Opinion

August Review: Extreme Weather Affects Crops Prices in Asia

Frozen Crab
Rice
Published Sep 13, 2022
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Some countries in Asia have been facing heavy rains that affect the volume and the quality of crops. On the other hand, some other countries are facing extreme heat that has been burning crops and decreasing supply. Tridge's global market analysts and country representatives dive into what happened in supplying countries.

China

China: Chinese Dragon Fruit Production Affected by High Temperatures (Aug 25)

China's local dragon fruit season begins in mid-July and ends in December. August was the peak time for local dragon fruit harvest in previous years, but this year the high temperatures reaching 40℃-43℃ affect the production volume since they are burning the crops. Producers report a drop in production volume of up to 80%.

China: Low-Quality Thai Durians in China (Aug 30)

Thailand is approaching the end of its durian season, and the wholesale price of golden pillow durians in China reaches about USD 173 per 19kg carton in W34. This year, the quality of fresh durian decreased since the fruit contains empty pulp and a burned core. One reason that has influenced the quality decrease is the increased rains in Eastern Thailand.

Thailand

Thailand: Rains Affecting the Quality and Flavour of Phu Khao Fai Durian in Thailand

Phu Khao Fai durian is produced in Sisaket province, which is currently in the rainy season, affecting the quality of the fruit. Rains during the harvest season affect the color and flavor of durians by souring the fruit. Ethical producers do not cut durian during the rainy season to avoid low-quality sales, but if buyers really need the fruit, producers incubate durians for ten days before the sale. Forecasts indicate that as rains remain, the durian supply will decrease.

Thailand: Longan Prices from Thailand Increase in W32 (Aug 9)

Longan prices from northern Chiangmai and Lamphun increased after longan production in the south was impacted by heavy rains since W31. The supply quality has dropped since fruits are falling from the trees and are impacted by rain. The effects of the rains include Golden flies and mold infestations which damage the crop if not controlled. In W32, Logan prices in Thailand from northern Chiangmai stand at about USD 12.80 per 11.5kg basket but are estimated to rise to USD 27-30 until the end of September.

Thailand: Price of Thai Durian Increase As Expected (Aug 9)

Southern Thailand faces a shortage of fresh durian as production decreased by 50% YoY due to the heavy rains in the southern region. The durian shortage has caused wholesale price increases that will last until November when other regions start their harvest season. In W32, prices at the packing houses for Monthong durian stand at USD 4.81-5.52/kg, increasing from W31 when prices stood at USD 4.24-4.67/kg.

Thailand: Shortage of Monthong Durian in Thailand (Aug 16)

The production for Thai Monthong durian dropped due to unfavorable weather and heavy rains. Demand from China has also increased, which has affected the prices of durians. In W31, the buy-in price at the packing house for grade A durians stood between USD 5.37-5.93/kg, increasing from USD 4.80-5.51 in W30. The export volume of fresh durians to China has decreased from an average of 200 containers per week to 50 per week from last month

Thailand: Pineapple Season in Thailand Starts in Late September or Early October (Aug 24)

The pineapple season in Thailand will start in late September and early October. Processors forecast a smaller crop this year, as most farmers have already harvested some products earlier this year, leaving less supply for the upcoming harvest season. In addition, Thailand has been facing heavy rains in Prachupkirikhan and Ratchaburi, regions where a high volume of pineapples are harvested, which impacts the crop yield and flavor.

Japan, India, Indonesia

Japan: Extreme Heat in Japan Causes Increasing Vegetable Prices

Japan has been experiencing hotter summers than usual, harming vegetable crops and resulting in lower production volumes and rising prices. Retail prices for spinach, radish, onion, and okra show up to a 150% price increase. As Japan enters the typhoon season, the situation of domestic vegetables is forecasted to deteriorate further, so there are no clear pricing forecasts.

India: Decreased Supply and Exports of Indian Rice

India currently has a limited rice supply due to the low rainfall registered. Due to the limited rice supply, exports have been reduced as local demand and local prices are high. The limited exports could impact the global rice supply as India accounts for about 40% of the international rice supply.

Indonesia: Soft Shell Crab Production Drops Due to Rainfall

Soft shell crab farming in Indonesia has seen a significant drop in the survival rate due to the continuous rainfall in the past few weeks in Langkat Regency. The survival rate is estimated at 55%, driving the farm gate price up to USD 10.20-10.40/kg in W33. The price of Indonesian soft shell crabs is forecasted to increase in Asia.

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