W46 Tomato Update: Egypt Explores European Tomato Market Opportunities, Tunisian and Kazakh Tomato Growers Face Difficulties, and Azerbaijan Tomato Exports Drop
Egyptian Tomato Exporters Seek European Expansion Amid Challenges in Spain, France, and Morocco
In W46 in the tomato landscape, some Egyptian tomato exporters see opportunities to expand into Europe, particularly given the challenges faced by growers in Spain, France, and Morocco. With a yearly production exceeding 6 million tons and over 200 local and international varieties, Egyptian tomatoes are expected to attract European importers, especially if shortages persist. Despite higher transport costs, the competitive advantage of lower cultivation costs and high-quality produce will position Egyptian tomatoes favorably in the European market, boosting their market presence.
Tunisian Tomato Growers Experience Challenges of Drought, Oversupply, and Export Bans Impact Prices
Due to drought and unfavorable weather conditions, Tunisian tomato growers face challenges in the autumn cycle. High temperatures have increased tomato development in certain regions, leading to an oversupply in the market. The ban on Tunisian tomato exports to Libya, a major market for Tunisian tomatoes, has contributed to the situation. Prices have dropped from USD 0.32 per kilogram (TND 1/kg) in Jun-23 to Aug-23 to USD 0.032/kg (TND 0.1/kg) in W47. The Tunisian government has restricted the export of strategic crops, further impacting the Libyan market's reliance on Tunisian tomatoes.
Tomato Prices Surge in Kazakhstan Amidst Shortages and Dumping Concerns from Turkmenistan and Uzbekistan
Tomato prices in Kazakhstan have risen due to factors such as local greenhouses ceasing cultivation due to unfavorable cost-benefit ratios and dumping from suppliers in Turkmenistan and Uzbekistan. Tomato farmers raised concerns about dumping but received no response from the government. The absence of local tomato production has led to a shortage, with tomatoes fetching around USD 2.18/kg (KZT 1,000/kg). Importers face questions about the significant price disparity compared to the previous year when tomatoes stood at USD 0.44/kg (KZT 200/kg). The dynamics of supply and demand, local producer decisions, and external supplier influence collectively influence the current tomato market conditions.
Azerbaijan's Tomato Exports Decline in Volume and 7.4% YoY Drop in Value from Jan-23 to Sep-23
Azerbaijan exported 112 thousand tons of tomatoes from Jan-23 to Sep-23, showing a marginal decrease of 0.3% year-over-year (YoY). The total value of these tomato exports amounted to USD 124.2 million, reflecting a decline of 7.4% YoY. Most Azerbaijani tomato exports went to Russia, with 109.6 thousand tons, constituting 97.9% of total exports. This amounted to USD 119.99 million in value, indicating a 7.4% YoY decrease. Notably, in 2022, Azerbaijan exported 141.4 thousand tons of tomatoes worth USD 167.6 million, with Russia being the primary importer.