1. Weekly News

Brazil

Scarcity Drives Up Seedless Grape Prices in São Francisco Valley

Due to low volume and high demand, prices for seedless white grapes in the São Francisco Valley have risen. The recent heavy rains have decreased grape productivity, resulting in a 1.3% week-over-week (WoW) increase in the average weekly price to USD 3.24 per kilogram (BRL 16.71/kg). In the same period, seedless black grapes also saw a 4% WoW increase, with the average sales price reaching USD 2.63/kg (BRL 13.63/kg). Scarcity and strong demand continue to influence the grape market in the São Francisco Valley.

Peru

Peru Leads Global Table Grape Exports Amid Variety Shift and Licensing Trends

Peru has emerged as the world's top exporter of table grapes, driven by significant growth in the sector over the last two decades. The Association of Peruvian Exporters (ADEX) highlights the Association of Table Grape Producers of Peru (Provid), representing over 70% of Peruvian table grapes exported globally. This success is attributed to Peru's political stability, unfavorable weather conditions in other grape-producing regions, and the quality and cost control measures adopted by PROVID regions for grape cultivation in North and South America.

In the 2023/24 season, key grape varieties included Sweet Globe, Red Globe, Autumn Crisp, Allison-Sheegene 20, and Sweet Celebration. White Seedless grapes dominated the cultivated area at 54%, followed by Red Seedless at 25%, Red Globe at 16%, and Black Seedless at 5%. The shift towards seedless varieties is evident, with traditional grapes like Crimson and Thompson losing relevance due to quality issues for export. Licensed grape areas accounted for 75% of the total, with conventional grapes comprising 25%.

Peruvian Table Grape Forecast Predicts Stability Amid Climate Variability for 2024/25 Season

In the upcoming 2024/25 Peruvian table grape season, Ica's grape production is expected to stabilize following international price fluctuations and weak grape production in Piura. An advisor predicts normal prices for both regions, noting minimal El Niño impact in northern Peru in 2024. While Piura faces greater El Niño effects, Ica remains largely unaffected, maintaining stable production levels. Lacourt emphasizes the importance of grape variety selection, highlighting the resilience of certain varieties like Arra 15 and Sugar Crisp to late-cycle rains, unlike the more common, highly sensitive variety, Sweet Globe.

South Africa

South African Table Grape Production Expected to Surge by 16% in 2024 Due to Favorable Weather

According to the United States Department of Agriculture (USDA), South African table grape production could increase by 16% year-over-year (YoY) due to favorable weather conditions. Despite a previous heat wave, low temperatures in 2023 have improved grape quality in key growing regions like the Orange River. Consumer preferences have also shifted towards seedless varieties, with less than 8% of current plantations being seeded. New plantings focus on Autumn Crisp, Sweet Celebration, and Sweet Globe. With more than 85% of production earmarked for export, the industry is expected to benefit from a weaker exchange rate and lower freight costs, supporting an export volume of 340 thousand tons, a 20% YoY increase.

United States

Positive Projections for California Table Grapes in 2024 Season

The table grape season in California began on May 13 with positive projections for 2024. Last season was impacted by Hurricane Hilary, resulting in a loss of nearly 30% of the initial volume in 2023. In response, the California Table Grape Commission is launching a new marketing campaign for the 2024 season, promoting California grapes as a healthy snack, especially for holidays, celebrations, and gifts. The harvest in the San Joaquin Valley is expected to start in late Jun-24 or early Jul-24 and continue until early Dec-24. The initial estimate for the 2024 California table grape season is 94.4 million 19-pound (lb) boxes, slightly below the 2020 to 2022 average. This increased supply should stabilize prices compared to the previous season, where the price at the point of origin for California grapes reached USD 28.54 per box, up 29% from USD 22.12 per box in 2022 and USD 22.52 per box in 2021.

Uzbekistan

Uzbekistan Seeks Dagestan's Grape Planting Material for Agricultural Development

Uzbek authorities have shown interest in acquiring grape planting material from Dagestan, which achieved self-sufficiency in grape seedlings in 2023 through the development of nursery farming. This interest stems from Dagestan's establishment of a nursery in the Suleyman-Stalsky region, which now supplies grape seedlings to other areas. Dagestan and Uzbekistan have a longstanding partnership, with trade between the two republics rising.

Vietnam

Chinese Shine Muscat Grape Prices Decline in the Vietnamese Market

Shine Muscat grapes from China were introduced to the Vietnamese market in 2024. However, wholesalers have criticized this year's batches for lacking the exceptional sweetness and distinctive aroma characteristic of Shine Muscat grapes. The initial wholesale price for these Chinese grapes was USD 11 per 1.6 kg box in W20. By W21, increased competition among suppliers led to a slight price adjustment of the USD 9/1.6 kg box. Despite these quality concerns, Shine Muscat grapes are expected to remain popular among consumers due to their prestige and appeal.

2. Weekly Pricing

Weekly Grape Pricing Important Exporters (USD/kg)

Yearly Change in Grape Pricing Important Exporters (W21 2023 to W21 2024)

Chile

Wholesale grape prices in Chile fell by 2.66% WoW to USD 1.11/kg in W21, a 46.67% YoY decrease from USD 2.09/kg in W21 2023. Low supply nearing the season's end has caused prices for large-box, high-quality grapes to drop significantly, nearly halving from last year. Even lower-quality grapes are more expensive than last year, with merchants attributing the price increase to the limited supply, keeping recent prices close to those at the start of last year's production season.

Peru

In W21, grape prices declined by 4.57% to USD 0.81/kg compared to USD 0.85/kg in W20, showing the same month-on-month (MoM) decrease from Apr-24 and a 13.36% YoY decrease from USD 0.93/kg in W21 2023. Despite expectations of stable prices in the 2024/25 Peruvian table grape season due to stabilized production in Ica and minimal El Niño impact, current prices are down due to international price fluctuations and weak production in Piura.

India

Grape prices in India increased by 24.15% WoW in W21 to USD 0.78/kg compared to USD 0.63/kg in W20 and surged by 21.80% MoM. This rise is due to a severe heat wave, with temperatures reaching 45.2°C in Jalgaon, 43.2°C in Malegaon, and 42°C in Nashik. This heat wave stressed grapevines and reduced yields, leading to decreased supply and higher prices.

3. Actionable Recommendations

Invest in Technology for Improved Production and Quality Control

Utilize technology, such as weather forecasting systems and crop management tools, to optimize grape production in Uzbekistan. This can help mitigate risks associated with climate variability and ensure consistent quality, enhancing competitiveness in the global market.

Diversify Export Markets to Reduce Dependency

Expand export markets beyond traditional destinations to reduce dependency on specific regions. Explore emerging markets and establish trade relationships to diversify risk and maintain stable demand for Peruvian table grapes.

Collaborate with Research Institutions for Variety Development

Partner with research institutions and agricultural experts to develop grape varieties suitable for local conditions. This can enhance grape quality, yield, and resilience to pests and diseases, ultimately improving the competitiveness of Uzbekistan's grape industry.

Source: Tridge, Freshplaza