Greece's Reduced Kiwi Harvest Boosts Favorable Pricing for Traders

According to the Greek Exporters Association, Incofruit Hellas, kiwi output in Greece for the 2023/24 season could reach 311,000 metric tons (mt), a 3% year-on-year (YoY) reduction from the previous year. This loss has been significant in locations such as Arta and Pieria, with the National Interprofessional Kiwi Organization reporting a 35% YoY decrease owing to climate change and adverse weather in the form of Storm Daniel, damaging kiwifruit orchards among other fruit crops in Sep-23. Despite the lower production, the quality and size of the kiwis are good, and commercial demand has increased due to a drop in Italian supply. This has resulted in better pricing for merchants. For example, the price of the Greek Hayward kiwifruit variant in W2 of Dec-23 was around USD 26.45 per 9-kilogram (kg) package of CAT1, caliber 27 and 30 in the Brazilian wholesale market, according to Tridge On-the-Ground Update.

Figure 1: Tridge Daily Customs Data

Source: Tridge Transaction Data Service (TDS)

According to Tridge Daily Customs Data, the quantity of fresh kiwifruit from Greece decreased significantly compared to previous months, plummeting 90.20% month-on-month (MoM) to 43,760 kg in Jan-24.

The scarcity of kiwis from Greece and Italy has resulted in greater demand and higher pricing. Greek exporters intend to sell their supplies fast, potentially exhausting the supply by the end of Jan-24. This problem is exacerbated by delays caused by large shipping companies avoiding the Red Sea route.

The diminished kiwi crop in Greece stemmed from a mix of causes, including climate change and mild winter weather. This has resulted in lower yields, notably in locations like Arta and Pieria. Despite these obstacles, the quality of Greek kiwis remained good, with a successful entry into new markets such as Brazil, where Greek kiwis have received positive feedback.

Figure 2: Share of Export Destinations for Greek Kiwifruit in 2022

Source: Tridge

Diversification of Greek Kiwifruit Exports and Emerging Market Trends

On the other hand, the Greek kiwi industry is enjoying growing exports to India, the Netherlands, Canada, the United States (US), Spain, and Italy. The production of yellow-fleshed kiwi cultivars is also being researched, signaling potential future market trends. Export destinations for Greek kiwifruit are diversified, with Spain leading the way as the number one destination. Despite a 25.56% YoY drop in the export value of Greek kiwifruit to USD 21.06 million for the first nine months of 2023, Spain remained firm at the top. Conversely, India recorded the most substantial growth, skyrocketing 560.76% YoY in terms of value to USD 1.29 million. One of the main reasons for the expansion of Greek kiwifruit in India was the import ban on kiwifruits from Iran. Despite repeated warnings to Iran, India has halted imports of fresh Kiwi fruits from Iran, effective Dec-21, due to rising pest-infested consignments.

The Greece kiwifruit industry thrives despite climate-related barriers, with a diversification of export countries and promising development into yellow-fleshed kiwi cultivars. Increased shipments to Canada and significant growth in India marked the previous period. At the same time, diminished supply and transportation delays due to the Red Sea predicament will determine the overall success of the 2023/24 export season.