W48 Tomato Update: Reduced Tomato Production in Morocco, Increased Output in Hungary, and Price Decreases in Brazil, Egypt and Spain

Decreased Production of Moroccan Tomatoes in W48 Amid Cold Weather and ToBRFV Virus

The tomato production in Morocco in W48 has decreased by 2 to 2.4 times due to cold weather. The current yield is reported at 500 kilograms (kg) per hectare (ha), harvested once every two days, compared to 1,000 to 1,200 kg during W46. The Tomato brown rugose fruit virus (ToBRFV) also contributes to the yield reduction. Despite the challenges, there is high demand, particularly from tomato importers in the Netherlands, creating pressure on exporters to fulfill contracts with buyers from France and the United Kingdom (UK).

Significant Decline in Tomato Prices Across Brazilian Wholesalers in W46

Tomato prices significantly declined in W46 across wholesalers monitored by Hortifruti/Cepea due to increased supply from high temperatures, causing accelerated maturation. Long-life 3A salad tomatoes in São Paulo experienced a 33.23% week-on-week (WoW) decrease to USD 13.02/box (BRL 64.16/box), while in Campinas, it dropped to USD 18.87/box (BRL 93/box), a 21.68% WoW decrease. Meanwhile, Belo Horizonte's tomatoes saw a 42.22% WoW decline to USD 10.55/box (BRL 52/box), and in Rio de Janeiro, tomato prices decreased by 34.42% WoW to USD 12.09/box (BRL 59.61/box).

Egyptian Tomato Prices Plummet by 27% MoM in Nov-23 Amidst High Supply and Low Demand

The new round of tomato harvest season in Egypt, which commenced on November 1, led to a 27% month-on-month (MoM) price drop to USD 355.29 per metric ton (mt), down from USD 484.48/mt on Oct-23. This decline is attributed to high production levels and low demand.

Hungary Anticipates 38% YoY Rise in Tomato Production for 2023

According to data from the Institute of Agricultural Economics (AKI) and the Central Statistical Office (KSH), there has been a 9% increase in tomato import in Hungary, reaching 15.4 thousand tons in the first eight months of 2023. However, the World Processing Tomato Council (WPTC) projects a significant rise in industrial tomato production in Hungary, anticipating a 38% YoY increase to 110 thousand tons in 2023. Tomato imports from Slovakia and Turkey increased by 10% and 6%, respectively, while imports from Spain decreased by 2%. Globally, industrial tomato production is expected to rise by 13.3% to 43.5 million tons in 2023. Spain's tomato exports decreased by 8% to 357.7 thousand tons, and Dutch tomato exports fell by 8% to 477.5 thousand tons on the European market in the first eight months of 2023.

Spanish Tomatoes Enter Oversaturated French Market, Raising Price Concerns

Spanish tomatoes have started to appear on the French market, alongside local and Italian products during W48, contributing to a market that is already saturated. Although demand is modest, Spanish supplies are expected to increase in the coming days. Additionally, Belgian and Dutch tomatoes are also present in the French market. The concerns for the upcoming season revolve around prices, with expectations that they might be lower on average than in 2022 due to intense competition from various sources. The delay in cultivation in Spain and a virus affecting tomato quality may result in a high supply in the next two to three weeks.