Global Market Update: Mango, Mangosteen, and Guava

Fresh Mangosteen

Indonesia

Brazil

Published Sep 10, 2019

The demand for mangoes, mangosteens, and guavas has grown over the last year, and export has subsequently grown by 5% annually. The demand in China has grown drastically, leading to higher prices for imported mangoes. However, of the total production, only around 4% is exported, the rest is used for domestic consumption. The total exported value in 2018 was 2.8 billion USD.

The 6-digit Harmonized Tariff System code prefix for Guavas, Mangoes, and Mangosteens is 080450.

Price

In China, the prices of mangoes have been rising due to increased demand. Elsewhere, mango prices have increased as well, but due to supply issues. In India and Mexico, supply has been decreased because of bad weather conditions. This lowers the price of mangoes from these regions. As of September 10, 2019, the average wholesale price of mangoes is 2.12 USD per kg.

Production

The main producing regions of mangoes, mangosteens, and guava are India, China, and Thailand. In 2017, the total production of mangoes, mangosteens, and guava was 50.6 million metric tons, an increase compared to 2016. India produced around 38.5% of this, at 19.5 million metric tons. Production is expected to grow further over the next few years.

Top producing countries in 2017 are:

India: 19.5 million tons
China: 4.9 million tons
Thailand: 3.8 million tons
Indonesia: 2.6 million tons
Mexico: 2.0 million tons

Supply and Demand

There are many discrepancies between demand and supply locally, such as in China and Italy. These countries are now increasing their own production, as well as importing more. The demand for mangoes rises yearly, and the demands for exotic fruits such as guavas and mangosteens are increasing as well.

Export

The total export value of mangoes, mangosteens, and guavas was 2.8 billion USD in 2018. The total export quantity was 2.1 million tons.

The main exporters were:

Mexico (444.7 million USD, 16.2%)
Netherlands (351.2 million USD, 12.8%)
Thailand (311.7 million USD, 11.3%)
Peru (246.7 million USD, 9%)
Brazil (177.7 million USD, 6.5%)

The total exported value by Mexico and Brazil declined, whereas it increased in the other 3 countries.

Over the last decade, the total export value of mangoes, mangosteens, and guavas has followed an upward trend.

Imports

In 2018, the total imported value of mangoes, mangosteens, and guavas was 3.1 billion USD, the total quantity was 2.1 million tons and the market value grew by 9% compared to 2017. The main importers were:

USA (637.3 million USD, 20.3%)
China (370.6 million USD, 11.8%)
Netherlands (287.5 million USD, 9.2%)
Germany (224.9 million USD, 7.2%)
UK (179.5 million USD, 5.7%)

In all countries except for the US, imported value increased. In China, imported value increased by 122%.

Trends

Rising Demand for Mangoes in China

China is one of the major mango producing countries but does not export that much: it accounts for only 1.6% of total mango exports. Most of their production is meant for the domestic market, as the demand for mangoes is ever increasing. Because of the high demand, China is importing more and more mangoes. This 2019 season, there is a shortage of supply on the Chinese market, sending prices for imported and domestic mangoes up.

Bad Season for Spanish Mangoes

Spanish growers had a bad season in 2018-2019. Due to bad weather, the quality of the harvest was not good and there were many small varieties on the market. The harvest amounted to 34K tons, which was 30% more than in 2017. The Spanish mangoes could not compete with the Brazilian mangoes that were already on the market, and the Spanish season is too short to sell their large volume. Farmers made considerable losses. Mango production will not be expanded over the next year as a result.

Weather Problems in Pakistan but Export to China Looks Promising

When the Pakistani Mango season commenced on May 20 this year, industry officials reported a sizable production loss primarily due to extreme weather conditions. It was predicted that around 30% of the mango production would be affected, which would result in a decrease in the mango supply. However, according to major exporters in Pakistan, the production of mangos in the Punjab region was not as affected not as initially expected. But due to cooler weather this season, mango harvesting started late for all varieties and the harvest was delayed by approximately 7 to 10 days compared to the previous year.

The export price of Pakistani mangos has increased by around 6% in 2019 compared to last year. The main reason for this increase was surging demands in export markets, especially from China.

High Demand for Tropical Fruits

The demand for tropical fruits, such as guava and mangosteen, is rising globally. Tropical fruits are gaining popularity as they are available year-round and are seen as exotic. Guavas are increasingly becoming popular in Europe and the US. Companies in Florida have started producing guavas in 2017, decreasing transport costs. Mangosteen still has to catch up in Europe and the US, but the fruit is popular in Asia. Recently, Indonesia and China signed a trade protocol on the export of mangosteen. This will make it easier for Indonesian exporters to export to China.