In W30 in the tomato landscape, the expected increase in total tomato production in the European Union (EU) is 5% in 2023, reaching 17 million tons. The increase is driven by higher consumption of tomatoes for processing, contributing to the overall growth in tomato production. Furthermore, European fresh tomato exports are expected to continue the downward trend, with a 20% decrease compared to the five-year average due to uncertainty about market access in the United Kingdom (UK) and high transport costs hindering expansion to other countries like Asia and Canada. Meanwhile, fresh tomato imports are expected to increase by 7% to 850 thousand tons, 34% more than the five-year average. Market analysts predict Morocco and Turkey as the main suppliers, with 70% of fresh tomatoes imported into the EU coming from Morocco and 25% from Turkey in 2022.
Tomato prices in the Georgian wholesale market experienced a significant increase over the week. On July 21, 2023, tomatoes were sold for USD 0.85/kg, compared to the average price of USD 0.47/kg a week earlier. The sudden increase in tomato prices in Georgia during July is due to a transitional period when open-field tomatoes are replacing local high tunnels supply . Low supplies and the unavailability of tomatoes contribute to the price increase. In 2022, Georgia's total production reached 44.5 thousand tons, the lowest volume in seven years. The low supply led to record-high farmers' prices, with a record-high annual average price of USD 0.45/kg for tomatoes.
In Spain, the tomato campaign in Extremadura is expected to experience lower production due to adverse weather conditions like high temperatures and rains. This crop is essential for irrigation and makes up 90% of Spain's industrial tomato production. The campaign's outcome may fluctuate because of its vulnerability to weather changes. The contracting price has risen by 47% in 2023, but adjustments are still being made to ensure profitability. Unión de Pequeños Agricultores y Unión de Campesinos de Extremadura (UPA-UCE) will closely monitor the next campaign to address production costs and update contract prices accordingly.
Tomato prices have increased by 500% in India, leading consumers towards more affordable options like mashed tomato paste. The availability of tomatoes is impacted by flooding and heat, making it cost-prohibitive for many Indians and catering businesses. As a result, demand for tomato paste and ketchup has skyrocketed. Amazon reported a five-fold increase in tomato paste demand, while ketchup sales rose by 30% at the beginning of Jul-23.
Tomato prices experienced a significant drop from July 24th to 28th in São Paulo, Brazil, down 34.08% week-on-week (WoW). The decrease is attributed to increased supply, accelerated maturation due to higher temperatures, and the entry of low-priced tomatoes in wholesale. Demand has also decreased, contributing to the decline in prices. Other markets also recorded price reductions in the last two weeks, with a 53% drop in two weeks across four Centers.
