Global Pineapple Exports Decrease Driven by Lower Costa Rican Supply

A recent report released by the Food and Agriculture Organization of the United Nations (FAO) was revealed that global pineapple exports faced a 2.2% decline to 3.1 metric tons (mt) in 2022. This unexpected drop in exports was primarily attributed to adverse weather conditions impacting major pineapple-producing nations. However, despite these challenges, key markets, especially the European Union (EU) and the United States (US), continued to exhibit robust demand for this tropical fruit.

Costa Rica, the world's largest pineapple exporter, found itself at the center of these shifting dynamics. This Central American nation usually commands a market share of nearly 70% in global pineapple exports. However, unfavorable weather patterns, high energy prices, and container shortages collectively placed a significant dent in Costa Rican pineapple production and exports in 2022. The country's exports for the year shrunk by a notable 4.7% year-on-year (YoY), representing a 100 thousand mt reduction, bringing the total to less than 2 million mt. This starkly contrasted with the growth observed in 2021 and marked the first time Costa Rican exports dipped below 2 million mt since 2015.

Source: Tridge Data Services

Meanwhile, the Philippines, the world's second-largest pineapple exporter, experienced a remarkable 5.6% YoY increase in pineapple exports, totaling 580 thousand mt. This bounce-back came after a 7% YoY decline in 2021, influenced partly by the effects of the COVID-19 pandemic and typhoons. Notably, the Philippines reported a staggering 16% YoY growth in pineapple shipments to China, which accounted for 43% of their total export volume. This surge was attributed to logistical challenges impacting exports from Costa Rica and other South American suppliers, while shipments from the Philippines remained relatively unaffected. MD2, the primary pineapple variety cultivated in the Philippines, boasts a longer shelf life and year-round availability, offering importers a more cost-effective choice. The country also found significant markets in Japan and South Korea, with approximately 30% and 13% of the share, respectively.

In South America, Ecuador, another key player, witnessed a slight 1% YoY uptick in pineapple exports in 2022, reaching a total of 100 thousand mt. In contrast, Mexico experienced a substantial 14.7% YoY decline, with pineapple exports dropping to 49 thousand mt. In Africa, Ivory Coast reported a 4.8% YoY increase in pineapple exports, totaling 32 thousand mt, while Ghana's exports plummeted by 36.7% YoY to a mere 1.6 thousand mt.

The decline in Costa Rican supply led to a reduction in global pineapple imports in 2022, totaling 2.9 million mt, down by 1% from the previous year. This decrease in volume triggered a surge in prices in key pineapple import markets. Tridge Price Index showed record-high pineapple prices in Spain in Aug-23, with the monthly wholesale average price for pineapples in Madrid reaching EUR 2.33 per kilogram (kg). In Italy, imported Costa Rican pineapple prices surged significantly in August, experiencing a 20% month-on-month (MoM) increase, rising from EUR 1.56/kg in July to EUR 1.86/kg in August, due to the supply shortage from Costa Rica.

Source: Tridge Data Services

The US and the EU remained the primary import markets for pineapples. The US imported 1.1 million mt, constituting 39% of the global total, while the EU received 770 thousand mt, accounting for 26% of the total. Strong economic conditions and the revival of the hospitality sector drove increased demand for pineapples in the US, leading to a 3.9% YoY rise in imports in 2022.

China ranked as the world's third-largest pineapple importer, experienced a 3.3% YoY decrease in imports in 2022, totaling 208 thousand mt. This decline was primarily due to the economic downturn and logistical disruptions triggered by COVID-19 control measures. Additionally, favorable weather conditions in China's pineapple-producing regions lessened the need for imports. Nevertheless, prolonged control measures, coupled with rising production and transportation costs, exerted downward pressure on prices for imported and domestically grown pineapples.