to ensure producers are actively utilizing their facilities year-round, with a minimum yield set at 72,000 kilograms per hectare (kg/ha) and an average yield target of 125,000 kg/ha. Asenov's observations indicate a trend among some greenhouse owners to minimize winter activities, emphasizing the importance of proving heating capacity and operational costs to qualify for subsidies.

Ghana

Ghana’s MoFA-FSRP Targets Irrigation Overhaul for Year-Round Farming and Poultry Self-Sufficiency

The Ministry of Food and Agriculture’s Food System Resilience Programme (MoFA-FSRP) in Ghana will focus on rehabilitating irrigation schemes to enable year-round farming of rice, maize, soybeans, and tomatoes. Project Coordinator Osei Owusu Agyeman highlighted that the programme includes a five-year strategic plan for modernizing irrigation in line with climate-smart agriculture. Land ownership challenges will be addressed through negotiations, and investments will also target agriculture laboratory upgrades. The FSRP supports the entire agricultural value chain and aims to achieve poultry self-sufficiency by 2028.

Greece

Greek Tomato Producers Urge Action on Water Supply Amidst Critical Growing Conditions

Tomato producers in Greece expressed deep concern over the Government's announcement of non-continuous irrigation water allocation through a joint letter to several officials, including Deputy Minister of Citizen Protection Andreas Nikolakopoulos and Regional Governor of Western Greece Nektarios Farmakis. They emphasized the critical impact on plant health and fruit quality due to prolonged water interruptions amid high temperatures. The producers stressed the urgency of ensuring uninterrupted water supply to safeguard their harvest commitments, including an agreement for 80,000 tons valued at USD 12.83 (EUR 12 million) with Kyknos-Minerva factories.

Mexico

Mexico Lead Global Tomato Exports in 2023

In 2023, Mexico became the world's top exporter of tomatoes with record-breaking shipments valued at USD 2.988 billion, surpassing the Netherlands and Spain. The United States is the main destination, receiving 99.8% of Mexican tomato exports. Despite an 8% production drop in 2023 due to drought, Mexico anticipates a 2% increase to 3.30 million tons in 2024, driven by export demand. Sinaloa leads national production at 22%, supported by other key states like San Luis Potosí and Michoacán. Mexico's tomato sector remains resilient despite climatic challenges, aiming to extend its growing season and enhance export varieties, including gourmet types for the US market.

Myanmar

Record High Inlay Tomato Prices in Myanmar Due to Flood-Damaged Yields

On June 13, tomato farmers in Myanmar reported that Inlay tomato prices surged to a record high due to reduced yields from flooding in Inlay Lake plantations, Shan State (South). Summer heat and rainy season floods have damaged crops, driving prices up. In April, low yields priced tomatoes at USD 0.24 to 12.32 (MMK 30,000 to 40,000) per basket, rising to USD 15.39 (MMK 50,000) per basket in May, USD 20,01 (MMK 65,000) in early June, and USD 27.71 (MMK 90,000) by June 13. Despite high prices, increased cultivation costs have deterred many farmers from planting tomatoes, limiting the number benefiting from the price surge.

Romania

BRGV to Launch Patented Tricolor Cherry Tomato Variety 'Rhapsody' After Two Decades of Research

Researchers at the Bank for Plant Genetic Resources (BRGV) in Romania are poised to unveil a new tricolor cherry tomato variety named Rhapsody after 20 years of development. This soon-to-be-patented variety yields up to 7 kg per plant and can reach heights of 5 meters in protected environments. Rhapsody tomatoes come in green, yellow, and red-brown shades with a brown interior, offering medium size, firmness, and a distinct aroma and taste. They are resistant to main pathogens and maintain quality post-harvest. Upon patent approval, BRGV will make seeds available for farmers to propagate and cultivate, promising to enhance agricultural diversity and productivity in tomato farming.

Türkiye

Turkish Tomato and Other Fruits and Vegetable Exports Surge YoY in May-24

On May-24, Türkiye's fresh fruit and vegetable exports saw a notable 14% year-over-year (YoY) reaching 354,282 tons valued at USD 284 million. Ferhat Gürüz, President of the Mediterranean Key export markets included Russia, Iraq, and Germany, with remarkable increases of 339% to Iraq and 126% to Germany. Leading export products were peaches (USD 81.2 million), cherries (USD 34.6 million), and tomatoes (USD 28.6 million).

