W7: Weekly Orange Update
Brazil
Brazil Orange Imports Increased 49% YoY in January 2023 (Feb 17)
In the last five years, Brazil has imported a record volume of oranges, with a volume of 3,488 MT in 2023, an increase of 49% in the total imported volume of oranges in January compared to 2022. The biggest origin of imported oranges was Egypt, accounting for 75.81% of the total volume, followed by Spain with 24.19%.
China
The first Egyptian Valencia orange for the 2023 season arrived in the Guangzhou market on February 12, 2023. The arrival quality was above average, with nice firmness, but slightly rough skin. However, the sales result was not great; size 56/64 (pieces) were all sold out, while size 72 (pieces) are still available due to the low demand for little fruits. The opening price for each 15kg was around USD 21.98 (RMB 150), but the actual transaction price for size 56/64 (pieces) was around USD 17.59-19.05 (RMB 120–130).
Egypt
Tough Season for Egyptian Citrus Exporters Due to the Unequal Size Distribution of Valencia Oranges (Feb 17)
The 2022/23 season is proving to be a tough one for all citrus exporters in Egypt, as there is large production volumes of Valencia oranges but a poor size distribution with a shortage in big sizes and an oversupply of small-sized oranges in the market. Suppliers are trying to sell small-sized oranges at low margins or even at a loss sometimes because the market is flooded. Big sizes such as 36 and 40 are almost non-existent this season, sizes 48/56/64 only make up around 18% of the production, while sizes 72/80/88/100 represent around 60% of the production, and sizes 113/125 around 22%. This size distribution makes it very challenging to supply to markets that prefer large sizes and puts the selling prices in the other markets at risk because the suppliers panic and sell at low prices.
Slow Selling Movement of Egyptian Oranges in the Chinese Market in W7 (Feb 17)
On February 16, 2023, one container of Egyptian Valencia oranges was opened to sell in the Chinese market. The quality of the oranges was mediocre due to their rough peel and black spots on their surface. The opening price of oranges stood at USD 20.37/15kg carton (RMB 140/15kg carton) for 56/64 pieces and only two pallets out of 20 have been sold.
Japan
As of February 2023, the arrival quantity of US navel oranges to Japan increased. One of the major citrus importers will receive 10 FCLs in late February, and comparable arrival quantities will be delivered by other importers in early March, indicating that the rising trend in quantity will continue. As the purchase price drops, importers will try to sell their own US navels at a more affordable and competitive price to the Japanese market. The market price difference between Turkish and US navels will be reduced to under USD 10, which will bring more competition in the market between these two origins, and the US may achieve more of an advantage due to its better-known product value and more consistent quality.
Vietnam
Negotiating the Export of Vietnamese Orange to China (Feb 19)
Vietnam is carrying out procedures to negotiate the export of oranges and citrus fruits, including pomelos, oranges, tangerines, and lemons to China. Vietnamese oranges and other citrus fruits are primarily consumed domestically, with sometimes unauthorized exports to China as they are not on the list of fresh fruits that are officially exported to China. Items wishing to export to China should have full scientific names, English names, and export varieties.
