1. Weekly News

Egypt

High Mango Production in Egypt Leads to Price Drop

Egypt's mango season in 2024 is thriving due to favorable weather, leading to higher quality and more fruit. As a result, mango prices dropped to half last year's rates. By mid-Aug-24, Egypt exported 37 thousand tons of mangoes, making it the country’s seventh-largest agricultural export. Major buyers include Saudi Arabia, Russia, the United Arab Emirates (UAE), and the United Kingdom (UK). The Ministry of Agriculture and Export Councils helped boost exports by exploring new markets like Lebanon. Expanding mango cultivation in reclaimed areas of Lower and Upper Egypt also increased production.

Pakistan

Pakistan Successfully Delivers First Mango Shipment to Tashkent

Pakistan's National Logistics Corporation (NLC) has delivered its first truckload of mangoes to Tashkent, Uzbekistan. The shipment, containing 15 metric tons (mt) of mangoes, traveled 2.5 thousand kilometers (km) from Hyderabad in six days using a reefer container. This achievement highlights Pakistan's push to export mangoes to Central Asia markets. The NLC's reliable logistics services help exporters manage perishable goods, potentially increasing Pakistan's foreign exchange earnings.

Peru

Peruvian Mango Exporters Face Challenges for 2024/25 Amid Increased Competition

The Peruvian mango export season for 2024/25 is facing challenges due to increased production from local sources and competitors like Brazil and Ecuador. Grupo Cultivemos, a prominent agricultural company dedicated to optimizing mango production and export, began preparations in 2023 to address this, anticipating a strong harvest from favorable weather. The company plans to harvest 550 to 600 containers of fresh mangoes and aims to export 40% of these to Europe. They started harvesting Ataulfo varieties early for Canada, Kent, and Keitt varieties for the United States (US) and Europe to manage supply. The development of the Port of Chancay will cut transit times to Asia by about 23 days, boosting competitiveness in Asian markets. Moreover, harvesting for Kent mangoes intended for sea freight will start in early Oct-24, with around 200 containers expected to be exported by mid-Nov-24. The company also plans to supply mangoes from its Casma production from mid-Feb-25 to the end of Mar-25.

United States

Steady Supply of Mexican and Brazilian Mangoes Continues for US Imports in 2024

In W33, the National Mango Board (NMB) reported that Mexico and Brazil exported about 3.3 million 4-kilogram (kg) boxes of mangoes to the US. Mexico sent 3 million 4-kg boxes, totaling 80.8 million 4-kg boxes for the season, a slight decrease from 3.2 million 4-kg boxes in the same week in 2023. Meanwhile, Brazil exported 236.4 thousand 4-kg boxes, bringing its seasonal total to 372.7 thousand 4-kg boxes, up from 343 thousand 4-kg boxes in 2023. Mexico’s mango season will continue until the last week of Oct-24, while Brazil’s will last until Dec-24. The NMB expects a 10% year-on-year (YoY) increase in shipments between W34 and W39, despite a 5% YoY smaller season for Mexico and a 16% YoY reduction for Brazil.

2. Weekly Pricing

Weekly Mango Pricing Important Exporters (USD/kg)

Yearly Change in Mango Pricing Important Exporters (W34 2023 to W34 2024)

Mexico

In Mexico, mango prices rose slightly by 1.31% week-on-week (WoW) to USD 1.57/kg in W34, with a 1.56% month-on-month (MoM) increase. This modest rise reflects a gradual market adjustment, supported by a stable supply and consistent demand. Despite this uptick, prices have decreased by 14.09% YoY. The significant YoY decline is mainly due to the comparison with higher prices in W34 2023, which were driven by tighter supply conditions. Moreover, the improved production and steady demand have helped stabilize the market, though prices remain lower compared to the elevated levels of the previous year.

Peru

In W34, Peruvian mango prices dropped by 5.18% WoW and 13.03% MoM to USD 1.88/kg, with an 8.87% YoY decrease. This decline reflects the market's ongoing adjustment to the expected increase in mango volumes for the 2024/25 campaign. Following last year's weather-induced shortfall, the anticipated supply boost has intensified competition, putting downward pressure on prices. Additionally, the market is volatile as resources are directed toward managing the increased volumes, affecting labor and logistics. The interplay of higher supply and logistical challenges is lowering prices, even as the industry strives to stabilize after the previous season's disruptions.

Brazil

Brazil's mango prices decreased slightly by 4.72% WoW to USD 1.46/kg in W34, down from USD 1.53/kg in W33. The weekly drop is due to the increased production and export volumes, which have led to a higher supply in the market. Despite this weekly decline, prices increased by 8.42% MoM and 62.79% YoY. The MoM rise reflects a gradual adjustment to this higher supply and seasonal price fluctuations. The substantial YoY increase highlights the significant boost in export volumes compared to last year, underscoring strong demand and favorable market conditions despite the recent weekly decrease.

India

Mango prices in India rose by 2.56% WoW to USD 0.24/kg in W34, marking a 35.14% MoM increase. The weekly increase reflects a continued adjustment in the market, driven by persistent domestic demand and a reduction in local oversupply. The substantial MoM rise indicates that prices adjust to current market conditions, including reduced local mango volumes due to strong international orders and a diminishing oversupply from the previous bumper harvest. Despite these recent gains, the significant 47.7% YoY decline is due to the high oversupply from last year, leading to lower prices than the previous season. The market is gradually stabilizing as the effects of the bumper harvest wane and exporters fulfill international orders.

3. Actionable Recommendations

Expand Export Markets to Sustain Mango Prices

Egypt should prioritize expanding export markets for Egyptian mangoes to stabilize prices and sustain growth. With current mango prices down to half of last year's rates due to increased production and favorable weather, targeting new international markets such as Canada, Japan, and South Korea will help absorb excess supply and maintain price stability. Exploring emerging markets like Lebanon, alongside these efforts, will further ensure continued success and profitability in Egypt's thriving mango season.

Optimize Export Strategies to Boost Competitiveness

To address the challenges faced in the Peruvian mango export season for 2024/25, industry-wide optimization of export strategies is crucial. This includes accelerating infrastructure developments, such as the Port of Chancay, to reduce transit times to key markets like Asia. Additionally, expanding targeted marketing efforts in European and Asian markets can help improve market penetration. Implementing these strategies and managing harvest timings for different mango varieties will enhance competitiveness and ensure sustained profitability for the entire mango export sector.

Stabilize Domestic Mango Prices Through Strategic Supply Management

To stabilize domestic mango prices in India, Indian mango exporters and producers should focus on managing mango supply more effectively. This involves optimizing export strategies by regulating export volumes to align with domestic demand and ensuring that local supply is maintained due to high international orders. They can balance domestic and international demands by adjusting export schedules and volumes based on market conditions. Close monitoring of local and export markets will help stabilize domestic prices and mitigate the impact of past oversupply.

Sources: Tridge, MXfruit, English Ahram, Pakobserver, Freshplaza, Eastfruit, Indiatimes