2. Weekly Pricing

Weekly Tomato Pricing Important Exporters (USD/kg)

Yearly Change in Tomato Pricing Important Exporters (W24 2023 to W24 2024)

Mexico

Tomato pricing in Mexico shows a significant YoY increase of 17.76%, with prices rising from USD 1.07/kg in W24 2023 to USD 1.26/kg in W24 2024. However, this annual increase is contrasted by sharp recent declines in 2024. Specifically, from W21 to W24, tomato prices fell from USD 1.86/kg, marking a substantial month-over-month (MoM) decrease of 32.26%. Additionally, there was a notable week-over-week (WoW) drop of 23.17% from W23 to W24, where prices fell from USD 1.64/kg. These recent sharp declines suggest market volatility, especially due to increasing supply as the production season in northern Mexico started. Warmer temperatures this year are aiding with higher production, leading to higher supply and lower prices.

Morocco

Tomato pricing in Morocco shows a stable trend over the recent weeks of 2024, as prices have remained constant at USD 0.43/kg from W22 to W24 2024, indicating no WoW change. However, there was a 10.42% MoM price decrease from USD 0.48/kg in W21 2024 to USD 0.43/kg in W24 2024. This stability over the past few weeks, suggests a stabilization in market conditions including supply and demand as the peak season came to an end in April. after a period of price adjustment.

Spain

From W21 to W24 2024, tomato prices in Spain have increased significantly, rising by 23.53% MoM from USD 0.34/kg to USD 0.42/kg. Additionally, the WoW change from W23 to W24 shows a modest increase of 5%, with prices moving from USD 0.40/kg to USD 0.42/kg. These price trends can be attributed to a disparity in supply and demand, as the seasonal patterns in Spain's tomato production typically peak in the earlier months of the year. As the production season winds down, the supply decreases, leading to higher prices. This increase reflects the natural market adjustment to reduced availability of tomatoes as the growing season concludes.

Turkey

From W24 2023 to W24 2024, tomato prices in Turkey have shown a significant YoY increase of 50%, rising from USD 0.66/kg to USD 0.99/kg. Examining the more recent trends, from W21 to W24 2024, prices have risen by 6.45% MoM, from USD 0.93/kg. However, there was a slight WoW decrease of 1.98% from W23 to W24 2024, where prices fell from USD 1.01/kg. These fluctuations indicate a generally upward trend over the past year, driven by factors such as lower greenhouse tomato supply as well as increased exports over the past few months, especially to other European countries.

France

In France, tomato prices have experienced notable fluctuations of 23.49% from W24 2023 when prices stood at USD 1.66/kg to USD 1.27/kg in W24 2024. This long-term decline reflects the lower tomato demand in France paired with higher tomato imports from other countries such as Spain and especially Morocco. Examining the more recent period, from W21 to W24 2024, prices dropped by 4.51% MoM, decreasing from USD 1.33/kg to USD 1.27/kg. However, within the last week of this period (W23 to W24 2024), there was a slight WoW increase of 4.10%, with prices rising from USD 1.22/kg to USD 1.27/kg. These recent fluctuations suggest market volatility in the short-term market, potentially influenced by varying supply levels and changing demand as the market has been seeing over the past year.

3. Actionable Recommendations

Advancing Irrigation Modernization for Year-Round Farming in Ghana

Supporting the Ministry of Food and Agriculture’s Food System Resilience Programme (MoFA-FSRP) is crucial for modernizing irrigation systems and achieving year-round farming capabilities. Stakeholders should collaborate with local agricultural bodies to facilitate negotiations on land ownership challenges, which hinder irrigation infrastructure development. By prioritizing similar initiatives to this one, productive countries can enhance agricultural productivity, mitigate climate risks, and achieve poultry self-sufficiency by 2028, thereby bolstering food security and economic resilience.

Sustaining Export Growth Strategies for the Tomato Sector

Amidst Mexico’s dominance in global tomato exports, strategic measures are necessary to sustain growth despite climate-related challenges. Monitoring climate forecasts and collaborating closely with producers can optimize growing seasons and diversify export varieties, especially targeting high-demand markets like the US. By enhancing resilience strategies and promoting premium tomato varieties, Mexico can maintain its competitive edge and capitalize on export opportunities effectively.

Promoting Adoption of Innovative Tomato Varieties

Facilitating the adoption of BRGV’s new tomato varieties like ‘Rhapsody’ is critical to enhancing agricultural competitiveness. Providing technical assistance and promoting access to this innovative variety will encourage its cultivation among local farmers, thereby boosting tomato production and diversifying market offerings. By leveraging research advancements, Romania and other countries can strengthen their position in the tomato market while promoting sustainable agricultural practices and enhancing food security.

Sources: AgriGate Media, B&FT Online, Bursa Hakimiyet, El Economista, Eleven Media Group Co. Ltd.